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Full text of "Debate: "Is the failure of socialism, as evinced by the recent partial return to capitalism, due to the fallacies of Marxian theory?" Affirmative: Professor Edwin R. A. Seligman ... negative: Harry Waton ... Clare Sheridan, chairman. Held at the Manhattan opera house, New York city, Sunday afternoon, April 30th, 1922"

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s 


(HZx) 


Stenographer  s  Report 


of  the 


Seligman 


vs. 


Waton 
Debate 


<L^ 


MARX-ENGELS  INSTITUTE 


DEBATE 

"Is  the  failure  of  socialism,  as  evinced 
by  the  recent  partial  return  to  capitalism, 
due  to  the  fallacies  of  Marxian  theory?" 


AFFIRMATIVE: 

Professor  Edwin  R.  A.  Seligman 

Head  of  Department  of  Political    Economics,    Columbia  University 


NEGATIVE: 
Harry  Waton 

Marxian  Writer,   Lecturer  and  Teacher 
Educational  Director  of  Marx-Engels  Institute 


GLARE  SHERIDAN 

CHAIRMAN 


HELD  AT  THE 

MANHATTAN  OPERA  HOUSE 

NEW  YORK  CITY 


SUNDAY   AFTERNOON,    APRIL   30th,    1922 


MARX-ENGELS  INSTITUTE 

15  SPRUCE  STREET,  NEW  YORK 


u 


HBso, 


JUH-7'?2 


Copyright,  1922 

by 

Marx-Engels  Institute 

New    York 


The  Co-Operative  Press.  15  Spruce  Street,  New  York 


CONTENTS 

Page 
Foreword    7 

Introductory    Remarks    of   the    Chairman,    Clare 
Sheridan    15 

Opening    Presentation   of   the   Affirmative,    Pro- 
fessor Edwin  R.  A.  Seligman 19 

Opening    Presentation    of    the    Negative,     Harry 
Waton   33 

Rebuttal  of  the  Affirmative,  Professor  Edwin  R. 
A.  Seligman    49 

Rebuttal  of  the  Negative,  Harry  Waton 53 

Surrebuttal  of  the  Affirmative,  Professor  Edwin 
R.  A.   Seligman 60 


FOREWORD 

The  Russian  Revolution — what  a  colossal  event,  what  a 
great  historic  reality !  By  its  nature,  its  extent  and  its  effect  upon 
the  human  race,  it  eclipses  all  other  historic  events.  Its  greatness 
showed  itself  in  its  successful  resistance  of  the  universal  attempt 
of  the  ruling  class  to  destroy  it.  It  manifested  itself  in  most 
illuminating  light  at  the  Genoa  conference.  There  it  showed  to 
the  whole  world  that  the  proletariat  of  Russia,  which  was  placed 
into  power  and  into  possession  of  Russia  by  the  Russian  revolu- 
tion, is  the  only  real  power  in  the  world. 

But  the  Russian  revolution  is  only  the  beginning  of  the  his- 
toric proletarian  revolution.  It  is  Marxism  in  action.  To  under- 
stand the  character  of  the  Russian  revolution,  its  historic  sig- 
nificance, and  its  relation  to  the  international  proletarian  revolu- 
tion, we  must  understand  Marxism.  A  knowledge  of  Marxism 
is  even  more  essential  to  know  what  steps  the  international 
proletariat  should  now  take,  and  to  know  how  to  direct  its  future 
struggles  against  the  present  order  of  society.  Never  before, 
therefore,  was  a  knowledge  and  understanding  of  Marxism  so 
essential.  Never  before  were  such  knowledge  and  understanding 
so  accessible  to  the  masses,  as  they  can  now  see  it  in  action,  see 
its  achievements  and  results. 

The  Marx-Engels  Institute — the  Marx  Institute  reorganized 
as  the  Marx-Engels  Institute — has  always  realized  the  value  and 
importance  of  Marxism  for  the  international  proletariat ;  and  for 
more  than  twelve  years  it  has  most  persistently,  and  in  the  face 
of  almost  universal  opposition  and  overwhelming  difficulties,  en- 
deavored to  spread  among  the  masses  a  knowledge  and  under- 

7 


standing  of  Marxism.    This  it  did  through  regular  study  classes, 
lectures,  debates,  and  the  publication  of  books  and  periodicals. 

The  first  chapter  of  the  Russian  revolution  was  about  coming 
to  an  end,  culminating  in  the  Genoa  conference.  Events  were  all 
pointing  to  the  eventual  triumph  of  the  Russian  proletariat ;  and 
while  the  Powers  of  the  world  were  making  preparations  for  the 
Genoa  conference,  the  Marx-Engels  Institute  felt  that  this  was 
the  most  opportune  time  for  a  fundamental  public  discussion  of 
the  merits  of  Marxism  in  the  light  of  the  achievements  of  the 
Russian  revolution,  and  this  could  be  brought  out  best  through  a 
debate  between  competent  representatives  of  Marxism,  on  the 
one  hand,  and  Capitalism,  on  the  other  hand.  As  the  Genoa  con- 
ference was  progressing,  making  it  ever  more  and  more  clear 
that  the  Russian  proletariat  is  the  real  master  of  the  situation, 
the  interest  of  the  masses  in  the  Russian  position  and  the  doc- 
trines of  Marxism  grew  ever  more  and  more.  And  under  this 
favorable  opportunity  the  debate  took  place  between  Professor 
Seligman  and  Harry  Waton. 

The  debate  was  a  phenomenal  success.  It  took  place  in  the 
presence  of  a  large  and  cultured  gathering  on  the  30th  of  April, 
1922,  at  the  Manhattan  Opera  House,  in  New  York  City.  The 
time  was  opportune,  the  debaters  were  most  competent,  and  on 
this  occasion  were  at  their  best.  The  audience  responded  most 
readily  to  the  spirit  of  the  debate,  and  rose  to  the  heights  of  the 
presentation  of  the  subject  on  either  side.  We  feel  sure  in  saying 
that  they  will  forever  feel  grateful  to  us  for  the  opportunity 
afforded  them  to  partake  in  such  an  intellectual  feast. 

The  Marx-Engels  Institute  spared  neither  means  nor  effort 
to  make  this  debate  a  phenomenal  success,  and  a  phenomenal 
success  it  was  indeed.  The  ideas  presented  and  the  thoughts 
communicated  and  the  theories  developed  at  this  debate  will  for 
a  long  time  remain  a  monumental  contribution  to  the  knowledge 
and  the  understanding  of  Marxism  and  of  the  Russian  revolution. 
Realizing  that  the  crystallized  results  of  this  great  effort  would  be 
of  lasting  value  to  the  thoughtful  and  the  studious,    the  Marx- 


Engels  Institute  caused  the  debate  to  be  taken  down  by  a 
stenographer,  so  as  to  be  able  to  publish  it,  thus  affording  oppor- 
tunity to  the  tens  of  thousands  to  read  it,  study  it,  and  reflect  on 
it.  It  is  this  monumental  debate  that  we  herewith  present  to  the 
reading  public. 

Now  a  few  remarks  about  the  participants  of  the  debate. 
Clare  Sheridan,  the  English  sculptress  who  is  best  known  for 
making  the  busts  of  the  leaders  of  the  Russian  revolution,  acted 
as  chairman.  Little  else  is  known  about  her  in  America.  Her 
experience  and  report  of  Russia  proved  her  to  be  one  of  the 
many,  throughout  the  world,  who  see  in  Russia's  experience  a 
great  historic  event,  but,  being  little  acquainted  with  the  philos- 
ophy of  Socialism,  are  inspired  but  unconvinced.  Prior  to  her 
trip  into  Russia  she  knew  nothing  of  the  truth  of  Socialism. 
Brought  up  in  comfort  and  culture,  she  soon  found  herself  estab- 
lished as  most  people  of  her  class. 

The  war  broke  out,  and  her  husband,  who  became  a  captain 
in  the  English  army,  was  killed.  For  the  first  time  in  her  life 
she  faced  the  problem  of  providing  for  herself  and  her  two  chil- 
dren. She  had  talent  in  sculpture  work  which  she  discovered 
some  time  before.  She  now  thought  of  this  talent  and  decided 
to  develop  it.  She  progressed  rapidly  and  in  a  very  short  time 
won  recognition  as  a  great  artist.  She  made  the  busts  of  such 
men  as  Marconi,  Asquith,  Churchill  and  many  others. 

Two  years  ago,  when  Krassin  was  in  England  on  a  mission 
from  Russia,  he  urged  her  to  go  to  Russia  and  make  the  busts 
of  the  Russian  leaders. 

Her  experience  there  proved  to  be  the  greatest  event  of  her 
life.  Her  desire  to  tell  the  world  of  it  all  brought  her  name  before 
the  American  public.  The  situation  in  which  she  finds  herself  now 
made  her  truly  fit  as  a  chairman  of  such  a  debate. 

Professor  Edwin  R.  A.  Seligman,  head  of  the  department 
of  political  economy  of  Columbia  University  and  president  of  the 
Ethical  Culture  Society  in   New  York,  is  one  of  the   foremost 

9 


American  men  of  political  science.  He  has  acquired  an  education 
in  America  and  Europe  vouchsafed  to  but  few.  He  devoted  more 
than  forty  years  to  the  study  of  all  phases  of  political  science 
and  has  gained  an  international  reputation.  He  is  recognized  as 
one  of  the  great  authorities,  and  his  works  on  political  economy 
are  used  as  text-books  in  many  colleges.  His  library  is  hardly 
equalled  anywhere.  It  contains  no  less  than  thirty  thousand  vol- 
umes covering  every  school  of  political  science — books  written  in 
the  original  language  as  well  as  translations.  His  studies  included 
Marxian  economics  which  enabled  him  to  debate  the  question  of 
Socialism  from  a  much  higher  standard  than  that  of  most 
opponents  to  Socialism. 

These  facts  make  him  the  outstanding  figure  to  uphold  his 
side  of  the  debate. 

Harry  Waton  is  the  educational  director  of  the  Marx-Engels 
Institute.  This  organization  has  for  its  purpose  the  carrying  on 
of  classes  in  economics,  psychology,  philosophy  and  history  in 
their  relation  to  human  progress.  The  founder,  Harry  Waton,  has 
made  it  his  life  purpose  to  master  the  works  of  the  greatest 
master  minds,  past  and  present,  and  to  bring  this  knowledge  to 
the  working  class.  For  more  than  twenty-eight  years  he  has  been 
connected  with  the  revolutionary  movement  of  the  workers. 
During  these  years  he  taught  thousands,  who  were  eager  to  learn, 
the  great  truths  of  Marx,  Kant,  Spinoza  and  many  others,  en- 
abling them  to  acquire  a  comprehensive  and  progressive  view  of 
life  and  history.  Many  of  his  students  went  to  other  countries 
spreading  the  teachings  of  Marx  the  understanding  of  which  but 
few  Socialists  could  boast. 

The  many  who  came  drank  from  that  inexhaustible  fountain 
of  knowledge  and  spiritual  strength.  By  his  example  of  devotion 
for  the  cause  of  Socialism  and  by  his  persistence  he  inspired 
many  to  follow  his  noble  example.  There  are  many  of  his 
students  who  teach,  write  and  lecture  on  Socialism  and  kindred 
subjects.  His  thorough  understanding  of  the  works  of  Marx, 
through   study   and   teaching,    enabled   him   to   comprehend   and 

10 


interpret  the  Russian  revolution  from  the  viewpoint  of  that  great 
mind.  All  this  enabled  him  to  handle  the  subject  under  debate 
in  a  masterly  way. 

To  the  thousands  who  read  this  booklet  we  have  a  word  to 
say.  If  you  are  an  opponent  of,  a  sympathizer  for,  or  an 
enthusiast  about  Socialism — it  is  in  your  interest  to  have  a  thor- 
ough knowledge  of  this  subject.  There  is  only  one  correct  way 
to  acquire  this  knowledge — go  to  the  works  of  the  founder  of 
Scientific  Socialism — Marx.  To  understand  these  works  you 
may  need  aid.    This  institute  is  ready  to  give  such  aid. 

In  addition  to  our  many  activities  in  and  near  New  York  City 
we  have  found  need  for  some  means  to  reach  the  serious-minded 
and  studious  who  are  scattered  throughout  the  world  and  who  are 
interested  in  our  work.  We  take  this  opportunity  to  announce 
the  resumption  this  fall  of  the  publication  of  "The  Marxian." 

As  the  name  of  this  magazine  implies,  its  primary  purpose  will 
be  to  spread  among  the  working  class  a  deep,  fundamental  and 
comprehensive  knowledge  of  Socialism  as  understood  and  taught 
by  Marx.  In  the  universe  light  is  latent  everywhere,  yet  it  re- 
quires a  sun  to  manifest  that  light  on  a  great  scale.  Likewise,  in 
society  light  is  latent  everywhere,  yet  it  requires  a  Marx  to  mani- 
fest that  light  on  a  great  scale.  The  class  struggle  assumed  his- 
toric significance,  and  the  course  of  social  evolution  became 
apparent,  and  the  working  class  came  into  ever  greater  power, 
only  tfeea  when  Marx  shed  the  light  of  a  master  mind  on  the 
inner  mechanism  of  social  life.  And  it  is  this  light  which  the 
working  class  need  in  their  onward  march  towards  their  historic 
goal.  It  is  the  aim  of  "The  Marxian"  to  foster  in  the  working 
class  a  desire  and  to  cultivate  in  them  a  capacity  to  seek  after 
such  knowledge  and  to  understand  it  thoroughly,  so  that  the  mem- 
bers of  the  working  class  should  not  need  to  look  into  the  mouth 
of  self-styled  Marxists  or  reputed  leaders  in  the  Socialist  move- 
ment for  light  and  knowledge,  as  they  were  compelled  to  do  until 
now.  It  will  be  the  aim  of  this  magazine  to  make  the  members 
of  the  working  class  competent  enough  to  read  and  understand 

11 


the  truths  and  the  principles  of  Socialism  and  to  judge  of  them 
in  the  light  of  our  greater  master  minds. 

And  for  this  purpose,  this  magazine  will  continue  with  the 
next  issue  a  series  of  articles  or  studies  under  the  heading,  "An 
Aid  to  the  Study  of  'Capital'."  In  this  series  of  articles  the 
monumental  work  of  Marx  will  be  taught,  explained  and  illus- 
trated, beginning  with  the  first  and  ending  with  the  last  of  the 
volumes  of  this  work.  This  will  be  a  work  of  years,  but,  indeed, 
it  is  a  work  for  years.  The  reader  of  this  magazine  is  at  once 
invited  to  join  this  study  class,  procure  the  works  of  Marx,  and 
begin  with  the  next  issue  and  continue  through  the  years. 

That  this  important  work  should  be  carried  on  in  a  vigorous 
and  interesting  manner,  so  as  to  bring  to  the  reader  the  maximum 
of  profit,  the  readers  will  constitute  themselves  a  sort  of  study 
class  and  cooperate  with  one  another.  And  we  from  our  side  will 
endeavor  to  the  best  of  our  abilities  to  help  them  understand  this 
monumental  work  in  all  its  fulness,  difficulty  and  sublimity. 

In  addition  to  the  study  of  Marx's  "Capital,"  this  magazine 
will  also  open  a  department  for  the  study  of  other  Socialist 
classics  as  well  as  for  the  study  of  other  classics. 

Further,  this  magazine  shall  comment  on  Current  Events, 
review  books  of  importance,  and  shall  produce  original  work 
of  our  students  and  readers. 

To  those  who  wish  to  begin  their  study  of  Marx's  works 
now,  we  call  attention  to  the  book  quoted  in  the  debate :  "The 
Philosophy  of  Marx,"  by  Harry  Waton. 

We  invite  all  those  interested  in  our  work  to  write  us. 


MARX-ENGELS    INSTITUTE. 


12 


Seligman 


W  at  o  n 
Debate 


CLARE  SHERIDAN: 

My  Friends  : — It  is  my  privilege  to  introduce  to  you  Pro- 
fessor Seligman,  professor  of  political  science  and  economics 
of  Columbia  University,  and  Mr.  Harry  Waton  of  the  Marx- 
Engels  Institute,  both  of  them  well  known  to  you. 

It  seems  to  me  presumptuous  that  I,  a  foreigner,  should 
introduce  to  you  your  own  distinguished  shining  lights;  but 
I  was  asked  to  do  so,  and  being  a  woman,  my  vanity  was 
touched  and  I  fell  for  it.  But  it  seems  to  me  there  must  be 
millions  of  people  better  fitted  to  take  my  place. 

I  don't  know  why  this  honor  was  clone  to  me ;  it  cer- 
tainly wasn't  on  account  of  my  knowledge  of  economics.  I 
know  a  little  about  a  few  things,  but  I  know  nothing  of 
economics.  My  father,  Moreton  Frewen,  wrote  a  book  many 
years  ago  called  "The  Economic  Crisis,"  and  he  has  talked 
to  me  about  bi-metallism  ever  since  I  can  remember  and  to- 
day he  still  sends  me  pamphlets  on  the  Silver  Question.  He 
says,  if  the  world  had  done  as  he  recommended  it  would  be  a 
better  world  today. 

Well,  "the  economic  crisis"  of  which  he  wrote  seems  to 
me  still  in  the  ascendent.  I  am  glad  he  isn't  here  to  hear  me 
say  that  I  haven't  read  his  treatises  on  silver  to  find  out  what 
it  is  about !  Nor  have  I  read  Marx  because  a  Marxian  told 
me  if  I  did  I  wouldn't  understand  it.  So,  discouraged  at  the 
start,  I  didn't  begin. 

It  seems  to  me  that  the  only  reason  for  my  being  asked 
to  be  Chairman  of  this  historic  meeting  is  just  the  fact  that 
I  went  into  Russia  at  a  moment  when  Russia,  so  to  speak, 
was  not  open  to  the  public,  and  I  came  out  deeply  interested. 
Lots  of  other  people  did  that  too.  Some  were  more  impressed 
than  others.  But,  they  didn't  most  of  them,  start  from  a 
sheltered  conservative  nursery. 

My  reaction  to  Russia  was  on  the  whole  emotional  and 
artistic.  The  artist  in  me  (and  you  must  accept  me  as  such 
because  that's  all  that  I  am)  appreciated  the  artist  in  them. 

Before  I  go  any  further  I  just  want  to  take  you  into  my 
confidence.    I  can't  talk  unless  I  have  an  understanding  with 

15 


my  audience.  On  this  solemn  occasion  I  feel  as  though  I  was 
in  church  and  those  who  asked  me  to  be  Chairman  knew  quite 
well  my  ignorance  and  that  I  couldn't  possibly  say  anything 
serious  and  relevant  to  the  occasion,  so  on  their  own  heads 
be  it. 

They  also  told  me  that  I  have  got  to  speak  for  twenty  min- 
utes, but  owing  to  the  chaos  ensuing  from  the  daylight  saving 
time  change  which  began  today  I  think  that  I  may  cut  short  my 
speech.  I  feel  I  have  no  right  to  take  up  precious  time  which  is 
so  needed  for  the  contest,  but  it  seems  to  me  that  I  must  say 
something  vaguely  that  has  to  do  with  the  present  debate  and  of 
course  Russia  is  the  great  figure  looming  in  our  background. 

Incidentally,  this  is  the  very,  very  last  time  that  I  am  ever 
going  to  speak  in  public,  as  I  don't  like  it !  and  so,  I  am  going  to 
take  this  occasion  to  tell  you  why  I  was  impressed  by  Russia.  I 
will  say  it  quite  shortly  but  I  must  also  explain  what  led  to  that 
state  of  mind. 

I  spent  some  years  before  the  war  living  a  conventional  tra- 
ditional life  in  England  which  was  perfectly  unproductive  and 
perfectly  futile.  In  fact,  I  endured  unendurable  boredom. 
People  don't  attribute  enough  importance  to  boredom.  Boredom 
has  often  driven  people  to  drink,  to  suicide  and  also  to  extremes 
of  vice  and  even  to  murder.  Nobody  except  those  who  have  been 
through  it  know  the  anguish  of  boredom.  I  didn't  rebel  against 
it.  I  didn't  know  there  was  any  other  life  to  live.  I  thought 
everybody  was  bored  and  I  divided  them  into  two  kinds,  people 
who  like  me  were  conscious  of  their  boredom  and  others,  luckier 
ones,  who  were  not.  Then  came  the  War. 

People  were  no  longer  bored ;  they  were  heartbroken,  and  I 
assure  you  that  a  broken  heart  is  more  endurable  than  boredom. 
The  War  affected  a  great  many  people  very  much  as  the  Russian 
revolution  did.  It  forced  some  people  to  work  who  never  had 
worked  before  and  I  was  one  of  those.  The  War  taught  me  the 
healing  value  of  work.  Then  came  to  me  this  wonderful  oppor- 
tunity of  going  into  Russia.  And  such  was  the  frame  of  mind  in 
which  I  was  prepared  for  Russia. 

When  I  got  there  suddenly  I  was  conscious  of  the  great 
spirit  of  reconstruction.  The  Russia  that  I  saw  seemed  to  me 
like  a  gigantic  piece  of  sculpture ;  it  was  something  modern,  vital, 
strong,  being  hewn  as  it  were  out  of  a  mountain  of  rock. 

I  didn't  ask  if  it  was  practical ;  I  didn't  go  around  looking 

16 


for  small  faults  of  detail  and  I  didn't  try  to  criticize  the  technique. 
I  just  bowed  reverently  before  something  which  seemed  to  me  a 
gigantic  piece  of  modern  realism. 

Here  were  people,  cultured  people,  starving  people,  a 
crushed  and  weary  people  working  at  something  in  spite  of 
everything",  working  on  something  that  was  experimental, 
with  no  precedent  to  guide  them,  making  mistakes  and  never 
losing  courage,  scoffed  at  'by  those  who  stood  aloof  and  yet 
never  losing  belief. 

That  was  my  reaction  to  Russia.  It  is  something  that  can 
be  felt  rather  than  explained. 

Your  American  writer  who  is  dead,  Stephen  Crane,  wrote 
a  little  love  poem  and  in  three  lines  he  expressed  what  I  feel 
about  Russia.    He  said  : 

My  love  is  a  temple, 

And  in  that  temple  is  an  altar, 

And  on  that  altar  is  my  heart. 

And  I  think  that  represents  very  much  what  Russia  is  to  a 
a  great  many  people.  It  is  a  temple,  and  it  has  an  altar,  an 
altar  of  sacrifice,  on  which  those  who  love  her  lay  their  hearts. 
Russia  I  love  as  I  should  love  somebody  who  had  brought 
everything  worth  while  into  my  life. 

Forgive  me  for  intruding  love  into  this  economic  debate. 
Love  has  no  place  here  and  I  have  no  right  to  go  on  taking 
precious  time  from  the  contest.  I  have  no  part  in  this.  I  am 
only  a  perfectly  good  bridge  between  two  opposing  factions, 
but  I  am  content  to  be  a  bridge.  What  we  want  are  more 
bridges.  Bridges  between  nation  and  nation  and  between 
class  and  class,  and  between  extreme  thought  and  extremest 
thought. 

Every  time  we  get  together  and  discuss  this  thing 
amicably,  there  is  another  bridge  'built.  When  Kings  and 
Bolshevists  lunch  together  another  bridge  is  built.  This 
doesn't  mean  that  the  King  is  moved  nor  that  the  Bolshevik  is 
convinced,  but  it  does  mean  that  there  is  a  greater  chance  of 
peace  and  more  understanding. 

This  afternoon  the  Professor  is  not  going  to  convince  Mr. 
Waton,  and  Mr.  Waton  is  not  going  to  move  the  Professor, 
but  I  dare  say  there  are  many  among  you  here,  like  me,  who 

17 


are  ready  to  be  convinced,  and  so,  go  to  it.  Fight  it  out  and  hit 
hard,  but  as  sportsmen  who  want  to  win  a  game,  hit  without 
bitterness.       Good  luck  to  both  of  you.     (Applause.) 

Prof.  Seligman  is  going  to  fight  for  fifty  minutes;  Mr. 
Waton  will  then  fight  for  fifty  minutes.  Then  they  will  return 
to  it,  the  Professor  for  twenty  minutes  and  Mr.  Waton  for 
twenty-five  minutes.  I  hope  they  will  keep  within  the  scheduled 
time.  The  Professor  will  have  the  great  good  luck  of  having 
the  last  word.     He  will  speak  for  the  last  ten  minutes. 

Professor  Seligman  will  now  have  fifty  minutes  for  the 
affirmative. 


18 


PROFESSOR  SELIGMAN:  (Applause.) 

Madam  Chairman,  Ladies  and  Gentlemen  : — 

I  have  been  urged  to  begin  with  a  fight.  But  I  shall  do  my 
best  to  enter  as  a  gentle  and  sucking  dove  trying  to  put  you  in  a 
good  humor,  if  I  can,  and  in  a  mood  to  appreciate  some  of  the 
ideas  which  appear  to  me  to  be  important.  The  fight,  if  the  fight 
comes,  will  show  itself  a  little  later. 

Now,  the  situation  is  a  little  embarrassing  for  both  of  us, 
because  the  topic  of  the  debate  reads,  as  you  know :  Resolved  that 
the  failure  of  Socialism  in  Russia,  as  evinced  by  the  partial  return 
to  capitalism,  discloses  the  fallacies  of  the  Marxian  theory.  You 
see,  there  are  three  points  in  that  statement. 

The  first  is,  Socialism  has  failed.  That  is  taken  for  granted, 
although  it  may  not  appeal  to  the  other  side.  But  it  will  perhaps 
have  to  be  explained  in  a  few  words.   How  has  Socialism  failed? 

In  the  second  place,  the  statement  goes  on  to  say,"a.y  evinced 
by  the  partial  return  to  capitalism."  What,  exactly,  does  that 
partial  return  mean?   How  partial  is  it?   How  complete  is  it? 

And  finally  the  last  point,  that  it  shows  the  fallacies  of  the 
Marxian  theory.  Here  again  we  must  ask,  what  is  the  Marxian 
theory,  and  what  are  the  fallacies  if  there  be  fallacies? 

So  you  see,  Ladies  and  Gentlemen,  there  are  three  points 
which  it  is  incumbent  on  me  to  explain  at  the  very  beginning. 

Now,  before  proceeding  to  that  explanation  I  want  to  say  a 
word  about  my  appreciation,  and  that  of  every  scholar,  not  only 
of  the  good  work,  the  admirable  work  that  has  been  done  along 
some  lines  by  that  mighty  thinker,  Karl  Marx,  but  also  about  my 
appreciation  of  the  efforts  of  those  whole-souled,  devoted  pro- 
tagonists of  the  new  order  in  Russia,  who,  however  we  may  crit- 
icise them  here  or  there  for  what  they  have  done  or  left  undone, 
have  nevertheless  succeeded  in  accomplishing  some  very  remark- 
able results,  even  if  not  in  the  economic  sphere. 

I  take  all  of  that  for  granted,  however,  because  I  assume 
that  the  large  majority  of  my  audience  today  is  composed  of 
those  who  know  and  appreciate  full  well  most  of  what  has  been 
achieved.  Therefore,  I  go  on  at  once  to  the  first  point  in  my 
exposition. 

19 


What  has  been  the  failure  of  Socialism  in  Europe,  in  Russia? 
Now,  of  course,  you  can't  explain  what  the  failure  has  been  unless 
you  understand  what  it  is  that  they  have  attempted  to  accomplish 
and  then  in  what  respects  they  have  failed  to  achieve  it. 

As  I  look  upon  it,  there  are  five  points  in  the  program  of 
Marx  accepted  by  the  present  leaders  of  Russia  which  picture,  as 
it  were,  the  ideal  to  be  achieved.  What  are  those  five  points  which 
have  been  attempted? 

The  first  is  what  you  might  call  the  complete  socialization  of 
all  economic  effort,  of  all  production  and  of  all  consumption. 
Marx,  as  we  know,  looked  forward  to  the  time  when  the  revolu- 
tion having  once  been  accomplished,  there  would  be  a  complete 
socialization,  first — I  don't  mean  first  in  time — but  first  in  order, 
of  agriculture,  then  of  industry,  and  then  of  commerce  and  trade. 
That  means  that  all  the  private  machinery  of  production,  land, 
implements  of  agriculture,  stock  in  trade,  factories,  machines  and 
the  whole  complicated  organism  of  commerce  and  trade  should 
be  taken  out  of  the  hands  of  individuals  who  utilize  it  for  private 
profit  and  put  into  the  hands  of  the  group,  whether  small  groups 
working  in  harmony  with  each  other,  or  ultimately  the  large 
group,  the  State,  the  whole  national  organization. 

That  was  the  first  idea,  socialization,  disappearance  of  private 
property  in  all  the  means  of  production,  and  a  method  of  distri- 
bution of  wealth  which  would  be  maintained  and  developed  by 
this  communal  social  spirit. 

The  second  point  is  a  corollary  of  the  first ;  that  all  private 
trade  should  disappear,  that  with  the  victory  of  the  proletariat 
or  the  real  working  class,  the  bourgeoisie  in  the  sense  of  the 
smaller  property  owners  and  of  the  larger  capitalists,  would  go, 
and  with  the  disappearance  of  trade,  of  commerce,  of  private 
commerce  and  of  the  bourgeoisie  speculation  would  of  course 
also  disappear. 

The  third  point,  naturally,  would  follow,  that  as  a  conse- 
quence of  these  two  phenomena  money  would  no  longer  be 
needed,  because  since  there  would  be  no  more  private  production 
and  no  more  private  products,  there  would  not  be  any  sale  of  pri- 
vate products.  There  would  not  be  anyone  who  could  buy  those 
things,  because  there  would  only  be  the  social  group  as  a  possible 
purchaser,  and  the  social  group  would  not  purchase  anything  but 
would  simply  produce  everything  that  was  to  be  produced  and  dis- 
tribute it  without  the  intermediary  of  bargain  and  sale. 

20 


Money,  therefore,  would  no  longer  act  as  a  standard  of 
value;  money  would  no  longer  be  needed  and  we  should  come  to 
what  is  conceived  to  be  a  far  higher  and  better  form  of  transfer 
of  labor  products. 

The  fourth  point  would  be  a  consequence  of  the  preceding, 
namely  that  labor  now  being  under  this  aegis  of  national  produc- 
tion, the  whole  community  now  being  composed  of  laborers, 
everyone  working,  there  being  no  non-worker,  no  faineant,  no 
idle  recipient  of  interest  or  rent,  everyone  would  work  equally 
and  every  one  would  be  paid  equally.  That  is  to  say,  every  one 
would  have  an  equal  share  in  production,  and  an  equal  share  in 
the  enjoyment  or  the  emoluments  of  production.  With  this 
equality  which  is  one  of  the  fundamental  tenets  of  the  Marxian 
theory  there  would  also  go  liberty,  because  when  all  these 
shackles  will  have  been  stricken  off  the  productive  forces  of 
humanity,  we  shall  have  complete  equality  and  complete  liberty. 

The  final  conclusion,  the  fifth  point,  is  that  as  a  result  of  all 
these  preceding  forces,  there  would  be  a  great  increase  of  wealth, 
a  great  increase  of  production,  and  universal  prosperity.  This  is 
clearly  brought  out  by  Marx  and  also  by  Lenin.  At  all  events, 
if  not  a  very  great  increase,  at  least  a  maintenance  of  the  present 
production  and  a  far  more  equal  and  ideal  distribution.  That 
means  happiness,  that  means  the  reconstructed  order  of  the  fu- 
ture. That  is  the  program  of  Marx,  and  the  program  of  Lenin 
as  contained  in  his  book  that  was  published  just  before  the 
revolution. 

Now,  then,  coming  to  the  second  problem,  what  is  the  result? 
What  were  the  difficulties  that  were  encountered  by  the  statesmen 
in  working  out  this  great  theory? 

In  the  first  place,  as  regards  socialization,  let  us  discuss  the 
socialization  of  land.  In  1918  Lenin  started  out  with  the  decree 
which  constituted  the  Soviet  estates,  where  the  old  estates  of  the 
large  land-owners  were  taken  over  and  were  to  be  worked  on 
co-operative  lines  under  the  order  of  the  Soviet  Commissars.  In 
addition  to  these  Soviet  estates  or  examples  of  direct  central  so- 
cialization all  the  rest  of  private  property  in  land  was  to  be 
socialized  and  production  was  to  be  carried  on  in  common  by  the 
local  group. 

Almost  from  the  very  beginning,  however,  reluctance  was  ob- 
served on  the  part  of  the  peasants  to  conform  to  this  plan.  Al- 
though the  Soviet  leaders  attempted  to  bring  about  the  so-called 

21 


"War  of  Classes"  on  the  land  by  introducing  among  the  small 
and  middle  peasants,  the  so-called  proletarian  peasants,  the  only 
result  was  to  intensify  the  idea  on  the  part  of  the  great  mass  of 
the  peasants — eighty-five  or  ninety  per  cent  of  the  population  of 
Russia — that  the  revolution  meant  to  them  not  any  socialization 
of  land,  but  the  getting  for  each  peasant  a  little  more  land  than 
he  had  before  and  getting  it  in  a  much  clearer  and  definite  way 
than  he  had  before. 

The  whole  attempt  at  socialization  of  the  land  broke  down  as 
had,  indeed,  already  been  warned  by  some  of  the  Socialistic 
writers  like  David,  ten  or  fifteen  years  ago.  So  that  before  long 
the  government  was  compelled  to  adopt  an  entirely  different  plan. 

They  now  recognized  this  invincible  obstinacy  on  the  part  of 
the  peasants.  They  saw  that  there  was  growing  up  on  these  con- 
fiscated estates  a  differentiation  between  the  peasants,  and  the 
development  of  the  large  peasant,  the  able  man  who  was  getting 
more  land  gradually.  The  Government  now,  in  1919,  said  to  the 
peasants,  you  may  keep  your  private  property  but  you  will  have 
to  fit  into  our  general  social  scheme.  Therefore,  you  will  be 
allowed  to  retain  only  as  much  as  you  need  to  support  yourself 
and  your  family,  and  all  the  rest  of  your  produce  you  will  have 
to  give  up  to  us. 

That  was  the  program  of  confiscation  of  the  surplus  produce, 
the  Government  still  maintaining  the  idea  that  the  produce  of  the 
land  belonged  to  the  whole  community. 

What  was  the  result  of  this  second  program?  The  natural 
result  was  that  the  peasant  refused  to  work  as  long  as  he  knew 
that  he  had  to  give  up  all  of  his  surplus.  Therefore,  he  produced 
only  enough  to  support  himself  and  not  enough  to  go  to  the  towns 
to  support  the  population  there.  This  led  finally  to  such  an  im- 
mense decrease  of  output  that  in  1921,  when  starvation  stared 
them  in  the  face,  the  whole  policy  was  again  changed.  As  we 
shall  see  in  a  moment,  this  idea  of  making  the  peasant  a  part  of 
the  huge  state-wide  enterprise  was  completely  abandoned,  and 
with  this  the  socialization  of  the  land  disappeared.  Of  the  present 
situation  I  shall  speak  in  a  few  minutes. 

The  breakdown  of  Socialism  in  the  land  was  followed  by  a 
similar  breakdown  in  industry.  At  first  the  theory,  as  I  have  said, 
that  the  workmen  should  take  over  the  factories  and  that  all 
should  work  and  be  paid  equally ;  there  was,  however,  such  an 
immediate  falling-off  in  output  and  such  an  alarming  increase  of 

22 


expense  that  it  took  only  a  few  months  before  the  first  theory,    I 
that  of   equality  of  pay,  was  abandoned.     In   1918  there  were 
introduced  one  by  one  all  the  characteristics  of  our  capitalistic 
regime  of  remuneration  of  labor,  inequality  of  pay,  bonuses,  re-  l 
numeration  for  overwork,  penalties  for  non-work,  and  the  like. 

But  that  didn't  help  much.  When  the  workmen  took  over 
the  industries  the  managers  all  left,,  and  the  workmen,  without 
any  control,  soldiered  on  their  jobs,  that  is,  instead  of  working, 
they  loafed  accordingly.  Within  a  short  time  Trotzky,  as  you  I 
remember,  issued  his  famous  order :  "No  more  equality,  no  more 
liberty;  we  shall  now  militarize  all  the  workingmen."  Every 
person  was  now  compelled  to  work,  either  as  a  member  of  the  Red 
Army  or  in  the  industrial  army,  of  course  with  this  militarization 
of  labor  the  old  ideas  of  liberty  and  equality  completely  dis- 
appeared. 

It  is  true  that  a  beautiful  labor  code  was  drawn  up  with  the 
most  magnificent  and  generous  provisions,  but  one  by  one  they 
were  neglected  as  they  had  to  be  neglected  in  order  to  keep  up 
even  a  pitiful  proportion  of  the  output. 

I  shan't  trouble  you  with  the  figures,  but  in  the  main  it  may 
be  said  that  in  every  industry,  month  by  month,  the  expense  in- 
creased so  prodigiously  and  the  output  diminished  so  greatly 
that  by  1920  there  was  only  about  four  to  ten  per  cent,  and  in 
some  cases  very  much  less  than  that,  not  more  than  one  per  cent 
of  what  it  was  before  the  revolution.  What  that  means  can  well 
be  imagined. 

The  militarization  of  labor,  therefore,  didn't  do  much  good 
in  the  way  of  increasing  the  output.  As  the  workmen  now  no 
longer  were  able  even  to  get  enough  to  keep  them  alive,  all  the 
usual  concomitants  of  disorganization  appeared,  slackness  of 
work,  malingering,  corruption  in  every  form,  even  theft  of  every 
possible  material,  until  finally  the  debacle  became  apparent.  As 
all  the  old  managers  had  been  killed  off  or  sent  off,  or  gone  off, 
there  now  ensued  a  veritable  crisis,  resulting  finally  in  starvation 
with  a  general  collapse  of  all  industry. 

That  was  the  actual  result  of  the  effort  at  socialization  of 
industry.  The  further  consequences  of  course  were  to  be  ex- 
pected. We  come  thus,  in  the  second  place,  to  the  projected  dis- 
appearance of  the  trader  and  the  speculator. 

Of  course,  under  these  conditions  mentioned  above,  trade 
returned  and  speculation  returned  and  the  bourgeoisie  returned. 

23 


But  it  was  now  clandestine  and  secret  trade.  It  was  the  secret 
trader  from  whom  you  could  buy  what  you  wanted.  And  we 
soon  witnessed  all  the  excesses  of  secret  speculation  which  were 
not  restrained.  Of  the  bourgeoisie  I  don't  speak  much  save  to 
mention  the  Sov-Bur,  the  new  bourgeoisie  of  the  Soviet  bu- 
reaucracy. They  are  the  ones  who  have  had  the  inside  track. 
They  alone  were  able  not  only  to  support  themselves,  but  to  make 
money  and  become  rich.  The  Sov-Bur  is  today  the  great  phenom- 
enon in  Russia,  as  is  the  ordinary  bourgeois  in  France,  Italy  and 
in  this  country.  Read  in  Mr.  Harrison's  book  of  the  champagne 
suppers  at  the  homes  of  the  Sov-Bur. 

Thirdly,  money  instead  of  becoming  less  important,  is  be- 
coming more  important.  At  first  with  the  idea  that  money  was 
to  be  of  no  value,  the  government  printed  more  and  more  bills. 
On  the  first  of  last  month  there  was  in  existence  in  Russia 
eighteen  trillions  of  paper  rubles. 

We  got  accustomed  during  the  war  to  speak  of  millions  and 
even  of  billions,  but  it  remained  for  Russia  to  bring  to  us  the 
conception  of  a  trillion,  a  million  million,  and  I  think  it  was  on 
the  first  of  February  that  a  gold  ruble  was  worth  260,000  paper 
rubles.  Of  course  you  can  tell  exactly  just  how  much  paper  a 
good  housewife  would  have  to  carry  with  her  in  order  to  buy  her 
eggs,  jams  and  the  other  goods  which  she  could  always  get  in  a 
certain  way  at  those  clandestine  speculative  shops.  In  fact  the 
paper  money  industry  in  Russia  is  the  only  industry  which  has 
been  prosperous.  The  workmen  in  the  State  printing  offices  zvork 
in  two  shifts,  twelve  hours  each;  it  is  the  only  industry  which  has 
really  accomplished  anything.  That  is  the  result  of  the  money 
situation. 

We  come,  fourthly,  to  liberty  and  equality.  The  equality  of 
the  workman  can  best  be  gauged  by  remembering  the  details  of 
the  report  of  the  Italian  Socialist  Commission,  which,  on  return- 
ing from  Russia  after  examining  the  situation  in  1920,  said  : 
"Yes,  the  only  equality  that  had  been  attained  is  the  equality  of 
universal  misery."    That's  the  equality  for  the  workingman. 

As  regards  liberty,  I  need  not  point  out  the  very  travesty 
of  liberty  consequent  upon  this  militarization  of  labor.  You  had 
about  as  much  liberty  in  industry  as  you  have  in  the  Army.  Labor 
became  more  and  more  wretched  as  time  went  on.  I  could  read 
you  many  documents  if  there  were  time.  Not  alone  did  the  day's 
labor  become  nine  hours,  but  ten,  twelve,  fourteen  and  sixteen 
hours  a  day. 


Not  only  do  we  see  child  labor  again,  but  woman  labor  again, 
one  by  one  we  find  pretty  much  all  the  old  abuses  which  were 
found  in  the  former  system,  all  coming  again  inevitably  to  the 
fore. 

And,  finally,  what  about  the  reduction  of  output?  Reduction 
of  output  was  such  that  on  the  land  even  two  or  three  years  ago 
careful  statisticians  even  in  Soviet  Russia  warned  of  an  impend- 
ing famine.  They  pointed  out  that  the  least  little  trouble  of  a 
climatic  kind  would  bring  about  a  catastrophe  such  as  had  never 
been  known  before  outside  of  China  in  civilized  society.  Their 
predictions  were  verified  and  the  result  is  that  you  now  have  got- 
ten back  to  the  conditions  of  mediaeval  economic  life. 

The  population  of  Russia  which  had  been  above  one  hun- 
dred and  eighty  millions  was  reduced  to  one  hundred  and  thirty 
millions.  The  population  of  the  cities  has  been  going  down  by 
leaps  and  bounds,  forty-four  per  cent  in  Moscow  and  more  in 
some  others.  Russia  is  gradually  getting  away  from  a  condition 
of  modern  civilized  society,  and  reverting  back  to  the  misery 
and  the  barbarism  of  mediaeval  civilization. 

Don't  say  that  this  is  a  result  of  fighting  during  the  two  or 
three  years.  Don't  say  that  it  is  the  result  of  the  blockade  or  of 
the  famine.  I  have  statistics  galore  which  I  could  read  to  you  to 
prove  that,  notwithstanding  all  of  the  changes  that  have  been 
made,  the  diminution  of  production  in  both  agriculture  and  in- 
dustry is  going  on  at  the  same  rate  since  there  has  been  peace, 
since  there  was  an  opening  of  trade  with  Latvia  and  other  coun- 
tries, since  all  the  war  and  all  the  war  efforts  have  ceased.  No, 
the  real  trouble  has  been  the  disorganization  of  the  conditions  of 
production  and  consumption  that  I  have  pointed  out. 

Now  then,  finally,  what  was  the  result  ?  The  result  was  real- 
ized by  all  the  Soviet  leaders  themselves,  that  the  old  game  was 
up,  and  that  the  endeavor  to  rely  on  socialism  or  communism  in 
peace  time  was  hopeless.  What  the  country  now  needed  was  cap- 
italism, not  socialism.  Thus  beginning  eight  months  ago,  one  after 
another,  each  element  in  the  whole  situation  has  been  reversed. 

Now  what  has  been  done?  First  on  the  land,  private  property 
has  been  in  effect  completely  re-established.  The  peasants  are  al- 
lowed to  produce  as  they  like  and  to  sell  of  their  produce  to  whom- 
ever they  like,  and  are  required  only  to  pay  just  as  we  do  in  this 
country,  a  tax  to  the  state.  There  is  now  no  difference  between 
Russia  and  the  United  States  so  far  as  ninety  per  cent,  of  the 

25 


people   is  concerned.     Profits,   private   profits,   private    sale   and 
private  property  have  been  re-established  on  the  land. 

In  industry,  what  has  been  done?  First,  the  effort  to  get 
foreign  concessions ;  giving  the  foreign  concessionaires  all  the 
powers  of  unitary  management  over  the  whole  enterprise.  Labor 
has  no  more  power  at  all  Trotzky  himself  has  recently  written 
a  book  to  show  how  important  it  is  to  have  what  he  calls  unitary 
management  now.  Labor  in  Russia  has  now  less  voice  in  the 
business  than  in  many  an  American  enterprise.  The  government 
says  to  the  coming  concessionaires:  get  as  much  money  as  you 
can,  and  make  as  high  profits  as  you  can,  and  it  says  this  not  only 
to  the  foreigner,  but  aiso  within  the  country.  First  to  the  small 
bourgeois  it  says :  introduce  competition,  increase  output,  make 
as  much  money  as  you  can,  and  finally  large  industry  also.  So 
far  as  large  industry  is  still  in  the  hands  of  the  State,  the  State 
is  to  follow  the  plan  of  purchase  and  sale  just  as  the  private 
individual.  But  it  also  says  to  the  able  engineers  and  managers: 
come  and  take  these  large  industries  and  develop  them.  You  saw 
in  the  papers  this  morning,  that  under  the  new  plan  proposed 
to  the  foreign  countries,  the  new  managers  are  to  get  all  their 
property  or  enterprises  on  long  leases  for  99  or  999  years,  just 
as  some  of  our  railroads  got  control  of  their  former  competitors 
by  leasing  them.  There  is  no  difference  between  the  economic 
aspect  of  a  long  lease  or  private  ownership.  The  land  of  Eng- 
land today  still  all  belongs  in  theory  to  the  king. 

So  that  you  have,  one  by  one,  every  phase  of  private  property 
being  brought  back.  So  in  the  same  way  with  the  cooperatives 
which  were  all  done  away  with.  Now  an  effort  is  being  made  in 
the  case  of  the  credit  cooperatives  and  of  the  production  co- 
operatives to  bring  them  back.  So  the  trade  unions  are  being  re- 
constituted in  order  to  be  able  to  fight  the  employers. 

Thirdly  the  old  idea  that  money  is  to  be  done  away  with  has 
gone  by  the  boards,  like  all  other  ideas,  money  is  now  accepted  as 
such  an  invaluable  measure  of  value  that  the  Russian  economists 
of  the  Soviet  group  are  now  devising  ways  and  means  of  es- 
tablishing the  standard  of  value.  But  with  the  trillions  outstand- 
ing that  is  an  almost  impossible  task.  Finally  we  have  now  not 
only  private  property  in  land,  not  only  private  property  or  what 
amounts  to  it  in  industry,  we  also  have  private  property  and 
private  profits  in  capital  and  trade.  We  have  the  big  state  bank 
which  now  pays  interest  and  which  contracts  loans.    We  have  a 

26 


Chamber  of  Commerce  constituted  of  people  who  do  usually  what 
they  like.    We  have  trade  carried  on  by  individuals  and  groups. 

By  all  these  means  it  is  hoped  that  every  man  in  Russia,  and 
out  of  Russia,  will  be  induced  to  increase  the  output  by  working 
for  himself.  The  government  says :  it  is  wise  for  capitalism  to  be 
re-introduced.  Then  we  shall  learn  from  the  capitalists  how  to 
conduct  ourselves,  and  then  the  time  will  come  when  we  shall  be 
able  to  re-introduce  Socialism,  Communism  and  Socialization. 
What  a  pitiful,  what  a  childish  idea, — The  idea  that  by  strengthen- 
ing Capitalism  you  will  create  socialists  out  of  capitalists! 

Ladies  and  Gentlemen,  that  is  the  record  of  what  had  been 
accomplished.  In  other  words,  one  by  one  every  one  of  the  ideas 
of  Marx  as  worked  out  first  by  Lenin  and  then  by  Trotzky, 
every  one  of  them  in  turn  has  disappeared.  The  original  com- 
munism gave  way  to  state  socialism,  state  socialism  gave  way 
to  a  modified  or  militarized  private  property,  militarized  private 
property  has  finally  given  way  to  frank  capitalism,  with  rent  and 
interest,  with  money  and  profits,  with  trade  and  speculation. 

In  one  .way  or  other  we  have,  to  all  intents  and  purposes, 
except  in  name,  all  the  worst  features  of  modern  capitalism  and 
none  of  the  real  saving  forces  which  are  beginning  to  operate 
in  some  other  countries  that  have  capitalism. 

Now,  then,  I  have  shown  to  you  the  breakdown,  I  could  give 
you  by  the  hour  if  I  had  time,  quotations  from  Lenin's  speeches 
and  all  modern  writers.  The  refrain  everywhere  is:  We  have 
failed,  we  must  make  a  retreat.  But,  Lenin  says,  one  defeated 
man  is  worth  two  undefeated  men.  Therefore,  let  us  make  an- 
other retreat. 

Then  the  question  is,  how  many  defeats  will  he  still  have  to 
undergo  before  he  gets  a  success? 

We  come,  then,  in  closing  to  the  last  problem.  What  are  the 
theories  of  Marx  which  have  led  to  this  situation?  They  are,  in 
short,  as  follows : 

First,  there  is  the  Marxian  theory  of  economic  or  materialistic 
interpretation  of  history;  that  you  must  interpret  all  history  in 
terms  of  economic  facts.  I  haven't  much  to  say  against  that.  I 
have  written  a  book  on  that  subject  myself,  and  in  a  certain  sense 
there  is  a  great  deal  of  truth  in  the  statement  that  economic  facts 
do  largely  mold  the  framework  of  the  society  within  which  strife 
is  developed.  It  is,  however,  in  the  first  place  exaggerated  to 
think  that  it  is  only  economic  causes  that  influence  the  world. 

27 


Take  the  last  war.  Economic  forces  no  doubt  had  something 
to  do  with  it.  But  we  know  how  large  a  role  nationalist,  religious 
and  purely  political  forces  have  played.  See  what  is  going  on  in 
Ireland  today  and  elsewhere. 

It  is  unnecessary  to  point  out  that  there  are  a  great  many 
other  forces  in  addition  to  the  economic  forces  that  explain  human 
actions. 

But  apart  from  that,  the  real  weakness  of  the  Marxian  theory 
is  the  peculiar  version.  I  object  not  so  much  to  economic  inter- 
pretation as  to  his  particular  brand  of  interpretation.  The  Marx- 
ian version  in  my  opinion  is  a  fallacy.    Why  so? 

First,  the  Marxian  theory  of  value,  of  profits,  and  of  the 
whole  substratum  of  modern  economic  life,  Marx  took  this  from 
Ricardo.  One  was  the  founder  of  individualism,  the  other  the 
founder  of  Socialism.  One  a  Spanish  Jew  and  one  a  German 
Jew ;  two  of  the  keenest  intellects  we  have  ever  had. 

Without  going  into  the  refinements  of  economic  theory,  for 
which  this  is  not  the  place,  I  want  to  point  out  that  the  surplus 
value  theory  of  profits,  the  theory  that  profits  come  simply 
through  taking  away  from  the  laborer  the  surplus  of  the  value 
that  is  created  by  him,  a  theory  that  was  first  formulated  many 
years  before  Marx  in  England,  that  whole  theory  is  patently 
fallacious,  as  anyone  can  see  from  looking  at  the  facts  today. 

Take  Mr.  Ford,  with  whose  philosophic  opinions  I  don't 
always  agree.  Would  we  say  that  his  wealth  has  been  due  to  the 
surplus  value  of  the  work  created  by  his  workmen?  Take  McCor- 
mick  of  the  McCormick  Reaper,  or  Westinghouse  of  the  Westing- 
house  Air  Brake.  Take  any  of  those  men  whose  inventions, 
whose  brains  have  redounded  to  the  wealth  of  the  community 
because  they  have  decreased  cost.  Would  you  say  that  all  their 
profits  are  due  to  filching  from  labor?  What  would  the  labor  have 
amounted  to  without. him? 

/  don't  deny  there  are  many  profits  today  which  arc  unholy. 
I  don't  deny  there  arc  illegitimate  speculative  profits,  that  there 
are  fraudulent  commercial  profits,  that  there  is  a  maltreatment 
of  labor  and  all  that.  What  I  do  mean  to  say  is  that  the  funda- 
mental theory  of  Marx  is  a  fallacy.  The  modern  theory  of  profits 
is  that  profits  in  the  long  run  are  a  reward  for  service  and  that 
the  man  who  invests  capital,  who  applies  the  brains  and  who  re- 
duces costs,  like  Ford,  or  McCormick,  or  Westinghouse,  while 

28 


he  perhaps  makes  inordinate  profits  for  himself,  yet  in  the  main 
gives  more  to  the  community  than  he  gets  from  it. 

The  next  theory  of  Marx  was  the  pauperization  of  the  work- 
ingman,  the  theory  that  as  society  develops  and  capitalism  grows, 
the  workman  will  be  pushed  into  a  worse  and  worse  position,  till 
finally  he  will  be  ready  for  revolution  because  he  can't  make 
body  and  soul  meet. 

When  Marx  was  making  studies  for  his  book  in  the  30's  and 
40's,  when  he  was  formulating  his  ideas,  it  looked  very  much 
that  way,  in  the  beginning  of  the  factory  system  in  England.  But 
we  know  now  that  the  facts  have  gone  the  other  way.  We  know 
that  there  has  been  not  alone  an  absolute  increase  of  wages  in  all 
countries  like  England,  the  United  States  or  Germany,  but  also 
a  relative  increase  in  wages. 

We  know  there  is  less  revolutionary  spirit  in  England  to- 
day than  in  the  eighteenth  century,  and  that  on  the  whole,  things 
are  not  getting  worse,  but  are  getting  better.  Of  this  I  can  simply 
state  approximately,  I  have  not  time  to  give  facts  and  figures. 
I  can  state  only  what  is  the  accepted  verdict  of  sound  and  impar- 
tial thinkers  today  even  among  the  Socialists. 

Take  Bernstein,  take  the  revisionists,  take  Tugan 
Bogdanovsky.  They  all  agree  that  that  statement  of  Marx 
and  that  theory  must  be  abandoned. 

Then  we  come  to  the  next  great  theory  of  Marx,  the  theory 
that  capitalism  carries  within  itself  its  own  death  knell  because 
we  have  these  commercial  riots,  each  one  becoming  more  and 
more  intense  until  finally  there  will  be  a  a  collapse.  This  theory 
of  the  cataclysm  of  society  rests  upon  the  theory  of  the  concen- 
tration of  industry;  the  theory,  namely,  that  as  capitalism  goes  on, 
capital  will  be  centralized  and  concentrated  more  and  more  in  a 
few  hands.  That  looked  very  plausible  when  Marx  wrote.  But 
Marx  reckoned  without  his  hosts. 

It  is  true  that  we  have  a  growing  integration  of  industry 
as  exemplified  in  the  United  States  Steel  and  all  the  other  Trusts. 
But  Marx  did  not  foresee  that  instead  of  capitalists  becoming 
fewer  and  fewer,  through  the  modern  corporation  which  dev- 
eloped only  since  1850,  through  the  operation  of  corporate  in- 
vestment in  capital,  capital  is  being  disseminated  instead  of 
concentrated  and  that  there  are  continuously  more  and  more 
competitors  springing  up  instead  of  less. 

29 


Only  the  other  day  the  head  of  the  Standard  Oil  Trust  in 
Indiana  told  me  there  are  more  competitors  in  oil  today  than 
there  were  twenty  or  thirty  years  ago. 

Marx's  thought  has  turned  out  not  to  be  a  fact. 

So  also  with  his  theory  of  the  cataclysm  of  society.  Marx 
wrote,  and  it  is  perfectly  explicable  that  he  should  write,  in 
view  of  the  crisis  of  1818,  1835  and  1857  each  of  which  was 
worse  than  its  predecessor.  It  looked  as  if  what  he  said  would 
be  true  and  that  things  would  get  worse  and  worse. 

But  the  crisis  of  73  wasn't  much  worse  than  that  of  '57. 
The  crisis  of  '84  was  less  than  that  of  '73  and  the  crisis  of  1907 
was  still  less  intense  in  this  country  and  really  didn't  amount  to 
much  abroad,  and  finally  at  the  present  time  the  present  de- 
pression with  all  the  troubles  of  the  war,  with  the  present  un- 
employment situation,  doesn't  begin  to  compare  in  gravity  with 
what  it  was  in  the  90's  or  the  70's. 

What  Marx  did  not  foresee  is  that  there  are  certain  forces 
which  go  far  to  explain  why  crises  under  the  modern  organiza- 
tion of  capitalist  society  are  becoming  less  and  less  severe  in- 
stead of  more  and  more  severe.  You  will  never  get  a  cataclysm 
that  way. 

Moreover  the  fallacy  of  the  theory  is  in  Russia  itself. 

According  to  the  Marxian  theory  where  ought  the  revolu- 
tion to  break  out?  The  revolution  ought  to  break  out  in  the 
country  where  there  is  the  most  developed  and  extreme  form  of 
private  capitalism  as  in  England,  United  States  and  Germany. 
Yet  in  all  of  those  countries  there  has  been  no  revolution  and 
there  is  less  revolutionary  spirit  today  than  ten  years  ago,  or 
fifty  years  ago,  and  nothing  comparable  to  what  it  was  in  Eng- 
land a  hundred  years  ago. 

Where  has  it  broken  out?  In  Russia  where  there  was  no 
capitalism,  instead  of  in  the  country  where  there  was  the  most 
capitalism.  As  a  result  of  this  failure  of  the  theorv,  and  of  the 
failure  of  the  revolution  to  spread  to  others  and  more  capital- 
istic countries.  Lenin  and  Trotzky  now  say  that  we  must  develop 
a  capitalism — state  controlled,  indeed,  but  still  a  private  capital- 
ism in  Russia.  The  Soviet  leaders  are  today  preaching  on  every 
platform  throughout  Russia,  arguments  and  doctrines  for  which 
men  were  sent  to  the  executioner  or  the  firing  squad  only  a  few 
years  ago. 

30 


The  very  arguments  that  were  used  by  the  Mensheviks  and 
the  others  are  being  used  by  the  Bolshevists  today.  Yes,  indeed, 
we  were  wrong. 

I  still  have  five  minutes  left  so  that  I  can  not  explain  the 
last  point,  namely,  the  fallacy  underlying  Marx's  theory  of  the 
war  of  classes  and  how  that  has  been  disproved  by  recent  events 
in  Russia.  Marx  with  all  his  ability  made  an  inadequate  analysis 
of  movements  as  they  were  going  on  at  that  time.  He  reminds 
me  for  all  the  world  of  Henry  George,  another  great  thinker, 
another  man  who  has  done  much  for  the  world  today. 

Henry  George  worked  up  his  theory  of  the  Single  Tax  be- 
cause he  lived  in  California  at  a  time  when  everything  seemed 
to  point  to  the  aggregation  of  land  in  a  few  large  hands — the 
bonanza  farms.  The  Single  Tax  movement  has  disappeared  today 
everywhere  as  anything  to  count  with  because  we  know  that 
things  have  gone  just  in  the  opposite  direction.  We  know  now 
that  our  farms  are  getting  to  be  less  in  size,  smaller  than  they 
were,  and  that  tenancy  is  not  increasing  in  the  sense  it  was  pre- 
dicted by  George  and  the  others. 

So  in  the  same  way  Karl  Marx  lived  in  the  infancy  of  the 
capitalist  system.     Things  were  going  badly  in  England  at  the   J 
time  and  he  formulated  a  theory  which  seemed  to  be  true  in  all 
those  countries  where  capitalism  was  first  introduced.    But  like 
George  he  failed  to  foresee  the  future. 

Now,  then,  ladies  and  gentlemen,  my  respected  antagonist 
must  show  these  things  in  order  to  convince  me  and  to  win  the 
debate.  He  has  got  to  show  first  that  the  debacle  and  the  col- 
lapse of  production  has  been  due  not  to  the  inherent  tendencies 
of  communism,  but  that  they  have  been  due  to  the  war  or  the 
blockade.  He  must  also  disprove  the  facts  which  I  have  quoted 
to  show  that  there  was  developing  a  situation  of  socialism  which 
would  gradually  bring  about  the  conditions  of  a  famine,  even  in 
all  those  districts  outside  of  the  real  famine  districts  itself. 
(Applause.) 

In  the  next  place  he  must  take  up  one  by  one  the  Marxian 
theories.  He  must  show  that  I  am  wrong  in  stating  that  the 
theory  of  surplus  profits  is  a  fallacy. 

He  must  show  that  concentration  of  capital  is  developing 
apace,  in  refutation  of  my  statement  that  there  is  a  growing  dis- 
semination rather  than  concentration  of  capital. 

He  must  show,  in  the  fourth  place,  that  crises  are  becoming 

31 


worse  instead  of  becoming  less  severe.  He  must  show  finally 
that  all  those  facts  that  I  have  mentioned  about  the  liberty  of  the 
workmen,  about  the  incentive  on  the  part  of  the  peasant,  that  all 
those  alleged  facts  are  false  facts. 

If  my  respected  antagonist  can  do  that,  if,  instead  of  keep- 
ing, as  he  might  otherwise  do,  to  a  philosophic  discussion  as  to 
the  general  advantages  of  Marxism  he  will  come  down  to  bed- 
rock and  meet  me  on  the  points  that  I  have  made,  one  by  one, 
then  I  shall  be  glad,  indeed,  to  take  up  the  issue  with  him. 

(Applause.) 


32 


THE  CHAIRMAN: 

Mr.  Waton  will  now  have  fifty  minutes  for  the  negative. 
(Applause.) 

HARRY   WATON: 

Madam  Chairman  and  Comrades  : 

The  Russian  Revolution  is  a  great  historic  reality.  In  nature, 
extent  and  effect  upon  the  human  race  it  transcends  all  other 
revolutions  known  in  history.  It  is  impossible  for  us,  standing 
so  near  this  colossal  event  adequately  to  appreciate  its  historic 
significance.  It  seems  to  be  a  universal  law  of  Nature  that  any 
of  her  manifestations  on  a  grand  scale  can  be  perceived  and 
appreciated  only  from  a  great  distance.  For  instance,  the  report 
of  a  volcanic  eruption,  though  distinctly  heard  by  persons  standing 
hundreds  of  miles  away  from  the  volcano,  is  hardly  heard  by 
persons  standing  near  it.  The  Russian  revolution  is  an  event  of 
so  great  a  nature,  and  in  its  consequences  will  be  so  fundamental 
and  far-reaching,  that  it  will  take  generations  of  historians  and 
philosophers  clearly  to  perceive  its  grand  outlines  and  adequately 
to  appreciate  its  effect  upon  the  life  and  the  progress  of  the 
human  race.  The  Russian  revolution  is  unprecedented  in  history, 
and  therefore  in  its  consequences  it  will  be  unparalleled.  With 
the  Russian  revolution  mankind  passed  from  the  state  of  boy- 
hood and  entered  into  the  state  of  manhood.  But  the  Russian 
revolution  is  Marxism  in  action! 

Since  1847,  when  the  historic  function  of  the  international 
proletariat  found  an  adequate  expression  in  the  "Communist 
Manifesto,"  Marxism  had  become  ever  more  and  more  a  light 
and  guide  to  the  working  class  of  the  world.  For  more  than 
seventy  years  Marxism  had  been  studied  most  assiduously,  had 
been  subjected  to  a  most  rigorous  criticism,  and  had  become  the 
cause  and  centre  of  the  fiercest  and  most  comprehensive  intellec- 
tual and  spiritual  struggle  of  modern  times.  At  last  the  time 
came  for  Marxism  to  emerge  from  the  realm  of  thought  and  to 
enter  into  the  realm  of  action,  to  demonstrate  its  soundness  and 
feasibility  in  the  crucible  of  practical  experience ;  and  the  Russian 
revolution  afforded  the  opportunity. 

33 


When  in  1917,  the  imperialistic  war,  itself  the  result  of  the 
inherent  contradictions  of  capitalism — the  greatest  crisis  that  the 
ivorld  ever  sazv — and  this  in  answer  to  my  opponent's  statement 
that  the  crises  became  ever  milder  and  smaller — when  the  impe- 
rialistic war  created  in  Europe  a  revolutionary  situation,  which 
aroused  the  European  proletariat  from  the  nightmare  of  the  war 
and  infused  in  them  a  revolutionary  spirit,  it  was  inevitable  that 
the  revolutionary  potentiality  should  become  an  actuality;  and, 
as  motion  is  in  the  direction  of  least  resistance,  it  was  natural 
that  that  great,  historic,  revolutionary  potentiality  should  find 
reality  and  actuality  first  in  Russia,  the  country  in  which  there  was 
at  the  time  the  most  fundamental  and  most  comprehensive  con- 
tradiction between  the  great  intellectual  and  spiritual  progress  of 
the  nation,  and  especially  the  great  intellectual  and  spiritual,  pro- 
gress of  the  Russian  proletariat,  and  the  antiquated  and  barbarous 
nature  of  its  political  institutions — a  contradiction  that  rendered 
Russian  society  most  unstable  and  therefore  least  capable  of 
resisting  a  great  social  disturbance.  And  hence  the  Russian  revo- 
lution. 

At  first  the  character  of  the  Russian  revolution  was  unde- 
termined. It  was  not  certain  whether  it  would  degenerate  to  a 
mere  bourgeois  revolution,  (as  every  bourgeois  revolution  in  the 
twentieth  century  must  be  a  degenerate  revolution),  or  it  would 
rise  to  the  height  and  dignity  of  a  proletarian  revolution.  But 
when  the  Bolsheviki  came  into  power  and  began  to  direct  the 
revolution  along  the  lines  of  Marxism,  then  the  proletarian 
character  of  the  revolution  became  definitely  established.  The 
historic  function  of  the  international  proletarian  revolution  is  to 
expedite,  regulate  and  control  the  great  historic  process  that 
transforms  mankind  from  the  state  of  capitalism,  through  social- 
ism, into  the  state  of  communism.  The  proletarian  revolution, 
though  in  form  appears  at  first  to  be  limited  in  scope  and  nation- 
alistic in  purpose,  in  substance  it  is  universal  in  scope,  interna- 
tional in  aim,  and  tends  to  become  a  world  revolution.  Once  the 
proletarian  revolution  started  it  will  not  cease  until  it  has  covered 
the  entire  earth,  has  comprehended  the  whole  human  race,  and 
has  firmly  established  the  state  of  communism.  (Applause). 
The  Russian  revolution  is  but  the  first  chapter  of  the  great  inter- 
national proletarian  revolution ;  and  a  most  splendid  chapter  it  is 
indeed. 

The  ruling  powers,  reading  in  the  Russian  revolution  their 
doom  and  inevitable  annihilation,  united  in  a  universal  attack 
upon  the  revolution.     Through  their  hired  Balaams  they  flooded 

34 


the  world  with  lies,  falsehoods  and  criminal  misrepresentations 
about  Russia,  seeking  therewith  to  poison  the  mind  of  the  rest  of 
the  human  race  and  to  arouse  their  passions  against  the  Russian 
revolution.  They  set  up  gigantic  counter-revolutionary  plots,  and 
fomented  civil  war.  They  instituted  formidable  invasions  upon 
Russia,  and  instigated  the  neighboring  bankrupt  nations  for  a 
Judas'  pay  to  wage  a  war  of  extermination  against  Russia.  And 
to  cap  it  all,  they  surrounded  Russia  with  an  iron  blockade,  iso- 
lating Russia  from  the  rest  of  the  world  and  cutting  off  the  Rus- 
sians from  the  means  of  life.  Thus  with  fiendish  vindictiveness 
and  hellish  means  they  sought  to  destroy  the  Russian  revolution. 

And  though  the  enemies  of  the  Russian  revolution  were 
many,  rich  and  powerful,  while  its  friends  were  few,  poor  and 
weak,  yet  such  is  the  sublime  truth,  the  divine  wisdom  and  mar- 
vellous power  of  Marxism  that  by  its  aid  it  conquered  all  its 
enemies  and  came  out  of  the  struggle  victorious,  triumphant.  The 
Russian  revolution  was  not  destroyed,  the  Bolsheviki  were  not 
overthrown,  and  Marxism  was  not  defeated.  On  the  contrary, 
the  Russian  revolution  has  become  more  and  more  a  living  his- 
toric reality,  the  Bolsheviki  have  become  more  firmly  intrenched 
in  power,  and  Marxism,  more  than  ever  before,  is  now  battling 
for  the  cause  of  the  international  proletariat.  Nay,  more  than 
this,  the  situations  and  roles  have  changed.  Only  a  while  ago  the 
Russian  revolution  feared  capitalism,  now  capitalism  fears  the 
Russian  revolution.     (Applause.) 

The  capitalist  ruling  class,  having  failed  to  destroy  the  Rus- 
sian revolution,  having  failed  to  overthrow  the  Bolsheviki,  having 
failed  to  discredit  Marxism,  having  failed  to  rehabilitate  capital- 
ism in  their  own  countries,  having  failed  to  remove  the  cause  that 
constantly  increases  the  number  of  unemployed  and  constantly 
foster  in  the  proletariat  a  spirit  of  revolution,  having  failed  to 
safeguard  themselves  against  the  impending  revolution,  they  were 
compelled  to  conclude  peace  with  the  Russian  revolution.  They 
called  to  a  peace  conference  the  very  Bolsheviki  whom  they  had 
branded  as  murderers,  bandits  and  enemies  of  society,  of  civiliza- 
tion, of  religion,  family,  property  and  order.  They  invited  them 
to  the  Genoa  conference,  and  to  this  conference,  not  the  English, 
not  the  French,  not  the  Italians,  but  the  Russians  came  as  victors, 
and  carried  away  the  victors'  prize.  (Applause.)  The  treaty 
between  Russia  and  Germany  is  worth  to  Russia  infinitely  more 
than  the  Versailles  treaty  means  to  the  capitalist  countries. 

And  so  it  came  to  pass  that  since  the  Russian  delegation  came 

35 


to  Genoa,  the  Germans  on  their  side,  the  Allied  Powers  on  their 
side,  and  even  the  Catholic  Church  on  its  side,  each  party  sought 
to  convince  the  Russian  delegation  in  its  favor;  and,  as  Marx 
says,  "him  whom  we  seek  to  convince  we  recognize  the  master  of 
the  situation,"  the  world  recognizes  the  Russian  proletariat  as  the 
master  of  the  situation ;  and,  indeed,  the  Russian  proletariat,  as 
we  shall  presently  see,  is  the  master  of  the  situation. 

Such  has  heen  the  wonderful  achievement  of  the  Russian 
revolution;  such  is  the  suhlime  truth,  the  divine  wisdom  and  the 
marvellous  power  of  Marxism !  Well  may  we  say  now  with  the 
Psalmist:  "The  stone  which  the  builders  despised  and  rejected 
has  become  the  chief  corner-stone."  The  down-trodden,  despised 
and  illiterate  proletariat  of  Russia  has  become  the  chief  corner- 
stone of  reconstruction ! 

In  the  meantime,  however,  the  Russians  have  undergone  a 
terrible  ordeal.  The  profuse  bleeding  of  the  nation  and  the 
economic  ruin  of  the  country  that  resulted  from  the  Russian  par- 
ticipation in  the  imperialistic  war  before  the  revolution,  and  the 
life  and  death  struggle  of  the  Russians  since  the  beginning  of  the 
revolution,  compelled  the  Russian  leaders  to  content  themselves, 
and  only  for  the  time  being,  with  a  less  ambitious  plan  of  recon- 
struction upon  a  communistic  basis  than  they  had  at  first  hoped 
for.  This  is  taken  by  the  upholders  of  the  present  order  as  a 
fact  that  proved  that  socialism  failed  in  Russia,  that  the  Russians 
partially  returned  to  capitalism,  and  that  this  proves  that  Marx- 
ism is  fallacious. 

Hazing  failed  to  destroy  the  Russian  revolution  by  force, 
they  nozv  direct  their  attack  against  Marxism,  and  right  they  are. 
Marxism  is  the  light,  the  guide,  the  soul,  the  strength  and  the 
pozver  of  the  proletarian  revolution,  and  the  Russian  revolution 
is  but  the  beginning  of  the  proletarian  revolution.  Without 
Marxism  it  would  have  been  impossible.  And  today  we  have  as- 
sembled here  to  continue  that  struggle  upon  an  intellectual  plane, 
making  Marxism  the  point  of  attack  and  defence. 

My  opponent  framed  the  issue  of  the  debate,  not  in  the  form 
of  a  resolution,  as  he  stated  to  you,  but  in  the  form  of  the  follow- 
ing questions :  "Is  the  failure  of  socialism  in  Russia,  as  evinced  by 
the  partial  return  to  capitalism,  due  to  the  fallacies  of  Marxian 
theory  ?"  My  opponent  answers  it  in  the  affirmative ;  I  answer  it 
in  the  negative. 

My  opponent  sought  to  impose  certain  conditions  attached 

36 


to  the  phrasing  of  the  subject  for  debate,  but  he  had  never  con- 
sulted me  about  those  conditions  before  we  came  here.  He  simply 
gave  me  the  wording  as  it  is,  and  I  accepted  it.  I  am  therefore 
at  liberty  to  construe  it  as  I  understand  it.  And  just  as  lawyers 
in  a  similar  situation  interpose  what  is  called  a  general  denial,  I, 
in  taking  the  negative,  deny  everything.     (Applause.) 

At  the  outset,  comrades,  I  must  call  your  attention  to,  and  I 
must  ask  you  to  bear  most  distinctly  in  your  mind,  the  following : 

First.  The  debate  concerns  itself  primarily  about  Marxism, 
and  only  secondarily,  if  at  all,  about  socialism;  that  is,  the  ques- 
tion before  us  is,  whether  Marxism  is  true,  sound,  feasible,  or 
not ;  but  it  is  not  the  question  before  us,  whether  socialism  is  good 
or  bad,  workable  or  not. 

I  call  your  attention  to  this,  not  because  I  am  shy  of  the 
subject  of  socialism.  On  the  contrary,  I  should  have  been  only 
too  glad  to  go  into  this  question.  But,  because  the  subject  for 
debate  is  Marxism,  the  merits  of  socialism  would  be  irrelevant. 

Second.  As  the  subject  for  the  debate  is  framed,  it  involves 
the  assumption  of  the  following  three  facts :  First,  that  the  Rus- 
sians had  the  necessary  means  and  the  proper  opportunity  to  in- 
augurate and  establish  socialism  in  Russia.  Second,  that  social- 
ism failed  in  Russia.  Third,  that  there  was  in  Russia  a  partial 
return  from  socialism  to  capitalism. 

My  opponent  assumes  these  three  facts,  and  upon  them  as  a 
premise  he  builds  his  conclusion  that  Marxism  therefore  proved 
itself  to  be  a  fallacy.  I  deny  these  facts.  I  deny  that  the  Rus- 
sians had  the  necessary  means  and  the  proper  opportunity  to 
inaugurate  and  successfully  to  establish  socialism  in  Russia.  I 
deny  that  socialism  failed  in  Russia.  I  deny  that  there  was  in 
Russia  a  partial  return  from  socialism  to  capitalism.  I  therefore 
deny  the  conclusion  that  Marxism  proved  itself  to  be  fallacious. 

Third.  My  opponent  seeks  to  attack  Marxism.  He  seeks  to 
prove  that  Marxism  is  fallacious  by  the  actions  and  the  methods 
pursued  by  the  Bolsheviki  in  Russia.  By  the  very  position  that 
my  opponent  takes  he  is  compelled  to  recognize  the  Bolsheviki  as 
Marxists.  For,  if  he  should  say  they  are  not  Marxists,  their 
actions  and  methods  could  not  be  laid  at  the  door  of  Marxism, 
My  opponent  is  therefore  compelled  to  recognize  unhesitatingly 
and  absolutely  the  Bolsheviki  as  Marxists.  Being  Marxists,  their 
policy  and  their  actions  can  be  laid  at  the  door  of  Marxism. 

37 


But  we  know  that  the  socialists  were  absolutely  and  most 
bitterly  opposed  to  the  Bolshevik  principles,  methods,  policies  and 
ideas.  We  know  that  between  the  Bolsheviki  and  the  Socialists 
there  was  a  life  and  death  struggle.  We  know  that  the  socialists 
had  no  share  in  the  direction  of  the  revolution  and  all  that  had 
since  been  done  by  the  Bolsheviki. 

Since  my  opponent  is  compelled  to  recognize  the  Bolsheviki 
as  Marxists,  and  since  the  socialists  were  opposed  to  them,  he  is 
for  the  same  reason  compelled  to  recognize  the  socialists  as  not 
being  Marxists,  and  their  doctrines  and  ideas  therefore  can  have 
absolutely  no  bearing  upon  Marxism. 

I  do  not  want  to  say  that  among  the  socialists  there  are  no 
Marxists.  I  do  not  want  to  say  that  the  socialists  have  not  pro- 
duced Marxists.  But  for  the  purposes  of  the  subject  for  debate 
before  us,  and  springing,  as  it  does,  from  the  very  nature  of  the 
position  which  my  opponent  takes,  he  cannot  consider  the  social- 
ists and  the  Bolsheviki  on  the  same  level.  Either  the  Bolsheviki 
are  Marxists  or  the  socialists  are  Marxists.  But,  since  he  ac- 
cepted the  Bolsheviki  as  Marxists,  he  must  rule  the  socialists  out 
of  court,  and  disregard  their  judgment  and  opinion. 

Therefore,  when  my  opponent  went  to  the  Italian  commis- 
sion, the  socialist  commission,  when  he  went  to  Bernstein,  Tugan 
Bogdanovsky,  and  the  others,  he  had  no  right  to  do  it,  because 
the  opinion  of  socialists  has  absolutely  no  bearing  on  Marxism 
in  questions  in  which  Russia  and  the  Bolsheviki  are  concerned. 
Therefore,  I  rule  all  these  out  of  court,  as  being  irrelevant,  im- 
material and  incompetent,  and  I  shall  never  advert  a  single  word 
to  any  of  the  references  made  by  my  opponent  to  the  socialists. 

We  are  dealing  here  only  with  Marxism.  Now  then,  let  us 
examine  the  facts  upon  which  my  opponent  built  his  whole  theory. 
My  opponent  assumes  that  the  Russians  had  the  necessary  means 
and  the  proper  opportunity  to  inaugurate  and  establish  socialism 
in  Russia.  He  insisted  that  since  the  war  stopped  in  1918,  they 
should  have  had  all  the  opportunities  and  the  means  to  inaugurate 
and  establish  socialism. 

We  are  not  foreigners  to  Russia,  and  we  know  something 
about  the  Russian  revolution  and  the  conditions  under  which  it 
was  carried  out.  I  ask,  what  warrant  did  my  opponent  have  to 
make  the  assumption  that  the  Russians  had  the  necessary  means 
and  the  proper  opportunity  to  inaugurate  and  establish  socialism 
in  Russia?  And,  if  my  opponent  cannot  demonstrate  this,  as  I 

38 


shall  presently  tell  you  he  must,  then  it  is  entirely  absurd  to  speak 
of  a  failure  of  socialism  in  Russia.  In  other  words,  if  the  Rus- 
sians did  not  have  ample  means  and  the  proper  opportunity  to 
inaugurate  and  establish  socialism  in  Russia,  and  it  is  even  more 
absurd  to  lay  that  failure  of  socialism  in  Russia  at  the  door  of 
Marxism.    Now,  let  us  see  the  facts. 

Before  the  Russian  revolution  broke  out  the  Russians  had 
gone  through  a  most  terrible  ordeal.  About  eight  million  Rus- 
sians had  been  killed  and  crippled  in  the  imperialistic  war  before 
the  revolution.  All  industry  had  been  paralyzed  and  was  almost 
at  a  standstill.  All  means  of  life  had  almost  entirely  been  con- 
sumed, wasted  and  destroyed.  The  granary  of  Russia,  Ukrainia, 
was  in  the  hands  of  the  Germans,  and  Siberia  was  then  in  the 
hands  of  outside  powers.  Under  these  conditions  the  Russians 
were  drawn  into  a  revolutionary  struggle.  Then  they  had  to 
take  up  the  struggle  anew  against  an  enemy  more  formidable 
than  the  Central  Powers  were.  Since  the  outbreak  of  the  revo- 
lution the  Russians  were  compelled  to  abandon  all  constructive 
work  and  concentrate  all  their  efforts,  means  and  time  to  a  life 
and  death  struggle  with  their  enemies.  During  all  this  time  the 
Russians  had  not  a  single  day  of  peace  nor  a  moment  of  rest. 
They  therefore  did  not  have  the  means  and  the  opportunity  to 
inaugurate  and  establish  socialism ;  they  had  neither  the  means 
nor  thenpportunity  to  do  any  reconstructive  work  upon  any  basis, 
capitalistic,  socialistic  or  communistic. 

The  Russians  were  in  a  position  like  that  of  a  man  who,  after 
he  had  fought  fiercely  against  beasts  and  had  with  great  effort 
succeeded  to  reclaim  a  piece  of  land,  and  just  as  he  is  about  to 
begin  to  cultivate  the  land  and  to  build  a  home  for  himself,  a 
gang  of  bandits  armed  with  deadly  weapons  were  to  attack  him 
from  all  sides  with  the  intention  of  killing  him  and  taking  away 
from  him  the  land.  And  while  he  is  fighting  with  the  bandits  for 
his  life,  someone  from  a  distance  were  to  jeer  at  him  that  he 
failed  to  cultivate  the  land  and  build  the  house,  and  failed  to 
establish  himself.  Is  it  not  preposterous,  to  say  the  least,  to  ex- 
pect the  Russians  to  have  succeeded  to  implant  socialism  in 
Russia  under  such  conditions?  Did  they  have  the  opportunity? 
If  not,  what  sense  is  there  in  speaking  of  the  failure  of  socialism 
in  Russia? 

But,  if  my  opponent  means  to  say  that  notwithstanding  all 
this  the  Russians  could  establish  successfully  socialism  in  Rus- 
sia, that  their  failure  is  attributable,  not  to  the  war,  not  to  the 

39 


struggle  of  the  revolution,  but  to  some  inherent  fallacy  in  the 
policy  and  methods  they  pursued,  in  other  words,  to  the  fallacies 
of  Marxism,  then  my  opponent  is  treading  upon  most  dangerous 
ground. 

My  opponent  must  admit  that  it  was  infinitely  harder  for 
the  Russians  under  those  conditions  successfully  to  erect  a  new 
order  upon  the  ruins  of  an  old  order  than  it  was  for  the  Allied 
Powers  to  rehabilitate  capitalism  in  their  own  countries.  Now, 
what  do  we  find?  Not  to  speak  of  the  small  countries  that  are 
so  hopelessly  ruined  that  they  actually  live  on  charity ;  not  to 
speak  of  Austria  and  Germany,  the  conquered  countries ;  but 
what  about  Italy,  France  and  England  ?  These  are  the  victorious 
countries.  These  emerged  triumphant.  These  countries  received 
from  us  billions  of  dollars  and  ammunitions  worth  billions  of 
dollars.  These  countries  had  exacted  from  the  Germans  tribute 
in  the  billions.  Surely,  if  there  was  some  strength  and  life  in 
capitalism,  the  Allied  Powers  should  have  been  able  to  rehabil- 
itate capitalism  in  their  countries.  They  had  no  war  since  then, 
no  revolution,  no  change  of  order,  and  things  were  in  a  normal 
state.   What  do  we  find? 

We  find  that  the  condition  in  Italy,  France  and  England  is 
so  desperate,  so  hopeless,  that  the  ruling  powers  were  compelled 
to  call  a  peace  conference,  to  invite,  not  only  the  Austrians  and 
the  Germans,  but  also  the  Russians,  and  Lloyd  George  in  Parlia- 
ment appealed  to  his  confreres  to  sanction  the  Genoa  conference 
because,  as  he  said,  the  people  of  England  demand  it,  Europe 
needs  it,  and  the  world  cries  for  it. 

Yes,  the  capitalist  world  cried  for  a  peace  conference  with 
the  Russians.  Why?  Because,  a  paragraph  later,  Lloyd  George 
tells  them :  The  unemployment  increases  in  England ;  and  if  you 
do  not  like  the  Genoa  conference,  you  will  pretty  soon  see  the 
beginning  of  something  which  you  will  hate  even  more,  namely, 
revolution. 

In  this  situation,  being  unable  to  rehabilitate  capitalism,  and 
in  their  face  staring  the  revolution  that  may  destroy  them  all.  they 
were  compelled  to  come  to  the  Russians  and  together  to  work  out 
a  plan  whereby  they  may  save  themselves.  Let  us  pause  to  reflect 
on  the  situation. 

The  Russian  Soviet  Republic  is  a  communist  soviet  republic. 
It  was  built  by  communists,  in  the  spirit  of  communism,  upon 
communist  principles,  and  with  the  purpose  of  establishing  com- 

40 


munism,  not  only  in  Russia,  but  all  over  the  world.  The  ruling 
class,  to  save  themselves  from  political  destruction,  and  the  capi- 
talist class,  to  save  themselves  from  economic  ruin,  were  com- 
pelled to  go  to  the  Russians  and  to  enter  with  the  communist 
Soviet  Republic  into  political  and  economic  relations. 

Now,  the  ruling  powers  cannot  enter  with  the  Russian  Soviet 
Republic  into  political  relations ;  they  cannot  confirm  the  Russian 
communists  in  power ;  they  cannot  accord  recognition  to  the  com- 
munist principles,  without  making  the  idea  of  a  communist  soviet 
republic  very  popular  in  the  world,  and  without  throwing  seeds 
that  would  soon  gain  deep  root  in  the  consciousness  of  the  prole- 
tariat. And  the  capitalist  class  cannot  enter  with  the  communist 
Soviet  Republic  into  economic  relations,  without  sanctioning 
communist  principles,  without  recognizing  that  communism  is 
here  to  stay,  without  spreading  among  the  proletarians  of  their 
own  countries  a  knowledge  of  communism,  and  without  arousing 
in  them  a  desire  for  communism,  and  finally  a  determination  to 
have  communism  even  in  their  own  capitalist  countries. 

The  ruling  powers  and  the  capitalist  class  knew  all  this  all 
along.  That  was  why  they  bent  all  their  efforts  to  destroy  the 
communist  Soviet  Republic,  because  they  knew  that  the  com- 
munist Soviet  Republic  was  a  mortal  enemy  to  capitalism. 

Now,  the  Russian  communists,  to  help  themselves  in  the 
present  difficulties,  are  compelled  to  make  concessions  to  capital- 
ism, to  enter  with  the  capitalists  into  political  and  economic  rela- 
tions. The  capitalists,  to  save  themselves  from  absolute  ruin  and 
destruction,  are  compelled  to  make  concessions  to  the  communist 
Soviet  Republic  of  Russia.  Hence,  while  on  the  one  hand  we  see 
on  the  part  of  the  Russians  a  partial  return  to  capitalism,  on  the 
other  hand  we  see  on  the  part  of  the  capitalists  a  step  towards 
communism.  If  my  opponent  contends  that  a  partial  return  by 
the  communists  to  capitalism  means  that  Marxism  has  proved 
itself  fallacious,  then  with  greater  reason  I  contend  that  the 
partial  advance  by  the  capitalist  towards  communism  proves  that 
the  doctrines  sustaining  capitalism  are  antiquated,  worse  than  use- 
less and  amount  to  nothing. 

The  capitalist  countries  are  compelled  to  go  to  the  commun- 
ists for  help,  because  they  suffer  from  a  pernicious  anaemia. 
They  must  go  to  the  communists  for  a  transfusion  of  blood,  to 
transfuse  into  their  capitalist  system  communist  blood.  But  it  is 
all  in  vain. 

41 


Comrades,  communism  is  the  most  poisonous,  mortal  enemy 
to  capitalism.  The  capitalist  system  cannot  imbibe  communist 
blood,  without  embodying  the  poison  that  will  annihilate  it.  So 
hopeless  is  the  state  of  capitalism  that  even  for  a  momentary 
respite,  for  a  possible  help,  the  capitalists  are  compelled  to  go 
and  conclude  a  compromise  with  communism.  But,  by  concluding 
a  compromise  with  communism,  they  conclude  a  compromise 
with  the  rising  order  that  will  annihilate  the  old  order.  And  that 
capitalism  is  in  this  desparate  strait  is  shown  by  the  following 
facts : 

On  the  one  hand,  the  inherent  contradictions  of  capitalism, 
predicted  by  Marx,  demonstrated  by  Marx,  brought  about,  not 
merely  a  petty  crisis  in  some  industry,  but  a  universal  crisis, 
which  crisis  compelled  the  nations  to  plunge  into  a  world  war,  a 
universal  slaughter,  to  destroy  one  another,  to  destroy  property, 
family,  religion,  civilization,  and  everything  that  has  been  accum- 
ulated by  the  human  race  for  thousands  of  years.  On  the  other 
hand,  capitalism  is  now  compelled  to  conclude  peace  with  com- 
munism. 

While  the  capitalist  class  is  in  this  state  and  capitalism  in 
this  perilous  situation,  I  leave  it  to  my  opponent  to  show  us  how 
the  capitalist  class  and  capitalism  can  help  themselves  out  of  the 
situation,  without  the  co-operation  of  Rusia.  If  he  can  show 
something,  let  him  show  this.    Hie  Rhodus,  hie  salt  a! 

That  the  capitalist  class  and  capitalism  cannot  help  them- 
selves without  the  co-operation  of  Russia  is  due  to  the  fact, 
springing  from  Marx's  theory  of  value  and  surplus-value,  that 
the  capitalist  countries  produce  the  necessaries  of  life,  not  for 
use,  but  for  profit ;  that  capitalism  may  live,  it  must  dispose  of 
its  surplus  produce  at  a  profit.  This  it  cannot  do  in  the  capitalist 
countries.  Capitalism  therefore  is  compelled  to  gain  ever  more 
and  more  foreign  markets  where  it  can  dispose  at  a  profit  of  its 
surplus  produce.  Should  the  foreign  markets  be  cut  away  from 
the  capitalist  countries,  not  only  will  the  capitalists  not  receive 
their  profits,  but  also  they  will  not  be  able  to  employ  the  prole- 
tariat of  their  own  countries.  In  that  event,  the  proletariat  will 
be  compelled  to  rise  against  the  capitalist  system  and  destroy  it. 
At  present  the  only  foreign  market  yet  open  to  the  capitalists  is 
Russia.  With  the  co-operation  of  Russia  the  capitalists  may  yet 
succeed  to  prolong  for  some  time  their  rule  and  sway  over  the 
proletariat.  Hence,  the  capitalists  are  bound  to  deny  their  God, 
repudiate  their  Religion,  scoff  at  their  principles,  overthrow  their 

42 


doctrines,  and  come  to  the  Bolsheviki  and  ask  them  to  help  them 
out. 

But  communist  Russia  does  not  produce  the  necessaries  of 
life  for  profit :  it  produces  these  necessaries  for  use.  They  do 
not  need  foreign  markets.  They  therefore  can  get  along  very 
well  without  the  co-operation  of  the  capitalist  countries.  It  is 
true  the  Russians  are  now  in  a  deplorable  state,  due  to  all  the 
calamities  that  overwhelmed  them,  including  even  that  of  God 
and  Nature,  the  famine.  But,  being  in  possession  of  one-sixth 
of  the  world,  with  infinite  resources,  with  infinite  storehouse  of 
human  energy,  it  may  be  only  a  question  of  five,  ten  or  twenty 
years,  and  they  will  emerge  from  their  difficulty,  owners  of  one- 
sixth  of  the  earth  and  producers  of  all  things  for  human  enjoy- 
ment. 

That  is  why  the  Russian  delegation  can  go  away  from  the 
Genoa  conference,  without  concluding  any  treaty  with  the  Allied 
Powers,  and  not  be  the  worse  off.  But  let  Mr.  Lloyd  George  and 
the  capitalist  countries  dare  go  away  from  the  Genoa  conference 
without  concluding  peace  with  Russia,  and  the  revolution  will 
overwhelm  them  in  the  very  near  future. 

Since  capitalism  is  so  hopeless  that  it  is  compelled  to  make 
such  concessions,  how  does  it  lie  in  the  mouth  of  my  opponent  to 
speak  impliedly  of  capitalism,  as  if  it  were  God-ordained,  ap- 
proved by  God,  Nature  and  Man,  when  in  the  face  of  all  this 
overwhelming  situation,  the  capitalist  world  cries  for  peace  with 
Russia?  How  can  my  opponent  maintain  that  capitalism  is 
sound  ? 

Now,  while  I  leave  to  my  opponent  the  ungrateful  task  of 
showing  how  to  galvanize  the  dead  corpse  of  capitalism,  I  shall 
betake  myself  to  the  grateful  task  of  showing  that  socialism 
never  failed  in  Russia,  but  is  there  most  prosperous. 

If  my  opponent  had  read  the  works  of  Marx  attentively,  and 
had  not  acquired  his  knowledge  of  Marxism  second  hand,  from 
the  Bernsteins  and  others,  then  my  opponent  would  know,  and  I 
demand  of  him  that  he  should  know,  that  Marxism  never  aimed 
at  socialism,  but  at  communism.  Marx  zvas  a  communist.  All 
his  works  are  but  one  continuous  argument  in  favor  of  commun- 
ism, and  his  whole  lifetime  he  devoted  to  the  cause  of 
communism. 

Marxism  teaches  that  all  social  evolution  tends  irresistibly 
towards  the  state  of  communism.   But,  though  all  social  evolution 

43 


tends  towards  the  state  of  communism,  neither  the  material  con- 
ditions of  existence  nor  the  human  habits  as  they  now  are,  are  fit 
for  the  state  of  communism.  The  material  conditions  of  exist- 
ence and  human  habits  must  first  be  prepared  for  the  state  of 
communism.  The  historic  task  to  prepare  both  the  material  con- 
ditions of  existence  and  human  habits  is  the  task  of  the  inter- 
national proletariat.   The  reason  for  this  I  shall  tell  you  later  on. 

Now,  the  international  proletariat  cannot  begin  this  process 
of  transformation  out  of  air,  out  of  conditions  and  materials  that 
will  exist  in  the  future.  It  must  start  with  conditions  and  mate- 
rials that  it  finds  on  hand  right  now,  and  these  are  capitalistic  in 
nature.  In  other  words,  the  international  proletariat  must  begin 
upon  a  capitalistic  basis,  with  capitalistic  conditions  of  existence 
and  human  habits,  to  build  the  state  of  communism.  And  in  doing 
this  the  international  proletariat  will  co-operate  with  the  great 
historic  process  that  transforms  society  from  capitalism  into 
communism. 

My  opponent  told  you  that  Marx  believed  in  the  economic 
interpretation  of  history.  Now,  I  read  a  book  of  my  opponent  in 
which  he  tells  us  that  he  more  or  less  agrees  with  Marx,  and  he 
told  us  the  same  thing  now.  But  I  must  tell  you  that  my  opponent 
never  understood  Marx's  interpretation  of  history,  and  I  chal- 
lenge him  to  prove  that  he  did  understand  it.  He  has  my  book, 
"The  Philosophy  of  Marx."  Let  him  read  it  carefully  and  see 
whether  he  has  ever  learned  that  Marx  was  the  only  man  known 
to  history  that  fought  against  the  crude  economic  interpretation 
of  history  that  had  been  in  vogue  since  the  days  of  Moses.  I 
could  quote  the  prophets  and  the  old  philosophers  showing  that 
the  crude  materialistic  interpretation  of  history  had  been  known 
before  Marx,  and  that  Marx  fought  all  his  lifetime  against  that 
materialistic  interpretation. 

Marx  taught  that  between  Man  and  Nature  there  is  a 
material  interaction,  but  that  it  is  "man  that  starts,  regulates  and 
controls"  that  material  interaction.  Man  is  the  active,  conscious, 
controlling  factor  in  the  making  of  human  history ;  Nature  is  but 
the  passive  element  and  condition  in  that  history.  But  men  can- 
not create  a  world  while  they  are  making  their  history.  They 
must  take  the  world  as  they  find  it  und  must  change  it.  There- 
fore, men  must  regulate  and  control  the  historic  process  of  the 
zvorld,  and  by  changing  the  world  they  also  change  themselves. 
That  is  why  Marx  said :  "Men  make  their  own  history,  but  they 
do  not  make  it  out  of  the  whole  cloth ;  they  do  not  make  it  out 

44 


of  conditions  chosen  by  themselves,  but  out  of  such  as  they  find 
close  at  hand,  given  and  transmitted."  And  since  the  proletariat 
is  the  only  class  in  society  that  has  a  vital  interest  in  changing  the 
material  conditions  of  existence  and  human  habits,  the  proletariat 
must  take  the  regulating  and  controlling  part  in  this  great  historic 
process. 

This  the  proletariat  can  perform  by  raising  itself  to  the  posi- 
tion of  the  ruling  class  and  by  establishing  the  dictatorship  of  the 
proletariat.  And  here  I  challenge  my  opponent  to  find  a  single 
expression  in  all  the  zvorks  of  Marx  in  favor  of  liberty.  Marx 
never  believed  in  the  bourgeois  liberty.  He  believed  in  the  iron 
rule  of  the  proletariat,  and  in  the  first  instance  also  in  the  iron 
rule  over  the  proletariat.  That  is  Marxism.  The  proletariat  must 
establish  the  dictatorship  of  the  proletariat,  use  its  political  su- 
premacy and  the  dictatorship  of  the  proletariat  to  wrest  by 
degrees  all  capital  from  the  bourgeoisie,  to  centralize  all  means 
of  life  in  the  hands  of  the  tvorkvng  class,  to  increase  the  efficiency 
of  production,  and,  finally,  to  direct  all  social  evolution  towards 
the  state  of  communism. 

But  that  may  take  some  time.  It  may  take  perhaps  a  century, 
perhaps  even  more.  What  will  happen  in  the  meantime  ?  In  the 
meantime  we  shall  have  a  hybrid  state  composed  of  capitalism 
and  communism.  The  foundation  and  basis  are  capitalistic,  and 
upon  that  basis,  under  the  given  conditions  and  with  the  given 
materials  the  proletariat  will  begin  to  build  the  state  of  commun- 
ism. That  will  be  a  hybrid  state,  and  that  state  is  called  socialism. 
Socialism  therefore  is  capitalism  mixed  with  communism. 
(Laughter.) 

When  we  watch  the  transition  from  night  to  day,  we  find 
that  due  to  the  fact  that  the  earth  is  spherical  and  revolves  on  its 
axis  very  slowly,  once  in  twenty-four  hours,  the  light  of  the  sun 
cannot  instantaneously  remove  the  darkness  of  the  night,  and  a 
period  of  an  hour  or  more  is  required  for  that  transition.  That 
period  is  neither  night  nor  day.  It  is  dawn,  a  mixture  of  night 
and  day.  Socialism  is  the  dawn  between  the  night  of  capitalism 
and  the  day  of  communism. 

Socialism  means  organized  dictatorial  power  of  the  prole- 
tariat. It  means  the  very  ownership  by  the  proletariat  as  an 
organized  power  of  the  land,  the  natural  resources,  the  great  in- 
dustries, and  the  like.  And  this,  comrades,  we  have  in  Russia. 
Socialism  does  not  seek  to  establish  equality.  On  the  contrary, 
Marx  in  his  "Criticism  of  the  Gotha  Programm"  condemns  that. 

45 


Under  socialism  there  cannot  be  that  equality  or  freedom  which 
can  happen  only  in  a  state  of  communism  that  is  raised  upon  its 
own  foundation.  Until  then  we  shall  have  capitalistic  justice,  the 
law  of  equivalents,  the  law  of  value,  capitalistic  self-conscious- 
ness, money,  and  ownership  of  things  for  personal  consumption, 
until  the  material  conditions  and  human  habit  have  been  ade- 
quately prepared  for  communism.  When  communism  rises  on 
its  own  foundation,  then  a  new  principle  of  human  existence  will 
regulate  and  determine  all  social  relations :  "From  every  one 
according  to  his  faculties,  unto  every  one  according  to  his  needs." 

Now,  then,  since  my  opponent  himself  asserts,  in  the 
words  of  the  issue  of  the  debate,  that  the  Russians  only  par- 
tially returned  to  capitalism,  he  impliedly  asserts  that  besides 
capitalism  there  exists  some  other  state.  Since  we  know  that 
the  Bolsheviki  are  Communists,  and  we  know  that  they  en- 
deavored to  inaugurate  and  establish  in  Russia  communism ; 
we  have  in  Russia  both  the  state  of  capitalism  and  the  state 
of  communism.    In  other  words,  we  have  in  Russia  socialism. 

Now,  whether  it  is  good  or  bad  is  not  the  question.  When 
our  Americans  fought  in  their  revolutionary  war  against  Eng- 
land, they  at  that  stage  of  the  game  were  no  better  off  than 
the  Russians  now  are,  and  their  revolution  was  but  child's 
play  in  comparison  with  the  gigantic  revolution  in  Russia. 

Therefore,  my  friends,  socialism  exists  in  Russia.  Since 
socialism  did  not  fail  in  Russia,  the  whole  theory  of  my  op- 
ponent falls  to  the  ground,  and  the  conclusion  which  he  ar- 
rives at  is  entirely  inadmissible.  In  other  words,  my  op- 
ponent failed  to  prove  that  Marxism  is  fallacious. 

If  I  were  concerned  only  with  this  debate,  I  could  well 
afford  to  rest  right  here.  I  would  not  care  to  go  into  other 
discussions.  This  is  not  the  occasion  for  me  to  discuss  failures. 
I  am  concerned  about  Marxism,  and  so  are  you.  Whether 
you  are  satisfied  with  my  position  or  not  is  immaterial ;  what 
is  material  is  that  my  opponent  did  not  make  good  his  posi- 
tion. And  since  we  are  all  concerned  about  Marxism,  we  must 
go  a  step  further  and  consider  the  matter  with  reference  to 
Marxism. 

The  Bolsheviki  in  Russia  in  the  year  1917  and  1918  made 
a  tremendous  step  towards  communism.  Since  then  they 
made  a  backward  step.  They  now  content  themselves  with  a 
position  nearer  towards  capitalism.    Does  not  that  prove  that 

46 


the  plan  which  they  had  in  mind  was  not  workable?  Does 
not  that  prove  that  the  underlying  theory  of  Marxism  was 
fallacious? 

Therefore,  though  I  am  not  called  upon  to  do  so,  I  will 
go  into  the  matter  a  little  further,  because  I  want  to  convey 
to  you  the  message  of  Marxism  that,  on  the  one  hand,  you 
may  perceive  that  there  is  in  Marxism  more  than  hundreds 
of  thousands  of  my  opponents  could  tell  you,  and,  on  the 
other  hand,  that  you  may  understand  why  Marxism  spreads 
so  rapidly  among  the  international  proletariat,  and  why  in  its 
hands  it  is  such  a  divine  power. 

If  my  opponent  read  attentively  the  works  of  Marx,  he 
ought  to  know  that  Marxism  contemplates  the  state  of  com- 
munism, not  as  a  state  of  a  country  or  of  a  nation,  but  as  a 
state  of  society,  as  a  state  of  the  whole  human  race.  Nothing 
further  from  Marxism  can  be  conceived  or  imagined  than  the 
idea  that  communism  could  be  successfully  established  in  one 
country,  while  all  other  countries  remained  capitalistic  and 
hostile  to  it. 

(The  Chairman  here  notified  the  speaker  that  he  had  three 
minutes  in  which  to  conclude.) 

When  a  fellow  gets  into  the  depths  of  Marxism  he  loses 
all  idea  of  time. 

Marxism  most  emphatically  teaches  that  communism 
can  be  successfully  established  only  upon  an  interna- 
tional basis.  That  is  why  Marxism  always  appealed  to  the  in- 
ternational proletariat  to  rise  in  a  world  revolution 
against  the  whole  capitalistic  system.  That  was  why  the 
Bolsheviki  appealed  to  the  international  proletariat  to  help 
make  the  Russian  revolution  a  world  revolution.  That  was 
why  the  Bolsheviki  repeated  thousands  of  times  that,  unless 
the  international  proletariat  rose  to  help  make  the  Russian 
revolution  a  world  revolution,  they  would  not  be  able  to  es- 
tablish communism,  not  even  in  Russia.  This  fact  was  so 
universally  known  that  in  every  instance  in  which  the  Bolshe- 
viki came  into  contact  with  the  Allied  Powers  the  first  con- 
dition demanded  of  the  Bolsheviki  was  that  they  abandon  the 
idea  of  the  international  revolution. 

How,  with  the  idea  of  attacking  Marxism  can  one  speak 
of  a  failure  of  communism  in  Russia,  when  Marxism  teaches 

47 


that,  unless  it  be  established  on  an  international  basis,  it  must 
fail?  If  this  is  a  confirmation  of  Marxism,  it  is  therefore  not 
a  refutation  of  Marxism,  and  Marxism  stands  vindicated,  jus- 
tified and  in  every  way  absolutely  established.    (Great  applause.) 

(At  this  point  an  announcement  was  made  by  The  Marx- 
Engels  Institute.) 


48 


THE  CHAIRMAN: 

The  debate  was  getting  rather  hot  and  I  am  glad  we  have 
had  time  to  cool  off.  I  now  call  on  Professor  Seligman,  who 
has  fifteen  minutes. 

PROF.  SELIGMAN: 

Ladies  and  Gentlemen  :  Let  me  take  up  the  points  in  their 
order.  First :  My  respected  antagonist  challenged  me  to  quote 
anything  from  Marx  in  favor  of  liberty.  I  have  in  my  hands  a 
book  enttitled  "The  Philosophy  of  Marx,"  by  Mr.  Waton.  On 
page  196  he  quotes  from  the  Communist  Manifesto  in  which 
Marx  outlines  the  future  of  society  and  says  at  the  end : 

"When  that  period  arrives  we  shall  have  an  association  in 
which  the  free  development  of  each  is  the  condition  for  the  free 
development  of  all."  If  that  is  not  liberty,  I  do  not  understand  it. 
(Applause.) 

Secondly :  My  respected  opponent  says  that  Marx  does  not 
ask  for  equality.  It  is  true  that  I  have  not  brought  with  me  any 
marked  passage  of  Marx's  writings,  all  of  which  I  beg  to  say 
that  I  read  probably  before  my  respected  antagonist  was  born, 
but  I  have  here  a  quotation  from  no  mean  student  of  Marx, 
namely,  Mr.  Nicholas  Lenin.  In  a  work  in  which  he  expounded 
the  theory  of  Marx  to  his  friends  in  1918  he  quotes  at  the  end  of 
a  long  passage  explaining  Marxism  and  referring  to  the  workers 
the  following : 

"The  important  thing  is  that  they  should  work  equally,  con- 
scientiously and  be  paid  alike." 

If  that  is  not  equality  of  work  and  equality  of  pay  I  do  not 
understand  equality. 

Now,  then,  Mr.  Waton  speaks  in  various  passages  in  his 
book  as  he  did  so  eloquently  today  of  the  "sublime  victory"  that 
has  been  accomplished  by  communism  in  Russia. 

Let  me  quote  in  opposition  a  few  words  from  the  last  speech 
of  Lenin.   He  says  :  ^__ 

"We  have  suffered  a  defeat,  and  unless  we  acknowledge  it, 
we  shall   do   worse." 

49 


These  are  his  very  words.  "If  we  do  not  wish  to  play  the  role 
of  people  who  do  not  see  their  failure;  if  we  do  not  care  to  look 
straight  into  the  face  of  danger,  we  must  see  that  we  have  suf- 
fered defeat." 

And  again :  "We  must  admit,  however,  that  our  first  retreat 
proved  inadequate,  we  must  now  make  a  supplementary  retreat." 

That  is  my  reply  to  the  statement  of  my  respected  antagonist 
as  to  the  wonderful  success,  of  the  "sublime  success"  that  has 
been  achieved  by  the  modern  development.  But  I  have  here  a  few 
quotations  from  the  leading  Socialists  and  Communists  of  Russia 
today  to  explain  why  they  have  failed. 

Let  us  take  up  first  the  remark  of  Mr.  Osinsky,  the  Com- 
missioner of  Agriculture,  six  months  ago  quoted  in  this  book  of 
Prof.  Zagorski  formerly  of  Petrograd,  which  appeared  only 
last  week;  "Soviet  exploitation  is  a  Utopia." 

Let  me  quote  the  report  of  four  months  ago  of  the  Minsk 
Executive  Soviet  Committee:  "Collective  culture  has  turned  out 
to  be  an  idle  dream." 

Let  me  quote  from  a  statement  of  Lenin  to  the  effect  (I 
am  translating  from  the  French)  :"We  must  now  endeavor  to 
develop  a  national  economy  based  upon  the  real  psychology  of 
the  middle  peasant  whose  motives  and  sentiments  we  have  been 
unable  to  change  in  these  three  years." 

There  is  the  "sublime  success"  that  has  been  achieved!  I 
might  go  on  and  speak  of  the  statements  of  Tschekoff  and  others, 
all  of  them  referring  to  the  necessity  of  re-introducing,  one 
by  one,  all  of  the  competitive  motives  that  communism  thought 
it  might  accomplish.  If  the  success  was  so  "sublime,"  why  all 
the  steps  in  retreat? 

We  come  now  to  the  argument  of  my  opponent.  That  the 
other  countries  in  coming  to  the  Genoa  conference  are  implicitly 
adopting  communism,  or  rather,  to  put  it  more  accurately,  that 
capitalism  is  on  the  road  to  accepting  communism.  Let  me  quote 
from  a  note  of  the  Soviet  Government  of  March  15th  to  the 
Entente  government  in  which  Russia  accepted  the  invitation  to 
Genoa  and  say  the  following : 

"The  essential  point  in  the  policy  of  the  republic  henceforth 
is  the  desire  to  create  in  Russia  conditions  that  tvill  favor  the 
development  of  private  initiative  in  the  fields  of  industry,  agri- 
culture, transport  and  commerce."  Is  that  a  capitulation  of  capi- 

50 


talism  to  communism,    or   is  it  a  capitulation  of  communism  to 
capitalism?  (Applause. ) 

Finally,  when  my  respected  opponent  speaks  of  the  sacl  con- 
ditions in  this  country,  in  England,  in  France,  etc.,  I  ask  you, 
ladies  and  gentlemen,  whether  there  isn't  a  difference  between 
unemployment  and  cannibalism.  Cannibalism  is  what  we  have 
actually  come  to  in  Russia  today.  Not  for  centuries  have  there 
been  such  conditions.  And  not  only  do  we  find  this  fierce  struggle 
to  support  life,  but  we  find  the  same  collapse  in  all  the  higher 
manifestations  of  the  spirit  in  the  struggle  of  the  human  soul. 

Let  me  read  one  or  two  passages  from  letters  that  have 
come  to  some  of  us  in  the  last  few  months. 

Here  is  a  letter  from  Professor  Maximoff  of  the  medical 
academy  in  Petrograd :  "With  every  day  life  becomes  more  in- 
tolerable. People  die  like  flies.  If  it  were  not  for  the  hope  of 
escaping  I  would  have  committed  suicide." 

Another  great  scholar,  a  man  who  in  former  times  was 
honored,  writes :  "Tired  and  exhausted  after  a  day  spent  in 
searching  for  food  I  enter  a  cold  and  dark  apartment.  No  water 
or  candle.  I  go.  to  bed  without  taking  off  my  clothes,  I  try  to 
keep  warm.  One  had  to  go  out  and  sweep  the  streets  and  clean 
the  roads  of  sand.  When  I  see  my  entomological  collections 
perish  from  cold  I  do  not  feel  any  more  of  my  hunger,  but  I  run 
like  a  mad  man  to  make  a  fire  to  warm  up  and  save  my  labora- 
tory." 

What  does  Mr.  Rachmaninoff,  your  famous  representative 
of  Russian  intellect,  right  here  in  this  country  say?  He  says: 
"Imagine  a  regime  that  prohibited  by  force  the  publication  of 
books  or  magazines  or  any  outlet  for  the  theories  and  very  arts 
and  fictions  and  drama  that  surge  in  so  many  American  minds. 
Imagine  a  condition  which  made  of  the  creation  of  new  music  or 
wondrous  paintings  an  effort  not  only  to  be  derided  and  ridiculed, 
but  a  crime  as  well." 

Finally,  what  does  he  tell  us  about  the  labor  that  is  imposed 
upon  intellectuals  in  Russia?  "Hard  work  will  never  hurt  any- 
one." But  when  a  violinist,  a  doctor  of  philosophy,  a  poet,  or  a 
great  portrait  painter,  whose  hands  have  been  made  for  honorable 
effort,  in  honorable  profession,  is  forced,  for  no  reason  under  the 
sun  than  the  mad  whim  of  temporary  rulers,  to  the  bench,  plow, 
mop  and  the  hoe,  there  is  danger  that  the  brave  spirits  within 

51 


these  artists  may  droop  with  discouragement  and  their  messages' 
die  unspoken  for  the  delight  of  posterity. 

Ladies  and  Gentlemen :  The  conditions  may  be  bad  in  Po- 
land, France,  Austria  and  even  the  United  States,  but  nothing 
remotely  resembling  the  unspeakable  conditions  which  are  barely 
hinted  at  in  what  I  have  read  you  and  which  could  be  duplicated 
many  times  over  by  letters  that  I  have  received  from  eminent 
thinkers  and  scientists  in  Russia.  There  and  there  only  everything 
that  we  call  civilization  is  slowing,  crumbling  and  disappearing. 

This  is  the  land  of  "sublime  accomplishment."  This  is  the 
land  which  one  by  one  is  giving  up  all  the  theories  of  Marx  upon 
which  Lenin  and  Trotzky  started  out.  This  is  the  land  which,  if 
not  soon  saved  by  the  rest  of  Europe,  as  it  was  partly  saved  from 
the  horror  of  the  famine  by  the  United  States  a  few  months  ago, 
this  is  the  land  which  will  afford  to  us  an  evidence  not  of  the 
victorious  theories  of  Marxism,  but  an  evidence  of  the  depths  to 
which  fatalistic  idealism  will  bring  a  great  and  devoted  and  prom- 
ising nation. 

Ladies  and  Gentlement :  In  closing  I  will  say  that  in  my 
antagonist's  reply  he  must  show  what  he  has  not  shown,  that 
socialism  or  communism,  call  it  what  you  will,  has  succeeded, 
whereas  by  the  statement  by  Lenin  himself  it  had  thus  far  failed. 
Failed,  as  he  says,  "In  the  hope  that,  although  we  are  standing 
on  a  precipice  and  do  not  know  the  result,  we  shall  hope  that  we 
shall  vanquish."  What  my  antagonist  must  deal  zvitJi  is  not  hopes 
but  accomplishments.    (Applause.) 


52 


THE   CHAIRMAN: 
Mr.  Waton  will  now  address  you  for  twenty  minutes. 

HARRY  WATON: 

Comrades,  I  must  be  brief.  First,  as  to  liberty.  My  op- 
ponent quoted  from  the  "Commmunist  Manifesto,"  which  I 
quoted  in  my  "Philosophy  of  Marx,"  the  following:  "In  the 
place  of  the  old  bourgeois  society  with  its  class  antagonisms,  we 
shall  have  an  association,  in  which  the  free  development  of  each 
is  the  condition  for  the  free  development  of  all." 

If  you  turn  to  the  chapter  on  Cooperation,  in  the  first  volume 
of  Capital,  there  Marx  says :  When  one  systematically  cooperates 
with  his  fellow  beings,  he  strips  off  the  fetters  of  his  individu- 
ality and  attains  to  the  capacity  of  his  race.  In  other  words, 
only  through  cooperation,  only  through  the  denial  of  that  liberty 
which  the  capitalist  class  insists  upon  is  it  possible  for  a  man  to 
strip  off  the  fetters  of  individualism  and  attain  to  the  capacity 
of  the  race. 

That  is  what  Marx  means.  The  free  development,  not  liberty. 
The  free  development  of  each  will  be  the  condition  to  the  free 
development  of  all.  Development  and  liberty  are  two  different 
things.  I,  for  instance,  want  to  become  a  writer,  a  speaker  or  a 
musician.  I  can  attain  to  that  on  condition  that  I  subject  my- 
self to  the  laws,  conditions  and  the  requirements  of  the  arts,  the 
sciences  and  the  philosophies,  and  the  like,  to  be  able  to  write, 
to  speak  and  to  create  as  the  sciences  require  and  the  arts  dictate. 

But  that  does  not  mean  liberty.  It  means  free  development. 
Likewise,  when  we  want  to  bring  out  the  social  powers  for  pro- 
duction, we  must  subordinate  all  individuals  to  one  centralized 
plan,  and  then  can  we  bring  out  the  development  of  the  individual 
and  of  society.  But  my  opponent  will  search  in  vain  in  the  writ- 
ings of  Marx  for  a  single  word  as  to  liberty.  On  the  contrary, 
he  laughs  at  liberty.  And  Lenin,  the  greatest  exponent  of 
Marxism,  shows  that  liberty  is  nonsense,  and  in  my  "Fetishism 
of  Liberty"  I  showed  it  is  an  absurdity. 

My  opponent  in  his  first  address  challenged   me  to  prove 

S3 


that  Marx's  theory  that  everything  tends  towards  the  concentra- 
tion of  capital  in  fewer  and  fewer  hands  is  true.  I  leave  it  to 
you,  comrades,  to  turn  to  the  32nd  chapter  of  the  first  volume 
of  Capital.     I  have  no  time  to  quote  it  now.     Read  it. 

If  you  will  find  a  single  word  about  the  concentration  of 
capital — and  I  challenge  my  opponent  to  demonstrate  it,  to  prove 
it — then  I  will  be  willing  publicly  and  at  my  own  expense  to  ap- 
pologize  for  making  that  challenge.  Marx  speaks  of  centraliza- 
tion of  capital  and  not  of  concentration.  I  leave  it  to  my  op- 
ponent to  go  to  Marx  and  find  out  what  is  the  difference  between 
centralization  and  concentration. 

My  opponent  read  letters  from  professors.  Did  you  ever 
see  professors  on  the  side  of  the  proletariat?  The  Russian  pro- 
fessors would  have  drowned  the  Russian  revolution  in  blood.  He 
must  quote  to  me  from  Bolshevik  proletarians  that  they  are  dis- 
satisfied. I  admit  that  the  professors  look  upon  Russia  as  Mr. 
Rachmaninoff,  who  left  his  brothers  to  starve,  and  came  to  Amer- 
ica to  make  money. 

Lenin  is  the  greatest  man  for  having  had  the  courage  to  ad- 
mit that  they  failed  in  many  directions;  for,  in  his  address  to  the 
Congress  of  the  Metal  Workers  only  recently,  he  said :  We  make 
no  more  regress,  but  on  the  contrary  we  now  go  forward.  And 
we  see  that  a  great  movement  has  been  started  to  re-unite  the  con- 
flicting element  in  the  camp  of  the  proletariat.  There  is  now 
being  forged  a  united  front.  The  united  front,  coupled  with  the 
Russo-German  treaty,  will  make  themselves  felt  in  a  few  months 
from  now. 

Lenin,  on  purpose,  has  always  talked  to  the  Russians  and 
told  them  to  be  frank  and  truthful,  in  order  to  learn.  If  you 
consult  Lenin's  work,  "  The  Soviets  at  Work,"  written  by  him  a 
few  months  after  the  Bolshevik  coup  d'etat,  you  will  find  that 
even  then,  more  than  four  years  ago,  Lenin  said :  "We  must 
engage  experts  at  salaries  of  even  twenty-five  thousand  dollars  a 
year."  And  more  than  four  years  ago  Lenin  said  that  the  suc- 
cess of  the  revolution  will  depend  upon  the  concessions  which  we 
will  make  to  foreign  capitalists. 

Lenin  did  not  expect  communism  to  be  established  in  a  jiffy. 
He  demonstrated  that  it  would  have  to  take  at  least  two  genera- 
tions to  do  it.  But  in  the  meantime  we  have  in  Russia  socialism. 
Who  has  ever  pictured  Russia  in  a  good  state?  I  would  like  to 
know  how  my  opponent  would  feel  if  for  eight  years  he  were 

54 


battered  and  badgered  and  starved-  to  death  as  the  Russians  were. 
The  Allied  Powers  wanted  to  starve  Russia.  They  succeeded. 
And  the  Great  Almighty  came  to  their  assistance  and  added  for 
good  measure  the  famine. 

But,  my  good  comrades,  I  have  something  more  important. 
What  about  the  retreat  of  the  Russian  Bolsheviki?  How  far 
will  it  go?  Here  I  ask  you  to  permit  me  to  be  very  quick,  because 
I  have  to  speak  a  lot. 

My  opponent  as  a  historian  presumes  to  judge  of  the  great 
historic  process.  He  ought  to  have  made  sure  of  the  nature  and 
method  of  the  course  of  progress.  Did  he?  We  shall  presently  see. 

Progress  is  a  moving  forward.  It  is  essentially  movement, 
and  all  movement  is  rhythmic,  that  is  forward  and  backward. 
The  reason  for  this,  as  shown  by  Herbert  Spencer,  is  that  every 
body  moving"  in  space  meets  with  resistance,  and  the  resultant 
therefore  can  be  but  a  forward  and  backward  movement.  A  few 
illustrations  will  make  it  clear. 

When  standing  at  the  sea-shore  and  observing  the  coming  in 
of  the  tide,  we  notice  the  following :  The  sea  sends  out  a  wave 
beyond  the  low  water  mark,  which  waves  returns.  It  sends  out 
another  wave  beyond  the  first  wave,  which  second  wave  returns. 
It  sends  out  a  third  wave  beyond  the  second  wave,  which  returns. 
And  so  it  sends  waves  forward  and  backward  until  it  reaches  the 
high  water  mark. 

When  we  reflect  on  this,  we  notice  that  though  the  move- 
ment of  the  sea  was  forward  and  backward,  in  the  main  it  was 
forward. 

Likewise,  when  we  reflect  on  the  progress  of  the  seasons,  we 
perceive  the  same  thing.  We  rise  in  the  morning,  go  out  into  the 
street ;  the  sky  is  clear,  the  sun  is  bright,  the  atmosphere  is  warm 
and  we  feel  glad;  spring  is  here.  We  feel  like  taking  off  our 
winter  clothes  and  look  forward  towards  bright  and  warm  days. 
The  next  day,  however,  disappoints  us :  it  is  cloudy,  cold  and  ends 
in  snow.  A  few  days  later  we  have  again  bright  and  warm  days, 
followed  by  cloudy,  cold  and  rainy  days,  and  again  bright  and 
warm  days,  until  we  have  Spring  in  all  its  glory. 

Here,  again,  when  we  reflect  on  the  course  of  the  season,  we 
perceive  that,  though  its  movements  were  forward  and  back- 
ward, in  the  main  they  were  forward.  This  is  the  universal 
characteristic  of  progress. 

55 


If  time  permitted  it  would  be  most  illuminating  to  make  an 
excursion  through  astronomic,  geologic,  psychologic  and  socio- 
logic  phenomena  and  perceive  that  throughout  all  the  infinite 
manifestations  of  existence  this  is  the  course  of  progress.  But  I 
must  limit  myself  to  a  hasty  survey  of  human  progress.  When 
we  contemplate  human  progress  both  from  the  point  of  the 
achievements  and  from  the  point  of  the  means  of  progress, 
namely,  the  human  race,  we  find  that  all  human  progress  was 
rhythmic,  a  forward  and  backwrd  movement.  When  we  con- 
template from  the  point  of  the  achievements,  we  find  that  after 
periods  of  great  religious  exaltation  and  creative  work  came 
periods  of  religious  depression  and  indifference.  After  great 
political  progress  came  political  regress.  After  periods  of  re- 
naisancc  in  the  arts,  the  sciences,  the  industries  and  the  philo- 
sophies came  periods  of  indifference,  stagnation,  degeneration 
and  decay,  followed  again  by  periods  of  exaltation,  progress  and 
regeneration,  and  so  on  indefinitely. 

Again,  when  we  contemplate  the  course  of  progress  of  the 
human  race  itself,  here  we  perceive  a  most  wonderful  truth  which 
has  escaped,  not  only  the  scientists,  but  also  the  socialists  of  the 
world.  Here  we  perceive  a  most  remarkable  thing.  As  the  sea, 
life  sent  out  a  wave  of  progress  through  the  Chinese  and  other 
ancient  nations,  and  that  wave  returned.  Life  then  sent  out  an- 
other wave  of  progress  through  the  Egyptians,  the  Babylonians 
and  the  Hindus,  then  below  the  Chinese  in  progress,  which  wave 
went  beyond  the  first  wave  and  returned.  It  then  sent  out  a  third 
wave  of  progress  through  the  Jews,  the  Greeks  and  the  Romans, 
then  below  the  Egyptians,  the  Babylonians  and  the  Hindus,  which 
wave  went  beyond  that  of  the  latter  and  returned.  Life  then 
sent  out  another  wave  of  progress  through  the  Teutons,  the 
Saxons,  the  Normans  and  the  Franks,  then  below  the  Jews,  the 
Greeks  and  the  Romans  in  progress,  which  went  beyond  the 
preceding  wave  and  returned.  The  same  was  followed  in  the 
case  of  the  Arabs,  the  Turks,  and  also  in  the  modern  renaisance. 
And  now  life  sends  out  a  wave  of  progress  through  the  Russians, 
that  are  below  the  Teutons,  the  Saxons,  the  Normans  and  the 
Franks,  but  this  wave  will  go  beyond  all  preceding  waves  of 
progress,  and  it,  too,  will  return,  to  be  followed  by  still  higher 
waves  of  progress  in  other  nations,  and  so  ad  infinitum. 

Now,  when  we  contemplate  the  course  of  human  progress, 
we  perceive  that,  though  its  movements  were  forward  and  back- 
ward, in  the  main  they  constituted  one  grand  epic  of  human 
progress.    The  course  of  progress  always  started  a  new  wave 

56 


through  an  element  below  the  one  that  served  as  the  previous 
medium  of  progress  and  moved  further.  Here  we  find  a  new 
truth,  brought  to  light  by  Hegel  and  Spencer,  that  every  step  in 
progress  becomes  a  hindrance  to  further  progress.  My  opponent, 
like  most  socialists,  asked  the  question :  Why  did  not  the  revolu- 
tion break  out  in  England  ?  Here  he  finds  the  answer,  because  the 
English  had  made  previous  progress,  which  became  a  hindrance 
to  their  further  progress,  and  life  therefore  will  use  a  medium 
for  progress  such  as  offers  least  resistance,  such  as  is  not  blocked 
by  previous  progress.  This  is  a  truth  we  find  throughout  all 
history. 

And  now  we  shall  be  able  to  understand  the  course  of  the 
Russian  revolution.  But,  before  we  come  to  the  Russian  revolu- 
tion, let  me  give  you  a  brief  sketch  of  an  analogous  revolution, 
namely,  the  bourgeois  revolution  in  France.  Prior  to  1789 
France  was  feudalistic  and  monarchic.  A  crisis  precipitated  the 
revolution.  The  first  revolutionary  wave  brought  the  Constitu- 
tionalists to  the  fore.  The  second  wave  brought  the  Girondins 
to  the  fore.  The  third  wave  brought  the  Jacobins  to  the  fore. 
In  1793  the  revolutionary  waves  reached  the  highest  crest.  Great 
political  and  economic  changes  were  inaugurated.  But,  as  France 
did  not  receive  fresh  revolutionary  streams  from  other  countries, 
the  revolution  began  to  subside.  And  then  the  process  is  re- 
versed. The  Jacobins  are  overthrown,  then  the  Girondins,  then  the 
Constitutionalists,  and  Napoleon  takes  their  place.  In  1815  even 
Napoleon  is  overthrown,  the  Bourbons  are  restored,  the  mon- 
archy is  reestablished,  and  reaction  is  settled  down,  and  it  seems 
as  if  the  revolution  is  dead.  But  it  is  not  dead.  In  1830  it  sends 
out  a  new  wave  which  overthrows  the  landed  aristocracy  and 
brings  to  the  fore  the  finance  aristocracy,  and  inaugurates  some 
political  changes.  In  1848  another  revolutionary  wave  over- 
throws the  finance  aristocracy,  brings  to  the  fore  the  industrial 
capitalist,  inaugurates  some  political  changes  and  establishes  the 
republic.  Here,  again,  the  revolutionary  tide  of  Europe  failing, 
the  revolution  in  France  begins  to  subside.  Louis  Bonaparte  de- 
stroys the  republic,  establishes  again  the  monarchy,  reaction  sets 
in,  and  it  seems  that  the  revolution  is  again  dead.  But  it  is  not 
dead.  In  1870  it  sends  out  another  revolutionary  wave  which 
overthrows  the  monarchy,  reestablishes  the  republic,  the  most 
proper  form  of  government  for  capitalism,  clears  the  ground  for 
the  capitalist  class  and  the  historic  task  of  the  revolution  is  ac- 
complished. 

When  we  contemplate  the  course  of  the  bourgeois  revolution 

57 


in  France,  we  find  that,  though  its  movements  were  forward  and 
backward,  in  the  main  they  were  forward.  The  revolution  ac- 
complished its  historic  purpose.  It  destroyed  monarchy  and 
feudalism,  annihilated  the  feudal  aristocracy  and  nobility,  cleared 
the  ground  for  capitalism,  and  established  the  capitalist  class  in 
power.  And  the  course  of  the  bourgeois  revolution  in  France 
was  only  typical  of  its  course  in  all  other  capitalist  countries. 
And  now  we  shall  be  able  to  understand  the  Russian  revolution. 

We  shall  not  go  far  into  ancient  history,  but  come  straight  to 
the  Russian  revolution.  When  the  revolution  broke  out,  the  first 
revolutionary  wave  brought  to  the  fore  the  Lvofs  and  the 
Miljukoffs,  constitutionalists.  The  next  wave  brought  to  the  fore 
Kerensky  and  the  Menshiviki,  more  revolutionary.  The  third 
revolutionary  wave  brought  to  the  fore  Lenin  and  the  Bolsheviki, 
the  most  revolutionary.  Great  political  and  economic  revolutions 
are  effected  and  fundamental  changes  are  inaugurated.  But  here, 
as  in  France,  as  no  new  revolutionary  streams  come  from  Europe, 
the  revolution  in  Russia  began  to  subside.  The  Bolsheviki  were 
then  confronted  with  this  alternative:  either  to  pursue  the  for- 
ward course  towards  communism  and  like  the  Jacobins  in  France, 
to  be  guillotined,  or  to  yield  to  the  logic  of  events  and,  as  Lenin 
said,  to  hold  on  to  that  link  which  the  chain  of  progress  presents 
each  day.  Fortunately  for  the  cause  of  the  international  pro- 
letariat, the  Bolsheviki  learned  from  Marx  to  retreat  a  step  in 
order  to  be  able  to  make  a  new  advance.  This  was  foreseen  by 
Lenin  even  in  the  days  of  the  bight  of  the  revolution,  as  can  be 
seen  from  his  "Soviets  at  Work,"  written  by  him  only  a  few 
months  after  he  came  into  power.  Then  he  said,  this  is  the  time 
to  pause,  to  retrench  ourselves,  to  come  nearer  to  the  base  of 
operation  and  to  begin  to  make  preparations  for  further  progress. 

Hence,  the  partial  return  to  capitalism.  This  was  in  perfect 
accord  with  the  eternal  and  universal  law  of  progress,  and  a  con- 
formity with  the  eternal  and  universal  law  of  progress  is  not  a 
failure,  is  rather  a  success.  The  fact,  that  the  Russians  are  still 
suffering,  proves  nothing.  I  might  take  a  plot  of  land,  plow  it 
through  and  sow  seeds  in  it.  A  fool,  standing  nearby,  might 
laugh  at  me  for  taking  good  seeds  and  throwing  them  into  the 
ground,  there  to  be  lost  and  destroyed,  while  I  might  rather  have 
eaten  the  seeds  now  and  satisfied  my  hunger  and  enjoyed.  But, 
what  the  fool  does  not  know,  I  know.  I  know  that  the  seeds  will 
neither  be  lost  nor  be  destroyed.  But.  on  the  contrary,  that  as 
soon  as  I  throw  the  seeds  into  the  ground,  Mother  Nature  takes 
them  up,  bathes  them  in  the  rain,  warms  them  in  the  sunshine, 

58 


feeds  them  from  her  breast  on  her  infinite  energy,  and  day  and 
night  with  infinite  care  watches  them,  and  so  for  a  period  of  three 
months ;  when,  lo  and  behold,  there  from  the  seeds  sprouted  out 
and  grew  up  strong  and  beautiful  plants,  yielding  in  return  seeds 
a  hundredfold,  a  thousandfold.  It  is  true  that  I  am  now  hungry 
and  would  enjoy  the  seeds  now ;  but  I  know  that,  unless  I  suf- 
fered now  and  patiently  bided  my  time  and  made  the  best  of  the 
circumstances  and  prepared  for  the  future.  I  would  be  even  in 
greater  peril  of  losing  my  life  in  the  future.  Unless  I  sow  the 
seeds  in  the  Spring,  I  shall  starve  to  death  in  the  Fall.  This  is  the 
law  of  existence,  and  in  accordance  with  this  law  the  Russians 
have  been  sowing  the  seeds  for  the  last  five  years,  to  reap  a  rich 
harvest  in  the  future. 

Can  my  opponent  rationally,  intelligently  and  humanly  ex- 
pect that  the  Russian  revolution,  the  greatest  revolution  on  earth, 
covering  one-sixth  of  the  earth's  surface,  that  has  been  in  ex- 
istence only  five  years,  that  this  revolution  should  already  have 
been  prosperous  now?  Why,  comrades,  it  would  have  been  pre- 
posterous ;  it  would  be  absurd ;  it  would  be  impossible.  It  would 
mean  a  miracle  more  than  God  himself  could  do. 

There  is  a  Jewish  saying  which,  as  a  Jew  I  appreciate  very 
much,  and  which  I  want  to  tell  you  in  conclusion:  "Don't  show 
to  fools  uncompleted  work." 

(The  applause  at  this  point  was  very  great  and  continued  to 
increase,  whereupon  Mr.  Waton  rose  and  asked  the  audience  to 
join  him  in  three  cheers  for  the  Russian  Soviet  Republic.  The 
cheers  were  deafening.) 


59 


PROFESSOR    SELIGMAN: 


Ladies  and  Gentlemen  : 

•  First,  as  to  a  very  minor  point,  the  point  of  concentration 
versus  centralisation.  I  quote  again  from  a  very  remarkable 
work,  "The  Philosophy  of  Marx,"  by  Mr.  Waton.  In  the  middle 
of  page  255  he  objects  to  the  present  system  because  "it  excludes 
the  concentration  of  the  means  of  production."  On  page  256  you 
will  find,  "the  transformation  of  the  individualized  and  scattered 
means  of  production  into  socially  concentrated  ones."  And  at  the 
bottom  of  the  page  and  continuing  to  the  next  we  find :  "This 
expropriation  is  accomplished  by  the  imminent  laws  of  capitalist 
production  itself,  by  the  centralization  of  capital ;  that  is,  not  by 
the  concentration  of  capital  into  the  hands  of  capitalists,  but  by 
the  centralization,  organization  and  cooperation  of  capital.  The 
capitalist  whose  capital  has  been  consolidated  and  centralized  .  .  ." 
On  page  259 :  "Centralization  and  not  merely  concentration." 
That  means  concentration  as  well  as  centralization. 

Let  us  stop  all  these  absurd  disputes  which  add  nothing 
anyway  to  the  discussion.  Let  us  come  to  the  next  point.  My 
opponent  poured  out  his  wrath  upon  the  professors  and  intel- 
lectuals who  have  always  been  against  progress.  Was  Marx  an 
intellectual  or  not?  (Interjected  by  Mr.  Waton:  "Yes,  an  intel- 
lectual but  not  a  professor.")  Were  about  half  of  the  great  social- 
ists that  Russia  has  known  professors  or  not? 

In  fact  the  whole  intellectual  armory  of  socialism  and  com- 
munism comes  from  the  thinkers  and  the  professors. 

Moreover,  my  objection  to  communism  is  not  simply  that  it 
calls  intellectualism  a  joke  and  kills  the  intellect,  but  that  is  also 
kills  the  workingmen. 

My  opponent  asks  whether  any  Bolsheviks  have  objected.  If 
there  were  time  I  should  like  to  read  to  you  the  protest  from  the 
trade  unions,  from  the  workingmen  in  the  various  parts  of  Rus- 
sia protesting  against  the  way  in  which  the  strikes  were  ruthlessly 
suppressed ;  protesting  against  the  way  the  strike  leaders  were 
executed ;  protesting  the  way  they  are  compelled  to  work  eighteen 
hours  in  some  of  the  factories.  All  of  this  I  could  quote  to  you 
if  there  were  time. 

60 


The  real  objection  to  communism  is  indeed,  as  my  opponent 
has  intimated,  that  it  kills  individualism,  and  in  killing  individual- 
ism it  kills  art  as  well  as  science.  Art  is  nothing  if  not  the  expres- 
sion of  the  individual.  The  efforts  that  are  being  made  now  by 
the  Art  Commissar  to  force  into  art  those  fictitious  acceptances 
of  communism  are  killing  art  just  as  they  are  killing  science. 

Mr.  Lenin,  in  the  speech  which  I  hold  in  my  hand,  says  there 
are  three  things  we  must  guard  against.  "The  three  principal 
enemies  which  we  have  to  face  are  communistic  arrogance,  il- 
literacy and  barbarity." 

How  does  he  define  communistic  arrogance?  "Communistic 
arrogance  means  that  a  man  who  is  a  member  of  the  communist 
party  and  has  not  yet  been  cleaned  out,  imagines  that  he  can  solve 
all  his  tasks  by  communist  phrase-making." 

I  don't  wish  to  be  impolite  because  my  antagonist  has  sedu- 
lously observed  the  better  conventions  of  a  debate,  but  I  would 
appeal  to  you  that,  after  all,  this  battle  can  never  be  fought  out 
by  mere  phrase-making. 

You  have  got  to  face  the  facts.  The  facts  are  that  one  by 
one  Lenin  and  the  rest  are  going  back  surely  but  slowly  in  sub- 
stance and  even  in  form  to  all  the  positions  which  they  opposed 
a  few  years  ago. 

Now,  ladies  and  gentlemen,  I  submit  that  my  antagonist  has 
not  met  me  on  those  fundamental  points.  He  has  not  contro- 
verted a  single  one  of  the  facts  which  show  that  Russia  today  is 
becoming,  on  the  one  hand,  a  huge  chaos,  and  on  the  other  hand, 
the  greatest  example  of  forcible  suppression  on  the  part  of  every 
one  who  is  not  a  member  of  the  tiny  group  that  is  running  the', 
country.  He  has  not  sought  to  controvert  my  argument  as  to  the 
inadequacy  of  the  specific  Marxian  theories  of  surplus  value,  of 
concentration  or  centralization  of  capital,  of  pauperism  and  of 
the  cataclysm  of  society,  and  he  has  not  been  able  to  explain  how 
a  return  to  capitalism  means  a  return  to  socialism.  In  all  these 
points  he  has  failed  to  make  good. 

In  conclusion,  the  reason  why  international  communism  is 
going  to  pieces  today  in  this  country  as  well  as  in  other  countries, 
and  why  only  a  fraction  of  the  socialists  outside  of  Russia  are 
adherents  of  the  communist  idea,  is,  as  I  take  it,  twofold ;  first 
and  foremost,  the  communists  in  Russia  are  not  willing  to  admit 
that  real  progress  comes  not  through  revolution  but  through  evo- 
lution.  If  there  is  any  soundness  in  socialism  at  all  it  is  on  the 

61 


side  of  those  who  preach  socialism  through  evolution  rather  than 
socialism  through  revolution. 

Although  I,  of  course,  concede  revolution  has  had  its  place  in 
our  own  American  republic  and  elsewhere,  it  can  only  succeed  as 
it  did  then,  when  the  inner  forces  are  in  harmony  with  the  outer 
forms.  When  this  is  not  the  case  it  is  bound  to  be  a  failure.  As 
a  consequence  the  whole  labor  reform  and  social  reform  move- 
ment in  every  country  outside  of  Russia  is  making  progress 
through  evolution  and  not  through  revolution. 

But  there  is  a  second  reason  why  Marxism  will  in  the  end 
never  succeed.  Marx  objected  to  the  sentimental  socialist.  He 
objected  to  anything  that  emphasises  the  spiritual  side  of  man- 
kind. 

Now,  ladies  and  gentlemen,  I  also  believe  in  reform.  I  am 
like  many  or  all  of  you,  by  no  means  satisfied  with  the  social 
conditions  of  today,  but  the  social  reform  that  I  believe  in  is  a 
gradual,  a  sound,  pervasive  reform,  a  reform  so  replete  with  har- 
mony between  the  inner  and  the  outer  phases  that  it  will  be  at 
once  abiding  and  far-reaching. 

It  is  only  in  this  way,  ladies  and  gentlemen,  that  you  ever 
effect  a  reconciliation  with  justice  and  liberty,  the  liberty  which 
we  are  told  in  Russia  every  one  derides  today.  It  is  only  in  this 
way  that  we  shall  be  able  to  affuse  the  creative  and  the  acquisitive 
spirit ;  it  is  only  in  this  way  that  we  shall  be  able  to  lay  the  founda- 
tions of  social  production  so  broad  and  so  firm  and  so  enduring 
that  on  them  it  will  be  possible  to  erect  the  future  temple  of  social 
peace  with  its  wide  and  glorious  wave  of  equal  opportunity  and 
its  slim  and  lofty  spire  of  ideal  fulfilment — cleave  the  clouds  of 
antagonism  rising  above  the  mists  of  prejudice,  distrust  and  soar- 
ing into  the  deep  and  eternal  blue  of  infinite  achievement  and 
unending  progress.  (Applause.) 


62 


LITERATURE 

The  Marx-Engels  Institute  carries  a  complete  line  of 
standard  literature  on  economics,  sociology,  anthropology, 
history,  philosophy,  and  kindred  subjects,  and  can  supply 
books  on  any  subject  when  desired. 

We  especially  call  your  attention  to  the  following  works 
by  Harry  Waton : 

"Pain  and  Pleasure/'  printed  on  high-grade  paper, 

and  well  bound  in  dark  red  cloth $1.50 

"The  Fetishism  of  Liberty/''    bound  in  dark  red 

cloth   1.00 

Same  in  paper  cover 25 

"The  Philosophy  of  Marx/'  bound  in  flexible  red 

cloth  1.00 

Same  in  paper 25 

"The  Seligman-Waton  Debate" 25 

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