Enterprisers, in common with all other members of the human race, get their business characteristics from two sources: (1) heredity, (2) education. Some are especially endowed by nature; some acquire success as enterprisers, by long hours of study and application; a few combine both characteristics to a high degree. It is safe to say, however, that the typical business man - farmer, merchant, manufacturer - is fairly well born and fairly well trained; that is, he can attribute his economic success partly to his ancestors and partly to his own efforts. What he lacks in heredity he may usually make up in education. Which of these two forces is the more important? At the risk of starting a fruitless discussion we may say with some assurance that heredity asserts itself especially strong during the earlier years of business, while education and training (experience) necessarily exert themselves at a later date. The importance of the sources of business characteristics becomes significant when we try to account for the place of the enterpriser in industry. We know what he does, but we must also know why society rewards him for his services. If he is created of finer clay than most men, then, so far as his share in distribution is concerned, he resembles land. If he succeeds by study and training then he resembles labor. In either case, his reward is a differential - that is, it depends on his superiority over the margin.