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Contractors used to assent to such operations mainly to keep their men in constant employment and thus hold them together. In the last forty years all that has changed. Very little is now built to order. Anyone wanting a new house picks one from among those built on speculation or still in process of construction. The builder no longer works for his customers but for themarket. Like every other industrial capitalist he is compelled to have finished articles in the market. While formerly a builder had perhaps three or four houses building at a time for speculation, he must now buy a large plot of ground (which in continental language means rent it for ninety-nine years, as a rule), build from 100 to 200 houses on it, and thus embark on an enterprise which exceeds his resources twenty to fifty times. The funds are procured through mortgaging and the money is placed at the disposal of the contractor as the buildings proceed. Then, if a crisis comes along and interrupts the payment of the advance instalments, the entire enterprise generally collapses. At best, the houses remain unfinished until better times arrive; at the worst they are sold at auction for half their cost. Without speculative building, and on a large scale at that, no contractor can get along today. The profit from just building is extremely small. His main profit comes from raising the ground-rent, from careful selection and skilled utilisation of the building terrain. It is by this method of speculation anticipating the demand for houses that almost the whole Belgravia and Tyburnia, and the countless thousands of villas round London have been built. (Abbreviated from the Report of the Select Committee on Bank Acts, Part I, 1857, Evidence, Questions 5413-18; 5435-36.)The execution of enterprises requiring working periods of considerable length and operations on a large scale does not fall fully within the province of capitalist production until the concentration of capital becomes very pronounced, and the development of the credit system offers to the capitalist, on the other hand, the convenient expedient of advancing and thus risking other people's capital instead of his own. It goes without saying that whether the capital advanced in production belongs to him who uses it or does not has no effect on the velocity or time of turnover.

Conditions such as cooperation, division of labour, application of machinery, which augment the product of the individual working-day, shorten at the same time the working period of connected acts of production.

Thus machinery shortens the building time of houses, bridges, etc.; mowers and threshers reduce the working period required to transform ripe grain into the finished product. Greater speed due to improved shipbuilding cuts the turnover time of capital invested in shipping. But improvements that shorten the working period and thereby the time during which circulating capital must be advanced generally go hand in hand with an increased outlay of fixed capital.

On the other hand the working period in certain branches of production may be diminished by the mere extension of cooperation. The completion of a railway is expedited by setting afoot huge armies of labourer and thus tackling the job in many spots at once. The time of turnover is lessened in that case by an increase of the advanced capital. More means of production and more labour-power must be united under the command of the capitalist.

Whereas the shortening of the working period is thus mostly connected with an increase of the capital advanced for this abbreviated time -- the shorter the term of advance the greater the capital advanced -- it must here be recalled that regardless of the existing amount of social capital, the essential point is the degree in which the means of production and subsistence, or the disposal of them, are scattered or concentrated in the hands of individual capitalists, in other words, the degree of concentration of capitals already attained. Inasmuch as credit promotes, accelerates and enhances the concentration of capital in one hand, it contributes to the shortening of the working period and thus of the turnover time.

In branches of production in which the working period, whether continuous or discontinuous, is prescribed by definite natural conditions, no shortening by the above-mentioned means can take place. Says W. Walter Good, in his Political, Agricultural, and Commercial Fallacies (London, 1866, p. 325): "In regard to quicker returns, this term cannot be made to apply to corn crops, as one return only can be made per annum. In respect to stock, we will simply ask, how is the return of two- and three-year-old sheep, and four- and five-year-old oxen to be quickened."The necessity of securing ready money as soon as possible (for instance to meet fixed obligations, such as taxes, ground-rent, etc.) solves this problem, e.g., by selling or slaughtering cattle before they have reached the economically normal age, to the great detriment of agriculture.