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Full text of "Gunton's magazine"

v 




JACOB GOULD SCHURMAN, LL.D. 



See page 15 





. - 



GUNTON'S 



AZINE 



REVIEW OF THE MONTH 



In Memory 
of Washington 



On the 1 4th of December, just one hun- 
dred years after his death, impressive 
Masonic services were held at Mount 
Vernon in memory of George Washington. Seldom if 
ever has this anniversary been more significant and 
suggestive. A century ago the four or five million 
people of this country were starting on a national ca- 
reer. To-day, at the centennial anniversary of Wash- 
ington's death, the nation itself is in a sense entering 
upon a larger world career. This will be true whether 
or not we retain possession of the Philippine Islands, 
or whether we govern our other island acquisitions as 
colonies or as inherent parts of the republic. The 
movement of the nations to-day is tending toward a 
great collision between the Teutonic and Slavic civili- 
zations in the Orient. Our interests, commercial more 
than political, are reaching into that quarter of the 
globe, and we can hardly avoid, if we would, having a 
large share in the influences that are to shape world 
destinies there in the next few decades. Success in 
that great contest, and our own continuous progress, 
will depend greatly upon whether our part in it is one 
of high-minded cooperation for the advance of civiliza- 
tion, or mere booty-hunting " entangling alliances" 
with foreign nations, against which Washington warned 
the young republic. 

1 



G C/NTON'S MA GAZINE I January, 



The character of President McKinley's 
President's message to congress is an index to this 

Message new trend. Problems of foreign posses- 

sions, some near us and some far away, are unfamiliar 
subjects in our presidential messages. This time they 
occupy a large part of the document. Of course the 
president declares, and rightly, that our one duty in 
the Philippines now is to suppress the rebellion, re- 
gardless of future policy. The question of future dis- 
position of the archipelago he leaves entirely to con- 
gress, practically without recommendations, as has been 
his custom with respect to nearly all important and dis- 
puted questions of public policy. The building of the 
Nicaragua canal and laying of a Pacific cable are urged, 
and also the appointment of a commission to study 
commercial and industrial interests in China. Terri- 
torial government for Porto Rico is recommended, and 
free trade between that island and this country is urged 
as " our plain duty." Upon this we have commented 
elsewhere, as also on Mr. McKinley's remarks concern- 
ing large corporations, miscalled "trusts." Liberali- 
zation of our national banking laws, and additional 
powers to the executive for the purpose of securing the 
gold standard, are strongly advised, likewise a measure 
to stop the danger to the treasury involved in the sys- 
tem of endless-chain manipulation of the greenbacks. 

Foreign comment on the message was almost uni- 
versally favorable ; especially in Germany, because of 
the extremely cordial sentiments expressed toward that 
country. 

Thc The condition of the treasury as shown 

National in the message is more favorable than 

Treasury f or man y years past, in spite of the 

extraordinary drains of the last two years. True, the 
national debt has been increased during this period by 





I900.J REVIEW OF THE MONTH 3 

nearly $200,000,000, but the available cash balance on 
December ist was $278,004,837.72, of which nearly 
$240,000,000 was in gold coin and bullion. The esti- 
mated expenditures for the fiscal year 1901, for which 
the present session of congress must make the appro- 
priations, amount (exclusive of postal expenditures) to 
about $578,000,000; this enormous sum, however, in- 
cludes all the requests for appropriations from all the 
departments, some of which are invariably reduced by 
congress. For the fiscal year ending June 3ist last 
there was a deficit of nearly $90,000,000, but for the 
current year a surplus of $48,000,000 is expected. 
Customs and internal revenue receipts at present are 
coming in at the rate of almost $48,000,000 per month 
those from internal revenue alone amounting to about 
$25,000,000 monthly. This means a purely domestic 
taxation of fully $4.00 per capita. Remembering this, 
we shall not hug the belief that expansion costs noth- 
ing simply because the treasury shows a cash balance. 

Secretary Root's report to the president 
concerning the war department is an 
able document, with a refreshingly inde- 
pendent and progressive spirit. He is the first secre- 
tary of war in many years who has been able to muster 
up courage to attack the antiquated system of organiza- 
tion under which our little standing army of 25,000 
men was so long administered, and propose radical re- 
organization on the lines of the best modern practice. 
His recommendations include a new classification of 
executive functions, a more efficient system for organi- 
zation of volunteers, a distinct head for the artillery 
service, regular mobilization and evolutions, with naval 
cooperation, radical modification of the promotion-by- 
seniority system, and selection of staff officers for 
ability instead of " social or political influence." 




GUNTON'S MAGAZINE 



[January, 



Secretary Long's report for the navy is naturally of 
a different sort, because there are not such grave de- 
fects in that department to be remedied. The feature 
of the naval report is the urgent request for heavy ap- 
propriations for new naval equipment, including three 
armored cruisers of 13,000 tons displacement, to cost 
about $4,500,000 each, three protected cruisers of 8,000 
tons, costing $3,000,000 each, and twelve gunboats 
of 900 tons, to cost an aggregate of about $3,000,000. 
The total tonnage of warships now under construction 
is 123,236, which by the way is less than one-fourth the 
tonnage of English warships now under way, and also 
less than France, Germany, Russia and even Japan. 
Secretary Long as well as Secretary Root attacks the 
evils of exceptional promotions in disregard of senior- 
ity, and suggests instead a system of medals, one of 
which (to be granted for extraordinary service) shall 
carry with it an increase of pay similar to what the 
officer would receive if promoted ahead of his regular 
turn. 

Prompt The 56th congress opened on the 4th of 

Currency December, with the election of David B. 

Legislation Henderson of Iowa to the chair so long 

occupied by Speaker Reed. After a short but sharp 
clash over the question of admitting Roberts, the Utah 
polygamist, who was denied permission to take the oath 
at least until a special committee should decide on the 
merits of his case, the house almost immediately settled 
down to consideration of the money question. A bill 
was introduced declaring in definite terms the gold 
dollar of 25.8 grains, nine-tenths fine, to be the stan- 
dard of value, and all interest-bearing debts of the 
United States and United States notes to be redeemed 
in gold. It provided further for creating a department 
of redemption in the treasury, separate from the purely 



i 9 oo.j REVIEW OF THE MONTH 6 

revenue and expenditure operations of the government. 
The secretary of the treasury is authorized to sell bonds 
to maintain the gold reserve if necessary, and it is pro- 
vided that greenbacks paid into the treasury for gold 
shall only be reissued on receipt of gold in exchange for 
them. Permission is granted to national banks to issue 
circulation up to the par value of the bonds they 
deposit with the government, instead of only 90 
per cent, as heretofore, and the establishment of na- 
tional banks with $25,000 capital in towns of not more 
than 2,000 inhabitants is authorized. Simultaneously, 
a bill along much the same lines was introduced in the 
senate, containing however an additional provision 
for refunding at 2 per cent, about $850,000,000 of the 
national bonded debt, which would extend the time of 
maturity in one case twenty-two years, in another 
twenty-three years and in another twenty-six years, 
beyond the dates when the old bonds would be pay 
able. 

Debate on the house bill lasted one week only, and 
revealed hopeless divisions among the opposition. Free 
silver did not enter into the debate. The bill was 
passed on the afternoon of December i8th by a vote of 
190 to 150, eleven democrats voting for it. 

New Few actions of the administration have 

Governor had more widespread approbation than 

of Cuba the appointment on December I3th of 

Major General Leonard Wood to be military governor 
of Cuba. General Wood's administration of the prov- 
ince of Santiago has reflected such conspicuous ability, 
effectiveness and integrity as to put him easily at the 
head of oar officials who have been trying to bring or 
der out of the chaos left by the war. This is a particu- 
larly opportune appointment, because in the last few 
weeks there have been rumors of increasing friction 



GUNTON'S MAGAZINE 



[January, 





and possible outbreaks against American occupation in 
Cuba. This would not be surprising, since an igno- 
rant population is likely to judge of the sincerity of 
promises in proportion to the promptness of their ful- 
filment. Necessarily, our task in Cuba will continue 
for some time yet, and we shall have to meet the sus- 
picion of the inhabitants that we do not intend to act 
in good faith. To meet such a situation no man in our 
military service is better equipped than General Wood. 
Under his administration it seems altogether probable 
that our high plane of disinterested policy there, as re- 
iterated in the president's message, looking toward 
complete independence of the island, will be wholly 
successful. 



Straggling 
"Warfare in 
the Philippines 



tne other side of the globe we are 
still meeting armed resistance. The 
Philippine rebellion, while fast breaking 
up into scattered bands operating by themselves and 
practically without regard to central authority, still 
continues to drag its weary length along. It is taking 
on the peculiarly difficult characteristics of irregular 
guerrilla warfare, which no definite battle or agreement 
or treaty of peace is really sure to terminate. Ne^ver- 
theless, the rebellion seems so near an end that con- 
gress ought to go ahead and lay out a program of local 
government, and provide the means necessary to estab- 
lish it, just as fast as our outposts are advanced and 
peace established. This is the plan recommended so 
strongly by President Schurman, and seems far more 
sensible than the idea of waiting until some official sur- 
render of the rebel army can be had. 



The campaign north of Manila has al- 
most ceased to be a campaign and taken 
on the characteristics of a chase, 
whether a wild-goose chase or not does not yet appear. 



Pursuing 
Aguinaldo 




i goo.] REVIEW OF THE MONTH 7 

If the primary object is to capture Aguinaldo, our 
troops are likely to put in a prodigious amount of over- 
land travel before they succeed. According to the last 
reports, the rebel leader has changed his course and is 
fleeing to the South with the idea of joining the still 
rather formidable body of insurgents in Cavite prov- 
ince, south of Manila. On November 24th the presi- 
dent of the Filipino congress, Bautista, surrendered to 
General MacArthur in the vicinity of Dagupan. Early 
in December one of the prominent Filipino leaders, 
General Alejandrino, is also reported to have surren- 
dered to MacArthur. The campaign is in many respects 
one of excessive hardship. The troops make incessant 
and prolonged marches over unfamiliar and rough 
territory, relying on the country for food and supplies ; 
many are practically shoeless, and they are compelled 
to surmount all sorts of obstacles raised in their path 
by the retreating insurgents and ford all sorts of 
streams, sometimes the same stream a dozen times in 
one day. In the tropical summer as well as the Rus- 
sian winter, nature fights for the man who is at home 
on his own ground. 

Outside of Luzon little of importance is taking 
place in the archipelago. Commander Very, with the 
gunboat Castine, captured the town of Zamboanga on 
the island of Mindanao, about the middle of November ; 
the insurgents evacuating the town without resistance. 

Some While we are trying to put down armed 

Dangers insurrection and set up a stable govern- 

at Home ment in the far East, by the way, we 

ought not to overlook the fact that portions of our own 
country have not advanced very far beyond the need of 
primary civilizing influences. Kentucky, for example, 
during the last few weeks has presented a discouraging 
spectacle. To say nothing of the barbarous torture and 



8 GUN TON'S MAGAZINE [January, 

burning of a negro by a mob of citizens who declined 
even to wear masks, and challenged the authorities to 
arrest them, and to pass over furthermore a number of 
mountain fights in which something like half a dozen 
Kentuckians were murdered, the political situation 
alone has been bad enough to cause grave anxiety to 
all friends of democratic institutions. It is clear that 
innovation of new influences of some sort is needed in 
Kentucky, and needed very badly. The population, 
which by descent at least ought to be of high quality, 
seems not to have learned the lesson of peaceable sub- 
mission to the will of the majority much better than in 
the Latin- American republics. In the counting of the 
votes for governor thousands of Taylor votes were 
thrown out because of technical defects apparently 
brought about in advance of the election by the Goebel 
men ; while the latter make counter-charge of gross 
frauds and will contest the election. Governor Tay- 
lor's plurality was 2,383, and he was inaugurated at 
Frankfort on December i2th. We cannot reasonably 
suppose that all the villainy was on one side. It is 
more than mere partisan frauds that is the trouble in 
Kentucky. The real danger element is the disposition 
of the people to convert elections into a matching of 
physical force and competition in ballot-box manipula- 
tion. This is not peculiar to Kentucky, however. It 
is a rather familiar aspect of southern elections, and 
will only disappear with the oncoming of a higher 
grade of industrial civilization. Mere aristocratic her- 
edity is not a good enough guaranty of stable democ- 
racy. 

Death of Tne death of Garret A. Hobart, Vice- 

Vicc-Presidcnt President of the United States, occurred 
Hobart on November 2 1 st. Mr. Hobart was per- 

haps the most conspicuously active occupant of the 



i 9 oo. ] RE VIE W OF THE MONTH t 

office that the country has had, redeeming it somewhat 
from the tradition of honorable uselessness and general 
isolation from the practical affairs of government into 
which it had fallen. The secretary of state, John Hay, 
is now next in line of succession should President Mc- 
Kinley die before the expiration of his term. Naturally, 
the question of who is to occupy the second place on the 
ticket with Mr. McKinley next year is already a topic 
of active discussion. Among the most prominently 
mentioned are Secretary Root and Governor Roosevelt, 
although it is extremely unlikely that the latter, so far 
from desiring it, could be prevailed upon to accept it. 



The Addyston ^ ^tle excitement was aroused by the 
Anti-" Trust decision of the United States Supreme 
Decision Court, rendered on December 4th, by 

which the combination of the Addyston Pipe and Steel 
Company and other corporations is declared illegal, and 
ordered to be dissolved. For a time it was imagined 
that this might be applied to large corporations in gen- 
eral, which go popularly but erroneously by the name 
of "trusts." Further examination of the decision, how- 
ever, revealed that the Addyston combination was not 
in the nature of a legitimate integration of capital at 
all, but merely a trade agreement to refrain from com- 
petition between themselves in some thirty-six states, 
and making other arrangements for the control of prod- 
uct, prices, etc. The great consolidations organized 
during the last year or two are of an entirely different 
character, being simply corporations differing from 
other stock companies only in size. The decision, 
therefore, instead of being at all alarming, is just what 
the organizers of such a combination as the Addyston 
ought to have expected, and really deserved. Combi- 
nations of that sort fill no legitimate function in eco- 
nomic society, and are sure to be eliminated sooner or 



10 GUNTON'S MAGAZINE [January, 

later by natural economic forces if not by legal meas- 
ures. 



The operatives in the textile factories of 
LaWs p al ^ Ri ver> Massachusetts, in their suc- 

Prosperity 

cessful demand for a ten per cent, in- 
crease of wages, set the ball rolling for the whole tex- 
tile industry throughout the country. The increase 
was followed by most of the cotton and woolen factories 
throughout New England, affecting probably 150,000 
employees. Not only in New England but in the 
South the same forces have been operating, affecting 
perhaps 20,000 operatives. We note also considerable 
wage increases by the Boston & Maine, Brooklyn 
Rapid Transit, and Delaware, Lackawanna and Western 
railroads, window-glass corporations in New Jersey, 
employees in the great lakes carrying trade, and in 
numbers of isolated establishments throughout the 
country. At the same time the printing trades through- 
out the country have been successful in securing the 
uniform nine-hour day. A hint of the general tendency 
of affairs may be found in the December Bulletin of 
the Bureau of Labor Statistics of New York State, show- 
ing a gain in the membership of trade unions from 
188,455 on June 30th to 209,120 on September 3Oth, 
and at the same time a steady increase all along the 
line in per capita earnings. For the quarter ending 
June 3Oth the number of unemployed union members 
in the state was 4,788; in 1898 it was 9,734; in 1897, 
10,893. In other words, in 1899 the percentage of un- 
employed was only 2.3, against 6.5 in 1897. At the 
convention of the American Federation of Labor, which 
met in Detroit on December nth, President Gompers 
congratulated workingmen on the benefits of the indus- 
trial revival in which they are sharing. 



igoo. ] RE VIE W OF THE MONTH 11 



England^ ^he situation confronting England to-day 

Serious is most grave. It cannot be denied that 

Reverses fae direction of the conflict with the Boers 

thus far has been lamentably deficient in military judg- 
ment, serious recognition of the real situation, and ade- 
quate preparation for it. From the start the strength 
of the Boer army has been underestimated, and the war 
department under Lord Lansdowne has been provo- 
kingly slow to put forth any more effort than seemed 
just necessary to win if no unexpected complications 
.arose. Wise management would have amply provided 
for all possible emergencies. Hundreds of lives have 
been sacrificed and thousands of English soldiers cap- 
tured, not by reason of any lack of bravery on the part 
of the rank and file but simply because of inefficient 
generalship. At almost every point the Boers have 
showed evidence of more careful preparation for war- 
fare, along scientific lines as demanded by modern con- 
ditions, than have the British, who theoretically should 
be past masters in strategy. It is even more than likely 
that the Boers have provided themselves with the aid of 
French and German military strategists. 

Late in November Lord Methuen began 

-Hethuen's his advance ^^^ through Cape Colony, 

Advance / 

just skirting the western border ot the 

Orange Free State, for the relief of Kirnberly, where 
Cecil Rhodes has been shut in since the beginning of 
the war. Winning a preliminary battle at Belmont, he 
pushed on and encountered a force of about 2,500 Boers 
on the railway line near Gras Pan, some twenty-five 
miles north of the Orange River. This was November 
25th. The Boers were intrenched in the hills, and 
though finally dislodged and driven back it was only 
after most stubborn resistance and considerable losses 
on both sides. They succeeded in saving their guns 



12 GUN TON'S MAGAZINE [January, 

and retreated to the Modder River, where conjunction 
was effected with the main body of General Cronje's- 
army. Here, on November 28th, occurred a most se- 
vere engagement. Only a small detachment of 
Methuen's men were able to force the river, but his ar- 
tillery and long-range musketry fire drove the Boers 
from their entrenchments. This turned out later to be 
only a temporary withdrawal of artillery for the pur- 
pose of placing it more effectively farther up in the 
hills. The total British casualties in the Modder River 
battle were 471. It was a victory, if victory at all, of 
pure valor. No attempt was made to gain points by 
strategy. The heaviest losses were suffered by the 
Scotch Highlanders, who indeed seem to be in the front 
most of the time in this war. 

Checked at After this battle Lord Methuen crossed 

Modder the Modder, and on December Qth at- 

Rlv " tacked the Boers in their new position at 

Magersfontein. Here again no attempt was made to 
out-general the enemy, but the old-fashioned tactics of 
direct charge and storming of entrenchments was re- 
peated. This time it failed. Even Methuen's heavy 
artillery practice failed to dislodge the enemy, 10,000 
strong, and every attempt to advance the infantry was 
repulsed by the deadly sharpshooting of the Dutch 
farmers. In this battle once more the Highlanders were 
fearfully decimated, the total British loss being about 
450. One of the most effective officers in Methuen's 
army, General Wauchope, commanding the Highland 
Brigade, was killed. Methuen was forced to retire to 
the Modder River, and at present is encamped there, in 
considerable danger of having his supplies cut off from 
the rear. 

Just previous to this reverse, General 

Gatacre's column, which had been advan- 
Outwitted 

cing directly north from Cape Town, 

with the object of invading the Orange Free State, met 







REVIEW OF THE MONTH 13 

a similar defeat at Stormberg, south of the Orange 
River. This was a clear case of being lured into am- 
bush by Boer strategy. The only excuse General Gat- 
acre has been able to proffer is that he was misled by 
guides as to the position of the Boer army and general 
lay of the land. About 600 of his men were taken pris- 
oners, and Gatacre forced to retreat. The moral effect 
of such a reverse, especially among the Dutch residents 
in northern Cape Colony, is most serious, and unless 
the fortunes of war change very soon Gatacre's division 
may find itself in the midst of a volunteer army of hos- 
tle burghers right in the heart of Cape Colony. 



Disaster 



111 fortune has overwhelmed the English 
cause in Natal as well as Cape Colony. 

in Natal 

Late in November the Boers detached a 

considerable part of the force investing Ladysmith and 
continued their march to the South, almost as far as 
Pietermaritzburg, which is less than fifty miles from 
the seaport Durban. By November 28th, however, 
General Buller's relief columns were fairly under way, 
the advance columns being under the personal lead of 
General Hildyard. In addition to the 4,000 or 5,000 
British already in lower Natal, General Buller brought 
some 16,000 additional troops. Before these the Boers 
rapidly retired as far as Colenso, making renewed des- 
perate efforts meanwhile to capture Ladysmith in order 
to send the besieging force there forward to dispute the 
passage of the Tugela River. General Buller's attempt 
to force the river was made on December 15th. Here 
occurred the third and by far most disastrous British 
defeat of the campaign. The bridge having been de- 
stroyed the British tried to ford the river under cover 
of artillery fire. Colonel Long was sent forward close 
to the river bank with the heavy guns, and took them 
straight into a Boer ambuscade. The horses were all 



14 G UNTON'S MA GAZINE 

killed, ten guns captured and one destroyed. Of course 
the attempt to force the river had to be abandoned, and 
General Duller retired to his camp at Chieveley, south 
of the river. So far from relieving Ladysmith, Duller's 
force is beaten back and put on the defensive until the 
arrival of reinforcements and fresh artillery. 




A New The English government showed not a 

Policy moment's hesitation, however, in pre- 

Now paring to meet this grave emergency. 

The aged veteran of nearly all England's important 
wars since the Crimean, Field- Marshal Lord Roberts, 
was immediately called from practical retirement and 
ordered to supersede General Duller in chief command, 
while Lord Kitchener, the victor of the last Egyptian 
campaign and now at Omdurman, was made Lord Rob- 
erts' Chief of Staff and ordered immediately to the front. 
The Dritish force now in South Africa and on the way 
amounts to about 120,000 men, and along with the ap- 
pointment of Lord Roberts the war department ar- 
ranged for forwarding at least 100,000 more. In other 
words, England is putting forth the best material she 
can command, and may be expected to bring the whole 
force of the Empire to bear rather than allow her cause 
in South Africa to fail. Indeed, no other course is 
open. England cannot by any means afford defeat in 
this matter. Her status in the Orient even depends on 
it, in a degree. It is many decades since the cause of 
advancing civilization throughout the backward por- 
tions of the world has faced so serious a situation as is 
presented by the dangers that threaten the Dritish Em- 
pire to-day. 



OUR DUTY IN THE PHILIPPINES 

JACOB GOULD SCHURMAN, LL. D. , PRESIDENT OF CORNELL UNI- 
VERSITY AND CHAIRMAN OF THE PHILIPPINE COMMISSION 



I had better say at the outset I am not an imperial- 
ist, for I do not think that I know what it means, but 
still less am I an anti-imperialist, for I have a vague 
idea what that term implies. I am merely a plain 
American citizen who, in common with the great masses 
of my fellow-citizens, believes in doing national duty 
and maintaining the national honor. 

The Philippine policy of the administration, which 
is certainly able to take care of itself and needs no de- 
fence from me if I were capable of making it, has, 
during the months which have elapsed, been subjected 
to a good deal of criticism, not to say execration. But 
I think we are getting through the main trouble. Uncle 
Sam has been for some time past like Christian in the 
slough of despond, with a great load upon his back, but 
he is now getting near the shore. That load is rolling 
off, and although there are encounters ahead we are as- 
suming a more hopeful attitude, and feeling, now that 
Lawton has cut the lines with Manila and is after 
Aguinaldo and his forces with all the push and energy 
and ardor which animate Lawton, that the end of the 
insurrection is well in sight. 

Portion of address delivered before the Union League of Phila- 
delphia, Nov. 25, 1899; revised by the author for GUNTON'S MAGAZINE. 

15. 



16 GUNTON'S MAGAZINE [January, 

And so we are now turning our faces to new prob- 
lems, civil rather than military, which are going to 
confront us in the immediate future. I suppose it was 
because of that that your chairman suggested that I say 
something about the Philippine archipelago and the 
people who inhabit it, their capability for self-govern- 
ment, the nature of the problems which are confronting 
us there and what solution of them, within human prob- 
ability, it will be possible for us to achieve. For one 
thing, we fail to realize the vastness of this newly ac- 
quired territory. Why, gentlemen, if you were to take 
the map of Europe and put Cape Wrath on the north- 
ern end of the Philippine archipelago where do you 
suppose the toe of Italy would come? Just about the 
southernmost part of the archipelago. From north to 
south the dimensions of the Philippine Islands compare 
with those of Europe. 

In my own experience, I sailed southward from 
Manila, not going northward at all, but southward from 
Manila some two thousand miles in a circuit, and I 
might easily have doubled the distance, without once 
getting out of the Pacific Ocean to the east of me or the 
China Sea to the west. You have no idea of its vast- 
ness. Besides the great extent of the country there is 
the amazing variety of it. You, gentlemen, who all 
speak one language and read the same newspapers and 
think pretty much the same thoughts will be amazed at 
discovering that there are some fifty or sixty races in 
the Philippine Islands, speaking different languages 
mutually unintelligible to each other, nearly half a 
dozen of which have a membership exceeding 300,000. 
Here is variety with a vengeance ; here are problems 
in self-government the like of which we never had be- 
fore. 

How came we into the possession of the Philippine 
Islands? The story has often been told. Those loving 




i9oo.] OUR DUTY IN THE PHILIPPINES 17 

sarcasm have said that we began a war for the eman- 
cipation of Cuba and ended with the subjugation of the 
Philippines. There is a point in that, but it is a super- 
ficial view. We began a war to free the people of Cuba 
from the yoke of their oppressors ; we are waging a 
war in the Philippine Islands to protect the people of 
the Philippine Islands from their Tagal oppressors. 
The conditions may vary, the names may vary, but the 
principle is identical. 

We are in the Philippines, and I am one of those 
who did not want to be in the Philippines. I suppose 
that nine hundred and ninety-nine out of every one 
thousand of the American people, if they had been 
asked two years ago to take the Philippines, would 
have said, " No, thank you;" and yet the islands have 
come to us as the result of a righteous war come in 
consequence of circumstances which we could not con- 
trol unless, indeed, we had chosen to throw the whole 
civilized world into a great international war. 

When the president of the United States, greatly 
to my surprise, gave me the honor of asking me to go 
to the Philippines as the head of this commission, I 
said: " Mr. President, I am not the man to go. I do 
not believe in the acquisition of the Philippine Islands ; 
I have spoken against it and written against it. 5 ' But 
the president explained to me that he himself and his 
government had not desired originally to take the Phil- 
ippine Islands, and the protocol had left him free to 
leave them; but, as time went on and events de- 
veloped, it became perfectly obvious to him that the 
price of not taking the islands was such an internation- 
al complication as I have already alluded to, and there- 
fore, willy-nilly, he was obliged to take them. 

This is the condition which confronts us, whether 
we want it or not. I believe in the freedom of the hu- 
man will. Men may initiate events within certain defi- 



18 GUNTON'S MAGAZINE 

nite limits, but there is a larger power than the human 
will that takes charge of the events as soon as they 
have been launched upon the sea of action, and then 
they are beyond human control. We willed the war 
with Spain, and we were free to have it otherwise, but 
having willed the war we were not free to avoid the 
circumstances which that series of actions involved. 

And what has the government of the United States 
been doing? We found ourselves, greatly to our 
surprise, confronted with one who apparently had 
been willing to cooperate with us in the 
destruction of the Spanish power in the Phil- 
ippines, now claiming to be the head, not only of 
the native army, but of an independent government. 
He demanded of us that we should leave the islands in 
his charge, under his autocratic will, so that he and his 
Tagal supporters might do in the name, forsooth, of 
liberty and independence, what seemed good to them. 
In other words, a million and a half of Tagals were to 
have the right to dispose of the destinies of six and a 
half million other Filipinos, but we said, in the name 
of our national honor and in the name of righteous- 
ness, " No." 

As we brought liberty and peace, and will eventu- 
ally bring prosperity, to Cuba, so also shall we bring 
order and peace and in their train good government to 
all the inhabitants of the Philippine Islands. To ac- 
complish this, I am sure you will realize, will be no 
easy task. It is not one to be entered upon flippantly 
or under the influence of selfish or mercenary motives. 
Our aim at the beginning was humanitarian, and so it 
must remain throughout. 



THE COST OF RAW MATERIALS 

H. M. CHANCE 



Why in one short year pig iron should rise in price 
from ten dollars to twenty dollars per ton, steel should 
advance from fifteen to nearly forty dollars per ton, 
copper should jump from eleven to nineteen cents per 
pound, tin more than double in price, and many other 
comparatively crude products score similar advances, is 
not fully answered by the statement commonly made 
that the rise in price is due to increased demand, nor 
by the statement that production is now controlled by 
trusts or combinations among producers, who taking 
advantage of the necessities of consumers have unrea- 
sonably advanced the price of their products. 

Unless monopoly be absolute, controlling all 
sources of production, the price of any product is sub- 
ject to competition, and is ultimately fixed by the cost 
of production plus a fair compensation to the capital 
and brains engaged in producing the article. 

Eliminating the cost of raw materials, the cost of 
producing any finished product decreases as the quan- 
tity produced increases, for in all manufactured arti- 
cles the cost of manufacture is less when the article is 
made on a large scale than when made in small quan- 
tities. 

But this is not generally true of those natural 
products which are commonly termed * ' raw materials, ' ' 
because the conditions governing their modes of occur- 
rence in nature, or the manner in which they can be 
grown or raised, vary widely. Large deposits of cer- 
tain ores are found in some localities where the condi- 
tions are such that they can be extracted from the earth 
more easily than at other places ; in some countries 

19 



20 GUNTON'S MAGAZINE [January, 

soil and climate are found more favorable to the cheap 
and abundant production of certain grains, cotton or 
other agricultural products than is possible under con- 
ditions found elsewhere, and certain parts of the earth's 
surface are especially adapted to raising cattle or sheep 
at low cost. 

All these products of nature, whether raised from 
the soil or gathered from deposits hidden beneath the 
surface, are what may be termed raw materials, into 
the cost of producing which there enters not only the 
labor cost but those natural factors which render pro- 
duction relatively easy or difficult. 

In the production of these finished products in 
which skilled labor is the principal element of cost, as 
in the manufacture of watches, clocks, sewing-machines, 
or bicycles, a large increase in the demand inevitably 
results in lessened cost of production, due in part to 
economies effected by carrying on the industry on an 
enlarged scale, and in part by the stimulation to inven- 
tion and improvement in processes which such growth 
insures, attracting the attention of thousands of invent- 
ors to the possibility of profitably employing their tal- 
ents in that direction. 

Hence, while the political economist may be right 
in holding that increased demand raises prices, such 
rise is merely incidental and temporary as regards fin- 
ished products of this class, for ultimately, and quickly 
too, the increased demand lowers the cost of produc- 
tion, often in a most astounding manner. The history 
of bicycle manufacture in this country during the last 
eight years furnishes an example of the rapid fall in 
cost of production increased demand may accomplish. 

When, however, we consider the possible effect of 
increased demand on the cost of producing natural 
products, entirely different conditions confront us, the 
chief of which is the unequal distribution of such natu- 



i 9 o.] THE COST OF RA W MATERIALS 21 

ral products, and the varying difficulties attending their 
production in different localities. 

The air we breathe is probably the only product of 
nature uniformly distributed and everywhere equally 
available. Water is a costly commodity in some re- 
gions, salt almost unknown in others, clay is absent 
from large areas, and in some countries sand must be 
transported hundreds of miles for building purposes, 
while in others no building stone can be found. 

Rich deposits of gold, of copper, of zinc ore, of 
lead ore, iron ore and other minerals are found in cer- 
tain districts, and relatively lean ores or small deposits 
in other localities. 

When the demand for such metals is limited to the 
quantity that can be mined or extracted from ores pro- 
duced by the few rich deposits, the average cost of pro- 
duction is low because the smaller or leaner deposits 
need not be worked, but any large increase in the de- 
mand requires the extension of work to those deposits 
more costly to work, and the average cost of production 
is increased correspondingly, each successive increase in 
the demand necessitating an extension of operations to 
deposits yet more costly to work, the cost of produc- 
tion thus steadily rising as the demand increases. 

And this is doubtless true as well of agricultural as 
of mineral products, although perhaps not so apparent 
and not so easy to demonstrate by quoting instances of 
such enhanced cost. 

It is of course true that the enhanced market price 
due to increased demand for any metal or natural prod- 
uct stimulates search for new deposits of such metal, 
and if this search results in the discovery of large, rich 
and cheaply- worked deposits, the price and cost of pro- 
duction will correspondingly decline, but there is a natu- 
ral limit to such discoveries because the number of such 
exceptional deposits is limited, and the more rapid ex- 



22 GUNTON'S MAGAZINE [January, 

haustion of mines of this class hastens that period of 
enhanced cost of production in which reliance must be 
upon the relatively poorer ores mined at constantly in- 
creasing cost. 

The iron-ore industry of eastern Pennsylvania is a 
striking example of such conditions. During and im- 
mediately following the civil war (1860 to 1875) the 
brown hematite ore deposits of that region were most 
energetically developed, and mining was so vigorously 
prosecuted that early in the 8o's the best, richest and 
most cheaply-mined deposits were exhausted or rapidly 
approaching exhaustion ; so that by 1890 only the poor- 
er class of deposits remained, with the exception, here 
and there, of a deposit of good ore that had been over- 
looked by the earlier prospectors. The average mining 
cost rose so high that the furnaces were compelled 
largely to use ores brought from the Lake Superior re- 
gion, which could be delivered, ton for ton of iron 
made, cheaper than the local ores could be mined. Re- 
cently with increased demand it has been necessary 
again to have recourse to these brown hematite ore de- 
posits, at correspondingly increased cost per ton of iron 
made. 

Another good illustration of the general increase in 
cost of production following increased demand is pre- 
sented by the copper mining industry. So long as the 
demand for copper did not exceed a given quantity, it 
could be supplied from mines capable of producing it at 
an average cost of 8 or 9 cents per pound. To supply 
the present large increase in the demand it is now nec- 
essary to have recourse to those deposits from which 
the cost of production may be 10, 12 or 15 cents or more 
per pound, thus notably increasing the average cost of 
production. 

In regions where certain natural products occur in 
great abundance the operation of this law may not be 



i 9 oo.] THE COS T OF RAW MA TERIALS 23 

apparent, and increased demand may often appear to 
lower the cost of production. Undoubtedly this is true 
of such localities, but such cheapening of the cost of 
production is purely local. 

In this country are large areas underlaid by coal 
beds of such thickness that they can be cheaply mined, 
and certainly such quantities of coal that many genera- 
tions must pass before they can possibly be exhausted. 
Here increased demand means increased output with 
lower working costs ; but this is exceptional and local, 
applying particularly to the Appalachian region. In 
most of our coal fields increased demand means develop- 
ment of coal at increasing depth, and under conditions 
generally of increased cost. 

The production of gold, copper, silver, lead, zinc, 
platinum, graphite, corundum, mica, in short almost 
every mineral product, is governed by the law that en- 
larged production responding to increased demand is 
accompanied by an increase in the average cost of pro- 
duction. 

But it should be observed that increased production 
not caused by enlarged demand is ordinarily not ac- 
companied by higher cost of production, but on the 
contrary usually indicates a decline in the cost of pro- 
duction. Such decline may originate either in the dis- 
covery of large and cheaply worked deposits or in the 
discovery or invention of improved processes of extrac- 
tion whereby the cost is reduced. 

Declines in the cost of production from either of 
these causes commonly bring about a readjustment of 
the industry in which they occur, the reduced cost 
opening new possibilities of application and usefulness 
and enlarging the possible demand. Thus the decline 
in the cost of producing aluminum from $5.00 per 
pound to 50 cents per pound at once raised the con- 
sumption from practically nothing to some millions of 



24 GUNTOWS MAGAZINE [January, 

pounds, and the further decline to 20 or 25 cents opens 
a new field for this metal as an electric conductor, in 
which it is now competing with copper, and which may 
further enormously increase the demand. 

Perhaps this is the most striking example of recent 
years that can be quoted to illustrate how decreasing 
cost enlarges the demand for any product, but this same 
industry may easily furnish an example of how in- 
creased demand may increase the cost of production, 
for, should the demand for aluminum increase rapidly, 
the cost of production will doubtless rise, owing to the 
fact that the alumina from which it is extracted is ob- 
tained from bauxite, a mineral of comparatively rare 
occurrence, and the known supply of which is quite 
limited. Any large increase in the demand for this ore 
would speedily cause a rise in the cost of producing it, 
and thus increase the cost of making aluminum. 

As the average cost of all products subject to com- 
petition is measured by the cost of production, plus a 
fair profit to the producer, fluctuations in the price may 
generally be taken as representing fluctuations in the 
cost of production. In the absence of combinations to 
control prices, the price is a fair index to the cost of 
production. 

In recent years the demand for platinum, owing to 
its use in various electrical appliances, has enormously 
increased and the price has practically doubled. To 
supply this demand deposits must now be worked that 
were too lean to pay under former prices. In other 
words, the average cost of production has advanced 
with the increased demand. And so with almost every 
metal or mineral product it can be shown that when the 
demand becomes larger than the capacity or output of 
the most cheaply worked deposits, the average cost of 
production increases. 

It is doubtless true, also, that every such increase 



IQOO.] THE COST OF RA W MA TERIALS 25 

in demand results in developments tending to effect the 
natural increase in cost, by labor-saving inventions and 
by the discovery of cheaper and better methods of min- 
ing, preparing or extracting the product ; so that, after 
the first advance in cost due to increased demand there 
follows a decline effected by these agencies, and in 
some cases this decline is equal to or exceeds the ad- 
vance, and the net result may be a cheapening of the 
product. But while such a decline may and often does 
occur it is by no means certain that any decline will re- 
sult, and in many instances no decline whatever occurs. 
The recent sensational advance in the prices of iron 
and steel, of copper, tin, zinc and many other products, 
whereby prices have increased from 50 to 200 per cent, 
in less than a year, is explicable only as a result of the 
operation of this law. Great combinations of capital 
control the best and most cheaply worked iron and cop- 
per mines of this country, but they have not brought 
about this increase by shutting down their mines and 
creating a famine in these metals, nor by arbitrarily 
raising the price and refusing to sell for less than that 
price. On the contrary, it is well known that many of 
these large corporations sold their whole output, 
throughout this period of rising prices, months ahead, 
and were delivering to customers at prices far below 
current quotations; their customers reaping a large 
part of the profit from enhanced values. The fact is 
that the demand for these products suddenly reached 
proportions far beyond the capacity of these larger and 
more cheaply- worked deposits, and to supply this de- 
mand recourse was necessarily had to deposits of leaner 
ores, more costly to mine and smelt, thus increasing 
the cost of production to figures far above those preva- 
lent in recent years, and virtually going back to the 
conditions obtaining fifteen or twenty years ago. 



HAWAII AND PORTO RICO AS COLONIES 

GEORGE L. BOLEN 



The important question to be settled during the 
present session of congress is the kind of annexation 
policy to be adopted for Porto Rico and Hawaii. They 
have already been annexed, but the character of their 
union with the United States, their form of government, 
is yet to be determined by congress. 

In view of probable future relations with Cuba, 
this question of permanent status is more momentous 
to the American citizen, though probably not to the 
party in power, than any possible glory of success or 
disgrace of failure in the antipodal Philippines. The 
eight or ten millions of people in the latter islands will 
readily be classed with the Chinese, whose exclusion 
from American residence and citizenship seems perma- 
nently settled. But the general and apparently indif- 
ferent expectation for Porto Rico and Hawaii is that 
they will be made territories, similar in government 
.and future rights to the territories formed from the 
Louisiana and Mexican accessions. 

Americans desiring to be fully worthy of their cit- 
izenship, whose rights came not for the asking but were 
secured with the great price of six centuries of struggle, 
.are finding in these latter days occasions for eternal 
vigilance in practice as well as in theory. Such have 
now the duty and privilege of knowing the facts and 
expressing their desires concerning the kind of annex- 
ation they would have. The activities of the govern- 
ment proceed not so much from the will of the presi- 
dent and of congress as from the will of the people, 
whose servants they are. And, however able and hon- 
est our statesmen, they prefer an active, intelligent 

26 



HA WAII AND PORTO RICO AS COLONIES 27 

public opinion to support them in their policies and to 
guard against mistakes. William H. Seward ranks 
among the country's great men, yet he was so captivated 
with the annexation idea that he hoped the City of 
Mexico would soon be the capital of the United States. 

The present cases of annexation differ materially 
from all cases in the past. In the first place, those were 
annexations of territory but not of people. With Porto 
Rico and Hawaii there is annexation of many people 
but of very little territory. The French and Spaniards 
that came with Louisiana and Florida, an insignificant 
.addition to the population at first, were soon lost sight 
of as emigration from the older sections spread over the 
vast new area now comprising fifteen states west of the 
Mississippi. The Texan republic was peopled and gov- 
erned by emigrants from the older states. New Mexico 
and California contained some Spanish settlements, 
though their aggregate population was probably less 
than 20,000, and these were divided by the distance of 
a thousand miles between Santa Fe and San Francisco. 
Alaska was practically uninhabited by anybody eligible 
to citizenship. Porto Rico, however, is said to be one of 
the most densely populated areas in the world. Its 
3, 530 square miles sustain 850,000 people, an average 
of about 240 to every 640 acres; and Hawaii's 100,000 
is a considerable population for its 6,500 square miles 
of mountainous and volcanic islands. 

In the second place, the island populations where 
they are cannot be absorbed and assimilated by the 
whole body of the American people, provided the as- 
similating capacity of the latter were not already over- 
taxed by immigration from Europe. Only a few hun- 
dreds from the states are likely to crowd into Porto Rico, 
and only several thousands into Hawaii. These may 
be partially absorbed the other way. How different 
was the case with California, when the rush of gold 



28 GUNTON'S MAGAZINE [January, 

seekers set in immediately after annexation. Neither 
can the islanders be assimilated by removal to the states. 
Except the Chinese and Japanese in Hawaii, who are 
excluded by law, the bulk of each population, even if 
welcome, is not fitted to compete in the struggle for ex- 
istence in the United States. 

Thirdly, the previous annexations took place be- 
fore the time of European immigration, while the 
American population yet consisted almost wholly of 
the original stock. At present, however, the foreign 
element predominates in the populous centers. 

If the form of territorial government adopted for 
Porto Rico and Hawaii is the same as that of the west- 
ern territories, the prospect of admission to the union 
as states will be included. A radically different basis 
would make a safer annexation. Professor H. P. Jud- 
son, in his exhaustive article in the Review of Reviews, 
has showed conclusively that there will be no constitu- 
tional difficulty in forever withholding American cit- 
izenship and statehood from the island populations, or 
in applying the tariff and navigation laws to the islands 
in any way that may prove preferable. But the deci- 
sion (or recommendation) by the insular commission, in 
their report of last July, that the islands as now an- 
nexed belong to but are not a part of the United States 
(following Professor Judson's statement) was criticized 
unfavorably by leading anti-imperialist newspapers, 
with no apparent reason except to find fault ; and it 
was reported from Washington that the gratuitous rec- 
ommendation or opinion of the commission displeased 
the president and would receive no attention from the 
government. In his message to congress the president 
has recommended practically the territorial form of 
government. 

The interests of the American people and of Amer- 
ican civilization imperatively demand that in the for- 



HA WAII AND PORTO RICO AS COLONIES 29 

mation by congress of a government for Porto Rico and 
Hawaii they be permanently annexed as colonies, with 
no rights of American citizenship or statehood. This 
would be a precedent for Cuba, if it should eventually 
be annexed. These people would then in each case be 
citizens of their own island, and would be secure in 
their enjoyment at home of all the rights and immuni- 
ties guaranteed by the constitution except the right to 
vote on United States affairs. What more could rea- 
sonably be asked? Perhaps there are no freer people 
than the Australian colonists, people of English blood, 
yet they are not voters in England and never expect to 
be. They lead the world in some advanced methods 
of free government, and do not feel that their highest 
aspirations are blighted by reason of their position as 
colonists in an imperial system. 

The American citizenship that made this country, 
that predominated everywhere before the overspread- 
ing rise of the immigration flood twenty-five years ago, 
would most likely be overbalanced in power by the ad- 
mission a few years hence of two senators and six or 
seven congressmen from an entirely foreign population 
in Porto Rico. Hawaii would be likewise foreign un- 
less the few Americans, English and Germans should 
acquire some kind of oligarchical control over the 
masses. 

Even without statehood in any of the islands, pre- 
vailing American citizenship in the near future bids 
fair to be of uncertain quality. Annual immigration 
is getting back again toward the half million mark, be- 
low which it dropped in 1893, and a larger proportion 
than ever come from the interior and the south of the 
European continent. People from these sections be- 
'Come Americanized only after many years' residence, 
when scattered in small communities, but those who 
come now chiefly join settlements of their own people 



30 GUNTON'S MAGAZINE [January,. 

in the large cities, and remain in many cases as foreign* 
as before they came. In their unfriendliness toward 
existing conditions, education may render them more 
dangerous, The birth rate is undoubtedly higher 
among the foreign population than the native proba- 
bly much higher. New England is now said to be for- 
eign in blood and in religion foreign at least to what 
was once characteristic of New England. New York city 
and Chicago, the chief centers, are foreign by a large 
majority of voters. In perhaps all the other large cit- 
ies the foreign element holds the balance of power. 
The country population in some states is decreasing, 
while the cities have lately been growing faster than in 
any previous period, and are expected to acquire more 
and more power in state and nation. The relative in- 
crease of foreign population since the civil war seems 
destined to continue. Restriction of immigration be- 
comes more difficult as it is delayed. American- 
izing influences weaken as population gathers in 
cities with the American element becoming less impor- 
tant. This country is not now governed by the same 
kind of American sentiment that prevailed up to the 
centennial year, and later. 

The change of residence has been a good thing for 
the immigrants, most of whom have prospered, though 
there is little improvement in condition for those who 
come over now and join the submerged tenth. But 
what of the Americans who have been supplanted in 
the government of their own home cities? And does 
the change work for progress in civilization, and for 
human welfare? May not the American tree be 
stripped too greedily of its life-giving fruit and of its 
healing leaves to admit of its continuance in bearing, 
and America cease to be a synonym for opportunity?' 
If wisdom is learned from the experience so far, and 
determined action promptly begun, an affirmative an- 



IQOO.] HA WAII AND PORTO RICO AS COLONIES 81? 

swer to the second question may be worked out. In 
the flush times following the civil war there was more- 
complacency in the American mind than mortal man 
dare indulge with impunity. Not a few still treasure 
this same complacency, and cry " pessimism! " when it 
is questioned. Truly, when this mood prevails we have 
here no continuing city. After all, this immigration 
from Europe is simply a modern case of the westward 
movement of the human race. Neither Alaric the Goth 
nor Attila the Hun ever led over Europe a greater horde 
than America has received year after year. But in our 
battle of Chalons, to preserve the heritage the fathers 
won, the martial spirit will not suffice. A higher grade 
of courage is required. There must be a willingness to- 
face facts as they are, however repugnant, and a heroic 
disregard of clamorous factions that hinder the prog- 
ress and welfare of the nation. 

The discussion in the two preceding paragraphs 
has a distinct bearing on the status of the Spanish is- 
lands. As the political parties have hesitated, in view 
of the foreign vote, to check the tide of immigration, 
the annexed islands ought to be placed so clearly out- 
side of the union as to afford no party a temptation to- 
admit a new state to gain senators and congressmen. 
The creation .of an indestructible state is a serious mat- 
ter. Some of the new Rocky Mountain states whose 
admission helped a doubtful majority in the senate may 
not be a benefit to the union. The case of Nevada, 
though not new, is often mentioned, with her two sena- 
tors and one congressman from a population equalled in 
many cases by an eastern or central agricultural coun- 
ty. In a recent magazine article it was stated that in a. 
treaty vote senators representing four million people 
can thwart the will of senators representing the remain- 
ing sixty-six million. 

A religious inducement also would exert pressure 



32 GUNTON'S MAGAZINE 

toward the admission of Porto Rico and Cuba if in their 
territorial government they were not placed perma- 
nently outside of the union. The strongest church or- 
ganization in America (also the strongest in Europe) 
would gain for her American body practically all of 
these two million islanders if they should be admitted 
to citizenship. It was estimated that adherents of this 
church constituted two- thirds of the 50,000 immigrants 
who landed in this country during a recent month. 

It would seem that the party in power, for its own 
interests as well as those of the nation it governs, 
should not hesitate to place these Spanish islands be- 
yond the bounds of possible statehood. The opposition 
party would probably win a large majority of their 
vote. The republican claim to gratitude for driving 
out the Spaniards could be met by the democrats with 
their advocacy of Cuban independence, and also with 
their part in forcing the - administration into the war. 
The republican share of the country's total foreign vote 
is undoubtedly a minor fraction ; and it is especially 
small among the Irish, French Canadians, and southern 
Europeans, with whom the Porto Ricans and Cubans 
would most likely unite. Yet this clamorous fraction 
(or rather, the larger fraction whose votes the republi- 
cans never get) seems to receive from them more con- 
sideration in politics than their own voters to the man- 
ner born. It is because the native Americans (except 
the powerful industrial interests) ask so little and accept 
less. By making the islands each a possession but not 
a part of this country, the president and the republi- 
can majority in congress will further the true interests 
not only of the faithful in their party and of this nation 
as a whole but also of the islanders themselves, and of 
those who may yet find a home in this land of promise. 
Humanity's chief hope lies in the success of * ' the 
American experiment/' 






THE NEW CURRENCY BILL 



At last the republican party, with the full coopera- 
tion of the administration, is facing the money ques- 
tion. In 1896 the election was won by the republicans 
and lost by the democrats on the issue of the money 
standard. At the opening of the campaign the demo- 
cratic party under the leadership of Mr. Bryan was 
boldly and almost arrogantly demanding ' ' bimetal- 
lism," not merely as meaning the use of both gold and 
silver coins as full legal-tender money but as meaning 
the free and unlimited coinage of silver at a ratio of 
sixteen parts of silver to one of gold. As the campaign 
developed, the discussion of the subject drew the lines 
tighter and tighter and there was no escaping the real 
issue, between the gold standard and the silver stand- 
ard which the free coinage of silver necessarily in- 
volved. 

Yet, during the whole campaign the republican 
party was as sensitive and delicate as possible on the 
point of the gold standard. Mr. Bryan and the demo- 
cratic party were as bold and defiant as reckless polit- 
ical adventure could demand. They denounced the gold 
standard and all who favored it, and charged all who 
were not in favor of the free coinage of silver at six- 
teen to one as being in favor of the single gold stand- 
ard. Much of the campaign was taken up with repel- 
ling this charge. The republicans and the gold demo- 
crats grew bolder and bolder, however, in the affirma- 
tion that free coinage of silver would be disastrous to 
the business and financial interests of the country. Yet, 
even at the close of the campaign they had not reached 
the point where they were ready boldly to affirm that 
the single gold standard should be declared and adhered 
to as the national policy. Even after the election the 

33 



34 GUNTON'S MAGAZINE [January, 

president appointed a commission to go to Europe to 
try to bring about an international union for the estab- 
lishment of bimetallism in the leading countries. 

All economic and financial influences, however, 
from that time to this have headed very rapidly away 
from silver and towards the gold standard. During 
these three years in which Mr. Bryan has been trying 
to educate the American people, while adhering to the 
Chicago platform in the abstract and occasionally an- 
nouncing that free silver was still the issue, he has felt 
the force of events and has said less and less about six- 
teen to one. The revival of business, the development 
of new industries and growth of prosperity throughout 
the country, has helped this tendency and done much 
to crystallize national sentiment in favor of the gold 
standard. In 1896 nearly seven million votes were cast 
for the presidential candidate who made free silver the 
main proposition in his campaign. It is more than 
probable that if an election should take place now, and 
upon the single issue of the free coinage of silver, the 
same candidate would not be able to get much more 
than half his following of 1896. The result is that Mr. 
Bryan as a political leader has been compelled to tack, 
and make trusts and anti-expansion the conspicuous 
topics for campaign propaganda. 

During the march of events and rapid crystalliza- 
tion of public sentiment on this subject in the last three 
years, some degree of impatience has been expressed 
that the administration and republican party did not 
really take hold of the money question and embody the 
ideas endorsed by the election of 1896, and which have 
been confirmed and extended month by month ever 
since, in law. But it is always true that when the 
people begin to recognize the importance of a subject 
they are impatient because the government does not 
move more rapidly. Wendell Phillips, representing 




THE NEW CURRENCY BILL 35 

the northern abolitionists, once reproached President 
Lincoln for not declaring for the abolition of slavery, 
when Mr. Lincoln replied : ' ' Mr. Phillips, your func- 
tion and mine are different. Your function is to make 
public opinion and mine is to use it. Go on and make 
it as fast as you can, and we will use it as fast as you 
make it." There was real philosophy in that. Gov- 
ernments, especially in democracies, can never travel 
much faster than the people. That is why the real ed- 
ucational forces tell most effectively when they work 
among the people. 

When the present administration was elected in 
1896 it was by rather a close call. The popular vote 
for Bryan was nearly as large as that for McKinley. 
The nation was not very emphatic in favor of the gold 
standard. Hence, perhaps there is a naturalness in the 
seeming slowness with which the administration, and 
the administration party in congress, have moved to- 
ward this question. But economic forces and continual 
discussion by those who understand the subject have edu- 
cated the people so that now public opinion is growing 
not only for the gold standard but for a good deal more 
improvement in our fiscal system, and it is encouraging 
to see that not only the party in power, but a large 
section of the democratic party, are willing to use this 
growing public opinion and convert into law what is 
now dominantly the opinion of the American people. 

With the opening of congress the first important 
measure to receive consideration is the money question. 
In both the house and the senate a measure has been 
presented on the subject. It is a good sign of the 
situation that both these measures have been worked 
over by representative men in the respective houses, so 
that they are presented to congress in a somewhat di- 
gested form. Although they can hardly be regarded 
as being anything like a comprehensive dealing with 



36 GUNTON'S MAGAZINE [January, 

the banking and currency question, yet both measures 
deal quite effectively with a few important phases of 
the subject. 

First of all, both the house and senate bills (which 
are so nearly alike in most respects that there will 
probably be little difficulty in the two houses agreeing 
on the same measure) first and foremost deal with the 
gold standard. This seems at first sight to be almost 
an unnecessary step, as it is generally agreed that we 
not only have the gold standard but have had it since 
1834. Practically this is true, yet technically the gold 
standard is not established by law in any such way as 
to prevent the president, if he so determined, from 
putting us on a silver basis. 

The peculiarity of our financial mechanism is such 
that the monetary standard is sustained, not by the 
business and banking methods of the country, but 
solely by the government. It is entirely true that for 
sixty-five years the business of this country has been 
done on the assumption that final payments of balances 
in both public and private obligations would be made 
in gold, but the responsibility for this rests entirely on 
the willingness of the government to pay its own obli- 
gations in gold and furnish the coin for private indi-' 
viduals to do the same. Strictly speaking, in the last 
analysis nobody is really called upon to furnish gold in 
this country except the government. That is because 
our paper money consists of legal-tender government 
notes, or bank-notes endorsed by the government, which 
practically amounts to the same thing. In order to keep 
all our paper money up to the gold standard the govern- 
ment has to pay gold for the paper currency whenever 
it is demanded, and nobody else is called upon to do 
so, because nobody else issues any paper money. No- 
body is called upon to pay gold for greenbacks except 
the United States government ; so that, whenever gold 






1900.] THE NEW CURRENCY BILL 37 

is needed the greenbacks are used as the means of get- 
ting it. They are presented to the treasury, and in 
order to sustain the solvency of the government it has 
to furnish gold, and if it has none it must go out and 
borrow it. This was done several times during the 
last administration. 

The obligations the government has contracted, 
both in issuing bonds to get gold to enable the banks 
to accommodate their customers, and obligations of 
other character, are made to be paid in coin at the op- 
tion of the government. Consequently, so far as we 
have two legal tender coins, silver and gold, the gov- 
ernment, which for the time being is the president and 
his secretary of the treasury, can select which of the 
two metals shall be used in paying the obligation. 
Now the maintenance of the gold standard depends en- 
tirely upon the government continuing to pay gold for 
its obligations. If it should decide at any time to pay 
silver, which under existing laws it has a perfect 
right to do, then all our paper money would be on a 
silver basis. The greenbacks would be redeemed in 
silver, treasury notes redeemed in silver, all the bonded 
indebtedness be paid in silver. Since nobody else is 
called upon to furnish gold, or even coin for that mat- 
ter, the kind of coin the government furnishes in pay- 
ment for its obligations is the coin that fixes the stand- 
ard of all other business transactions. So that, after all, 
while we have been actually on a gold basis for sixty- 
five years, for half of that time the maintenance of the 
gold standard has depended absolutely upon the will of 
the president and his secretary of treasury. If, there- 
fore, we should by any accident have a man of Mr. 
Bryan's ideas and disposition as president, with a secre- 
tary of the treasury who shared his views, they could, and 
if they had the courage of their convictions they would, 
at once use silver in the payment of public obligations. 



38 GUNTON'S MAGAZINE [January 

This they would have a distinct legal right to do until 
congress should determine otherwise. In this way we 
are exposed to the danger of changing our standard 
from gold to silver entirely independent of any public 
expression or legislation upon the subject, a danger the 
significance and extent of which few people can com- 
prehend. 

Both bills now before the house and senate defi- 
nitely dispose of this danger by declaring that all inter- 
est-bearing obligations of the United States and all 
United States notes and treasury notes shall hereafter 
be payable in gold coin, a dollar of which shall contain 
25.8 grains of gold, nine-tenths fine, or 23.22 grains of 
pure gold. If either of these measures becomes law, 
hereafter no president or other officer will have the 
right to pay any public obligations of this country or 
redeem any greenbacks or United States notes in any- 
thing but gold coin, unless the person receiving it 
should for some incomprehensible reason prefer silver. 
This will establish the gold standard beyond a doubt, 
and beyond the reach of anybody but the people of the 
United States acting through their representatives in 
congress. 

Another, and in some respects scarcely less impor- 
tant feature of both measures, is the terminating of the 
endless use of the greenbacks and government notes as 
instruments for draining the gold out of the treasury to 
pay private obligations. Of course, when this meas- 
ure passes, all the government notes that are outside 
can be so used, but they can only be used once. Some- 
thing less than thirty millions of these notes are now in 
the treasury, leaving considerably over four hundred 
millions which can be used to make the government 
11 hustle" for gold. But this bill provides that here- 
after when these notes are presented they shall never 
again be re-issued or paid out except in exchange for 



I 9 oo.] THE NEW CURRENCY BILL 39 

gold, so that when the government has once paid gold 
for them it shall never be called upon to do so again. 
Heretofore the government could be made to pay and 
has been made to pay gold for these notes over and 
over again. The banks always keep government notes 
as they come in for deposit, and pay out to their cus- 
tomers who need paper money only the silver certifi- 
cates and bank-notes. But the government, when 
called upon to pay gold for greenbacks, has heretofore 
paid the greenbacks out again for salaries and expenses, 
and they have immediately filtered their way back into 
the banks. Thus, whenever for purposes of foreign 
trade bankers or merchants have wanted additional gold 
they have simply used the greenbacks over again to 
make the government furnish it, and, as already stated, 
it has frequently happened that this has drained the 
government's stock of gold below the safety point. In 
order to maintain the gold standard and prevent a panic 
the government has had to issue bonds to borrow gold 
and pay the interest, only to have the same perform- 
ance repeated whenever the occasion required. Mr. 
Cleveland's three bond issues were all caused chiefly by 
this " endless chain " system. The refusal hereafter to 
pay out greenbacks except in exchange for gold puts an 
end to this performance. 

Of course, this may result in half or two-thirds of 
the government notes being retired. This would con- 
stitute a contraction of the currency of from two to 
three hundred millions, which is an undesirable thing, 
but the volume of the currency can be dealt with subse- 
quently if occasion requires. The breaking of this in- 
terminable drain upon the treasury for gold for private 
purposes is well worth the risk of currency contraction 
involved. Moreover, in order to prevent any financial 
fright arising from this paying out of gold, both the 
house and senate bills provide that the secretary of the 



GUNTON'S MAGAZINE [January, 

treasury shall have full power to issue bonds to secure 
whatever gold is necessary to maintain the reserve fund 
for this redemption purpose. 

Beyond this the proposed legislation promises very 
little. To establish the gold standard and stop the end- 
less drain of gold from the treasury are two real, solid 
steps toward a more wholesome and sound financial sys- 
tem. But this does not do much, indeed it can hardly 
be said to do anything, in the way of giving us a sound 
banking system. It only takes two excellent prelimi- 
nary steps. It is perhaps too much to expect, in the 
present state of the public mind and for that matter the 
state of mind of the republican party, that we should 
have anything like a comprehensive banking and cur- 
rency reform undertaken. Yet the constant recurrence 
of what is called monetary stringency, which creates a 
fright in Wall Street and a financial flutter all over the 
country, cannot be escaped until something is done 
toward the introduction of sound principles in our 
banking system. 

One of the crude features of our financial system 
which ought to be remedied by the present congress, 
and it really seems might have been incorporated in the 
present bills, is our sub-treasury system. This is a 
system by which all the government funds are kept 
locked up in the treasury and sub-treasuries just as a 
miser hoards money in a hole in the floor. At this 
writing this amounts to about two hundred and eighty- 
eight million dollars. Now this is practically a con- 
traction of the volume of circulating money in the 
country. Under ordinary business conditions in other 
civilized countries that would be on deposit in some 
bank or banks, thus adding two hundred and eighty- 
eight millions to the available funds at the disposal of 
the banks for use in the business of the country. In 
proportion as the government revenues are liberal, 



i goo.] THE NEW CURRENCY BILL 41 

which the prosperity of the country may increase, this 
system serves to contract the volume of money at just 
the time when it is most needed in business circulation. 
To abolish this system would not involve any disturb- 
ance, but it would tend to compensate for the contrac- 
tion which the retirement of the government notes by 
refusal to pay out except for gold will involve. This 
may, as already pointed out, lead to a contraction of 
anywhere from two to three hundred millions. If the 
surplus of government revenues now held in the sub- 
treasuries were put on deposit in the national banks, 
that would add to the volume of available money fully 
as much as may be subtracted from it by the retention 
of all the government notes that are paid in. This 
would involve no disturbance. It would offset the dis- 
turbing possibility, as just suggested, and it would for- 
ever get rid of the crude, uneconomic and uncivilized 
method of treating government funds. 

It is to be hoped that somebody in congress will 
have the courage to amend the bill now under discus- 
sion, either in the house or senate, or perhaps in the 
conference, so as to provide that all government funds 
shall be placed on deposit pro rata with national banks 
in reserve cities. These deposits might, if necessary, 
be made a preferred lien on the entire assets of the 
bank, so as to give added security if any were needed ; 
and could also be a source of income to the government, 
since the banks would be able to pay for the use of the 
money. 

After these crude features of our monetary system 
have been sufficiently eliminated the course will at least 
be clear for undertaking some real reform in our bank- 
ing system. This will be the more feasible and meet 
with less opposition in proportion to the success attend- 
ing the working of the bills passed by the present con- 
gress. With the gold standard unmistakably estab- 



42 GUNTON'S MAGAZINE 

lished by law, and silver placed where even the influ- 
ence of fanatics cannot make it dangerous without the 
legislative consent of the people through congress, and 
the government funds made a permanent part of the 
circulating volume available for business, a good ses- 
sion's work will have been accomplished. The admin- 
istration party will have reasonably redeemed its 
pledges to the nation, at least to the extent of show- 
ing its good faith and loyalty to a sound money 
policy. The passage of this measure, especially if it 
can be made to include abolition of the sub-treasury 
system, will be a real monetary education, both for the 
members of congress who participate in the discussion 
.and for the country as it observes the solidifying and 
wholesome effect of the operations of the new measure. 
This education will soon lead to a more imperative 
demand in the community for an efficient and compre 
hensive treatment of the banking question. 




SOCIAL EDUCATION CONGRESS AT PAEIS 



The following explanation and appeal in behalf of 
the international congress on social education, to be 
held in connection with the Paris Exposition next year, 
has been received from Mr. Howard J. Rogers, of the 
United States Commission to the Exposition. The ap- 
peal is issued by M. Leon Bourgeois, president of the 
congress, and former prime minister of France. This 
will be the first international congress of the sort ever 
held, and it ought to prove a powerful educational 
force. The invitation to participate, it will be seen, is 
very general, and should appeal to all students of the 
economic and social sciences : 



From the political and social discussions which 
have agitated minds since the middle of the nineteenth 
century, a clear line of thought has resulted in which 
those holding the most diverse opinions agree ; it is the 
idea of a social bond existing among individuals, and of 
their mutual responsibility in the acts of society. 

Hence it is necessary to decide both with a view to 
conformity with experimental science and also to satisfy 
the idea of justice, what conditions of association are 
to be established voluntarily among all men. This is 
not only for the definition of political rights and duties, 
but also and especially to define the rights and duties 
which concern the material and moral life of individ- 
uals, the legal institution of the family, the organiza- 
tion of labor, or, in sum, the definition of social rights 
and duties. 

To introduce this new idea into minds in a word, 
to give the education of the social sense to humanity, 
is the task imposed henceforward on those who seek 
peaceful solutions of the social problem. 

43 




44 GUNTON'S MAGAZINE [January, 

The investigation of the means to this end is the 
object of the study which we propose. According to 
the program already published by the group charged 
with questions of social education, the first thing to be 
done is to clearly ascertain the present state of ideas on 
this subject, and then to fix on the method to be fol- 
lowed in order to secure this education to every indi- 
vidual. The group is undertaking a special exhibition, 
to furnish the greatest possible amount of information 
concerning these questions. To complete its action 
and prepare future work, we have also undertaken to 
gather together in a special congress, at the Exposition 
of 1900, all those who are able, in any degree whatso- 
ever, to cooperate in the work of social education. We 
ask their help, for the preliminary studies, for the con- 
gress itself, and for the propaganda which should fol- 
low. 

In order that social education should be rational, it 
is first of all necessary that special studies should estab- 
lish its method, which is so far little known and ill de- 
fined. Method demands observation, the verification 
of facts, for a clear understanding 'of them, for in this 
way their existence becomes known. Then we must 
learn the principles on which the facts depend, and the 
laws which govern them. In this way we come to know 
their philosophy. Finally, we must examine the prac- 
tical consequences which they bring along with them, 
and thus complete the necessary theoretical knowledge. 

When once the methods have been established, the 
work of educators will consist in spreading it by keep- 
ing in practice to the ideas which have been gained, 
with the same forward movement and order which have 
served to gain them. 

Social education will accordingly be accomplished 
by bringing individuals to the knowledge of social facts, 
so that the idea may become clear in their minds ; by 



i 9 oo.] SOCIAL EDUCATION CONGRESS AT PARIS 45 

starting up in their conscience the feeling which brings 
forth action conformable to the ideal adopted ; and, 
finally, by strengthening idea and feeling enough 
through action constantly practiced so as to come to the 
complete constitution of what may be called the social 
sense, that is, to action which has become unconscious 
through acquired habit. 

This process will form the necessary practical 
means for making complete education possible later on. 
Education is really acquired only when individuals by 
sufficient study have come to have a clear idea of what 
is true ; and such an idea is then sufficient to decide 
their choice and action. But in the present state of 
average knowledge it is necessary, by immediate prac- 
tical activity forming new habits and environment, to 
bring about further progress, through which full knowl- 
edge of social truths shall be acquired by all the indi- 
viduals who make up society. 

We earnestly demand adherents to this congress of 
social education, whose work may be so important for 
the development and progress of humanity. You can 
verify from our program that a vast field is open, in 
which there is work for every activity. Thinkers and 
men of action should alike bring their aid. The first 
part appeals to scientific minds and philosophers for the 
study of a body of doctrine of high social import ; the 
second should attract all those who may have to do with 
the education of the people, school teachers, professors, 
students and devoted citizens ; the third is addressed to 
all those who are already showing their activity or are 
ready to show it for the greater good of the future. 

The membership of the congress brings with it no 
obligation. A subscription of ten francs the only 
one has been fixed on to defray the expenses of 
organizing the congress. 



EDITORIAL CRUCIBLE 

IN THE numerous subjects discussed by the presi- 
dent in his message, trusts came in for a little more 
than half a column. It is difficult to find from his 
language what the president wants done. He is suffi- 
ciently general to be pointless, and sufficiently lengthy 
not to be charged with omitting the subject. The tone 
of his language about "healthy competition," and 
"monopolizing the production or sale of articles of 
commerce," the "dangerous conspiracies against the 
public good," and so forth, are sufficiently common- 
place to satisfy the populist, and might indeed be taken 
as fair competition with Mr. Bryan's bid upon the sub- 
ject. If the object of the president was to prevent the 
democrats from having a monopoly of anti-trust pow- 
der, he seems to have done very well. After dwelling 
approvingly upon Mr. Cleveland's efforts in this direc- 
tion, the president seriously commits the subject to 
congress. It seems a little too bad that in his official 
message to congress the president of the United States 
should feel it necessary to throw this kind of a " tub to 
the whale." 



THE RECENT increase of operatives' wages in Fall 
River, which is the second within about a year, has had 
the encouraging and wholesome effect of securing an 
increase of wages throughout New England. It is very 
encouraging to observe that the Fall River corporations, 
which really set the pace for New England, are much 
more appreciative of the industrial conditions and act 
with infinitely more intelligent consideration, not to 
say humanity, toward the wage question and the inter- 
ests and demands of the wage class than they did 
twenty-five years ago. Two advances in wages amount- 

46 



EDITORIAL CRUCIBLE 47" 

ing twenty-two per cent, have been granted with no- 
evidence of real friction between laborers and corpo- 
rations, Twenty-five years ago strikes or protracted 
agitation verging on strikes, sufficient to create general 
disturbance of business, would have been necessary to 
secure any such concessions. Experience is severe and 
sometimes bitter but in the long run it does educate, 
and the lessons learned in this way are not easily for- 
gotten. Fall River has had more bitter industrial ex- 
perience for both sides than any dozen towns in New 
England. In a sense it has fought the industrial bat- 
tles for New England for a quarter of a century. But 
to-day its leading employers are more considerate and 
intelligent on the great industrial questions than the 
capitalists in almost any other manufacturing city in 
the country. 



ON THE first of September the new sweatshop law 
went into effect in New York. It provides that the 
manufacturing and repairing of a multitude of articles 
of clothing, etc., made in tenements and quasi-tene- 
ments, be prohibited except under a license granted by 
the factory inspectors, and before granting such a 
license a certain standard of sanitation and other whole- 
some appointments must be insisted upon. It appears, 
however, that the whole sweatshop work is going on 
very much as before, with perhaps some improvement 
in the sanitary conditions, which is evidently more 
largely the work of the board of health than of 
the factory inspectors. In Rivington Street, Ridge 
Street, Ludlow Street, and the whole section in 
the vicinity of Mott and Baxter Streets, shops are in full 
blast without having received any license, and many of 
them not having been visited by the factory inspectors 
for months. At 48 Ludlow Street, for example, there 
are about twenty-four shops in a single building, and' 




48 GUN TON'S MAGAZINE [January, 

not a license in one of them. In most cases the work- 
ers in the shops cannot speak the English language, and 
when one goes to make inquiry they open their mouths 
and stare. It is necessary to have a Hebrew and an 
Italian interpreter along. It is manifest that in order 
to deal adequately with this sweatshop business the law 
will have to be again amended, and perhaps the fac- 
tory inspectors too ; but most necessary of all is an 
amendment to the immigration laws so as to stop the 
influx of this class of people into our industrial system. 
Unless the immigration is practically stopped for a time, 
or at least efficiently checked for a long period, it will 
be nearly impossible effectively to eliminate this sweat- 
shop system. 



THE REPORT of the secretary of the treasury on the 
country's finances is another contribution to wholesome 
literature on banking and currency. Mr. Gage has 
been the one person in the present administration whose 
influence and utterances have been constantly in the 
direction of genuine improvement in our monetary and 
banking system. In each of his reports he has recom- 
mended some practical reform, and always in the right 
direction. He appears to be one of the few bankers 
who, besides knowing how to run the business machin- 
ery of a bank, knows something of the history and 
principle of true banking. He has repeatedly called 
attention to the defective features of our banking ma- 
chinery, particularly the sub-treasury system and the 
iron-bound, non-expansive quality of our currency. 
But, what is more, he locates the evil in the right place. 
He sees that the real hampering features of our bank- 
ing system are the existence of the greenbacks and the 
expensive bond security for national bank-notes, which 
really deprive our banks from performing one of the 
essential features of good banking, the issue of non-le- 



i goo.] EDITORIAL CRUCIBLE 49 

gal-tender bank currency which will expand in response 
to sound business needs and contract when those needs 
recede or disappear. But, with our non-elastic system, 
instead of contraction of the currency when the busi- 
ness needs diminish, we have congestion in the large 
cities, which tends to stimulate speculation and business 
inflation, and when the money is required for great in- 
dustrial or crop-moving purposes its transference to the 
legitimate field creates a stringency and sometimes a 
panic in the large cities. Mr. Gage's minute and yet 
lucid explanation of the movements in this operation is 
one of the best statements of the case that has been 
published for a long time. It is a real contribution to 
the sound financial literature of the period. It should 
be studied by every business man in the country, and 
it would be a great addition to the information of most 
bankers. 



IN HIS opening address to the annual convention of 
the American Federation of Labor at Detroit, Mr. 
Gompers again gave evidence of the growing sense 
among intelligent trade unionists on large industrial 
questions. The two topics to which he referred, out- 
side of strictly labor union matters, were trusts and ex- 
pansion. On trusts Mr. Gompers took the broad and 
sensible ground that they are simply larger corporations 
which are growing out of the various industrial strug- 
gles of the time. He recognizes in this movement the 
spirit of organization, and that it will continue just so 
long as it yields advantages. Unlike many industrial 
reformers Mr. Gompers recognizes that he himself, and 
the American Federation, represent this same principle 
in the movement of the wage workers. Of course he 
claims a higher motive for the laborers' efforts, which 
is only human. The significance of this is not in the 
fact that Mr. Gompers refuses to join the political and 




50 GUNTON'S MAGAZINE [January, 

quasi-political clamor against large corporations, but 
that as the representative of labor he has taken this 
position before the trust conference in Chicago, before 
the industrial commission in Washington, and before 
the Federation convention itself. This means that he 
represents the sentiment of the most intelligent workers 
in the labor movement, because, bold as Mr, Gompers 
may appear, he is not the man to fly in the face of the 
convictions of the unions of which he is the national 
representative. So that, this rational and really pro- 
gressive attitude of Mr. Gompers on the trust question 
represents the growing intelligence on this subject 
among the best organized and most intelligent wage 
workers in the country. 

On the question of expansion Mr. Gompers prob- 
ably bubbles over a little into the Atkinsonian field, 
and lends his influence to a new copperhead movement. 
Yet the point of his contention on this matter is that the 
annexation of new groups of semi-barbarism is detri- 
mental to the interests of the laborers in the United 
States. In this he is unquestionably right. 



THE PRESIDENT'S announcement in his message 
that " Our plain duty is to abolish all customs tariffs 
between the United States and Porto Rico and give her 
products free access to our markets " is naturally hailed 
with special satisfaction by the free-trade journals of 
the country. The doctrine upon which protection has 
been supported in this country, and by nobody more 
strongly than by the president himself, is that the basis 
of competition in the American market shall be the 
American labor cost of production. The only reason 
for having a protective tariff on products of foreign 
countries is to make importing competitors pay in tariff 
duties the equivalent of the difference in labor cost. 



1900.] EDITORIAL CRUCIBLE 51 

This is the economic and equitable basis of protective 
tariffs. 

Now the president recommends that this entire 
principle be abolished in our relation to Porto Rico, 
whose wages are lower than those of almost any Euro- 
pean nation. If the free importation of Porto Rican 
products would have been an economic injury to Amer- 
ican industries last year, they will be so now. Nothing 
has occurred to change that fact. If it be said that this 
is made necessary by the annexation of Porto Rico to 
the United States, then that is a frank confession that 
the annexation of Porto Rico is an economic and indus- 
trial mistake. Either the president's free-trade procla- 
mation regarding Porto Rico is a mistake or the annex- 
ation of the island is a mistake, or the tariff policy for 
which the president has always stood and by virtue of 
which he received his present office is a mistake. 

The truth is that Porto Rico is no more a real part 
of the United States now than when it belonged to 
Spain, and agricultural industries in this country need 
just as much protection as they ever did from her low- 
wage conditions. If we must adhere to the mistake of 
having semi-barbarous colonies, we ought not to make 
the double mistake of also opening the door to their 
depressing influence upon our domestic industries. If 
free trade with Porto Rico will not injure American in- 
dustries, then free trade with Cuba would not, and 
much less would free trade with Canada where higher 
wage conditions prevail, and still less with England 
where even higher wages and shorter hours exist. 




THE LEARNED PROFESSIONS IN STATE 
UNIVERSITIES 

W. F. EDWARDS, FORMER PRESIDENT UNIVERSITY OF 

WASHINGTON 



It is not infrequently that we hear state universi- 
ties spoken of as if they were institutions supported by 
the taxation of the general public but only of benefit 
to a few. Frequently this benefited class is said to be 
made up of the sons and daughters of the wealthy. So 
strong is this feeling that in one state at least it be- 
came a sort of slogan in the election of the state officers 
(regents of the university being appointed by the gov- 
ernor). It probably will be admitted by all that the 
right to tax the people for the support of the state uni- 
versities must be based on utility and necessity to the 
whole state or community and not on utility to particu- 
lar individuals who take courses of study in them. 

There are those who seem to believe that no school 
is of general utility unless everybody not only may but 
also does take advantage, directly, of the instruction 
given therein. They discredit the general utility of the 
high schools as well as that of the state universities 
and would only have instruction in reading, writing, 
spelling, ciphering, and the keeping of accounts, in 
any school supported by public taxation. Of these one 
can only say that he hopes the time may speedily come 
when no one can be found with this narrow perspective 
of educational affairs. 

There are, among those who believe in the general 
utility of the high schools and universities, many who 
believe that the high schools are places where subjects 
are studied as if to acquire knowledge was the sole aim 
of these schools. This class believe that the use of 

52 



LEARNED PROFESSIONS IN UNIVERSITIES 53 

knowledge to give a broader idea of citizenship and a 
better understanding of our duties and responsibilities 
as citizens in society should be the first aim of these 
schools and that the knowledge acquired in them should 
be of the best kind for this purpose. They do not be- 
lieve that a few lessons under the name of political and 
social science sandwiched into a heterogeneous mixture 
of subjects studied more or less independently of each 
other will accomplish this result. They believe that a 
formal study of political or social science, which is not 
an outgrowth of an understanding of nature and its re- 
lations to and effects on social organization, is more or 
less a lesson in dogmatism and therefore to be avoided. 

This class recognize the influence that the state 
universities have had in modeling the courses of study 
in the high schools, and point out that the professional 
tendencies of the state universities have led to the same 
tendencies in the high schools, as evidenced by the 
courses of study that have been introduced into these 
high schools rather as preparation for these professional 
courses in the universities than as a general education 
which would be best for all independently of any idea 
of the profession to be followed in after life. They 
seem to believe that these courses of study could each 
and all be labeled " short cuts to money getting." 
There has been reason for such a belief, but the whole 
blame should not be placed on the state universities, 
and we must not overlook the good that has come from 
the introduction of these professional courses of study. 

Within a period of about a half century we have 
seen scientific courses of study leading to degrees intro- 
duced into the state universities in spite of bitter oppo- 
sition. We have seen these degrees multiplied to cor- 
respond to the increasing importance of certain lines of 
manufactures and trades and distinguished as the de- 
gree of bachelor of science in general science, in civil 




54 GUNTON'S MAGAZINE [January, 

engineering 1 , in mechanical engineering, in sanitary 
engineering, in mining engineering, in marine engi- 
neering, in electrical engineering, in architecture, in 
chemistry, in pharmacy, in physics, in astronomy, in 
mathematics, in botony, in zoology, in pedagogy. 
Along with this multiplication of degrees has come the 
almost unrestricted election of subjects of study which 
amounts to a multiplication of other degrees for profes- 
sional purposes, although they are not so definitely 
labeled with the stamp of immature professionalism. 

The three oldest professions, divinity, medicine 
and law, have been more or less subjected to the influ- 
ence of this specialization and division. Theology has 
practically been lost in the multiplication of creeds, 
sects, and new religions. This has practically driven 
the study of theology from the state universities, as it 
has been confused with sectarianism and religion. A 
statement in a state constitution that " No public 
money or property shall be appropriated for or applied 
to any religious worship, exercise or instruction, or the 
support of any religious establishment. No religious 
qualification shall be required for any public office or 
employment " was not intended, in my opinion, to 
prevent the study of the philosophy and history of the 
development of religions. Such a course of study could 
scarcely be called religious instruction, but could be 
called instruction concerning religions, which to my 
mind is quite a different thing. Of course this all 
comes up in connection with any well-conducted study 
of history, so that it is not at all necessary for the uni- 
versities to offer courses of study especially devoted to 
theology or religions in order to be free from the 
charge of circumscription. Medicine has lost its hand- 
maid, pharmacy, which has gone out into business for 
itself and brought into the state universities one of the 
weakest of the professional courses of study. Dentis- 



1900.] LEARNED PROFESSIONS IN UNIVERSITIES 55 

try, another offshoot from this same profession, has 
likewise gone into business for itself with a like result. 
Like divinity, medicine has lost much by " isms " and 
has thus become divided until we have allopathy, 
homeopathy, eclecticism, osteopathy, etc., and those 
mongrel combinations of divinity and medicine known 
as faith cure, divine healing, Christian Science, etc. 
So far as I am aware, only the first two have found 
places in the state universities. This is one too many 
divisions. Medicine and surgery should be studied in 
universities without special reference to "isms." In 
law there has been a tendency to lose sight of the sci- 
ence of jurisprudence in the study of the technicalities 
of the practice of the law as evidenced by the tendency 
toward specialties such as criminal law, railroad law, 
etc., almost at the beginning of the study of the profes- 
sion. 

Along with this multiplication and splitting up of 
the professions in the state universities have come nu- 
merous professional schools from which professional 
men and women are turned out at such a rate and of 
such a low grade of attainment that we are now bur- 
dened with too many people in every profession. The 
attainment has been so low that a great many people 
have not learned to distinguish, for example, a quack in 
medicine from a well trained and scholarly "regular." 
A " one-horse" lawyer is apt, apparently, to be finan- 
cially as successful as one who has had the best train- 
ing and who is as intelligent as any to be found. Me- 
chanical engineers must compete with mechanics ; elec- 
trical engineers with linemen ; civil engineers with sur- 
veyors; and text-book-cramming teachers with real 
teachers, and so on. 

The kind of adjustment that is needed for this is 
that of raising the standard of required qualifications for 
admission to the practice of a learned profession. In 



56 GUNTON'S MAGAZINE [January, 

the larger state and other universities where the num- 
ber of students has become great enough to admit of 
some independence of the faculties in shaping the policy 
of the institution, there has invariably been an increase 
in the educational qualifications required for admission 
to and graduation from these professional courses of 
study. There has been a marked change in this respect 
within the last twenty-five years. The medical and law 
courses have changed from courses with very little edu- 
cational qualification for admission and with a require- 
ment of two terms' work of six months each or even 
less time, for graduation, to courses with an educational 
requirement for admission nearly equal to that required 
for admission to the courses of study in the depart- 
ments usually called literature, science and the liberal 
arts (a three or four-year high school course), and with 
a requirement of from three to four terms' work of nine 
months each for graduation. The requirements for 
admission to and graduation from courses in dentistry 
and pharmacy have also been increased within this pe- 
riod of time, but the requirements for these depart- 
ments are in general not of so high standard as are 
required for other professional courses. Courses of study 
leading to degrees in engineering are generally the 
same as those for the degree of bachelor of science, in 
the departments of literature, science and the liberal arts. 
If it is true that a large amount and kind of prelim- 
inary culture training is needed to make a well-trained 
doctor, lawyer or minister of the gospel, one may ask, 
why is it not also needed for the professions such as 
pharmacy, dentistry and the various branches of engi- 
neering? It is as much needed for the one as for the 
other, and is needed for culture and better citizenship 
rather than for training specially belonging to the pro- 
fession. Ministers of the gospel should not be consid 
ered as the only professional men who are working for 




i 9 oo.] LEARNED PROFESSIONS IN UNIVERSITIES 57 

social progress ; but every man following one of the 
learned professions, by virtue of which he becomes a 
leader in some walk of life, should have as broad views 
as possible concerning social progress, in order that he 
may use his advantage of leadership to the advantage 
of the whole community. It should be his duty to try 
to benefit the community. Social progress has come to 
have such an enlarged meaning that any man following 
one of the learned professions may be, and ought to be, 
of great value and service to his fellow-men by using 
his understanding to aid in making a safe and contin- 
ued progress. 

Again, we may ask, why have the state universities 
allowed the other universities to set the example, if this 
training should be required of professional men and 
women. This question cannot be fully answered in a 
brief paper, but one or two elements may be briefly 
considered. 

The total number of students enrolled in our state 
universities has been an ever-present argument before 
the state legislatures for additional appropriations for 
the universities, and the professional departments have 
been a means of pushing this argument and securing 
legislative division of the appropriation. It is a very 
unfortunate circumstance that the state universities in- 
stead of beginning with a land grant did not begin with 
a perpetual state mill tax, say three-tenths of a mill. 
In this way as the state grew the universities could 
have grown, and its authorities would have been en- 
abled to plan for its progressiveness and greatest use- 
fulness independently of this bugbear of numbers (in 
the narrow sense) ; and also we would have been spared 
the disgrace of the arguments in the legislatures which 
place the state universities in the category of the insane 
asylums and prisons, that of receiving state aid accord- 
ing to the number of its inmates of whatever kind. 



-58 G UNTON'S MA GAZ1NE [January, 

This fetich of the number of students attending 
the university considered as a measure of its success 
has done more harm to the cause of higher education 
than is commonly supposed. Professors frequently 
consider ways and means of getting a greater number 
of students into their departments in order that a good 
showing may be made to the proper authorities, one 
that will appeal to them as a reason for better equip- 
ment and more instructors. They are sometimes pressed 
in this direction by the attitude of the board of regents. 
In one state university the regents required the secre- 
tary to furnish them with a list of the names of the 
professors with a statement of the number of classes of 
each, together with the number of students in each 
-class. The object of this was to get data for combining 
departments where possible ; to dispose of some depart- 
ments entirely if only a few students were enrolled in 
them, and, where neither of these measures was ad- 
visable, to put the instructors on a pro rata salary, 
depending on the number of class exercises and the 
number of students in each class. One person who was 
an applicant for a professorship in this university was 
so imbued with the propriety of the regent's method 
that he stated to them in his application that he could 
teach Latin, Greek, French, German, English, history, 
psychology, physics and geology, and that by ' ' brush- 
ing up " a little he thought he could do very good 
work in chemistry and mineralogy. The leading regent 
in this movement claimed to be a graduate from one of 
the very best of our universities, but was a lawyer with 
political aspirations. Another regent who was imbued 
with this notion was a minister of the gospel and an- 
other was the editor of a leading newspaper. All had 
been listening to the " curtail expenses" cry of the 
political party to which they belonged. 

If the state universities were to adopt a scheme of 



igoo.J LEARNED PROFESSIONS IN UNIVERSITIES 59 

training, requiring seven years, after the high school, 
I feel sure a cry of woe would be heard throughout the 
land. This cry would be that professional men and 
women would be prevented from marrying, too many 
years after the legally permissible age, and that the ex- 
pense of preparation would be so great that only the 
well-to-do could think of entering one of the learned 
professions. As to the delayed marriage, I will only 
say that it seems to me that the struggle for luxurious 
homes and worldly wisdom are doing more to delay 
and prevent marriage than any restrictions on the pro- 
fessions can do. Increased enjoyment and efficiency in 
the practice of the profession is a sufficient return for 
the added expense of preparation. It would be unfor- 
tunate if only the well-to-do could enter the professions, 
but there is abundant evidence in the universities now 
that such would not be the case. 

It should not be permitted that time should stand 
in the way of thorough preparation if any reasonable 
way to avoid it can be found. If the child begins at 
six years of age and takes twelve years to finish the 
high school and seven years to finish preparation for 
his profession he will be twenty-five years of age before 
he can begin the practice of his profession. It is ad- 
mitted by some of the foremost educators that this time 
is too long, and it has been proposed to shorten it by 
taking one year from the time now required to obtain 
the baccalaureate degree in nearly all colleges. In 
some universities this is accomplished by permitting 
the student to begin the study of his chosen profession 
while he is yet studying for the baccalaureate degree. 
It has also been suggested that the high school should 
do the work usually done in the first year, or first two 
years in college, the graduate of the high school going 
directly to the professional school, as he does now. 




60 GUNTON'S MAGAZINE [January, 

It seems to me that this last suggestion is a good one 
to consider. There are good reasons for making the 
high schools more nearly fit boys and girls for the duties 
of citizenship and society than they do as now carried 
on. However, to put into them the work usually done 
in the first two years of college would not do much to 
improve them for this purpose. The first two years of 
Greek or of each of the modern languages usually 
studied in the first years of a college course, or a course 
in formal logic, would not be of much service toward 
this end ; but two years of the work of history and of 
political and social science, the first year's work in geol- 
ogy, an introduction to the history of civilization, the 
elements of Anglo-American law and of international 
law (without any reference to the profession), and some 
critical study of English could well be introduced into 
the high schools. 

If this were done as well as it could be done we 
would no longer have any place for the college. By a 
careful rearrangement of the work of the schools below 
it, and of the high school itself, this amount could be 
added to it without increasing the time now required to 
complete the work of the high school. The high school 
could be begun at the beginning of the seventh grade 
and be six years or even seven years long. If then the 
high schools were more nearly state schools and less 
nearly city schools there would be a good general edu- 
cation within the reach of all. To do this well would 
require more real teaching and much less cramming 
and reciting of text-books than we have at the present 
time in most schools. This change would need to be 
begun by increasing the number of real teachers and 
decreasing the number of taskmasters. This would 
mean that the universities should devote much time and 
attention to the training of professional teachers of a 
high grade. 



1900.] LEARNED PROFESSIONS IN UNIVERSITIES 61 

I grant that no more work of the kind now found in 
them could or should be added to the high schools. I 
am confident that the day of only languages and mathe- 
matics for the high schools has passed away never to 
return. I see no sound reason for the college as a state 
institution. The student who has completed the sug- 
gested high-school course of study should be considered 
as amply prepared for taking up any of the courses of 
study offered in the universities, whether it is a course 
of study leading to the degree of doctor of philosophy, 
or to one of the professional degrees. In other words, 
after the course of study for the high schools has been 
arranged the university courses of study should be made 
to accommodate themselves to a student with the prep- 
aration represented by the completion of the work of 
the high school. 

In conclusion I will recapitulate and suggest some 
benefits that it seems to me could be derived from the 
introduction of these changes. It would place a good 
and sufficient education for the general purposes of 
citizenship more nearly within the reach of all. It 
would place the universities upon a higher plane than 
they now occupy without increasing the time of prepa- 
ration for admission to or graduation from them. It 
would force the universities to pay more attention to 
the professional training of teachers. It would elevate 
all of the learned professions. It would separate the 
period of general educational training from that of 
special investigations and special professional training. 
It would do away with the baccalaureate degree and 
the college, or rather the high schools would so nearly 
take the place of the college that there would be no de- 
mand for it unless it was insisted on for those intending 
to prepare for the ministry and as a fad for the ''elite " 
of the fashionable world. It would do away with the 
apparently endless discussions concerning the advisa- 




GUN TON'S MAGAZINE [January, 

bility of a single college degree, which has almost invari- 
ably turned to a discussion of whether " A. B." does or 
does not stand for graduation from a course of study 
the major part of which is devoted to the study of Latin 
and Greek. It would lead to an increased value and 
significance of degrees. 

We would then go directly from the high school 
diploma to the degrees of doctor of philosophy, doctor 
of medicine and surgery, doctor of laws, perhaps 
doctor of pedagogy, civil engineer, mechanical en- 
gineer, pharmaceutical chemist, and perhaps metal- 
lurgical chemist. Our physicians would come to act 
more in the capacity of advisers and less in that of 
healers and would impress on the whole community the 
necessity of sanitary living as a moral obligation upon 
society. Patent medicines and appliances with cure-all 
properties would become things of the past. People 
would learn to recognize the doctrine of the limitations 
of disease and ascribe to nature much that is commonly 
supposed to be due to the wonderful knowledge of the 
physician and the power of drugs. Lawyers would 
come to act more honorably as legal advisers. They 
would be a power to purify rather than one to pollute 
and mystify politics. They would revive statesman- 
ship and practice their profession to the end that there 
should be a less quantity of, but more efficient, legisla- 
tion in the state legislatures and 'in congress, and that 
justice and protection might be the sole aim of the pro- 
ceedings in the courts. 

Dentists would be doctors of medicine with a. 
specialty instead of " tooth carpenters." Pharmaceutical 
chemists would take the place of graduates in pharmacy 
and would be of great service to the people and to the 
physicians because of their special knowledge of drugs, 
chemicals, physiological chemistry and toxicology. 
Metallurgical chemists and engineers of all kinds would. 



i 9 oo.J LEARNED PROFESSIONS IN UNIVERSITIES 63 

be of great public benefit as advisers concerning the safe 
and economic development of the mineral and timber re- 
sources of the country and the economic and safe employ- 
ment of their products for the various purposes for which 
they are suitable. Teachers would come to be regarded 
as belonging to a profession the fitness for which could 
not be determined by answering a list of questions 
submitted by a county or township examiner, to be 
answered within a period of from four to six hours by 
writing the answers on paper of a special size and shape. 
They would also be regarded, as they should be if 
properly equipped, as persons whose every act is a les- 
son in right thinking and living and whose general 
knowledge and knowledge of children, and whose rec- 
ognition of their responsibilities and necessary deficien- 
cies, make them safe persons to entrust with the devel- 
opment of the child's intellectual and moral self. 

The faculties of the state universities would need 
to be made up from the ablest scholars and artisans to 
be found, broadly educated men who have developed a 
special interest in and ability along special lines, and 
who may be able to add something to the sum of human 
knowledge by their researches. It would tend to pro- 
duce professional men and women and scholars with 
such moral courage and so much power for right think- 
ing and living that the schools and the state universi- 
ties would so reflect themselves on the public that only 
the chronic faultfinder would try to contend that the 
state universities were not of general utility. On the 
whole, I believe we could look forward to a time when 
all would recognize that morality born of reason and 
intelligence is the surest safeguard to a democratic 
state and her institutions, and that the greatest welfare 
is to be found in a democratic state thus guarded. 



CIVIC AND EDUCATIONAL NOTES 

The prize essay on ' < The New York 
Unification State Educational System; its History, 

its Defects, and the Remedy," by Sara 
Elizabeth Stewart, is an able statement of the case 
from the viewpoint of those who advocate consolidation 
of all the official educational supervision under the board 
of regents. A determined effort to accomplish this 
change will be made during this winter's session of the 
state legislature. Copies of this essay, together with 
one by Richard Edwin Day, Litt. D., may be had upon 
application to the Unification Prize Committee, Pal- 
myra, N. Y. 



The annual report of the board of educa- 
Not Enough . f New York . shows that since 

Schools Yet 

February last contracts have been award- 
ed for new schoolhouses and extension of present facili- 
ties involving an expense of $3,107,289. During the 
last school year eight new school buildings have been 
opened in Manhattan and the Bronx, providing for 
12,000 children; two in Brooklyn, accommodating 
3,037, seven in Queens, providing for 1,400, and two in 
Richmond with space for 1,640, a total of nineteen 
schoolhouses with accommodations for about 18,000 
children. This seems like progress, yet everything is 
relative. The population of the city is growing so rap- 
idly that at present, it is stated, fully 15,000 children 
are compelled to accept only half-time instruction, and 
many others cannot get into the schools at all. Ample 
authority exists for expenditure of funds sufficient to 
provide for all the school children of the metropolis. 
The present trouble dates back to the arbitrary inter- 
ruption of school construction early in 1898, by the 

64 



CIVIC AND &D UCA TIONAL NO TES 65 

Tammany administration, when it conjured up the 
debt-limit spook for the sake of nullifying contracts 
granted under the previous administration, so that fu- 
ture work might be let out in other quarters. 



The Southern ^ e are P^ ease( ^ to note the founding of 
Industrial another industrial educational institution 

College i n the South. The Southern Industrial 

College, at Camp Hill, Alabama, established in March 
1899, is located on a plantation of about five hundred 
acres, and, in addition to industrial training, offers 
courses in philosophy and ethics, mathematics, physi- 
ology, English, and ancient and modern languages. 
The industrial department is. hardly yet under way, 
but is planned to give opportunity for pursuit of a 
variety of trades and occupations intended not merely 
to help the student through a college course but to give 
him training for practical life. The work is in charge 
of Rev. Lyman Ward, and is one of the undertakings 
of the sort that are needed in the South and contain im- 
portant possibilities. 



We are requested to announce a prize of 
Prize Essay one thousand marks, offered by the In- 

Competttion . 

ternational Association for Competitive 
Jurisprudence and Economics (Berlin), for the best 
work on this subject: " The Legislation in regard to 
the Accident Liability of Railroads in the most Impor- 
tant Countries of Europe : its History and Economic 
Significance." Essays must be written in German, 
French or English, and submitted before April ist, 
1901, to the First Secretary of the Association, Dr. 
Kronecker, at Berlin. The essays should not be signed 
with the name of the author, but marked with an in- 
scription and accompanied by a sealed envelope bear- 
ing the same inscription and containing the name and 






66 GUNTON'S MAGAZINE [January, 

address of the author. The request for publication of 
this notice in American economic journals comes to us 
through Bowdoin College. 



Economic J ust one 7 ear a g> ^ n an article on the 

Instruction " Teaching of Economics in Schools," 

in Schools we took the somewhat advanced ground 

that the next important step in public school education 
must be the gradual adoption of definite instruction in 
social-economic science. Comments upon that article 
revealed the fact that this need is felt and recognized 
to an hitherto unsuspected extent. How rapidly the 
idea is coming to the front, however, is indicated by the 
fact that one entire division of the " Congress for the 
Teaching of Social Sciences," to be held at the Paris 
Exposition this summer, will be devoted to just this 
subject. That is to say, of the three sub-divisions of 
the congress, the second will be devoted to ' ' Secondary 
and Higher Primary Teaching : present situation in the 
different countries ; progress to be made ; the place to 
be taken in such teaching by instruction on the econom- 
ical organization of societies." To this congress spe- 
cialists and teachers from all over the world are invited, 
and it will continue five days, beginning July 3Oth. 

It is to be hoped that we are on the eve of an im- 
portant and far-reaching reform in that branch of our 
educational system which reaches 95 per cent, of the 
school children who are to be the future citizens of the 
republic. 



"Who Support From recent press reports we extract two 
the Seats of edifying items : 

the Mighty one day, shortly before Mr. Croker 

sailed for Europe, Mr. John C. Sheehan, a former 
grand sachem of Tammany Hall and recently Mr. 
Croker's successful rival in a local district fight, en- 



igoo.] CIVIC AND ED UCA TIONAL NO TES 67 

countered the chief in the halls of the Democratic Club. 
Croker, evidently disposed to be conciliatory, exclaims : 
' ' I recognize you as the leader of the ninth district, 
and as the head of the Tammany organization there." 

Whereto Sheehan responds : ' ' Then reinstate 

and in their places in the county clerk's office/' 

Promptly the boss replies : ' ' Certainly, the men shall 
be put back." Just where the county clerk himself 
comes in on this is of minor importance. 

The other incident occurred a few days later, also 
in New York. Mr. Nixon, speaker of the state as- 
sembly last winter and presumably a candidate for re- 
election, came to town. Being interviewed concerning 
the office to which he has not yet been elected, nor even 
nominated, he declared, with excessive modesty : "I 
can make no announcements to-day except that, as 
everybody knows, Jotham P. Allds, of Chenango, will 
be chairman of the committee on ways and means, and 
leader of the republicans in the assembly. I will see 
Senator Platt later to-day and the whole thing will be 
gone over." 

Well! Well! Of all impudent, brazen travesties 
on democracy, etc., etc. ? Not at all. Both occurrences 
are entirely democratic, because they are in accordance 
with the will of the people. Either it is the express 
will or negative permission through indifference. No 
man who scorns participation in politics has the slight- 
est right to utter a word of complaint. 






THE OPEN FORUM 

This department belongs to our readers, and offers them full oppor- 
tunity to "talk back" to the editor, give information, discuss topics or 
ask questions on subjects within the field covered by GUNTON'S MAGA- 
ZINE. All communications, whether letters for publication or inquiries 
for the " Question Box," must be accompanied by the full name and ad- 
dress of the writer. This is not required for publication, if the writer 
objects, but as evidence of good faith. Anonymous correspondents are 
ignored. 



LETTERS FROM CORRESPONDENTS 

The "Liberty" of Savages 

Editor GUNTON'S MAGAZINE, 

Dear Sir: In your recent popular lecture on 
" Liberty and License," which appeared in the Lecture 
Bulletin of your Economic Institute, you speak of order 
being the mother of liberty, and not the daughter of 
liberty. In supporting this you refer to savage life as 
a type of complete anarchy, the only law being the will 
of the individual and his ability to prevent some other 
savage from interfering with him. Under this condi- 
tion you endeavored to show that there was the least 
real freedom, because the savage could rely on no co- 
operation for his self-defense, but had to look out en- 
tirely for himself. But is it not a fact, as Lubbock and 
other investigators have pointed out, that no savage is 
free from law? The common idea that such is the case 
is a delusion. In practically every tribe the savage is 
hemmed in with a multitude of arbitrary rules and cus- 
toms, some being of the most frivolous character, and 
the penalty for violation frequently death. It seems to 
me, therefore, that the savage's lack of freedom is due 
to these causes, and if we could find a condition where 
they were free from arbitrary restrictions perhaps we 

68 



LETTERS FROM CORRESPONDENTS 69 

would find that there they really did enjoy the most 
complete personal liberty. At any rate, I cannot see 
that we are justified in saying that savages, not bound 
by any laws or regulations, are the least free of all men, 
when, in fact, we have never been able to find a place 
where such freedom from laws and regulations actually 
exists. H. C. D . 

[Such regulations and restrictions as do exist simply 
show that even in savagery some attempt at orderly 
control is indispensable to protect the crudest elements 
of individual freedom and safety. ED.] 



Freedom of Economic Teaching 

Editor GUNTON'S MAGAZINE, 

Dear Sir: In the December, 1899, number of your 
magazine, in an article entitled " Free Thought in Col- 
lege Economics," it seems to me that you have not 
clearly distinguished between teaching a doctrine as a 
" hobby " and discussing it as a subject related to others 
supposed to be of like kind. You admit that new views 
will arise but seem to convey the idea that the profes- 
sor should not discuss them with his classes until they 
are accepted by the general public. How are we to 
judge of the general acceptance of the doctrine? How 
did the state universities know when it was time to in- 
troduce departments of homeopathy, for example? 

While it is true that we are still to a considerable 
extent devotees of hero worship, yet I am inclined to 
believe that the class of students that attend our col- 
leges and universities are on the whole amenable to the 
use of their reasoning faculties and, therefore, not likely 
to be completely carried away by the discussion of a 
new doctrine like the single tax, socialism, or the free 
coinage of cheap silver dollars. If these subjects will 
not stand the light of honest investigation why are we 
so concerned about them? A professor of political 



70 GUNTON'S MAGAZINE 

economy who would not touch on these subjects to-day 
would, in my opinion, be derelict in his duty, and yet 
I am not an advocate of any one of the three. The 
difficulty seems to me to be rather that of the havoc to 
be made by a long-time struggle with these questions 
than a fear of the ultimate outcome. 

You also write ' ' But on what theory of society, or 
education, or science should the teaching of the new 
views of a professor be put beyond the authority of the 
governing body? On what theory, in short, should the 
professor become a law unto himself regarding the doc- 
trine he shall teach in public institutions? " It seems to 
me that quite as pertinent questions are : On what 
theory of society, or education, or science should the 
views of the professor be restricted by the authority of 
the governing body? On what theory in short, should 
the professor become the slave of the governing body 
regarding the doctrine he shall teach? There have 
been cases where the governing body of state universi- 
ties dismissed professors who were in accord with 
the doctrine of the majority of the people of the state 
in order that some one might be employed who would 
promulgate the doctrines supposed to be useful to a 
majority of the members of the governing body. 

In the state universities, and elsewhere for that 
matter, the dogmatic promulgation of any doctrine 
should be discouraged, but it seems to me that freedom 
of thought is quite another thing. 

W. F. EDWARDS, Orchard Lake, Mich. 

[Our contention was not at all, as Mr. Edwards 
supposes, that mooted questions should not be discussed 
in college class-rooms, but simply that the professor 
cannot properly demand the right to champion and be- 
come a special pleader for new and unaccepted doctrines 
disapproved by the governing body of the institution. 
ED.] 



QUESTION BOX 



The Rise in Oil Prices 

Editor GUNTON'S MAGAZINE, 

Dear Sir: I notice in your editorial discussions 
that, while you continue to speak of real prosperity as 
dependent on high wages and low prices, you still refer 
to the present condition of partly high wages and very 
high prices as one of extraordinary prosperity. I have 
been looking for some article that would explain the 
reason of the very high prices prevailing at the present 
time, a good part of which it seems probable is due 
only partly to increased cost of doing business, and the 
rest being extra profit exacted by the capitalists on the 
strength of the general boom all along the line, a sort 
of gigantic " bluff game." The worst case of all seems 
to be that of refined petroleum, which has gone up over 
three cents a gallon in the last two years, although 
there is no shortage of supply and the only material in- 
crease in cost is that of the crude oil, which does not 
come anywhere near equaling the rise in refined. Is 
not the Standard Oil Company simply taking advantage 
of the situation to increase its profit margin to the ut- 
most limit while the boom lasts? 

G. F. P., Philadelphia, Pa. 

This is a fair sample of the questions that are con- 
stantly being raised, frequently taking the form of pos- 
itive statements. Over all the country the rise in prices 
of articles produced by large corporations, which people 
love to call "trusts," is sweepingly charged to the 
arbitrary action of the " trust "to increase its profit. 
Of course, one is not surprised to see the sensational 
penny papers deal in this sort of thing, and not much 
astonished even to find it used by a certain class of 

71 




72 GUNTON'S MAGAZINE [January, 

political speakers, who hope to make the anti-trust 
issue the means of obtaining office, but a great many 
people who affect serious discussion of the subject 
adopt substantially the same method. For instance, in 
the June number of the Review of Reviews, Mr. Byron 
W. Holt had a most formidable presentation of the sub- 
ject. He gave a list of 140 so-called " trusts," with an 
elaborate statement of the amount of stock, common 
and preferred, date of organization, etc., all of which 
has a seeming of thoroughness. In analyzing the price of 
petroleum, for example, he puts in one column the price 
of the crude, for a series of years, in another the price 
of the refined, and in a third the difference, which is 
supposed to represent the cost of refining and the profit. 
If the difference between the cost of the crude and the 
price of the refined falls, as it did over 13 cents a gal- 
lon from 1870 to 1897, it is properly attributed to the 
reduced cost of production, but if for any reason this 
difference increases, as in 1898-99, it is promptly 
charged to the increase of the profits of the " trust." 
He does the same thing with sugar, tin and other in- 
dustries. On the assumption that he has conclusively 
shown that this rise is all profit pocketed by the ' 'trust," 
he proceeds to exclaim how the " trusts" are robbing 
the people. This method of reasoning is as false as its 
seeming is plausible. It takes into account none of the 
elements that make up the cost of production, except 
the raw material. 

We investigated the case of tin. plate, and gave the 
result in our issue of May 1899. In that case the facts 
conclusively showed that the rise in the price of the raw 
materials and in the wages up to that date was equal to 
the rise in the price of the product, and that in reality, 
although the tin-plate industry had been reorganized 
into a large concern embracing three-fourths of the en- 
tire output of the country, the increased price did not 



igoo.] QUESTION BOX 73 

represent any addition to the profit of the so-called 
" trust." Whatever increased profits, if any, had been 
secured, were due to economics of the new manage- 
ment. 

Now, as to refined petroleum. It is true as our 
correspondent says that refined petroleum ' * has gone 
up over three cents a gallon in the last two years." 
Since July, 1897, the prices of crude and refined petro- 
leum per gallon, in barrels, in the New York market 
have been as follows : 

Year. Crude. Refined. Difference. 

July, 1897 i.gocts. 6.oocts. 4. locts. 

January, 1898 1.55 " 5-4O " 3-85 " 

Octobers, 1898 2.55 " 6.85 " 4.30 ' 

January 4, 1899 2.83 " 7.50 " 4.67 " 

July 26, 1899 3- " 7-7 " 470 " 

September 27, 1899 3.57 " 8.95 " 5-38 " 

October 25, 1899 3.66 " 8.95 " 5.29 " 

December i, 1899 3.88 " 9.65 " 5-77 " 

It will be seen from this table that since July, 1897, 
the price of crude petroleum has risen 1.98 cents per 
gallon and the price of refined has risen 3.65 cents per 
gallon. In other words, the rise in the price of refined 
oil from July 1897 to December ist 1899 was 1.67 cents 
per gallon more than the rise in the price of crude oil 
during the same period. According to the popular 
method adopted by Mr. Holt and others we should as- 
sume that this 1.67 cents is simply added to the profits 
of the " trust." Hence the hubbub. But this is not at 
all true. During this same period the cost of every- 
thing which enters into the manufacture and distribu- 
tion of refined petroleum has also risen, all of which is 
ignored in this method of treatment. For instance, the 
cost of manufacturing barrels has increased 41 cents 
per barrel, or about .98 of a cent on each gallon. 
During this period freights have risen 10 cents a barrel 
in some parts of the country and as much as 20 cents 



74 GUNTON'S MAGAZINE [January, 

in others, or an average of about 15 cents a barrel, or 
about .36 of a cent per gallon. The price of all the 
chemicals used in refining has also risen in many in- 
stances over 100 per cent, and, as in every other indus- 
try, wages have also risen. The exact amount of these 
last items of increase we have only been able to ascer- 
tain approximately, but the marketing expense of dis- 
tributing oil from June 1 898 to June 1 899 was increased 
.12 of a cent a gallon, and it has been further in- 
creased during the last five months. If we allow .05 
of a cent a gallon for the increase in the cost of chem- 
icals and .15 of a cent for the ris^ of wages, which 
is a very moderate estimate, the case will stand as fol- 
lows: 

Increase in the cost of crude oil per gallon .... 1.98 cents 

" barrels " " ... .98 cents 

" freight " " ... .36 " 

" marketing" ... .12 " 

" chemicals" " ... .05 " 

" labor " " ... .15 " 1,66 " 

Total increase of costs 3.64 " 

Thus, while it is true that the price of refined oil 
has risen 3.65 cents a gallon from July 1897 to Decem- 
ber ist, 1899, the cost of crude oil and other expenses 
connected with refining and marketing have risen 3.64 
cents a gallon, so that the rise in the price to the public 
during this period is only .01 of a cent a gallon more 
than the known increase in the cost of production. In 
other words, the increase of 3.65 cents a gallon in the 
finished product represents no increase in the profits, 
but only increase in the various items in the cost of 
production, part of which is the labor cost in all the 
various phases of the industry. 

It is not claimed that these items of cost are exact 
for December ist, as some of them only come down to 
June, and the prices of all the raw materials used in oil 



i9oo.] QUESTION BOX 75 

refining have continued to advance and yet show no 
signs of a halt. But the general fact is quite clear that 
the movement of the market price of the refined prod- 
uct keeps substantially with the movement of the costs 
of production. 



Is England's Cause Just ? 

Editor GUNTON'S MAGAZINE, 

Dear Sir: In you review of Hillegas's " Oom 
Paul's People," in the December MAGAZINE, I find the 
following expression : ' ' The English government 
does not demand and never has demanded the franchise 
for any except those who are willing to renounce their 
British allegiance and become citizens of the South 
African Republic." 

As a matter of fact, is it not true that the only dif- 
ferance of moment remaining unsettled between the 
two governments at their recent Bloemfontein confer- 
ence existed in certain features of the form of the oath 
of naturalization prescribed by the law of the South 
African Republic? Two forms of oath have been men- 
tioned as having been under consideration ; an ambig- 
uous one with a loop-hole left for the claim of Eng- 
land's imperishable title to perpetual vassalage, and one 
of the so-called iron-clad form, which absolutely puts 
an end to that claim. England has a fundamental prin- 
ciple that no defeat in war has ever made or ever will 
make it yield, which is: "Once an Englishman, al- 
ways an Englishman." At the conclusion of peace 
with the United States in the war of 1812 upon that is- 
sue, neither Mr. Gallatin nor Emperor Alexander I. 
nor any one else pleading the cause of America could 
make England budge on that point, left pending for all 
future occasions. It has been asserted again and again 
against the Dutch settlers, considering themselves free 
and independent on free soil, English documentary 



76 GUNTON'S MAGAZINE [January, 

grants of independence notwithstanding. As the duty 
of protection of English citizens' rights is the professed 
cause and purpose of England's arming and going into 
war, this cause and purpose would fail with the failing 
of citizenship. Emancipating the Transvaal, it would 
disrobe England of the disguise of championship for 
liberty and progress and expose her in the position of 
.a conqueror for spoil and promoter of monopolistic des- 
potism. F. B., Wilkesbarre, Pa 

It is true that certain groups of the so-called " Uit- 
landers " have at different times urged a claim to the 
right of franchise without entirely surrendering their 
allegiance to England. Our statement, however, was 
that the British government has not made and does not 
make any such absurd demand. So far as we can dis- 
cover, this is correct. The case on this point is well 
stated by Mr. Sydney Brooks in the North American Re- 
view for July, as follows: 

"A section of the excluded settlers has started a theory, based on 
Great Britain's suzerainty, that the taking of the oath of allegiance to 
the Transvaal does not involve the surrender of British citizenship. If 
the contention were sound, President Kruger would be well within his 
rights in refusing the franchise to all such hybrid citizens. But the argu- 
ment will not hold water for a moment. Mr. Chamberlain and all the 
best legal authorities in England have condemned and disowned it. A 
British subject on swearing the oath of allegiance to the South African 
Republic, or any other state, forfeits at once his rights of British citizen- 
ship, and becomes, suzerainty or no suzerainty, a foreigner. It is a pity 
a contrary plea was ever urged. It has only served to misrepresent the 
intentions of the average Uitlanders." 

Elsewhere, describing the causes of complaint on 
"the part of the alien residents, he says : 

" At present no immigrant can vote for the First Volksraad unless 
he has passed the age of forty and lived for at least fourteen years in 
the country, after taking the oath and being placed on the government 
lists, lists on which, according to Mr. Bryce, the local authorities are 
nowise careful to place him. Even the niggardly reforms proposed by 
the President at the end of last May were negatived by the burghers. 
Practically, the Uitlanders are disenfranchised. In every other state, 



igoo.] QUESTION BOX 77" 

Dutch and English stand on the same equality. In the Transvaal, the 
English are treated like Kafirs. They have not only taxation without 
representation, but taxation without police, without sanitation, without 
schools, without justice, without freedom of the press, without liberty 
of association. Johannesburg is ill-paved, ill-lighted and abominably 
deficient in drainage and water-supply, because it is English. The 
courts of law have been prostituted to the whims of the Legislature, in 
defiance of the written Constitution of the Republic, that thereby the 
English might be deprived of their one legal remedy against injustice. 
Education, except in the Boer taal, is forbidden above the third stand- 
ard, in the hope of forcing the English to unlearn their native tongue. 
And these indignities are put upon the men who are the source of all the 
country's prosperity, and its saviours from internal dissolution." 

In your reference to the expression " Once an Eng- 
lishman, always an Englishman," you erect into a seri- 
ous national policy what in reality is nothing more than 
a sentiment which neither England nor any other civil- 
ized nation is so idiotic as to attempt to-day to enforce. 
It is true the question was not settled in so many words 
at the treaty of Ghent, in 1814, but, instead of being 
left open for all future occasions as you say, the claim 
in reality was practically dropped by England, never to 
be revived. Do you suppose, for instance, that Eng- 
land to-day either actually or theoretically imagines- 
that she holds any right of sovereignty over former Eng- 
lish citizens who have taken the oath of allegiance to the 
United States? Any such notion is ridiculous absurdity. 
England's claim of a remote suzerainty over the Trans- 
vaal dates back to a long series of controversies over the 
status of the Boer settlers who left the British province 
of Cape Colony in 1835 for another part of South Africa. 
However, the only suzerainty now asserted is the right 
of supervising foreign treaties. The present war does not 
grow out of any attempt to abolish the Boer republic, 
but simply to obtain for Englishmen living there the 
right to become citizens of the Transvaal under reason- 
able conditions, and thus to have something to say con- 
cerning the political control of their property and per- 
sons. 




78 G UNTON'S MA GAZINE 

Of course, it is not to be pretended that England 
has been wholly without fault in this matter. It is 
quite likely that lack of tact and judgment on Mr. 
Chamberlain's part had much to do with hastening 
President Kruger's ultimatum of October loth, while 
certain extreme demands of the Uitlanders of course 
have been unjustifiable. Probably the contest could 
not have been avoided sooner or later, however, be- 
cause it was clearly the disposition of the Boers to tem- 
porize and ward off any concessions which would really 
grant any important right of participation in the gov- 
ernment. There is an heroic aspect to the Boers' case 
which cannot fail to arouse a certain sentiment of sym- 
pathy and admiration, but now that the struggle is 
launched the broad interests of civilization clearly lie 
with the success of the British cause. This is far more 
general in its application than the mere settlement of 
the Transvaal dispute. The result of the contest will 
determine whether or not the tremendous advance on 
barbarism that English industrial energy has been 
making in South Africa is to continue or not, and, if 
not, the loss of prestige may seriously weaken Eng- 
land's position in India and her demand for an open 
door for western civilization throughout the Orient. It 
is not a case, therefore, for sentimental sympathy with 
the bravery of a stubborn, undemocratic oligarchy, but 
really involves to a serious extent the larger interests 
of civilization throughout Africa and Asia. 



BOOK REVEWS 



THE MEANING OF EDUCATION. By Nicholas Mur- 
ray Butler, Professor of Political Philosophy and Edu- 
cation in Columbia University. Cloth, 230 pp., $1.00. 
The Macmillan Company, New York and London. 

John Fiske said that Comte had the historic sense. 
It may truly be said of Dr. Nicholas Murray Butler 
that he has the educational sense. Not merely scholar- 
ship and educational enthusiasm, not merely scientific 
method, nor even the spirit of educational propaganda, 
but something that is more significant than any of these 
is educational sense. It is the power of insight, the 
capacity of sensing the direction and significance of the 
moving forces below and behind the observable environ- 
ment which makes for the molding of social character. 
Although Nicholas Murray Butler is a young man he 
is really the leading educator in the United States. Not 
that he has no peers in erudition and oratory and the 
gift of imparting what he knows, though in this he has 
few superiors, but his preeminence consists in his phil- 
osophic range and penetration into the depth and scope 
of the educational function. 

It is the habit of educators not merely to specialize 
but to segregate studies, so as to separate scholarship 
and culture from the moving forces and panting pulsa- 
tions of human life in the great social aggregate. They 
treat education as an exclusive training for a limited 
sphere, rather than as a democratic social fact. They 
occupy a position in education similar to that repre- 
sented in the old economics by Mill's " economic man," 
a man who ate and slept to supply the maximum 
productive muscle at the minimum cost. With the in- 
dustrial development of the last fifty years economic 
thought has been greatly modified and modernized. It 

79 




80 G UNTO WS MAGAZINE [January, 

has gradually broadened out to include much more 
than the mere muscle-furnishing man. It has discov- 
ered that human muscle is the dearest of all productive 
instruments, and that the truly economic man, the man 
who can furnish the world the greatest amount and 
variety of civilization at the least cost, is not the simple 
muscle-furnishing man but the complex, broadened, 
ethical, social man. This is because the social man, 
the man with the maximum variety of tastes and ambi- 
tions, with the broadest cultivation, the strongest char- 
acter, furnishes at once a double force, one by multi- 
plying the demand for economic products, and the oth- 
er the invention, enterprise and ingenuity to apply 
science so as to harness natural forces to production 
and thus make nature yield many hundred times as 
much as the most competent socially simple and mere- 
ly muscular man could ever furnish. 

In other words, political economy has been ex- 
panded into social economics, which recognizes and re- 
lies upon the development of the social and ethical 
forces of society as the great economic propellers of hu- 
man progress. It recognizes, in other words, that the 
great advance in civilization, not the least of which is 
the increasing economy and efficiency of productive 
forces, comes not through maximizing the productive 
use of human muscle the economic man but by ac- 
celerating the sociological forces which operate in the 
development, elevation and refinement of all the phases 
of social character. That is, the real forces in econom- 
ic progress lie in the domain of psychological activity 
and sociological expansion. 

Dr. Butler represents the movement which is to 
substitute the sociological man for the "economic 
man " in education. To him education is not merely 
an individual but a social affair. It is not merely the 
cultivator and polisher of persons but the broad, virile 



igoo.] BOOK REVIEWS 81 

force which shall vitalize the great social aggregate, 
which shall not merely give refinement to small groups 
of individuals but which shall induce moral stamina, 
social strength, political integrity and high national 
ideas throughout the community. Dr. Butler is in a 
sense the prophet of the new education which looks for 
human improvement through the working of sociolog- 
ical forces rather than by the technical cramming which 
leads to social exclusiveness. In short, he represents 
the democracy of education which reaches out to the 
industrial, social and political life of the nation as the 
surest way of promoting the permanent progress of 
freedom-creating civilization. This is a new and 
really advanced phase of educational progress, and it is 
the phase most emphasized and most clearly presented 
in the present work. 

Almost all of Dr. Butler's recent utterances have 
had a strong flavor of this democratic and truly philo- 
sophical aspect of- education, but this little book 
stands out as a beacon light to the marching educa- 
tional army. It sounds a note of a higher goal, of a 
broader usefulness and deeper philosophy of education. 
It sounds a note of optimism, courage and confidence, 
and an educational humaneness which is at once cheer- 
ing and inspiring. It makes education both philosoph- 
ical and humane, by making it the universal handmaid 
of democracy in social progress. On this we cannot do 
better than let Dr. Butler speak for himself : 

"But most striking and impressive of all move- 
ments of the century is the political development 
toward the form of government known as democracy. 
Steadily and doggedly throughout the ten decades the 
movement toward democracy has gone its conquering 
way. When the century opened democracy was a 
chimera. It had been attempted in Greece and Rome 
and again in the middle ages ; and the reflecting por- 



83 GUNTON'S MAGAZINE [January, 

tion of mankind believed it to be a failure. Whatever 
its possibilities in a small and homogeneous community, 
it was felt to be wholly inapplicable to large states. 
The contention that government could be carried on by 
what Mill called collective mediocrity rather than by 
the intelligent few, was felt to be preposterous 

" So significant has this phenomena of democracy 
become, so widespread is its influence, and so domi- 
nating are its ideals, that we have rightly begun to 
study it both with the impartial eye of the historian 
and by the analytic method of the scientist. The liter- 
ature of democracy for the past half century is ex- 
tremely important ; and Tocqueville, Bagehot, Scherer, 
Carlyle, Maine, Bryce, and Lecky are but a few of the 
great names that have contributed to it. Through all 
the pages of these writers runs an expression of the 
conviction that the stream of tendency toward democ- 
racy can neither be turned back nor permanently 
checked. Some of these students of democracy are its 
enthusiastic advocates, others are its hostile critics ; all 
alike seem to resign themselves to it. ... 

" Democracy is, as I have said, a movement so 
novel and so sweeping, that we have not yet had time 
to compare it closely, in all its phases, with monarchy 
and oligarchy. The advantages of these forms of polit- 
ical organization were manifest when society was young 
and man's institutional life yet undeveloped. As time 
went on, the weaknesses of such forms of government 
became apparent. The plunge into democracy was 
made, and we have usually gone no further than to con- 
trast its blessings with what we know of the oppres- 
sion and iniquity that resulted from kingship and oli- 
garchy in the early modern period. We must, however, 
go further than this, and gain a truer and deeper in- 
sight into the institutional life of which we are a part. 

" It is just here that we find evidence of the close 



1900. ] BOOK RE VIE WS 83 

relations that exist between democracy and education. 
So long as the direction of man's institutional life was 
in the hands of one or the few, the need for a wide dif- 
fusion of political intelligence was not strongly felt. 
The divine right of kings found its correlative in the 
diabolical ignorance of the masses. There was no edu- 
cational ideal, resting upon a social and political neces- 
sity, that was broad enough to include the whole people. 
But the rapid widening of the basis of sovereignty has 
changed all that 

' ' It was not by accident that the Greek philoso- 
phers made their contributions to educational theory in 
treatises on the nature and functions of the state. Both 
Plato and Aristotle had a deep insight into the mean- 
ing of man's social and institutional life. To live to- 
gether with one's fellows in a community involves fit- 
ness so to live. This fitness, in turn, implies discipline, 
instruction, training; that is, education. The highest 
type of individual life is found in community life. 
Ethics passes into or includes politics, and the educa- 
tion of the individual is education for the state. The 
educated Greek at the height of his country's develop 
ment was taught to regard participation in the public 
service alike as a duty and a privilege. The well- 
being of the community was constantly before him as 
an ideal of personal conduct. To depart from that point 
of view is to entail the gravest consequences. That a 
large proportion of our people, and among their num- 
ber some of the most highly trained, have departed 
from it, needs no proof. 

* ' Failure to understand the political life of a dem- 
ocratic state and failure to participate fully in it, lead 
directly to false views of the state and its relations to 
the individual citizen. Instead of' being regarded as 
the sum total of the citizens who compose it, the state 
is, in thought at least, then regarded as an artificial 



84 GUNTON'S MAGAZINE [January, 

creation, the plaything of so-called politicians and wire- 
pullers. This view, that the individual and the state 
are somehow independent each of the other, is not with- 
out support in modern political philosophy, but it is a 
crude and superficial view. It gives rise to those falla- 
cies that regard the state either as a tyrant to be re- 
sisted or as a benefactor to be courted. No democracy 
can endure permanently on either basis. The state is 
the completion of the life of the individual, and without 
it he would not wholly live. To inculcate that doctrine 
should be an aim of all education in a democracy. To 
live up to it should be the ideal of the nation's educated 
men. 

"Impossible in theory as the separation of the 
state from the individuals who compose it seems, yet 
in practice it is found to exist. This is true in the 
United States, and in some localities more than others. 
Our constitutional system, elaborately adjusted so that 
each individual's choice may count in the ascertainment 
of the common will, now shelters a system of party 
organization and of political practice, undreamt of by 
the fathers, that effectually reduces our theoretical de- 
mocracy to an oligarchy, and that oligarchy by no means 
an aristocracy. With here and there an exception, the 
educated men of the country hold themselves aloof or 
are held aloof from participation in what is called 
practical politics. That field of activity which attract 
the highest intelligence of the nation too often repels 
it. ... If education and training unfit men for 
political life, then there is something wrong either with 
our political life or with our education. 

" The teachers of the country should address them- 
selves to this question with determination and zeal. 
Instruction in civil government is good ; the inculca- 
tion of patriotism is good ; the flag upon the school- 
house is good. But all these devices lie upon the sur- 



i 9 co.] BOOK REVIEWS 85 

face. The real question involved is ethical. It reaches 
deep down to the very foundations of morality. It is 
illuminated by history. 

' ' The public education of a great democratic peo- 
ple has other aims to fulfil than the extension of scien- 
tific knowledge or the development of literary culture. 
It must prepare for intelligent citizenship. More than 
a century ago Burke wrote that ' the generality of peo- 
ple are fifty years, at least, behindhand in their poli- 
tics. There are but very few who are capable of com- 
paring and digesting what passes before their eyes at 
different times and occasions, so as to form the whole 
into a distinct system.' This is the warning of one of 
the greatest of publicists that a thoroughly instructed 
.and competent public opinion on political matters is 
difficult to attain. Yet, unless we are to surrender the 
very principle on which democracy rests, we must 
struggle to attain it. Something may be accomplished 
by precept, something by direct instruction, much by 
example. The words ' politics ' and ' politician ' must 
be rescued from the low esteem into which they have 
fallen, and restored to their ancient and honorable 
meaning. It is safe to say that the framers of our con- 
stitution never foresaw that the time would come when 
thousands of intelligent men and women would regard 
1 politics ' as beneath them, and when a cynical unwill- 
ingness to participate in the choice of persons and poli- 
cies would develop among the people. 

* ' The difficulties of democracy are the opportuni- 
ties of education. If our education be sound, if it lay 
due emphasis on individual responsibility for social and 
political progress, if it counteract the anarchistic ten- 
dencies that grow out of selfishness and greed, if it 
promote a patriotism that reaches farther than militant 
jingoism and gunboats, then we may cease to have any 
doubts as to the perpetuity and integrity of our institu- 



86 GUN TON'S MAGAZINE [January 

tions. But I am profoundly convinced that the great- 
est educational need of our time, in higher and lower 
schools alike, is a fuller appreciation on the part of the 
teachers of what human institutions really mean and 
what tremendous moral issues and principles they in- 
volve. The ethics of individual life must be traced to 
its roots in the ethics of the social whole. The family, 
property, the common law, the state and the church, 
are all involved. These, and their products, taken to- 
gether, constitute civilization and mark it off from bar- 
barism. Inheritor of a glorious past, each generation 
is a trustee for posterity. To preserve, protect, and 
transmit its inheritance unimpaired, is its highest duty. 
To accomplish this is not the task of the few, but the 
duty of all. 

' ' That democracy alone will be triumphant which 
has both intelligence and character. To develop them 
among the whole people is the task of education in a 
democracy. Not, then, by vainglorious boasting, not 
by self-satisfied indifference, not by selfish and indolent 
withdrawal from participation in the interests and gov- 
ernment of the community, but rather by the enthusi- 
asm, born of intense conviction, that finds the happi- 
ness of each in the good of all, will our educational 
ideals be satisfied and our free government be placed 
beyond the reach of the forces of dissolution and 
decay." 



LIBERTY IN THE NINETEENTH CENTURY. By Fred- 
erick May Holland. 243 pp., gilt tops; with appendix. 
$1.75. G. P. Putnam's Sons, New York and London. 

As a literary production this book is buoyant, in- 
teresting, and even attractive. It is really a review of 
the progress of freedom, politically, socially, and very 
largely religiously, during the nineteenth century. The 
appendix consists of a chronological list of important 



i goo.] BOOK RE VIE WS 87 

events which have occurred during the period covered ; 
the first, which represents the year 1776, is the Declara- 
tion of Independence, and the last, which represents 
the year 1899, is the death of Robert G. Ingersoll. It 
touches, fleetingly, to be sure, and yet often signifi- 
cantly and interestingly upon almost all public move- 
ments of the century from the defeat of Napoleon at 
Waterloo to woman's suffrage. In reviewing the move- 
ment of liberalism, " Platform versus Pulpit," it men- 
tions nearly all the prominent persons in this country 
and England who took part in the unorthodox move- 
ment, The Liberator, The Investigator, Emerson, Theo- 
dore Parker, Anna Dickinson, the Salvation Army, 
Spiritualists, Quakers, Unitarians and Universalists, 
John Stuart Mill and Elizabeth Cady Stanton, Bradlaugh 
and Holyoake, Mrs. Besant, Underwood and Ingersoll ; 
and of course Darwin, Huxley, Spencer and Haeckelall 
come in for appropriate mention in the movement. Mr. 
Holland's book is a well-written rapid review of the 
century from the viewpoint of liberalism. As such it 
is both interesting and instructive, and well worth 
reading. 



THE ELEMENTS OF SOCIOLOGY. A Text Book for 
Colleges and Schools. By Franklin Henry Giddings, 
M.A., Ph.D., Professor of Sociology in Columbia 
University, New York. Cloth, 353 pp. $1.10. The 
Macmillan Company, New York. 

Unlike many writers on sociology, Professor Gid- 
dings has a broad background of economics, This in 
many respects gives him a great advantage over those 
who discuss sociology deductively. Perhaps this has 
much to do with the ver)^ excellent work Professor 
Giddings is doing in this comparatively new sphere of 
sociological work. He sees society from the economic 
aspect and recognizes the economic importance of social 



88 GUNTON'S MAGAZINE [January, 

forces. It too frequently happens that economists fail 
to give due weight to the operation of sociological phe- 
nomena in producing economic results, and abstract 
sociologists fail adequately to consider the ethical and 
social significance of purely economic forces. Professor 
Giddings brings to the subject of sociology the knowl- 
edge of the economist and to economics at least the 
point of view of the sociologist. The present book is 
mainly an abbreviation of his larger work, * ' The Prin- 
ciples of Sociology," adapting it to class-room work in 
high schools and colleges, and as such it comes the 
nearest being a success of anything we have yet seen. 
It is not an easy task to make so all-embracing and 
complex a subject as sociology simple enough for the 
college student not merely to comprehend but to be 
interested in. For, after all, the text-book to be suc- 
cessful should be interesting, which few text-books are. 
The only criticism to be made on Professor Gid- 
dings' book is that it is published without an index, 
which is unpardonable at this day and age. 



A BRIEF HISTORY OF THE CITY OF NEW YORK. By 
Charles B. Todd, author of " The Story of the City of 
New York," etc. Cloth, 299 pp. 75 cents. American 
Book Company, New York, Cincinnati and Chicago. 

Intended chiefly for class-room work with young 
pupils, this small volume may well be interesting, as 
the author suggests, to many of that numerous class 
"who have but little time for reading, and to whom 
the larger histories are sealed books." It has the su- 
preme attraction of telling what it has to say in a thor- 
oughly interesting way, while at the same time convey- 
ing clearly the main points of the historical record it 
purports to give. 

It describes in a continuous narrative the familiar 
outlines of the history of New York city, beginning 



* goo ] BOOK RE VIE WS 89 

with the Dutch period, describing at some length Dutch 
manners and customs, then passing to the English 
-colonial period, down to the American revolution, the 
military operations in and about New York during the 
revolution, the brief period in which New York was the 
capital of the nation, the part played in the city's his- 
tory by men of the largest influence in the molding of 
our institutions (including our greatest practical polit- 
ical philqsopher, Alexander Hamilton), the vast com- 
mercial expansion of the city, its connection with the 
Erie Canal enterprise, the beginnings of steam naviga- 
tion and of steam railroads, its history during the civil 
war, the subsequent progress, and finally the union of 
most of the populations in and about Manhattan Island 
into the greater city of between three and four million 
inhabitants. One can scarcely turn the pages of this 
little book without realizing how deeply involved all the 
way along the progress of New York has been with the 
broader evolution of the nation, and that politically as 
well as industrially. In fact, one of the chief merits of 
Mr. Todd's book is that it seems well calculated to in- 
spire the student with that just sense of local pride 
which is one of the great foundation stones of effective 
civic spirit. 



FRANCE AND ITALY. By Imbert de Saint- Amand. 
Translated by Elizabeth Gilbert Martin. Cloth, 352 
pp. $1.50. Charles Scribner's Sons, New York. 

The writer has the imaginative, somewhat ex- 
clamatory style characteristic of most French literature, 
and is evidently an admirer- of the second Napoleon. 
He protests against estimating the success of the second 
empire wholly by the events of 1870, to the utter for- 
getting of the Crimean war and the brief and glorious 
struggle with Austria in behalf of Italian independence, 
in 1859. "We dwell too much on Sedan and Metz," 



M GUNTON'S MAGAZINE [January, 

he says, " not long enough on Sebastopol, Magenta and 
Solferino. What would be said of the heirs of the first 
empire if they insisted on talking of nothing but Leip- 
sic and Waterloo?" 

Even with this predisposition in favor of ' ' Napo- 
leon the Little," however, the author seems unable to 
find any more genuine motive behind Louis Napoleon's 
war of 1859 than personal vanity and a desire to pose 
as a military hero worthy to occupy the throne of his 
famous uncle. Commenced with a great flourish of 
protestations about his disinterested zeal for Italian 
freedom, it was terminated quite as suddenly, with the 
object of the war only half accomplished, as soon as 
matters began to look like an European coalition against 
him, involving the probable loss of his own crown. 
When did the first Napoleon ever turn back for fear of 
European coalitions against him! Indeed, his long 
military career was a succession of single-handed tri- 
umphs over most, and frequently all, of the nations of 
Europe in alliance. 

The author has made a very interesting book, how- 
ever. It relates in dramatic fashion the rapidly moving 
events of 1859, which saw the Franco- Austrian war 
brought on by the clever manipulations of Napoleon 
himself, the brilliant campaign in Italy, the sudden 
conclusion of peace with Francis Joseph, including the 
cession of Lombardy to France and by France to Victor 
Emmanuel as King of Sardinia and Piedmont, who thus 
became ruler of the larger part of northern Italy, and 
later, by a sort of natural gravitation toward him, was 
enabled to extend his sphere over several of the re- 
maining dukedoms and former Austrian dependencies 
of central Italy. It must be said that the author's de- 
scription of the six great battles that decided the Italian 
campaign, Montebello, Palestro, Turbigo, Magenta, 
Melegnano and Solferino, would seem more appro- 



igoo.] BOOK REVIEWS 91 

priate if done into phonograph records for use in popu- 
lar concerts during war times, than put forth as part of 
a serious historical record. They consist mostly of 
pyrotechnics, drums, fifes, flags, breathless messengers, 
promotions on the spot, shouts of victory, the thrills of 
the conqueror alone in his tent, and the gruesome look 
of the battlefield when the sun rises next morning. 
One of these descriptions. will do for the whole cam- 
paign, so far as giving the reader any clear idea of the 
military maneuvers and generalship that determined 
the result in any particular case is concerned. 

The account of the conferences by which peace was 
brought about, however, is considerably better. At 
this point Napoleon III. certainly demonstrated his 
cleverness as a sharp political maneuverer, whatever his 
real military prowess. Although successful in the im- 
mediate campaign, he saw that one more victory would 
bring Prussia promptly to the support of Francis 
Joseph, while neither England nor Russia could be 
counted upon to help out France. Almost wishing he 
had never undertaken his risky experiment, he contrived 
nevertheless to make his exit from the situation 
look like a spectacular triumph. He made all arrange- 
ments for another great battle, including a naval attack 
on Venice, and, at the very moment when his officers 
were waiting for the word to attack, was dispatching 
couriers to Francis Joseph with suggestions for an arm- 
istice. This being accepted, although on conditions 
that left Venice still in the hands of Austria and com- 
promised on an impossible Italian confederation with 
the Pope as honorary president, Napoleon returned to 
France, getting a great popular ovation, and thereafter 
made peace and allowed the situation in Italy to unravel 
itself as best it might. 

It is interesting to note, in the course of the clever 
manipulation of public opinion that Napoleon employed 



92 GUN TON'S MAGAZINE [January, 

prior to the war, and in his diplomatic efforts to recon- 
cile Europe to the policy he was about to adopt, how he 
was led to endorse and encourage some of the very 
things that afterward proved his own ruin. Perhaps 
the most striking instance of this sort is the article that 
appeared in the Moniteur, the official imperial organ, on 
April 10, 1859, discussing the subject of the impending 
German federation. In his effort to cement German 
friendship, Napoleon caused the Moniteur to say: " To 
represent France as hostile to the German nationality 
is not, therefore, an error, but a misapprehension. The 
example of a national Germany which should reconcile 
its federated organizations with the unitary tendencies 
the principle of which has already been laid down in 
ihe great commercial union of the Zollverein would not 
alarm us. All that develops in neighboring countries 
the relations created by commerce, industry, and prog- 
ress is profitable to civilization, and all that increases 
civilization elevates France." 

As M. de Saint- Amand says: "Such was the doc- 
trine of which Napoleon III. was to be the apostle and 
the martyr. . . . Was not the German unity to 
which he looked forward so complacently to be the 
cause of his final disaster and the ruin of his dynasty?" 



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FROM DECEMBER MAGAZINES 

' l Laissez-faire was the lisping of the infancy of eco- 
nomic science. Civilization is repudiating it, much 
more Christianity. For even civilization means human 
interference in the cosmic struggle for existence." 
GRAHAM TAYLOR, D.D., in "The Social Evolution of 
the Church ; " American Journal of Sociology (November). 

' * Lafayette said that Nature did honor to herself 
in creating Washington, 'and to show the perfection of 
her work, she placed him in such a position that each 
quality would have failed had it not been sustained by 
all the others. ' " LEILA HERBERT, in < ' The First Amer- 
ican: His Homes and His Households;" Harper s Mag- 
azine. 

1 ' When we say, * Not alms, but a friend, ' and make 
relief-giving our chief business ; ' Lift the poor above the 
need of relief, ' and do little but give the relief which 
helps to keep them down where they are, will not peo- 
ple think us insincere?" ALEXANDER JOHNSON in 
" Certain Limits to Charity Organization Work ;" Amer- 
ican Journal of Sociology (November). 

' ' I end by the expression of the opinion that the 
vote of the House and the vote of the Senate, by which 
the doctrine was established that a civil officer is liable 
to impeachment for misdemeanor in office, is a gain to 
the public that is full compensation for the undertaking, 
and that these proceedings against Mr. Johnson were 
free from any element or quality of injustice." HON. 
GEORGE S. BOUTWELL, in " The Impeachment of An- 
drew Johnson ;" McClure's Magazine. 

"It was a brutal age, no doubt; an age of the 
press-gang, of the whipping-post, of jail fever, and all 
the horrors of the criminal code ; an ignorant age, when 
the population, lords and louts alike, drank with great 

95 




98 GUN TON'S MAGAZINE 

freedom and reckoned cock-fighting among the more- 
innocent joys of life ; when education of the kind called 
popular, or more correctly primary for popular it is- 
not and never will be was hardly thought of ; a cor- 
rupt age, when offices and votes were bought and sold, 
and bishops owed their sees to the king's women." 
AUGUSTINE BIRRELL, in " John Wesley and Some As- 
pects of the Eighteenth Century in England ;" Scribner's. 
"The gold standard has become the standard of 
civilized nations by a process of evolution, which has 
led to a natural preference for the least variable, most 
compact, most easily transportable, and therefore most 
economical metal in the great transactions of modern 
business. It has been an evolution which has marched 
with such steady steps in the path of growing wealth, 
higher wages and industrial development that, to the 
intelligent observer of its progress, any assumption of 
its connection with the work of individual conspirators 
or of moneyed syndicates seems puerile." HON. JOHN 
DALZELL, in " Securing the Gold Standard by Law;" 
North American Review. 

" It may seem fantastic to quote Emerson on the 
subject of commercial changes but, as Tyndall found 
many a scientific hint in the pages of this seer, so we 
may find in him many an illuminating comment on in- 
dustrial events. Note for example this: 'Wealth is- 
the application of mind to nature ; and the art of get- 
ting rich consists not in industry, much less in saving, 
but in a better order, in timeliness, in being at the 
right spot.' I do not know in economic literature a 
truer word upon the significance and the necessity of 
business organization than these words contain." JOHN 
GRAHAM BROOKS, in ' ' Strength and Weakness of the 
Trust Idea;" The Engineering Magazine. 







PROFESSOR JEROME DOWD 

Department of Economics and Sociology , Trinity College, 
North Carolina 



See page 113 



GUNTON'S MAGAZINE 



REVIEW OF THE MONTH 

Dull Days Week after week passes and the long 

in the promised end of the Philippine warfare 

Philippines i s no t yet in sight. Reports of active 

operations are meager in the extreme. The campaign 
in the North seems to have lost point by reason of the 
escape of Aguinaldo and his followers across the moun- 
tains to the East and South. It seems likely that he is 
trying to make his way to the south of Manila and join 
the considerable body of insurgents still remaining in 
Cavite province. Operations there have been active 
during the last few weeks. Our troops are covering 
the territory around Laguna de Bay, meeting and 
driving off scattered bands of rebels ; but nothing like 
a decisive battle yet. Probably Aguinaldo has no defi- 
nite organized army left. One important incident 
breaks the monotony of the situation, the rescue of 
Lieutenant Gillmore and his nineteen companions, who 
were captured by the insurgents last April. The rescue 
was made by Colonel Hare of the 33rd Infantry, early in 
January. Lieutenant Gillmore reports that while in the 
hands of Aguinaldo he was exceedingly well treated, 
but not so after falling into the charge of General Tino. 
At one time he and his party were condemned to be 
shot, and would have been but for the interference of 

Aguinaldo. 

97 



98 GUNTON'S MAGAZINE [February, 

In the death of Major General Henry W. 

Death of Lawton, at San Mateo on December igih, 

General Lawton . . .. . . , 

we sustained the most serious individual 

loss that has befallen us in all the Philippine or for 
that matter the Spanish war. General Lawton was pre- 
eminently the aggressive fighter in our Philippine cam- 
paign, and fell a victim, indeed, to his personal fear- 
lessness. General Lawton served as a volunteer in the 
civil war, thereafter for many years as an Indian cam- 
paigner, and made a brilliant record in the Santiago 
campaign of 1898, where he earned his rank of Major 
General. He had been in the Philippines since early 
in 1899, campaigning mostly to the north of Manila. 
His body is on the way home to the United States. 



The Philippine The Philippine situation has absorbed 
Debate more attention in congress thus far than 

in Congress ^ Q currency bills or even the sensational 

attack on Secretary Gage. On December i8th Senator 
Bacon, of Georgia, introduced resolutions intended to 
define our policy toward the Philippines, from which 
we quote two admirable paragraphs : 

' ' That the United States having accepted the cession of the Philip- 
pines from Spain, and having by force of arms overthrown all organized 
authority and opposition to the authority of the United States therein, 
the duty and obligation rests upon the United States to restore peace 
and maintain order there throughout the same, protecting the islands, 
the enjoyment of life and property and the pursuit of lawful avocations ; 
and to continue such protection until the power and duty to maintain 
such protection shall have been transferred and'entrusted by the United 
States to a government of the people of said islands deemed capable and 
worthy to exercise said powers and discharge said duty. 

' ' That when armed resistance to the authority of the United States 
shall have ceased within said islands, and peace and order shall have 
been restored therein, it is the purpose and intention of the United States, 
so soon thereafter as the same can practically and safely be accom- 
plished, to provide the opportunity and prescribe the method for the 
formation of a government by and of the people of the Philippine islands, 
to be thereafter independently exercised and controlled by themselves ; 



i 9 oo.] REVIEW OF THE MONTH 99 

it being the design of the United States to accord to the people of said 
islands the same measure of liberty and independence which have been 
pledged by the congress of the United States to the people of Cuba." 

There is no likelihood that any such resolutions 
will be adopted. In the first place they come from the 
side of the house opposed to the administration ; sec- 
ondly, the temper of the majority party in congress is 
solidifying more and more in favor of permanently 
holding the islands. Senator Beveridge, of Indiana, in 
his maiden speech in the senate, delivered on January 
9th, expressed this view with the utmost frankness. 
He said very little about the ' ' inevitable duty placed 
upon us by providence," or the plan of "benevo- 
lent assimilation " solely for the benefit of the poor 
Filipinos. On the contrary his plea was strictly and un- 
equivocally imperialistic ; its keynote was the enormous 
wealth and resource^ of the Philippines, together with 
the trade opening they would afford in the competition 
for Chinese markets. Even Senator Wolcott, himself 
an expansionist, in commenting on Senator Beveridge's 
speech a few days later, could not refrain from describ- 
ing it as "base and sordid." "This war," he con- 
tinued, ' ' if we consider first our duty to the people of 
the islands, is the noblest ever fought, but if our pur- 
pose in retaining them is that they are rich, the war 
will go down as miserable and degraded a one as ever 
disgraced the history of the middle ages." 

The indirect attempt of Senator Beveridge to make 
Senator Hoar responsible for the Filipino insurrection, 
because of public utterances in this country, is an inex- 
cusable effort to shift a burden that ought to be frankly 
and honestly accepted by the framers of our policy. 
However we may condemn the conduct of the Atkin- 
sonians, after the war was on, it is nothing less than 
contemptible to charge the present situation upon the 
public and legitimate expressions of a senator before 



100 G UNION'S MAGAZINE [February, 

the peace treaty was confirmed and when the whole 
Philippine problem was still rightly open to the freest 
discussion. It ill becomes the new senator from Indi- 
ana to charge disloyalty upon the head of a man who 
was helping mold and shape the type and quality of 
American patriotism long before Mr. Beveridge could 
spell " republic " or tell the colors of the flag! 



Secretary Hay's Of course we shall keep a commercial 
Open-Door foothold in the Philippines, whether we 

Pledges permanently annex them or not. In the 

next few decades we shall unquestionably have an im- 
portant share in supplying Chinese markets. Already 
we are shipping large orders of coarser grades of cotton 
goods, especially from our southern mills. Since we 
cannot be a party to any dismemberment policy, our 
interest lies entirely in having the " open door" main- 
tained. Secretary Hay has been working toward this 
object for a long time, and announced on January 2nd 
that he had obtained assurances from Great Britain, 
Germany, France, Russia and Japan, committing those 
countries to the policy of free commercial privileges in 
China, and two days later similar pledges were received 
from Italy. Critics of the state department have 
sneered at these pledges as mere "bluffs" of not a 
moment's value should circumstances seem to advise a 
different policy. Of course, the assurances are not 
binding ; they are not enf orcible by any international 
court ; nevertheless, they do furnish a definite basis for 
diplomatic insistence upon preservation of our interests 
in the situation. There is a psychological force in all 
such conventions, whether legally binding or not. 
They enable the United States to throw the weight of 
its influence into the scale with whatever nation adheres 
to its pledge, in case any one or more of the others vio- 
late it. In other words, it gives us a diplomatic status 






i9oo.] RE VIE W OF THE MONTH 101 

in the situation which can never hereafter be ignored, 
and at the present time this probably is as great a step 
as diplomacy could accomplish in our behalf. 

We ought not, however, to get in the habit of over- 
estimating the importance of these eastern markets. It 
is just about as certain as anything in industrial evolu- 
tion that before many generations China will herself 
become a great manufacturing country, capable perhaps 
of actually exporting goods in competition with us, to 
say nothing of supplying herself. It is a land of enor- 
mous richness in natural resources and with a vast 
cheap-labor population. After China has adopted west- 
ern methods we should not be surprised to find the 
western nations, which are now pouncing upon the 
Oriental market, raising tariff barriers to protect their 
own markets against the products of these same China- 
men. 



Pacific But, whichever way the movement turns, 

Cable it is sure to mean from now on a closer 

Project knitting together of commercial and in- 

dustrial interests around the globe. The project of a 
Pacific cable is of far more than mere military or im- 
mediate trade interest. It is in line with the broad 
movement of expanding industrial civilization, and, if 
immediate necessities force it to come now instead of 
in twenty years, so much the better. A bill has been 
introduced in congress by Senator Hale providing for 
the construction by the United States government of a 
cable, proceeding by way of the Hawaiian, Midway and 
Guam Islands to Iloilo and Manila in the Philippines. 
Perhaps it will be more economical for the government 
to lay the cable itself than by contract, because some 
of the idle vessels of the navy could doubtless be 
utilized in the work. 



102 GUNTON'S MAGAZINE [February, 

The Since the amazing series of British re- 

Deadlocfc in verses, occurring all in a bunch last De- 
South Africa cember, the Transvaal war has been 
hardly more interesting than our Philippine campaign. 
Each contestant has been lying back, watching and 
waiting for the other to spring. Lord Roberts, now 
chief in command, reached Cape Town January Qth, 
accompanied by Lord Kitchener, his chief of staff. 
Neither one, as yet, has proceeded to the field of action. 



English The tinpreparedness of the British war 

Policy department at the outbreak of hostilities 

Criticized j s ^{\\ bringing down upon it the sever- 

est kind of criticism. It is remarkable how British 
authorities could have so thoroughly underestimated 
the size of the Boer army. The two little republics 
seem to have no less than fifty or sixty thousand men 
in the field, whereas British preparations were based 
more on the idea of meeting about twenty or thirty 
thousand. This very fact in a sense tends to justify 
England's position. It indicates that the government 
honestly expected to gain its point without recourse to 
arms. They waited, knowing that to prepare would 
simply force the conflict. As Lord Salisbury said in 
his Guildhall speech on November gih : ' ' The moment 
you had shown signs of raising your force to an equal- 
ity with the force opposed to it, that moment the ulti- 
matum would have been issued and war would have 

begun It is not, therefore, right to say 

that there was not adequate military preparation. The 
evil dates further back. It dates to those unfortunate 
arrangements in 1881 and 1884 by which we deliberately 
permitted a community obviously hostile to enjoy 
the unbounded, unlimited right of accumulating muni- 
tions of war against us. Year after year an accumula- 
tion of munitions was made which could only be directed 
against us." 



REVIEW OF THE MONTH IDS 

Sources German friendship for England, so sig- 

of nally emphasized by the visit of Emperor 

Irritation William to Windsor Castle late in No- 

vember, has been put to a severe test. On the 2Qth of 
December the German steamer Bundesrath was seized 
in Delagoa Bay by a British cruiser, on the suspicion of 
having on board a number of German officers and men 
intending to serve in the Boer army. Now German 
public sentiment has been by no means unanimous for 
England ; kinship with the Dutch and the latent jeal- 
ousy of Great Britain have at all times made the matter 
uncertain, and the seizure of this vessel might have re- 
sulted seriously except for the manner in which the 
British government received the German protest, and 
the tone of English comment on the affair. Details of 
the case are yet to be settled. 

There has been another case of seizure ; involving 
some American flour en route to Delagoa Bay on the 
British steamers Beatrice and Mashona and the Dutch 
steamer Maria. Our government protested, on the 
ground that foodstuffs, unless destined for the use of 
the enemy's army, cannot be considered contraband ; 
to this view the British government acceded and has 
disavowed the seizure. Therefore, by this time pre- 
sumably the flour has been released. 



By the first of January conditions in 
Attack on Ladysmith had become serious, owing to 

Ladysmith ^ e unsanitary condition of the camps 

and the persistent bombardment. Relying on this pre- 
sumed weakness, the Boers, on January 5th and 6th, 
made several fierce assaults on General White's posi- 
tion. Some of the British positions on Wagon Hill, to 
the south, were taken several times and retaken by the 
English, and the fighting at times became so close that 
many assaults were literally repulsed at the point of the 



104 GUNTON'S MAGAZINE [February, 

bayonet. But the attack failed. General White main- 
tained his position with a loss of nearly five hundred 
officers and men, killed or wounded. It seems impossi- 
ble to get any authoritative estimate of the Boer loss. 
General White's ammunition is running low, but unless 
the Boers make a successful assault without delay he 
will be able to hold out until relieved. 

General Indeed, the relief of Ladysmith seems 

Bullets now fairly within sight. After the de- 

Movements f eat O f December isth, General Buller 

retired several miles south of the Tugela River and ob- 
tained a new supply of artillery. About the loth of 
January he began a flanking movement to the west- 
ward of Colenso, and seized a bridge at Potgieter's 
Drift. Lord Dundonald by a sudden cavalry movement 
had seized the hills on the south shore of the river, so 
that artillery could be placed and the crossing move- 
ment protected. There was no carrying the guns into 
ambush this time. General Buller's army is now within 
a few miles of Ladysmith, and a great battle is raging 
as we go to press. 



General French seized Colesburg, in 
northern Cape Colony, on New Year's 
day, but was not long permitted to enjoy 
the fruits of victory, being driven out again the next 
night. With the exception of small engagements in 
that vicinity no marked advance has been made by 
either side. At the Modder River General Methuen 
has remained inactive, and it is believed he is about to 
be recalled. His mind appears to be affected, and the 
Modder River defeat turns out to have been largely 
due to rash tactics. General Wauchope, the gallant 
commander of the Highland Brigade who lost his life 
in that battle, is now known to have strongly protested 



1900.] REVIEW OF THE MONTH 105 

against the plan of operations outlined by Methuen. It 
is expected that Lord Kitchener will personally take 
charge of the campaign for relief of Kimberley. 
Colonel Baden-Powell, at Mafeking, made a sortie on 
December 26th, which was repulsed with small loss. 
Mafeking is really in a more perilous position than any 
of the other British outposts ; it is separated from any 
relief force by more than two hundred miles, and sup- 
plies are limited. One incident at Mafeking, early in 
January, is an interesting commentary on the Boer 
claim of superior humanity in the conduct of this war. 
In the course of a bombardment on January 2nd, they 
deliberately fired a number of nine-pounder shells into 
the women's laager, killing a little girl and wounding 
two children. 



Better At last it seems that France has an 

Trend in administration with sufficient backbone 

France j. Q s t a nd up against the enemies of the 

republic, who have been masquerading as popular 
heroes and defenders of the "honor of the army." The 
French senate, sitting as a high court of justice, has 
been trying some twenty politicians and notorious anti- 
Semites on charges of conspiracy and plotting to re- 
establish a monarchy with the aid of the army. On Jan- 
uary 4th verdicts were rendered banishing Droulede, 
Buffet and the Marquis de Lur Saluces, each for a 
period of ten years, and sentencing M. Guerin to ten 
years' confinement in a military prison. De*roulede 
and Guerin attempted to pose as martyrs and stir up a 
popular demonstration, but indeed they stirred up not 
even a ripple. It may be that the overwhelming tide 
of criticism visited on France is at last working its way 
into the French consciousness. If so, these wholesale 
regenerative measures will really command public sup- 
port instead of furnishing the basis for more agitation 



106 GUNTON'S MAGAZINE [February, 

and disruption. The Waldeck- Rousseau cabinet is 
much the strongest that France has had for a long time, 
and President Loubet by his firmness and determina- 
tion may actually be the means of drawing together 
and strengthening the best forces of the republic, and 
starting an altogether better and cleaner current of pub- 
lic life in France. Power and determination appeal 
wonderfully to the French imagination. To the extent 
that the government exhibits these qualities it is sure 
to be popular. The timidity and conciliation of pre- 
vious cabinets have furnished the motley crowd of agita- 
tors, monarchists and anti-Semites with just the oppor- 
tunities they have wanted for appealing to the masses 
and trying to subvert the republic. 



The year 1800 can place to its credit the 
A Year of 

Prosperity largest volume of business ever trans- 

acted in the United States. This is liter- 
ally true both of domestic and foreign trade, of bank 
clearings, of railroad earnings, of industrial organiza- 
tions and new enterprises ; and probably no other sin- 
gle year in this country ever witnessed so general and 
material a rise in wages. The clearing-house transac- 
tions of the country aggregated more than $93,000,000,- 
ooo, which is 36 per cent, more than last year, 74 per 
cent, more than in 1897, and 51 per cent, more than in 
1892 even, the last year of great prosperity before 
the panic. Failures for the year were only 9,641, or 
17 per cent, fewer than last year, 27 per cent, fewer 
than in 1897, 36 per cent, fewer than in 1896, and even 
6 per cent, fewer than in 1892; being, indeed, the 
smallest list since 1883. In the South there has been 
enormous expansion, particularly in cotton manu- 
facturing. During the year it is estimated that new 
cotton factories were incorporated or began operations 
in the southern states to the extent of more than $25,- 



REVIEW OF THE MONTH 107 

000,000 capital invested, representing nearly one and 
one-half million spindles. 

Our exports of railroad materials and equipment 
have reached remarkable proportions, and negotiations 
are under way with several foreign governments for 
cars and locomotives to the value of nearly $7,000,000. 
Russia already has close to 1,000 American locomotives, 
Japan 100, and many English railroads even have been 
ordering locomotives of American make. About 4,500 
miles of new railroad was constructed in this country 
during 1899, the largest increase since 1892. Cost of 
this was in southern and western states. 



More Consolida- Tne reat rush of < ' trust" organization 
tions and was, of course, in the winter and spring 

More Competition o f l899> b ut the movement continued at 

a very respectable rate all through the year. Accord- 
ing to the Journal of Commerce, new industrial com- 
panies with an aggregate of $2,000,000,000 capital and 
bonds were organized during 1 899, in addition to nearly 
$400,000,000 in gas, electric and street railway com- 
panies. Besides these, organizations representing a 
capital of $1,800,000,000 were projected during the 
year but not completed ; additional stock was issued, 
and new corporations, not consolidations or trusts, 
were organized with a capital amounting to nearly $770,- 
000,000; the grand total being about $5,216,000,000. A 
good many of these reorganizations, representing some- 
thing over $1,000,000,000 capital, were abandoned dur- 
ing the year, but as it is the total is stupendous. As 
might have been expected, some of these concerns have 
suffered radical shrinkages of stock values, and none 
of them have succeeded in " throttling" competition. 
Even in the lines where concentration is greatest, vig- 
orous competition has arisen. Witness the new Tele- 
phone, Telegraph and Cable Company of America, in- 



108 GUNTON'S MAGAZINE [February, 

corporated in November with a capital of $30,000,000, 
as one instance. In the same month the National Tin 
Plate Company was incorporated with a capital of 
$5,000,000, to develop certain new patents in tin-plate 
manufacture and compete with the American Tin Plate 
Company. About the same time a million dollar ' * Anti- 
Trust Making Powder Company" was incorporated in 
the state of Delaware. In the iron industry there are 
no less than fourteen immense concerns, several of them 
being reorganizations of numerous small concerns. In 
the sugar industry all the independent refineries 
are still in the field, and it is reported that a very large 
refinery is to be built at Tampa, Florida, to utilize raw 
sugar near its source of production, both from Cuba and 
the southern states. The American Sugar Refining 
Company has just recently during January, in fact 
abandoned the old-time factor's agreement system and 
is selling to the trade at large in competition with out- 
side refineries. 



The immense volume of business in the 
latter part of the year, coming at the 
time when country banks were withdraw- 
ing their deposits from New York and gold was being 
shipped abroad, caused a severe monetary crisis which 
only radical measures saved from developing into a 
serious panic. Wall Street did indeed experience some- 
thing of a panic, on December i8th, but a group of 
banks came to the rescue with a loan of $9,000,000 just 
in time to bring interest rates down to safety and pre- 
vent a possible long list of failures. This of course was 
only a temporary measure ; probably it could not have 
held off the result permanently had it not been for the 
offer of Secretary Gage to place on deposit in national 
banks the internal receipts of the government in ex- 
change for United States bonds to be deposited in the 
treasury as security. 



9 oo. J REVIEW OF THE MONTH 109 

This policy has been followed several times, con- 
spicuously under President Cleveland's first adminis- 
tration. There is no other way at present of providing 
against the constant withdrawal from circulation of the 
government's revenues at the rate of a million dollars 
a day. If we had a scientific banking system with 
proper note-issuing facilities such a crisis could hardly 
arrive, but under any circumstances it is sheer waste to 
hold government funds useless in the vaults when they 
might be on deposit and serving the business interests 
of the whole community. 



Nevertheless, this policy of the secretary 
was at once subjected to violent attacks. 

Secretary Gage ... . _ .. . 

A resolution was introduced in congress, 
January 4th, demanding that he furnish a full state- 
ment of all the transactions and correspondence in the 
matter. The principal point of criticism was that the 
National City Bank of New York was entrusted with 
the distribution of these deposits to the various banks 
applying for them ; but, as Secretary Gage made plain 
in his reply submitted to congress January loth, this 
was solely a measure of convenience, to save the treas- 
ury department the expense of daily instructions to a 
large number of collectors. The National City Bank 
was selected as distributing agent because that bank 
offered the largest amount of bonds as security. With 
his reply Secretary Gage submitted the entire corre- 
spondence of the department on the subject, and the 
effort to work up a scandal is already a failure. Even 
a democratic congressman, Mr. Sibley of Pennsylva- 
nia, on the floor of the house defended the secretary's 
action, declaring: " I had rather see the country pros- 
perous than to see my party succeed." 

The result of the secretary's policy was to relieve 
the situation, avert the panic and provide for leaving 



110 GUNTON'S MAGAZINE [February, 

the surplus revenue money in circulation where it 
belongs. The government's cash balance remains 
exactly the same, because banks holding funds of the 
United States may be for the time being literally con- 
sidered parts of the United States treasury, and are 
liable to be called upon for their deposits whenever the 
treasury may require them. 



New York Aside from Governor Roosevelt's strug- 

Statc gle to appoint a new superintendent of 

Affairs insurance in the place of Louis F. Payn, 

and the conflict over educational unification, the most 
interesting thing at Albany so far during this session of 
the legislature has been the report of Superintendent 
Partridge on the operation of the canals during 1898-99. 
It shows that in spite of the much-reduced appropria- 
tions available when he took the off: e on January i8th, 
1899, he was able by rigid economy, cutting off super- 
fluous help and selecting only the most efficient em- 
ployees, to get through the fiscal year till September 
3Oth not only without overrunning the appropriation 
but leaving a small balance of some $2,000 on hand, 
with practically all bills paid. This is a highly credit- 
able report, and stands out in brilliant contrast to the 
mismanagement of the few years previous. Superin- 
tendent Partridge states that if a general plan of canal 
improvement is not undertaken an extra appropriation 
of about $350,000 annually should be made for strength- 
ening banks, bridges and walls. The legislature ought 
not to allow the canal to deteriorate if it can be main- 
tained on its present basis in good condition with so 
light an additional expenditure as this. 



On January i$th the majority and mi- 
Maret nority reports of the Mazet Investigating 

Report Committee were submitted to the legisla- 

ture. The report of the committee's counsel, Frank 



igoo.] REVIEW OF THE MONTH 111 

Moss, had been previously published, much to the of- 
fence of somebody, apparently, since Mr. Moss was not 
called in to assist in preparing the committee's state- 
ment. Briefly, the majority report is a long arraign- 
ment of the Tammany administration of New York 
city and the Croker system of bossism and personal 
profit therefrom. Along with it, some eight bills were in- 
troduced affecting different departments of the city gov- 
ernment. The two minority members made a separate 
report denouncing the investigation as a purely partisan 
job, and offering the ' ' single recommendation that the 
people of the city of New York be permitted to govern 
themselves." 

There is really nothing surprising in the ' ' revela- 
tions" of this wonderful investigation; nothing that 
has materially added to public indignation on the sub- 
ject. The public knew the situation already, in general 
if not in detail. In fact, this investigation lacked popu- 
lar confidence from the start. It seemed too obviously 
calculated to make capital for a political campaign. 
There was never any good reason why Mr. Platt should 
not have been called to the stand as well as Mr. Croker, 
especially after the committee took up the Ramapo 
affair and called before it nearly everybody who had 
any sort of connection with it except the senior senator 
from New York. It was an ill-timed and ill-advised 
undertaking anyway. Ostensibly, its object was to pave 
the way for legislation taking certain powers out of the 
hands of city officials, or otherwise interfering with the 
local government. But this is contrary to the princi- 
ples of responsibility in government and local control 
of local affairs. If the people elect a corrupt Tammany 
administration they should experience the fruits thereof, 
in order the better to appreciate the necessity of a rad- 
ical change. Yet, a bill has actually been introduced 



112 GUNTON'S MAGAZINE 

providing for exactly the same sort of a commission to 
continue the investigation during 1900. 

Moody Two men of international prominence 

and have passed away since our last issue. 

Martineau T ^ e f amous evangelist Dwight L. Moody 

died at his home in East Northfield, Mass., on Decem- 
ber 22d; and on January i2th the world of philosoph- 
ical scholarship and liberal thought lost one of its most 
distinguished citizens in the death of Dr. James Marti- 
neau, the aged English author, professor and theologian. 
Mr. Moody was no scholar, but a singularly earnest, 
devoted and successful religious worker. His name 
long has been a household word both here and abroad. 
Dr. Martineau was a fine type of the non-controversial, 
sympathetic, constructive, liberal theologian, a man of 
the loftiest nobility of thought ; one of those who labor 
to add to the helpfulness and inspiration of religion the 
somewhat newer quality of "sweet reasonableness." 
Dr. Martineau was Unitarian in theology but opposed 
the growth of a new sect, preferring throughout to 
style himself a Presbyterian. 



CHEAP LABOR IN THE SOUTH 

JEROME DOWD, PROFESSOR OF ECONOMICS AND SOCIOLOGY, 
TRINITY COLLEGE, NORTH CAROLINA 

The last report of the North Carolina Bureau of 
Labor contains a fly-leaf on which is printed in large 
type: " A fine chance for a cotton mill investment . . . 
no laws regulating the hours of labor and the age of 
employment; cheap labor and the home of the cotton 
plant." Of the many enticements held out to capital 
in the South, cheap labor is the most seductive and the 
one which has given the greatest impetus to manufac- 
turing. It is a fact of sufficient general interest to jus- 
tify an inquiry into its causes and effects. 

The impression is pretty general throughout the 
North that the cheap labor of the South is due to a low 
standard of living among the employed classes. This 
impression is erroneous, for, however true it may be 
that the standard of living governs the rate of wages, 
it is not true that cheap labor necessarily means low 
wages or low standard of life. The difference in the 
money wages paid by manufacturers in North Carolina 
and in Massachusetts is 42%,* according to investiga- 
tions of the department in Washington. The southern 
operatives receive less money, but with a given sum 
they can buy very much more than the laborers of the 



* Seventh Annual Report of U. S. Cotnm'r of Labor, Vol. 2, p. 1682. 

113 



114 



GUNTON'S MAGAZINE 



[February, 



North. House rent, house furniture, clothing and pro- 
visions require much less outlay in the southern states. 
In Massachusetts rent is 46% higher per family than in 
North Carolina, f The average outlay for meat per 
family in Massachusetts is $121.17, in North Carolina 
$70.94,;): the difference being chiefly due to the less cost 
of beef, pork and poultry in the last named state. The 
total cost of food is 41% higher in Massachusetts.! A 
comparison of the chief articles of food in Lowell, || 
Massachusetts, and Durham, North Carolina, April 6, 
1 899, was as follows : 



LOWELL 



. is to 


.25 


DURHAM 

Roast beef 


.08 


.18 to 
.18 to 


.10 
.40 
.28 


Bacon, C. R 
Eggs (dozen) 
Butter 


.07* 

.10 tO .12$ 

. 20 to .25 


.05 to 


.06 


Sugar , 


.064- 


.50 to 
.02 to 
.40 to 


65 

1. 00 

.05 

.70 


Family flour ^. . . . 
Irish potatoes .... 
Sweet " 
Molasses 


.60 
1.25 

.01 

.40 




.20 


Coffee, Rio 


.I2i 




.05 


Milk . 


.05 



Roast beef 

Bacon, C. R 

Eggs (dozen) 

Butter 

Sugar 

Family flour $-. . . , 
Irish potatoes . . . 
Sweet " ... 

Molasses 

Coffee, Rio 

Milk 

It would appear from the above figures that butter, 
milk and bread cost about the same in both sections, 
but in fact these things cost less in Durham and 
in most southern towns, for the reason that many fam- 
ilies own their own cows and do not have to buy butter 
or milk. Many factory families also raise vegetables 
and chickens, and thus save many items of expense. 
While Irish potatoes are as cheap in the North as in the 
South, they are used much less in the South, the sweet 
potato being the favorite vegetable among the southern 
people. While the price of flour is about the same in 
both sections, the fact that the northern laborers use 

f Seventh Annual Report of U. S. Comm'rof Labor, Vol. 2, p. 1682 

J Ibid, p. 1678. Ibid, p. 1680. 

U Facts furnished by Jeremiah Crowley, Mayor of Lowell. 



poo.] CHEAP LABOR IN THE SOUTH 115 

much more baker's bread causes them to expend about 
20 per cent, more for that food. The average factory 
family in Massachusetts expends $53.26 per year for 
bread, while the average expenditure in North Caroli- 
na is only $44.78.* 

While it is impossible to arrive at an exact com- 
parison of the cost of living in the two sections by ap- 
peal to statistics, the above facts and explanations are 
sufficient to show that the cost of living upon a given 
standard is much less in the South and that the differ- 
ence in the money wages, at least in the manufacturing 
industries, is almost neutralized by the difference in 
outlay for rent and provisions. Short and mild winters 
require little outlay for clothing. Whether labor is 
cheap or dear does not depend upon the amount of cash 
paid for it, but upon what that cash will buy. Viewing 
the matter in this light the condition of the southern 
laborers is not so bad as many people have been led to 
believe. 

While the writer is anxious to correct the false im- 
pression regarding the standard of living of laborers in 
the South, he by no means wishes to intimate that the 
standard of living among them is what it ought to be, 
or that the low standard of living does not stand in the 
way of higher wages. The meager wants of the ne- 
groes hold their own wages down and also the wages of 
the whites who in many lines of activity have to give 
way to this cheaper labor. The widespread illiteracy 
among both the blacks and whites is also a great obsta- 
cle to higher wages. People without education or 
special training of any kind must work within very 
narrow confines. Only the poorest-paid occupations 
are open to them. But when their standard of intelli- 
gence is elevated, higher wants are awakened, and 



^Seventh Annual Report U. S. Commissioner of Labor, Vol. 2, p. 
1679. 



116 GUNTON'S MAGAZINE [February, 

hence better talent and skill come into requisition and 
command better pay. The trouble in the South is too 
much pressure at the bottom. The human mind as a 
resource is not yet sufficiently recognized. 

Lack of education is one of the chief reasons of the 
lack of diversity of industries, and gives rise to a con- 
dition which is known as oversupply of labor. Here- 
tofore agriculture has been the only important occupa- 
tion and hence the field of employment for all classes 
has been much circumscribed. The steady decline in 
recent years in the value of cotton, tobacco and turpen- 
tine has made farming in many sections very unprofita- 
ble and caused population to congest in the towns and 
cities, attracted thither by the prospect of employment 
in mills and factories. A stream of laborers from the 
fields is likely to flow toward the manufacturing centers 
for many years to come, causing a constant surfeit of 
the labor market and arresting any considerable rise in 
wages. 

It is a fact noticeable in all countries that women 
receive less pay than men, but in the South there is a 
peculiar condition of things affecting their compensa- 
tion. Everywhere else in the civilized world, the chief 
avenue of employment for women is found in domestic 
service. But in the South that field is occupied by the 
negroes. Hence the sphere of action of white women 
is exceedingly narrow, the chief outlet being in needle- 
work and the cotton factory. 

While the negroes exclude the white race from 
many avenues of employment, the whites also close 
many doors against the negroes. The negro is in the 
way of the white man at the bottom, and the white man 
is in the way of the negro at the top. 

Not an inconsiderable obstacle to an advance of 
wages in the South is the extensive employment of 
women and children. Taking the industries tabulated 



IQOO.] CHFAP LABOR IN THE SOUTH 117 

on page 13 of the nth Annual Report of the Commis- 
sioner of Labor, the figures indicate that 80$ of 
all the laborers in southern industries are females, 
as compared with 42% in New England. Accord- 
ing to the same report, 25$ of the laborers in the 
the South are children under eighteen years of age, as 
compared with nine and one-half per cent, in New Eng- 
land. In North Carolina 5,363 children under fourteen 
years of age work in the cotton and woollen mills. (Re- 
port N. Carolina Labor Commission 1897.) 

Perhaps another reason for the poor wages in the 
South is the absence of any labor organizations. Farm 
laborers are too isolated for cooperation, while the op- 
eratives in factories, being mostly women and children, 
of course cannot effect an organization. 

Having suggested some of the causes of cheap labor 
in the South, let us now look at some of the effects. 
First, what are the effects upon other sections of the 
country? The most pronounced effect is the lowering 
of wages in textile industries. Wages have been affected 
also in other lines of industry, although in a less marked 
and more silent manner. For instance, the employ- 
ment of negroes in the coal mines of West Virginia, 
enabling the operatives to sell coal cheaper than could 
be done in any other part of the country, no doubt 
played a part in precipitating the cut-throat competition 
among operators in 1897, bringing down the price of 
coal and labor in other states, and inaugurating the great 
strike of that year.* 

The cheapness of female labor has been a powerful 
stimulus to the manufacture of clothing in a number of 
southern towns and cities, and the goods are now 
shipped to New York and sold in competition with the 
sweater product of the city. The wages of women 



* Quarterly Journal of Economics, Jan. 1898, p. 193. 



118 GUNTON'S MAGAZINE [February, 

seamstresses in Charlotte and Atlanta is more than a 
third less than is paid upon the average in the North. 

There can be no doubt that the cheap labor in the 
iron industries of the South has been a factor in the de- 
cline in value in iron ore and iron fabrics within the 
past few years. 

Shifting the point of view, let us ask: What are 
some of the effects of cheap labor upon the South ? That 
many manufacturers are piling up fortunes is beyond 
question. That wealth is vastly augmenting itself is no 
less certain. But how are the masses withstanding the 
sudden revolution from an agricultural to a manufac- 
turing life? How is the eleven and a half hours work- 
day affecting the well-being of the laborers? How is 
the employment of children affecting the educational 
progress of the country, and what will be the final out- 
come in respect to morals, religion, politics and civil- 
ization? The history of manufacturing in Great Britain 
under similar conditions answers these questions. 

The long hours and unrestricted employment of 
children can have no other than bad results, both for 
the workers and for society ; and should these present 
conditions continue for any considerable length of years 
the development of manufacturing would come to be 
an unmixed evil. However, there is reason to hope 
that these conditions are temporary. When the south- 
ern mills get on a firmer basis and when the people 
have had time to think out some of the factory prob- 
lems, now entirely new to them, no doubt proper re- 
strictions will be thrown around the employees. In the 
meantime, it ought not to be forgotten that laborers in 
the South do not work any longer than those of France, 
Austria or Switzerland.* The workers in the textile 
mills in the South are better off financially than they 



*Lecky's " Democracy and Liberty," Vol. 2, p. 426. 



CHEAP LABOR IN THE SOUTH 119 

were when they lived upon the farm. But physically 
and morally they are the worse for wear. Under pres- 
ent conditions they are manifesting an unmistakable 
tendency in a downward direction. 

And now it remains to notice the remedy which is 
being proposed for the eradication of some of the evil 
effects of cheap labor. A sentiment has recently de- 
veloped in favor of a national law limiting a day's work 
to ten hours in factories and mines, and prohibiting the 
employment of children under fourteen years. It is 
claimed that the wage class have great difficulty in rais- 
ing their standard of living on account of the diversity 
of conditions in each state and the fact that any state 
legislation is only local in its application. Some stu- 
dents of labor problems are even advocating an interna- 
tional agreement to limit the hours of work, and thus, 
they say, prevent one country from taking advantage 
of another. We have already international regulation 
of telegrams, postage, copyrights and currency (in- 
stance, the Latin Union), and why not the hours of 
labor? Such an agreement, it is argued, would place 
competition upon a high plane, making success depend 
upon superior workmanship, better equipment and 
wiser management. Cut-throat competition at the ex- 
pense of the wage-earners would be ended and indus- 
trial depressions less frequent. 

In the opinion of the writer, any national or inter- 
national restriction of the hours of labor would entirely 
fail to relieve manufacturers of the effects of cheap 
labor competition. If the length of a day's work were 
the same everywhere, the money wages would vary in 
each locality according to productive power, cost of 
living and supply of laborers ; and hence the price of 
the finished product would not be changed. If any- 
where the working time were reduced by law, the 
manufacturers could hold the market by reduction of 



120 GUNTON'S MAGAZINE [February, 

wages, and this would be done if the curtailment of 
time did not work out compensating results in quantity 
and quality of product. If the efficiency of laborers, as 
well as the hours of work, could everywhere be equal- 
ized, wages would still vary according to the cost of 
living, or, in other words, according to the bounty of 
nature. 

While uniformity in working time cannot banish 
cheap labor competition, it does not follow that a na- 
tional law to limit adult labor would be bad policy. If 
such a law should cut down every man's wages, it would 
be better to have less pay and less deadening work. 
But, indeed, it is not probable that a reduction in the 
hours of work would in the least impair the productive 
power of the nation. " A day of rest," says Macauley, 
" recurring every week, two or three hours of leisure, 
exercise, innocent amusement or useful study, recur- 
ring every day, must improve the whole man, phys- 
ically, morally, intellectually ; and the improvement of 
the man will improve all that the man produces." 
Laborers who live under conditions that induce the 
longest life, afford the most leisure for recreation and 
study, will in the long run be the most productive and 
hold the market against any and all competition. 

The advantage in manufacturing which the South 
has at present over the North is due entirely to nature. 
The bounty of nature enables the southern laborers to 
live with less expenditures for the necessities of life. 
This advantage may remain perhaps a quarter of a cen- 
tury, but will affect adversely only a few industries in 
other parts of the country. In proportion as manufac- 
turing in the South becomes general and diversified, 
the cost of rent and food will rise and sweep away the 
present differences between the cost of living in the 
two sections. 

Finally, the money wages paid and the conditions 



igoo.] WHA T CAN BE DONE ABO UT IT? 121 

under which the laborer works, North and South, will 
be practically the same, and then supremacy will de- 
pend upon proximity to raw product and to the con- 
sumer. 



WHAT CAN BE DONE ABOUT IT? 

BY THE EDITOR 

In the foregoing article Professor Dowd discusses 
the problem of cheap labor in the South with the evi- 
dent spirit of being eminently impartial, analytic and 
sociological. Although a professor of economics and 
sociology in a North Carolina college, he has apparently 
divested himself of any taint of sectional prejudice and 
aimed to discuss the matter on the broad lines of eco- 
nomics and public policy. He begins by correcting what 
he thinks an erroneous impression " throughout the 
North that the cheap labor of the South is due to a low 
standard of living," and arrives at the conclusion 
that the operatives' standard of living is not lower 
in the South than in the East, but only that the same 
things are cheaper in the South. In proof of this he 
compares prices in Durham and Lowell. Durham is a 
town of about 7,000 population in North Carolina; 
Lowell is a city of 84,000 population in Massachusetts. 
Prices in a country town and a large industrial city can 
hardly be regarded as proper subjects for comparison. 
Moreover, all the facts except those furnished by Mayor 
Crowley are ten years old, being taken before present 
factory conditions in the South existed. 

He quotes statistics (1890), giving the cost of food 
as 41% higher in Massachusetts than in North Carolina. 



122 GUNTON'S MAGAZINE [February, 

But this is not sustained even by his Durham and 
Lowell table of prices. The writer has just visited a 
number of the factory places in North and South Caro- 
lina, Georgia and Alabama, for the special purpose of 
ascertaining exactly this class of facts. In the factory 
towns of the South, like Birmingham, Columbus (Geor- 
gia) and Charlotte (North Carolina), beef is not eight 
cents a pound, except the poor pieces such as can be 
bought in New York and New England for eight or ten 
cents. But the prime joints like steak and roast are 
from twelve to eighteen cents, and confessedly inferior 
to the western beef which conies to the East. 

The truth is that butter, sugar, flour, potatoes 
(Irish potatoes are much cheaper in the East and sweet 
potatoes cheaper South) and other items of food and pro- 
visions are substantially the same in the factory towns 
of similar size both South and East. If we take the 
entire table of the comparative prices in Lowell and 
Durham, we find that the aggregate of the highest price 
column for Durham is $3.01. The corresponding col- 
umn of Lowell prices aggregates $3.74, or about 24% 
higher. But if we take the column of lower prices in 
both cases, which may be taken more nearly to repre- 
sent the operatives' usual purchases, the cost of these 
provisions is $2.94 in Durham and $2.48 in Lowell, 
showing Durham prices to be \%% higher than Lowell. 

Nor is the claim that clothing and furniture are 
cheaper in the South borne out by our investigations. 
Cheaper furniture is used, but almost invariably it is 
inferior. Concerning clothing we took special pains to 
inquire in every town, and, for similar quality, shoes, 
underwear, hats, gloves, suits, in fact every form of 
clothing is as expensive in Charlotte, Columbus, Atlan^ 
ta, Spartanburg or any of the factory towns in the 
South as it is in New York city. 

The assumption that many families own cows, 




IQOO.] WHA T CAN BE DONE ABO UT IT? 128 

raise vegetables and chickens, and thus furnish them- 
selves with a large part of their provisions and vegeta- 
ble supplies is frequently made. The Atlanta Constitu- 
tion in some vigorous editorials has more than once 
made this statement. All that we can say on this point 
is to call for particulars. Either Professor Dowd or the 
chief of the North Carolina Bureau of Statistics or the 
editor of the Atlanta Constitution will please name where 
these are. Nothing of the kind, worthy the name, is 
visible in any factory town visited. In Atlanta the 
tenements occupied by factory operatives have not the 
semblance of a garden or cow-keeping privilege. They 
are simply a group of tenements, practically all of one 
pattern, put there by the corporation, and if there are 
half a dozen factory operatives in Atlanta who raise 
their own vegetables and keep a cow and chickens, the 
fact seems not to be known. The same is true of other 
places. In Phoenix, Alabama, there were a few who 
had a little patch at the back of the house, and two or 
three in Spartanburg, but it is entirely erroneous to say 
that this is in any sense characteristic of the factory 
operatives in the South. 

It is true that house rent is lower in the South, and 
it is also true that the houses are very much poorer. In 
most places the operatives occupy two or three, in some 
cases four, rooms. The rent is usually fifty cents per room 
per month. But the habitual standard of living of the op- 
eratives is such that if the family is not more than three 
or four they will occupy but two rooms, it being a com- 
mon thing probably the rule that the kitchen has a 
bed in it. It would be difficult to find a better mercury 
for the standard of domestic life in a community than the 
interior appointment and arrangement of the average 
home. It would be safe to say that one could travel 
through the factory towns of New York and New Eng- 
land and not find on an average one case a week where 



124 GUNTON'S MAGAZINE February, 

the operatives have a bed in the same room with the 
cooking-stove, whatever the size of the family ; except 
perhaps in the case of new immigrants from Canada. 
The standard of living is sufficiently differentiated that 
at least the kitchen is a room to itself and sleeping 
apartments are separated from it. Moreover, in a great 
majority of the eastern tenements and they are bad 
enough there is one room that serves as a parlor or 
sitting-room ; that is to say, one room that has neither 
a cooking-stove nor a bed in it. Also in a large ma- 
jority of cases that room at least will have a carpet on 
it. We do not remember to have seen a carpet in a 
single operative's house in the South. For the most 
part the interior of the operatives' houses was either 
whitewashed or the boards left untouched. Only a 
few were plastered, painted or papered, and hence there 
was practically no artistic decoration, no evidence of 
social refinement, of personal taste, or any of the quali- 
ties that indicate a superior standard of living. 

In discussing the cause of the low wages Professor 
Dowd says lack of education is one of the chief reasons 
of the lack of diversity of industries, and gives rise to 
a condition which is known as an over-supply of labor. 
It is true that ignorance and illiteracy are causes of low 
wages, because they are important elements in a low 
standard of living. Education would not affect wages 
if it did not affect the intelligence, tastes, habits and 
custom of living of the laboring class. It is quite pos- 
sible to have educated people who live in a narrow 
groove, dominated by some theory of social life or re- 
ligion or by the traditional usage of the country, lead- 
ing the very same monotonous life, and with very low 
wages. Many illustrations of this are to be found in 
Asia and some parts of Europe. If education can be 
turned in the direction of making monotony a virtue it 
will never stimulate the rise of wages, but may become 



WHA T CAN BE DONE ABO UT IT? 125 

an insuperable barrier to progress. But in this country 
education does immediately tend to diversify the tastes, 
desires, ambitions, and consequently the energy and 
demands, of the people, and is therefore a direct stimu- 
lating force to higher wages. 

Professor Dowd lays great stress, however, on the 
oversupply of labor as the cause of low wages in the 
South. Here again he seems not to have been in recent 
touch with the facts. There is no evidence of over- 
supply of laborers in the manufacturing districts of the 
South. On the contrary, the demand for labor seems to 
be pressing on the supply. Corporations in many places 
have had to offer special inducements to people to leave 
the country and the mountains to come to the factories 
and work. In many cases, and indeed this is almost 
the rule, they advance the money to bring them to town 
and then deduct it, with interest, from their wages, a 
little at a time. This has been the case even in so large 
a city as Atlanta. The writer has now over one hun- 
dred and fifty pay envelopes, collected from operatives 
in Atlanta, on which deductions from wages, often of 
more than half, were made on account of money ad- 
vanced for transportation in bringing the families from 
the country districts to the city to work in the mills. 
This shows that there is no voluntary ' ' stream of labor- 
ers from the fields" to "the manufacturing centers." 

"Not an inconsiderable obstacle " says Professor 
Dowd, "to the advance of wages in the South is the 
extensive employment of women and children. 
Eighty per cent, of all the laborers in southern indus- 
tries are females as compared with forty-two per cent, 
in New England. . . . Twenty-five per cent, of 
the laborers in the South are children under eighteen 
years of age, as compared with nine and one-half per 
cent, in New England." Here is one of the most po- 
tent causes of the low wages. The most conspicuous 



1S6 GUNTON'S MAGAZINE [February, 

feature of the factory conditions in the South is the 
heavy preponderance of women and children employed 
in the mills. The corporations seem to realize this, as 
shown by the quotation from the fly leaf of the Labor 
Bureau Report : "A fine chance for cotton mill invest- 
ment ... no laws regulating the hours of labor 
and the age of employment ; cheap labor and the home 
of the cotton plant/' It is a common thing in all the 
factories in the South to find children, from seven and 
eight years of age up, working sixty-six and seventy 
hours a week. 

It is a common thing, especially among the families 
that have come from the mountains, to find three and 
four children and the mother all working in the mill, 
and the father walking the streets and acting as dinner 
carrier. In such cases, though the wages are insignifi- 
cantly small for each worker, the aggregate for the 
family is much more than the man previously earned ; 
and so, while the family is getting more, a brood of ig- 
aorant, illiterate, socially-stunted laborers is being 
raised and a low wage rate being established. There is 
throughout the South practically no education of fac- 
tory children, and no hindrance not even a public sen- 
timent except what the trade unions create against 
their employment at the tenderest age at which they 
can mind the machines. 

The effect of this upon other sections of the coun- 
try, " The most pronounced effect," as Professor Dowd 
suggests, "is the lowering of wages in textile indus- 
tries." Although the wages paid in the South are a 
marked improvement on what the same laborers had 
previously received, they are from ten to forty per cent, 
lower for the same work than the wages paid in the 
eastern states. The price of weaving, for instance, is 
about fifty per cent, more in New England than in the 
South. Six and one-fourth cents a cut (fifty yards) is 



1900.] WHA T CAN BE DONE ABO UT IT? 127 

the price for weaving on the most improved (Draper) 
looms, as against ten cents in New England, where 
more than three-fourths of the weaving is still done on 
looms for which nineteen and eight-tenths cents a cut 
is paid. 

, Since the South has quite as good machinery as the 
East, these lower wages (and, where day workers are 
involved, longer hours) very largely result in greater 
profits to southern manufacturers. The dividends re- 
cently declared in the southern corporations range from 
twelve to fifty per cent, and in some few instances 
more. Whenever a dull time comes and competition 
between the East and South sets in, eastern manufac- 
turers under present conditions will be very hard 
pressed, if not crowded to the wall. The southern 
manufacturers will be able to drop prices to a point 
that will involve loss to their eastern competitors and 
still have comfortable profits for themselves. 

Now if they are able to do this at all it will be be- 
cause of this cheaper labor made possible by the low 
standard of living, the working of babes, and the rais- 
ing of a generation of ignorant, stultified citizens. The 
question for the economist and the statesman to ask is : 
When this inevitable pressure of competition comes, is 
it for the advantage of the South, for the advantage of 
the nation, that the standard of the eastern operatives 
should be lowered, or that of the southern operatives 
raised ? One or the other of these is sure to come when 
this competition arrives. 

It is not a question of censuring the southern em- 
ployers or of praising the eastern employers, for the 
eastern capitalists have done in the past exactly what 
the southern capitalists are doing now, taking advan- 
tage of cheap labor conditions whenever they could. It 
is a question of judicious and economic application of 
public policy so as to make it impossible for any class 



128 GUNTON'S MAGAZINE [February, 

of capitalists, either East or South, to secure supremacy 
and grow opulent by undermining the physical health 
and stultifying the social and moral character of the 
people. The remedy evidently lies in the domain of 
public policy, and not in that of censuring individual or 
corporate action. The only remedy that can possibly 
come is to raise the level of the cheap labor in the 
South and so prevent it from being used to lower the 
level of the dearer labor. This cannot be done by any 
law fixing the wages. It cannot be done by any arbi- 
trary regulation of the supply of laborers, even if that 
were necessary, which it appears not to be. The real 
remedy is what ultimately became inevitable in Eng- 
land in the first half of the century and in New England 
in the 70*5 adoption throughout the South of the mod- 
ern factory acts, the two features of which especially 
needed there are a ten-hour law and a limit of the age 
of working children in the factories to fourteen years. 
Half-time restriction would be still better. 

It is a little peculiar that, while noting the fact that 
the shortening of the working day in England and in 
the eastern states has been the means of successfully 
dealing with these questions, Professor Dowd thinks 
restriction of the hours of labor would entirely fail as a 
remedy. He says: " If the efficiency of laborers, as 
well as the hours of work, could everywhere be equal- 
ized, wages would still vary according to the cost of 
living, or, in other words, according to the bounty of 
nature.'' Of course it would be true that, whatever the 
hours of labor, wages will vary according to the cost of 
living, but with the increased social opportunities that 
come of a reasonable amount of leisure and opportunity 
the standard of living itself is altered, and through it 
the wage rate is lifted. 

Another feature of the factory acts, and in some 
respects even a more important one for the South, is 



i 9 oo. ] WHA T CAN BE DONE A BO UT IT f 129 

the employment of children. Under the present con- 
ditions practically the whole family is in the factory, 
and the school influence and home life are nil, except 
that the latter may be degrading. If it were made 
illegal for children to work in the mills under fourteen 
years of age, that would at once take a considerable 
portion of the present operatives right out of the mills, 
and if that were coupled with compulsory education it 
would send them to the schools. The social effect of 
this it would be difficult to overstate. In the first place, 
taking these children out of the mills would compel, in 
a large majority of cases, the father to go to work to 
support the family. It would at once so interfere with 
the income of the family from the babes as to set in 
motion a demand for higher wages among those who 
were working. This would start the movement for a 
rise of the wage level, not at first through a higher 
standard of living but to maintain the same standard. 

On the other side, the children going to the schools 
would be an added force toward lifting the social life 
of the family. The most ordinary ideas of decency 
would compel that the children should be passably clad 
to go to school. They would there also learn some ideas 
of neatness and taste and refinement, which they would 
carry back with them into the homes. This would be 
another force toward raising the standard of living. 
The tendency of this would be to make it necessary for 
the wife to stay at home to look after the interests of the 
family. This would be another contribution to a bet- 
ter standard of living. Cleanliness, domestic attractive- 
ness, would become an increased feature in the oper- 
atives' homes. In a very short time these influences 
would make it impossible to have a bed in the kitchen. 
Higher ideas of comfort would be demanded, and that 
would soon become a force for exacting the wages 
necessary to supply it. With the shortening of the 






130 G UNTON 'S MA GAZINE 

working day, say to ten hours, the enforced attendance 
at school of all children tinder fourteen years of age 
would be a great first step toward the lifting of the 
wage level, and with it happily the social life and intel- 
ligence of the operative class in the South, without in- 
jury to the corporations. If the corporations were on 
the verge of bankruptcy, threatened with extinction 
from superior competitors, there might be some ground 
for their opposition to such a movement. But on the 
contrary they are making lucrative profits. They are 
amassing new wealth at a rate that was never known in 
the palmiest days of slavery. They can well afford 
whatever infringement of profits may result from such 
a policy. There is no social or moral justification un- 
der any conditions for a capitalist class to grow rich by 
means of the degradation of laborers. 

When capital is prosperous labor should progress. 
Every prosperous era for capital should afford some 
lasting improvement for labor. No fear of competition, 
no pressure of profits, no complaint of previous loss can 
be presented as an excuse for the southern corporations 
to oppose this step in humane as well as highly eco- 
nomic public policy. Every consideration of social 
ethics, of economic justice, of humane public policy, 
demands that the southern capitalist welcome the im- 
mediate adoption of these two well-tested and univer- 
sally approved measures. 



THE MORMON POWER IN AMERICA 

J. M. SCANLAND 

According to figures recently obtained from the office 
of the " Historian " of the Mormon church at Salt Lake 
City, there are about three hundred and sixty thousand 
members of that sect the accession during the year 
1899 being about sixty thousand, the largest increase of 
any previous year. Of this total number there are 300,- 
ooo in the United States, as follows: In Utah, 225,000, 
which comprises 75 per cent, of the population of the 
State; Idaho, 30,000; Arizona, 10,000; Colorado, 
5,000; Wyoming, 3,000; New Mexico, 2,000; Nevada, 
2,000; California, 1,000; Montana, 1,000; and, in the 
eastern and southern states, about 25,000. In addition, 
there are colonies in Mexico and Canada, the aggregate 
being about 5,000 in each of these countries. Special 
attention is being directed to these new fields, and 
newly arrived immigrants are being sent to these coun- 
tries. 

There are seventeen hundred missionaries in the 
field and, with few exceptions, they report progress. 
The " Historian " further stated that the church mem- 
bership was now increasing more rapidly than at any 
previous time within its history, and he believed that it 
would only be a comparatively short time before the 
" Latter Day Saints " would "prevail " over the United 
States, and in the " fulness of time would dominate 
the world." The "saints" firmly believe that they 
will ultimately rule the United States, not only spirit- 
ually but politically also ; that all other creeds in the 
world will be swept away and that the Mormon religion, 
the " only true faith," will finally be accepted by uni- 
versal mankind. The Mormon creed teaches a close 

131 



132 GUNTON'S MAGAZINE [February, 

union of church and state, with absolute power vested 
in a church-head, whose will is infallible, and whose 
word is law and must be obeyed without questioning 
whether it be right, wrong, or expedient. An oath to 
this effect is administered to the convert on becoming a 
member. 

The Mormon church is communistic in principle, 
autocratic in its government, and its increasing strength 
is a menace to this republic, because of its socialistic 
organization and polygamous teachings. The Mormons 
believe that polygamy is a divine institution, and that 
their church was founded for the express purpose of 
carrying out this Supreme will, and in preference to all 
other creeds then in existence. They firmly believe 
(and many educated people are included) that an angel 
of the Lord really did appear to Joseph Smith and 
gave to him the " Golden Tablets," from which he 
translated the Mormon Bible. This, they hold, is the 
"true" Bible, and that the Christian, or "Gentile" 
Bible, has been changed from the original text and is 
no longer authority. That is the cause of the visitation 
of the angel to bring unto the world the " true word." 

' ' The original church having divided into so many 
sects, and lost the right path, a * new testament ' was 
needed, and the Lord sent the angel to earth on this 
mission to light the world " said one of the apostles of 
the Mormon church in explaining to me the principles 
of its organization. "The Church of Jesus Christ of 
Latter Day Saints is growing more rapidly than any 
other, and the conquest of the spiritual world will soon 
rest between our church and the Catholic church, but 
ours will prevail ; has not the Catholic priesthood dis- 
obeyed God's first law to man, * be fruitful and multi- 
ply and replenish the earth? ' Upon this injunction 
to our parents in Eden the Mormons base their belief 
in the divinity of polygamy. They claim that had 




i 9 oo.j THE MORMON PO WER IN AMERICA 133 

polygamy not been of divine command the Lord would 
not have "justified his servants, Abraham, Isaac and 
Jacob," who were polygamists. They hold, also, that 
Jesus Christ was a polygamist, and that He revealed 
this doctrine to the Prophet Joseph Smith, command- 
ing him to abide by the law "as it was instituted be- 
fore the foundation of the world," further charging that 
if the " covenant be rejected ye shall not enter into my 
glory." Upon this the Mormon creed was founded, the 
modern prophet claiming that after the advent of Jesus 
Christ all of the other churches apostatized from the 
true faith, else they would have adopted polygamy. 
This, it will be seen, is the rock upon which this 
socialistic-polygamous church is built, and if polygamy 
be abandoned the church would fall, as a power. The 
cardinal belief of Mormonism is that marriage is a re- 
ligious institution and that the state has nothing to do 
with it ; has no right to require a legal ceremony nor a 
right to divorce those whom God has united as a 
marriage is for not only this life but for eternity. 

With this belief firmly implanted, as of divine 
origin, it is not likely that the Mormons of Utah will 
forego their faith and practice at the command of any 
human law. Their early history shows that they have 
not done so, and it is not believed that they are doing 
so now. They have never renounced polygamy as a 
faith, and do not pretend that they have done so, or 
will do so. Its practice was only " suspended " by the 
" manifesto " of the president of the church. This was 
done as a ruse to gain statehood. The anti-polygamy 
law has been on the statute books a number of years, 
yet the church has never officially discountenanced the 
practice of polygamy until all previous efforts at state- 
hood had failed. That they will abandon this " ever- 
lasting covenant '' is not to be believed, for it would be 
a denial of their faith. No specified time was men- 



134 GUNTON'S MAGAZINE [February, 

t 

ioned, however, and the " manifesto " can be revoked 
at any time the " prophet " has a " vision " command- 
ing him to do so. 

It is believed, and reasonably, that this had already 
been done. It is not necessary that a " manifesto " be 
made in public or, rather, before the Gentile world. 
Important church ordinances are fulminated in the 
Temple, which no Gentile has ever entered, and whose 
secrets are sacredly kept. No state power, nor that 
of the United States army, could wrest the mysterious 
secrets from that doubly-guarded granite edifice. Here 
are kept the records of all Mormon marriages, and here 
the mystic ceremonies are performed, the oath of 
secrecy being administered to witnesses and partici- 
pants. It will thus be seen how difficult it is to get 
legal testimony. As a Mormon denies the right of any 
power except his own church to administer an oath, he 
can swear to a falsehood with a clear conscience. Fur- 
thermore, behind him is the dreaded punishment of 
" blood atonement" or death, according to the state- 
ments of apostates. 

With the statement of these facts the public may 
judge whether the Mormons have abandoned the prin- 
cipal belief upon which their church is based. They 
did not do so when " persecuted " and driven from 
place to place to this desert, and now that they have 
control of the state government it is not likely that 
they will abandon it. They regard the anti-polygamy 
law as another act of " persecution " and one calculated 
to strengthen the church. At present, all of the more 
prominent church officials are polygamists, and while 
they have not renounced their plural wives they claim 
that they have temporarily ". put them away " in accor- 
dance with the church " manifesto." They, however, 
support their plural families, which is to their credit. 
It is also noticeable that the young men who are being 



i 9 oa] THE MORMON PO WER IN AMERICA 135 

advanced in the church are becoming polygamists. 
While polygamy is a belief, not all members are poly- 
gamists in practice, mainly because of their inability to 
support more than one family. And another cause is 
attributed to their disloyalty to the church. No one 
may take a second wife unless authority has been 
granted, and the more zeal one shows the higher his 
advancement in the church. Polygamous husbands 
will become gods in the next world, in proportion to 
their number of wives, and the wives will become 
queens and rulers. Those who have not contracted 
plural marriages will become only angels, and servants 
to the rulers. It will thus be seen what a hold this 
alluring promise of power has over the ignorant mind, 
for about fifty per cent, of the converts in Utah and 
other sections are foreign immigrants, mainly of the low- 
est and most ignorant and superstitous classes. They 
are socialists from inclination and fanatical by teaching. 
It is reasonable to presume that such ignorant peo-" 
pie, the refuse of Europe, would blindly obey their 
spiritual masters. Most of them paupers, they were 
brought here at the expense of the church, and are 
held in a system of bondage similar to Spanish peon- 
age, until they pay the debt. Notwithstanding the 
laws relative to the importation of paupers they are 
brought into this country by the Mormon Immigration 
Society, and from New York they are shipped to the 
various parts of the country where colonies are being 
planted and political power is most needed. By this 
means the Mormons hold the balance of power in 
Idaho, and for a number of years controlled the elec- 
tion of delegate in congress, and also controlled a re- 
cent election of a United States senator. They now 
hold the balance of power in Arizona, and hope to con- 
trol New Mexico by the time that territory shall be 
admitted as a state. 




136 GUNTON'S MAGAZINE [February, 

Having complete control of Utah, immigration to 
this state is practically suspended the immigrants 
being sent to other states and territories. By this 
means the Mormons are seeking to extend their po- 
litical power, with a view of getting a controlling 
power in congress, and they hope to eventually become 
strong enough to influence a presidential election. It 
is with this view that they have recently sent such a 
large number of missionaries to the eastern states. 
And, when it is known that these missionaries work 
without salaries and pay their own expenses, it may be 
understood that they are extraordinarily zealous. It 
may also be stated that there is not a salaried position 
in the church. All serve without " purse or scrip," 
but the revenues of the church are controlled by the 
few high officials, who are accountable to no other 
power. 

Every member is required to pay into the church 
coffers one-tenth of his yearly gross earnings ; hence 
this powerful organization has ample means for in- 
creasing its growth through immigrants from Europe, 
and in influencing legislation at Washington. The 
church is as closely organized as any political party. 
Each county in the state is called a " stake " and it is 
presided over by a president, who has two councilors. 
The county is divided into wards, and the wards are 
subdivided into precincts, each of the divisions of the 
organizations having a president and two councilors. 
Monthly reports are made from the precincts to the 
ward bishops and to the elders, and thence to the presi- 
dent of the church at Salt Lake. Those who are weak 
in the faith are " councilled" and indications of apos- 
tasy are met by threats of social and business ostracism, 
or " boycotting." If this fails to check the wayward- 
ness of the brother, he is threatened with excommu- 
nication. This means not only social death but death 



igoo.j THE MORMON PO WER IN AMERICA 137 

in the next world, or, rather, that he will not be resur- 
rected. With such a strong hold upon the feeble minds 
of these simple people, steeped in superstition, it is 
easy to understand why the Mormon church remains so 
strong and united, notwithstanding the anti-polygamy 
laws. The church is an undemocratic and an un- 
American institution. It is foreign to our laws, im- 
moral, antagonistic to Christianity, enslaves the mind, 
is subversive of liberty, and seeks to build up a theo- 
cratic government in a republic. 

The Mormons have ever been rebellious, the spirit 
of hatred to the Gentile world and the American gov- 
ernment dating from the expulsion of the then small 
community from Palmyra, New York. The doctrine 
of polygamy was taught there by Joseph Smith, its 
founder, who was regarded more as an adventurer and 
imposter than a clairvoyant or "prophet." From 
Kirtland, Ohio, they were driven to Missouri, and 
thence to Nauvoo, Illinois, where the false "prophet" 
was killed by the mob. Under the assumed leadership 
of the Apostle Brigham Young, who wrested the pres- 
idency from the heir of Joseph, they migrated to the 
Great Salt Lake Valley. But their objective point was 
California, which province they aimed to wrest from 
Mexico and establish an empire on the Pacific. 

That this was the scheme of the founders of the 
church it is only necessary to cite a few historical facts 
in proof. Joseph Smith first enunciated the doctrine 
of territorial expansion, in connection with spiritual 
dominion, in a sermon in the Temple, in 1842, in which 
he said : ' ' We should grasp all the territory we can. 
The South holds the balance of power; if we grasp 
Texas, we shall break the power of that slave-holding 
section." His scheme was to " grasp " Texas, free the 
slaves of the American settlers, and send them to Mex- 
ico. But, evidently fearing that his undertaking might 



138 GUNTON'S MAGAZINE [February, 

be too large, lie changed his plans for that of a western 
empire. He cast his eyes upon Oregon, and again 
changed his plan, for that country, like Texas, was 
largely settled by Missourians, and those people above 
all others the Mormons most hated. In the meantime, 
the leading officials had petitioned the United States 
government for permission to raise one hundred thou- 
sand men for the ' ' protection of people who wished to 
settle in Texas, Oregon, and other portions of the 
United States." Simultaneously, the church cabinet, or 
the twelve apostles, had dispatched a delegation to Cal- 
ifornia to spy out the condition of the coveted land. At 
the time the Mormons numbered only about twenty- 
five thousand, including the women and children. The 
" Nauvoo Legion," of which the " prophet" was the 
lieutenant-general commanding, mustered about four 
thousand. The prophet, however, was sanguine of re- 
cruiting his army to the required number, as he had 
received encouragement from a number of prominent 
politicians who favored the conquest of Mexico, and at 
the same time deemed this the easiest way to get rid of 
the "troublesome Mormons." The " Little Giant," 
Stephen A. Douglas, favored the plan of their " Oregon 
empire," incidently stating that if his affairs were in a 
different shape he would likely cast his fortunes in the 
1 1 magnificent plan." To the Mormon vote Douglas 
owed his elevation to congress, which may account for 
his friendly counsel. Later, Governor Ford of Illinois 
confidently advised Brigham Young to carry out the 
late prophet's scheme of a western empire, and to 
go to California, as the " Mexicans are weak." 

At that time there were in California 6,000 Mexi- 
cans and about 150,000 unarmed, docile Indians. There 
were also about two hundred Americans mainly outlaws 
and adventurers. The Americans would have doubtless 
sided with any scheme to wrest California from Mexico 



igoo.] THE MORMON PO WER IN AMERICA 139 

and when it is considered that the American conquest 
was made with a force numbering less than the 
" Nauvoo Legion " it may be presumed that the Mor- 
mons would have been successful. At that time the 
ships of France, Great Britain, and of the United 
States, were at anchor in San Francisco Bay, jealously 
watching each other's movements. This country and 
Great Britain, more particularly, were contending for the 
possession of the Pacific Coast, both were ready to seize 
the country, and Great Britain was already encroaching 
upon California's territory from the northwest. 

The Mormon scheme of conquest was renewed by 
the offer to the general government of a battalion of the 
" Nauvoo Legion " for service in the war against Mex- 
ico, the government having anticipated the declaration 
of war by the " saints." Strangely, the^government ac- 
cepted this offer, notwithstanding the existence of the 
Mormon plot to found an empire on the Pacific Coast. 
The officials could not believe that the Mormons would 
undertake such a bold enterprise, or else did not fathom 
its purport. They accepted the offer of one thousand 
men * ' to make a dash into California and capture it for 
the United States " as a fine strategic movement. 
Simultaneous with the departure of this battalion over- 
land, one thousand Mormons left New York by steamer 
for San Francisco. These were the first immigrants to 
arrive in California the nucleus of the new empire. 
Incidentally, they brought a printing-press for the pub- 
lication of the " official" organ of the government. 
Simultaneous with this concerted movement by land 
and sea, the " saints " began their exodus from Nauvoo 
to California. The apostolic delegation sent to spy 
out the coveted land had reported favorably, and the 
prophet, as he led his hosts out of the land of persecu- 
tion, now had visions by day and dreams by night of a 
communistic empire beyond civilization. 



140 G UNTON'S MA GAZ1NE [February, 

The march of a thousand miles through a barren 
country, inhabited only by savages, was necessarily 
slow and accompanied with many dangers and depriva- 
tions. It occupied about six months, and when the 
''saints " arrived in the Great Salt Lake Valley they de- 
cided to tarry awhile to recuperate their wasted strength. 
Another delegation was sent to California to spy out the 
condition of affairs. But the Mormons were too late 
the conquest of California had been made ; the Amer- 
icans were in possession, and the Mormon battalion 
upon which so much dependence was placed, had been 
disbanded. Hence the vision of a Pacific empire van- 
ished, and the prophet now concluded to build his em- 
pire at the present Zion. Had he anticipated the gov- 
ernment in the conquest of California, as proposed by 
the first prophet, our march of western empire would 
have been checked at least for a generation ; perhaps 
longer, for it is to the discovery of gold that we owe 
the overthrow of the Mormon power in California. The 
disbanded Mormon soldiers had formed a colony at San 
Bernardino, in the South, while those emigrants who 
came by sea had settled in San Francisco, and were be- 
coming as troublesome as they had been in the " states." 
But the influx of gold-seekers crushed their growing 
power, and, several years later during the <4 Mormon 
Rebellion,' 1 they were recalled to Utah to assist in the 
war against the United States. And thus was ended 
the Mormon scheme of the conquest of California. 

The question is : How shall the growing power of 
the Mormon church be met? During the year 1898 the 
church membership was increased by forty thousand, 
and in the succeeding year they estimate an increase of 
sixty thousand. These are mainly immigrants, but a 
large per cent, is included in the states and territories 
above mentioned. The church was never stronger, 
numerically and financially, than it is now, and it is as 



1900.] THE MORMON PO WER IN AMERICA 141 

aggressive, at least in spirit, as it was in the days of 
their rebelion and attempts to establish an independ- 
ent government. They believe it is their mission to 
rule the United States, and ultimately the world, both 
spiritually and temporally, uniting church and state, 
and they will work unceasingly to that end unless 
checked by some authority. Their growing power is a 
menace to this government, and even to civilization. 
Though surrounded by civilization they are not affected 
by it, but on the contrary stifle it by their contamina- 
tion and poisonous teachings. 

How shall this menacing power be controlled or 
suppressed ? Will ;it require a constitutional amend- 
ment? And how can it be applied, if applied at all? 
One cannot be disfranchised or punished for his relig- 
ious belief. And the Mormons choose to call the belief 
in polygamy a religious belief ! True, an amendment 
disfranchising any one practising polygamy may be 
adopted, but a conviction must be had before any one 
could be included in its provisions. Convictions will 
be difficult so long as a Mormon sits on a jury. South- 
erners who rebelled against the government were dis- 
franchised for known and proven acts, and acts which 
they, did not deny when placed upon oath. It was not 
for their belief in the justness of their cause, but for 
what they did. A large per cent, of the Mormons be- 
lieve in polygamy who have never practiced it. Would 
it be right to disfranchise those who merely believe in 
it as an article of faith, supposing that an amendment 
disfranchising Mormons should be adopted? Is belief 
a crime, even if expressed? If not, such an amend- 
ment would be in the nature of special legislation, for 
it would apply only to the militant portion of the 
churchmen. However, such an amendment would be 
of little effect, for marriage records would be as strictly 
guarded then as now. In order to adopt such an 



142 GUNTON'S MAGAZINE 

amendment the state legislature must decide that Mor- 
monism is not a religion. As polygamy is one of its 
articles of faith, in fact, the principal one, this would 
seem to be about the only way to suppress the growing 
evil, which is a menace to our moral and civil institu- 
tions, and unless it is checked may soon grow into a 
very dangerous power. 

Such is the history of this militant theocracy. Its 
policy is the same now as when it defied the general 
government and proclaimed the " Independent State of 
Deseret." 



TRUSTS AND SOCIAL PROGRESS 

ALEXANDER H. M'KNIGHT 



The economic question of all time is : How can 
wealth be made cheap and man dear? For wealth is 
the ladder by which man climbs from barbarism to civ- 
ilization. The savage has few wants, and these are 
simple ; they relate chiefly to physical existence. But 
as man advances toward civilization new wants arise 
and new efforts must be put forth to meet them ; new 
wealth is needed, and more time for the improvement 
of his higher nature. Better means of production must 
be called into use. 

A great stride forward was made when men began 
to use capital. As long as every one supplied his own 
wants by the labor of his own hands, there was little 
time for social advancement. When, however, it was 
found that more wealth could be produced by making 
tools and using them in the production of other wealth 
than if all the time were given to production without 
tools, men began to expend their labor in this direction. 
With the introduction of capital, represented by simple 
tools, came a division of labor. The whole industrial 
progress of the race has been marked by better tools, 
improved machinery, more minute divisions of labor, 
specialization of industries, and greater concentration 
of capital. These have resulted in more abundant and 
cheaper wealth, and this has made social progress pos- 
sible. 

Roughly speaking, in the production of wealth land 
is the material, man the agent, and capital the tool. 
Land to-day is the same in substance it has ever been. 
There is nothing to show that man is not essentially 
the same now that he was in the beginning. To be 

143 






144 GUNTON'S MAGAZINE [February, 

sure, his wants have increased ; where primitive men 
had one want we have a hundred to-day. But wants 
are the measure of the social man, not the productive. 
Of course, too, men of to-day are more skilful in the 
use of tools than were primitive men, and through or- 
ganized effort they can produce a greater quantity of 
wealth than the sum total of their individual efforts. 
But without machinery very little organized effort 
would be possible. The truth is, therefore, that the 
great saving in the production of wealth has come by 
means of capital. Mental power plans and directs the 
production; but capital makes it possible for these 
plans and directions to be carried into execution. And 
since wealth is the sine qua non of social progress, it fol- 
lows that whatever increases the efficiency of capital 
tends to promote the welfare of the human race. 

The efficiency of capital may be increased in two 
ways, by investment in improved machinery, and by 
more economic organization of industry. Profits consti- 
tute the prize for which capital works ; and are realized 
when new machinery is substituted for old, or there is 
new organization and greater concentration of wealth in 
any productive enterprise. These steps are taken when 
the cost of production from any cause whatsoever be 
it competition, higher wages, or what not presses so 
closely on the price that there is little surplus margin, 
and profits must somehow be increased. Whether the 
change will take the form of improved machinery or 
greater concentration and more economic organization, 
or both, depends upon which gives promise of greater 
gain. 

Since the beginning of the factory system, capital 
has tended to gather in greater and greater aggrega- 
tions. The individual employer gave way to the part- 
nership, the partnership to the corporation, and now 
the ordinary corporation is being superseded by the 



igoo.] TRUSTS AND SOCIAL PROGRESS 145 

trust. Concentration, too, is going on at an unprece- 
dented pace ; and the trusts are being assailed on every 
hand with the stock arguments of the past, whetted 
and sharpened, that have done service in opposing the 
factory system, corporations, and improved machinery. 
It is proper to inquire how much of sentiment and how 
much of sense there is in this popular denunciation of 
the trust. 

There can be no appreciable social progress with- 
out wealth. Wealth above enough for a bare subsist- 
ence can be produced only by means of capitalistic en- 
terprise. Capital will be used in production only as its 
investment promises a surplus. Will it pay ? This is 
the question capital always asks. Whether it will pay 
depends upon the market ; and the market depends up- 
on the social and industrial condition of the masses. It 
is not enough, therefore, that the investment pay mere- 
ly the capitalist. The laborer and the community must 
share the surplus. The capitalist's share comes as in- 
creased profits ; the laborer's as higher wages ; and the 
community's, of which both the capitalist and the labor- 
er are a part, in lower prices. 

If trusts pay the capitalist, pay the laborer, and pay 
the community, they are sound in economic principle, 
they are promoters of social progress. 

That trusts increase profits is evident from the fact 
that capital continues to go into them. This needs no 
discussion. Capital is very timid, and always runs in 
the face of loss ; it is never invested unless there is a 
reasonable chance of gain. But the majority of us are 
not capitalists ; and the contention of most people is 
that profits are increased too much, that the whole of 
the surplus resulting from better organization is taken 
by capital, and none of it given to the laborer or the 
community. 

The two matters of greatest concern to the laborer, 



146 GUNTON'S MAGAZINE [February, 

economically speaking, are higher wages and a shorter 
working day. What effects have large aggregations of 
capital in productive enterprises had on these? The 
rate of wages and hours of labor are a matter of record, 
and an examination will show how these have changed 
since the beginning of these large combinations. 

Where hand labor is the rule and large combina- 
tions of capital are unknown, wages are low and the 
work-day is long. The Chinaman works for less and 
longer than does the German ; and the German works 
longer and for less than does the Englishman or the 
American. England, where the factory system orig- 
inated, and the United States, where we have the great- 
est combinations of capital, pay the highest wages and 
have the shortest working day. Investigation, too, 
shows that since 1 860 the purchasing power of wages 
has increased most in those industries where the great- 
est concentration of capital has taken place, and also 
that in these industries the hours of labor are fewest. 
Shorter work-days and higher wages have followed the 
concentration of capital in productive enterprises. I 
am speaking of course of the general tendency, not of 
particular cases. 

Have trusts reduced prices? Since 1860, the great 
machine era in the United States, some prices have ad- 
vanced and some declined. With a very few excep- 
tions, whenever an advance has been made, it has been 
in those products in whose production hand labor or 
small capital was employed. And it is right that the 
price of these products did advance. Wages are the 
principal item in their cost of production ; and wages 
are determined by the laborer's cost of living, which 
should be on the increase. But while these prices have 
risen a much larger number have fallen, the total aver- 
age fall in prices being about 4 per cent., together with 
a rise in wages of about 68 per cent. 



1900.] TRUSTS AND SOCIAL PROGRESS 147 

But some one will ask, did not these lower prices, 
fewer hours of labor and higher wages come in spite of 
concentrated capital, and not on account of it? We 
must answer, no. It is undeniably true that some 
capitalists, like some people of every other class, are 
very short-sighted. As laborers have opposed the in- 
troduction of improved machinery, concentration of 
capital and other economies in the production of wealth, 
so have capitalists often opposed increase of wages and 
reduction in the hours of labor. There have been com- 
binations of capital formed, too, to increase prices or to 
hold them at a certain point. It is not to be presumed, 
of course, that all capitalists, or even the greater part 
of them, are true philanthropists, and that they have 
introduced improved machinery and formed larger com- 
binations of capital merely for the love of humanity. 
Their actuating motive is profits. But no combination 
can long retain all the profits of an industry. To at- 
tempt this is economic madness. The profits must be 
shared with the community, otherwise new capital will 
enter the field. And a slight reduction in price will 
often add many consumers to a market. This, while 
reducing the profit per unit, may greatly increase the 
total profits. 

Shorter work-days give laborers time for social 
improvement, and this tends to develop new wants and 
to make them greater consumers. Some capitalists rec- 
ognize these facts, and act upon them. Doubtless there 
are many more who do not. So we may say that as a 
rule lower prices, fewer hours of labor and higher 
wages have been forced upon capitalists. Yet the fact 
remains that the concentration of capital in productive 
enterprises has made it possible for prices to be lowered, 
hours of labor to be reduced and wages to be raised. 

Our chief industrial danger does not lie in the trust 
principle, but in its abuse. Capital has its function, 



148 GUNTON'S MAGAZINE 

and that function is to give the community cheaper 
wealth. Capitalists do not always recognize this, how- 
ever. Some trusts are formed with almost no regard 
to economic principle. Mere speculators try to unite 
the productive enterprises of an industry for the present 
" pull " there is in it, not for the steady gains that re- 
sult from more efficient management. "Booms "are 
started, and honest men are induced to invest their 
money in that which cannot pay. Too much is paid 
for the special services rendered in forming an organi- 
zation ; the earning capacity of the concern is too small, 
and higher prices are forced upon the public to pay 
dividends on "watered" stock. This short-sighted 
madness on the part of capitalists is largely responsible 
for the bitter opposition against trusts, and in a measure 
it justifies the opposition. Capital has a right to profits, 
but these should come from the storehouse of nature, 
not from the pockets of other men. There is little 
wonder that the voice of the public is raised against 
those organizations that seek to make their gain by 
sharp manipulations instead of by exploiting nature. 
Only let us not make our denunciations too sweeping. 
We should seek to retain the trust principle, while 
eliminating the evils and abuses that have grown up 
with it. 




EDITORIAL CRUCIBLE 

PRESIDENT Low of Columbia University is not by 
education or profession an economist, but he has a 
wonderful amount of sound economic sense. In a re- 
cent address he told the labor unions of New York city 
that he believed in combinations; that they are not 
only inevitable but are an advantage to the human 
race. Corporations and trade unions are each as nec- 
essary as the other. He recognized that both forms of 
organization make mistakes, but the only way to find 
out the limitations of either is to try it. This is 
good advice. Nothing is quite so unbecoming in a per- 
son pretending to a knowledge of industrial and social 
forces as to join in the pessimistic prediction that our 
institutions are going to be subverted by organization, 
either of capital or of labor. President Low's service 
to wholesome public opinion is worth more than a 
thousand dawdling speeches about the evils of trusts 
and the dangers of trade unions. 



THE PROPOSITION of President McKinley to adopt 
free trade in Porto Rico, the logic of which of course is 
free trade with all the other new possessions, is crea- 
ting considerable stir among agricultural producers. 
The wool growers are up in arms, the tobacco grow- 
ers of Connecticut are protesting, and the producers of 
agricultural products generally are likely promptly to 
get in line. It is a little difficult to ken the motive 
which induced President McKinley to take this step. 
It can hardly be that he has become a convert to free 
trade, nor can it be that he is oblivious to the political 
influence of the farmers, and most surely it cannot be 
that he can count upon securing another term without 
them. Then what is the force behind the throne in 

149 



150 GUNTON'S MAGAZINE [February, 

this case? The logic of his economic convictions is 
deadly against it. The interests of a great group of 
his political friends, the farmers, are against it. There 
is no particular industrial interest of any other class 
that requires it. Then why did he do it? Why? 



IT is interesting to note the respectful tone that 
the Springfield Republican, New York Times and other 
free-trade journals are assuming toward Mr. Robert P. 
Porter since he announced himself in favor of free 
trade with Porto Rico. Mr. Porter was the first editor 
of the New York Press, which was brought into exist- 
ence specially as a protectionist organ. He was super- 
intendent of the census of 1890, but he was so suspected 
of partisanship that the work of the census office was 
challenged and berated at every point, especially by 
the class of papers represented by the Springfield Repub- 
lican. They insisted that he was neither reliable in 
facts nor honest in reasoning ; that he was a bluffing 
blunderer who would draw figures and make statements 
regardless of fact ; in short, that he was a cheap polit- 
ical servant whose statements on either matters of fact 
or public policy were of no account. And now, all of 
a sudden, without the leopard having changed a single 
spot, he is cited and almost fawned upon as a conclusive 
authority ! 



THE FUSS first created by large headlines in the 
daily papers about the secretary of the treasury deposit- 
ing public funds in the banks is one of the straws that 
shows how unintelligent and disingenuous is much 
of the discussion in the daily press. The act of Secre- 
tary Gage is now seen to be sound public policy, which 
ought to be an established usage instead of depending 
on the good sense of an individual official. The same 
thing was done by Secretary Manning and also Secre- 



i 9 oo.] EDITORIAL CRUCIBLE 151 

tary Fairchild, and it reflects credit on the financial 
statesmanship of those gentlemen. In no other country 
does the government keep its revenues locked up from 
circulation. Unless the government's funds can in 
some way be put in circulation, every increase of the 
public revenue acts as a contraction of the currency, 
which is detrimental to business. There are only two 
ways in which this evil can be avoided. One is by 
placing the government funds on deposit in the banks 
and so letting them become a part of the circulating 
volume, or for the secretary of the treasury to buy 
bonds at a premium, which means that the government 
periodically makes a present to every holder of bonds 
in order to prevent currency contraction. The attack 
on Secretary Gage has been narrow and partisan, and 
if the attitude of the democratic press and party in 
congress on this subject may be taken to represent its 
position on the subject it demonstrates unfitness to be 
entrusted with the nation's finances. 



IT APPEARS that in the vote of the senate committee 
on the resolution refusing to seat ex-Senator Quay, 
Senator Burrows had the honor of giving the casting 
vote. By this vote Senator Burrows made a real 
contribution to clean politics, even though it may 
cost him some political friendships. If the senate sus- 
tains this it will not debar Mr. Quay from the senator- 
ship, but it will send him back to the people of Penn- 
sylvania for endorsement before he can occupy a seat 
in the senate. It is time that high ground was taken 
by the United States senate on this subject. The case 
of Senator Clark, from Montana, is of a similar kind. 
It may not be clear that Senator Clark bought the 
votes of legislators, but it is clear beyond a doubt that 
money was used in a scandalous fashion in the contest 
which resulted in his election. In such matters corrup- 



152 GUNTON'S MAGAZINE [February, 

tion should not be given the benefit of the doubt. 
Until a state can elect a United States senator without 
surrounding the proceedings with corruption and 
debauchery it should remain unrepresented in the 
senate. Clean politics should have the benefit of all 
doubts. It should become thoroughly established that 
the road to the United States senate cannot be paved 
with corrupting gold ; that the members of that body 
shall be the honest choice of the state legislatures. If 
both Mr. Quay and Mr. Clark are sent back to their re- 
spective states to try again, it will do much to clear the 
air, lift the tone and sustain the reputation of the 
United States senate. 



" That was a striking epigram which Senator Wolcott made in the 
senate the other day . . : ' the rich are growing richer and the poor 
are growing richer also.' The form of statement is, so far as we know, 
Senator Wolcott's own. " New York Times. 

REALLY THIS is good enough for the funny column. 
The Colorado senator probably has no objection to the 
New York Times seriously proclaiming this as original, 
but Mr. Wolcott would hardly want to be suspected of 
joining in that assumption. But the Times even thinks 
that this epigram was suggested by the plaint that "the 
rich are growing richer and the poor are growing 
poorer." Come to think of it that may have been so, 
but what a power of insight to see the connection ! 
With the exception of the period of the ' 'silver fever" 
Senator Wolcott has always been a sensible man, and it 
is not surprising that, in replying to the hackneyed pes- 
simism of the senator from South Dakota, he should say 
what sensible men have been saying ever since modern 
industrial progress began. Economists, statesmen, 
publicists, sociologists, sensible editors and intelligent 
students of political and economic history have not 
merely been asserting but have been proving in a hun- 
dred ways that it is fundamental in modern industry 




1 9 o.] EDITORIAL CRUCIBLE 153 

that as the wealth of the rich increases the poverty of 
the poor diminishes. The claim that the poor grow 
poorer as the rich grow richer is the plaint only of the 
ill-informed, unpractical pessimist. In saying: "The 
poor are growing richer also,'' Senator Wolcott was but 
voicing a truism with which everybody except perhaps 
the senator from South Dakota and the New York 
Times is familiar. 



IN A RECENT address in Denver, President Hadley 
of Yale is credited with saying: " When a man oper- 
ates a trust against the public good, do not invite him 
to dinner. Do not call on his family. Disqualify him 
socially. When you make a man understand that by 
doing certain things he is disqualified socially and con- 
demned by public opinion you have set in motion the 
strongest force in the business or political world." 

If correctly reported President Hadley is teaching 
a very bold and may-be dangerous doctrine of boycott. 
To ostracize everybody whose industrial methods or 
political policy you do not like would soon mean social 
warfare. If President Hadley's policy is to be adopted 
to ward all trust magnates, about every successful business 
man will be under the social ban, for nearly everything 
is a trust nowadays that is large and successful. Does 
Dr. Hadley really expect to be taken seriously? Was 
he serving notice on the Rockefellers and Carnegies 
that Yale would spurn their polluted millions, or was 
he temporarilly dealing out Denver economics? Dr. 
Hadley should know that in entering this field he is 
trespassing upon the Bryan reservation where he is sure 
to meet ignominious defeat. In the production of this 
brand of economic teaching Mr. Bryan is a past-master 
expert against whom Dr. Hadley could not hope suc- 
cessfully to compete. It would seem to be much safer 
to stay in the sphere of normal economic ethics where 



154 



GUNTON'S MAGAZINE 



he has already acquired an enviable reputation and ren- 
dered high scientific service. 



THE ACTION of the New York rapid transit com- 
missioners in giving out the contract for construction 
of the tunnel is a decisive step toward accomplishing 
the long delayed rapid transit for Greater New York. 
The subject has been discussed and discussed until the 
people are weary of waiting and anxious for action. 
Happily the commission is composed of men in whom 
the public has great confidence. The awarding of the 
contract is accepted as a wise disposition of the matter. 
The tunnel is to be built by contract for the city. This 
will keep in the hands of the city the ownership of the 
tunnel, while the right of way and operation of the road 
can be leased to the railroad corporation that will give 
the best results to the public. 

New York city has seemed to move more slowly in 
the matter of local transit than almost any other city, 
but it is because it has insisted upon the best possi- 
ble method. It refused to accept the overhead trolley 
in its streets, and consequently had horse cars much 
longer than many other cities. In putting its telegraph 
wires underground and insisting that whatever trolley 
wires came should be under the surface also, New York 
forced the capitalists to develop and perfect an under- 
ground trolley system which has now become an estab- 
lished fact, and is giving the metropolis the best trolley 
service in the country. In the delay of the under- 
ground long-distance rapid transit it is to be hoped and 
reasonably expected that the Greater New York will 
finally have the best rapid transit system in existence. 
When that is satisfactorily completed and the other 
systems brought to the standard of the best that is now 
in use, New York city will be equipped with better 
and cheaper transportation than any city in the world. 



DO WE NEED A NATIONAL UNIVERSITY ? 

W. F. EDWARDS* 



The need of a " National University " seems to me 
to depend on the solution of two principal questions 
(i) Do we need a university with more and better equip- 
ment (material) than any of our state or other universi- 
ties do or probably can furnish us? (2) Do we need a 
university that shall be widely different in its work and 
aims from any of our state or other universities? Both 
questions would be answered in the affirmative, it seems 
to me, by all competent judges, but with a reservation, 
in many cases, concerning the advisability of establish- 
ing such an institution depending on congressional ap- 
propriations for its support. It would be and has been 
sai(J that congress would so interfere with the working 
of a university depending on congressional appropri- 
ations for its support that there would not be the de- 
sired freedom of expression of thought allowed, and 
that therefore the university would become to some ex- 
tent the mouthpiece of congressmen instead of the un- 
fettered exponent of truth. However, if it can be 
shown that we need a university differing from those 
now in existence in the United States and that it re- 
quires a national support and would be of national 
benefit, it would seem as if some way could be found 
to eliminate the bad influences that congress might de- 
sire to bring to bear upon it. Congress has shown no 
great desire, so far as I am aware, to interfere with ex- 
periment stations and industrial education resulting 
from the " Act of 1862," the Hatch Act " of 1888, and 

*Since writing this paper, August, 1899, I have learned that the 
National Educational Association has appointed a committee to consider 
this question. 

155 



156 GUNTON'S MAGAZINE [February, 

the " Morrill Bill" of 1890, or with the Smithsonian 
Institution. As in these instances congress would have 
done its whole duty toward a properly organized uni- 
versity when it had passed an act giving continuous 
support and a proper organization to the institution. 

The most potent reason for a " National Univer- 
sity " is that we need an institution with more intellec- 
tual freedom and much higher and broader scholarship 
and greater facilities for and incentive to research than 
we now have in any of our universities. 

It is a notorious fact that our state universities, 
even the best of them, like those of Pennsylvania, 
Michigan, Wisconsin, Minnesota and California, are not 
noted for the broad and high scholarship of the mem- 
bers of their faculties. There are some really scholarly 
men among them, but for the most part they are special- 
ists of the modern practical type or are men with some 
knowledge of many subjects but no really high scholar- 
ship in a broad sense of that term. Doubtless there has 
been and will continue to be an improvement in the 
scholarly attainments of the members of the faculties 
of these state institutions, and yet there are many con- 
ditions that seriously interfere with the requisite ad- 
vantages necessary for the fostering of the highest and 
broadest scholarship in these institutions. 

The conditions that have interfered with progress- 
ive scholarship in these institutions in the past are still 
well represented in the state universities (so called) in 
some of the younger states of the West. Some of these 
universities if not all of them began somewhat on the 
plan of a state high school wherein instruction in Latin, 
Greek and mathematics is the only instruction that is of 
higher grade than that of a good high school of the east- 
ern states. Philosophy is represented in these embryonic 
universities but is ridiculous to the extreme. These 
universities of the younger states manage to print pre- 



igoo.J DO WE NEED A NATIONAL UNIVERSITY? 157 

tentious catalogues with a faculty of men and women 
with A.M., Ph.D., or LL.D. or a combination of letters 
standing for several degrees after their names, the one 
having the greatest number of degrees being quite often 
the most inferior member of the faculty. 

In several of these new states there is no "mill 
tax " or other permanent predetermined income to the 
university, which necessitates the making of preliminary 
budgets of necessary or desirable expenses for a two- 
year period following the next meeting of the legisla- 
ture of the state. These budgets usually go into the 
hands of the legislators as a portion of a biennial report 
of the board of regents to the governor of the state 
concerning the condition of the university. In these 
new states there are so many necessary state expenses 
such as those required for prisons, asylums, state offi- 
cers, including land commissioners, etc., that it is diffi- 
cult to give much financial support to the university. 
Then there are the normal schools, the agricultural 
college and school of mines all clamoring for more 
funds. The budgets of these various educational insti- 
tutions usually represent more than is expected, it being 
not infrequently the case that twice as much as is ex- 
pected or needed is asked for on the assumption that 
the legislators desire to show to their constituency that 
they are very economical in their dealings with state in- 
stitutions. This leads to all sorts of cutting of appro- 
priations, political trading and threatened vetoes by the 
governor, which causes a state of unrest in the university 
(and other state schools) that is highly detrimental to 
the best interests of the university and does not invite 
talent to seek positions in its faculty. 

As soon as the high schools of the state begin to 
offer work practically parallel to that of the university 
the university becomes ambitious, of necessity, and 
wishes to add to its enrolment by attaching profes- 



GUNTON'S MAGAZINE 



[February, 



sional courses of study and by inducements for the 
higher degrees. Unless the agricultural college with 
its annex of a school of mechanic arts, having the 
usual attachments, is a part of the university there is a 
strong desire on the part of the university to establish 
courses in mechanical and civil engineering with the 
attendant divisions of mining, electrical, sanitary, met- 
allurgical, architectural, marine, etc., engineering as a 
means of overshadowing the agricultural college. 
This latter school, however, usually leads them a merry 
chase in this respect. The normal schools for a like 
reason induce the university to establish weak courses 
for teachers which lead to a " normal diploma," or to a 
special degree usually designated as the degree of 
" Bachelor of Pedagogy." 

All this places in the hands of a small faculty nu- 
merous classes in a great variety of subjects. A profes- 
sor of " Natural Science" may give all the instruction 
in physics, chemistry, botany, zoology, entomology 
physiology, etc. with the aid of one student assistant 
for the various laboratory courses. A professor of 
mathematics may give all the instruction in algebra, 
geometry, trigonometry, calculus, theory of equations, 
theory of determinants, analytical geometry, surveying, 
civil engineering and astronomy. In one case coming 
to my notice the professor of mathematics, in addition 
to all this, with the aid of one student assistant under- 
took to give all the courses on pedagogy including a 
course on the history of education (and in addition, 
strange as it may seem, studied law and wrote text 
books). 

It is evident that an instructor with so many sub- 
jects to teach cannot have time or energy for anything 
else than the conducting of class exercises even if 
he is well trained at the start. It is not infrequently 
the case that the instructor is called on to teach a sub- 



1900.] DO WE NEED A NATIONAL UNIVERSITY? 159 

ject which he studies with his class. He keeps two or 
three lessons ahead of them and has over them the ad- 
vantage of more years of experience. It is needless to 
state that in such a case the instructor must put himself 
in the position of those teachers in our grammar and 
high schools who believe their functions are largely rep- 
resented in assigning and listening to the recitation of 
lessons from a text-book. If only these young univer- 
sities could have limited all of their professional work 
for a time to the training of teachers with a liberal aca- 
demic preparation therefor, how much more would real- 
ly have been accomplished in the way of benefiting the 
state from an educational point of view. 

It is however too late to talk of this feature from 
any other than a historical point of view for the uni- 
versities are now begun, and have the usual number of 
professional courses begun or under way. These pro- 
fessional courses are a means of pleasing those who are 
clamoring fora " practical" education, and of getting 
the druggists, lawyers, doctors, engineers, etc., to 
" work for " the university appropriations. Even with 
all this the university is fortunate if its friends in the 
legislature do not have to concede much to the other 
state schools and colleges, which amounts to the same 
thing as political trading on these various schools. 

In many if not in all of the older state universities 
there are evidences of the result of this method of pro- 
cedure. There are elderly men in the faculty who 
have done their utmost under the circumstances but 
who are out of touch with modern developments. 
There are all kinds of professional departments and 
schools, usually with a low requirement for admission, 
each striving to make a showing of the number of stu- 
dents enrolled. Among these may be found departments 
of engineering wherein ''pure " physics is considered of 
little value ; departments of chemistry giving courses 



160 GUNTON'S MAGAZINE [February, 

in pharmaceutical, medical, iron and steel, soap, etc., 
chemistry without much regard to general chemistry or 
chemistry as a science ; departments of law running to 
moot courts and the details of practice instead of the 
study of jurisprudence in the light of advancing civili- 
zation; medical departments devoted to* 'isms" and 
practice instead of the science of medicine and surgery ; 
schools of pharmacy wherein boys and girls scarcely 
fitted to be admitted to the high schools struggle 
through two years of cramming to pass examinations 
and become druggists ; schools of dental surgery that 
have as a principal function that of teaching how to 
plug teeth. There are departments of philosophy 
wherein the students may still study philosophy with- 
out paying much attention to the study of nature or 
mankind, and departments of political and social science 
wherein students study these subjects with little regard 
to the great historical movements of the past history of 
civilization or social progress. 

It will be seen that there is everything to interfere 
with higher education from the point of view of more 
intelligent and progressive citizenship. There is also 
still much to hinder the intellectual development of 
the members of the university faculties. The pro- 
fessors and instructors in the departments of litera- 
ture, science and the liberal arts teach their particular 
subjects in all of these various departments and in ad- 
dition attempt work in the post-graduate departments 
of the university. No wonder that the "post-gradu- 
ate " work in so many of our institutions represents 
time rather than real research. It not infrequently 
happens that a student who has devoted his time to the 
study of Greek and Latin while studying for the bac- 
calaureate degree, studies the elements of some science 
for the master degree in order to increase his chances 
of getting a position to teach in the high schools. In 



igoo.] DO WE NEED A NATIONAL UNIVERSITY? 161 

universities offering several baccalaureate degrees the 
student sometimes chooses his work so as to be able to 
get two degrees in five years for a like reason. All 
this does not tend to scholarship, neither does it do 
much to improve citizenship generally, this last being 
especially true since it is only in baccalaureate sermons 
and commencement addresses that the student's added 
responsibility as a citizen is impressed upon him. 

The universities which do not depend on state sup- 
port, Johns Hopkins, Columbia, Harvard, Yale, Cor- 
nell, Chicago, Stanford and Clark, with the exception 
of Clark, are like the state universities in that they are 
a sort of admixture of college and university wherein 
the principal function is training rather than research. 
However, these institutions can do more and better 
work in their post-graduate departments than can be 
done in the state universities. Their faculties have 
had a better opportunity for progress than have the 
faculties of the state universities. 

What is needed is an institution where training 
shall be a minimum, and research of a high order shall 
be a maximum. Clark University is on what seems to 
me to be very good lines, but it is handicapped finan- 
cially and otherwise. 

It is the fashion of students who wish to become 
teachers in our universities to go to Europe, usually to 
some part of Germany, to study for a time. All this is 
good in its way, but it does not supply the deficiency in 
the way that a properly constituted university could. 
It is also an admission of the need of a university 
differing from ours. We ought to have an institution 
of such a character that Europeans would find it advan- 
tageous to come to it now and then to carry on a re- 
search. 

A " national university' 1 could be of use to our 
consular service. President Angell, in a paper en- 



163 bUNTON'S MAGAZINE [February, 

titled " Consular and Administrative Reform,"* says: 
" Some important changes should be made in our con- 
sular service in those countries (of the Orient). . . . 
To discharge the duties of the office successfully one 
should have had a special training, and should be 
allowed a considerable degree of permanency in his 
position. . . . His duties are not partisan. For the 
most part they can hardly be called political. In the 
east they are judicial and commercial. He should 
therefore have an acquaintance with business methods 
and at least a fair knowledge of law. It would always 
be most advantageous for him to be familiar with the 
language of the country in which he is stationed. . . . 
There is absolutely no encouragement for a scholarly 
young American to learn Chinese, Japanese, Turkish, 
or Arabic in the hope of receiving permanent appoint- 
ment as interpreter and perhaps ultimately as consul. 
The consequence is that generally our consuls them- 
selves, ignorant of the language of the country to 
which they are sent, are obliged to depend on natives 
of that country for interpreters." 

It would be no part of the functions of such a uni- 
versity to give an acquaintance with business methods 
as such or to train persons to a speaking knowledge of 
languages or to furnish a fair knowledge of law as it is 
ordinarily done in our state universities. However, it 
would be within the province of such an institution to 
have departments dealing with the peoples and their 
doings, past and present, of all countries with which 
we have considerable dealing, for the purpose of study- 
ing broadly the history of civilization as well as for 
practical benefits. Among the students of these de- 
partments and those making a special study of inter- 
national and constitutional law would doubtless be 
some who would look forward to a career in our con- 
* The Michigan Alumnus, February, 1899. 



DO WE NEED A NATIONAL UNIVERSITY? 163 

sular service if any considerable degree of permanence 
could be assured by our practice. 

Such subjects as anthropology, ethnology, ethnog- 
raphy, etc., are not adequately treated in any of our 
universities and could well be made a prominent feature 
of a " national university." 

Thus one could go on to show other needs, but 
enough has been indicated to show that we need a uni- 
versity differing from all other universities now in ex- 
istence in the United States. It does not matter so much 
whether it is a "national university" depending on 
congressional appropriations for its support or a univer- 
sity with sufficient private endowment. The essential 
features are sufficient financial support, intellectual free- 
dom, and a limited number of students chosen by a com- 
petent tribunal from the best talent in the country. The 
principal aim should be that of contributions to and 
diffusion of knowledge. 

The history of the Smithsonian Institution shows 
how much can be done in this way even with very lim- 
ited means. An increase in the functions and depart- 
ments of this institution with the necessary financial 
support would probably be all that would be necessary 
in order to make this institution answer every purpose. 
The name " national university " is immaterial and the 
already familiar name would do quite as well. The 
Congressional Library and National Museum as parts 
of such institution would make up the necessary equip- 
ment. 

Congressional appropriations for the support of 
such an institution ought not to present any great diffi- 
culty if once it is clear that such an institution would be 
beneficial to the people of the United States. The gov- 
ernment is spending now upward of one and one-half 
million of dollars a year as a result of the " Hatch 
Act " of 1888 and the " Morrill Bill " of 1890 for experi- 



164 GUNTON'S MAGAZINE [February, 

ment stations and industrial education which in my 
opinion are not of nearly so much benefit to the people 
as such a university would be. Moreover, the experi- 
ment stations might come to be directed by men who 
have shown special fitness by their researches in this 
university. Indeed, the stations could be used as occa- 
sion offered for carrying on special researches under the 
direction of the university which might result in making 
these stations of more value than they, many of them 
at least, are at present, and thus increase the efficiency 
of these practical institutions. 

I believe that an essential part of the expense of 
such a university should be represented by a number of 
scholarships equal to that of the whole membership of 
the university and might altogether make upward of a 
thousand, and should vary from say ten thousand dol- 
lars for a general director to five hundred dollars for 
beginners. The five-hundred-dollar scholarships might 
be say one thousand in number and could be distributed 
among the various departments. They should only be 
given to persons who are between say twenty-five and 
thirty-five years of age and who have a broad founda- 
tion such as is represented in the best college courses 
in the country and who have in addition shown some 
special ability in research from a scholarly point of 
view. The average college or university thesis could 
not usually be considered as evidence of such ability. 
Between the five-hundred-dollar scholarships and that 
of the director might be say one hundred one-thousand- 
dollar scholarships to be given to persons who have held 
five-hundred-dollar scholarships and who have shown 
such ability in certain directions that the faculty has 
placed them on special research ; fifty two-thousand-five- 
hundred-dollar scholarships to be given to able men 
who wish to travel and conduct researches on subjects 
approved by the faculty. Of these scholarships some 



igoo.] DO WE NEED A NATIONAL UNIVERSITY? 165 

might be granted to properly qualified men to go as at- 
taches without pay to some of our consuls to learn the 
language of that country and to report on some special 
investigation concerning the people of the country ; and 
about twenty-five scholarships of five thousand dollars 
each to be given to men of great ability who are not 
less than thirty-five or more than forty-five years of age 
and who shall not hold office after the age of sixty years, 
to be known as departmental directors and who with 
the director should constitute the faculty of the uni- 
versity. 

I imagine I hear some one cry out against using 
public money for scholarships. Are not the salaries of 
the workers in the experiment stations of the same 
nature and are they not paid for a like purpose ? In 
the experiment stations men are employed by the year 
to carry on experiments for the public good. 

It might be unwise to attempt to start all the 
scholarships at once as it might also be to try to make 
a full-fledged university at the start. However, it 
would be necessary to start the university on a basis 
that would insure confidence from the very start. For 
it to be required to begin on a niggardly allowance and 
to drag itself upward as so many of our state universi- 
ties have done would be to thwart the institution in ac- 
complishing what is desired of it. If it could be begun 
by an appropriation of say five hundred thousand 
dollars, to be increased say fifty thousand dollars a year 
until a maximum of two million dollars a year is 
reached, it seems to me this would be a good way to 
" finance" such an institution. The appropriations 
should be made in such a way that portions could be 
put aside to accumulate for suitable buildings or other 
proper expenses. 

The building up of a library and museum that 
should be the equal of any in the world in connection 



166 G UNTON'S MA GAZINE 

with the university would be a legitimate part of its 
business, and would go far toward determining that the 
proper place for it is the vicinity of the National Cap- 
ital ; and also that the enlargement of the functions 
and the work of the Smithsonian Institution is a good 
way to make such a university. The Smithsonian In- 
stitution is already widely and favorably known by 
means of " contributions to knowledge" and "miscel- 
laneous collections," and the practice of exchanging 
these volumes for the transactions of libraries and 
scientific societies. I am not aware of anything in the 
bequest of James Smithson or the organization of the 
Smithsonian Institution itself that is incompatible with 
this suggested enlargement of its functions and work. 

While the enlarged institution and the various 
scientific bureaus of the government might be mutually 
beneficial, it seems to me that these bureaus and stations 
should always be entirely separated from the Smith- 
sonian Institution, or rather that the Smithsonian In- 
stitution should never include them as an organic part 
of itself. 

In conclusion I will suggest that congress and those 
who are interested in a " national university " would 
probably be greatly relieved of a grievous burden if 
some of the hundred-times millionaires who are re- 
tiring from active business life to spend their fortunes 
for the benefit of mankind could see that to establish a 
university on the lines indicated in this paper would 
afford them an opportunity of spending fifty millions 
of dollars at once, and of building unto themselves an 
everlasting monument that would be known in two 
hemispheres wherever civilization is sufficiently ad- 
vanced to recognize the value of higher education. 






CIVIC AND EDUCATIONAL NOTES 



For Civic 



Public Policy, until recently published as 

_ The Other Side, is an interesting little 

Progress 

Chicago magazine edited by Allen Ripley 
Foote and devoted to civic problems. Its object is edu- 
cational and its spirit progressive, and, in view of the 
popular trend toward experiments in municipal social- 
ism, we are glad to find in its statement of principles 
the following : "The design is so to instruct popular 
thought that political action will favor individual enter- 
prise and industries springing from private initiative 
and carried on by private management." 



Education by correspondence and home 
study, although always subject to certain 
rigid limitations, is growing in impor- 
tance. The field for possible work in this direction is 
by no means fully occupied yet. It can never take the 
place of direct instruction in class-rooms, but it does 
supplement courses of education that have been cut off 
too early by force of circumstances. The majority of 
our young people are prevented from getting beyond 
the common school, or at most the high school. The 
popular impression is that work of this sort must neces- 
sarily be of a somewhat " light reading " nature, at any 
rate nothing more severe than the courses required by 
the Chautauqua system, for example. This is not en- 
tirely correct. There is a correspondence school in 
Scranton, Pennsylvania, enrolling about one hundred 
and thirty thousand students and dealing entirely in 
technical, scientific subjects. It gives sixty separate 
courses, conducted by a corps of 226 professors and 
assistants. These courses range all the way from arith- 
metic to civil engineering, and indicate a surprisingly 

167 



188 GUNTON'S MAGAZINE [February, 

broad range of possibilities for this method of instruc- 
tion. 

The correspondence plan, combined with period- 
ical literature features and local classes or clubs in differ- 
ent communities, is especially well adapted for courses 
in economics, sociology and public policy, such as are 
offered by the Institute of Social Economics. 



Prosperity Dr. Harris, in a preliminary statement 

and School to his annual report for 1 897-98. as United 

Enrolment States Commissioner of Education, men- 

tions the increase in enrolment in private schools as 
one of the signs of the return of business prosperity. 
' ' The aggregate enrolment in the common schools 
(those supported by public taxation) " he says, " ex- 
ceeded the enrolment of previous years by the large 
sum of 390,841. The grand total in all the schools, ele- 
mentary, secondary, and higher, public and private, for 

the year was 16,687,643 This, compared 

with the aggregate for the year 1896-97, shows an in- 
crease of 432,550. The previous year (1897) there was 
evidence of large comparative decrease in the attend- 
ance on private schools, a proof that the long-continued 
business depression had taken effect to cause a transfer 
of a large number of pupils from private schools to the 
free public schools. But the year 1897-98 brings evi- 
dence of the return of business prosperity in the fact of 
a slight increase of private schools as compared with a 
deficit the year before. A little more than one-fifth of 
the entire population was enrolled in school. The total 
amount of schooling received per individual on an aver- 
age for the whole United States, on the basis of the re- 
turns for 1898, is five years of two hundred days each. 
Some states average nearly seven years' schooling for 
their inhabitants, and some states fall as low as two 
and a half years." 




1900.] CIVIC AND EDUCATIONAL NOTES 169 

The attendance at colleges and universities in- 
creased by nearly 4,000, while during 1896-97 there 
was a falling off as compared with the previous year. 



Mr. Edwards makes out a strong argu- 
Uni erstt * ment in his plea for a national university, 

published in this number. The propo- 
sition has attracted the interest and enthusiasm of nu- 
merous groups of educators and public men during the 
entire century. Probably it originated with Washing- 
ton, who left a $25,000 fund for a national university, 
but even to-day sentiment is as much divided as ever 
on the subject. It is strongly urged against it that 
many of our privately-endowed universities are devel- 
oping departments and lines of work which are more 
and more removing the need for a national university. 

Nevertheless, no university not situated in or near 
Washington can furnish the opportunities that an insti- 
tution at the national capital would have at its command. 
A national university would be chiefly for research 
rather than for instruction of pupils, and the numerous 
departments of the government, carrying on a wide 
range of scientific experiments and investigations at 
vast expense, supply opportunities nowhere else avail- 
able. As a member of an association devoted to this 
movement expressed it: " Our national university 
already exists in fact, waiting only organization and the 
coordination of all educational auxiliaries." Mr. Ed- 
wards' point that, with such an institution, the several 
thousand Americans who are pursuing scientific re- 
searches in foreign countries might find even superior 
opportunities at home, is a strong one ; but more im- 
portant than anything else is the psychological effect 
upon the whole educational atmosphere and standards 
in this country that a real national university, capable 
of keeping our own advanced scholars at home and at- 
tracting foreign scholars here, would create. 




170 GUNTON'S MAGAZINE [February, 

Educational The movement to combine and simplify 

Unification in the two systems of educational supervi- 
Ncw York s j on j n N ew York state has developed in- 

to a very lively factional contest. The real point of 
difference is simply whether, in the organization of the 
new department of education, room shall be left for 
the encroachment of party politics or whether the sys- 
tem shall remain free from political influence in ac- 
cordance with the traditions of the regents of the 
university. 

The unification commission appointed by the gov- 
ernor to consider this whole matter submitted a report 
about the middle of December. It recommended that 
a new " Department of Education " be created, to ab- 
sorb all the functions both of the present Department 
of Public Instruction and the Board of Regents. These 
two bodies have heretofore been a source of needless 
expense and no little clashing of authority, because they 
have been covering much the same field and duplicating 
all the work of inspection, examinations, etc. Under 
the commission's plan, the Board of Regents is to be- 
come the legislative body of the new Department of 
Education, and a chancellor is to be appointed at a sal- 
ary of $10,000 a year to act as the executive head of the 
department. A number of bureaus for administrative 
purposes are created, and seventy years is set as the re- 
tiring age of a regent. 

The general outlines of this plan are all right, but 
the point at issue is the manner of selecting the chan- 
cellor. He, in practical experience, will be the real ad- 
ministrator of the state's educational system. Four of 
the commissioners favor having the first chancellor ap- 
pointed by the governor, with confirmation by the sen- 
ate, for the term of eight years ; succeeding chancellors 
to be elected by the regents. The other three com- 
missioners, however, urge that it is of primary impor- 



i 9 oo.] CIVIC AND EDUCATIONAL NOTES 171 

tance to have the first chancellor elected by the regents. 
They argue that, if the first chancellor is appointed by 
the governor and the senate, that very important pre- 
rogative will never be allowed to pass into any other 
hands. In other words, if the regents do not elect the 
first chancellor they will never elect any chancellor and 
the administration of our educational system will pass 
under direct political control. It is not to be supposed 
that an unfit man would be appointed by the present 
governor; but Mr. Roosevelt is an exception, not the 
rule, in New York's gubernatorial chair. Even Gov- 
ernor Roosevelt has no free hand when senatorial con- 
firmation is required, witness the struggle to remove 
Mr. Payn and select his successor as superintendent 
of insurance. 

The legislature is to pass upon the plan. Will it 
really decide to put away this temptation of political 
control of the public schools? The legislature already 
has the power of electing the members of the Board of 
Regents. They hold office for life, and, during the 
whole 1 1 5 years of the history of the university, the 
regents have been men of the highest character and 
ability. To leave with them as heretofore the choice 
of their executive or managing officer would be the 
safest guaranty of the sort of an administration we want 
for the schools ; not to be compared, at any rate, with 
a plan which looks toward putting our educational sys- 
tem into the political grab-bag. 



THE OPEN FORUM 

This department belongs to our readers, and offers them full oppor- 
tunity to "talk back" to the editor, give information, discuss topics or 
ask questions on subjects within the field covered by GUNTON'S MAGA- 
ZINE. All communications, whether letters for publication or inquiries 
for the " Question Box," must be accompanied by the full name and ad- 
dress of the writer. This is not required for publication, if the writer 
objects, but as evidence of good faith. Anonymous correspondents are 
ignored. 

LETTERS FROM CORRESPONDENTS 



Division of School Work 

Editor GUNTON'S MAGAZINE, 

Dear Sir: I have read the article on "Better 
Division of Labor in Schools," by W. F. Edwards, in 
your October issue. There is one point which I fear is 
fatal to his scheme, and which, it seems, he has en- 
tirely overlooked. It is the matter of arranging a pro- 
gram that will accommodate such pupils as advance 
beyond their grade or fall behind. We have tried just 
such department work as is outlined in the article men- 
tioned, but find that it is only practicable when pupils 
are required to keep up with their classes, which is the 
very evil that Mr. Edwards is striking at. Three of 
our five buildings in Fresno are well arranged for 
carrying out the ideas expressed in this article, and I 
should not hesitate to give the plan a thorough test if 
the matter of arrangement of program could be ex- 
plained. C. L. McLANE, 

City Supt. Schools, Fresno, Cal. 



Relation of Cost to Price 

Editor GUNTON'S MAGAZINE, 

Dear Sir: In the course in social economics, in 
your Lecture Bulletin, Prof. Gunton's lecture on value 



172 




178 

or price is clarifying. Much that is useless and con- 
fusing in writings on economic subjects is cut away by 
his sensible and true definition and exposition. 

If it is permitted to subscribers, who cannot be 
present in person, to criticize or make queries, I 
would ask the privilege of securing further informa- 
tion by way of taking exception to his basic position 
that ' ' cost of production is the condition that really 
fixes the price." 

In times of slack demand, when the supply largely 
exceeds the demand, or, as we say, "in times of de- 
pression," cost of production does fix the price quite 
largely. It does so because the factor of demand is 
comparatively inactive, and the other factor, cost of 
production, is prominently at the front. When demand 
is light, only those producers who have developed pro- 
duction to the point of highest efficiency and lowest 
cost can keep in continuous operation without loss. 
The lowest cost of production is then the measure of 
the price possibly to a degree, as a more prominent 
factor. 

Not so when demand is active and the immediate 
supply inadequate. The cost of production is then a 
factor of little weight. I might ask, what is it that 
Prof. Gunton refers to as the cost of production ? For 
there is a vast difference between different manufac- 
turing plants producing the same articles, in respect to 
cost of production. In times of excessive demand and 
short supply, such as the present, plants of the least 
efficiency and highest productive cost are put into 
operation, plants which had been virtually abandoned 
during times of depressed demand, and yet this opera- 
tion is highly profitable above even their uneconomical 
plane. At such times the cost of production of the 
best plants and that of the poorest have no effect upon 
price whatever. The one all-absorbing factor is the 



174 GUNTON'S MAGAZINE 

scarcity of supply, the excess of demand the old law 
of supply and demand. In such seasons the low-cost 
producers pile up profits which carry them through the 
hard times, when lowest cost of production is the one 
sustaining factor acting upon prices, and when, in fact, 
even that does not sustain, but plants continue to oper- 
ate for years at prices that are actually below their cost 
of production. At both ends of the scale the influence 
of the great law of supply and demand sweeps away 
and overwhelms the factor of productive cost. Of 
course, the lessening of productive cost in the long run 
is a permanent factor in the gradually diminishing 
average of prices; but Prof. Gunton's discussion of 
price surely intends to cover the question of the vicissi- 
tudes of price as affected by all its factors. 

ROBERT HALLAM MUNSON, Bay Mills, Mich. 

[The points you raise are covered in detail in Prof. 
Gunton's supplementary lecture on value, which ap- 
peared in the Lecture Bulletin of January 6th. In this 
it is explained that by cost of production is meant the 
cost of regularly producing and furnishing the most 
expensive portion of the supply required by the market. 
Costs being different for different plants, as you say, 
all those who can produce at less expense than the 
dearest group get the difference in profits, prices being 
uniform. 

In times of great demand new sources of supply 
are sought out, and if these are more costly to work 
prices will rise; if not, the larger production may 
actually be cheaper and prices fall instead of rise. In 
either case the variations follow changes in the cost of 
production. This is clearly brought out, by the way, 
in the article in our January number on ' ' The Cost of 
Raw Materials," by H. M. Chance, the practical mining 
and engineering expert.] 



QUESTION BOX 



City Government Problems 

Editor GUNTON'S MAGAZINE, 

Dear Sir: I am a student and wish to have your 
opinion on four points regarding municipal govern- 
ment: 

First: Is home rule imperative? Second: Should 
the mayor's appointments be confirmed by a council? 
Third: Have there ever been any successful city 
governments where the mayor was not free to appoint ? 
Fourth : How may municipalities become non-partisan ? 

C. H. HOWARD, Park View, Mo. 

First : No ; home rule is not imperative, but it is 
undoubtedly true that it should be encouraged as lead- 
ing to a superior form of democratic government. 
Home rule for large municipalities, and indeed for all 
municipal governments, is preferable to state rule, be- 
cause the problems of municipal government relate 
directly and for the most part exclusively to things 
affecting the home and immediate interests of the peo- 
ple, such as sanitation, education and local public im- 
provements. Of all of this the people of the city who are 
to be directly affected by the policy and who have also 
to pay for whatever is done are the best judges. More- 
over, municipal home rule is likely to result in the 
policies being determined by healthier political 
methods. 

Second: If the administrative departments of the 
city government were purely of an executive nature the 
mayor might well be left free to make his appointments 
without interference, as is practically the case with the 
president's cabinet. But if, as in New York city, 
each of the various bureaus and departments is practi- 
cally legislative and executive all in one, making and 

175 



176 



GUNTON'S MAGAZINE 



[February, 



carrying out its own policies, then the common council 
ought to have a hand in appointing these bureaus. Per- 
haps, indeed, they should be entirely appointed by the 
council, as in English cities, and not by the mayor at 
all. The great requirement for good government is that 
whoever is charged with the executive responsibility 
should have the power to appoint the agents or heads 
of executive departments. If the mayor is to appoint at 
all, it would probably be much better to have the 
various bureaus and departments under him confined 
to purely administrative powers, leaving to the common 
council the function of legislating on the policies these 
departments shall carry out, as in the case of our 
national congress and state legislatures. That would 
stimulate the election of a higher class of men to the 
city council, put the legislative power where it really 
belongs, and make it possible to separate and fix the 
responsibility respectively for legislative and executive 
proceedings. 

Third : Yes, indeed. It is doubtful if there are 
any successful city governments where the mayor has 
been wholly free to appoint. In Europe, especially in 
England, where we are constantly being told munici- 
pal government has reached its highest point of effici- 
ency, the mayor has absolutely no appointing power 
independently of the council, and is in reality only 
chairman of the legislative branch of the city govern- 
ment, On this point our correspondent would do well 
to read Dr. Albert Shaw's book on " Municipal Govern- 
ment in Great Britain." 

Fourth : Municipalities can become non-partisan 
only by the development of a sentiment for electing 
municipal officers regardless of their party affiliations. 
This cannot be accomplished by any arbitrary decision 
or legislation. It is in reality a matter of the educa- 
tion of public opinion, and one of the steps toward 



1 900. ] Q UESTION BOX 177 

this is to advocate specific measures for municipal 
policy, instead of advocating political platforms. For 
instance, make the increase of public parks a municipal 
issue and elect those candidates for office who will sup- 
port that issue regardless of their political affiliations, 
and so on with other questions of public policy. The 
probability is that if the public in any community 
would insist upon this policy both parties would soon 
come to offer the desired measures and the reforms 
would be accomplished. Then it would not matter 
whether the administration was partisan or non- 
partisan. 



Nail Prices and Profits 

Editor GUNTON'S MAGAZINE, 

Dear Sir: I am a close reader of your magazine, 
also of the Bulletin, and admire your forceful, logical 
style. I quote you the following: "Nails in 1898, 
$1.50; in 1899, $4.35. Increase in wages 10 per cent. 
Increase in trust profits 180 per cent. Increase in cost 
to consumer 190 per cent." Will you kindly show me 
where are the benefits of the trusts provided the above 
be true? 

A. Fox, New York City. 

Unfortunately the quoted statement, probably from 
some daily paper, is highly erroneous both in its facts 
and method of deduction. The prices quoted are not 
correct ; the amount of profit cited is not correct ; the 
amount of the increase of wages is not correct, and the 
effect of the wage increase on the price is not correct. 

In January 1898 the price of wire nails (Pittsburg) 
was $1.40 and of cut nails $1.10. The monthly quota- 
tions from January 6, 1898 to January 3, 1900 show 
that at no time has the price been $4.35, nor even 
$3.35. The highest point reached for wire nails was 



178 GUN TON'S MAGAZINE [February, 

$3.20 and for cut nails $2.50, so that the price our cor- 
respondent quotes for 1899 is nearly one-third higher 
than the highest point ever touched. 

In the second place, the citation of 10 per cent, in- 
crease in wages is incorrect, as during the first nine 
months of 1899 wages in the bulk of the iron industry 
were increased at least 25 per cent. 

Third : our correspondent's method of ascertaining 
the effect of an increase of wages on the price is entire- 
ly erroneous. A 10 per cent, increase in wages does 
not, as this authority assumes, necessarily make a 10 
per cent, increase in prices. On the contrary, a 10 per 
cent, increase in wages might not make i per cent, in- 
crease in cost and almost never would make a 10 per 
cent, increase. That would depend entirely upon the 
character of the process employed, whether it was 
largely hand or machine labor to which the wage in- 
crease applied. If it was a product in which the cost 
was mainly labor, then the effect on price would be 
great. If, on the other hand, it was in a process in 
which the wages were a small item, then the effect on 
the cost would be very slight. It also would depend 
upon whether the 10 per cent, increase was simply for 
the nail-makers or for all the workers in the previous 
processes of iron production. But in no case can the 
effect of an increase or reduction of wages be assumed 
to represent the same percentage of change in the cost 
of the product that it does in the wage rate. In the 
case under discussion the wage item happens to be an 
important one and a good proportion of the 25 per cent, 
increase can be regarded as literal addition to the cost 
of the finished product. Furthermore, wages have 
risen in all the preceding processes of the iron industry, 
from the very mines, thus increasing the cost all along 
the line. 

Fourth : it is equally erroneous to assume that the 




i 9 oo. J Q UESTION BOX 179 

, 

increase in the market price, less a specific increase in 
wages, all goes to profits. This is a handy way of 
plausibly misrepresenting the facts. It entirely ignores 
all the facts connected with raw materials, machinery, 
marketing, transportation, and in fact everything con- 
nected with the entire process except a specific item of 
wages in the finished product. Now, it is notorious that 
everything connected with the iron industry preceding: 
the finished product has enormously increased in cost. 
For instance, during the period named refined bar iron 
has risen from $1.05 to $2.20 per ton, or no per cent. ; 
common bar iron has risen from 95 cents to $2.15, or 
126 per cent; Bessemer pig has risen from $10.00 to 
$24.90 per ton, nearly 150 per cent., while the price of 
wire nails has risen only 128 per cent, and the price of 
cut nails 127 per cent. If we could follow the history 
of the price of bar and pig iron we should undoubtedly 
find that the rise was the result of increased cost of pro- 
duction, due largely to the increased wages at all points 
and other expenses connected with the opening of new 
mines and working of less prolific mines and the extra 
efforts to supply the exceptional demand for iron. In- 
stead, therefore, of representing 180 percent, increased 
profit, the advanced price is nearly all represented in 
the increased cost of raw material and the rise of 
wages, which distributes prosperity along the whole 
line of the industry. 

Of course this rush of prosperity, where the de- 
mand for iron in all its forms is such that the produc- 
tive capacity of the industry is strained to the uttermost 
to furnish the supply, is yielding some increased profits. 
But, we repeat, Mr. Fox's quoted statement is wrong 
in every particular. It overstates the rise in prices by 
about one-third ; it understates the rise in wages by 
more than one-half ; and then, by a false method of 
deduction, reaches a result abvsurdly incorrect. 




BOOK REVIEWS 

THE LIFE OF NELSON : THE EMBODIMENT OF THB 
SEA POWER OF GREAT BRITAIN. By Captain A. T. 
Mahan, D. C. L., LL.D., United States Navy. Second 
Editon, Revised. Cloth, 742 pages, with maps and illus- 
'.jations. $3,00. Little, Brown & C., Boston. 

The first edition of this masterly work called out 
such voluminous comment that to review it again at 
this date would be superfluous. The revisions and one- 
volume form of publication of the present edition, how- 
ever, merit special attention. The revisions are chiefly 
for the purpose of strengthening the account in certain 
points where its accuracy had been called in question. 
For example, Captain Mahan's statement of Nelson's 
attitude towards the republicans in Naples in 1799, and 
also the estimate of the famous admiral's affection for 
his wife, were both challenged after the appearance of 
the first edition; and in the revision, therefore, the 
author has included a considerable amount of new mat- 
ter supporting his original position, especially on the 
Naples case. 

The "Life of Nelson,'' together with the two pre- 
vious works, "The Influence of Sea Power Upon His- 
tory'' and "The Influence of Sea Power Upon the 
French Revolution and Empire," compose a body of 
historical literature that stands really in a field by itself. 
No one else has written so exhaustively, and with such 
universally conceded qualifications, on this distinct ele- 
ment in the rise and fall of the political power of na- 
tions and empires. With reference to the latest of the 
three works, English reviewers enthusiastically declared 
that it had remained for an American to give the best 
record and interpretation of Nelson as the great consum- 
mator of England's naval supremacy, This is quite 

180 



BOOK RE VIE WS 181 

natural, inasmuch as Captain Mahan's attitude toward 
his subject throughout is one of almost unqualified admi- 
ration. Not only does he give us in Nelson a hero of 
the first order, but at times becomes almost an apolo- 
gist for notorious faults ; at least, if he does not actually 
condone, he dwells as lightly as possible on the pain- 
ful features of Nelson's career. 

This disposition does not reach the point of seriously 
marring the accuracy and good judgment of the deline- 
ation, however. It is the natural admiration of the 
sailor for a genius who made sea warfare illustrious 
and a vital element in the supremacy of nations. 



VALUE AND DISTRIBUTION. By Charles William 
Macfarlane, Ph. D. Lippincott & Company, Philadel- 
phia. Octavo, 317 pp. Cloth, $2.50. 

The theory of value and economic distribution has 
undergone a great deal of criticism during the last 
twenty years. Some effort has been made toward de- 
veloping a new theory and to establish a ' new school." 
Much of this latter-day discussion has been conducted 
by continental, chiefly German, economists. This 
school represents the effort to develop a theory of value 
and distribution based upon the idea of " marginal 
utility." 

Briefly, this idea, which found expression in Eng- 
land by Professor Jevons (1871), is that the value of 
commodities is finally determined not by what it costs 
to produce them or reproduce them, nor by the mere 
quantity available, but by their final utility, or what 
they are worth to the persons that have the least use for 
them ; final utility meaning less utility.* This seemed 
a sufficiently marked departure from the wages-fund, 
supply and demand, idea of the Manchester school to be 

* See Gunton's " Principles of Social Economics," Chapter II. of 
Part III. 




182 GUN TON'S MAGAZINE [February, 

taken up by continental writers, particularly German, 
who always evinced a fondness for dissenting Ijrom 
English economists. 

During the next fifteen years several'able works on 
the subject appeared, by German and Austrian writers, 
culminating with the " Positive Theory of Capital" 
by Bohm-Bawerk, in 1888, which was published in 
English in 1891. The theory formulated by this group 
of writers is called the Austrian-school theory, mainly 
perhaps because Dr. Bohm-Bawerk is an Austrian. These 
theories found cordial reception in this country, espe- 
cially by the younger economists, as the to-be-accepted 
doctrine. For a few years the economic journals were 
full of controversy, largely critical commendation, of 
the Austrian theory. Under this extensive though 
mainly sympathetic criticism the claims of the new 
school lost some of their first attractiveness, and are 
rapidly passing into the domain of tentative if not 
doubtful doctrine. 

In the present work Dr. Macfarlane has undertaken 
a critical review of the subject of value with special 
reference to the tenets of the Austrian theory, with 
which he is evidently thoroughly familiar. 

If economic science has any claim to public con- 
sideration, it is on the ground that it furnishes a basis 
for directing industrial and political policy for the pro- 
motion of public welfare. Public welfare is best pro- 
moted by the increased production and equitable distri- 
bution of wealth. 

With the exception of charity and theft, distribu- 
tion can only take place concurrently with production 
and as a part of it. The normal and wholesome chan- 
nels through which this economic product flows to the 
community, then, are wages (including salaries), rent, 
interest and profits. The function of economic science 
is to explain the nature and character of the laws and 






i goo. ] BOOK RE VIE WS 183 

forces which govern the distribution of wealth through 
these various channels. 

The first proposition, therefore, that presents itself 
is value, which is another name for price, because the 
buying and selling of which price is the medium consti- 
tutes the whole process of exchange. Labor is bought 
and sold for wages. To the extent that economics can 
make clear the causes that determine wages, it fur- 
nishes the basis for social as well as individual action 
toward the wage class. Not to know how wages are 
determined is not to know how to secure to the labor- 
ers the share of the product that equitably belongs to 
them. The same is true in reference to rent, interest 
and profits. Only to the extent that economic science 
contributes to solve these questions is it a useful study. 

The chief criticism of the Austrian school is that it 
is largely devoted to dissertations about terms which for 
the most part render the subject less clear to the ordi- 
nary mind, and hence less useful in practical action. 
Much time and space has been devoted by the writers of 
the new school to urging that every form of surplus 
income be called rent ; as, rent of land, rent of capital, 
rent of labor, consumer's rent, purchaser's rent, and so 
on. The same with regard to value. Instead of en- 
deavoring to simplify the accepted and traditional 
words, and so aid the common understanding to a clear- 
er knowledge of the subject, the tendency has been to 
encircle the topic in a fog of new terms, so that econo- 
mists even cannot understand each other without first 
explaining their own terms. 

This objection holds with great force against the 
present work. To establish hairlines of distinction 
without any real difference of meaning is one of the 
chief efforts of Dr. Macfarlane's book. By this method 
he discovers and declares with great assurance that 
every theory is a failure. The difficulty here seems to 






184 



GUNTON'S MAGAZINE 



[February, 



be more with the critic than with the theories criticized. 
He deals with economic theories as if they related to 
exact quantities, whereas they can at most only relate 
to economic and social tendencies. 

For instance, we assume that a certain result will 
occur under absolutely free competition. But absolutely 
free competition never exists. There is always more 
or less clogging to the freedom with which competition 
acts. Ignorance is a very common obstruction, timidity 
another. The facilities of transportation and a multi- 
tude of other things interrupt that absolute freedom of 
competition. The most that ever happens anywhere 
in society is a tendency towards an equlibrium, as water 
seeks its level but seldom finds it. Thus, in discussing 
cost as an element in price, he says that in the case of 
freely producible goods, price is directly and exactly 
measured by the marginal cost of production. Yet 
this statement is not true. There is probably not a 
single product in which the price is directly and ex- 
actly measured by the marginal cost of production. 
The theory of marginal cost should not be thus stated. 
There is no set of goods of which it can be said that 
either the cost or any other one condition directly and 
exactly measures the price. But what can be said with 
as much truth as of any great force in nature or society 
is that, in the absence of arbitrary obstruction, the price 
of goods that can be continuously produced tends to 
equal the cost of production at the margin or the point 
of greatest expensiveness. 

Of course it is true that competition is a necessary 
element in this, just as the freedom to flow is a neces- 
sary condition of water finding its level. Water will 
not find its level if a portion of it is surrounded by a 
bank. Neither will prices reach uniformity on the 
basis of cost, either at the margin or any other point, 
unless there can be unobstructed mobility of the prod- 



igoo.J BOOK REVIEWS 185 

nets within the competing market. And this tendency 
to adjust the price to the cost will be in proportion to 
the effectiveness of the competition. 

Now, it is for that reason that prices of the same 
things are not uniform in different markets. This 
movement of prices is always limited to the area in 
which the competition to a given point takes place. In 
the labor market it may be very local, as is the case of 
New York city ; and likewise the market for strawber- 
ries and other perishable goods. Some products have a 
local market, some a national market, and some, like 
gold, silver, wheat and other world products, an inter- 
national market. Although it is not literally true that 
the price is exactly measured by the marginal cost of 
production, this does not invalidate the doctrine of 
marginal cost. The important question in this connec- 
tion seems to be, does marginal cost exercise the pre- 
dominating influence in propelling prices toward uni- 
formity identical with the cost of production of the 
marginal or dearest portion within a given market? If 
that be true of all freely reproducible goods, then that 
is the great trunk force in governing prices. 

In saying, then, that under free competition prices 
of freely reproducible goods tend to equal the cost of 
furnishing the dearest portion, we state the law gov- 
erning the continuous tendency of prices. If we re- 
move competition we have removed an element from 
the operation of this law, and it will work less perfect- 
ly. If we take goods that cannot be reproduced we 
have also introduced an element of obstruction. But 
here Dr. Macfarlane is quite clear. He says, it is not 
the cost of the scarcity good (meaning the one that can- 
not be freely reproduced) but it is the cost of the next 
best substitute that enters into this determination, for 
there is no good so rare or so valuable that some less 
efficient substitute cannot be found to replace it. That 






186 GUN TON'S MAGAZINE [February, 

is eminently correct. So that, the general statement 
of the doctrine of cost holds true, that the price under 
competition tends to equal the cost of furnishing the 
dearest portion of the supply. If the particular article 
cannot be supplied, then the price will gravitate toward 
the cost of producing the substitute coming nearest to 
supplying the same want. 

Now there is nothing inconsistent in this with the 
original statement that cost is the governing element 
in price, because the world is always dealing in repro- 
ducible goods or substitutes for reproducible goods. If 
there was a danger that wheat would disappear science 
would be seeking a substitute for it, and the same 
principle would govern price. If coal should become 
scarce and electricity be the substitute, the price of fuel 
would be determined by the cost of supplying the coal 
which is difficult to obtain, or else the substitute which 
fills the same function. Clearly, however far we fol- 
low the variations of this, the same principle obtains. 
If a thing is so scarce that it cannot be either repro- 
duced or a substitute furnished, it will be abandoned 
and the want may disappear. But, for the things that 
mankind demand and use, this law fixing the price at 
the cost of the dearest portion of the thing actually 
used, whether it be the original or the substitute, flows 
through all marketable products. 

At bottom, then, the important fact in prices is the 
cost, and the importance of public policy is to encour- 
age conditions which will economically lower the cost. 
That is the great social result upon which public wel- 
fare rests so far as prices are concerned. In other 
words, then, cost is the element that furnishes the pos- 
sibility of cheapness of wealth. Competition is the ele- 
ment that distributes the margin above the cost of the 
dearest to the public in lower prices. To clarify this 
law and aid in making its operation more perfect is the 
true function of economics. 



i 9 oo.] BOOK REVIEWS 187 

Now this same principle obtains in regard to the 
price of labor, and in substantially the same way. The 
only difference is that the larger distribution of wealth 
among the laborers depends upon the price of labor 
rising, instead of falling as in the case of the price of 
commodities. But, just the same as it is fundamentally 
true that no permanent lowering of prices and cheapening 
of wealth can come to the community except by the dimi- 
nution of the cost of production of the dearest portion, 
so it is true that no permanent rise in wages can come 
without multiplying the needs, which means raising 
the social standard of life, among the laborers who con- 
stitute the dearest portion of the labor supply in any 
given market. All the hair-splitting variations from 
this are but perturbations in the tendency, and the 
more they are emphasized the more they befog the 
subject. The river channel is the main conduit for the 
flow of a stream of water. If rushes grow up along the 
side and dirt is thrown into the stream, the freedom of 
the flow may be interfered with. But the real way to 
aid the natural flow which gravitation implies is to re- 
move the rushes and keep out the dirt, not set up a new 
theory about rushes and the accumulation of debris. 
These are perturbations to be minimized by science and 
society, and this can be most effectively done by most 
clearly recognizing the unmistakable flow of the main 
current. 

The question of a surplus going to labor is ex- 
plained by this same principle. Laborers whose 
standard of living, or customary expense, for what- 
ever reason, is less than the dearest in their group, 
have a surplus that is, they may save money. They 
have what is equivalent to profits with the capitalist. 
But that is an increment which comes of this same 
general movement. Rent comes to land on exactly 
the same condition that profits come to capital ; namely, 



188 GUNTON'S MAGAZINE [February, 

that it yields more than the dearest. It may be true 
that under some state of society the poorest land that 
is used, for whatever purpose, will command a rent. 
This rent becomes a part of the cost of produc- 
tion, and therefore enters into the price. But all above 
that goes to a form of profit, which may be distributed 
to the landlord without being added to the price. 
Just the same with manufactures. If in any group 
of products the demand is such that the dearest por- 
tion can command a price a little above the cost, to 
that extent, be it what it may, profit is added to the 
price of the whole supply, but all profit above that is 
not added. Whether or not it be literally true, either 
in agriculture, manufacture or whatsoever, that the 
dearest portion is finally forced down to be entirely 
profitless, the general law remains true that all the 
forces tend to that point, and, if the profit is not entire- 
ly annihilated at the dearest point, it is unquestionably 
reduced to the minimum. Granting that it is not al- 
ways annihilated, the same law of prices remains ; and 
there is no reason either for new nomenclature or a new- 
theory. Competition will distribute the profits down 
to the point of either no-profit cost or minimum cost, 
which is for all the purposes of practical life the same 
thing. 

In this book Dr. Macfarlane has made a contribu- 
tion at least to the extent of showing that there are a 
great many defects in the Austrian theory, and that the 
great and strongest fact in the law of prices, which is 
the law of distribution, is the cost of producing the 
dearest portion of reproducible goods. The fact that 
there may be in some cases a surplus, or even a profit, 
on the dearest portion, and that this profit enters into 
the price, while the profit on the other portion does 
not, in no way militates against the doctrine that the 
tendency is to fix the price at the cost of the dearest 



i9oo.] BOOK REVIEWS 189 

portion, which is another way of saying that the ten- 
dency is to reduce profits to the minimum, and conse- 
quently, if competition is efficient, to give the maximum 
distribution of profits to the public. 



NEW BOOKS OF INTEREST 

HISTORICAL AND BIOGRAPHICAL 

Memoirs of a Revolutionist. By P. Kropotkin, author 
of "Fields, Factories and Workshops." With three 
photogravure portraits. Crown, 8vo, gilt tops, 519 
pp. $2.00. Houghton, Mifflin & Co., Boston and New 
York. This is the autobiography of the famous Rus- 
sian nobleman and revolutionist, embodying extended 
comments on the history of his times. 

The United Kingdom; a Political History. By Gold- 
win Smith, D.C.L. 2 vols. Crown, 8vo. The Mac- 
millan Co., New York and London, This is a political 
history of Great Britain and Ireland from the earliest 
times down to the Reform Bill of 1832. 

Roman Society in the Last Century of the Western Em- 
pire. By Samuel Dill, Professor of Greek in Queen's 
College, Belfast. Cloth, 8vo. The Macmillan Co., 
New York and London. This is a new and cheap edi- 
tion of Professor Dill's description and analysis of social 
and intellectual life at a highly significant period of the 
world's history. 

Abraham Lincoln. The Man of the People. By Nor- 
man Hapgood. Cloth, 432 pp. $2.00. The Macmil- 
lan Co., New York and London, This book, in the 
words of the author, "is not a history of the Civil War. 
It is not an argument about emancipation or recon- 
struction. It is solely the personal history of Abraham 
Lincoln as it appears to one of his countrymen." It 
will be reviewed in our pages at a later date. 



190 G UNTON'S MA GAZINE 

FICTION, POETRY AND ESSAYS 

Complete Works of Oliver Wendell Holmes. 14 vols. 
Crown, 8vo. Full-gilt backs. Sold only in sets. 
$21.00. Houghton, Mifflin & C., Boston and New 
York. 

Works of Nathaniel Hawthorne. Concord Edition. 
25 vols. Small i6mo; with full-gilt backs. Sold only 
insets. $25.00; finer edition, $62.50. Houghton, 
Mifflin & Co., Boston and New York. 

Complete Works of James Russell Lowell. 1 1 vols. 
Crown, 8vo. Bound in new style, full-gilt backs. Sold 
only in sets. $16.50. Houghton, Mifflin & Co., Bos- 
ton and New York. 

ECONOMIC, SOCIOLOGICAL AND POLITICAL 

A Dividend to Labor: A Study of Employers Welfare 
Institutions. By Nicholas P. Oilman. Crown, 8vo. 
$1.75. Houghton, Mifflin & Co., Boston and New 
York. In a sense this may be considered a sequel to 
Professor Oilman's work on " Profit Sharing between 
Employer and Employee." In the present volume he 
collects a large volume of data showing the operation 
of profit-sharing institutions. 

Rural Wealth and Welfare. By George T. Fair- 
child, Vice-President and Professor of English Litera- 
ture, Berea College. Cloth, i6mo. The Macmillan 
Co., New York and London. This is a work on political 
economy, discussing the general principles of the sub- 
ject with special application to rural conditions and 
problems. 

Better- World Philosophy; A Sociological Synthesis. By 
J. Howard Moore. Cloth, 275 pp. $1.00. The Ward 
Waugh Company, Chicago. The table of contents indi- 
cates the author's effort to discuss the general economic 
and social situation in rather profound fashion. For 
the present we reserve comment. 




FROM JANUARY MAGAZINES 

' ' His [the agitator's] business is to make others 
demand good administration. He must never reap, 
but always sow. Let him leave the reaping to others. 
Such men as Wendell Phillips were not extravagant. 
They were practical men. Their business was to get 
heard. They used vitriol, but they were dealing with 
the hide of the rhinoceros." -JOHN JAY CHAPMAN, in 
' ' Between Elections ; " The Atlantic Monthly. 

" No one understands his value in the labor world 
better than the old colored man. Recently, when a 
convention was held in the South by the white people 
for the purpose of inducing white settlers from the 
North and West to settle in the South, one of these 
colored men said to the president of the convention : 
' Fore de Lord, boss, we's got as many white people 
down here now as we niggers can support.' " BOOKER 
T. WASHINGTON, in " Signs of Progress Among the 
Negroes;" The Century. 

' ' A very large share of the rancor of political and 
social strife arises either from sheer misunderstanding 
by one section, or by one class, of another, or else from 
the fact that the two sections, or two classes, are so cut 
off from each other that neither appreciates the other's 
passions, prejudices, and, indeed, point of view, while 
they are both entirely ignorant of their community of 
feeling as regards the essentials of manhood and hu- 
manity." -HoN. THEODORE ROOSEVELT, in "Fellow- 
Feeling as a Political Factor;" The Century. 

" No one knew better than did Mr. Gladstone the 
dangers that lurk in a charming, informal gathering of 
politicians and great ladies. Certain of his political 
friends were always welcome at Hawarden, but no at- 
tempt was ever made to bring together even a small 

191 



192 G UNTON '5 MA GA ZINE 

political party, and although no man in the world could 
have been the centre of a more delightful intellectual 
and political set, he ever refused to play the rdle which 
nature had assigned to him, and when his supporters 
were bidden to Hawarden they came as personal friends 
of his own and Mrs. Gladstone's, and business was ut- 
terly taboo." IGNOTA, in "English Political House 
Parties ; ' ' Lippincott's. 

"In China a dollar will purchase fifteen hundred 
pieces of cash composed of copper and zinc. These 
cash, with a hole in the centre and strung on a cord, 
weigh seven pounds. A servant or common laborer in 
Peking is glad to give ten days of labor, and a carpenter 
or mason six days, to secure this amount of cash. This 
money would give a comfortable support to an average 
family. Three dollars a month, or thirty-six dollars a 
year, would cover the living income of a Chinese fam- 
ily of the working class." -D. Z. SHEFFIELD, in "The 
Future of the Chinese People;'' The Atlantic Monthly. 

"As a matter of fact, half of the men are not so 
terrifically busy and important as they consider them- 
selves. They seem to be in a great hurry, but they do 
not move very fast, as all know who try to take the 
walk up-town at a brisk pace, and most of them wear 
that intent, troubled expression of countenance simply 
from imitation of a habit generated by the spirit of the 
place. But it gives a quaking sensation to the poor 
young man from the country who has been walking the 
streets for weeks looking for a job; and it makes the 
visiting foreigner take out his note-book and write a 
stereotyped phrase or two about Americans next to 
his note about our * Quick Lunch ' signs, which never 
fail to astonish him, and behind which may be seen 
lunchers lingering for the space of two cigars." JESSB 
LYNCH WILLIAMS, in "The Walk Up-Town in New 
York;" Scribngrs. 




HON. CARROLL D. WRIGHT 
United States Commissioner of Labor. 




See page 209 




GUNTON'S MAGAZINE 



REVIEW OF THE MONTH 



At last the British campaign in South 
Cimberley Africa is becoming respectable. Without 

any advertising, indeed, without anybody 
being able to learn anything about it, it is clear now 
that ever since Lords Roberts and Kitchener landed in 
South Africa preparations and organization have been 
proceeding on a vast scale. Division after division of 
troops has been landed at the Cape, and seemingly 
disappeared from sight. It now develops that they 
were being massed below the Modder River as a part of 
a general scheme of operations intended both to relieve 
Kimberley and to make a sudden and well-supported 
invasion of the Orange Free State. Lord Roberts 
arrived at the Modder River on February Qth and per- 
sonally took charge of the campaign in that quarter. 
The first move was to withdraw General French's cav- 
alry force from the vicinity of Colesburg and Rensburg 
in northern Cape Colony, to make a forced march 
straight for Kimberley while the main body of the 
British army was drawing off the Boer forces from 
around Kimberley by a sudden movement eastward. 
After General French retired from Colesburg the Boers 
naturally tried to take advantage of the sudden weak- 
ening in that quarter. After two days hard fighting 

193 






194 GUNTON'S MAGAZINE [March, 

they succeeded in gaining several advantages, of minor 
importance compared with the strategical success of 
Lord Roberts' general movement farther north. Gen- 
eral French carried out his part of the movement like 
clockwork, leading three brigades of cavalry, horse 
artillery and mounted infantry with extraordinary 
rapidity in the face of blinding dust storms and great 
heat, crossing the Modder River a little to the east- 
ward of Lord Methuen's old position, passing around 
the Boer lines and reaching Kimberley on the evening 
of February i$th. 

L^ The main body;of General Cronje's army, 

Roberts' drawn off by the invasion of the Orange 

Campaign Free State, and threatened in the rear, 

raised the seige of Kimberley and at present is in full 
retreat toward Bloemfontein. With about ten thou- 
sand men, he is being pursued by fully forty thousand 
English; the sixth division, under General Kelly- 
Kenny, in the lead. General Kitchener is with this 
division, while Lord Roberts is east of Jacobsdal, well 
within the Orange Free State. Jacobsdal until a few 
days ago was a stronghold of Cronje's army. 

The main advantage in the relief of Kimberley 
just now is the psychological effect, although they had 
been forced to put the women and children into the 
mines for safety, and were living on horseflesh. Gen- 
eral French left Kimberley within a day or two and 
joined in pursuit of the Boers. Nobody knows whether 
it is Lord Roberts' intention to strike for Bloemfontein 
or to hold General Cronje in check and send part of his 
army straight for Pretoria. Were it not for the confi- 
dence the outside world feels in the military ability of 
Lords Roberts and Kitchener, a sudden reverse blow on 
Cronje's part would be no surprise. As it .is, the con- 



. J REVIEW OF THE MONTH 195 

dition now, both as to size of forces and lay of the land, 
are greatly in favor of the British. 

It is gratifying to note that Lord Roberts is con- 
ducting his campaign according to the highest stand- 
ards of civilized warfare, if the word can be applied to 
warfare at all. His order prohibiting looting is thorough- 
going to the point of rigidity. " In all cases " it reads, 
' ' where supplies of any kind are required, these must 
be paid for on delivery, and a receipt for the amount 
taken. Officers will be held responsible for the observ- 
ance of the rule that soldiers are never allowed to enter 
private houses or to molest the inhabitants on any pre- 
text whatever, and every precaution must be taken to 
prevent looting or petty robbery by persons connected 
with the army." 

General Bullet's The contrast between operations in the 
Ineffective West and those in Natal reveal a very 

different order of generalship, even 
though General Buller may be facing the more difficult 
situation. Three or four efforts have been made to re- 
lieve Ladysmith, and each time the British have been 
forced to recross the Tugela River with heavy losses. 
The first crossing was made on January i6th. Two or 
three days' fighting succeeded, and General Warren 
finally managed to get as far toward Ladysmith as Acton 
Homes. To maintain this line of advance it became 
necessary to storm a certain mountain near the Tugela, 
Spion Kop, which was done on the night of January 
23d. It was a difficult position, and its capture was 
hailed as the probable turning point in the Natal cam- 
paign. But this proved a vain delusion. Spion Kop 
was within range of Boer artillery from several points, 
besides being destitute of water supply : it was held 
one day and abandoned. Not only this, but the whole 
British army had to recross the river and abandon the 



196 GUNTON'S MAGAZINE [March, 

relief of Ladystnith for the time being. Nothing was 
gained and more than seven hundred men were lost, 
including one of the principal officers, General Wood- 
gate. 

Another advance was attempted on February 5th. 
The Tugela was crossed at two fords. One division 
advanced as far as Vaal Krantz on the direct road to 
Ladysmith, held it a day or two, and was obliged to 
retire. The Boers seem to have fortified every availa- 
ble rise of ground in the whole region between the 
Tugela River and Ladysmith, making it a dubious 
proposition to conduct a campaign that was dependent 
on storming one of these positions at a time while the 
others remained in possession of the enemy. The 
Boers have been able to turn their guns on isolated posi- 
tions as fast as captured, as in the case of Spion Kop 
and Vaal Krantz. 

As we go to press General Buller has just taken 
two very important points, the hill Hlangwane, south 
of the Tugela, and the town Colenso, only twelve 
miles from Ladysmith and commanding the railroad. 
Unless General Joubert remains in full force along the 
Tugela, the British may at last be able to force a pass- 
age to Ladysmith, and in fact the success of these last 
movements does indicate that the Boers are retiring to 
intercept Lord Roberts in the West. The losses of the 
war already, on the British side, have amounted to 
nearly ten thousand men, which is more than our en- 
tire losses in the Spanish and Philippine wars from all 
causes. 

Of course, the South African situation has 

Parliament i j . , 

and the War monopolized attention in parliament, which 

reconvened on January 3oth. The Queen's 

speech expressed full confidence that her sub-jects would 

spare no exertion "until they have brought this 




igoo.J REVIEW OF THE MONTH 197 

struggle for the maintenance of the Empire and the 
assertion of its supremacy in South Africa to a victo- 
rious conclusion." Attacks on the government began 
at once. The Earl of Kimberley severely criticized 
the lack of preparation, and especially the failure to 
prevent importations of arms into the Transvaal during 
the last dozen years and more. Lord Salisbury declared 
in reply that there was nothing in the conventions 
between the two countries to prevent importation of 
arms and ammunition into the Transvaal through 
Portuguese territory : ' * Why were we to know about the 
importation of arms ? I believe guns were introduced 
into the Transvaal in boilers, and munitions of war in 
piano cases. We had a small secret-service fund. If 
you want much information you must give much 
money. Consider the enormous amounts spent by 
other governments, especially the Transvaal, which I 
have heard on high diplomatic authority spent 800,000 
in a single year, and the small sums spent by England, 
making it impossible for us to have the omniscience 
attributed to us by Lord Kimberley." Further defend- 
ing the conduct of the war, he compared it with the 
American situation at the outbreak of the civil war, as 
an illustration of ' ' how easy it would be to draw a 
mistaken inference from the reverses we have met at 
the outset." 

But Lord Rosebery considered this sort of defence 
altogether too general. The Empire was entitled to 
know what was being done with the enormous means 
of defence voted to the government, with no results 
but defeat. There was not even "a hint from the 
government of the military measures it proposes taking 
to face the disasters we have met and the sacrifices we 
have made." The Marquis of Lansdowne, Secretary 
of State for War, promised a statement in the early 
future, and frankly admitted that the Boers "have 



198 GUNTON'S MAGAZINE [March, 

shown an amount of resource, mobility and tenacity 
upon which the government did not calculate." 

Thc The opposition was in the difficult and 

Government ineffective position that an opposition 

Sustained party always is in during a foreign war. 

The vote on the Queen's speech abundantly proved this. 
A proposed amendment to the address, expressing ' ' re- 
gret at the want of foresight and judgment displayed 
by Her Majesty's advisers, as shown alike in their con- 
duct of African affairs since 1895 and in their prepar- 
ation for the war now proceeding," was rejected after 
a week's debate by a vote of 352 to 139. This reveals 
a much stronger support for the government than it 
could by any means count upon for any strictly party 
measure. Right in this line, one of the most remark- 
able features of the debate was the speech of H. H. 
Asquith. Mr. Asquith was Home Secretary in Lord 
Rosebery's cabinet. He comes out now in defence of 
the government, declaring that if he believed Mr. 
Chamberlain's negotiations prior to the war had been a 
mere cloak to overthrow the independence of the 
Transvaal he would not vote a penny for the prosecu- 
tion of the war, but that such was not his opinion, nor 
that of the House of Commons, nor of the great 
majority of the country. The country was united, and 
nothing had happened to justify the " croakings of 
pessimism or fits of panic." 

Sensational journalism and superficial 
American public sentiment generally go with the 

Opinion 

winning party, if no personal interest is 
at stake. It is no cause for self-congratulation to see 
how marked this tendency has been in this country 
in the last few months. With every fresh re- 
verse of the British arms the real point of the con- 
flict seems to sink farther out of sight, until the domi- 




1 9 oo.J REVIEW OF THE MONTH 199 

nant note in public discussion becomes a sort of con- 
tinuous gloating over the " downfall of the oppressor." 
Senator Hale voiced this feeling in a violent speech in 
the senate on January igth. "I do not fail to take 
notice," he exclaimed, " that throughout the length and 
breadth of the land the sympathies of the great Ameri- 
can people are in favor of the struggle which the Boers 
are making to-day to preserve a republican government 
against one of the greatest Powers of the world. I do 
not doubt that the American people agree with me that 
the war which Great Britain is waging is the most fell 
blow at human liberty that has been struck in the last 
century." 

The senator was hardly authorized to speak for the 
great substratum of American opinion which does not 
boil over in the newspapers or in frantic mass meetings. 
Still, there is no mistaking the bitterness of the pro- 
Boer sentiment wherever manifested. For example, a 
very large mass meeting held in New York city on 
January 2Qth was as violent in its an ti- English demon- 
strations as a meeting of the Ancient Order of Hiber- 
nians might be under a lecture on Oliver Cromwell. 
One of the principal speakers, Congressman Cochran 
of Missouri, roused a whirlwind of applause by shout- 
ing that he ' ' prayed God that the Boers would carry on 
the war long enough to raise the price of crape in Lon- 
don." 

So atrocious a sentiment represents nothing Ameri- 
can, and nothing typical of the solid background of 
American opinion. The discouraging and humiliating 
thing is that this is what goes forth as American senti- 
ment ; and that, too, in less than three years after our 
own national crisis, when the press and public opinion 
of England constituted the one voice raised anywhere 
in the world in defense of our war with Spain. We now 
show our appreciation and gratitude by the sort of 



200 GUNTON'S MAGAZINE [March, 

virulence that Senator Hale, Congressman Cochran, the 
sensational journals and cheap politicians everywhere 
are putting forth and claiming to be representative of 
American opinion. It is the more astonishing and dis- 
couraging when we remember that the cause England is 
now defending is precisely the principle for which the 
thirteen colonies fought in 1776, no taxation without 
representation. The oppressing power then was Eng- 
land itself, to-day it is a small nation carrying the name 
but none of the spirit of a republic ; but size does not 
alter the essential merits of the case. 

Nobody has better summed up the real 

Testimony * st ^ ^^ e South African situation than 

Mr. John Hays Hammond, an American 
(note, not English) mining engineer, who spoke by in- 
vitation in Plymouth Church, Brooklyn, on the evening 
of January 2 5th. This is testimony that rests upon per- 
sonal knowledge: 

" Two-thirds of the Transvaal population were Outlanders. We went 
thither by express invitation ; our capital and enterprise developed what 
in Boer hands was a worthless territory into the greatest mining center 
of the world ; the country, now rich, was bankrupt before our arrival ; 
we owned more than half the land, having purchased it from the Boers; 
we paid nine-tenths of the taxes, much of which amount was admitted 
by the Boer Commission to be class taxation, and yet we had to submit 
to unlawful expenditure of the bulk of taxation, as we had no voice in 
the Government. 

"We objected to the subversion of the High Court of Justice, the 
jury system, the Aliens' Expulsion act, the prohibition of free speech, 
the Johannesburg police force, the Public Meetings act. the unsanitary 
condition of Johannesburg ; to being taxed to maintain schools in which 
Dutch was exclusively taught; to the Boers being exclusively allowed to 
carry firearms; to the maladministration of laws as to native labor; to 
the maladministration of the liquor law ; to the prevalent official corrup- 
tion and to the granting of concessions giving monopolies for the sale of 
supplies indispensable to the Outlanders. 

" In view of these facts, it is nothing less than disingenuous to 
affect a sympathy for a republic which, as you must admit, is one in 
name only. " 





REVIEW OF THE MONTH 201 

A highly interesting incident, in passing, 

Count Tolstoy's . J . . J ~ 

Queer Comment 1S the astonishing comment of Count 

Tolstoy, bearing on the duty of the Trans- 
vaal. The aged Russian philosopher is the one man 
living who stands most unequivocally for the doctrine 
of absolute non-resistance. Wherever force is applied 
to establish or perpetuate a wrong, he would have the 
victim yield rather than make two wrongs by using 
force to resist. This might be called the keynote of 
his social and moral philosophy. What are we to think, 
then, of his championing the Boer cause in an inter- 
view published in a Russian paper, and saying: 
"I hope daily to hear of a fresh British re- 
verse." Now, of course, the count may be- 
lieve with the utmost fervor that England is pursuing 
the tyrant's part, but what of it? Ought he not to be 
advising the Boers to lay down their arms and, as it 
were, "turn the other cheek?" Or, has he a differ- 
ent ethical standard for nations from that he would 
apply to individuals? Or is it because, now and then, 
he is betrayed in spite of himself into realizing the truth 
that, without resistance to evil and tyranny, justice 
would die and the race promptly relapse into barbarism 
and thence into savagery? That sort of resistance is 
indeed essential to human progress, whether we decide 
that in the present case it is being exerted by the Boers 
against England or by the alien residents against the 
oppression of the Boers. 

It is said that President Kruger's terms 

Future of the . -i 1 j 

Transvaal * P eace include absolute independence 

for the Transvaal, cession of a part of 
Natal, and a seven-year franchise for aliens living in 
the South African Republic. In case the privilege of 
dictating terms happens to lodge with the other party, 
we get an indication of what policy will be pursued 



202 GUN TON'S MAGAZINE [March, 

from Mr. Chamberlain's speech in the House of Com- 
mons on January 2 5th: "Speaking for the govern- 
ment," he declared, " I say there shall not be a second 
Majuba. Never again shall the Boers erect in the 
heart of South Africa a citadel whence to proceed to 
disaffection and race animosity. Never again shall they 
be able to endanger the paramountcy of Great Britain. 
Never again shall they be able to treat an Englishman 
as though he belonged to an inferior race." 

It has been rumored that Great Britain's plan, in 
case she is victor, will be to reorganize all South Africa 
under a system similar to the Canadian, establishing 
five federal states Cape Colony, the Transvaal, Natal, 
the Orange Free State and Rhodesia, with a general 
parliament, and a governor-general appointed by the 
crown. On the other hand, the Boers in case of defeat 
are implicitly relying on European intervention should 
any such program be attempted. They believe that 
Europe will never consent to see England annex the 
two South African republics, and that the longer they 
can hold out the more favorable terms they will get. 
Perhaps England will not deem annexation the best 
policy, but when she comes to dictate the terms of 
peace we may be sure they will include equal rights, a 
reasonable franchise, reform of administration abuses, 
and such limits on the right of military armament as 
will forever prevent the possibility of another such 
gigantic sacrifice of treasure and human life. 

Nicaragua Quite in line with the pro- Boer senti- 

Sf ment in this country, strong opposition 

is being shown to the proposed Nicaragua 
Canal treaty arranged between Secretary Hay and Am- 
bassador Pauncefote, and submitted to the senate for 
confirmation on February 5th. This treaty is intended 
to pave the way for construction of the canal by or 



igoo.] REV JEW OF THE MONTH 203 

under the auspices of the United States government. 
For fifty years this has been prevented by the old 
Clay ton- Bui wer Treaty, which provided that any such 
canal if ever built must be under the joint control and 
management of the British and American governments. 
Although Great Britain has unquestionably violated 
certain provisions of this treaty, our government has 
ignored these infractions and the treaty has never been 
abrogated. The proposed new convention grants to 
this country the exclusive right of construction, regula- 
tion and management of the canal, in return for which 
both parties guarantee its absolute neutrality, on much 
the same basis as the Suez canal. In time of war, bat- 
tleships of belligerents may use the canal provided they 
can get within the three-mile limit at the eastern or 
western approach ; and its free use for the commerce 
of all nations must not be interrupted. 

It is urged against the treaty that the 
Cheapening the Monroe Doctrine will be endangered un- 
less the United States has absolute control 
of the canal both in war and peace. The argument is 
weak. If sustained it would turn the Monroe doctrine 
into an extreme imperialistic dogma rather than a prin- 
ciple of free American development. That principle is 
simply that no foreign power shall interfere with the 
growth of free democratic institutions in the western 
hemisphere. Just how the neutrality of the Nicaragua 
Canal endangers that principle is hard to see. It will 
be located entirely on foreign territory, where we have 
no right to erect fortifications. Even if such right 
should be obtained it would be nearly impossible to pre- 
vent an enemy, by secret land operations, from ruining 
the canal at some vital point. On the other hand, 
should it ever become important for us to prevent an 
enemy's fleet from entering the canal we can do it by a 



204 GUNTON'S MAGAZINE [March, 

squadron operating from a naval station say in Puerto 
Rico OTf on the Pacific side, Hawaii. No important 
practical point could be gained by insisting that we 
must have the right to open or shut this canal as we 
may choose. We will have the same opportunity of 
protecting the approaches to a neutral canal that we 
would have if the canal were exclusively our own, 
while the canal itself would remain safe. 

There are certain defects in the treaty, as is well 
pointed out by the Chicago Inter-Ocean. It does not 
specifically say that it supersedes the Clay ton- Bui wer 
Treaty, and does not provide that Great Britain shall 
not fortify her adjacent possessions in Central America. 
With these points corrected we can well afford to grant 
neutrality such as the world recognizes at Suez, and 
gain the exclusive privilege of constructing and regu- 
lating the canal, from which the Clay ton- Bui wer 
Treaty has hitherto restrained us. 

Currency The administration party is at last ful- 

Bill filing its expressed or implied pledge to 

Passed establish by law the soundness of our 

monetary system. The senate gold-standard currency 
bill, introduced early in the session, was passed by that 
body on February i5th by an almost strict party vote, 
of 46 to 29. It differs from the bill which passed the 
house on December i8th in that the house bill con- 
tained no provision for refunding the national debt and 
did not provide for cancellation of treasury notes upon 
the coinage of silver bullion now in the treasury ; but 
the main point of difference in the two bills relates to 
the manner of redeeming the greenbacks. We have 
commented on this elsewhere in this number. There 
is a strong disagreement between the two houses on 
these points of difference, and the bill which finally 
becomes a law will probably show important modifica- 




1900.] REVIEW OF THE MONTH 205 

tions from both the house and senate measures. It 
happens that the amount of money now in circulation in 
the United States is the largest, both per capita and in 
aggregate amount, of any time in our history. During 
February the circulation passed the two billion dollar 
point, or nearly $26 per capita, estimating the popula- 
tion at about 77,000,000. Circumstances could not be 
more favorable, therefore, for sound money legislation. 
Nobody will be frightened by a scarecrow of currency 
contraction when the circulation has just reached the 
highest point in our history under a standard actually 
based on gold, which the new law will merely confirm. 

For a month there have been almost no 

New Philippine f M . 

Commission reports of military operations coming 

from the Philippines, and the reasonable 
assumption is that armed opposition has nearly disap- 
peared. Therefore, the president has wisely concluded 
that an effort ought to be made without further delay to 
undertake the beginnings of civil administration. He is 
going to send a new commission to the Philippines, to 
take over the control of all except purely military func- 
tions. This commission will organize civil administration 
as far as possible throughout Luzon, and ultimately the 
other islands. Judge William H. Taft, who is to head 
the commission, is one of the younger justices of the 
United States circuit court, and believed to be well 
qualified for the arduous task to be placed upon .him. 

Congress has had several unpleasant tasks 
on its hands during the present session, 
the house having to decide on the case of 
Brigham H. Roberts, the Utah polygamist, and the 
senate on the seating of Senators Quay and Clark, the 
one charged with holding office by virtue of an uncon- 
stitutional appointment by the governor of Pennsylva- 



206 GUNTON'S MAGAZINE [March, 

nia, and the other with having obtained his election by 
scandalous bribery. Roberts, it will be remembered, 
was elected congressman from Utah by a plurality of 
5,665. The house of representatives on December 5th, 
by a vote of 302 to 30, refused to permit him to take 
the oath of office, and appointed a committee to inves- 
tigate his case. This committee on January 2Oth made 
a long report presenting detailed evidence showing 
Roberts to be a polygamist, and urging that the house 
exercise its right of judging the qualifications of a mem- 
ber by excluding him. On January 2 5th this was done ; 
Roberts' credentials were declared invalid by a vote of 
268 to 59. The result must be cause for congratula- 
tion to every patriotic citizen who dreads to see an oli- 
garchical, socialistic, un-American organization, which 
yields perfunctory obedience to law only through com- 
pulsion, gain a foothold in the councils of the nation. 

The senate committee on privileges and 
The Clark 
Bribery Case elections is going to the very bottom of 

the Clark case. Mr. Clark himself has 
been on the stand, He frankly admits having spent 
$115,000 in the senatorial campaign; for the purpose, 
as he puts it, of overthrowing the political rule of Mr. 
Marcus Daly in Montana. All this was legitimately 
expended, of course, and so far as his personal knowl- 
edge went nobody was bribed. "There were plenty 
of rumors about the expenditure of money," he testi- 
fied, "but I have no personal knowledge of anything 
of the kind being done." Brought down to close quar- 
ters on a number of specific transactions he declared 
that it was his habit to turn over matters of detail to 
others, so that he personally could not account for the 
queerness of a good many queer things. The amount 
he spent would be almost a dollar apiece for every man, 
woman and child in Montana, regardless of politics, 



1 9 oo]. REVIEW OF THE MONTH 207 

and if all this went to literature and mass meetings it 
must have been the most tremendous campaign of edu- 
cation ever undertaken in this or any other country. 
The whole presumption is so strongly against Mr. 
Clark that he ought to be excluded for the sake of the 
moral tone of the senate, even if no one particular 
charge could be literally substantiated in a court of 
justice. 



Assassination 



During the last month Kentucky has 

furnished obiect-lessons in self-gfovern- 
ofGoebel . ^ 

ment which our Cuban, Puerto Rican, 

Hawaiian and Philippine wards will doubtless note 
with sympathy and admiration. It is indeed most dis- 
couraging that, at a time when we are trying to establish 
orderly government in barbarian communities, one of 
our oldest states should be a scene of bloodshed and 
disorder over a purely political dispute. Through it 
one of the rival candidates for governor has lost his life. 
He was the author of the infamous election law provid- 
ing that decisions of the state board of election com- 
missioners may be overruled by a vote of the legisla- 
ture. The board having decided against him in last 
fall's election, he was on the point of getting the legis- 
lature to reverse this decision and seat himself in the 
governor's chair. Some desperate partisan of the other 
side concealed himself in one of the rooms of the capi- 
tol and shot Mr. Goebel while the latter was approach- 
ing the building, on the 3Oth of January. Governor 
Taylor, fearing insurrection, issued a proclamation ad- 
journing the legislature to meet at London, a town in 
the eastern mountain district of Kentucky, on Tuesday 
February 6th. No insurrection did occur, and it is a grave 
question whether Governor Taylor did not exceed his 
authority by this step, and thus weaken his own case 
when the matter gets into the courts. The democratic 



208 G UN TON' S MA GAZINE 

members of the legislature tried to meet but were 
prevented by the troops from entering the capitol. As 
a last resort they drew up and signed a statement de- 
claring Goebel to be governor-elect. Acting upon this 
authority, the chief justice of Kentucky administered 
the oath of office to Goebel on the night of January 
3ist, and to J. C. W. Beckham as lieutenant-governor. 
Goebel died on the evening of February 3rd and 
Beckham took the oath of office. 

Since then there have been two gover- 
nors in Kentucky, each issuing orders 
and in constant danger of a violent clash 
of authority. Governor Taylor appealed to President 
McKinley for recognition of his title, but the president 
declined to interfere. The republican members of the 
legislature met in London at the time appointed, the 
democrats proceeded to hold sessions in Louisville. An 
effort was made to get Governor Taylor to sign an 
agreement to withdraw from office if the legislature in 
joint session should declare Beckham lawful governor: 
on the other hand, the democrats were to pledge a re- 
vision of the Goebel law so as to secure fair elections 
and the supremacy of the courts in deciding on the re- 
turns. This would have ousted Governor Taylor, and 
probably the Goebel law would not have been repealed. 
He declined to sign the agreement, and ordered the 
legislature to reconvene at the capital, Frankfort, on Feb- 
ruary 1 2th; the troops to return to their homes. This 
step apparently puts Governor Taylor again in the legal 
right, and the whole matter now goes to the courts. 
Shocking as the murder of Goebel is, and mistaken as 
Governor Taylor may have been in some of his acts, 
an impartial observer cannot fail to trace the trouble 
directly to the effort of Goebel and his followers to put 
through an outrageously undemocratic scheme for over- 
turning the will of t^e people. 



HAND AND MACHINE LABOR 

CARROLL D. WRIGHT, LL.D., UNITED STATES COMMISSIONER 

OF LABOR 



When one studies the changes that have been 
wrought by the industrial revolution which abolished the 
domestic system of labor and installed the regime of ma- 
chinery he is apt to be either pessimistic or optimistic, in 
accordance with the extent to which he has carried his 
investigations. The pessimist clings to the idea that 
machinery displaces labor in the aggregate, while the 
optimist, readily admitting that individual workmen are 
often displaced, contends that in the aggregate ma- 
chinery secures employment to a larger relative pro- 
portion of the whole population. The difficulty lies in 
the effort to generalize and in confusing the results 
which can be shown by the statistical method with those 
which can be shown only through observation and a 
very wide comprehension of the subject. The latter 
may be called the psychological side and the former the 
material side of the question of machinery. 

It seems quite impossible for any careful student 
to avoid the conclusion that machinery has wrought 
many changes or modifications in the dogmas and posi- 
tions of the economists of the first half of this century. 
The industrial revolution, the first effects of which were 
seen in the latter part of the eighteenth century, was 
not understood by Mr. Malthus and his contemporaries, 
and they did not foresee the extent of the revolution. 
The Malthusian doctrine that population was constantly 

209 



210 GUNTON'S MAGAZINE [March, 

pressing upon subsistence has been checked through the 
extensive use of machinery applied to production. The 
doctrine of diminishing returns, even the law of supply 
and demand, has been modified under the new regime. 
Machinery has established or brought into activity new 
principles in statute law. It has wrought many changes 
in common law doctine. It has transformed transpor- 
tation. It has increased the opportunities to enjoy art 
and literature. It has lessened the frequency and the 
possibilities of famines. It has increased longevity by 
making life safer and more comfortable. It has ex- 
tended marvelously the power of production, and con- 
sequently of consumption. It has made the world cos- 
mopolitan, upsetting old ideas and old customs. It has 
lifted struggling humanity to a higher plane and stim- 
ulated a higher intelligence. These are what may be 
called the grand generalizations resulting from an hon- 
est study of statistics and the influence of machinery. 
They may be called the psychological results, but they 
do not satisfy those who demand a concrete statement as 
to the power of machinery, a statement that can be put 
into figures.* 

The late Dr. David A. Wells, in his very valuable 
work entitled " Recent Economic Changes," brought 
out a few illustrations showing the exact ratio existing 
between hand and machine labor. His chief illustra- 
tions were drawn from the first annual report of the 
United States Commissioner of Labor, but at that time 
all such illustrations were meager, because no very 
great effort had been made to collect the data necessary 
for a comparison of production by hand and machine 
methods. A few years ago congress authorized the 



*In the Social Economist, the predecessor of GUNTON'S MAGA- 
ZINE, for June, July and September, 1891, the writer discussed the rela- 
tion of invention to labor, the contraction and expansion of labor, and 
the ethical influences of invention generally. 



igoo.] HAND AND MACHINE LABOR 211 

Commissioner of Labor to investigate and report upon 
the effect of the use of machinery upon labor and the 
cost of production, the relative productive power of 
hand and machine labor, and the cost of manual and 
machine power as they are used in the productive indus- 
tries. Under this authorization we now have the Thir- 
teenth Annual Report of the United States Department 
of Labor, entitled "Hand and Machine Labor," and 
consisting of about i, 600 pages of tabular matter and 
accompanying analyses. In examining this document 
it is interesting to note that the facts were obtainable 
for 672 units of production, representing both hand and 
machine methods. No facts were gathered unless they 
related to both methods, and it is further interesting to 
note that a very large number of these units are pro- 
duced at the present time under both methods. Some 
of these units, however, are not now produced by the 
hand method, and hence the information was obtained 
from those who had been engaged in hand production 
and could give the necessary data. 

This report answers in a measure the many demands 
for information relative to the ratio of power under the 
two methods of production, but no aggregation can be 
made, because it is impossible to carry out calculations 
through the innumerable ramifications of production 
under hand and machine methods. To put into a 
summary the statistics representing the force or energy 
under the two methods for a part only of all the pro- 
duction in the country or in the world would lead to 
very false conclusions, although such a summary would 
be of the greatest possible value in the study of the 
question of machinery. 

For the purpose of answering the question a few 
comparisons must serve for illustration. The introduc- 
tion of machinery for making paper-bags complete, a 
very simple manufacture, has worked a marked change 



212 GUNTON'S MAGAZINE [March, 

in that industry. The bags are folded, pasted, counted 
and bundled by one machine, the paper having been 
previously cut to the required size. In making one 
style of bag the operations of folding and pasting the 
tubes for 1,000 bags required 3 hours' work for one 
woman with paste-pot and brush, and a like time was 
consumed by another woman in making and pasting 
the satchel bottoms, while the counting and bundling 
of the bags occupied one man 30 minutes, all the opera- 
tions aggregating 6 hours and 30 minutes under the 
hand method ; while by the machine in 20 minutes, or 
an aggregate time of 40 minutes for two young women, 
all the operations were performed, the ratio being 10 
to i in favor of the machine method. In ruling paper 
for pass-books, ledgers, etc., a steam ruling-machine re- 
quires 30 minutes, as against 20 hours by hand, for per- 
forming a given amount of work. This is a ratio of 40 
to i in favor of the machine method. In ruling paper, 
taking 100 reams and the same width of ruling, by the 
hand method, under which the paper was ruled with a 
hand-ruling machine, it required 140 hours as against 
12 hours under the modern method, with the use of the 
ruling-machine run by steam power, a ratio of nearly 
12 to i. In ruling 100 reams of single-cap paper, with 
faint lines on both sides, by the primitive method of 
ruler and quill, it required 4,800 hours, and with a mod- 
ern ruling-machine 2 hours and 30 minutes, a ratio of 
1,920 to i in favor of the machine method. The sewing 
of button pieces on shoes by hand required 75 hours by 
hand, while by the use of the machine it is done in 33 
minutes, a ratio of 135 to i. 

In cutting out clothing by the cutting-machine as 
against the hand method, the ratios vary from 6 to i to 
7 to i. In some of the operations in producing cotton 
and woolen goods the total time required under the 
machine method for the completion of a certain quantity 




HAND AND MACHINE LABOR 213 

of work is a little over 114 hours, while under the hand 
method it would be 750 hours or more, a ratio of 6 1-2 
to i, while in some other processes the ratio is as high 
as 2 5 to i . In some of the operations in manufacturing 
metal goods, like adzes and axes, the ratio rises as high 
as 114 to i, it varying with the various operations. 
These illustrations might be worked out in hundreds of 
specific operations. 

In agriculture, under the modern method a broad- 
cast seeder will accomplish a given amount of work in 
about one-fourth or one-fifth the time required by hand. 
In shelling corn by hand 66 hours and 40 minutes would 
be required to shell a quantity which could be shelled 
in 36 minutes by machine. Mowing grass with scythes 
requires 7 hours and 20 minutes to do the same amount 
of work which can be done in i hour and 6 minutes 
with the mower, or in about one-seventh the time con- 
sumed by hand. 

The most forceful illustration, however, of the po- 
tential energy of machines is found in considering the 
horse power used in manufactures, the number of per- 
sons employed with the horse power, and the equiva- 
lent in men by which the labor of the persons employed 
is supplemented. For such calculations we must use 
the Federal census of 1890. In the manufacture of agri- 
cultural implements there were 42,544 persons em- 
ployed. Their labor was supplemented by motive 
power representing 50,395 horse power. One horse 
power is equivalent to the power of 6 men. Thus the 
labor of the persons employed in manufacturing agri- 
cultural implements was supplemented by the equiva- 
lent of 302,370 men, the physical equivalent in the ratio 
being 7. In the manufacture of cotton goods the labor 
of 221,585 persons was supplemented by steam and 
water of 464,881 horse power, equivalent to an addi- 
tional force to the number of persons employed of 






214 GUNTON'S MAGAZINE [March, 

2,789,286 men, the ratio of the supplemental power be- 
ing 12 1-2. 

The most extensive supplemental work is found in 
flour and grist mills, where 63,481 persons were em- 
ployed, with the use of 752,365 horse power added, the 
latter being equivalent to the work of 4, 5 14, 190 men, or 
a supplemental equivalent expressed by the ratio 7 1 . 
In this industry a very few persons are necessary, while 
there must be a great expenditure for motive power. 
The next highest ratio is found in the manufacture of 
paper, in which 29,586 men were employed and ma- 
chines having a horse power of 242,176, the equivalent 
of the labor of 1,453,056 men, the ratio being 49. 

In silk and silk goods and the manufacture of 
hosiery and knit goods, with a respective supplemental 
power of 177,828 and 207,228 men, the ratio was 3 1-2. 
In woolen goods 79,351 persons were employed, utili- 
zing machines of 122,501 horse power, equivalent to the 
labor of 735,006 men, a ratio of 9 1-2 ; and in worsted 
goods, where 43, 593 persons were employed, aided by 
57,111 horse power, the ratio was 8, and the padded or 
supplemental power equalled 342,666 men. 

Taking all the manufactures of the United States 
in 1890, barring some omissions in reporting horse 
power, it is found that the total horse power was, in 
round numbers, 6,000,000, equivalent to the labor of 
36,000,000 men, while only 4,476,884 persons were em- 
ployed, the supplemental labor having a ratio equiva- 
lent to 8 to i . Horse power used in manufactures 
equivalent to 36,000,000 men represents a population of 
180,000,000; in other words, if the products of the 
manufacturing establishments alone, of the United States 
in 1890, had been secured by the old hand methods, with- 
out the aid of power machinery, it would have required 
a population of 180,000,000; with none left for argri- 




i 9 oo.] HAND AND MACHINE LABOR 215 

culture, trade, transportation, mining, forestry, the 
professions, or any other occupations. 

The above are the calculations from the returns of 
the eleventh census. There have appeared from time 
to time in pamphlets, speeches, and books computations 
which show that the machinery of Massachusetts alone 
represents the labor of more than 100,000,000 men, or 
nearly one-half of the male workmen on the globe, had 
they been engaged in the service of that commonwealth ; 
and nearly forty years ago the power of machinery in 
the factories of Great Britain was computed to equal 
600,000,000 men, or more than all the adults, male and 
female, of mankind at that time. These estimates 
have no basis whatever in fact. They are fantastical in 
the extreme. The calculations given above show that 
the motive power in manufacturing in this country in 
1890 was equal to the labor of 36,000,000 men annually. 
This statement is fantastical enough, and it is difficult 
to comprehend it ; yet it is believed to be within the 
truth, because, as intimated already, the ramifications 
of the use of machinery cannot be concentrated into a 
statistical summary. The truth, even, smacks of fairy 
tales or the statements of a statistical Munchausen, but 
the figures given must be accepted as the best that can 
be secured with the meagre data at hand. The great 
variation in the ratio prevents any close and accurate 
calculation ; as, for instance, under the old hand method 
of spinning woolen yarn by the spinning wheel, where 
one thread had to be spun at a time, while the modern, 
perfected mule spinning machine will spin 2,200 
threads. There may be higher ratios than this, but 
with 2 as the lowest ratio expressing hand and machine 
energy, the range being all the way between 2 and 
2,200, the difficulties of arriving at a summarized state- 
ment become at once clearly apparent. 

Another striking illustration of the added power 



216 GUNTON'S MAGAZINE [Marck, 

which machinery has given to the world is found in 
transportation. The horse power of the 30,000 and 
more locomotives in use in the United States in 1890 
was equivalent to the labor of 57,940,320 horses, or of 
347,425,920 men; that is to say, if the traffic of the 
United States of 1890 had been carried on by horses, it 
would have required the number just given, and if by 
men alone, the 347,425,920 stated, the equivalent of 
the horse power. Probably, to do the business of the 
present time by horses and men, it would require the 
number of horses given and at least 20,000,000 men. 
These calculations as to the power of locomotives have 
been based on the calculation made by Hon. Edward 
Appleton, a distinguished civil engineer in Massachu- 
setts, and for some time one of the members of the 
Board of Railroad Commissioners of that common- 
wealth. 

Mr. Mulhall has undertaken to calculate the energy 
or working power of the people of this country since- 
1840. He reduces these things to foot-tons, a foot-ton 
being a power sufficient to raise one ton one foot in a 
day, and in this calculation he finds that in 1840 the 
energy of the people of the United States was repre- 
sented by 17,346,000 foot-tons daily, or 1,020 foot-tons 
per inhabitant; in 1860, 39,005,000 foot-tons, or 1,240 
foot-tons per inhabitant, and in 1895, 128,700,000 foot- 
tons, 1,850 foot-tons per inhabitant. This shows that 
the collective power of our population has more than 
trebled since 1860, steam power having multiplied 
five-fold in the thirty-five years of his calculation ; the 
strength being shown approximately in horse power of 
steam, in 1895, including fixed engines, locomotives, 
and engines used on steamboats, at 16,940,000, or 240 
horse power per 1,000 of the population. Two hundred 
and forty horse power represents the energy of 1,452 
men supplemental to each 1,000. According to Mr. 



1900.] HAND AND MACHINE LABOR 217 

Mulhall, this energy is more than double the European 
average, so that it may be said that 70,000,000 of Amer- 
icans represent as much working power as 150,000,000 
of Europeans. 

These illustrations and comparisons might be ex- 
tended indefinitely, but they show not only the produc- 
tive capacity of labor performed in the past as com- 
pared with the reproductive faculty of modern labor, 
but also the difficulty of reducing the psychological in- 
fluence of machines to concrete statements under the 
statistical method. The reflection comes that a labor- 
saving machine is best defined as a contrivance by 
which the dead still work, for the motive power of 
steam is the stored heat of the sun converted into pres- 
ent power. That heat gives force to the present era, 
while the intelligence of the inventors of motive power, 
or the machines which control it, and their workmen, 
are still working in unconscious iron and converting 
the heat into motion and doing the work of the world. 
The permanent nature of that part of the labor, intel- 
lectual and physical, of inventors and mechanical arti- 
sans which characterizes the implements of modern 
manufacturing establishments has had this phenomenal 
result it has practically enabled one generation of men 
to do the work of four or five generations 




PROPOSED MORTGAGE TAX IN NEW YOKK 

STATE 

CHARLES E. SPRAGUE, PH.D., PRESIDENT UNION DIME SAVINGS 
INSTITUTION, NEW YORK 



A proposition to amend the laws of the State of 
New York in respect to taxation is now exciting con- 
siderable interest. It is worthy of careful considera- 
tion by those interested in economics, as to the princi- 
ples upon which it is based, and also as to the prac- 
tical methods by which it is proposed to carry them out. 

The bill in question contains several separate provi- 
sions, only one of which I propose to consider, namely, 
that relating to mortgages, omitting all discussion of 
the tax upon bank capital and "moneyed capital." 

It is proposed that all mortgages upon real property 
in the state shall be subject to a special tax of one-half 
of one per cent, per annum for state purposes and shall 
not be taxable at all for local purposes. 

The advocates of the bill point to its provisions 
as a relief to the holder of the mortgage. They say : 
You are now taxable upon the mortgages held by you 
at the full rate (2 to 3$ according to locality) ; we pro- 
pose to substitute for this large tax a much smaller 
one, which can certainly be collected and you should 
surely be glad to receive this reduction. This sounds 
very well and has influenced many people in favor of 
the measure. But this statement of the case omits a 
very important element, and therein lies the sophistry. 

We are told that mortgages are now taxable at the 
full local rate, but this is deceptive. Not mortgages, 
not notes, not bonds, not furniture, not paintings, not 
any specific property is taxed as personalty ; not these, 
but a certain net amount, of which these properties are 
components. 

218 



PROPOSED MORTGAGE TAX IN NEW YORK 219 

The law of the state contemplates two quite differ- 
ent methods of taxation for real estate and for personal 
property. A clear apprehension of the difference be- 
tween these is necessary for understanding the present 
question. 

Real estate is taxed specifically, in rem, on its 
gross valuation. The owner of a piece of real estate, 
even if his equity, less the mortgages on it, be very 
small, must pay the entire tax on its full value. He 
cannot say : I do not own the whole of this property ; 
Mr. Smith as mortgagee has a proprietorship of two- 
thirds in it; go to him for his part. This will not 
answer ; the owner, as he is the one who handles all 
the rents, must pay all the charges in their order, and 
the taxes come first. The experiment has been tried 
of making the owner pay only upon his equity, that is, 
the full value minus the mortgages, and the mortga- 
gees pay to the extent of their claims, but this has 
been found impracticable and the other way is adopted. 

Personal property is defined in the statute as 
"chattels, money, things in action, debts due from 
solvent debtors/' etc,, etc. ; nearly all the rest of the 
definition refers to various kinds of debt. Thus we see 
that most of the personalty which can be reached will 
necessarily be debts. The law recognizes that one 
debt offsets another ; that every obligation of one per- 
son is a right of another person, and vice versa ; hence 
it establishes for personalty a totally different mode 
from that applied to realty. It is based upon the net 
balance or present worth of the individual or person ; it 
is applied in personam and does not touch each asset spe- 
cifically. 

In assessing the personal property of a citizen, the 
total amount of his assets, including debts receivable, 
is taken, and his liabilities, or in the words of the tax 
law, "his just debts," deducted therefrom. Debts re- 



220 GUNTON'S MAGAZINE [Mar 

ceivable are in whole or in part offset by debts payable, 
and this would seem to be equitable, for if no such 
offset were permitted persons in active business would 
certainly be taxed four or five times what they are 
worth. Every merchant has large amounts receivable 
for goods which he has sold on credit, but on the other 
hand he owes large amounts for the same goods. 
Modern business can be done in no other way. A net- 
work of debt extends all over the state, and if it were 
evenly distributed all indebtedness would, by the oper- 
ation of offsetting, be exempt. 

This is the reason we hear so much clamor about 
personal property " escaping taxation.'* In so far as it 
is composed of debts, and in so far as those debts off- 
set each other, it ought to escape. 

There is one very important sphere in which this 
right to offset makes a vast difference, that is in the 
savings banks. As is well known, our savings banks 
are large holders of mortgages, being allowed to invest 
65$ of their deposits in that way. Now a savings bank 
in this state is a purely mutual concern ; there is no 
capital stock ; all the assets are owed to the depositors. 
Therefore, in a case of a savings bank, the liabilities 
just cancel the assets ; there is no net resultant to tax. 
But, under the new law, so much of the assets of the 
savings bank as consists of mortgages will be taxed 
specifically, just as real estate now is. Thus the imme- 
diate result of the law will be to take from the savings 
bank that is to say, from the depositors a large 
part of its or their earnings. 

It is curious to see how completely this condition 
has been misapprehended by a recent writer upon this 
very subject. The professor of political economy and 
finance in Columbia University writes thus : "So long 
as the tax is not specifically assessed on the depositors 
of savings banks, the tax will be paid, not by the depos- 



: 




1900. J PROPOSED MORTGAGE TAX IN NEW YORK 221 



j but by the stockholders, and there is no reason why 
they should not pay." 

This is certainly remarkable. The professor 
evidently writes under the belief that our savings 
banks are business concerns, just like the national and 
state banks, and that they have a body of stockholders 
who take the profits after paying interest to depositors. 
If our saving banks were of this class, they would deserve 
no special protection more than any other business 
corporation. The whole structure of his argument falls 
to the ground if it is built on this colossal blunder. , 

This writer also misses the point of the change 
introduced into our law by the novelty of taxing the 
entire assets, instead of assets minus liabilities, when 
the assets are composed of mortgages. He speaks as 
if there were no legal way of avoiding the payment of 
taxes on mortgages except by perjury. He overlooks 
entirely the offset principle and thinks that the only 
reason why mortgages do not now all pay taxes is that 
the owners dishonestly ' ' swear off ' and take the 
chances of being caught, for which they pay a ' ' risk 
premium," whicb he estimates at about one-half of one 
per cent. Surely he does not believe the popular 
clamor to the effect that the long line of citizens who 
visit the tax assessors for purposes of correction are 
mostly liars and perjurers. 

Under the proposed law, mortgages alone are 
singled [out from all the body of personal property 
(mostly debts) and placed under a separate head, where 
the assets, not assets less the liabilities, form the 
taxable entity. The only reason I can see is that it 
happens through the operation of our registry laws 
that most of the mortgages are publicly recorded. 
Hitherto, registration has not been compulsory, but 
the record gives notice of the priority of the lien. A 
provision of the new law makes the unrecorded 



222 GUNTON'S MAGAZINE [March, 

mortgage absolutely invalid and this new principle 
is regarded by lawyers as very dangerous in its 
application. 

Advantage is taken of the fact that mortgages are 
usually recorded, to exact the tax, and this tax is made 
specific, in rent. The mortgage is to be taxed because 
it exists, it is taxed per se, not as a component part of 
its owner's estate. This seems gross injustice toward 
the holders of this kind of investment who have other 
liabilities. The same man may be both mortgagor and 
mortgagee, but both mortgages must pay ; while if he 
is the maker of promissory notes, and on the other 
hand is payee of other notes, they offset each other. 

The mortgage tax, therefore, if it is a tax upon 
personalty, makes an invidious distinction against 
mortgage debts as compared with all other debts ; and 
this is unfair. 

But will it remain a tax upon personalty? Have 
not the legislators so contrived that, as they have 
applied the methods of realty to this one species of 
personalty, so it will become a realty tax by being 
shifted to the owner ? It is unnecessary for me to 
argue this point in this magazine. We all know that 
as soon as existing mortgages expire, the tax of one- 
half per cent will be paid by the mortgagor. We must 
then consider it also as a real-estate tax. In this view, 
it is just, fair and equitable ? 

Emphatically, no. The entire state tax so far as 
derived from real estate will be borne by a certain part 
of the real estate, selected upon a novel and remarkable 
plan. 

Real estate for state purposes is to be taxed, not 
by its area, not by its cost, not by its value, not by its 
productiveness. How ? You would never have guessed : 
by the amount of mortgage upon it. No mortgage, no 
tax ; big mortgage, big tax ; little mortgage, little tax. 





igoo.] PROPOSED MORTGAGE TAX IN NEW YORK 223 

The fact is, the whole thing is based upon a mis- 
conception. When I buy a piece of property for 
$10,000, on which I pay $4,000 cash, and my neighbor 
pays $6,000 for which he takes my mortgage, there is 
not, in spite of all the legislation in the world, any 
$16,000 of value there. There is exactly $10,000, and 
no more. We have together purchased $10,000 worth 
of property and paid $10,000 ; that is all there is to it. 
Had we bought in our joint names, we could only have 
been taxed on $10,000. Why is it any different when 
one of the owners has a definite instead of a proportional 
share ? Does the fact that one of the partners can only 
claim $6,000, no matter how much the value of the 
property increases, make his partial ownership a distinct 
entity, subject to taxation, after the whole property 
has once been taxed ? The property itself is taxed and 
the mortgage indebtedness is taxed extra ; with a full 
valuation of the property there is then a taxable body 
consisting of the total valuation plus the total debt 
thereon. 

The advocates of the law, including Professor 
Seligman, point to the fact that the local rate will be 
reduced by the operation of the new law, and hence, in 
the professor's words : ' ' there would be a substantial 
saving to the real-estate owners as a whole." We know 
practically that the local rate will not be reduced, but, 
even if it were so, would that justify an unfair distribu- 
tion between the two kinds of real estate, the mortgaged 
and the unmortgaged ? If I have two loaves of bread, 
does it help my starving neighbor to have it demon- 
strated that we have an average of a loaf apiece ? If I 
have a piece of property heavily mortgaged and heavily 
taxed, it does not console me to know that my neighbor 
is lightly burdened and that "as a whole" our loads 
are moderate. 

To exempt unmortgaged property from all contri- 



224 GUNTON'S MAGAZINE [March, 

bution to the state expenses is, very largely, to exempt 
the rich. The Astors and such very wealthy people 
have, as a rule, no mortgages on their real estate. 
The poor man who buys a homestead almost entirely 
on credit and gradually pays off the mortgage is most 
heavily taxed at the time when he can least afford it. 
Such is the bill which has for part of its title : ' ' For a 
more equitable distribution of the burdens of taxa- 
tion!" 

The only other argument in favor of this bill is that 
it will do away with the everlasting squabbles between 
different counties as to equalization of valuation. This 
is certainly a commendable object, but not one that 
should be attained at the cost of injustice to the indi- 
vidual, if that can be avoided. I will suggest a very 
simple plan : 

Make the contribution of each county proportionate 
to the total of mortgages on its records. This will give 
precisely the same result as the Stranahan bill but 
without such glaring injustice to the mortgagors. Then 
the local assessors can make their valuations high, low 
or medium, just as they please, without injuring any 
other counties, but must include in their budget the 
state quota as determined by the amount of mortgaged 
property. 

I will not say much of the methods prescribed for 
the enforcement of the proposed law. Apparently they 
will be very expensive, very annoying and very compli- 
cated. Able lawyers think that some are of doubtful 
constitutionality. The provisions for obtaining deduc- 
tion for partial payments are most onerous and appar- 
ently the process must be repeated every year. Build- 
ing and loan associations will suffer most severely, 
either collectively or through their members. No one 
must change his mortgage during certain months of the 
year, or if he does must be taxed afresh for each new 




IQOO.] PROPOSED MORTGAGE TAX IN NEW YORK 225 

loan ; each mortgage recorded between the first Mon- 
day of July and the first Monday of September being 
subject to the tax even if it simply replaces another of 
equal amount. 

I do not know in which way this project is most 
unfair ; while it is a tax on personalty, or after it has 
become a tax on realty, or in its mode of enforcement. 

I do not, however, defend the present plan of taxa- 
tion of personal property. It is chiefly taxation of 
debts, and debts never produced anything and should 
never have been taxed. Their mutual cancellation 
under our present law should be suspended by abolition 
of all attempts to tax them. 

Again, if it is right to tax debts, it should be 
at a far lower rate than real estate, for real estate 
finally has to bear all. The rent which the owner 
collects has to pay all its burdens in succession: 
the taxes upon the whole, the repairs, the insurance, 
the interest on the mortgage, the depreciation, and last 
the owner's income for his investment and services as 
manager. Where else can the money come from? It 
must come out of the property. 

After taking one-fourth of the entire income as 
taxes on the whole, the present law takes more than 
half of the portion coming to the mortgagee if there 
are no offsets. This is grossly unjust but the way to 
remedy it is not to do another injustice. 

All taxation of debts should be abandoned. 



LIBERTY IN ECONOMIC TEACHING 



Editor GUNTON'S MAGAZINE, 

Dear Sir: My attention has just been called to 
your article on " Free Thought in College Economics," 
in your December issue, and I would like to say that, if 
your view is correct, any university should frankly as- 
sert that its teachers will be allowed to promulgate only 
theories " sufficiently popular to be generally accepted." 
As long, however, as such institutions as Johns Hop- 
kins have for their motto " Libertas vos Liberabit," and 
would have the public believe that they are entirely un- 
trammeled in their search for truth, and that an investiga- 
tor is all the more honored who destroys the popular be- 
lief as to the authorship of some line of the Iliad, the 
composition of some gas, or the motion of some star, 
then it is arrant hypocrisy to adopt the view you cham- 
pioned without frankly abandoning the claim of absolute 
liberty, which is made by all our great universities. Of 
course I use the Johns Hopkins merely as typical. My 
point, you see, is that if your view is the correct one 
most of our universities are hypocrites, since few if any 
have ever publicly acknowledged this limitation on 
freedom in economics, so far as I am aware, although I 
do think that very many of them are practically acting 
according to your view of the matter. 

Again, in disagreement with your position, I hold 
that it is more important for a state university to en- 
courage liberal teaching in economic and social lines 
than it is for a private college, because the latter is sus- 
tained by only one class in the community wealthy 
donors and the trustees, therefore, almost unconscious- 
ly are likely to adopt a class attitude, while a state 
university should represent the whole people. An in- 

226 



LIBER TY OF ECONOMIC TEA CHING 227 

stitution supported by public taxation should give all 
sides of important social movements a hearing, and to 
that end it should have at least three or four professors 
representing different points of view in economics and 
sociology. So far from attempting, as you suggest, to 
be especially conservative it is the peculiar duty of an 
educational system supported by taxation to develop 
good citizenship, and to do that requires a great belief, 
among the professors, in democracy. The very ex- 
istence and development of our institutions demand 
this liberal spirit in our citizenship and in our teaching. 
In your article you indicate that a state university 
should not be as progressive in searching out new truth 
as is a private institution, because it is not the function 
of the state to be the initiator of experiments at least, 
that seems to be your thought. Yet at other times 
those who agree with you in general, and I think you 
yourself, are ready to oppose public ownership of 
natural monopolies on the ground that the state is not 
progressive. In other words, you oppose certain ac- 
tivities because the state is not progressive, and then 
oppose the state because it attempts to be progressive. 
As a matter of fact, the most progressive experiments 
in one very important field, that of agriculture, are al- 
together in the hands of the state to-day, as the exami- 
nation of the state agricultural colleges will prove. 
These institutions have done wonders in leading the 
way in new methods of farming. Why should a state 
institution be precluded from similar forward move- 
ments in the teaching of economics and sociology? 

EDWARD W. BEMIS, 
Bureau of Economic Research, New York. 



The terms liberty and freedom are frequently used 
as if they implied entire absence of restriction. Yet 
there is no such freedom in society. This is the free- 



228 GUNTON'S MAGAZINE [March 

dom only of the savage. Freedom implies not merely 
the right to do but the protection in doing. The power 
that protects freedom also prescribes its limits. In 
society one man's freedom is conditioned by another 
man's rights. To have the freedom to do, regardless 
of societary interests or the freedom of others, is an- 
archy. It is subversive of the highest freedom, because 
it destroys the collective protection society gives to the 
maximum freedom of each individual. 

In the first place, no theory of liberty, either of 
teaching or of action, can be defended which does not 
recognize the fundamental fact in civilization that the 
preservation of the interests of society is more impor- 
tant than the interest of any one or any small number 
of individuals, and that in the last analysis the opinion 
of society must constitute the final appeal on all mat- 
ters which affect society. 

Educational institutions, whether established by en- 
dowments of private individuals or by state appropria- 
tion from taxes, represent society. In either case the 
interests of society and the societary consensus of opin- 
ion must be recognized or the institutions cannot remain. 
If the institutions are supported by generous-minded 
individuals who are interested in education, it goes 
without saying that the management of those institu- 
tions receives the support in trust faithfully to carry 
out the general purpose of the institution as understood 
by the community and interpreted by the consensus of 
opinion reflected through the workers in and managers 
of the institution. The administration of a representa- 
tive institution is in honor bound to see that the institu- 
tion be not used for purposes contrary both to the gen- 
eral consensus of the management of the institution and 
of the community at large, and also of the . financial 
supporters of the work, whether these be private indi- 
viduals or taxpayers. 






igoo.] LIBERTY OF ECONOMIC TEACHING 229 

The limit line of individual innovation within 
established institutions is not the same in all subjects. 
In the domain of the physical sciences like astronomy, 
physics, chemistry, geology, botany, and of history and 
literature, there are practically no limits. In these 
fields of investigation and generalization entire liberty 
of individual innovation should be and is, not merely 
permitted, but encouraged. But in the domain of 
religion, morals and sociology the case is quite differ- 
ent. In the first case the new theories affect individual 
and societary action very slowly and with the greatest 
indirection, and consequently never can bring about 
any detrimental disturbances. In the latter case the 
innovation, if radical, may involve dangerous social 
eruption, undermine the moral basis of social order or 
the economic security of property rights and interests, 
and thus destroy the safety of industrial action and 
arrest progress. 

Professor Bemis seems entirely to overlook this im- 
portant difference in the social character of these two 
classes of problems. He appears to see no difference 
in this respect between chemistry and sociology, for he 
says : ' ' As long, however, as such institutions as Johns 
Hopkins have for their motto, ' Libertas vos Liberabit, ' 
and would have the public believe that they are entirely 
untrammeled in their search for truth, and that an in- 
vestigator is all the more honored who destroys the 
popular belief as to the authorship of some line of the 
Iliad, the composition of some gas, or the motion of 
some star, then it is arrant hypocrisy to adopt the view 
you championed without frankly abandoning the claim 
of absolute liberty, which is made by all our great uni- 
versities." 

In the subjects to which Mr. Bemis here refers, no 
educational institution puts any restraint upon investi- 
gators. There is no ethical or social motive for so 



230 GUNTON'S MAGAZINE [March, 

doing, because the discoveries in this domain do not in 
any way threaten institutions which are religiously, 
ethically or socially sacred or important to the people. 
To establish an entirely new authorship for the Iliad, 
or for the lines of Shakespeare, or make any discovery 
however radical as to the composition of a gas, the dis- 
covery of new stars or the motions of old ones, would 
not in the least endanger any societary institutions. 
Therefore there is no tendency to do aught but encour- 
age every effort thoroughly to investigate and give 
frank expression to any new hypotheses regarding these 
subjects. They will immediately become the subject 
of criticism and be confirmed or overthrown. But only 
the scholars participate in this ; the status of society is 
not affected. The laws of social relations, industrial 
investment, moral conditions or religious institutions 
are not in the least disturbed. 

But when we come to the other group of subjects 
the same unrestricted freedom does not, never did, and 
cannot obtain. In matters of religion, ethics and social 
institutions, the people's faith and confidence are in- 
volved. For instance, take the divinity schools in our 
universities. Here is a professor who has been inves- 
tigating the subject of theology, and he has arrived at 
the conclusion that atheism is the true gospel, that the 
idea of God is all a superstition, that church and creed 
are based on fallacy, and have neither history nor logic 
to sustain them. Is there any reason in ethics or intel- 
lectual freedom why the professor who has arrived at 
that conclusion should continue to use the institution to 
teach that new theory, which in its very nature makes 
war on the religious faith upon which much of the 
moral conduct of society rests? Of course not. Ordi- 
nary sense of society -preservation forbids ; it would be 
an abrupt violation of the religious sense of the com- 




i9oo. J LIBERTY OF ECONOMIC TEACHING 231 

munity, which would be demoralizing to society and 
highly injurious to public welfare. 

There is but one course for a person who becomes 
so utterly out of touch with the consensus of opinion on 
his particular subject of instruction, and that is, to se- 
gregate himself and try to form a;, new group and de- 
velop a new censensus of opinion. Indeed, 'that is what 
has ever been done in the progress of society. 

The same is true of ethical problems, but to a less 
definite extent, because the views and convictions 
sacredly held by the community are less definite on 
ethical than on theological subjects. But if a professor 
of moral philosophy should arrive at the conclusion 
that misrepresentation, lying and stealing, were justi- 
fied on some new theory of ethics, he would "shock the 
moral consensus both in and out of the university, and 
would be regarded as an injury to the educational 
work of that institution. Does Professor^Bemis desire 
to be understood as holding that such a professor would 
be justified in assuming that he ought to have the ab- 
solute liberty to use the university to teach that doc- 
trine? And yet, if he applies to ethics and religion 
the theory of absolute liberty to investigate and teach, 
which is welcomed in astronomy and chemistry, he 
would have to insist that the agnostic has a right to 
hold a divinity professorship in a university, or preach 
in a church, and that the discoverer of a new moral code 
has a right to teach some ethical basis for lying and 
stealing. 

Now, in sociology the same law obtains. Economics 
and sociology deal with the questions not merely of in- 
dividual relations but of the relation of society to 
property, home, and social and political institutions, 
in short to everything that affects the personal rights, 
protection of property and general security of individual 
effort in the community. All the wealth and institutional 



232 GUNTOWS MAGAZINE [March, 

advantages of civilization are at stake. Here is a pro- 
fessor in a college who has arrived at the conclusion 
that private ownership of property is robbery ; that 
justice demands the confiscation of existing wealth and 
its redistribution to the community. Are we to under- 
stand that on the theory of absolute liberty the univer- 
sity is to be used by this individual to advocate disruption 
of existing economic and social institutions, contrary to 
the consensus of the best current opinion both inside 
and out of the university? In other words, is it to 
lend its influence and wealth to the support of a person 
who propagates the idea of destruction of what it re- 
gards as the sacred institutions of civilized society ? 

On matters pertaining to the rights of life and lib- 
erty, of the safety of property and social institutions, 
which affect the welfare of the community, educational 
institutions are the intellectual bulwark. So far as they 
touch these matters at all, they are brought into exist- 
ence to disseminate sound principles for influencing 
conduct conserving these institutions. Any sudden 
theory of disruption generally propagated would be a 
social and moral calamity to the community. It would 
disturb public faith in institutions, and consequently 
tend to destroy the efforts of economic and social devel- 
opment. Why should society be subjected to the risk 
of chaos by officially teaching this new unverified no- 
tion. It is merely the honest conviction of a single 
individual, who may be right, but who is more likely 
to be wrong, because existing institutions are the re- 
sult of slow, painful experience ; they have been put 
through the crucible of antagonism and the test of ex- 
periment every inch of the way. To have a theory ad- 
vocated, therefore, which runs counter to this, carries 
the presumption of error with it and justifies reluctance 
of acceptance, because cumulative experience carries a 



LIBERTY OF ECONOMIC TEACHING 233 

stronger presumption of correctness than the new con- 
clusions of any single mind. 

It does not matter for the purposes of the general 
doctrine upon this subject whether an institution is a 
corporation supported by the voluntary endowments of 
individuals or is a state institution. If it be an institu- 
tion sustained by private contributions, those who con- 
tribute have the right to object, and the community 
whose institutions are to be injured by it has even 
greater right to object. If the institution be a state 
affair, supported by taxes, then the public has still 
more right to protest, because a state institution should 
be more representative of the public even than a pri- 
vate institution. When an institution is supported by 
the enforced taxation of the community it should be 
representative of the consensus of the community. In 
spheres of knowledge where religious, ethical and social 
conduct, the stability of the home and safety of property, 
depend upon the integrity of the accepted view, the 
community's educational institutions should stand for 
the general conservation of that view until a new hy- 
pothesis has been verified in the light of experience 
and opinion. A new doctrine on subjects in which the 
opinion of society affects the social life and conduct of 
the people should establish independently its own 
claims to acceptance, and should be recognized only in 
proportion as it can make headway under public criti- 
cism and establish a consensus in its favor. Any claim 
to use established institutions for the advocacy of their 
own disruption is illogical, unphilosophical, and con- 
trary to all experience through which existing institu- 
tions have been evolved. 



THE SOUTH'S "LABOR SYSTEM' 

THE EDITOR 



Under the heading "Catching at Straws," the fol- 
lowing appeared as a leading editorial in the Atlanta 
Journal of February i$th. To avoid even seeming un- 
fairness we reprint it entire : 

"A subscriber calls our attention to an editorial in the Baltimore 
Sun, commenting on the recent utterances at New York of President 
Gunton, of the ' Institute of Social Economics,' in which he proposes 
that New England competitors of southern cotton mills set to work de- 
liberately to disorganize our labor system. We have not seen a copy of 
Mr. Gunton' s address, but The Sun, which is a reliable newspaper, 
quotes him as follows: 

*' ' Northern mill owners would be wiser to spend $100,000 now in 
raising the condition of the southern laborer, rather than spend in a few 
years to come many times that amount in attempting to reduce the 
wages of cheir own men. One great hope lies in the labor agitator, who 
is now slowly closing in upon the southern mills and compelling an in- 
crease in wages. In the next dull period the north and the south will be 
forced into such a serious competition that the one or the other must 
give way. The South has been a drag on the nation for years, but now 
acute race prejudice in that section has nearly ceased, and there is a 
complete union with the North. The struggle is now an economical one, 
with no chance of force becoming the arbitrator. Instead, industry will 
decide the issue. The South attracts capitalists, for the cotton mills 
running there are making 30, 40 and 60 per cent, profits every year. 
The machinery is the best.' 

' ' On this The Sun remarks : 

" ' It is hardly creditable to seek to compete now with the South by 
again breaking up its labor system. It is not fair competition. ' 

"New England built up an unsound labor system in the South by 
the importation of slaves. Then, after realizing, she proceeded to tear 
it down, leaving southern industry in a chaotic condition from which it 
is slowly recovering. Now that we have a sounder system of labor, this 
apostle of the ' Holier Than Thou ' order proposes to reduce our indus- 
trial capacity by fomenting strife between employer and employees, 
where harmony exists. In this he will fail. 

234 



THE SO UTH'S " LABOR S YSTEM " 235 

' ' When New England abolishes the sweating system and makes an 
end of the white slavery which exists there, it will be time enough to 
lecture us on our labor matters. 

' ' The Journal has no defense to make for injustice to labor in any 
latitude, but we do not take our lessons from that quarter." 

In the first place it may be noted that the lectures 
referred to are published verbatim in the Lecture Bulle- 
tin of the Institute of Social Economics. We are un- 
able to find the above passage, but it is not the dis- 
torted quoting but the comments upon it that are most 
significant. The Baltimore Suns remark that : * ' It is 
hardly creditable to seek to compete now with the South 
by again breaking up its labor system," is more than 
surprising, it is depressing. 

The references to factory conditions in the South 
in the writer's recent lectures have all been in the 
direction of urging the adoption of better conditions 
for the laborers, chiefly the adoption of a ten-hour sys- 
tem, and suggesting that little children be permitted 
and if necessary compelled to go to school instead of 
being.sent to the factories at seven and eight years of age. 
Does the Baltimore Sun call this attempting to break up 
their "labor system?" Does the Sun want to be understood 
as contending that a twelve-hour system for women 
factory operatives, and the employment of children 
regardless of age, education, health and other condi- 
tions, are essential parts of the "labor system" of the 
South? If so, the Sun does not represent the best 
opinion in the South. 

We met many prominent citizens and some large 
employers who emphatically expressed the wish that 
a legal limit might be placed on the age at which chil- 
dren should be permitted to go to the factory, because 
the parents made urgent appeals to have them given 
employment, which it was difficult for the overseers to 
resist. Nor is this at all peculiar to the South. It was 
a common experience in England in the early part of 



236 GUNTON'S MAGAZINE [March, 

the century and in Massachusetts and New England in 
the early 7o's. We remember an instance in which the 
parents changed the ages of all the five children, in the 
family Bible register, putting them all two years ahead 
in order that they might get into the factory two years 
before the legal age. Most stringent and efficient leg- 
islation and inspection were necessary to overcome the 
ignorant selfishness of poor parents and compel the 
children to go to school a certain length of time before 
they were permitted to enter the mill. The age limit 
has been raised several times, until in New York state 
it is now fourteen years, or sixteen unless the child can 
read and write. 

If it be true that utter neglect of the physical and 
educational conditions of the factory children is an in- 
separable part of the " labor system " of the South, as 
the Baltimore Suns remark would seem to imply, then 
the South has selected as peculiarly its own the worst 
features of the factory system, features that have been 
gradually thrown off by every other manufacturing 
community. But we refuse to believe this, and repeat 
that in this position the Sun neither represents the de- 
mands of the most intelligent laborers in the South, 
particularly in Georgia, nor even of the best element of 
the business and manufacturing community. We do 
not believe that in Charlotte, Spartanburg, Greenville, 
Atlanta, Augusta, Columbus, Phoenix, or any of the 
manufacturing towns in the South, a public meeting of 
citizens would sustain the Baltimore Suns position that 
unlimited child labor is a necessary or even desirable 
part of their " labor system." 

By way of supporting the attitude of the Baltimore 
Sun, the A tlant a Journal taunts New England about its 
sweatshop system, and adds that it does not want to be 
unjust to labor in any latitude, "but we do not take our 
lessons from that quarter." Really, if anything this 



I900.J THE SOUTH'S "LABOR SYSTEM" 237 

seems a little worse than the Sun. The Journal here 
practically admits the correctness of what the Lecture 
Bulletins have contained regarding factory conditions in 
the South, but objects because it comes from the wrong 
quarter. Can it be possible that sectional feeling is 
still so strong that the prominent journals of the South 
will object to humane as well as highly economic legis- 
lation because it is suggested by somebody living in 
the North? If so, even in this they misrepresent the 
South. The suggestion that the hours of labor be 
reduced in the southern factories has been urged by the 
operatives themselves, in Georgia, North Carolina, 
South Carolina and Alabama, and the writer's sugges- 
tion was at most only supporting and emphasizing the 
importance of the movement already begun in the 
South. 

But if the Atlanta Journal objects to suggestions 
for a progressive policy from the North, why doesn't 
it take the lead itself? Why does it not indicate that 
it believes in improving the conditions of the factory 
operatives of the South ; that public policy in the South 
as everywhere else demands that the physical health 
and educational opportunities of the factory children 
be protected? We have heard the voice of the opera- 
tives in this behalf, but thus far we have heard nothing 
in support of such a demand from the Atlanta Journal. 

Last year there was a bill before the Georgia legisla- 
ture providing that the working age of children should be 
limited to twelve years. This measure passed one branch 
of the legislature and was defeated only by a political 
trick in the other. Did the Journal raise its voice in 
support of that measure? Did it enter its protest 
against the unfair maneuvers by which the friends of the 
bill were swindled? In short, has it ever championed 
the cause of the factory babies ? Has it ever said a word 
against the long hours of factory labor that prevail 



238 GUNTON'S MAGAZINE [March, 

through the new South? This child labor bill will soon 
be introduced in the Georgia legislature again. We 
shall be interested to note the Journals enthusiastic 
support of the bill. If it will lend its hearty support to 
that measure it will earn the universal gratitude of the 
factory operatives of the South, and of laborers and the 
cause of humanity everywhere. 

The Journal is entirely justified in pointing to the 
sweatshops of New England and New York as a burn- 
ing disgrace. The whole world is justified in pointing 
the finger of scorn until that system is abolished. In- 
stead of resenting the suggestion that the East should 
abolish its sweatshops, we wish every newspaper in the 
land would scourge New York and New England until 
for sheer shame the disgraceful blot upon our city civ- 
ilization is legislated out of existence. 

All the evils of the factory system, including the 
unlimited employment of children and long hours for 
women, which now prevail in the South, and the truck- 
store in addition, were once features of the factory sys- 
tem of England and New England, but, by criticism, 
public protest and organized demand for reform, one 
after the other of these abuses has been eliminated 
and the sweatshop system is now under the ban both in 
New England and New York. Massachusetts has 
passed a law which it is expected will practically stamp 
out the sweatshop disgrace. Last year New York 
passed a caustic law which it is hoped will accomplish 
much in the Empire State, and if not it should and will 
be amended so as to reach the evil. This has been ac- 
complished not merely by criticism in New England 
and New York but by the criticism of everybody who 
came in contact with it, whether from the North, South 
or West. 

The Atlanta Journal and Baltimore Sun and every 
other public spirited journal in the South should en- 



1900.] THE SOUTH'S " LABOR SYSTEM" 239 

courage criticism, from whatever quarter, that joins in 
the demand that factory children shall have the oppor- 
tunities of education and be protected against working 
conditions which undermine the health and morals and 
intelligence of coming citizens. They should be the 
leaders in this movement. There is nothing in this 
movement for shorter hours and better opportunities 
for factory women and children that will militate 
against the prosperity of the corporations. Indeed, 
there never was so opportune a time for adopting this 
policy. We are in the midst of high prosperity. Cor- 
porations are earning large dividends, and they can 
afford if needs be to yield a little for the improvement 
of the lives and conditions of their operatives. History 
everywhere proves that in the long run this is not a 
sacrifice even for the capitalists, but that intelligent 
prosperous working people are the hope of progress 
and prosperity in any country or section. There is no 
defence to be offered, in this closing year of the 
ninteenth century, for the conditions under which the 
factory operatives of the South are now living and 
working. The only excuse for it is that the factory 
system in the South is new and in its newness it takes 
with it the crudities that belong to all new and sudden 
movements. 

The nation, for its own sake, for the sake of the 
social progress and growth of intelligent citizenship, 
has a right to ask that the leaders of opinion and senti- 
ment and policy in the South should aid in the speedy 
establishment of industrial conditions as good at least 
as those existing in monarchical countries. If the 
southern papers will not lead in this movement then 
others must, for the movement must and will go on. 



EDITORIAL CRUCIBLE 



AT LAST New York state has entered upon the task 
of reforming its crazy-quilt taxation system. Senator 
Stranahan proposes to solve the difficulty by levying a 
special tax for state purposes on mortgages. This 
practically makes real estate owners, who are in debt 
contribute to the state revenues and lets those that are 
not in debt go free. Thus the Astors and other mil- 
lionaire property owners will escape the state tax, while 
every struggling owner of a mortgaged home will have 
to pay. It is said that for local purposes mortgages are 
to be exempt from taxation, but what of that; the 
mortgaged property is to be taxed for local purposes at 
its full value, regardless of the mortgage, just the same 
as the unmortgaged property of the millionaires. Again, 
it is contended that this tax will be paid by the mort- 
gagee, as if he would not transfer it to the mortgagor. 
One might as well argue that a direct tax on sugar will 
be paid by the refiner. In short, the Stranahan bill 
proposes double taxation for the poor and single taxa- 
tion for the rich, and ought not to become law. 



A SECOND tax bill has been introduced into the 
New York legislature by Assemblyman Elsberg. It 
proposes to make the amount of the state tax in each 
county proportionate to the amount expended for local 
purposes. If the people of a given county are especially 
energetic and progressive, and spend liberally for 
schools, highways and other public improvements, their 
state tax will be proportionately increased. This will 
be sure to operate as a powerful argument in favor of 
niggardly expenditures by those who are opposed to 

liberal public improvements. Every new schoolhouse 

240 



EDITORIAL CRUCIBLE 241 

sidewalk or other local improvement will be opposed 
with the argument that it will increase the state tax. 
If simplicity in taxation is to be accomplished without 
increasing injustice or hindering progress, direct taxa- 
tion must be abandoned, so that the tax will have the 
maximum indirectness and distribute itself throughout 
the community by the automatic process of economic 
exchange. 



MR. TOM L. JOHNSON in a recent lecture in New 
York city advocated the confiscation of all railroad 
franchises, and not merely the public ownership of mu- 
nicipal railroads but the making of transit free to the 
public, paying the whole expense from taxation. Now 
if Mr. Johnson seriously believes in this brand of so- 
cialism, he cannot do better than advocate it often. 
Nothing would more rapidly determine his place as a 
leader in social reform. When millionaires want to 
confiscate other people's property and cling to their 
own they are apt to be misunderstood. A supreme 
test for this class of cases was propounded nearly two 
thousand years ago. It was : * ' One thing thou lackest : 
go thy way, sell whatever thou hast, and give to the 
poor." The young man to whom the test was thus 
applied " went away grieved: for he had great posses- 
sions." The test is severe but infallible. It would 
put Mr. Johnson " beyond suspicion" as a genuine all- 
round socialist reformer. 



THE LARGE majority by which the senate currency 
bill was passed assures the establishment of the gold 
standard beyond the power of any president or secretary 
of the treasury to alter. This feature of the senate 
bill is identical with that in the house bill ; so that, 
although the measure for other reasons will have to go 
to conference committee, on this point there will be no 



242 GUNTON'S MAGAZINE [March, 

change and the obligation to pay all indebtedness of 
this nation in gold will be established by law. No free- 
silver president or secretary of the treasury can get be- 
hind the word "coin" as an excuse or defence for using 
silver in paying national obligations, and thus practi- 
cally putting the nation on a silver basis and causing a 
panic in twenty-four hours. This much has already 
been accomplished, for which every business man should 
breathe more freely. If the American people want to 
pay their obligations in forty-five cent dollars, and thus 
put the republic on the list of bankrupt nations, they 
can do so, but only by passing a law to that effect which 
shall make the American people alone responsible for 
the dishonorable course. They never can be tricked 
into it by the maneuvers or audacity of any individual 
who may, by a political accident or from motives aris- 
ing from entirely different issues, happen to find his 
way to the White House. The people through their 
representative law-making power have now said that all 
obligations of the United States, interest and principal, 
shall be paid in gold. That decision, when it becomes 
law, can never be altered except by the same repre- 
sentative law-making power. It involves no risk to 
prophesy that the American people can never be in- 
duced consciously to pay their debts in anything 
less than the best money in the world. 



THERE is one important point upon which the house 
and senate currency bills are widely different. It is 
on the matter of the endless chain. The house bill 
terminates it and the senate bill continues it. The 
house bill clearly stipulates that when greenbacks and 
treasury notes are once paid into the treasury for gold 
they shall not be reissued except in exchange for gold. 
This will absolutely break the endless chain. If this 
clause remains, the greenbacks and treasury notes can 



i 9 o.3 EDITORIAL CRUCIBLE 243 

never again be used to deplete the treasury of its gold, 
and hence the process of using the greenbacks to make 
the government go into the market and borrow gold to 
accommodate private business will be ended. If the 
banks and business men want gold for their green- 
backs and treasury notes they can have it, but they can 
never again have the treasury notes and greenbacks 
unless they surrender the gold. 

The senate bill provides that when the greenbacks or 
treasury notes are presented to the redemption depart- 
ment of the treasury for gold they may be taken to the 
general fund department and there exchanged for gold 
to maintain the $150,000,000 redemption fund, so long 
as there is any gold to exchange. Thus they reenter 
the general fund and are again let loose into circula- 
tion, which perpetuates the endless chain. This differ- 
ence in the two bills is vital. On this point the house 
bill should be insisted upon, and the senate should sur- 
render. If the measure finally establishes the gold 
standard and absolutely terminates the endless chain 
it will have remedied two of the radical defects in our 
monetary system. Much more will remain to be done, 
but these two points are significant steps in the right 
direction. 



IN HIS report for 1900 the New York Factory In- 
spector very naturally devotes considerable attention to 
the sweatshop system. After enumerating the difficul- 
ties attending the enforcement of the new law, he ad- 
mits that the almost insurmountable difficulty in the 
sweatshop problem is immigration. He says: 

" Who are the tenement workers ? They are mostly, if not entirely, 
of the ignorant immigrant class who come to the shores of this country. 
It is a rare thing to find a native American engaged at work in a tene- 
ment. The tenement workers are mostly Italians. Among the shop 
workers and contractors the Hebrews predominate. The dense ignorance 
f the class of Italians engaged in tenement work makes them an easy 




244 GUNTON*S MAGAZINE [March, 

prey to the shrewd Hebrew contractors. The unfortunate feature about 
the whole thing is the fact that there is no prospect of immediate relief. 
The steamship companies pour into this country a steady stream of 
these undesirable accessions to its population. They come and they stay 
in the densely crowded sections of East New York, making that part of 
the great city a veritable hotbed for the propagation of every conceiv- 
able form of vice. It would help materially to solve the sweating prob- 
lem if immigration was suspended for the next decade." 

This strikes at the heart of the matter. The new 
law has many excellent features. It is perhaps now the 
best law there is in the country; with a few slight 
changes it might be made very efficient and would 
practically accomplish all that legislation can in dealing 
with the sweatshop problem. But so long as the flood- 
gates of immigration are open, and herds of squalor- 
begotten immigrants can swarm in, no amount of re- 
pressive legislation will cure the sweatshop evil. These 
people are satisfied with the pestilential conditions un- 
der which they live and work. Bad as these conditions 
are to Americans, they are no worse than those from 
which these people have come. The recommendation 
of Inspector Williams that immigration should be " sus- 
pended for a decade " is solid sense. Unless something 
is done to that end, no force of factory inspectors can 
relieve New York of the sweatshop system. If we 
would purify the water in our own reservoir we must 
first stop the inflow of the muddy stream. 






THE REVEREND DOCTOR Heber Newton is one of 
the profoundest scholars in the Christian ministry. He 
is devout, broad, optimistic, inspiring and all-embra- 
cingly humane on every topic he touches. Occasion- 
ally he enters the field of social economics, where he 
finds the procession moving all too slowly and is tempt- 
ed to leave the highway of orderly patient observation 
and verification, jump fences and ditches and rush 
11 cross lots " to a conclusion. He appears to have been 






EDITORIAL CRUCICLE *45 

under one of these spells in his recent address at Coop- 
er Union when he said : 

' ' No more revolting story is told in the history of the industrial 
world than the tale of the Standard Oil Trust as Henry D. Lloyd has 
given it. That that story is, on the whole, true must be sufficiently evi- 
denced by the fact that the magnates of the trust have never brought a 
libel suit against him. " 

The fallacy of much of this " revolting story" of 
Henry D. Lloyd has been many times exposed, and 
ought not now to-be seriously quoted by responsible 
public teachers, except in so far as it can be substanti- 
ated by other evidence. But Dr. Newton's conclusion 
that on the whole the story must be accepted as true 
because the author has not been sued for libel is the 
most extraordinary of all. If this rule of testing truth 
is to be adopted, nearly every public man must be 
deemed to have been proved a rascal and every success- 
ful corporation a den of thieves, unless most of the 
time and money of public men and business firms is 
spent in libel suits. 

To assume that every man is guilty until he has 
proved his innocence is a reversal of the principle of 
Anglo-Saxon justice. Let the masses once believe that 
every man in public life and every business concern is 
guilty of all the charges hurled against them in the 
public prints, until they prove their innocence in court, 
and faith in our institutions and in ordinary humanity 
is gone. That doctrine is laden with the seed of pes- 
simistic distrust, revolution and anarchy. 



FOR CHARACTER, NOT CLEVERNESS 



Not more than a generation ago the high and 
sacred objects of common-school education were these : 
to cram information into the youthful mind like sausage 
meat into skins; to " train and discipline" the mental 
powers. Such a description might be recognizably ap- 
plicable even to-day, but we have made some real prog- 
ress beyond that extreme condition. The idea and 
theory of education have improved, and even the appli- 
cation of methods, but if anything the cramming is 
more relentless than ever. The machinery has been 
geared higher, the tension is keener, the whole system 
grinds away like a factory for turning out a race of 
fourteen-year-old savants. 

Of course this ' ' cram and train ' ' theory of educa- 
tion is and always has been arbitrary and utilitarian. 
It sees little farther than the supposed " practical" 
needs of the next generation of storekeepers and tax 
assessors. It drones away on things for the sake of the 
things more than of the principles or ideals they can 
illustrate. It strives to fit and trim instead of lead. It 
is egotistically satisfied if it turns out an annual con- 
signment of highly accurate and well-oiled machines ; 
it lacks the capacity of appreciating what is meant 
by helping to develop a man. It teaches facts and 
names to be forgotten, because they are not made to 
signify much of anything real and vital in life ; it trains 
the mind to cipher. It is on a par with that mouldy old 
doctrine of economics that all consumption is unprofit- 
able and wasteful except that which is just necessary to 
enable the workman to go on working. 

But all this no longer passes unchallenged, at any 
rate. We are getting little by little a new and higher 

246 



FOR CHARACTER, NOT CLEVERNESS 347 

philosophy of education, which lays the emphasis on 
character rather than on ingenuity and accomplishments. 
Its ideal is a strong, well-balanced and capable indi- 
vidual, rounded-out and developed on every side, 
physical, esthetic, moral and spiritual, no less than the 
intellectual. Its object is to make a man, who by vir- 
tue of his manhood shall become a useful creative force ; 
it is not first to make a worker and deviser who, through 
that, may or may not come to be a man. 

This difference in original point of view and em- 
phasis changes the spirit, character and result of the 
whole educative effort. 

We are still a long way from realizing any such 
ideal in practice, but there are many voices crying in 
the wilderness. There are many and more all the 
time to protest against purely utilitarian and short- 
range methods and aims. The basis of the new thought 
is all towards a broader and finer educational idea than 
anything characteristic of our present system. 

It is coming to be recognized, for example, that to 
exaggerate beyond all reason the purely intellectual 
side of education means positive injury to at least one 
of the other phases of development that ought to have 
helpful recognition the physical; and at the same 
time means neglect of the two other phases, of greater 
ultimate importance than either of the others, the 
moral and spiritual. 

The writer's attention is especially attracted to 
this subject just at present by an address delivered be- 
fore a recent convention of the Colorado State Teachers 
Association by Miss Elizabeth Richards, on "The 
Crowded Curriculum in our Elementary Schools.'' It 
is a critical and suggestive paper, bearing along the right 
lines ; and, without ascribing exceptional novelty to the 
ideas, certain of the points are made and sustained in a 
forceful and concise manner worthy of a larger audi- 



248 GUNTON'S MAGAZINE [March, 

ence than that presumably reached by The Rocky Moun- 
tain Educator. Reverting, for instance, to the question 
of the effect on health of text-book cramming, we quote : 

" The present curriculum does not tend to health. 
Children are taught the science of health during each 
year of their school life, and yet, each year, a large 
number of pupils leave school with poorly developed 
bodies, impaired eyesight, and general nervous ex- 
haustion. 

" We are wasting time in an attempt to develop in- 
tellect in children whose physical condition will not 
permit the highest degree of intellectual development. 
Dr. G. Stanley Hall says that ' if going to school does 
not tend to health, let us turn the children out to grass 
until they are twelve years old.' 

' ' Where is there time in our present curriculum 
for the necessary physical culture that will result in 
permanent good? I feel safe in asserting that, in most 
schools, the time devoted strictly to physical culture 
does not exceed fifteen or twenty minutes. One who 
has spent years in the study of child-life says that one- 
third of the time spent in school should be devoted to 
the development of the physical powers. This would 
include music and voice-culture. 

" In order to accomplish the work required in our 
present curriculum, it is necessary to spend from four 
to five hours of the day in close application to study or 
recitation, and from one to three hours in home-study. 
I have conferred with parents in regard to the required 
home-study parents who are awake to the interests of 
their children, and whose children are the earnest, con- 
scientious students of the grades, and I find them of 
one opinion : the work of the grades is excessive, the 
best portion of the evening is devoted to school work, 
there is no time for other reading, there is not suffi- 
cient time in many instances for necessary recreation." 



FOR CHARACTER, NOT CLEVERNESS 249 

Again, referring to the tendency of current meth- 
ods to force and stuff instead of guide and help : 

"The law of childhood is life. A child will grow 
if he is given a chance to grow slowly, perhaps, but 
naturally and surely. Our present curriculum, like 
Dickens' * McChoakum child,' ' seems like a kind of can- 
non loaded to the muzzle with facts, and prepared to 
blow children clean out of the regions of childhood at 
one discharge.' 

* ' Pestalozzi defines education as ' the generation 
of power/ What power is a child of seven or eight 
years gaining when he is required to commit the twelve 
tables in multiplication and do quantities of abstract 
work in addition, subtraction, multiplication and di- 
vision? He can accomplish this work only by the ex- 
ercise of memory, and educational value ceases when 
memory alone is active. Which child possesses the 
power, the one who is so ' snowed under' with infor- 
mation as to stifle his selfhood, or the child whose free 
and natural development begets the desire for knowl- 
edge? This desire will create an unlimited capacity, 
whereas the capacity often fails to create the desire. 

' ' Emerson has said : ' We take a great deal of pains 
to waylay and entrap that which of itself will fall into 
our hands.' 

Right ; and the same philosopher observed : * * You 
send your children to the schoolmaster, but 'tis the 
schoolboys who educate him. You send him to the 
Latin class, but much of his tuition comes, on his way 
to school, from the shop- windows.'' We might with 
entire safety be far less anxious and insistent, than we 
are, about drilling every school child in all the details 
of formal information-studies. If we can successfully 
equip the young consciousness with power rightly to 
observe, appreciate and reason, we can safely leave it', 
in this age of civilization, to seize upon a very generous 



250 GUNTON'S MAGAZINE [March, 

proportion of the minor details of formal knowledge 
as occasion or necessity may arise. This implies 
no recommendation for doing away with knowledge- 
studies; but, indeed! how easily we could dispense 
with this high-pressure tension of trying to force 
the sum of accumulated wisdom and research into un- 
developed minds as if under the grim necessity of 
"now or never." When did it ever become a law of 
human capacity that there can be no opportunity beyond 
the schoolroom for reading a line of human history with 
comprehension of its real significance; or of finding out 
the direction of water-courses in New Zealand, or the 
relative advantages of single- and double-entry book- 
keeping? Miss Richards quotes a significant remark of 
a certain bank president that : ' ' When we take a young 
man into our employ, we prefer one who has not had 
too much training in school arithmetic. We prefer to 
train him for the actual business transactions of life." 

Do we not, often, by identifying too closely a pro- 
found and vital subject with the superficial detail of a 
grammar grade text-book, doom in advance the interest 
and spirit of inquiry that might be applied to it when 
the age of real comprehension is reached? What if, in- 
stead, the emphasis of the school period were placed on 
rousing that interest and inquiring spirit by showing a 
vital life and character significance in whatever is 
studied ? 

To establish educational methods upon Pestalozzi's 
plane " generation of power" would of course mean 
a different order of training for teachers, and to a large 
extent a different sort of individuals as teachers. Char- 
acter, disposition, enthusiasm, fitness, and the heaven - 
born gift of sympathy, would be vital considerations; 
quite as much so as ability to pass a technical exami- 
nation. But it would be unjust to bring a complaint 
against our teachers of to-day for failure to exercise 



i goo.] FOR CHARACTER, NOT CLEVERNESS 251 

qualities in the school-room which are neither empha- 
sized in their training nor permitted by the character of 
the work they are required to do. Under rigid ad- 
herence to traditional established studies there is little 
room for individual enthusiam or inspiration. What 
can the formal routine of fact-teaching offer to call out 
anybody's deepest interest and resources? So little, 
that both teacher and pupil lose that fine, impalpable, 
psychological unity of purpose and ambition between the 
stored mind and the unstored, which is the most essen- 
tial and helpful thing that educational contact in any 
form can possibly furnish. The teacher under our 
popular regime gets Miss Richards' sympathy : 

' ' What a sad loss that word school suffered in its 
translation from the Greek to the English ! Does it 
mean leisure with our present curriculum ? No ! ' Hills 
peep o'er hills, and Alps on Alps arise ' before each 
teacher and pupil who would attempt to fulfil its re- 
quirements. With the present curriculum, and with 
from forty to sixty pupils, a teacher must spend seven 
or eight hours in her school-room and devote from one 
to three hours of each evening in correcting written 
work and making out reports. She has very little, if 
any, time in which to come into touch with things out- 
side of her school life, and thereby gain that living and 
contagious interest in things which affords inspiration to 
her pupils. Is it very strange that many conscientious 
teachers and many earnest pupils would fain exclaim 
as did the daughter of the ' eminently practical ' Thom- 
as Gradgrind: ' I am tired? I have been tired a long 
time! '" 

The revised curriculum recently proposed by Dr. 
C. H. Henderson, head-master of the high-school de- 
partment of Pratt Institute, before the Eastern Kinder- 
garten Association is thus summarized by Miss Rich- 
ards: 



< < 

< 



252 GUNTON'S MAGAZINE [March, 

"i English language and literature, with special 
emphasis on the ability to read well, and only passing 
reference to spelling and writing. 

"2. The spealdng- and reading of one foreign 
language, say French or German. 

"3. Free-hand drawing and color work treated 
esthetically. 

4. Natural history considered from the surface. 

5. Sloyd, or some form of educational manual 
training. 

" 6. Music and voice-culture. 

" 7. Gymnastics, very thorough -going and direct- 
ed to the training of the senses and the esthetic devel- 
opment of the body." 

In defence of the omission of history, geography 
and arithmetic from this curriculum Dr. Henderson 
asserts "that history is more vitally taught by reading 
interesting stories and lives than by cut and dried 
study ; that geography is best taught by constant refer- 
ence to a good wall map and globe during a course 
of reading that has been selected to please children in- 
stead of older people, and which consists largely in 
books of travel and adventure. Arithmetic would be 
taught as it is involved in the natural activities of the 
day." 

It may be that the entire omission of these three 
subjects as specific studies is too radical a step ; indeed, 
there are strong considerations in favor of a certain 
amount of formal instruction on these lines during the 
last two or three years of the elementary school period ; 
but the spirit of the proposed changes is right, and the 
tendency is right. They are ' ' based upon the princi- 
ple that only such training as makes for the broadest 
mental and moral power should receive attention in ele- 
mentary schools." To this making of mental and mor- 
al power physical health is one of the necessary contrib- 



1900.] FOR CHARACTER, NOT CLEVERNESS 253 

utors ; out of the joint result spring the conditions 
which liberate the spiritual nature and so invest life 
with a transforming quality and significance. 

" Education of the brain," to quote again, " is not 
sufficient ; there must be, above all else, an education 
of the conscience. It is said that ' Of two life compan- 
ions we are eternally sure : God and our own conscience. 
Happy is he who has made both his everlasting 
friends.' Unquestionably, we need more wholesome 
moral training in our schools if the school is designed 
to supplement or complete the home training of chil- 
dren, and if the teacher supplants the parent during the 
hours when the child is under her control. 

' * The teachers in a certain city in our state made a 
study of the home training of their pupils, and con- 
cluded that 35 per cent, of the pupils had good moral 
home training. What opportunity for moral training 
have the remaining 65 per cent., if not in the schools? 
The duty of prime importance which the school owes 
to the state is to train its children to be not only intel- 
ligent, but just, honest, kind, truthful, healthy citizens. 
. How is it that the noblest of humanity has 
not reached us through years of application to a school 
curriculum? To use President Hyde's striking illus- 
tration, it is because, in our school system : ' We have 
abandoned architecture, and have become absorbed in 
decorating, while the pillars of the edifice we would 
adorn are crumbling under our hands.' 

Unduly pessimistic, this is ; yet far more largely 
true than it ought to be or need be. 

We are not wholly dependent upon untried theo- 
ries, now, in looking for truer methods. We have prac- 
tical demonstrations of what can be done, the kinder- 
garten for example. That at least is based upon prin- 
ciples fundamentally right. It may not be perfect in 
detail but it is mainly sound and harmonious in method 



254 GUNTON'S MAGAZINE 

and contributes naturally, quietly, and without waste, 
formalism or forcing, to the full and healthy develop- 
ment of body, mind and character. If the guiding 
principle of this system should come to dominate our 
whole educational plan it would not be the first time 
that the world has had to turn from arbitrary forces to 
psychological influences for the solution of its deepest 
problems. 

The kindergarten is gaining a surer foothold every 
year, but the great majority of our educational author- 
ities still regard it with indifference, postpone it as an 
unpractical fad, and worse than all have no appreci- 
ation of its spirit, or the possibility of extending it to 
the later stages of the educational work under their 
hands. In the great sum of things, this is the most 
serious responsibility that men are required to assume, 
guiding and shaping the formative years of other 
men's lives, whether in school or out of school. There 
may come later and additional chances for reading and 
study, but almost none other for really influencing the 
qualities that endure. This is nature's one gift of time 
and opportunity to modify the effects of bad heredity, 
bring out the sound and wholesome tendencies and in- 
spire a real faith in the "true and the beautiful," before 
the materialistic (miscalled "practical ") side of the world 
steals a march and develops the cynic, pessimist and 
selfish opportunist. Rather than a thousand lightning 
calculators or glib recitationists give us one true man, 
even though he halt in his spelling and nod over his 
cube root. 




CIVIC AND EDUCATIONAL NOTES 



Signs of New York city is about to expend a sum, 

Civic Spirit equal to that invested by Chicago in her 

drainage canal, on a rapid transit underground railway, 
and with the extensions and additions that may be 
found necessary before the project is completed it is 
possible that twice this amount will be expended. 
American cities have been exceedingly slow to realize 
the importance and seriousness of municipal problems, 
but there is no disputing the vigor with which specific 
propositions are carried out when once public sentiment 
reaches the point of really undertaking them. There 
have been many hopeful signs in the last few years of 
an awakening of civic spirit. At first it is taking the 
form of handling the great rough problems of the 
physical necessities of municipalities ; we seem destined 
to wait a good while before the less obvious but equally 
vital problems of educational, social and political con- 
ditions are taken up in a similarly wholesome, thorough- 
going way. But it is a great deal to have made a be- 
ginning. 



Chicago's T ^ e C ^Y * Chicago is justly proud of 

Drainage her great drainage canal, completed late 

in 1899 ata cost of nearly $35,000,000 and 
opened during the month of January. This canal turns 
back the natural course of the Chicago river and car- 
ries the city's drainage westward into the Illinois river, 
thence to the Mississippi and Gulf of Mexico. Heretofore 
it had been passing into Lake Michigan and polluting the 
city's water supply. St. Louis, rather naturally, is fight- 
ing the new drainage canal, but it seems likely that 
in practical experience so large a volume of lake water 

255 



256 GUNTON'S MAGAZINE [March, 

will be diverted into the Illinois and Mississippi rivers 
that instead of increasing the pollution it may actually 
help to purify, considering the fact that the Illinois has 
been regularly getting the drainage of a line of large 
manufacturing towns all across the state. The channel 
that was necessary to turn this drainage from the Chi- 
cago into the Illinois river is twenty-nine miles long 
and 1 60 feet wide at the bottom. One-third of the ex- 
cavation, or about 12,000,000 cubic yards, was through 
solid rock to the depth of 22 feet, and the whole amount 
of the excavation was nearly half as much as that for 
the entire Suez canal. The dimensions of the canal 
are sufficient so that a further extension to the west- 
ward, if made by the United States government as is 
now being urged, would provide a deep waterway chan- 
nel through to the Mississippi river ; in other words, 
from the great lakes to the gulf. 



Broader Social Methods of work are being expanded in 
Settlement some of the college settlements in New 

Methods York. The settlement residents, instead 

of remaining in and working from the association build- 
ing, take rooms in the tenement houses of the district 
and thus extend wholesome influences over a consider- 
ably wider field. An article in the Evening Post shows 
some of the results : 

' ' Since the settlement workers established them- 
selves amid their new surroundings a mild revolution 
has been going on about them and on the floors above 
and beneath. When the curious came to peep in at 
the doors which are always ajar for that very purpose, 
there was no one to repulse them ; on the contrary, 
they were invited in. The same bare, dark, unadorned 
room was there originally, to the knowledge of the 
tenants; but the stained walls, the clean, polished 
floors, the spotless curtains and simple, artistic furnish- 



1 900. ] CI V2C A ND ED UCA TIONA L NO TES 257 

ings had changed it into a haven of rest and beauty. 
The surroundings brought out in contrast the dirt on 
the little visitors who came in. They recognized it, 
and there was an effort to improve. Faces and hands 
were washed more regularly. The bath-tub was cul- 
tivated soon, and unkempt locks were washed and 
brushed. A good portion of the day once or twice a 
week is now given to scrubbing floors and halls and to 
cleaning windows by the elder people, and there is a 
general tidying up every day. In the few weeks since 
the settlement workers moved into the tenement a per- 
ceptible salutary and sanitary change has already been 
brought about. The workers conduct their regular 
classes and work in the tenements in which they live." 



The Theory of Every little while a certain kind of jour- 
Settlement nals like the New York Sun indulge in 
a stream of sarcasm about recent socio- 
logical efforts like the social or college settlements. 
These middle-of-the-century critics see nothing in such 
work except the fussy and faddish efforts of a group of 
dudes and " new women" to obtrude themselves on 
the domestic privacy of other people who, on the theo- 
retical democratic principle, are as good as anybody 
else, and even better. They alw :-iys picture the social 
settlement workers as monocled busybodies, settling 
down like visitors from another planet amid our un- 
fortunate poor and studying them with microscopes and 
compasses as an anatomist would study cats and rabbits 
in his laboratory. 

All this is very witty and sharp of course, but it 
reflects something more hopeless than ignorance. It re- 
flects temperamental and constitutional inability to un- 
derstand or appreciate the power of psychological 
influences. This type of mind has no comprehension 
of the meaning of our new conditions ; it argues as if 



258 GUNTON'S MAGAZINE [March, 

we were still in the old Jeffersonian period of simple 
individualistic industry and social life. It does not 
appreciate the overwhelming fact staring us in the 
face to-day, that even the force of personal influence 
demands systematic instead of haphazard application. 
Social settlement work is sound from both the socio- 
logical and psychological standpoints. It is based on 
the power of example coupled with personal sympathy, 
and recognizes that example itself, to be effective, must 
be located actually within the limits of the group it is 
designed to influence. The slum immigrants are not 
influenced by the examples of art, cleanliness, culture 
and refinement they may see when they venture out on 
Fifth Avenue, but they are affected by clean, decent 
and wholesome living in the same tenements with them- 
selves, on the basis not of pharisaical superiority but of 
hearty goodwill and fellowship. This and this only 
disarms suspicion and provokes emulation. 



Atlanta Atlanta is working very hard for a na- 

and the tional military park, to be laid out near 

New South tk a t city, commemorating the great bat- 

tles fought there in July 1 864. This is urged upon the 
same theory that justified setting apart the battlefields 
of Chickamauga and Vicksburg as national parks, and 
it would be an especially grateful thing just now if the 
effort were crowned with success. Atlanta, on the 
whole, is typical of the new spirit of the South in a 
broader sense than any other southern community. 
Birmingham might be cited, but Atlanta is a much 
larger and older city than Birmingham and is a center 
not only of industrial but of intellectual, educational 
and social influences more generally than the hustling 
and thriving metropolis of Alabama, at least for the 
present. 

A northern visitor in these new cities of the South 



1900.] CIVIC AND EDUCATIONAL NOTES 250 

finds little evidence of the old sectional bitterness. On 
the contrary, the disposition is altogether to welcome 
northern industry and trade and cooperate for a new 
industrial era, southern in its local characteristics but 
national in spirit. While preserving all dignity and 
self-respect, too much cannot be done to blot out the last 
remnants of sectional hatred. The issues of the war 
are long since dead. To dwell upon them now only 
delays the progress of industrial regeneration in the 
South and of the long hoped-for welding together of 
the two sections in sentiment and spirit, as is already 
coming to be true of industrial and financial in- 
terests. A national park commemorates the heroism 
and sacrifices of the war. It signifies nothing as to the 
right or wrong of the struggle, it implies no concession 
on any civil- war issue. It is simply a testimonial to the 
fact that the men who fought and fell on both sides 
typified American valor in defence of causes which the 
masses on each side believed to be right. If Atlanta 
wins this park there will be some of course to call it 
merely one more successful "strike" on congress; to 
the larger-minded it will be a new visible evidence of 
the unification of national sentiment. 



THE OPEN FORUM 

This department belongs to our readers, and offers them full oppor- 
tunity to "talk back" to the editor, give information, discuss topics or 
ask questions on subjects within the field covered by GUNTON'S MAGA- 
ZINE. All communications, whether letters for publication or inquiries 
for the " Question Box," must be accompanied by the full name and ad- 
dress of the writer. This is not required for publication, if the writer 
objects, but as evidence of good faith. Anonymous correspondents are 
ignored. 

LETTERS FROM CORRESPONDENTS 



Elastic Currency 

Editor GUNTON'S MAGAZINE, 

Dear Sir: It seems to be agreed by the best 
authorities on the subject of banking that the one requi- 
site for an elastic currency is that the issues when ex- 
cessive should promptly return to the issuing bank for 
redemption, and that this can be brought about by the 
system of issuing notes upon business assets, as it would 
then be to the interest of each bank to present the notes 
of other banks for redemption whenever they seemed 
in danger of becoming excessive. 

But as it seems impossible at present to abolish the 
principle of government guarantee and bond security 
for notes, why is it not advisable to secure this elasticity 
in some other manner, if possible? For, if we can put 
in operation any force that will lead to prompt redemp- 
tion, any system of issues, whether based upon business 
assets or upon bond security, will be self -regulating, 
;. e., elastic. 

Now it seems to me that this can be effected by in- 
serting in the bill now before congress a simple provi- 
sion that no bank shall pay out any notes except its 
own issues, or, in other words, that a note received in 
the regular course of business by any bank except the 

260 







LETTERS FROM CORRESPONDENTS 261 

bank which issued it shall not be again paid out ; to be, 
as at present, kept in continuous circulation. 

Deprived of the privilege of paying out " reissu- 
ing " the notes of other banks, the receiving bank's only 
recourse would be to return such notes through the 
clearing-house to the bank of issue, in the same way 
that checks and drafts are now returned. In short, bank- 
notes would become what they are in reality, simply 
certified checks, made more convenient and easily trans- 
ferable by being payable to bearer. 

Of course, with this plan, not only excessive issues, 
but all issues, would be constantly retiring ; but this 
could not cause a stringency for the reason that each 
bank would be kept by the return of its notes constantly 
below the limit of issue fixed by its amount of bond 
security, and therefore would be constantly trying to 
reach that limit by making new issues as business might 
require. In times of stagnation, loans and hence new 
issues would be made but slowly, while deposits, and 
hence redemption and withdrawal of notes, would be 
made rapidly, until possibly no notes would be left in 
circulation. During a period of stringency, new issues 
would increase more rapidly than withdrawals until the 
limit of bond security should be reached. 

The bank currency would then be perfectly elastic, 
fluctuating automatically between a theoretically pos- 
sible minimum of nothing and a maximum of an amount 
equal to the bonds deposited as security. 

Quite possibly this plan would not work well in 
practice, but I would be glad to have the editor of GUN- 
TON'S consider the idea and explain whether or not there 
is any merit in the proposition. 

RAY ROBSON, 

Bath, Mich. 






262 GUNTON'S MAGAZINE [March, 

[Mr. Robson's plan would fail to accomplish any 
important purpose, for two reasons : First ; it would not 
provide for any expansion of currency beyond the pres- 
ent limit of bond-secured circulation, which is just 
where the pressure comes at certain periods and cannot 
be adequately relieved under the present system. Sec- 
ond ; arbitrary cancellation, retirement and reissue of 
our present bank-notes would avail nothing unless the 
bonds that are tied up as security for the notes could be 
returned to the banks as fast and in proportion as they 
retired any of their circulation. This would hardly be 
feasible. The only object of daily redemption and can- 
cellation of bank-notes is to provide a constant means of 
testing and guaranteeing their security, thus avoiding 
the other and very expensive method of literally depos- 
iting with the government a corresponding amount of 
capital in the shape of low-interest government bonds. 
Sending our present bank-notes home for cancellation, 
as Mr. Robson proposes, would neither increase their 
safety nor enlarge their volume, nor would it permit 
the banks to take back their bond-security deposits. It 
would permit contraction of the currency but not ex- 
pansion, and the contraction provided is not of a sort 
that would render the bank-note circulation any safer or 
cheaper than it is already. For a thoroughly scientific 
system, we should abolish the requirement of bond de- 
posits, permit free issue of notes based upon the assets 
of the banks and securities furnished by borrowers ; 
and secure the safety of these notes by daily redemp- 
tion in legal money at large central redemption agen- 
cies. 1 




IQOO.] LETTERS FROM CORRESPONDENTS 263 

Not With Us on Boer Question 

Editor GUNTON'S MAGAZINE, 

Dear Sir: I have long been a reader of your ex- 
cellent MAGAZINE and Bulletin and regard your opinions 
upon most economic and political questions as thor- 
oughly well grounded, but I cannot be with you on the 
Transvaal question. You say in your lecture of Octo- 
ber 2ist that the Boers are "a crude, backward, big- 
oted people, who have invited the enterprising and 
energetic citizens of more advanced countries to settle 
among them in good faith and help develop their coun 
try, and now are arrogating all the rights and privileges 
of government and taxation, with no rights to the 
others, except to work and pay.'' I admit that the 
Boers in some respects have lacked enterprise, and that, 
like every people under the sun, especially the British, 
they are somewhat bigoted. I do not understand, how- 
ever, that foreigners were invited within their borders 
with any promise of a voice in the government. It is, 
I believe, the right of the host to say what are or are 
not the privileges to be accorded to the stranger who 
has crossed his threshold, and when the guest has not 
been especially invited, but has been admitted upon his 
own solicitation, the privileges accorded are very few. 

The Transvaal is the Boers' country by virtue of 
their being the first to establish and maintain a stable 
and efficient government in the land. The British have 
a better Tight to invade China (for the Chinese are 
proverbially bigoted, crude and backward) than they 
or any Uitlanders have to attempt to subjugate the 
Transvaal. 

A person voluntarily making his residence in a 
foreign country necessarily assumes the obligation of 
abiding by the laws of that country and without reason 



26i GUNTON'S MAGAZINE [March, 

to expect a voice in the government unless accorded 
voluntarily by the state. 

I do not, therefore, see how any people, placed in a 
position similar to that of the Boers, with the absolute 
certainty that another and more powerful nation was 
seeking to subjugate them, could do otherwise than re- 
sist even to the extremity of force. There should be 
no doubt in our minds that the British have been plan- 
ning to get control of the Transvaal for years. Did not 
Dr. Jameson, when testifying a few years ago, assert 
that he had had assurance of support in his enterprise 
(when he undertook to invade the Transvaal) from the 
governor of Cape Colony? Are not the dispatches 
which were sent by Mr. Rhodes to Mr. Chamberlain, 
and suppressed when testimony was being taken in the 
Jameson trial, universally regarded as having been of 
an incriminating character, notwithstanding Mr. Cham- 
berlain's protest that he had had no intimation of a 
raid upon the Transvaal? Are not the Boers of the 
Transvaal the same who were driven all the way from 
the Cape by the British? Have they not been strug- 
gling against British encroachment for centuries, almost? 
I think that we who boast our love of liberty should 
applaud the brave and determined patriots who for so 
long have fought for the right to govern their own 
country in their own way. 

To have yielded to the demands of the British and 
have conferred upon the resident Uitlanders the privi- 
lege of suffrage would certainly have resulted in the 
loss of their independence through the medium of the 
ballot-box. It would have meant their absolute subjec- 
tion to Britain. They who have been the governing 
class would have become a despised and downtrodden 
minority. It is to their credit that they had the fore- 
sight to realize this and to see the necessity of striking 
a blow for their liberty ere Britain could assemble a 






1 9 oo.] LETTERS FROM CORRESPONDENTS 265 

sufficient force to compel submission. It is to be hoped 
and is even possible that by energetic action they may 
be able to gain such an advantage as will at least en- 
able them to dictate terms with a reasonable expecta- 
tion of their acceptance. But, if unsuccessful in their 
struggle, they will have shown to the world a spirit 
that even their enemies must applaud. 

If Britain were willing to surrender India, Egypt, 
Cape Colony, Natal and scores of other colonies where 
she governs as an insignificant minority, we might re- 
gard at least as consistent her demand that the majority 
shall rule in the Transvaal. 

W. J. WAMBAUGH, 

Jumonville, Pa. 






QUESTION BOX 

Cuban vs. Philippine Policy 

Editor GUNTON'S MAGAZINE, 

Dear Sir : Is it not taking rather too much glory to 
ourselves to say, as you have done several times, that 
our Cuban policy proves to the world how disinterested 
and faithful to high ideals and promises this nation can 
be. This might be true were it not that the same 
American people apparently coincide in a directly op- 
posite policy in the Philippines. A. G. P. 

No, I do not think it is "taking too much glory." 
It is quite safe to say that if the administration had 
shown a disposition to hold Cuba in the same way that 
we have held Puerto Rico and the Philippines, it would 
have suddenly become so unpopular as practically to 
insure defeat in 1900. The difference between Cuba 
and the Philippines is that at the outbreak of the war 
we definitely stated that our object was not to acquire 
possession of Cuba, but only to help the Cubans to their 
own political freedom. Having reached the point of 
making a definite statement like this, no president or 
political party could safely violate the promise and 
adopt a reverse policy. 

Of course, it is the same American people who ap- 
parently coincide with the opposite policy in the Phil- 
ippines, but the Philippine policy is not violating a 
pledge or promise. The same people endorsed the an- 
nexation of Hawaii and Puerto. Rico. It is practically a 
policy born in the Philippines. I did not intend to in- 
timate in the least that the American people are con- 
vinced that colonizing is a mistaken policy, but only 
that when the United States makes a public promise it 
is not a " bluff. " We said in so many words we did 

266 



267 

not intend to annex Cuba and we meant it, and Mr. 
McKinley would fail of reelection if he attempted to 
break that promise. In negotiating for the Philippines 
he did not break any promise. That question was 
open, and the only thing involved was the wisdom of 
the policy, which the American people have not yet 
passed upon. 



The Tariff and Trusts 

Editor GUNTON'S MAGAZINE, 

Dear Sir: There is one issue before the country 
that I would like to see you discuss more freely, and 
that is the relation of the tariff to trusts. Will you tell 
me if there is any way by which trusts can be destroyed 
except by free trade ? I ask as a matter of information, 
irrespective of personal opinions on trusts. 

W. L., Washington, D. C. 

No, the trusts could not be wiped out of existence by 
free trade. It would probably happen, as it always 
does when a havoc is created, that the strong concerns 
would simply pick up the remnants of the rest. In a 
business depression a large number of people always 
go to the wall, but there are some strong ones that do not 
go to the wall, and they usually gather up the remains, 
just for the taking. There never was a panic yet that 
did not round up with making a few men richer than 
they were before. It simply transfers a lot of property 
at from five to fifty cents on the dollar to somebody 
else, those who are strong enough to withstand the 
wreck. If we should have free trade with a great busi- 
ness disturbance, the consequence would be that a num- 
ber of the strong trusts would gather up the weaker 
industries, and remain in the field themselves. Mr. 
Carnegie, for instance, is a case in point in the iron in- 



268 GUNTON'S MAGAZINE [March, 

dustry. He believed in protection, but lie became so 
strong that no English or foreign concern could com- 
pete with him, and then he was quite willing to have 
free trade, for if we did have free trade he knew it 
would drive out a great many of the smaller competing 
concerns. Free trade would not destroy trusts. 
The only way, ultimately, to destroy the trusts is to 
establish a policy that will make industrial depression 
perpetual, because there would be no inducement under 
such circumstances for capital to concentrate. But if 
we permit business prosperity to go on, then we will 
have the successful capitalists coming to the front and 
enlarging their establishments and range of operations 
as long as it is profitable to do so. 



Cheapness Is Sometimes Dearness 

Editor GUNTON'S MAGAZINE, 

Dear Sir: When you discuss the tariff subject in 
your magazine you seem to consider only the producer 
and ignore the consumer. Has he no interest in the mat- 
ter of prices ? The producers are taken care of but the 
consumer gets no consideration whatever, no protection. 
How then does he benefit from such a policy, when 
under free trade he would get his goods cheaper? 

M. C. R., - 

It is quite true, the consumer has an interest in 
cheap products, in getting the most possible for a dol- 
lar ; but it is equally important that the method by 
which the cheap article is supplied shall bring with it 
the possibility of earning the dollar with which to buy 
it. Take, for example, the case of Puerto Rico. Under 
free trade our capitalists would go there and use the 
cheap labor in manufacture, and sell just cheap enough 
to displace a certain proportion of the American labor- 



igoo. J Q UESTION BOX 269 

ers engaged in the same enterprise, thus reducing the 
consuming power of the wage class and restricting the 
possibility of large, and hence cheap, production. In 
proportion as the American laborer is employed and 
gets high wages he can purchase. In proportion as he 
is a large consumer, and that becomes general in the 
community, the market expands and capitalists invest 
in improved machinery, because with a large market to 
supply they can use the better methods to greater advan- 
tage, make a larger profit and sell cheaper. The result 
is that prices are lowered for the whole community, 
without lowering wages, by virtue of the development 
of the improved machinery. But when the prices are 
lowered by virtue of employing cheaper labor it defeats 
the use of improved machinery, by contracting the pur- 
chasing power of the community. Lower prices are no 
benefit when they are secured by means of stagnation 
and lower wages, but low prices that come by way of 
new inventions and better machinery are a benefit, sim- 
ply because in the one case it is the efficiency of inven- 
tion and science that makes the cheapness, whereas in 
the other it is the degradation of the wage- earners, who 
form the bulk of the consumers. 



BOOK REVIEWS 



THE WHEAT PROBLEM. By Sir William Crookes, 
F. R. S. Cloth, 272 pages. G. P. Putnam's Sons, 
New York and London. 

This volume contains Sir William Crookes' rather 
sensational address delivered in September 1898 before 
the British Association, of which scientific body he is 
the president ; also a chapter of ' ' Replies to My Crit- 
ics," one on "Our Present and Prospective Food Sup- 
ply," by C. Wood Davis, of Peotone, Kansas; and two 
contributions from Hon. John Hyde, Chief Statistician 
of the U. S. Department of Agriculture. 

Sir William's address was a very pessimistic proph- 
ecy and created a great furor, especially in scientific 
and economic circles. Indeed, a portion of his remarks 
sounded more like the voice of Malthus than anything 
that has been heard since the famous "Essay on the 
Principle of Population," which warned mankind a cen- 
tury ago to cease multiplying at the penalty of swift 
starvation. 

Sir William estimated the bread-eaters of the world 
in 1898 at 516,500,000, and the present annual increase 
of bread-eaters at 6,000,000. The average rate of 
consumption being 4. 5 bushels per capita, it would re- 
quire 2,324,000,000 bushels of wheat to supply this 
number of bread-eaters and save sufficient seed for sub- 
sequent crops. He then proceeded to estimate the 
wheat crop of 1897-98 at 1,921,000,000 bushels, leaving 
a deficit of 403,000,000 bushels; most of which would 
be supplied for that year, however, by a surplus stock 
of some 300,000,000 bushels on hand. But in succeed- 
ing years there would be no surplus ; therefore, he ar- 
gued, we should be forced at once to open up nearly all 

270 




BOOK RE VIE WS 271 

the possible remaining wheat territory of the world in 
order to supply the normal increase of wheat-eaters, 
and very soon would have to resort to universal fertili- 
zation; or else change to a rice, corn and rye-bread 
diet. He discussed the undeveloped wheat-producing 
possibilities of every part of the globe, and concluded 
that not more than 100,000,000 acres could by any means 
be added to existing wheat-growing lands. This would 
yield, at the present average rate of production (12.7 
bushels to the acre) 1,270,000,000 bushels, which would 
supply the increase of bread-eaters only until the year 
1931. After that, famine! " Where can be grown 
the additional 330,000,000 bushels of wheat required 
ten years later by a hungry world? " 

And so he falls back on fertilization as our only 
salvation ; finds that available deposits of fixed nitrogen 
(the required element) will soon be exhausted, and sug- 
gests that a process discovered by himself, for making 
nitrate of soda by electrically induced combustion of 
air, will, when Niagara for instance is chained to the 
work, furnish the required 12,000,000 tons of nitrate of 
soda annually. 

Now 'all this sounded very plausible, but neither 
scientists nor agriculturists seemed at all disposed to 
agree with Sir William. The only supporters he was 
able to find, apparently, were Hon. John Hyde, of the 
U. S. Department of Agriculture, and Mr. C. Wood 
Davis, a citizen of Kansas, who has several times 
sounded a tocsin of alarm on this subject in American 
reviews, but without disturbing the repose of nations. 
Mr. Atkinson issued a pamphlet making the claim that 
the United States alone could safely take a contract to 
supply both its own needs and those of Great Britain 
and Ireland for the next thirty years, at a dollar a 
bushel. This pamphlet was full of errors and exagger- 
ations ; but allowing for all these it is quite beyond 



272 GUNTON'S MAGAZINE [March, 

dispute that Sir William Crookes underestimated the 
wheat-producing capacity of the United States so seri- 
ously as to throw grave doubt on the accuracy of his 
conclusions about all the other sections. For example, 
in his address he passed over the claims of Canada and 
British Columbia so lightly as almost to ignore them, 
allowing for only a few odd million acres yet available 
in that entire region. Canadian authorities immediate- 
ly replied with statistics of wheat production in Mani- 
toba, claiming at least 20,000,000 acres of high produc- 
tive capacity and pointing out that " three or four Man- 
itobas can be carved out of the Westland. When that 
is exhausted, there remains the Peace River district, 
where, it is asserted, half the wheat supply of the world 
can be grown." Suppose we discount these claims by 
two thirds ; the margin still left is so greatly in excess 
of Sir William's estimates that one is almost forced to 
the conclusion that he allowed his theory rather than 
the facts to suggest his data. 

Much the same peculiarity is observable in his Aus- 
tralian estimates. He quotes Professor Shelton's esti- 
mate that Queensland contains 50,000,000 acres of 
available wheat land, and, without offering any evi- 
dence whatever to the contrary, practically ignores this 
whole territory. This is inexcusable and inexplicable. 
His only argument in rebuttal to critics on this point, 
as also in the case of British Columbia and other sec- 
tions, is that only very small wheat crops have ever 
been raised on the lands in dispute; ergo, no more 
wheat can be raised there. But this is so weak as to be 
not even respectable. Of course these lands have sup- 
plied only small crops, because no effort has been made 
to develop them further. Settlers to do the work and 
demand for the product have both been wanting. Sir 
William's economics should have informed him that 
people do not rush by the ten thousand into the pro- 



i goo.] BOOK REVIEWS 273 

duction of staples which are already amply supplied 
and at low prices. The whole question at issue is, not 
why the present supply is not larger than it is, but how 
much can be supplied when the demand for it arises. 
Therefore, the fact that a sparsely settled new country 
has only 150,000 acres devoted to wheat-growing has 
no bearing whatever upon the question whether or not 
that country could devote 50,000,000 acres if it became 
necessary. 

On the whole, Sir William's critics, conceding all 
their exaggerations, made sorry havoc with his esti- 
mates and deductions, and really we do not believe any 
Joseph is needed at present to store up grain against a 
coming famine. The pressure of economic demand can 
be relied upon to solve this problem. Let wheat prices 
get sufficiently high to pay the first expense of opening 
up vast new and rough territories, and the wheat acre- 
age will enlarge fast enough. Gradually fertilization 
will come into use, to increase the profitableness of ex- 
isting wheatfields and supply the world's growing de- 
mands, and it will be applied elsewhere as fast as it 
seems to promise any important economic advantage. 
Tropical-zone nations will probably never become wheat 
consumers, and there is really no such ' ' colossal prob- 
lem " to " tax the wits of the wisest " facing the world 
to-day as Sir William Crookes would startle us into be- 
lieving. Whether it be good prices and hence more 
acres, or artificial fertilization as Sir William predicts, 
the movement will be gradual and normal, obeying 
natural physical and economic laws. Modern industrial 
civilization has too many ways of forestalling and dis- 
sipating any sudden world- wide catastrophe. Let us 
go on eating our daily bread in peace. 



THE BREAK-UP OF CHINA. With an Account of 
Its Present Commerce, Currency, Waterways, Armies, 



274 GUNTOWS MAGAZINE [March, 

Railways, Politics and Future Prospects. By Lord 
Charles Beresford. Cloth, 456 pp., exclusive of appen- 
dices. With maps. Harper & Brothers, New York 
and London. 

This is an interesting book, though not very inter- 
estingly written. It contains a very plain matter-of- 
fact statement of the conditions on a large number of 
important matters affecting the industrial opportunities 
and trade of China, particularly as a market for Ameri- 
can and European products. 

Lord Beresford went to China as the special repre- 
sentative of the Associated Chambers of Commerce of 
Great Britain. Although the presentation of the mate- 
rial shows a lack of the expert, it contains many facts of 
value to students. There are a few things that Lord 
Beresford calls attention to with almost cruel plainness. 
One is the fact that British influence in China is "in 
inverse ratio to British trade." One would naturally 
suppose that as British trade increased British influence 
would be correspondingly extended, yet the reverse 
seems to be true. On page 13 his lordship says: "A 
prominent bank official summed up the situation very 
tersely by saying, ' Sixty-four per cent, of the whole 
foreign trade with China is British. There should be a 
corresponding percentage of influence, but British influ- 
ence is in inverse ratio to British trade.' Why are the 
British disliked or distrusted in proportion as their 
trade increases? Is it that they trade unfairly or that 
they take undue advantage, swindle the natives, or 
what? If they gave better goods for the money and 
longer credit on better terms, one would think that they 
would grow in favor. 

For some reason or other Lord Beresford became 
thoroughly convinced that British prestige in China is 
far below Russian. He says ( p. 12 ) : " From my con- 
versation with Chinese authorities, foreigners as well as 




BOOK REVIEWS 275 

British, in Peking, an opinion was distinctly formed in 
my mind that British prestige is certainly below that of 
Russia. I hardly ever made a suggestion to any prom- 
inent Chinese official which I thought might tend to the 
security of Anglo-Saxon trade and commerce, that I 
was not met with the question, ' But what would Russia 
say co that? ' or words to that effect. The idea is gain- 
ing ground all over China that Great Britain is afraid 
of Russia." 

He then cites several cases which he says are 
referred to by Chinese which seem to justify this opin- 
ion. This it would seem can arise only from one of 
two things, either that the Russians treat the Chinese 
better than the English, or the English do not so 
promptly defend their interests and hold out assurance 
to the Chinese that they will stand by them to the same 
extent that Russia does. In either case it would seem 
that Russia is getting the best of it. If England hopes 
to lead in industralizing China, her merchants in their 
daily course of business must make the Chinese prefer 
to do business with them on other accounts than mere 
cheapness, and as a nation England must stand ready to 
protect their interests and defend the Chinese in pre- 
ferring British to Russian industrial acquaintance. 

Another fact of considerable significance presented 
with great plainness is the growing superiority of 
American over British products. American locomo- 
tives, for instance, are being definitely preferred in 
China to English. He says (p. 28): "I found Mr. 
Kinder was employing engines of American manufac- 
ture Baldwin's. On inquiring why he was giving up 
using English engines he gave me the following facts : 

" He had applied to several English firms, but they 
could not deliver according to his specification, either 
as regards price or time. The English price was 
2800, with twenty-four months to deliver. The Ameri- 



276 GUNTON'S MAGAZINE [March, 

can engines were only 1850, with four and a half 

months to deliver The couplings used 

throughout the North China railways are the American 
automatic coupling, costing 10 per car." 

Speaking of cotton goods he gives the same testi- 
mony. "Of late years," he says (p. 58): " English- 
made goods have been losing ground, while American 
have been advancing." In 1893 importation of Ameri- 
can drills was 100,000 pieces, in 1897 349,000. Of 
sheetings, in 1893 252,000, in 1897 566,000. Of Eng- 
lish drills, in 1893 80,000 pieces were imported, and for 
1897 the amount is not given. Of English sheetings in 
1893 71,000 pieces were imported, and in 1897 only 
10,000 ; showing a marked decline in the use of English 
drills and sheetings and a rapid increase of American 
fabrics. 

Of the railroads in China Lord Beresford gives a 
very concise and definite account. He classifies them 
under three heads: first, built; second, in the course of 
building ; third, projected. Of the railroads completed, 
owned by Chinese, there are 317 miles. In process of 
building, by Chinese 170 miles, by Belgians 700 miles 
and by Russians 1,400 miles, or 2,270 miles in course 
of construction. There are 2,507 miles of railroad sur- 
veyed and projected, of which 97 miles are Chinese, 430 
German, 730 British, 700 Anglo-American, 130 Russo- 
Chinese, 420 French. There are 1,070 miles projected 
still unsurveyed ; of this 600 miles are Anglo-German 
and 470 British. This gives a total of 317 miles com- 
pleted, 2, 270 in course of building, and 3,577 projected. 

The 3,577 miles of projected railways are distrib- 
uted among thirteen roads as follows : the Taiyuan Fu- 
Chengting Railway, 130 miles; the Kiao-chow-Yichow- 
Tsinan Railway, a triangular line joining these three 
places, about 430 miles; the Tientsin- Chinkiang Rail- 
way, about 600 miles; the Hankow-Canton-Kowloon 





igoo. J BOOK RE VIE WS 277 

Railway, about 700 miles ; the Pekin Syndicate Kail- 
way, 2150 miles (not including branch lines); the Ton- 
quin-Nanning Fu, 200 miles in Chinese territory ; the 
Langson-Nanning, 100 miles; the Pakhoi-Nanning 
line, 1 20 miles; the Shanghai-Nanking Railway, 180 
miles; the Pu-kon-Hsin-Yang Railway, 270 miles; the 
Soochow-Hangchow-Ningpo Railway, 200 miles; the 
Burmah Extension to Yunnan, about 300 miles; the 
extension of the Shanhaikwan Railway from Kinchow 
to Sin Min Thun, 97 miles. 

Lord Beresford is evidently strongly convinced of 
the wisdom of the open-door policy, and looks with 
grave doubt upon the system of " spheres of influence." 
He thinks it better for China, better for the commerce 
of all nations, and better for civilization, that commer- 
cially every nation should stand on an absolutely equal 
footing in the Chinese market entering through a con- 
stant open door. He says : 

11 If the ' Open-Door' policy is maintained through- 
out China, the more countries who employ their capital 
and energy in making railways, the better it will be for 
British trade ; but in order to secure the ' Open-Door ' 
policy, it may be that we shall have to concede to other 
countries preferential rights, or spheres of interest, as 
far as railway enterprise is concerned. This we have 
already done with regard to Germany in Shantung and 
Russia in Manchuria, and the question arises, What is 
our position in the Yangtse Valley, where other powers 
possess railway concessions? In my humble opinion, 
it would be better for Anglo-Saxon trade and commerce 
if we keep clear of ' Spheres of Influence ' in every 
shape and form, and adhere firmly to the ' Open-Door 
and Equal Opportunity ' policy." 



THE RACES OF EUROPE : A SOCIOLOGICAL STUDY. 
By William Z. Ripley, Ph,D., Assistant Professor of 



278 GUNTON'S MAGAZINE [March, 

Sociology, Massachusetts Institute of Technology. 
Cloth, 590 pp. With appendices. D. Appleton & Co., 
New York. 

The decline in the doctrine of the divine right of 
kings naturally carried with it the decline of the theory 
of divine government of society, by either church or 
state, or both. In this as in every sphere of human 
thought and action old theories are never overturned 
by the mere iconoclast. Any doctrine, however un- 
tenable, will hold its own as against nothing. Hence 
the effective overthrowing of erroneous theories always 
comes by the substitution of more acceptable and usual- 
ly more rational theories. 

In the sphere of sociology this is even more con- 
spicuously true than in political government, because 
the motives which so frequently inspire arbitrary action 
through brute or military force are lacking in the evo- 
lution of social theory. The tendency, therefore, is to 
furnish a logical philosophic explanation for the evolu- 
tion of social phenomena, and so place the study of 
human progress on a scientific basis. This effort to 
scientize societary action and establish a philosophy of 
social progress is itself an evolution. 

The first efforts in this direction were to furnish a 
philosophy of history, which should reduce the historic 
changes in society, in its religious and political struc- 
ture, to some general law ; to remove the great changes 
of social structure from the arena of mere accident or 
personal caprice of rulers. 

Among the first to impart a truly philosophic spirit 
to history was Auguste Comte, who indeed was the au- 
thor of the word sociology. The work of Darwin, so 
irresistibly supported in the various phases of societa- 
ry movement by Spencer, Wallace and Fiske, has prac- 
tically transferred the consideration of all phases of 
social movement to an evolutionary basis. This is true 



1 9 oo.] BOOK REVIEWS 279 

not merely in the development of industries, ethics and 
politics, within national groups, but the movement of 
the nations, the formation of their types of character, 
religious ideals, ethical standards and political institu- 
tions, are also coming to be treated from the same 
standpoint. Buckle, in his " History of Civilization," 
made a powerful contribution toward establishing a 
philosophical point of view of race character and social 
institutions. But Buckle, like Comte, if not unac- 
quainted at least was not familiar with economics and 
the history of industrial evolution, which is ever the 
basis of the higher social differentiations. 

Buckle saw that a certain amount of wealth, or even 
a relatively wealthy class, was necessary before much 
great improvement could be obtained in social life and 
institutions, but he was just familiar enough with the 
postulates of the Smith- Ricardian economics to believe 
in absolute laissez faire, trusting to unaided competi- 
tion to do all the work of progressive society. The 
abolition of collective authority in both church and 
state, or what he called the "freedom of the human 
mind," was all that was necessary to insure progress. 

Hence the great philosophic generalization of 
Buckle was that environment and freedom, or non-in- 
terference by the state, were the essential conditions of 
progress. Tropical climate or natural abundance, 
according to him, make labor unnecessary, hence in- 
dolence and inertia become the dominating traits in the 
character. A pressing environment, where nature is 
stingy, and untrammeled liberty of effort to overcome 
it are all that are necessary to give the highest type of 
civilization. From this point of view he extolled lais- 
sez faire as the supreme wisdom in public policy, and 
every form of collective aid or encouragement as dwarf- 
ing and depressing paternalism. Few writers have 
marshalled industrial data with such telling force as 




280 GUNTON'S MAGAZINE [March, 

Buckle, and he presented well-nigh conclusive evidence 
of a general principle that individual efforts, personal 
and social character, and national institutions are the 
product of social law and not the creation of accident or 
caprice. But, instead of presenting a social philosophy 
or even a complete philosophy of history, he may be 
said only to have shown the feasibility of establishing 
a social philosophy, by at least stimulating faith in the 
idea that natural law rules in society just the same as 
in any other domain of the universe. 

During the last thirty years the tendency has 
grown more and more to treat history and the develop- 
ment of economic and social institutions as the result 
of the operation of fundamental principle pervading all 
society: principle by which all economic, social and 
political movements become explicable, and enables 
statesmanship to be intelligent and scientific, the out- 
come of which is the science of sociology, now at least 
in the making. 

Mr. Ripley's book on "The Races of Europe" is a 
contribution of data for the use of scientific sociology. 
It does not aim to contribute so much to theoretic gen- 
eralization as to furnish data for the basis of generali- 
zation. In this respect the work is elaborate and pains- 
taking. It is a collection of important facts collected 
by the leading investigators throughout the world on 
the various phases of race characteristics. It is liber- 
ally strewn with photographs of race, types and with 
maps showing the predominance of certain character- 
istics of the different races and countries. 

The author has wisely refrained from anything 
like premature conclusion, contenting himself for the 
most part with presenting the facts and pausing, as it 
were, for a philosophic answer which may finally come. 

The facts presented by Mr. Ripley do not antago- 
nize the investigations of Buckle, but amplify the oper- 




igoo.] BOOK REVIEWS 281 

ation of the social law and establish a much wider 
diversity of subtle varying forces than were reckoned 
with in Buckle's philosophy. He furnishes abundant 
proof of the influence of environment on character, but 
shows in a multitude of ways what Buckle and the pre- 
vious generalizers overlooked, that at bottom the racial 
type out of which any given civilization is made has its 
root in the type and character of the industrial occupa- 
tions of the people. The facts as presented in this 
work, from a multitude of widely different types and 
experiences, appear to converge to establish the con- 
clusion that social life and political institutions are the 
outcome of industrial habit, and that simple monoton- 
ous occupations establish a low type of civilization and 
institutions. To quote (page 538): 

"With men, the impelling forces are reducible 
mainly to economic and social factors. Most powerful 
of these movements of population to-day is the constant 
trend from the rural districts to the city. Its origin is 
perfectly apparent. Economically it is induced by the 
advantages of co-operation in labour ; perhaps it would 
be nearer the truth to say, by the necessity of aggrega- 
tion imposed by nineteenth-century industrialism. 
This economic incentive to migration to the towns is 
strengthened by the social advantages of urban life, 
the attractions of the crowd ; often potent enough in 
themselves, as we know, to hold people to the tenement 
despite the opportunity for advancement, expansion, or 
superior comfort afforded elsewhere outside the city 
walls. The effect of these two combined motives, the 
economic plus the social, is to produce a steady drift of 
population toward the towns. This has a double sig- 
nificance. It promises to dissolve the bonds of geo- 
graphical individuality nay even of nationality ; for a 
political frontier is no bar against such immigration, 
provided the incentive be keen enough. At the same 



282 GUNTON'S MAGAZINE [March, 

time it opens the way for an upheaval of the horizontal 
or social stratification of population ; since in the city, 
advancement or degradation in the scale of living are 
alike possible, as nowhere else in the quiet life of the 
country. 

' ' The sudden growth of great cities is the first 
result of the phenomenon of migration which we have 
to note. We think of this as esentially an American 
problem. We comfort ourselves in our failures of 
municipal administration with that thought. This is a 
grievous deception. Most of the European cities have 
increased in population more rapidly than in America. 
Shaw has emphasized the same fact in his brilliant 
work on Municipal Government in Europe. This is 
particularly true of great German urban centers. Ber- 
lin has outgrown our own metropolis, New York, in 
less than a generation, having in twenty -five years 
added as many actual new residents as Chicago, and 
twice as many as Philadelphia. Hamburg has gained 
twice as many in population since 1875 as Boston; 
Leipsic has distanced St. Louis. The same demo- 
graphic outburst has occurred in the smaller German 
cities as well. Cologne has gained the lead over Cleve- 
land, Buffalo, and Pittsburg, although in 1880 it was 
the smallest of the four. Magdeburg has grown faster 
than Providence in the last ten years. Diisseldorf has 
likewise outgrown St. Paul. Beyond the confines of 
the German Empire, from Norway to Italy, the same 
is true. Stockholm has doubled its population ; Copen- 
hagen has increased two and one half times ; Christi- 
ana has trebled its numbers in a generation. Rome 
has increased from 184,000 in 1860 to 450,000 in 1894. 
Vienna, including its suburbs, has grown three times 
over within the same period. Paris from 1881 to 1891 
absorbed four-fifths of the total increase of population 
for all of France within the same decade. 






1 900. ] BOOK RE VIE WS 283 

' ' Contemporaneously with this marvelous growth 
of urban centers, we observe a progressive depopula- 
tion of the rural districts. What is going on in our 
New England States, especially in Massachusetts, is 
entirely characteristic of large areas in Europe. . . 

" This growth of city populations has, then, taken 
place largely at the expense of the country. It must 
be so, for the urban birth rates are not enough in ex- 
cess of the mortality, save in a few cases, to account 
for more than a small part of the wonderful growth 
which we have instanced. The towns are being con- 
stantly recruited from without. Nor is it an indis- 
criminate flocking cityward which is taking place. A 
process of selection is at work on a grand scale. The 
great majority to-day who are pouring into the cities 
are those who, like the emigrants to the United States 
in the old days of natural migration, come because they 
have the physical equipment and the mental disposition 
to seek a betterment of their fortunes away from home. 
Of course, an appreciable contingent of such migrant 
types is composed of the merely discontented, of the 
restless, and the adventurous ; but in the main the best 
blood of the land it is which feeds into the arteries of 
city life." 

Mr. Bipley's work is a timely and important contri- 
bution to the literature of sociology. He does not mar- 
shal facts from the point of view of a doctrine, like 
Buckle, nor try to dovetail the multifarious phenomena 
of human experiences into the law of evolution, like 
Spencer, nor make the movements of the human race 
get into an orderly line of three specific phases of de- 
velopment making for a certain social ideal, like Comte, 
nor even attempt to work out a tendency toward the 
quasi -individualist social consciousness, like Ward. His 
special contribution is that of gleaning from multitudi- 






284 GUNTON'S MAGAZINE [March, 

nous investigations and presenting the results regard- 
less of their effect upon theory. 

Yet out of it all comes irresistibly 'to the front 
the great universal fact that regardless of blood, tra- 
dition and other environing influences, masterful 
leadership, strength of character, organizing capacity 
and leadership toward higher civilization come along 
with the tendency to differentiate industry, urbanize 
population, specialize effort and diversify the social 
life and efforts of the people. The law of social selec- 
tion for constructive leadership in civilization is thus 
indicated to be, that whatever effect environment, tra- 
dition and other forces have upon social development 
they operate upon and through the movements toward 
industrial diversification and urbanization of popula- 
tion. Within the progressive nations this natural or 
social selection is going on and giving the leadership in 
intelligence, character and political power to the cities ; 
and in the world the leadership in civilization is just as 
naturally and constantly passing to those nations whose 
industrial and social life, and consequently political in- 
stitutions, have gone through this economic diversifying 
experience. Consequently, we find everywhere the 
nations whose industrial life has become static and com- 
paratively monotonous losing all power of leadership, and 
those nations whose industrial life has been most diver- 
sified, specialized and intensified are most advanced in 
all the phases of social individuality, political freedom 
and national influence. Witness India and China on the 
one hand and England, Germany and America on the 
other. It may be said that the facts show that the Teu- 
tonic races exhibit the qualities of leadership ; and it is 
the Teutonic and Anglo-Saxon races that are every- 
where diversifying industry, urbanizing their popula- 
tions, and asserting the principles of human rights, 
religious freedom and representative government. 





1900.] BOOK REVIEWS 285 

NEW BOOKS OF INTEREST 

ECONOMIC AND SOCIOLOGICAL 

A History of the English Poor Law. Vol. III., From 
1834 to the Present Time. By Thomas Mackay. G. 
P. Putnam's Sons, New York. This is the supplement- 
ary volume to Sir George Nich oils' " History of the 
English Poor Law", bringing the record down to date. 

Monopolies and Trusts. By Richard T. Ely, LL.D., 
Professor of Political Economy in the University of 
Wisconsin. Cloth, i2mo. The Macmillan Company, 
New York and London. Deals with the general con- 
cept of monopoly, classification and causes of monopo- 
lies, law of monopoly, price, limits of monopoly, per- 
manence of competition, etc. 

Heredity and Human Progress. By W. Duncan Mc- 
Kim, M. D., Ph. D. G. P. Putnam's Sons, New York. 
Suggests some radical measures for elimination of de- 
generate classes in the community. 

The Principles of Taxation. By the late David A. 
Wells. Cloth, i2mo. $1.50. D. Appleton & Co., New 
York. 

POLITICAL SCIENCE 

The Growth of Nationality in the United States. By 
John Bascom. G. P. Putnam's Sons, New York. Traces 
the growth of the spirit of national coherence up through 
the colonial period, the making of the republic, and 
down to the present day. 

First Principles in Politics. By William Samuel 
Lilly, Honorary Fellow of Peterhouse, Cambridge. G. 
P. Putnam's Son's, New York. Discusses the principles 
of political organization under such heads as the foun- 
dation, origin, end, functions, mechanism and sanction 
of the state, and its corruption. 

Democracy and Empire. By Franklin H. Giddings, 



286 GUNTON'S MAGAZINE 

Professor of Sociology in Columbia University. Cloth, 
8vo. The Macmillan Co., New York. Professor Gid- 
dings holds that the Spanish war has opened up a new 
era in which, by the natural forces of evolution, the 
American republic must expand and take on many of 
the characteristics of empire. 

HISTORICAL 

Modern Spain. (1788 to 1898.) By Martin A. S. 
Hume. G. P. Putnam's Sons, New York. This volume 
is No. 50 in Putnam's "Story of the Nations" series, 
and differs from most of the recent historical studies 
of Spain in that the author takes rather an optimistic 
view of the general tendency of the Spanish nation. 

Slavery and Four Years of War. By Major- General 
J. Warren Keifer. G. P. Putnam's Sons, New York. 
This is at once an interesting record of personal ex- 
periences during the civil war and a discussion of the 
slavery question in its relation to the great struggle. 

Charles Sumner. By Moorfield Storey. Houghton, 
Mifflin & Company, Boston and New York. This bi- 
ography is No. 30 in the " American Statesmen" series, 
and is issued simultaneously with the volume on Charles 
Francis Adams, by Charles Francis Adams, Jr. 

Charles Francis Adams. By Charles Francis Adams, 
Jr. Houghton, Mifflin & Company, Boston and New 
York. The period of Adams' greatest service, his 
ministry to England during the American civil war, 
is the portion of his career which receives most atten- 
tion in this biography. It is No. 29 in the "American 
Statesmen" series. 

Charlemagne, the Hero of Two Nations By H. W. 
Carless Davis, M. A., Fellow of All Soul's College, 
Oxford. G. P. Putnam's Sons, New York. 



FROM FEBRUARY MAGAZINES 



"It [France] must find an outlet somewhere for 
the mere spiritual waste of its despondency, and, like 
the rest of us, it has a tendency to dump its rubbish 
into the public domain. I am convinced that it would 
be less frivolous in conduct if it were less sad at heart." 
-RICHARD WHITEING, in ' ' Paris Revisited : The Gov- 
ernmental Machine ;" The Century Magazine. 

* ' They called Lincoln's assassination the justice of 
God. The nation's flag has floated at half-mast in Salt 
Lake City on Independence Day ; it has been dragged 
in the dust by a Mormon mob. By their own confes- 
sion the saints sought statehood because they l could 
better redress their grievances inside the Union than 
outside it.'" ROLLIN LYNDE HARTE, in " The Mor- 
mons;" The Atlantic Monthly. 

"Now, realism is sometimes very immoral in a. 
sense. It forces upon us the companionship of so many 
dull persons of the sort that theosophical and spiritual- 
istic ladies might call * devitalizing.' Such we all know ; 
but in life we have a happy way of seeing as little of 
them as possible. And what is the use of meeting in 
books, of going out of you path to meet persons who 
spoil your day's work for you? a good day's work be- 
ing the Duty to most of us, and so hard to get." From 
"The Point of View ;" Scribners. 

"Music, then, the vaguest of the arts in the matter 
of representing the concrete, is the swiftest, surest 
agent for attacking the sensibilities. The cry made 
manifest, as Wagner asserts, a cry that takes on fanci- 
ful shapes, each soul interpreting it in an individual 
fashion. Its essence is a musical idea and must be 

287 



288 GUNTON'S MAGAZINE 

beautiful or it is not musical. Music and beauty are 
synonymous, just as are indivisible its form and sub- 
stance, and it is the sole art in which spirit and matter 
are one." JAMES HUNEKER, in Fre*deric Francois 
Chopin;" The Atlantic Monthly. 

" The average reporter, eternally gadding about 
for availability instead of cultivating ability, cares more 
about succeeding as a writer than he does about the 
thing he writes about. That is why he is an average 
reporter. The power to make men interested in the 
things they have not learned to like is a power that be- 
longs alone to the disinterested man, the man who is 
led by some great delight, until the delight has mas- 
tered his spirit, given unity to his life, become the habit 
and the companion of his power, led him out into a 
large place to be a leader of men." GERALD STANLEY 
LEE, in ' Journalism as a Basis for Literature ;" The 
Atlantic Monthly. 

"It is the permanent civil service, the govern- 
ment in a word, the great automatic contrivance that 
keeps them going in national housekeeping while 
they are on the rampage. Nowhere eL c -e, except per- 
haps in Germany, is there anything like it for efficiency 
of a kind. . . . It is a Chinese burocracy in com- 
pleteness, with the difference that it is in thorough 
repair. As a piece of clockwork it is one of the great- 
est of human inventions, . . . This is, as I have 
said, was Napoleon's gift to France, and the wiser sort, 
who dreads her moods and their own, esteem it above 
all his victories. France rails against it from time to 
time, but she would not get rid of it for the world.'' 
RICHARD WHITEING, in "Paris Revisited. The Gov- 
ernmental Machine;" The Century Magazine. 









LORD SALISBURY, 
England's Premier. 



See pages 302, 343 



GUNTON'S MAGAZINE 



REVIEW OF THE MONTH 



A Reform What the Mazet committee failed to ac- 

Outburst complish, New York seems to be reach- 

in New York j n g by the normal growth of wholesome 
public opinion. The revelations of the last few weeks 
are appalling ; but it is some encouragement to know 
that public opinion does not grow entirely callous by 
constant familiarity with vice and crime. Indeed, if 
the exact truth could be known, it would probably ap- 
pear that conditions in the metropolis are no worse 
than they have been for many years past, but the city's 
moral conscience is keener. The investigation made 
by the New York Times reveals the existence of a thor- 
oughly organized gambling "commission,'' said to in- 
clude some men of prominence in public life, absolutely 
controlling the poolrooms of the city and collecting 
from them upwards of $3,000,000 a year, which goes to 
Tammany Hall in return for protection by the police 
and other officials. The crusade was promptly taken 
up by other newspapers, the pulpit and various civic 
societies, until the Tammany administration was liter- 
ally frightened into action. Whether genuine or not, 
the first steps were effective. The police did not close 
the gambling houses, but the order went out by the 
commission, manifestly by instruction from Tammany, 
and suddenly, on the loth of March, there was univer- 

289 



290 GUNTON'S MAGAZINE [April, 

sal closing down. At the same time, by instruction of 
District Attorney Gardiner, a number of disorderly 
houses were raided and the proprietors held for trial. 
The grand jury took hold of the situation with a will, 
and is hard at work finding indictments, aiming, it is 
believed, at the real sources of corruption. Some of 
the police commissioners, even, may be indicted for 
complicity in a wholesale scheme of police protection 
for dives and gambling dens. 

Finally, since there are evidences that the district 
attorney will weaken and not prosecute the indictments 
if anything really dangerous is unearthed, it is pro- 
posed that the governor appoint a special deputy attor- 
ney general to take the matter out of Mr. Gardiner's 
hands and prosecute the cases independently. This 
may prove necessary, eventually. 

Undoubtedly, the remarkable attitude of 
Struggle Controller Coler has had much to do with 

this new movement against organized 
debasement of the city government. Distrust breeds 
indifference, but the controller's independent stand 
has really furnished something upon which the public 
feel that they can pin confidence. Whether, as is 
charged, he is only making a " grand-stand play" for 
popularity, matters little in the immediate situation. 
He has expressly declared that the city is systemat- 
ically overcharged for a large proportion of its supplies 
purchased in lots of less than $1,000, which the con- 
troller is powerless to prevent without bringing an ac- 
tion in each separate case to prove fraud. His bill 
before the legislature at Albany providing that persons 
selling supplies to the city in lots of less than $1,000 
must prove that they are not charging more than the 
market rate, will probably fail. Further, Mr. Coler has 
shown that in the last two years the corporation counsel 




igoo.J REVIEW OF THE MONTH 291 

has confessed judgments against the city in nearly 3,300 
cases, only 184 of which met the controller's approval. 
To prevent this a bill has just been fought through the 
legislature providing that no judgment against the city 
can be confessed without the written approval of the 
controller, and if it is for more than $10,000 it must 
also have the mayor's approval. This, if it becomes a 
law, will at least prevent one man from allowing whole- 
sale raids on the city treasury as political expediency 
may dictate. 

Still another measure, the outgrowth of 
Controller Coler's fight on the Ramapo 
scheme, passed the state assembly on 
March i4th and the senate on the iQth. This is the 
Fallows bill, providing that no contract can be made 
with a private water company without the separate 
consent of the mayor and controller, and review of all 
proceedings by the Supreme Court. This protects the 
city so long as one of these officials is a man of the 
right stamp, but Tammany may be relied upon to see 
that another Coler does not get into the charmed circle 
of the city government. The bill which would give 
real protection against the Ramapo water scheme is 
Assemblyman Morgan's, giving to the city of New 
York the right (which was conferred on the Ramapo 
Company by the extraordinary law of 1895) to condemn 
lands within the state for water supply under city own- 
ership. Probably this bill will not succeed ; both po- 
litical machines seem to have the tenderest solicitude 
for the Ramapo Company when it comes to any really 
dangerous proposition. The Fallows bill saves the 
immediate situation, of course; but the public has a 
right to be thoroughly impatient and indignant that 
there should be any influence at work in the state legis- 
lature able to prevent the further step so manifestly in 



293 GUNTON'S MAGAZINE [April, 

the public interest and opposed by nobody who is not 
directly or indirectly interested in the Ramapo Com- 
pany's welfare. 

The In the broader field of national politics 

Approaching the s j tuat i on j s mu ddled. There is no 

Campaign 

such sharp dividing line between the 
issues this year as was the case 1896. The silver issue 
is in the background, and the questions of trusts, ex- 
pansion and the tariff have become complicated with 
side issues. The republican national convention is to be 
held at Philadelphia on June igth and the democratic at 
Kansas City on July 4th. The powerful influences 
which an administration in power always holds can 
probably be counted on to renominate Mr. McKinley, 
but it is no secret that some of the wiser guides in the 
republican party would prefer to make the campaign 
with a candidate who could not be attacked on the 
ground of so many complications and waverings in 
public policies. On the other hand, Mr. Bryan is prac- 
tically certain of renomination. He retains the sup- 
port of his 1896 followers and is actually winning over 
a large portion of the gold- democrat faction, on the 
issue of anti-imperialism. Richard Croker, as the 
mouthpiece of Tammany, is enthusiastically for Bryan.- 
Bourke Cockran, who campaigned for Mr. McKinley in 
1896, is out for Bryan on the imperialism issue and will 
take along an important group of like-minded. Andrew 
Carnegie, it is declared and not denied, will actually 
contribute to the Bryan campaign fund, solely on the 
expansion issue. It is quite possible to exaggerate his 
strength, but it would be extreme rashness for the ad- 
ministration party to make any less thorough prepara- 
tion for a tremendous struggle than was done four 
years ago. 



igoo.J REVIEW OF THE MONTH 293 

Curiously enough, the campaign may be 
Puerto Rico complicated by the revival of the tariff 

Tariff Issue J 

issue, which everybody supposed was 

shelved for a long time to come. Instead of adopting 
the president's recommendation for free trade with 
Puerto Rico, bills were introduced in congress provid- 
ing for a tariff on Puerto Rican products equivalent to 
25 per cent, of the rates on similar articles from other 
countries. In the house the debate began on February 
1 9th. At once the fact was developed that issues of 
the greatest constitutional import are involved in the 
proposition. Whether congress has the right to govern 
dependencies outside of the constitution, or whether 
the constitution extends to all annexed territories, de- 
termines whether or not we have any right to impose a 
tariff on Puerto Rico's products. In opening the debate 
Chairman Payne and Mr. Dalzell, of the ways and 
means committee, cited a long list of precedents to 
prove that congress has the right to extend or with- 
hold the constitution in the case of newly-acquired 
territory. This position was upheld by Daniel Web- 
ster, and illustrated in our government of Louisiana 
and Florida as territories. The opposition, of course, 
holds that such an interpretation makes congress 
superior to the constitution, establishes imperialism, 
and undermines the very basis of our own political rights 
guaranteed by the constitution. The debate lasted 
until February 28th, when the amount of tariff to be 
imposed was changed from 25 per cent, to 15 per cent, 
of existing rates and the bill passed by 172 to 161, five 
republicans voting against the bill and four democrats 
for it. In the senate, debate on the Foraker bill, which 
also provides for a limited tariff against Puerto Rico, 
began on March 2d and still continues. A vast amount 
of sentimental sympathy has been worked up through- 
out the country on the plea that without free trade 



294 GUNTON'S MAGAZINE [April, 

with the United States Puerto Rico will be ruined. 
Considering that she has never had free trade with us, 
while the pending bill proposes to give her 85 per cent, 
reduction in our tariff, the plea becomes trivial. Repre- 
sentative planters in Puerto Rico testify that, with 
their excessively cheap labor, sugar cane raised on poor 
land pays at least $29 in gold net profit per acre, and 
on good land $47 ; while the American producer of 
sugar cane or beets, using similar methods but paying 
wages eight to ten times higher, makes not more than 
$15 to $30 per acre. Moreover, both house and senate 
have passed a bill refunding to Puerto Rico's treasury 
the amount of duties collected on her products since Oc- 
tober 1898, some $2,095,456. 

As Senator Foraker said in opening the 
debate in the senate, the really important 
point in this whole dispute is to estab- 
lish the principle that congress has a right to withhold 
the constitution from our new possessions so long as 
that may be demanded by public welfare. * * Beyond 
Puerto Rico," said the Senator," "lie the Philippines. 
It has been suggested that in our eastern possessions 
we shall have the ' open door.' If we open the Philip- 
pines to the trade of all the world, we shall have the 
products of the world poured into the United States, 
and our whole protective tariff system will fall to the 
ground." He might have added that General Wilson, 
who is in command of Matanzas and Santa Clara, is al- 
ready urging free trade even with Cuba, while Secre- 
tary Root is said to have agreed to favor a reduction of 
our duties on Cuban sugar. This is exactly the logic 
of the whole line of policy which proposes to begin 
with free trade for Puerto Rico. 

The point will be decided, it is safe to predict, not 
so much by weight of precedent as by weight of what 



igoo.j REVIEW OF THE MONTH 295 

our real interests will seem to dictate. In other words, 
we will establish the controlling precedent now. Tech- 
nically it is true that to adopt the extra- constitutional 
interpretation means to establish the principle of em- 
pire. That is one of the alternatives to which expan- 
sion has brought us, the other being to endanger the 
safety and success of our democratic institutions here at 
home by admitting to equal industrial and political op- 
portunity groups of population in no wise fitted for 
such a privilege, however capable they might be of in- 
dependent government. Clearly, the lesser evil is to 
have the form of empire with reference to these islands, 
with the spirit of liberty and practical effect of democ- 
racy. The success of our democratic experiment here 
must be assured at all hazards. The word empire is 
not pleasant, but of the two unpleasant horns of the 
dilemma expansion has forced upon us this one involves 
the least of real danger to successful government by 
the people. 

How great the danger is in including the 
phili PP ines > Puerto Rico and perhaps 
Cuba in our constitutional system appears 
from the fact that the senate has already (March ist) 
passed a bill organizing a territorial form of govern- 
ment for Hawaii. This gives Hawaii a delegate in 
congress and paves the way to statehood at almost any 
time. The bill makes American citizens of all persons 
who were citizens of Hawaii on August i2th, 1898. It 
prohibits contract labor and extends to Hawaii our 
Chinese exclusion act. Originally the bill provided a 
number of property and educational qualifications for 
voting for members of the Hawaiian legislature. These 
were finally struck out and the only requirement now 
is that the voters must be able to read and write either 
the English or Hawaiian language, except that China- 



296 GUNTON'S MAGAZINE [April. 

men are debarred entirely. Needless to say this puts 
the government of the territory in the hands of a very 
restricted group, who will be able practically to manipu- 
late the native vote to the extent that the natives under- 
stand their own language. We are now face to face 
with the proposition of having two senators in the 
United States senate representing this sort of a com- 
munity, whenever partisan expediency may require it. 

In the Philippines we are confronted now 
wr **!" with the problem of organizing civil gov- 

ernment throughout the nearly subju- 
gated territory. All the appointments on the new 
Philippine commission have been made. Judge Taft, 
chairman, is to be assisted by Professor Dean C. Wor- 
cester of the University of Wisconsin, a member of the 
present Philippine Commission, also by General Luke 
E. Wright of Tennessee, Mr. Henry C. Ide of Ver- 
mont, and Professor Bernard Moses of the University 
of California. These gentlemen are to go to the Philip- 
pines this spring and try to set up the form of govern- 
ment which has just been recommended to the presi- 
dent by the existing Philippine commission, of which 
Dr. Schurman is chairman. This plan is said to be 
practically identical with the constitution drawn up by 
Pedro A. Paterno, Aguinaldo's prime minister, in 1898, 
so that it will give the Filipinos exactly the form of 
government they themselves wanted. Unquestionably 
this would be a wise step, but it is a curious coincidence 
that the t( half savage and childlike" natives who, we 
are constantly assured, could not possibly govern them- 
selves, were nevertheless able to draw up a plan of 
government so well adapted to their needs that our own 
commissioners in going over the same situation could 
not improve on it, but come up now with precisely the 
same scheme. 



1 9 oo.] REVIEW OF THE MONTH 297 

There has been a great deal of discussion over 
Admiral Dewey's letter to Senator Lodge, which was 
read in the senate on January 3ist, and in which the 
Admiral declares that he ' ' never promised, directly or 
indirectly, independence for the Filipinos. I never 
treated him [Aguinaldo] as an ally, except to make use 
of him and the soldiers to assist me in my operations 
against the Spaniards." But of course this "making 
use of" Aguinaldo's army, whether by explicit alliance 
or not, must have been on some basis of recognition of 
the insurgent leader's authority, and at least with an 
implied understanding by the Filipinos that the result 
was to be independence. Otherwise their cooperation 
could not have been had. Aguinaldo and his followers 
had no interest in exchanging one foreign authority for 
another, if thev themselves were to have no share in 

* 

either. Rear-Admiral Bradford, at the Paris peace 
conference, expressly declared in reply to a question 
by Senator Frye : ' * We become responsible for every- 
thing he [Aguinaldo] has done, he is our ally, and we 
are bound to protect him." 

Secretary Root has been visiting Cuba, 
and reports improvement on every hand, 

m Cuba 

both industrially and educationally. 
More than 150,000 children are now enrolled in the 
schools of Cuba, and a proposition is on foot to take a 
large number of teachers to the United States during 
the coming summer to attend summer schools and study 
American institutions. The secretary's observations 
agree with those of General James H. Wilson, com- 
manding the provinces of Matanzas and Santa Clara, 
who made a report as far back as last September show- 
ing remarkable improvement in municipal conditions. 
The cities in his provinces were 4 ' absolutely clear of 
epidemic disease, well policed, orderly and free from 



298 GUNTON'S MAGAZINE [April, 

violence, rowdyism and licentiousness." He spoke 
highly of the ability of the local native mayors to man- 
age the municipal governments, which suggests, in 
passing, that New York's city officials might well go 
to Cuba this summer for elementary instruction. 
Most of the reconcentradoes, according to General Wil- 
son, "have returned to the country, and are recon- 
structing their cottages and growing sufficient vegeta- 
ble food to prevent suffering from hunger, and to ren- 
der unnecessary any further issues of rations except as 
above A good understanding, with mutu- 
al trust and confidence, has been brought about between 
the American military authorities and the native offi- 
cials of both the provincial and military governments." 
This is chiefly because the natives have faith in our 
ultimate intentions toward them. Why could not the 
distressing war in the Philippines have been avoided 
by a similar policy, looking towards independence, 
there ? 

Nicaragua Notwithstanding that the Hay-Paunce- 

Canal fote treaty was pending in the senate, 

Discussion Congressman Hepburn of Iowa present- 

ed a long report on February i7th, urging the passage 
of his bill for a canal across Nicaragua, to be construct- 
ed and fortified by the United States government, re- 
gardless of the Clayton-Bulwer treaty. Although a 
government commission is now investigating the route, 
the Hepburn bill nevertheless proposes to go ahead, 
whether it costs $40,000,000 or $145,000,000. The re- 
port makes a number of ingenious guesses as to the 
probable revenues and cost of maintaining the canal, 
which only experience can verify or disprove. How- 
ever good the argument may be for fortifying and ex- 
clusively controlling the canal, it can hardly be that 
congress will adopt off-hand a measure involving such 



1900.] REVIEW OF THE MONTH 299 

serious responsibilities and complications, to say noth- 
ing of uncertainties of construction,- revenues and ex- 
penses, as the Hepburn bill. 

In the senate an amendment to the canal treaty 
was offered by Senator Davis on March gth, providing 
that nothing contained in the treaty shall restrict the 
United States from any measure which it may find 
" necessary to take for securing by its own forces the 
defence of the United States and the maintenance 
of public order. '* This means of course that we re- 
serve the right to fortify the canal. The reservation is 
similar to that in the Suez canal treaty with reference 
to the defensive rights of Egypt, but the difference is 
that the proposed canal will not pass through United 
States territory as the Suez canal does through Egyp- 
tian. Great Britain may not oppose this sort of provis- 
ion, considering that no war is ever again likely to 
break out between the United States and England. 
England has a rightful voice in the situation, under the 
Clayton-Bulwer treaty, but if the new treaty can pro- 
vide for American fortification it would perhaps be bet- 
ter that England and America agree jointly to preserve 
the neutrality of the canal against all others who might 
try to violate it than to invite the other nations of 
Europe to join in any agreement on the subject. Prac- 
tically, the fortifying is not a vital matter, because the 
real struggle would be fought out by the hostile fleets 
before either party ever reached the mouth of the canal. 

The Gold Whether the silver issue is prominent in 

Standard the campaign or not, it cannot possibly 

Enacted have the acute importance that it did in 

1896. The new gold standard law prevents that. It 
was signed by the president on March I4th, having 
passed the house of representatives the day before by a 
majority of 46. The new law expressly declares the 



300 GUNTON'S MAGAZINE [April, 

gold dollar of 25 8-10 grains, 9-10 fine, to be the stand- 
ard unit of value. It also establishes a division of is- 
sue and redemption in the national treasury, to which 
shall be transferred all gold and silver coin held against 
outstanding gold and silver certificates and a fund of 
$150,000,000 in gold coin and bullion to be used for re- 
demption of the greenbacks. This fund is to be kept up 
by exchanging redeemed greenbacks for any gold which 
may be in the general fund department of the treasury 
at any given time, also by accepting deposits of gold 
from the public in exchange for greenbacks ; and, if 
the fund is reduced below $100,000,000, the secretary 
of the treasury may sell 3% bonds to raise gold suffi- 
cient to restore it to $150,000,000. 

The bill also provides for retiring the treasury 
notes of 1890 by cancelling them as fast as silver dollars 
may be coined from the bullion now held in the treas- 
ury, and in their place silver certificates shall be issued 
against such silver dollars. 

The secretary of the treasury is also authorized to 
coin silver bullion into small denominations of less than 
one dollar, to an aggregate not exceeding $100,000,000. 
As fast as such coins are struck off, treasury notes of 
1890 equal to the cost of the bullion in such coins shall 
be cancelled. 

National banks with $25,000 capital are authorized 
in communities of not more than 3,000 inhabitants. 
Until now they have been required to have at least 
$50,000 in places of less than 6,000 population. Banks 
are also authorized to issue notes up to the full value of 
the bonds deposited with the government to secure such 
notes. Another provision of the law will enable banks 
to get low interest bonds as a basis of circulation for a 
considerable period of time ; namely, the refunding 
plan. Existing bonds, which will mature in 1904, 
1907 and 1908, may be exchanged for new thirty-year 



REVIEW OF THE MONTH 801 

bonds at 2% interest, and already this is being largely 
done. There is also a reduction in the small tax on 
national bank-note circulation. 

Guaranteeing the gold standard is an achievement 
which will and ought to stand to the credit of this ad- 
ministration. On the money question at least, it is 
entitled to the confidence and gratitude of the business 
and industrial community. The measure does not termi- 
nate the so-called endless chain, however. The green- 
backs which may be exchanged into the general fund of 
the treasury can be reissued in payment of government 
expenses, and so find their way back to the banks and be 
presented again for redemption in gold. Probably this 
fault will never be properly remedied until we adopt a 
scientific banking and currency system whereby the 
task of redeeming the greenbacks is transferred to the 
banks themselves, in exchange for note-issuing privi- 
leges. 

Ever since Lord Roberts' strategy by 

Surrender of .. . - . . r j 

Cr nVs Arm which active campaigning was transferred 
to the Orange Free State, the war in 
South Africa has been one continuous series of British 
successes. Promptly after the relief of Kimberley a 
part of Cronje's forces withdrew to the northwest, while 
the main body began its disastrous eastward retreat 
along the valley of the Modder river. Encumbered 
with heavy wagons and artillery the Boers made slow 
progress, and were surrounded at Paardeberg Drift on 
Sunday the i8th of February. Here for several days 
they made a most heroic stand against a perfect storm 
of shot and shell raking their camp from end to end. 
Relief parties were easily beaten off, and on the morn- 
ing of February 27th General Cronje surrendered his 
entire force. Considering that only four or five thou- 
sand men were found in the camp it is believed that a 



302 G UN TON'S MA GA ZINE [April, 

part of the army and artillery had previously escaped 
to the north. General Cronje and his men were taken 
to Cape Town, and the General at least will be tempo- 
rarily sent to the island of St. Helena. 

Meanwhile the Boers had drawn off part 
Relieved ^ their forces from Natal to help General 

Cronje. This enabled General Buller at 
last to force the Tugela without being promptly driven 
back as usual. By February 26th he had progressed 
as far as Pieter's station, half way between Colenso and 
Ladysmith, on the line of the railroad ; and on the 
evening of February 28th General Dundonald entered 
the besieged town. General Buller followed on March 
ist, the Boers having withdrawn from the entire district 
around Ladysmith. The relief came none too soon, as 
General White's supplies of food and ammunition were 
nearly exhausted ; 8,000 of his 12,000 soldiers had 
been through the hospital during the siege. 

The change in the fortunes of war was so 
Useless Peace sudden and overwhelming that Presi- 

Negotiations _ T7 . 

dents Kruger and Steyn held a hurried 
conference and despatched an appeal for peace to Lord 
Salisbury. This was sent on the 5th of March, and de- 
clared that the war had been undertaken ' ' solely as a 
defensive measure to maintain the threatened indepen- 
dence of the South African Republic," and on the basis 
of independence the Boers were desirous of making 
peace. Nothing was said about redressing any of the 
grievances that led to the conflict ; the proposition was 
simply to leave conditions exactly as they were before 
the war. Lord Salisbury's reply of March nth recites 
the history of the case ; reminds Kruger that the Boers 
began the war and invaded Natal and Cape Colony, 
inflicting enormous losses, and recalls the fact- that : 



. J REVIEW OF THE MONTH 303 

1 * In anticipation of these operations the South African 
Republic had been accumulating for many years past 
military stores on an enormous scale, which, by their 
character, could only have been intended for use 
against Great Britain." Lord Salisbury declared in 
conclusion that England is "not prepared to assent 
to the independence either of the South African 
Republic or the Orange Free State." The meaning is 
perfectly clear. It is that England proposes to annex 
the Boer republics and govern them probably as states 
in a South African federation. It seems equally clear 
on the other hand that the Boers will desperately re- 
sist the final campaign against Pretoria. 

Promptly after General Cronje surren- 
dered, the British resumed their march to 

Bloemfontein 

the east, meeting steady resistance. The 
new Boer army drawn chiefly from Natal was massed 
at Osfontein, but on March /th, without any pitched 
battle, the British succeeded by a sudden cavalry move- 
ment in turning the Boers' left flank, so that their 
whole position became untenable and they retreated 
to the north. Another stand was made at Venter's 
Vlei, about a dozen miles from Bloemfontein, but 
the British passed completely around this position 
to the south and entered the Free State capital on the 
1 2th of March. No defence was made, but the civilians 
welcomed Lord Roberts' army with the utmost enthu- 
siam. When the Union Jack was hoisted over the resi- 
dence of President Steyn a great assemblage witnessed 
the ceremony and sang "God Save the Queen." The 
truth is, President Steyn's war policy has not been 
popular in the Free State, particularly since Boer re- 
verses began. Mr. Fraser, a rival of Steyn and a 
strong opponent of the war, met Lord Roberts outside 
the town limits and gave him the keys of the public 



804 G UNTON'S MA GAZINE 

buildings. With the taking of Bloemfontein all resis- 
tance in the Orange Free State seems to have collapsed. 
Every day scattered Boer detachments have been com- 
ing in and surrendering their arms, while the burghers 
generally are cooperating in a general reorganization 
of the government service. It is reported that on 
March i3th President Kruger annexed the Orange 
Free State ; but, leaving out the obvious fact that the 
real annexation has already been done by the other 
fellow, it is quite probable that the people of the Orange 
Free State prefer a liberal and enlightened adminstra- 
tion, even under English supervision, to another instal- 
ment of Boer governmental methods. 

Meanwhile, relief columns are fighting their way 
toward Mafeking, where Col. Baden- Powell's little 
garrison is holding out on half rations. When relieved, 
it is possible the main advance on Pretoria will be made 
from Mafeking instead of from Bloemfontein. 

General Cronje's surrender occurred on 
The Effect ,, , . r TVT 1 

in Eii land nineteenth anniversary of Majuba 

Hill. Naturally this added to the tre- 
mendous enthusiasm evoked in England by the news. 
The Queen's journey from Windsor Castle to Bucking- 
ham Palace on March 8th brought out one of the most 
remarkable demonstrations ever seen in the British 
capital. It was an expression of the practical unanimi- 
ty of English sentiment in support of the government, 
and typified by demonstrations of loyalty to the sover- 
eign. This feeling found more substantial form in the 
house of commons when, on March 6th, a loan of 
^"35,000,00 for war expenses was authorized by a vote 
of 161 to 26. This loan has been subscribed ten times 
over, a reflection not only of the general confidence 
in the integrity of the British Empire but of the eager- 
ness of its citizens to lend a hand at this time of need. 




PRESCOTT F. HALL, SECRETARY IMMIGRATION RESTRICTION 

LEAGUE 



The war with Spain and the problems resulting 
therefrom in reference to our new possessions have re- 
cently occupied the attention of congress, and indeed 
of the people generally, to the exclusion of many 
pressing domestic matters. One of the most important 
of these matters which have been brushed aside is the 
question of foreign immigration. 

It may be useful to look back of the last war and 
see what had been previously accomplished along 
the lines of proper restriction of immigration. The 
first general act to regulate immigration was passed in 
1882; the "contract labor" acts in 1885 and 1887; 
another general act in 1891 ; an administrative act in 
1893 ; the head tax raised to one dollar in 1895. 

In response to a widespread feeling that the above- 
named laws were not adequate to accomplish what 
they were framed for, the Immigration Restriction 
League was formed in 1894, which has sent out to date 
about 150,000 pamphlets and documents. The call for 
these documents came from every part of the United 
States and even from abroad, and still continues, show- 
ing that the public interest in adequate immigration 
regulation is widespread and deep. 

305 



306 GUNTON'S MAGAZINE [April, 

In 1895 a bill to add illiterates to the classes of 
immigrants excluded from admission to the country 
was introduced into the house and senate of the 54th 
congress at the request of the league. It was sup- 
ported by hundreds of petitions and endorsements of 
all sorts of bodies from all parts of the United States 
and by 95 per cent, of the press. In the senate the 
bill was introduced by Senator Henry Cabot Lodge, of 
Massachusetts, and the bill came to be generally known 
as the " Lodge Bill." On May 20, 1896, the bill 
passed the house by a vote of 195 to 26, and on Decem- 
ber 17, 1896, it passed the senate by a vote of 52 to 10. 
A conference was ordered and the report of the second 
conference committee passed the house February 9, 
1897, by a vote of 217 to 37, and the senate, February 
17, 1897, by a vote of 34 to 31. On March 2, 1897, the 
bill was vetoed by President Cleveland, largely be- 
cause of an amendment tacked on to the bill by Repre- 
sentative Corliss of Michigan. President McKinley em- 
phasized the need of further legislation in his inau- 
gural message. 

The same bill originally proposed was promptly 
introduced into the 55th congress, and passed the 
senate January 17, 1898, by a vote of 45 to 28. When 
it reached the house, the steamship companies and 
others interested in preventing legislation, by means of 
circular letters containing the most absurd and mis- 
leading statements, succeeded in stirring up a certain 
factious opposition and in scaring some members of 
the house so that they resolved not to take up the bill 
until after the elections. On December 14, 1898, the 
bill was again refused consideration in the house by the 
close vote of 103 to 100. 

The failure to secure legislation in the last con- 
gress was due to several causes, but undoubtedly the 
two chief factors were the Spanish war and the increase 



i 9 oo.] STA TUS OF IMMIGRA TION RES TRICTION 307 

of industrial activity. The war turned men's minds in 
other directions while the increased demand for labor 
dulled the zeal of those organizations which in times 
of unemployment have their attention fixed upon keep- 
ing the standard of living and the rate of wages intact. 
There is a saying attributed to Thomas B. Reed, when 
speaker, to the effect that public opinion as reflected in 
congress is like the tide, which at each flood leaves cer- 
tain things fixed on the beach, carrying many more 
back to the sea. The tide of popular feeling in regard to 
immigration was at its flood in 1896 and 1897. No one 
who reads the thousands of newspaper clippings appear- 
ing at that time can doubt that the grounds for the pop- 
ular demand were adequate or that the demand was 
clearly and forcibly expressed. The first vote in the 
house in favor of the educational test bill, 195 to 26, 
shows that until political agitation entered into the 
matter reasonable men were nearly of one mind. 

But has the tide really turned or has it been tem- 
porarily blown back only to rush in over all barriers ? I 
believe the time is coming before very long when the 
needed legislation will be obtained, perhaps not in this 
congress or the next, but in a few years. One reason 
of this is that while we have been talking about the 
matter immigration has been changing steadily in char- 
acter, and in many respects for the worse. 

In 1869 immigrants from Austria -Hungary, Italy, 
Russia and Poland were about i-8oth of the number from 
the United Kingdom, France, Germany and Scandi- 
navia; in 1880 about i-8th; in 1894 nearly equal to it; 
in 1899 about 2 1-2 times greater. In 1869 immigrants 
from the United Kingdom, France, Germany and 
Scandinavia, i. e., from our kindred races, constituted 
three-fourths of the total immigration, to-day only one- 
fourth. The two largest elements in immigration dur- 
ing the fiscal year 1899 were southern Italian 65,639; 



308 GUNTON'S MAGAZINE [April, 

Hebrew 37,415. It may be also noted that predic- 
tions of total increase during 1899 have been amply 
fulfilled, the excess over 1898 being 36 per cent. There 
has always been a close relation between the volume 
of immigration and industrial activity in this country, 
and now that the panic is over and industry is flourish- 
ing here an increase may confidently be looked for. 
But it will not be an increase from western Europe. 
The very presence here of a large body of immigrants 
who are willing to live on a low wage and with a lower 
standard of living of itself tends to send the more am- 
bitious and therefore the more desirable immigrants 
elsewhere. Commissioner Fitchie in an interview in 
April 1899 admitted that certain classes of immigrants 
coming here are ' 'a very bad lot, ' ' and no one familiar with 
the immigration service can deny that the contrast with 
fifteen or twenty years ago, to go no farther back, is 
very marked. 

The fact that the change in the nationality and 
character of immigrants dates practically from 1880 
is one of the principal difficulties in the way of securing 
legislation. The older men in congress, and of course 
most congressmen are in middle life, tend to think of 
immigration as it was before 1880, when the very de- 
sirable German and Scandinavian colonists settled the 
middle and northwestern states. Very few congress- 
men visit the recent immigration in its principal resi- 
dence, the slum districts of large eastern cities, nor 
do they take the trouble to inspect incognito the land- 
ing of these immigrants at our ports. 

Yet some small things are being accomplished. 
One of them is an improvement in the method of tabu- 
lating statistics of immigration. The new system was 
put into force July i, 1898, and the principal feature 
of it is that each immigrant is tabulated as to nativity 
by race instead of by the country of his later residence 



igoo J STA TUS OF IMMIGRA TION RESTRICTION 309 

or political allegiance. The theory of the change is 
that what is wanted is a knowledge of immigrants as 
grouped by racial characteristics, especially with refer- 
ence to the residence and occupation of such groups 
within the United States. For example, although 
Russian Jews and German Jews differ from each other 
they differ still more from the Russians, and for the 
first time it is possible to know the total Hebrew immi- 
gration. Again, while the average illiteracy of Austro- 
Hungarians last year was 25.2 per cent., the Bohemians 
show only 3.3 per cent. ; and while the average illiter- 
acy of all Italians is over 53 per cent., that of northern 
Italians (i. e., of those from Tuscany, Emilia, Liguria, 
Venice, Lombardy, Piedmont, and native Italians resi- 
dent in other countries) is only 11.4 per cent. 

The need of adding an educational test to the 
other requirements for admission is shown by the 
illiteracy of the following races from eastern Europe, 
which sent over 2,000 immigrants each during 1899; 
Magyar 10.8 per cent.; Croatian and Slovenian 26.1; 
Slovak 27.6; Polish 31.3; Lithuanian 32.4; southern 
Italian 5 7. 2; Portuguese 65.5. The average illiteracy 
of races from western Europe was only 3.6 per cent., 
while that of immigrants from eastern Europe was 42.4 
per cent. The Hebrew illiteracy was 20.3 per cent. 
All these figures of illiteracy refer only to those immi- 
grants over 14 years of age. I have elsewhere shown* 
the close and invariable relation existing between 
illiteracy and general undesirability, and if this be ad- 
mitted the figures of illiteracy given above show that 
the present laws are inadequate to exclude all of the 
undesirable. 

A word may be said with reference to the present 
situation. Senator Lodge has introduced into the 
present congress the same bill introduced into the 54th 

*North American Review Vol. 165, p. 393 (October 1897). 



310 GUNTON'S MAGAZINE 

and 55th congresses. I understand it has been reported 
favorably by the immigration committee of the senate. 
Whether the present administration, burdened as it is 
with numerous questions on which the voters are much 
divided, will care to pass any measure, at all events 
until after election, is uncertain. Of the imperative 
need of immediate legislation there is no doubt. Immi- 
gration is deteriorating in quality every month and 
likewise increasing in volume. The time to change 
the laws is before it reaches another maximum. There 
is great need now, as there always has been, of some 
requirement which shall not depend upon the disposi- 
tion or efficiency of the individual inspector, and which 
cannot be evaded by false testimony on the part of the 
immigrant. 

Let us therefore try to pass the educational test 
bill at once, and study its effects. We can then see^what 
further legislation, if any, is needed. 





GREATEST LOCKOUT IN HISTOKY 

JULIUS MORITZEN 

It remained for Denmark, during the summer of 
1 899, to furnish the industrial world with one of its great- 
est object-lessons of the decade the most extensive 
lockout that ever darkened the portals of factories and 
homes. For once, however, the opposing factions 
reasoned out their difficulties. And while the lockout 
lasted through the spring and summer ; while more 
than 150,000 workers were shut out, and every industry 
was involved, almost, arbitration stood the victor of the 
contention. In justice to the action of the employers' 
union, in shutting out half a hundred thousand men, it 
should be stated that a strike gave rise to the unpleasant- 
ness. Nevertheless, because a handful of carpenters in 
a small town of Jutland refused to comply with certain 
rules laid down by their respective employers, this 
alone is not justification why almost all the manufactur- 
ers in the country should band together in order to 
fight organized labor. The victory of the contest, as 
far as the workers are concerned, lies in the fact that 
the board of arbitration decided to refer the entire 
trouble back to the carpenters' strike. And, as regards 
the employers, the latter discovered to their own ad- 
vantage that matters can be arranged more satisfactorily 
in the future when the representatives of organized 
capital confer with those who represent organized labor. 

Danish industry is, perhaps, composed of more 
manufactures on a small scale than any other country 
abroad. Elevated somewhat above the mere shop, the 
joiners, for instance, work in factories that in reality 
are but shops. Between such employers and their me- 

311 



312 GUNTON'S MAGAZINE [April, 

chanics a certain intimacy has sprung up which even 
the lockout failed to entirely remove. The trade 
unions and the employers' union are both offsprings of 
the old gilds. In Belgium these gilds still hold 
good, owing to certain old-time regulations which the 
latter day has failed to dispense with. In Denmark, 
however, the gild is something of the past, and, in its 
modern garb, makes self-preservation take the place of 
the social features which made the old-time institutions 
famous in their day. 

Naturally, as the capital of the country, Copen- 
hagen was the seat of war, if such a term can be justi- 
fiably employed in the present instance. At Copen- 
hagen all the industrial interests of Denmark culminate, 
and here the Danish trade unions have their central 
organization. It should be said in parenthesis that no 
country in the world can boast of a better organized 
body of men than Denmark has at her disposal when it 
comes to make terms with capital. And it was this 
which dawned upon the employers when open rupture 
came. Then, first, did the employers' union assume 
the proportions it showed during the conflict. Before, 
the employers had looked upon their organization as a 
tool never to be made use of. That the employers' 
union will not be permitted to fade out of existence now 
is a foregone conclusion. In fact, it was one of the 
points insisted on by the board of arbitration that 
henceforth all disagreements must come before the re- 
spective organizations of the mechanic or his employer. 
Great things are expected from this arrangement should 
arbitration be compelled to step in at some future 
period. 

As in nearly all strikes or lockouts, three questions 
are to be considered in the present instance : a question 
of wages, a question of hours, and whether labor or- 
ganizations are to be recognized or not. In the case of 




1900.] THE ORE A TEST LOCKO UT IN HISTOR Y 313 

the Danish lockout, factory regulations were at the 
bottom of the strike which occurred in Jutland. The 
carpenters and wood-workers objected to certain terms 
with which they considered it beneath their dignity to 
comply. The disruption was fed by the willing assist- 
ance lent the strikers by others of their craft. But it is 
doubtful whether the striking body would have insisted 
as it did had the members of the union realized how 
their action was to upset the entire workings of the 
nation. Bakers, tailors, shoemakers, foundrymen, al- 
most every branch of industry became for the time 
paralyzed. The grocers and the dealers in general had 
their incomes reduced to a minimum. And still the 
lockout kept on spreading and employer upon employer 
throughout the country joined the employers' union in 
the hope to crush organized labor for once and all. 

Because no disturbances took place at Copenhagen 
or other cities throughout Denmark during the lock- 
out the impression should not prevail that docility is 
one of the characteristics of the Danes. On the con- 
trary, the descendants of the Viking race are anything 
but amiable when their rights are encroached upon. 
But somehow the idea struck root at once that the ex- 
periment of a peaceful misunderstanding between capi- 
tal and labor might well be worth a trial. The sympa- 
thy of the nation was to be appealed to and this very 
sympathy it was which virtually brought about the 
satisfactory result of arbitration. Had a blow been 
struck, it is a question whether matters would have 
turned so mutually advantageous. 

At Copenhagen, then, the great armies of capital 
and labor had their headquarters, each with its general 
staff to formulate the plans of campaign. The interest 
of the country during that season centered more than 
at any other time on the capital of the nation. As 
Copenhagen went, so would matters adjust themselves, 



314 GUNTON'S MAGAZINE [April, 

said the Danes. The best that capital and labor could 
place in the field, and never were money and brains 
more needed than then, came to the assistance of the 
respective contestants. From King Christian IX. to 
the humblest laborer in the street, all realized that 
since the war with the southern neighbor no such crisis 
has arisen as this internecine quarrel. The good name 
of the country was at stake. More than this, working- 
men throughout the continent watched the operations 
in the North with almost as much interest as if it was 
a matter entirely germane with them. 

And, while this and the other remedy was sug- 
gested to put an end to the misunderstanding, the most 
sensible proposition was advanced that the time of 
leisure might be profitably employed by the workers in 
going to school, so to speak. In other words, night 
schools were opened where the mechanics could go and 
learn such things as might especially interest their 
respective trades. And there were other institutions 
with similar objects in view where the ordinary rudi- 
ments of teachings could be obtained by those whose 
earlier education had been somewhat neglected on that 
score. To the credit of the locked-out men let it be 
stated that these schools were crowded. Coming as the 
trouble did in the latter part of the spring, and lasting 
throughout the summer, many university professors 
whose season of vacation would have called them away 
remained behind in order to give their service in this 
noble cause of enlightenment. All felt that here was an 
opportunity which might never again repeat itself. It 
is not to be doubted for one moment but what to this 
interest of the people at large can be ascribed the peace- 
ful condition which prevailed during those memorable 
months when labor roamed at large and factories and 
shops were darkened. Then there were mass meetings 
of the men who had been forced out of employment ; 






THE GREATEST LOCKOUT IN HISTORY 315 

and the employers' union held gatherings daily as 
well. Now and then committees would meet commit- 
tees, and, while the employers wished it to be under- 
stood that only individuals would be dealt with in the 
future, they refused to obey their own mandate by lis- 
tening to the workingmen's representatives. There 
was an undertone of subservience to conditions which 
could not be set aside, and much as the employers 
might have wanted it otherwise public opinion did not 
allow them to disregard what apparently was for the 
good of all, to bring about an amiable understanding. 
And still the lockout continued. 

The Danish workingman is thrifty. The numer- 
ous savings banks throughout the country make strong 
appeals to their appreciation of what are" termed ' ' rainy 
days." Weekly a certain amount finds its way to the 
bank and when the lockout came the men;" were much 
better prepared for the emergency than the employers 
had anticipated. In fact, had the employers' union 
known that such large sums of money'; were at the dis- 
posal of the men they were endeavoring to subject it is 
a question whether they would have dared to engage 
in the "combat. When the lockout came, the workers 
who had money in bank kept drawing on their own 
resources and it was several months before fellow- 
workers, who had not been affected, were appealed to. 
When that'appeal at last was made necessary, assist- 
ance was rendered willingly. Not only the country 
itself, but Norway and Sweden and Germany, even, 
sent money to help out the men who were not strikers. 
The very unique positions of these thousands, who 
asked for nothing better than to work as they had done, 
appealed to the sentiment and found expression in 
material aid. German workingmen contributed not a 
little to the campaign fund. 

It will always be charged up against the employers 




316 GUNTON'S MAGAZINE [April, 

that they prevented the mechanics they had locked out 
from seeking work abroad. The edict went forth to 
Norway and Sweden for the employers there not to 
give work to men who would ask for it. By this means 
the Danish employers expected to bring the mechanics 
to repudiate their labor organizations, and come into 
the shop or factory as individuals. The same instruc- 
tions were sent to Germany, and the appeals to the 
German employers were almost humorous; especially 
when it is considered that usually not much love is lost 
between the Danish people and the subjects of the em- 
peror. The manufacturers of Denmark to a very large 
extent belong to the Rightist party, which stands for 
royalty and patriotic adherence to the throne. The 
workingmen are Leftists largely and are the liberals of 
of the country. The royalists, therefore, made appeals 
in their own interests to people whom they hated from 
a political point of view. And they asked the Germans 
to help them fight a body which in reality is much bet- 
ter disposed toward the people of the Fatherland than 
the royalists who still cling to the belief that Schleswig- 
Holstein may yet be restored. But it appears that 
neither patriotism nor justice were made to interfere 
with what to the capitalists in the present instance was 
more important than both. And the request of the 
Danish employer was complied with and the mechanics 
who sought work away from home did so in vain. 

It is not to be wondered at that the socialistic ele- 
ment of Germany and Belgium felt the situation one to 
concern them as well. Money in large sums went to 
Denmark. From Belgium, also, came some of the 
the foremost leaders among the workingmen and their 
advice did much good in several instances, although 
some radical measures advanced did not suit the present 
purpose of the Danes. No force was to be shown ; on 
that point all the Danish labor organizations were a unit. 



1900 J THE GREATEST LOCKOUT IN HISTORY 317 

The Danish newspapers took an active part in the 
campaign aside from the news features of the imbroglio. 
The papers which stand for the monarchical ideas took 
sides with the employers to a large extent. Those of 
the opposite political belief gave the locked-out men 
the full benefit of their best pens and counsels. A 
number of the papers almost forgot the real issue at 
stake and entered into acrimonious attacks. All, how- 
ever, were as one that the country could not long en- 
dure a condition so disastrous to its best interests. But, 
how to bring order out of chaos, opinions differed. 
That each contestant had to give up something toward 
that end there could be no question. 

The clergy of Denmark put in its voice when the* 
real crisis arrived. Denmark is a protestant country 
and the ministers of the gospel are factors of vast im- 
portance where the welfare of the people is at stake. 
That the religious sentiment of the nation would suffer 
by a prolonged battle between capital and labor was all 
too apparent. It was also evident to the ministers that 
no one body had a greater right to be heard than they. 
When master and man found their grievance turn into 
open rupture, instead of making the clergy their confi- 
dants the clergymen took upon themselves to offer 
their good offices of peace. But even the ministers did 
not feel justified to charge the one or other party with 
being the cause of the industrial upheaval. Rather, the 
appeal which the clergy sent to the country was based 
upon what might happen providing an adjustment were 
not soon brought about. 

During labor conflicts of whatever kind the women 
and children are usually the innocent victims of the dis- 
putes which arise between the breadgivers and the 
breadwinners. Perhaps the Danish lockout, however, 
brought forward a phase of sympathy such as the world 
has not seen before. The dictate of the heart became 




318 GUNTON'S MAGAZINE [April, 

a great factor as far as the sympathy of woman for 
woman was concerned. The employers' union, as a 
matter of course, relied upon the opportunity for starv- 
ing the workmen into submission. If work was with- 
drawn from them, naturally enough, want would assert 
itself as soon as the purse had become empty. Women 
and children depended on these workers for their daily 
bread. And it was now that woman met woman 
without sign of distinction. 

A number of wives of the employers secretly 
assisted the needy of their sex. The schemes of their 
lords and masters they passed by for the higher duty of 
being humanitarian. Perhaps they might be termed 
traitors to their husbands, by some who did not sympa- 
thize with this method of assistance. Whatever the 
opinion, it showed a noble consciousness that after all 
the world contains fraternal feeling as far as woman is 
concerned. 

The agricultural element of Denmark sympathized 
with the workingmen and their families. Almost as 
with one voice the various meetings held in villages, 
and places like such, showed which way the farmers 
wanted the contest to be decided. When summer ar- 
rived and no settlement was visible, the farmers of the 
entire land threw open their homes to the children of 
the locked-out men. It has been a practice for years in 
Denmark to send the children of the poorer classes to 
the country during the summer months. The farmers 
are exceedingly hospitable. Everything possible is 
done by them to make the city children enjoy their 
stay where nature smiles its best. But when the great 
lockout struck the people as a blast which seemed to 
sweep everything before it, the Danish farmers felt 
that now was the opportunity to show that the stability 
of the nation rests on a foundation of agricultural 
strength. Almost with one voice the farmers sent out 



IQOO.] THE GREATEST LOCKOUT IN HISTORY 319 

the word that the locked-out men could send their chil- 
dren to them. Commissioners were sent through the 
country to make the necessary arrangements. Each 
farm was designated as capable of holding a certain 
number of children. At Copenhagen the work of allot- 
ment was performed. Thousands of children were re- 
moved from the unsatisfactory influence of seeing 
fathers idle and mothers grievous because the weekly 
wages were no longer theirs. In the case of hundreds 
of infants the mothers as well went with their little ones 
to the country. It had all the aspect of a beleaguered 
city where the men are ready to defend their homes 
while sending children and women to the rear. Not 
enough credit can be given the leaders for the admir- 
able way in which they showed the men how to face the 
situation courageously. Even the employers expressed 
their admiration for the steadfastness which the 
locked-out men displayed. 

When at last things had arrived at such a state that 
arbitration appealed to both parties some time elapsed 
before the right men were chosen for that purpose. 
The employers' union and the trade unions each selected 
one representative, these in turn chose a third. What 
took place in the various meetings, how this and that 
point was discussed, does not concern the present 
article. Enough that the employers recognized the ad- 
visability of conferring with labor's representatives in 
the future. And the strike in Jutland was disposed of 
in its turn. The great lockout was at an end. Slowly 
the country went back to a position in the industrial 
world which, before the trouble, was an enviable one. 
That it will be some time before equilibrium will be en- 
tirely restored is a certainty. 

To republicans it may not seem a matter of im- 
portance that King Christian IX. decorated the three 
arbitrators with an order which goes to but few. 



320 GUNTOWS MAGAZINE [April, 

Nevertheless, Messrs. Bing, Heide and Trier, the three 
judges in the present instance, deserved every recog- 
nition possible for the masterful manner in which they 
brought the matter to a close. When a country with a 
population of about two and one-half million inhabi- 
tants finds 50,000 men thrown out of work the situation 
can well be considered serious. When three individu- 
als manage to bring together the severed ends their 
country owes them more than if they were that many 
generals in the field battling for their nation. The in- 
dustry of a country is its fullest expression of prosperi- 
ty or otherwise. 

But, it will be asked, naturally, who was the con- 
queror in this struggle for supremacy ? If either the 
one or other side scored a decided victory, the triumph 
unquestionably belongs to the trade unions. The em- 
ployers' union, to begin with, after the insignificant 
strike had begun, became the aggressor, and was re- 
lentless in its exactions. It is quite apparent that the 
dispute did in reality not revolve around the question 
of wages and hours but whether the workingmen's 
union might exercise any power in the workshops. 

The workingmen themselves maintained that the 
employers had in purpose the disruption of trade union- 
ism throughout Denmark. The employers maintained, 
on the other hand, that they had the sole right to 
formulate their own rules for carrying on work without 
any interference from the labor organizations. And 
when it became apparent that public demand necessi- 
tated some kind of agreement between the opposing 
forces the much-discussed "eight points" were laid 
down by the employers' union. These points were : 

(i.) The responsibility of the central union of 
workmen for the enforcement among the local 
unions of agreements between the central organizations 
of employers and workmen. (2.) The recognition of 






igoo.] THE GREA TEST LOCKO UT IN HISTOR Y 321 

the employers' right to organize the workmen in their 
factories according to their own judgment. (3.) That 
foremen and heads of gangs must not be members of 
the workmen's unions. (4.) That the date of notices as 
to agreements respecting the scale of wages and other 
matters shall be fixed for January i st in each year, with 
three months' notice to be given in advance. (5.) That 
there shall be a settlement of all existing points of dis- 
pute in the joinery trade. (6.) That neither employer 
nor employed shall boycott any one for the part taken 
in the dispute. (7.) That there shall be a resumption 
of work by the workmen in the same localities where 
they were formerly employed. (8.) That all workmen's 
unions shall take part in the final negotiations, whether 
affiliated to the central union or not. 

Even though there remained a considerable differ- 
ence between what the employers asked and the em- 
ployed were willing to take, there was evident at once a 
desire to arrive at some conclusion. It is not too 
much to say that in the United States the employer, if 
once set sternly against giving in, would never even 
have recognized the trade unions as a negotiable quan 
tity. 

The board of arbitration which had been finally 
agreed upon offered its service, which offer was accepted 
by the workmen's central union. Still the employers' 
union insisted on the " eight points." The struggle 
continued until September. When the settlement at last 
came it was plainly a compromise. The employers had 
to give up any idea of destroying the workmen's organ- 
izations. They were also obliged to modify most of 
their demands in the " eight-point " issue. On the 
other hand, the workmen had to recognize several of 
these " points." Where the employers say that no 
foreman shall be a member of a workmen's union they 
are met with the provision agreed to that the foreman 



322 G UNTO A' S MA GAZINE 

shall beat liberty to join or refrain from so doing. Also, 
instead of January ist being the date of notice as to 
agreements concerning scales of wages, it was fixed at 
least three months forward, the workmen contending 
that in the depth of winter they would be entirely un- 
prepared for a lockout. It was also provided that no 
boycott should take place on either side following the 
signing of the agreement. The main point settled was 
that agreements which shall have been arrived at shall 
be respected and obeyed by all organizations under 
them. 

If either of the central organizations feels that this 
rule has been broken it can place the appeal before the 
court of appeals at Copenhagen, until such time when 
there shall be established by law a permanent arbitra- 
tion court, invested with the same authority as the other 
courts of the country. As soon as this arbitration 
court has been established it will take the place of the 
court of appeals. 

It would be well for American workingmen as 
well as the American employers to study carefully this 
most unique lockout of the century. Recognition by 
the employers that labor unions are necessary is appar- 
ent at a glance. There is no doubt that had they so 
willed it the employers could, by continued cessation 
of work, have brought the others to submit, although at 
a fearful cost. The lesson, however, is well bought. 
Already Danish industries are recovering from their 
forced suspension. With renewed vigor, mechanics 
and laborers are once more at their tasks, a better feel- 
ing prevailing between the employed and the employ- 
ers since both have discovered the inherent strength of 
the other, and as fair a land as ever sun shone down 
upon is reechoing with the hum of industrial activity. 



THE TARIFF AND PROSPERITY 

GEORGE L. BOLEN 

When Mr. Scanlan, at the Chicago trust confer- 
ence, said he must be a bold man who would now 
question the benefits conferred by a protective tariff, 
he doubtless meant to assert that the recent hard times 
were caused by Mr. Cleveland's tariff reform, and that 
the present prosperity was caused by the return to Mr. 
McKinley's policy of high protection. During the de- 
pression the practice among representative republicans 
of attributing it to the so-called free trade was nearly 
universal, and the democratic reverses of 1894 showed 
that the voters in general believed tariff tinkering was 
the source of trouble. Since the return to better times 
there has been little political campaigning, and the 
issues arising from the Spanish war have claimed fore- 
most attention ; but in the presidential campaign of 
this year there will undoubtedly be the usual large dis- 
tribution of protection pamphlets, and in these and the 
speeches it will be claimed as a fact now conclusively 
proved that prosperity always follows reassertion of 
protection, and depression every attempt to modify or 
set aside the principle. If this favorite assumption is 
now so unquestionably settled, it ought to be easy to 
point out why it is true. 

How much of this prosperity was caused by the 
Dingley law, or to what extent has business been 
affected by the tariff ? What list of causes can be given ? 
The following outline is of six or seven causes that 
seem simple enough for general admission : 

(i.) Four and a half years of debt-paying, from 
the bank failures of June, 1893, to the revival of trade 
in the fall of 1897 (following six years of high living 

323 



324 



GUNTON'S MAGAZINE 



[April, 



and bold building), accompanied by restricted 
consumption and restricted production resulted 
in a depletion of stocks of goods to correspond 
with prevailing light demand and little power 
to buy. After four years of such living, with scanty 
support, low wages and low profits, many debtors 
were out of debt and ready to buy and consume more 
freely, and with all those living closely personal outfits 
of clothing and household commodities were reduced 
by wear and ready for replenishing. For these reasons 
there was by 1898 a large increase of buying for con- 
sumption, which by quickening demand soon started 
idle factories and gave idle workmen wages to spend 
that added further to the buying and the demand. 
Stocks of commodities had been allowed to run so low 
that a positive scarcity tended to raise prices. 

(2.) Population increase required not only more 
goods for current consumption, but also more perma- 
nent construction, more houses to live in, more factory 
capacity to supply clothing and other articles, 
more railroad equipment to carry the needed increase 
of food supplies, raw materials and manufactured arti- 
cles. As the population of the United States increased 
twelve million between 1880 and 1890, and is expected 
to increase fourteen millions between the latter year 
and the census taking next June, .it doubtless increased 
six million in the five years from Cleveland's election 
to the fall of 1897. These extra six millions exceeded 
the population of Canada, a country of considerable 
trade importance, with exports and imports aggrega- 
ting together about fifty millions a year. At the accept- 
ed estimate in 1880 of a total American product of ten 
billions, $200 for each of the fifty million population, 
these five or six million additional people provided at 
the end of 1897 a home market each year for one bil- 
lion more of goods than were required in 1892. Dur- 



i goo.] THE TARIFF AND PROSPERITY 325 

ing these five years there was very little increase of 
permanent construction (factory, house and railroad) 
nothing commensurate with the increase of population. 

(3). The large crops of 1897-98 in America were 
accompanied by an exceptional shortage abroad, which 
raised the average price of wheat in New York from 
7oc. a bushel in 1895 and ;8c. in 1896, to 950. in 1897 
and 1898. This increase of price, with the 100,000,000 
bushels excess of the 1897 crop over that of 1896, 
raised the farm value of the 1897 crop $i 18,000,000. 
There was also an increase of $127,000,000 in the 
farm value of the 1896 wheat crop over that of 1895. 
In the farm value of the corn crop there was a fall of 
$43,000,000 in the first interval, but arise of $10,000,000 
in 1897. Since the summer of 1896 American farmers 
have received, from their favoring fortune of good sea- 
sons here and bad seasons abroad, an excess of several 
hundred millions, to remove mortgage burdens and to 
spend in building improvements and machinery sup- 
plies. This strong foreign demand for grain and rise in 
price came before and promoted the business revival. 
To a large extent the extra millions came with as little 
human agency as if they had dropped from the sky. 
Such a sum distributed among needy farmers will 
give a tremendous impulse to general business. 

(4.) Industrial expansion and general prosperity 
in foreign countries gave rise by 1898 to unprecedented 
foreign demand for American manufactured products. 
This foreign expansion also came before, or indepen- 
dent from, the American prosperity, and now exists 
almost wholly apart from it. As America buys less in 
amount from foreign countries than formerly, her pur- 
chases from them contribute less to their trade. The 
Midland Railway of England, which has 170 locomo- 
tives building at home, has ordered forty in America 
for the sake of quick delivery, its business being too 



326 GUNTON'S MAGAZINE [April, 

pressing to admit of any avoidable delay. When these 
210 have all been delivered, this road will have 2780 
locomotives. Quick delivery, coupled with good work 
and reasonable prices, has also brought to America 
lately other important foreign orders for locomotives, 
steel rails and iron bridges and pipe, and machinery of 
various kinds. America is profiting substantially from 
British development in Egypt, South Africa, Australia 
and Burmah, and from Russian development in 
Siberia and North China. Foreign prosperity also 
affects the continued demand for American food prod- 
ucts, giving means for liberal consumption abroad. 

(5.) The Spanish war gave in the spring of 1898 a 
decided impetus to the steady and certain industrial 
growth that had already started. The original 
$50,000,000 appropriation and the $250,000,000 loan 
were spent largely for ships, munitions and supplies 
that would not have been bought if there had been no 
war. Quite likely also several of the American battle- 
ships now being built would not have been ordered ; 
and the order for foreign warships doubtless came to 
America as a result of the navy's brilliant exploits in 
the war. The chartering of ships and purchase of war 
supplies continues for the Philippines, and the addition 
of fifty or sixty thousand men to the old regular army 
removes that number of strong men from work at home, 
thus making places for an equal number of the unem- 
ployed, and contributing to the rise in wages. Ameri- 
ca's purchase and chartering of ships has also added to 
prosperity abroad. 

(6.) The settling of the silver question was a 
necessary condition for the return of prosperity. 
However sincere were the beliefs of some of the advo- 
cates of free coinage, the agitation unquestionably 
caused capitalists to delay enlargement for old or con- 
struction for new enterprises, and added in 1896 to 



1900.] THE TARIFF AND PROSPERITY 327 

other reasons for operating factories few hours per day, 
with reduced forces at low wages. Yet in the perma- 
nent settlement of the silver agitation the presidential 
election of 1896 was probably the least of three factors. 
It restored confidence in the currency among the gold 
advocates ( the capitalists and manufacturers ) ; but the 
silver voters ( unprosperous farmers and poorly em- 
ployed workingmen ) continued to be silver men ( de- 
spite some improvement in crop prices ) and ready for 
agitation through nearly a year after the election, 
until the very large crops of 1897, with the foreign 
shortage and higher prices, placed the farmers on their 
feet again and led quickly to the emplojnnent of many 
idle workmen. The other factor in the apparently 
permanent settlement of the silver question is the 
marked increase in the annual production of gold. The 
world's total product of gold was $199,000,000 in 1895, 
$202,000,000 in 1896, $238,000,000 in 1897, and $287,- 
000,000 in 1898. The product of South Africa alone, 
over $80,000,000 in 1898, was expected to reach $100,- 
000,000 last year if mining was not seriously interrupted 
by war in the Transvaal. Not only does this increase 
of gold dispose of the American silver agitation, but 
here, and in other countries where there was no silver 
question, it encourages business enterprise by its 
promise of a possible higher average of prices, from an 
abundance of the universal measure of value. 

(7.) The earlier movement toward a return to 
normal buying and normal consumption, without re- 
gard to the cause of the movement ( whether it came 
from a studied survey of conditions or from a chance 
desire to buy some goods), tended naturally toward a 
complete reestablishment of normal conditions of 
trade. By 1897 after four years of depression during 
which the earth yielded its products as before and peo- 
ple had their usual wants, the restoration of commer- 



328 GUNTON'S MAGAZINE [April, 

cial confidence by the removal of the silver scare would 
have led gradually to fair prosperity if there had been 
no other specially favorable causes. At such a time 
people able to buy begin to feel that they have stinted 
long enough, and purchases by a comparatively few 
are followed by orders for new goods to keep up the 
small stocks on hand; soon manufacturers begin to 
realize that the market will justify a cautious resump- 
tion of work, and with employment comes more buying 
by workingmen more consumption and more demand. 
As with the individual, success brings success, so in 
society buying brings more buying makes trade. 

(8.) With all the above causes of present pros- 
perity, there is little effect left to attribute to the 
Dingley tariff law. How far its increase of duties af- 
fected business it is easy to estimate. Practically noth- 
ing was added to the Wilson law's 25 to 40 per cent, 
duties in favor of the iron and steel industry, which is 
now fast coming into control of the markets of the 
world. The $2 per 1,000 feet on lumber (free under 
the Wilson law ) has probably given employment to 
few or no additional Americans, nor increased their 
wages, in the present world- wide demand for building 
materials. The uc. a pound placed upon free wool 
raises the price and adds considerably to the income of 
the wool growers ; but it is unlikely that as many as 
20,000 people in America are supported exclusively by 
sheep raising, or that as many as one million are par- 
tially supported by it to an extent sufficient to affect 
their general consumption. The total value of about 
$50,000,000 for the wool product of 1898, against the 
total of about two and a half billions for all farm 
products, would indicate that an infinitesimal propor- 
tion of present buying for consumption is done with 
proceeds of wool. The three-tenths of a cent per 
pound added to the Wilson duty of one cent and a fifth 



igoo.] THE TARIFF AND PROSPERITY 329 

in favor of the American tin plate industry, which was 
established by the McKinley tariff of 1890, was recently 
said to be necessary for its present prosperity ; though 
this industry grew rapidly under the Wilson law during 
the hard times, and the Welsh would seem now to have 
their capacity utilized with the large demand for tin 
outside of the United States. But 100,000 would prob- 
ably be a high estimate for those people in America 
who live from the tin-plate industry. The 1 5 per cent, 
imposed upon free hides has added materially to the in- 
come of very few who did not have all the purchasing 
power they could use. The 3-8 cent per pound on 
soda ash is said to have given support to several 
thousand people in new works in eastern Michigan. 

There seems to be no other item worth mentioning 
in whose manufacture the Dingley tariff has added to 
the employment and purchasing power of the Ameri- 
can people. We need not consider here whether its 
duties on raw materials have hampered any industry 
and thus unfavorably affected wages, or whether its 
protective additions to prices of some things have cur- 
tailed purchasing power for other things. But it ap- 
pears doubtful if the Dingley bill's increase of duties 
has noticeably benefited, directly or indirectly, more 
than one-fiftieth or one-sixtieth of the population. If 
the manufacturers of other nations were less busy than 
they are, there might be more need in America for the 
tariff barrier. However, it seems a strange view of 
America's acknowledged preeminence in business ca- 
pacity and industrial skill, with her world-surpassing 
home market and unapproachable variety and extent of 
resources, to doubt the success of her people in any 
proper industry, with high, low or no protection, in 
the unprecedented demand that now prevails over every 
continent. 

The chief benefit of the new tariff comes from the 



330 GUNTON'S MAGAZINE [April, 

settlement of the controversy. When industries are no 
more handicapped or endangered than they were in 
1897 by the Wilson law, when as then producing and 
consuming power have sustained no shock from famine, 
flood or pestilence, the only thing necessary to restore 
normal trade conditions is to get among the people the 
feeling that everything is all right. It was the need of 
revenue that seemed to require an increase of the tariff 
rates. Not many who understood the situation will 
doubt that if the Wilson law had been changed only in 
name, and reenacted as a new law- without actual in- 
crease of rates, the nation's business as a whole would 
have been affected just as favorably as it was. If there 
had been no tariff change at all, it is hard to imagine 
the matter-of-fact American mind could have failed to 
realize the return of good times when it knew of the 
long trains laden with grain for export at high prices, 
of the feverish rush to supply the government with 
commodities for the war, and of the widespread return 
to large consumption in every line. And, viewing every 
feature of the question strictly on its merits, it is not 
too much to believe that the grand spectacle of pros- 
perity would have been little delayed if Cleveland in- 
stead of McKinley could have been its advance agent, 
on their common currency platform. 

Of course this whole discussion is useless for dis- 
cerning minds that have considered the question. It 
is regrettable that party policies should require able 
and otherwise honest men to publicly teach what they 
know to be misleading what they would never stultify 
themselves by defending in a small company of trained 
minds informed upon the subject. But, unfortunately, 
there are few who have any other than the prescribed 
partisan understanding of these things. At a large 
local political gathering the best men in the community 
drink in with eager satisfaction wholly untenable argu- 




igoo.] THE TARIFF AND PROSPERITY 331 

ments. During the hard times it was usually a waste 
of effort to contest the prevailing opinion that all the 
trouble arose from the election of Cleveland and tariff 
reform. It is so much easier to believe unthinkingly 
in some charm-like connection between the tariff and 
business than to seek out causal facts, such as that the 
boom in railroad building and large construction was 
subsiding before 1892; that the farm value of the 
wheat and corn crops fell off over half a billion in the 
two years from 1891 to 1893 ; and that the hard times 
began in a silver panic in the summer of 1893, with 
little thought of the approaching tariff reform. In the 
same way, leading local business men now talk some- 
times as if the Dingley tariff were the sole or chief 
cause of present prosperity. How different, how fair 
and truthful in every way, is the view of Hon. Thomas 
L. James, in his comprehensive article last fall a 
master of business who evidently has a higher opinion 
of his party than to believe it will be helped by ex- 
cessive claims as to the benefits of protection. But 
happily, new issues are relieving both the great parties 
from the fallacious or exaggerated policies to which 
they have clung. It is unimportant whether the aver- 
age voter ever knows the truth about them after they 
have been dropped to a minor place among platform 
principles. 

BY THE EDITOR 

This article is an excellent illustration of what can 
be done by way of showing that a given result is not 
the effect of any given cause. Mr. Bolen has evidently 
been somewhat disturbed by the claim that the return 
to a protective policy was the dominant cause of the 
present prosperity, and in order to rebut this contention 
he has endeavored to show that it is the result of a com- 
bination of nearly all the causes that ever operate upon 






332 GUNTON'S MAGAZINE [April, 

industrial phenomena. There is a sense in which Mr. 
Bolen is right. There are probably many hundreds, 
nay many thousands, of influences which have directly 
and indirectly contributed to the present state of indus- 
trial prosperity. But that does not militate against the 
fact that some great leading cause exercised an initi- 
atory and perhaps a dominating influence, without 
which the others would not have perceptibly oper- 
ated, and jointly were very insufficient. One might as 
well deny that any phenomenon is the product of any 
specific cause on the ground that everything is subject 
to the joint action of all the forces of the universe. 

Under the first head, Mr. Bolen calls attention to 
the fact that during the four years from 1893 to 1897 
consumption was restricted and stocks were depleted, 
and says : " For these reasons there was by 1 898 a large 
increase of buying for consumption, which by quicken- 
ing demand soon started idle factories and gave idle 
workmen wages to spend that added further to the buy- 
ing and the demand." 

But what started the buying? The low profits and 
the low wages? How could the diminution of mer- 
chants' stocks stimulate buying? It is usually the re- 
dundancy of such stocks that stimulates the efforts to 
sell by tempting buyers with lower, sometimes losing, 
prices. But why did all this wait until after the return 
of the protective policy? Wages were low enough in 
1894 and 1895 ; stocks were poor enough and bankrupt- 
cies were numerous enough, but buying did not begin. 

Under the second head he gives increase of popula- 
tion as the cause. The increase of population called 
for more houses and more clothes and more food. He 
estimates that from Mr. Cleveland's election to the fall 
of 1897 there was an increase of six millions in the 
population, which is more than the entire population of 
Canada, and, on the estimate that each individual con- 



1900.] THE TARIFF AND PROSPERITY 333 

sumes two hundred dollars' worth of products a year, 
this increasing population furnished a home market for 
a billion dollars' worth of goods. Well, why did not 
this effect of the increased population upon the home 
market show itself until after the Cleveland regime was 
terminated? This population did not all come in 1897. 
They were being born every day and every year. If 
this were a leading cause it ought to have shown itself 
in 1893, and increasingly in 1894, and so on "each year 
right along. But there were no symptoms of this effect 
until after the election of 1896. Moreover, if this in- 
creased population was a great force in the situation, 
why did the slump of depression come in the closing 
months of 1892 and early months of 1893? There was 
no sudden diminution of the population. The fact was 
that millions of them some of the time went without 
food. They had to be fed by soup kitchens in all the 
large cities throughout the country, and in the rural 
districts laborers became herds of tramps. This cause 
is wholly inadequate, as it was in operation all the time, 
while the effects came suddenly at a specific date to 
which this cause had no relation. 

Under the third head he cites the increased crops 
of 1896 and 1897, when the crops in all this country 
were large and there was a failure of crops in other 
countries, and hence our farmers got the advantage of 
the higher prices without any increase in their cost of 
production. There is no doubt but this was a tributary 
cause to the return of prosperity, because (i) it gave the 
farmers of this country several millions extra, which 
they spent in paying off their mortgages, in buying 
implements, perhaps in erecting new farm buildings or 
repairing old ones ; and (2) it came almost simultane- 
ously with the new industrial policy and helped to 
stimulate the result. But had this come in 1892 it 
would not have been adequate to convert the depression 



334 GUNTON'S MAGAZINE [April, 

into prosperity, mainly because it only influenced to the 
specific amount of its increased purchasing power. 
Alone it would have done little to stimulate the busi- 
ness confidence of the community, which was the real 
influence at bottom of both the depression in 1892 and 
the present revival. 

Under the fourth head Mr. Bolen cites the indus- 
trial expansion in foreign countries, which ''gave rise 
by 1898 to unprecedented foreign demand for Ameri- 
can manufactured products." The statistical returns 
show nothing special in this respect. From 1893 to 
1899 inclusive the exports of domestic manufactures 
gradually increased each year (except 1895) being 
$158,023,118, in 1893, $183,728,808 in 1894, $183,595,- 
743 in 1895, $228,571,178 in 1896, $277,285,391 in 1897, 
$290,697,354 in 1898 and $338,675,558 in 1899. If this 
foreign expansion, therefore, contributed materially to 
the return of prosperity, it ought to have been as pre- 
ceptiblein 1894 as it was in 1898, since the increase of 
1894 over 1893 was $2 5, 705, 690, whereas the increase of 
1898 over 1897 was only $13,411,963. 

But, as already remarked, it is undoubtedly true 
that the larger crop of 1897 was a real contribution, as 
was also the increased expenditure by the government 
involved in the war with Spain, as was also the settling 
of the silver question by the certainty that a free-silver 
bill could not pass the president. These three items 
coming simultaneously with the change of administra- 
tion, which brought the new policy, no doubt helped 
to swell the proportions which the industrial prosperity 
reached. 

In his last section, Mr. Bolen reveals most clearly 
the defect of his method of treating the subject. He 
says : ' ' With all the above causes of present pros- 
perity, there is little effect left to attribute to the Ding- 
ley tariff law." He then proceeds to take a number of 



igoo.] THE TARIFF AND PROSPERITY 335 

items, like wool and lumber and tin, and estimate how 
much increased employment and wages the protection 
on each of these particular items gave, and how much 
that employment contributed to the general prosperity. 
This overlooks the most important effect of an eco- 
nomic policy its effect on the business confidence of 
the country. It is not in these details that either the 
Wilson bill injured or the Dingley bill helped general 
prosperity. The great effect the two policies exer- 
cised on the two periods of depression and prosperity 
was not the actual result of the schedules, but the in- 
fluence on the business psychology of the nation. 
When Mr. Cleveland was elected in 1892, his very po- 
litical presence paralyzed industry ; not because any- 
thing had been really changed but from the fear of the 
change he and his party would inaugurate. It will be 
remembered that, within a week after the election returns 
were in, business reverses began, contracts for supplies 
and machinery and new factories were cancelled by the 
score and hundred. Before he was inaugurated the 
country was in a high state of industrial fever. Banks 
were calling in their loans, contracting their accommo- 
dation to every business who was supposed to be af- 
fected, directly or indirectly, by the tariff. And in 
less than two months after he was inaugurated we were 
entering the fiercest panic, with the greatest number 
of bank and business failures, that has ever been re- 
corded in a single six months of our history. 

On the theory of analyzing tariff schedules it could 
be said that this was not due to Mr. Cleveland's elec- 
tion at all, because he had not done a single thing ex- 
cept call a special session of congress to repeal the Sher- 
man silver law. It was not what he had done but what 
everybody believed he was going to do that created the 
damage, and that is the way very largely that business 
panics are brought on. When the Wilson bill was really 



33fl GUNTON'S MAGAZINE [April, 

adopted the worst phases of the panic were over. The 
worst was then known, and if that could have been known 
the morning after Mr. Cleveland's election the disturb- 
ance would probably not have been one-tenth so great. 
But the disturbance which had been caused, and the 
lack of faith in the policy of the administration, whose 
presence had caused it, left the nation in a state of in- 
dustrial stupor, and it so remained during the entire 
period of that administration, notwithstanding that the 
population had increased and that our exports were in- 
creasing. The fact [is, the paralysis was on our do- 
mestic industry. Wages fell, enforced idleness multi- 
plied, pauperism increased apace, and instead of the 
people having money to spend they had to be fed at 
soup kitchens. 

The election of 1896 had just the reverse effect on 
the business psychology of the country. There were 
two great issues involved in that election. One was 
the return to a protective policy, and the other the se- 
curity against a fifty-cent dollar. Immediately after 
the election returns were in the revival began, in exact- 
ly the same way as in 1892 the depression began. It 
was not that Mr. McKinley was so wonderfully much 
wiser than Mr. Cleveland. He had done nothing. But 
he represented a policy which would afford protection 
to the American market, to American enterprise. On 
the basis of that theory, business men had confidence 
everywhere that now they could safely risk industrial 
investments ; that at least the policy of the administra- 
tion would be in favor of and not against domestic in- 
dustries. This, together with the certainty that a free- 
silver law could not pass, went through the financial 
and business veins of the nation like a stimulating 
electric current. 

It is true, as recited by Mr. Bolen, that everybody 
had bought as little of clothes, furniture and other sup- 




igoo.] THE TARIFF AND PROSPERITY 337 

plies as they could get along with, while manufacturers 
curtailed production and stocks were depleted until the 
market was left thoroughly bare ; but, during the four 
years of doubtful policy, the bareness of the market did 
not stimulate the opening of a single factory. When 
the safe ground for confidence came, with the financial 
and protective policy of the new administration, capital 
felt safe in at once reaching out in anticipation of a re- 
vival of demand. Credit was at once extended to sol- 
vent concerns, so that they could safely contract for 
orders months ahead, which started the factories. The 
starting of the factories increased employment, and 
that let loose a larger amount of purchasing funds. 
Railroads, in anticipation of a return of prosperity, be- 
gan repairs and large extensions, even making heavy 
loans for the purpose, in anticipation of increasing 
business. Thus, with the letting loose of capital, 
through the enlargement of credit, which was born of 
the renewed confidence, the whole industrial world be- 
gan to bubble with activity. Everybody wanted to 
stock up who could get credit or had the means to pur 
chase the stock, because they felt perfectly sure of their 
future sales, which they had not done prior to Novem- 
ber, 1896. Even though all that Mr. Bolen says about 
the Dingley law regarding particular industries were 
true, the fact remains that the presence of the protec- 
tive policy and the certainty that it would favor domestic 
industries gave confidence and life to business activity. 
The production of iron through the construction of 
railroads, of machinery and new factories, took on pro- 
portions never before anticipated. 

Of course it is true that the whole of this is not due 
to the tariff, but what is true is that the confidence 
created by the protective and sound-money policy of 
the new administration revitalized the nation in every 
department. When business confidence thus let loose 



338 



GUNTON'S MAGAZINE 



all the available economic forces of the country a mo- 
mentum was created by which the tributary causes to 
which Mr. Bolen refers could contribute their mite to 
the general prosperity. But the important fact to note 
is that the seven causes he enumerates all combined 
with a state of disturbed business confidence would not, 
could not and did not create a ripple. They were only 
effective when the great dominating cause, business 
confidence and certainty of future security, operated. 
In that sense, therefore, it may properly be said that 
the present business prosperity is chiefly due to the tariff 
policy ; not that the schedules have produced it, but 
the effect of the general policy upon the business confi- 
dence and energy of the people. Without it, prosperity 
might ultimately have come, but it would have been 
slow and meagre and probably have involved a general 
lowering of our economic status, in the process. If we 
should have absolute free trade to-morrow, this nation 
would survive, but our industries and labor conditions 
would have to be readjusted to the new competitive 
basis, which probably would be a permanent lowering 
of the wage and profit level of the whole country, and 
from five to ten years' depression, bankruptcy and ruin 
in the readjusting process. 

If that change is ever to come without havoc and 
disaster it must be introduced gradually by impercepti- 
ble gradations. 









EDITORIAL CRUCIBLE 



IT is ASSUMED by most people that the Hay-Paun- 
cefote treaty in favor of the neutralization of the Nica- 
ragua Canal is a humiliating surrender to England. 
But this seems not to be the view taken by the English 
press. The Spectator, St. James Gazette, Saturday Re- 
view, Times, and other journals of English opinion, even 
favor American control and fortification. They take 
the view that in American hands the neutrality is safer, 
so far as they are concerned, than it would be in the 
hands of the powers. They feel perfectly sure that we 
would never close the canal to English commerce. The 
spirit of the people, the interests of the nations, their 
attitude toward civilization, are so alike that no admin- 
istration in either England or the United States could 
ever get up a case over which the people would permit 
a war. 



THERE is a good deal of truth in the idea that un- 
limited discussion is the best way to kill vagaries and 
empty panaceas. Senseless sentiment, groundless 
statements and misrepresentation of facts will not bear 
constant repetition, and the nearer we approach to 
practical action the more critical the people become. 
During the last year or eighteen months, when the re- 
organization of corporations into larger concerns was 
at its height, there was an almost frenzied public senti- 
ment against these so-called " trusts." A year's fierce 
discussion, covering several national conferences, has 
taken much of the hysterics out of the controversy. As 
an evidence that economic sanity on this subject has 
begun to find its way into political circles, a compara- 
tively rational measure has been introduced into the 

339 



340 GUNTON>S MAGAZINE [April, 

New York senate for the regulation of trusts. It puts 
corporations effectively within the regulative power of 
the state without abridging their freedom for legiti- 
mate business enterprises. If this measure is passed, 
as it probably will be, it may set the pace for whole- 
some so-called trust legislation, which will be a good 
thing for industry throughout the country. 



IT is QUITE manifest that among a certain class of 
politicians and journalists a determined effort is being 
made to force the tariff into prominence as an issue in 
the coming presidential campaign. The effect of this 
will, of course, be to disturb business confidence and 
to that extent it will be a national calamity. 

Republicans will very properly denounce this as a 
means of bringing on industrial depression. Yet as a 
matter of fact the administration is really responsible 
for whatever evil may come out of this agitation. A 
straight consistent policy by the republican party on 
the lines of its own history would have kept the pro- 
tective principle un-attacked and made any serious dis- 
cussion of free trade at this time practically impossible. 
But the president's official declaration in favor of free 
trade with Puerto Rico, then the party's backing off into 
a tariff policy, has given the free traders exactly the 
morsel they wanted. The fact that it would cause an 
industrial depression never seems to be regarded as of 
sufficient significance to prevent the free-trade agitation 
on the slightest possible excuse. National prosperity 
is no bar to the professional free-trade agitator. In- 
deed, it seems rather to whet his appetite for a new 
attack upon protection. 



THE NEW YORK Sun criticizes Mr. Smalley for indi- 
cating in his correspondence with the London Times that 
public sentiment in the United States is with England's 




EDITORIAL CRUCIBLE 341 

* 
position in South Africa. The Sun announces that the 

American people are with the Boers. It may not be 
disputed that the Sun has a special short-cut to knowl- 
edge on this subject, but it would be interesting to 
know how it found out that the American people sided 
with the Boers. Has it taken any census on the sub- 
ject? Has there been any expression of public opinion 
in any of the large cities or country districts? On 
what class of data does the Sun base its conclusion? 
It cannot be on the tone of the press, for that would 
justify no such conclusion. If the Sun would say it is 
in favor of the Boers it might be on safe ground, and 
it would not be of so very much consequence. But 
when it pretends to speak for the American people, 
without a scintilla of inside evidence any more than 
any other citizen has, it should be treated as only in- 
dulging in colossal guessing. 

The only evidence of public opinion on the subject 
thus far is a few meetings, largely Irish, and they were 
entirely unnecessary, since everybody knows that 
Irishmen are opposed to anything that England does. 
The judgment of the American people on the Boer sit- 
uation is in the making. It will not be rendered until 
the fight is over, and then it is no risk to prophesy that 
it will be in favor of human rights, free government, 
and equality for all white men in Africa. To assume 
that the opinion of the American people would finally 
be given in favor of a narrow oligarchy which does not 
even admit equality of religious opinion, to say nothing 
of personal property and political rights, is to insult 
their spirit of fairness and the sincerity of their faith in 
democratic institutions. 



IN ITS exposure of the " gambling hells " of New 
York city, the New York Times has done what the 
Mazet committee failed to accomplish. The Times en- 



342 



GUNTOWS MAGAZINE 



[April, 



joys the advantage of being entirely free from yellow- 
ness. It is one of the cleanest and most serious dailies 
published in New York. It has not only located a 
number of these illegal " gambling dens," but it has, 
with a precision heretofore unequalled, located the or- 
ganization and method by which the system is carried 
on. It has located the existence of an official com- 
mission of gamblers who license the whole business, 
using the police force merely as their agent to collect a 
well-regulated fee for protection, according to the 
profitableness of the " den." By this means it obtains 
for distribution among its own members and the Tam- 
many machine in the vicinity of three million dollars a 
year. The expos6 is very complete, and makes the 
Mazet committee look wonderfully like a sham. The 
effect has been to set the grand jury at work and make 
the district attorney's office assume a virtue it never 
possessed and act as if it were interested in suppress- 
ing crime, of which it has not hitherto been suspected. 
All in all, the revelation the Times has made shows 
that experience has practically no lessons for Tam- 
many ; that it is a political organization which lives, 
moves and has its being in vice. It grows bolder in its 
methods on the assumption that the rewards it can dis- 
tribute will secure its popularity and retention in office, 
which is justified by its fifty to ninety thousand majori- 
ty at any election, regardless of candidates or issues. 
The people thus endorse Tammany over and over 
again, with the full knowledge of its methods, charac- 
ter and purposes, and hence they alone are responsible 
for the disgrace it bring upon the city. 



IN AN EDITORIAL on " Bryan's Chances " the Wash- 
ington Post reviews the policy of the administration on 
the Philippines, Puerto Rico and the Nicaragua canal, 
and concludes thus : 



igoo.] EDITORIAL CRUCIBLE 343 

4 'We assert, without fear of contradiction, that the administration 
is daily losing strength on all these scores, and we know, for a certainty, 
that thousands of men who, four years ago, regarded Mr. Bryan with 
terror and aversion, now consider him favorably as the lesser of two 
evils." 

If this be true, and the Post was never a Bryan 
paper, the administration and the republican party have 
themselves only to blame. The American principle 
and the traditions of republican party policy on all these 
questions have been quite clear. The administration 
has wavered and halted, faltered, and sometimes re- 
versed itself, so as to impress the people with its inde- 
cision if not lack of statesmanship. Whether this was 
due to timidity or indecision as to the true policy makes 
practically no difference in the result. The American 
people like decision and leadership. They admire 
courage of conviction and the willingness to assume re- 
sponsibility. They are willing to be led, but they do 
not like the road to have too many turns in it. Inde- 
cision is counted for incapacity, for which they have no 
permanent use. Bryan may be wrong, as he is on al- 
most every important question, but he does not waver. 
He keeps right along. He refuses even to give up 
silver when it is dead. There is a kind of shallow fool- 
hardiness in this, yet it calls forth the expression: 
" Well, he is honest and stands for a principle," which 
is put to his credit. This kind of persistence com- 
mands a certain amount of respect, even though it leads 
to perdition. Consistent folly will usually command 
more respect than vacillation. If the Post is correct it 
is not the wisdom of Bryan but the weakness of the ad- 
ministration that is responsible. 



THE BOERS are beginning to realize that after all 
the god of war gives victory to the strongest armies ; 
that their pretence of fighting for freedom, when it is 
really only to prevent other people from having free- 



344 G UN TON'S MA GAZINE 

dom, is not taken seriously by anybody who has the 
power to interfere. The proposition of Presidents 
Kruger and Steyn to the British government, to estab- 
lish peace on anti-bellum conditions, was almost child- 
ish. Lord Salisbury 's reply pointedly stated the case. It 
reminded the Boers that they were asked to redress cer- 
tain obvious grievances, which they declined to recog- 
nize, and that, instead, they had for years prepared for 
war and when they were ready invaded British territory 
and caused a bloody conflict, which might have been 
avoided and the independence of the Free State and the 
entire self-government of the Transvaal been perpetu- 
ated by doing the ordinary decent thing toward the 
white people in South Africa. But they insisted upon 
violating nearly all the conditions of civil justice and 
political fairness, and practically treating Englishmen 
and Americans as an inferior race, to perpetuate which 
policy they took the initiative of war. 

After briefly enumerating the salient facts, Lord 
Salisbury frankly informed them that the British gov- 
ernment would see to it that another war of this kind 
should not occur. It is perfectly safe to prophesy that 
whenever the end comes the people of the Free State 
and the Transvaal will not lose one whit of their liberty. 
They will have all the rights of self-government, self- 
taxation and opportunities of social and industrial im- 
provement that the country and their own capital and 
energy afford. They will have more real freedom 
than they had before, but they will not be permitted to 
subjugate white people nor deprive anybody of the 
freedom they themselves enjoy, and this is clearly in 
the interest of civilization. 



EFFECTS OF NEW YORK SWEATSHOP LAW 

HENRY WHITE, SECRETARY UNITED GARMENT WORKERS 

OF AMERICA 



Nowhere has the state exercised its corrective 
power with more beneficent results than in the work- 
shop. Here it has rescued children pressed into the 
treadmill of labor, has protected women from ex- 
cessive hours of toil, enforced the observance of clean- 
liness and decency, compelled the placing of safe- 
guards around exposed machinery, and in many ways 
mitigated the harshness and dangers of factory life, and 
improved industrial conditions. After an experience 
of sixty-six years, since parliament passed the first real 
factory act, the authorities on social science are in com- 
plete accord as to the wisdom of such state action, 
which is in contrast to the intense opposition invoked 
against the first bill of 1833 which only forbade the em- 
ployment of children under nine years of age, limited 
the working time of children between nine and thirteen 
to eight hours a day, and prevented night work for all 
persons between nine and eighteen years between 8.30 
p. m. and 5.30 a. m. 

Many of those who opposed such an obviously good 
measure were not inspired by malignant motives, as it 
might seem, but were persons of high character who 
contended for the principle of individual liberty and 
the " freedom of labor." If things were let alone, they 
declared, mankind would ultimately be benefited and 
if the offices of the state were invoked even to protect 
the tender children from exploitation, which was then 
England's shame, it would lead to the evils of paternal- 
ism, individual initiative would be suppressed, and the 
foundations of society weakened. This is a good ex- 

345 



346 



GUNTON'S MAGAZINE 



[April, 



ample of how far doctrinaire reasoning will go in the 
suppression of humane impulses. That common sense 
which checks extreme positions and prescribes safe 
limits to our practices and leads us to deal with situa- 
tions as they arise, was not reckoned with. Since then 
the better rule that the province of the state is to cor- 
rect such evils as cannot be cured by individual action 
has come to be recognized and followed. 

Another important step in industrial progress is the 
recognition that business is of a social nature, that the 
* 'captains of industry" have obligations and duties to 
perform toward their employees and the public ; that 
business success is dependent upon favorable social con- 
ditions to which a single person can contribute but 
little. This view has opened the door to remedial legis- 
lation, justified trade-union regulations, and created that 
common ground where persons differing otherwise in 
economic thought may meet and act together. 

In response to the settled conviction that factory 
inspection is as much a part of the function of the state 
as police duty or the promotion of public health, the 
manufacturing states of the union have gradually added 
to the powers and scope of this department. New York 
and Massachusetts have taken the lead in this work, 
and since 1886 have undertaken the task of suppressing 
what is known as the sweating evil. This name de- 
scribes the grinding method of letting and sub-letting 
work to petty contractors, which is largely done in 
home shops and in crowded work-rooms where the or- 
dinary rules of health and comfort are disregarded. 
The large immigration from the countries of eastern 
Europe where manufacturing is still largely domestic 
is responsible for the extensive introduction of the 
system here, and the making of garments and other ar- 
ticles which can be conveniently made at home has 
fallen under its blight. In this case the efficiency of 



i9oo.] EFFECTS OF N. Y. SWEA TSHOP LA W 347 

the larger and better equipped factory is overcome by 
longer hours of toil, the saving of rent, the employment 
of members of the family and the evasion of the factory- 
law restrictions. This is why the large manufacturing 
firms, while transacting business in the most modern 
way, employ this benighted, antiquated system, which 
enables them to exploit the labor of the most helpless 
class of people and at the same time shirk responsibility 
for the conditions under which their goods are made by 
hiding behind the contractor. Where these same firms 
are obliged to have work performed direct, as in the 
cutting of garments, we witness a gratifying contrast, 
and we can see at a glance that the permanent cure for 
this evil lies in direct employment. 

Here lies the problem of factory inspection. It is 
by making it inconvenient for a manufacturer to resort 
to the indirect or contract method, and uncomfortable 
for those employed in it, that the system would in time 
be discarded altogether, and the work done in regular 
shops which could readily be brought under the super- 
vision of the factory inspectors and within the influence 
of the trade unions. The moral influence of publicity 
and numbers also helps to fix higher standards in the 
larger shops. 

The courts in their desire to protect the sacredness 
of the home have interposed most serious obstacles in 
the way of reaching the domestic shops. In 1884 the 
Court of Appeals decided that the law prohibiting the 
manufacture of cigars in tenement houses which was 
advocated by Assemblyman, now Governor, Roosevelt, 
was invalid, as the family and immediate members 
thereof could not be restrained from working in their 
living rooms, and upon the ground that this law abro- 
gated the liberties guaranteed all citizens under the con- 
stitution. This decision for a time baffled every attempt 
to bring the home shops under the authority of the 



348 GUNTON'S MAGAZINE [April, 

factory inspectors, until the way was pointed out by the 
Massachusetts licensing law of 1898, which required 
that every shop conducted in a dwelling room shall first 
obtain a permit, and such permit not to be granted un- 
til proper sanitary conditions are observed. No per- 
son is permitted under the law either to employ or con- 
tract with a person not holding a license for the making 
of articles whole or in parts in any living apartment. 

The merit of this law is that it compels the occu- 
pants of these shops to have them registered, and pro- 
hibits their operation until the inspector is satisfied that 
the law is being observed. Although the provisions of 
the factory acts in regard to child labor and the hours 
of employment cannot be applied in the home shops, 
still the discretionary power invested in the inspectors 
and the latitude which the health laws afford are 
sufficient to discourage the system altogether by com- 
pelling strict compliance with the spirit of the law. An 
applicant for a license in case of a refusal is obliged 
to apply to the courts to compel the inspector to grant 
the license if denied without just cause, thus imposing 
upon the tenement-house worker the burden of proving 
his or her claim for the license. 

This license feature was added to the factory laws 
of New York State last year and amended so as to ap- 
ply to buildings situat in the rear of any tenement or 
dwelling house, and the owner essee and agent of the 
building where goods are unlawfully manufactured are 
held co-responsible. Violations of the law are punish- 
able as a misdemeanor. The force of deputy inspectors 
was also increased from 36 to 50, but the additional 
duties of inspecting scaffolding and enforcing the life 
and limb law were taken from the police department 
and imposed upon the factory inspectors, thus scatter- 
ing their efforts and detracting from the chief work of 
the department. It also enables the inspectors to refer 




igoo.] EFFECTS OF N. Y. SWEATSHOP LAW 349 

to these extra duties in extenuation of charges of in- 
efficiency. 

The general effectiveness of the factory laws, the 
large increase of the force of the department, and the 
sympathetic cooperation of the governor all combined to 
raise high expectations. While the amendments have 
only been in effect since last September, and a sufficient 
test could not have been made in the five months, 
enough evidence has been obtained to show that the 
method of enforcing it will have to be radically changed 
if the purpose of the law is not to be defeated. The 
duties of the inspector are of a reformatory character 
and, unless he is also fully imbued with the spirit of 
the work and has clearly in view the object to be at- 
tained, we cannot expect other than the kind of service 
we are accustomed to receive from public officials. The 
cause for this reluctance on the part of the officers to 
strictly apply the law is the fear of the political oppo- 
sition which would be engendered. From a narrow 
political view such would be the case, for the manu- 
facturers, sweaters, and the proprietors of the build- 
ings used for sweatshops have votes and possibly in- 
fluence, but the favorable public opinion which could 
be created through the achievement of substantial re- 
sults would bring to the administration a popular sup- 
port which would more than offset the other. But the 
licensing feature of the law need not be enforced arbi- 
trarily and cause unnecessary hardship, for it can be 
applied in a way which would gradually tend to drive 
the home-workers into the legitimate workshop. 

Factory Inspector John Williams furnished a state- 
ment to the writer showing that 6,576 applications for 
licenses were received from September ist to December 
I4th, of which 3,860 were investigated; 2,472 were 
granted licenses, and 1,350 applicants were refused. 
Two arrests were made, one party being held under 



350 GUNTON'S MAGAZINE [April, 

$300 bail, and the other reprimanded and released by 
the court. The total number of places in New York 
city affected by Article 7 of the Labor Laws is estimated 
by the inspector at about 15,000, and fourteen deputies 
are commissioned to enforce the provisions relating to 
tenement-house work. 

It will be seen from this official statement that the 
surface, so far, has hardly been scratched and that a de- 
tailed inspection of so many places is out of the ques- 
tion. The force of example, therefore, must be relied 
upon, but only one person so far has been lightly pun- 
ished by being held under $300 bonds. The 1,350 per- 
sons to whom licenses have been refused are evidently 
working as usual in illegal places, while the 2,472 
licenses were granted largely to people who work in 
tenements. What difference does it make to the tene- 
ment worker whether he is granted a license or not, if 
he is allowed to continue unmolested? If he was de- 
prived of work by the firms supplying him with it, 
through the action of the inspectors, until he was able 
to show a license, there would be some incentive for 
him to procure one, but even then he could without 
much inconvenience, perhaps, obtain work from some- 
where else. 

Even let us suppose that every tenement worker 
applied for and received a license by complying tech- 
nically with the requirements, would this create an im- 
provement? Would the real object of the law to dis- 
courage and gradually suppress tenement-house manu- 
facture be fulfilled? Unquestionably, no. After the 
very lenient provisions of the law are observed and the 
license secured, how can it be known whether the con- 
ditions will keep up to the standard. In fact, the per- 
son armed with a license is really granted immunity for 
a year, until the date of its expiration. 

It is evident that a great deal remains to be done 



i goo.] EFFECTS OF N. Y. SWEATSHOP LA W 351 

in the way of improving the law and in the manner of 
its prosecution. All efforts should be concentrated in 
the localities where the sweating evil abounds, not only 
to regulate it, but to extirpate it altogether by making 
its very existence impossible. The mere recording of 
the number of inspections made and publishing them 
in the bulky volumes issued annually by the depart - 
ment is valueless, while entailing a great expense. 
It is the application of the laws with intelligent dis- 
crimination which can accomplish positive results. 
The effectivenesss of law consists in the way in which 
the inspection is done, rather than a perfunctory num- 
ber of inspections. 

As we cannot hope, apparently, to secure officers 
who will be as advanced as the law itself, the law 
must be extended so as to make manufacturing in living 
rooms more difficult. The courts having declared 
against the validity of any legislation which prohibits 
immediate members of a family from engaging in any 
legal occupation in their own apartments, then the de- 
sired end must be attained by other methods. 

It was recommended to the governor last year that 
the granting of licenses should be forbidden to any ap- 
partments reached by the same entrance or stairway 
used for living rooms. At the time it was considered 
too drastic a remedy, necessitating as it would such al- 
terations to a house in order to make a separate en- 
trance as to practically debar working in tenement 
rooms. But the decidedly unsatisfactory results so far 
and the small probability of the object of the laws be- 
ing carried out entitled this proposition to more serious 
consideration. 

It was thought when the new law was framed that 
an effective blow had been dealt at the sweating sys- 
tem. The real merit of the law is in the clause which 
prevents a person from conducting a shop in a dwelling 



352 GUNTON'S MAGAZINE [April, 

house, or in a building in the rear of a tenement unless 
a license is first procured. Thus far, however, we find 
that sweatshops have actually been legalized and a 
gloss of respectability given to them by the very law 
designed to suppress them. A manufacturer accused 
of having his goods made in sweatshops pointed to the 
law and said ' ' that the person making the charge was 
ignorant of the fact that the law had put an end to 
sweatshops, and that the state compelled all work-rooms 
to be clean." 

Thousands of licenses have been granted to places 
where only the bare sanitary conditions were complied 
with, at the time the licenses were applied for, and yet 
they are only a small fraction of the number of shops 
which are to be regulated. That the law was consid- 
ered adequate at the time is shown by the following 
testimony given by Mr. Daniel O'Leary ( then chief 
factory inspector, and who now has charge of the 
licensing bureau ), before the Industrial Commission at 
Washington in March last: 

"Mr. North. Now, what effect would this law, 
the present law, or the amended law, have on the sweat- 
shop system ? 

"Mr. O'Leary. W.ell, from my own intimate 
knowledge of the subject, I may be over-zealous per- 
haps, but its literal enforcement would mean the 
obliteration of the sweating business. 

"Mr. North. You think that it would be the 
abolition of the sweatshop? 

"Mr. O'Leary. Yes. 

" Mr. North. You think that it is desirable? 

"Mr. O.'Leary. I think it is, judging from present 
conditions." 

The effectiveness of the amended law having been 
testified to by the very person now charged with its 
prosecution, it would be interesting indeed to know 




1 9 oo.] EFFECTS OF N. Y. SWEATSHOP LA W 358 

why there is no apparent change for the better ; why 
the thousands of shops deemed unworthy of a license 
continue to operate as usual ; why only one person has 
been lightly punished for violation, although in a single 
trip through the sweatshop districts hundreds of viola- 
tions can be pointed out ; why manufacturers continue 
to give out goods to contractors to be made, and the 
contractors in turn subdivide the work to others with- 
out ascertaining whether the parties receiving the 
work have a proper shop, which neglect in itself con- 
stitutes a punishable offense. 

Can it be that the Empire State is powerless to 
enforce the simple provision of the factory laws in the 
interests of public health and decency ? This is the old 
familiar story of the reluctance of the authorities to 
enforce laws in the interests of the "under dogs," the 
victims of vicious industrial conditions, but they are 
quick to respond to the needs of the comfortable classes. 
Where the welfare of the multitude is concerned, the 
laws are only applied by the constant nagging and 
prodding of the citizens. 

The inspectors have shown a peculiar reluctance 
in cooperating with the societies and individuals inter- 
ested in workshop reform, and to whose efforts the pres- 
ent factory laws are largely due. They have always 
regarded these voluntary workers with much disfavor, 
fearing to have their affairs closely watched. This is 
unfortunate, because the voluntary services of persons 
so sincerely interested in the subject would go far 
toward compensating for the inadequate force of the 
department. This suggests the idea of creating honor- 
ary inspectors to serve without pay, to be appointed 
by the governor and given authority to enter and in- 
spect shops and report violations to the factory inspec- 
tors. Such inspectors might be selected from the 
nominations made by trade unions and kindred soci- 



354 GUNTON'S MAGAZINE [April, 

eties. The moral effect of this kind of work upon the 
deputy inspectors, as well as upon the employers and 
employed, ought to be of great value. It would create 
a watchfulness that would overcome the passiveness 
which soon follows an agitation. 

On December gih, at a conference held under the 
auspices of the Church Association for the Advance- 
ment of the Interests of Labor, held at St. Stephen's 
Parish Building, comprising representatives of trade 
unions, consumers' leagues, the University Settlement, 
and Social Reform Club, which was attended by the 
writer, and by the editor of GUNTON'S MAGAZINE, com- 
mittees were appointed to investigate the conditions 
of the workshops, ascertain the effects of the new law, 
and suggest to the legislature needed amendments. 

A large number of reports giving the actual con- 
dition of the shops inspected, signed by the special 
inspectors, have since been forwarded to the governor 
by the chairman, Rev. F. J. C. Moran. This confer- 
ence meets every other week, and the mere fact alone 
of such meetings composed of earnest advocates of 
factory reform has had the effect of stirring the depart- 
ment into greater activity. The legal committee has 
decided to recommend the following amendments to 
the factory acts : 

First, an increase of ten inspectors for the district 
of Greater New York. Such inspectors to be con- 
versant with the prevailing language spoken by the 
people engaged in the occupations where the sweating 
evil exists and to have a practical knowledge of one or 
more of the said trades. 

Second, the appointment by the governor of hon- 
orary inspectors to serve for the term of one year. Such 
inspectors to be given authority to enter and inspect 
workshops and report violations of the law to the de- 



i 9 oo.J EFFECTS OF N. Y. SWEATSHOP LAW 355 

partment, and to cooperate with it in prosecuting 
violators. 

Should these amendments be passed by the legis- 
lature and approved by the governor, the Empire State 
will lead all the rest in the beneficient work of amelio- 
rating industrial conditions and will be setting an 
example which will be followed by other states. 

The argument commonly used against factory 
legislation, that the state adopting the most stringent 
laws will so increase the cost of manufacture as to drive 
an industry out of its limits, at first thought seems to 
be well founded. The effect of these laws, however 
really is not to increase the cost of production mate 
rially, but to compel manufacturing to be done under 
higher conditions. Cleanliness and good management 
go together; order and system are other words for 
economy. It may be more convenient to give work to 
unclean tenement shops but if that method is interfered 
with by law the same manufacturer will have it done 
in better shops or if necessary conduct one of his own. 
Progress must often be forced and wise factory legisla- 
tion has a wholesome stimulating effect upon industry, 
and improves the moral tone of the community. 

A market exists in a certain place because of a 
number of favorable conditions, and even the added 
cost of labor need not be detrimental as it may be offset 
by other advantages and by superior business sagac- 
ity. There is an exception however in the case of 
child labor where it can be used, but a more enlight- 
ened spirit is putting its mark of disapproval upon it. 
Even the southern states will have to succumb to its 
influence. An agitation carried there must arouse 
the public conscience, and if not congress should find a 
way to deal with it, in behalf of the whole nation. I 
venture to say here that there are even greater consid- 
erations than profits. 



356 



GUN TON'S MAGAZINE 



Deplorable as the conditions of labor are in the 
congested quarters of New York, the transition from 
the tenement to the factory building and the getting 
away from the place where the family is employed and 
where the working-day and child labor cannot be regu- 
lated marks a great advance. Many tenements have 
been converted into factory buildings and, although the 
latter are hardly worthy of the name, the change is 
wholesome and encouraging, and could be greatly 
accelerated by the factory inspectors. The improve- 
ment in the construction of houses and the greater 
activity of the health department have also contributed 
toward this result. If by example the value of factory 
legislation could be made apparent to the ordinary citi- 
zen the state would surely respond by providing the 
inspectors with facilities commensurate with its im- 
portance. 





CIVIC AND EDUCATIONAL NOTES 



A Halt in There seems to be little prospect of edu- 

Educational cational reform in New York state this 

Reform year. There is not enough support for 

any one of the four propositions for unification of the 
regents' department and the department of public in- 
struction to pass it. The plan reported by the gov- 
ernor's unification committee provided that the head of 
the new department of education should be appointed 
by the governor and confirmed by the senate. The 
minority report urged that he should be appointed ex- 
clusively by the regents. A compromise measure, 
championed by Mr. Frederick W. Holls and Dr. Nicho- 
las Murray Butler, proposes that the chancellor or com- 
missioner be appointed by the governor and confirmed 
by the regents ; and the latest proposal is a revision of 
the first and calls for the election of the head of the 
department by the senate and assembly jointly, as 
United States senators are chosen. 

Two of these plans frankly put the educational 
system of the state under direct political management ; 
one keeps it entirely with the regents, and one is a 
compromise. The very intensity of this preliminary 
struggle shows the sort of discord and wire-pulling that 
might be expected if the believers in political control 
should win. Better leave things as they are, with all 
the waste and duplication, than to destroy the time- 
honored and time-justified independence of the uni- 
versity. If unification is accomplished on the right 
basis, however, there is no man in the state better 
qualified for the post of chancellor than Dr. Nicholas 
Murray Butler, Dean of the Faculty of Philosophy in 
Columbia University. The whole wrangle will have 

357 




358 GUNTON'S MAGAZINE [April, 

been well worth while if, finally, a man of Dr. Butler's 
calibre can be secured for a long term to administer the 
educational system of New York state. 

Higher Professor Du Bois, of the Department of 

Education Economics and History in Atlanta Uni- 

for Negroes versity, is taking steps to find out the 

practical results of higher education of negroes. It is no 
uncommon thing in the South to find bitter opposition 
to even ordinary education for negroes. The argument 
is that it makes them discontented and unwilling to 
work at the only occupations open to the colored race 
in that section ; social distinction restricting them to 
rough labor and personal service. There is truth in 
this, yet Booker T. Washington has been proving for 
several years that negroes who are really equipped with 
industrial skill, decent habits and willingness to work 
can make headway and break down prejudice against 
them, and do not have to come North for that purpose, 
either. 

Several southern states have tried lately to adopt 
a scheme whereby only the monies collected from col- 
ored taxpayers shall be applied to the education of 
colored children. Of course this would be a very neat 
way of depriving negroes of all educational opportuni- 
ties, but it seems unlikely that southern public senti- 
ment will sustain any such preposterous trick. With 
reference to higher education the antagonism is more 
pronounced and outspoken. You will hear it de- 
nounced as simply the means of turning out a stream 
of colored preachers, lawyers and doctors who scorn to 
touch a shovel or a hoe and become loafers and general 
nuisances. Cases can be cited that sustain this, no 
doubt ; but for the most part it is an absurd exaggera- 
tion. 

Professor Du Bois now intends to collect data on 



igoo.] CIVIC AND EDUCATIONAL NOTES 359 

the subject, so that the truth one way or the other may 
be known and made available for future discussions. 
He is sending out blanks all over the country, so far as 
college-bred negroes can be traced, and to all persons 
and institutions that are likely to have any knowledge 
of such negroes. These blanks are to be filled out in de- 
tail, showing the early life, occupations since gradua- 
tion, present occupation, instances of special success, et 
cetera. Whoever has any personal knowledge of a col- 
lege-bred negro can help this work along by sending to 
Professor W. E. B. Du Bois, Atlanta University, for 
one of these blanks and returning it with the informa- 
tion filled in. If the responses are at all general it will 
be a very valuable accomplishment. If higher educa- 
tion for negroes is a success, the fact needs to be known 
and made known ; and if it is a failure that needs to be 
known too, and more effort devoted to something else. 



A very unique exhibition was held in 
The Menace of New y O rk city early in February. It 

Vile Tenements . 

was a practical representation of tene- 
ment-house conditions and tenement-house reform, and 
lasted two weeks. Besides maps and charts innumerable, 
showing conditions in every important American city 
and many of the largest in Europe, there were models of 
typical tenements and plans for sanitary construction. 
The exhibition was prepared by the tenement-house 
committee of the Charity Organization Society, and was 
designed to stir up renewed interest in tenement-house 
reform. Considering that 2,000 new tenements were 
erected in Manhattan and the Bronx during 1899, and 
15,000 during the last ten years, almost all bad, it is 
plain that the evil is outgrowing all the reform efforts 
that are being made. 

The typical tenement house is built on a lot 25 by 
100, and a majority of the rooms get their only light 



360 GUNTON'S MAGAZINE [April, 

and air from a narrow air shaft between the buildings, 
from three to five feet in width and sixty to seventy 
feet deep, according to the height of the building. 
Generally this shaft is closed at both ends. In one city 
block, illustrated at the exhibition, there are 39 tene- 
ment houses, with 605 apartments, accommodating 
2,781 persons: 263 of these apartments are two-room 
and 179 three-room; 441 of the rooms are absolutely 
without light or ventilation, and 635 open only on the 
air shaft. The sanitary conveniences are shockingly 
inadequate, there being not a single bath in the entire 
block. Mr. Lawrence Veiller, of the tenement-house 
committee, who described the exhibit in the March 
Charities Review, recalls in this connection the fact that 
in 1894 it was discovered that, out of the 255,000 per- 
sons included in the investigation of that year, only 
306 had any bathing opportunities whatever. He does 
not believe that this is wholly because they would not 
bathe if they could, and cites the fact that during the 
last year 120,000 baths were paid for at five cents each 
at New York's one all-year public bath house. 

Most striking are the maps showing the location of 
poverty and disease. There is hardly a tenement of all 
the 44,000 in Manhattan and the Bronx that does not 
show applications for charity from at least five and in 
some cases seventy-five different families within the last 
few years. Hardly a tenement fails to show a record for 
tuberculosis during the last five years. Out of this 
poverty and disease grow worse things. " It is a sim- 
ple matter," says Mr. Veiller " to investigate the re- 
cords of our reformatories, hospitals, dispensaries, and 
institutions of similar kind, to find out what proportion 
of the patients and inmates come from tenement houses. 
Here in New York we know that nearly all are tene- 
ment-house dwellers." 



igoo.] CIVIC AND EDUCATIONAL NOTES 361 

The problem is not to be solved by sending these 
people away to the country. As Mr. Veiller says : 

* ' Let us not deceive ourselves and neglect the 
housing of this population, with the thought that peo- 
ple ought to live in the country. The well-to-do classes 
do not live in the country, and so long as they live here 
there will be a large number of persons to do their 
work, on whom they are dependent for their very lives, 
' hewers of wood and drawers of water, ' or their mod- 
ern equivalent." 

Rigid prohibition of certain types of buildings, 
wholesale condemnation of existing rookeries, begin- 
ning with the worst specimens, and specific require- 
ments for future construction, accompanied by proper 
inspection and enforcement, nothing short of this kind 
of policy will do much. The committee exhibited 
charts of sixteen intolerable sections which could be 
wiped out entirely and room made for greatly needed 
parks and playgrounds. In addition, plans were shown 
of model tenements, so feasible that already a number 
of builders are planning to adopt them. These will 
contain no air-shaft rooms, but will have every sanitary 
appliance as well as adequate means of access. Why 
not make this sort of construction compulsory? At 
least, make it the minimum requirement. Of course 
there would be a demagogical outcry about ' ' blocking 
the growth of the city," just as there is whenever it is 
proposed to shut out immigration. All right; real 
growth is in quality, not size, and we cannot afford to 
exchange civilization for bigness. 



THE OPEN FORUM 

This department belongs to our readers, and offers them full oppor- 
tunity to "talk back" to the editor, give information, discuss topics or 
ask questions on subjects within the field covered by GUNTON'S MAGA- 
ZINE. All communications, whether letters for publication or inquiries 
for the " Question Box," must be accompanied by the full name and ad- 
dress of the writer. This is not required for publication, if the writer 
objects, but as evidence of good faith. Anonymous correspondents are 
ignored. 

LETTERS FROM CORRESPONDENTS 



The Mormons and Polygamy 

Editor GUNTON'S MAGAZINE, 

Dear Sir: The Troy ( N. Y.) Press of February 
7th takes exception to some statements in my article 
on "The Mormon Power in America," which ap- 
peared in the February number of GUNTON'S MAGAZINE. 

As to the "correction" that Joseph Smith was 
neither a polygamist nor an endorser of that doctrine, 
history states that Joseph Smith did secretly enunci- 
ate that belief but it was not publicly proclaimed, and 
that because of their immoral conduct at Palmyra, 
which also included depredations upon the property of 
others, the sect found it inconvenient to tarry longer 
there. They were driven from Kirtland, Ohio, also 
for immoral conduct and for swindling. Joseph Smith 
had established a bank there and issued "wild-cat" 
money. Their conduct at Independence, Missouri, was 
similar, and they were also driven from there in conse- 
quence of their depredations upon the property of oth- 
ers. It is also stated in history that they were living 
in polygamy there, and that this first attracted the at- 
tention of the Missouri farmers to the " strange sect." 
As to Joseph Smith's endorsement of polygamy: 
Mormon history credits him with a "vision" which 

362 



LETTERS FROM CORRESPONDENTS 363 

commanded him to promulgate it to the " chosen peo- 
ple." It is stated that at Nauvoo he received a visit 
from an angel with a drawn sword, who told him that 
the time was come to announce the doctrine to the peo- 
ple. This he did to the assembled twelve apostles ; 
it was then preached from the temple, and afterwards 
incorporated in their bible as an article of faith. It 
was known that Joseph Smith and other leading offi- 
cials were living in polygamy at Nauvoo before this 
alleged vision, and their attempt to force it upon their 
people as a church doctrine met with failure and led to 
some defection. Then, the sacrilegious duplicity of a 
' ' vision " and visit from an angel was resorted to. They 
were driven from these places mainly because of their 
polygamous practices ; and their aim was to get beyond 
civilization and law where they would be undisturbed. 
Brigham Young, who usurped the presidency of the 
church upon the death of Joseph Smith, led them to 
Utah where his power was unrestrained by law, and 
then the doctrine of polygamy was again commanded. 
Here the Mormons lived in polygamy in defiance of our 
laws, and when an army was sent to suppress the re- 
bellion their "Nauvoo Legion" met that army on the 
borders of Utah and despoiled the property of the ad- 
vance guard. A battle would have followed, only that 
the government had sent a "commission" which 
reached Utah almost as soon as the army. As I have 
also stated, the Mormons claim that they are the 
" chosen people " and that they are destined to rule not 
only this country but also the world, spiritually and 
temporally. Their doctrine is a close union of state 
and church, with the church as the supreme head. 
They recognize no other power. They ever have been 
opposed to the government, and as their power in- 
creases so will their opposition. Mormonism is based 
upon polygamy, and when the leaders renounce that 



364 GUN TON'S MAGAZINE [April, 

doctrine they renounce their church. As they claim 
that polygamy is a " revelation " received through an 
angel it is not clear how they can renounce it. A 
divine ordinance cannot be abrogated or even "sus- 
pended " by human agency. Of course Joseph Smith 
perpetrated a fraud when he professed to have received 
a visit from an angel authorizing polygamy, as he also 
did when he professed to have received golden plates 
from an angel, from which the Mormon bible was al- 
leged to have been translated. 

' ' Polygamistic Mormonism" has not received its 
death knell, as the Press believes. The church leader 
did not say that polygamy would be abandoned. His 
"manifesto' 1 only suspended it. The leaders know 
that to renounce this practice and admit that their 
"divine " ordinance is wrong would produce a schism 
in the church. They deny the right of any human 
government to interfere with what they term a ' ' celes- 
tial " institution. 

In the meantime, proselyting continues and the 
sect is increasing in numbers. The Mormon problem 
is not yet solved. The cry against slavery was loud 
and long, and resulted in the greatest war of the cen- 
tury. Little is heard from these ' 'humanitarians" about 
the other and greater evil which enslaves both the body 
and mind Mormonism. 

J. M. SCANLAND, Denver, Col, 



Reform in School Methods 
Editor GUNTON'S MAGAZINE, 

Dear Sir: In the February, 1900, number of your 
magazine you published a letter of Superintendent 
C. L. McLane in which he states that I seem to have 
overlooked one point which he fears is fatal to my 
scheme for a better division of labor in schools, as out- 



i 9 oo.] LETTERS FROM CORRESPONDENTS 365 

lined in the October, 1899, number of your magazine. 
The point is ' ' the matter of the arrangement of a pro- 
gram that will accommodate such pupils as advance be- 
yond their grade or fall behind." Judging from his 
remarks following this statement, he seems to have the 
idea that I intended to offer a scheme that would accom- 
plish what the various " elastic " systems of grading are 
designed to do, namely, that of devising a system that 
will be highly efficient in its adaptability to stuffing a 
certain number and kind of text-books into pupils at 
any rate desired by or found possible for the pupil. 
This is not what I intended at all. I intended to con- 
vey the idea that what usually underlies attempts to 
make " elastic" systems is wrong from an educational 
or from a common-sense point of view. These ' ' elastic " 
systems are usually based on the assumption (implied) 
that a pupil who can recite upon this series of text- 
books so that the teacher can report him as standing, 
say 90, in each subject has gotten about all that there is 
to be had from the school. Too often this assumption 
corresponds with the facts. 

So far as the particular point mentioned is con- 
cerned, I considered that my scheme would work in 
such a way that no one would be ahead of or behind his 
grade except that he might have greater capacity or 
better training or better opportunity for doing some 
particular subject or subjects than some of his class- 
mates. In short, I intended to have my scheme imply 
that there would be no grades in the ordinary sense but 
simply a course or courses of study, which as a matter 
of course is divided somewhat by the subjects whenever 
the pupil has attained sufficient knowledge and training 
to begin a formal study of subjects. In my paper on 
"Changes in the Course of Study," published in the 
December, 1899, number of GUNTON'S MAGAZINE, I 
have attempted to give some further idea of the manipu- 



366 GUNTON'S MAGAZINE [Apri>, 

lation of the course of study which I believe throws 
some light on this difficulty. 

It seems to me to be desirable to devote a little 
space to detail in order that the method may be made 
clearer. Let us suppose that we have a class of pupils 
who have begun the study of history, rhetoric, geom- 
etry and physics together in the high school. Gener- 
ally it will be found that some can go faster than the 
others in some of the subjects. Suppose that two or 
three are able to go faster in physics than is found to be 
desirable for the rest of the class but are only able to do 
about the average work in the other subjects. Instead 
of wishing that there was another class that had cov- 
ered, say, a month more work in the text-book so that 
these could be pushed along into it, the teacher should 
be glad that there are a few in the class to whom spe- 
cial work can be given in order that they may acquire a 
broader and firmer grasp of the subject than is usually 
obtained by the pupil in the secondary schools. If, 
however, these two or three were not doing the average 
work in the other subjects it might be advisable to give 
them special attention in these subjects instead of 
special work in physics. The session-room teacher 
could be of much service in adjusting such matters. 

Again, let us suppose that two or three cannot go as 
fast as the average of the class in physics but do the 
average work in the other subjects. They should then 
have special attention in physics in order that they may 
do even the average work of the class. If in a reason- 
able time it is found that they cannot do justice to them- 
selves in physics even with special attention tnen it 
should be dropped and special work given in some or 
all of the other subjects as indicated above. 

While on the subject of the difficulties of my scheme 
I would like to suggest that the great difficulty of the 
program will be an arrangement of hours of recitation 



igoo.J LETTERS FROM CORRESPONDENTS 367 

so that pupils who have not followed the regular sched- 
ule may not be confronted with conflict of hours of reci- 
tation. Each pupil would have to consider the sched- 
ule, which should not be changed very much from 
year to year, in making his choice of studies. This 
choice of studies should always be made with the 
assistance of the session-room teacher. 

Permit me to take this opportunity of thanking 
Superintendent McLane for his letter and you for pub- 
lishing it. It is only in this way that these problems 
can be worked out. 

W. F. EDWARDS, Orchard Lake, Mich. 

Feb. 8, 1900. 



Senator Beveridge's Philippine Speech 

Editor GUNTON'S MAGAZINE, 

Dear Sir: While as a rule I am much pleased 
with your treatment of public problems, it seems to me 
that your remarks in the February number on ' * The 
Philippine Debate in Congress" is open to just criticism. 
You assail Senator Beveridge's speech, and say that he 
said very little about the ' ' inevitable duty placed upon 
us by providence," or the plea of "benevolent assimila- 
tion." Very true, and had he done so, you justly 
could and probably would have been still more 
severe in your criticism. Such expressions count for 
little besides gush unless fortified by facts. You go on 
to say, ' ' on the contrary his plea was distinctly and un- 
equivocally imperialistic." This is unequivocally a 
mistake. Mr. Beveridge in the first part of his speech 
gave considerable space to the production of evidence 
from the highest sources, sustained by his own obser- 
vations, that the Philippines were not capable of self- 
government in any proper sense of the term, and that 
to give them independence would be disastrous to them, 



368 GUNTON'S MAGAZINE [April 



and a dishonorable evasion of our own responsibilities. 
His reasons were certainly not puerile. Having 
reached that conclusion, the next step necessarily was 
to determine what our duty was in the premises. 
Again, Mr. Beveridge at considerable length gave the 
details of a plan of government for the Philippines, 
that would best promote the welfare of their people, 
and fit them as fast as possible for self-government. 
Whether his plans were altogether wise is simply a 
matter of opinion. But there was not in the plan he 
proposed a single proposition that gave even a hint of 
being mercenary. Having disposed of the points of 
right, and of our duty in the matter, upon which indeed 
there is little diversity of opinion only in the minds of 
those who oppose the policy of the administration as a 
principle of party policy, Mr. Beveridge turned to the 
discussion of a question upon which there is a much 
wider difference of opinion. And that is the question 
of material advantage. There are a great number of 
our people who think we should consider first our own 
pecuniary interests, and let people in distant islands 
take care of themselves, and who much doubt whether 
it will profit us to hold the Philippines. It was neces- 
sary to exploit that question and Senator Beveridge did 
so with a force and effect that I have not seen equaled 
by any other man. And that may be one cause of his 
being assailed. You rebuke Senator Beveridge because 
he asserted that the public utterances of those who 
sympathize with the insurgents were responsible for 
much of the Philippine troubles, but his position is sus- 
tained by an abundance of facts, and by the opinions of 
almost every man well qualified to judge, who has been 
in the Philippines. Men are justly held responsible 
for the natural consequences of their acts, and neither 
the age nor the past services of Mr. Hoar ( whose name 
was not mentioned ) can relieve him from that respon- 





i goo.] LETTERS FROM CORRESPONDENTS 369 

sibility. Nor can the youth of Mr. Beveridge discredit 
his arguments. If Mr. Hoar chooses to continually ex- 
ploit a subtile and sublimated theory of the doctrine of 
the "consent of the governed," which the authors of 
that expression never dreamed of, and certainly never 
put into practice, that is no reason why the young 
statesmen of the country should put their hands over 
their mouths. You quote with approval the declaration 
of Senator Wolcott that Mr. Beveridge's speech was 
" base and sordid." I never could understand why Mr. 
Wolcott should have made that remark unless it was 
through jealousy of the rising young senator, or through 
a desire to pose as a man of a superior sense of honor. 
And I am quite as much surprised to see it meet your 
approval. Senator Beveridge's remarks were not per- 
sonal, Senator Wolcott 's remark was personal, offensive 
and untrue. Viewing Beveridge's speech as a whole 
we may well challenge either of you to produce one 
sentence from it that can possibly be characterized as 
base or sordid. 

There is something sordid in the contention that 
we should consult pecuniary interest without regard to 
the welfare of the Philippines. After pointing out 
what he conceived to be our duty toward the Philip- 
pines, it was not sordid in Mr. Beveridge to demon- 
strate that the discharge of that duty would redound to 
our benefit also. Such contention was in line with a 
great ethical as well as economic truth ; that in the long 
run the interests of all are identical. 

J. W. SNELL, Sault Ste. Marie, Mich. 



[The emphasis of the senator's speech was on our 
material advantage in annexation. Our criticism was, 
and is, on the general spirit of this line of argument, 
not on specific sentences.] 




QUESTION BOX 

Real Cause of Business Depression 

Editor GUNTON'S MAGAZINE, 

Dear Sir: I have been reading the chapter on 
" Business Depressions " in your " Principles of Social 
Economics," and am rather surprised to find that you 
reduce all such depressions or panics to one cause, low 
consumption on the part of the community. While 
this may be the underlying cause in some cases, is it 
not true that the low consumption is quite as often the 
result as the cause of business depression and panic ? 
For example, is not the business depression of 1893- 
1896 chargeable to the fright of capitalists at the pros- 
pect tariff tinkering ? also to the checking of credits 
due to monetary uncertainty, etc. These causes ope- 
rated on the production side of the industrial commu- 
nity, and resulted in enforced lessening of consumption, 
which just before was very large. In other words, are 
there not various other causes which may be said to 
bring on panics and depressions besides the one only 
which you mention ? 

STUDENT, 

New York City. 

It is essentially true that business depressions, are 
the result of relatively low consumption ; that is to say, 
either through consumption being actually diminished 
or failing to keep pace with the growth of production. 
This result, however, may sometimes be brought about 
by causes which directly operate upon production, as 
was the case in 1893. The first disturbance which led 
to that protracted depression was, as our correspondent 
suggests, in the realm of credits. It was believed that 

370 




Q UESTION BOX 371 

the tariff was going to be practically abolished, and 
that this would give the American market to foreign 
producers. In effect this was a diminution of con- 
sumption. That is to say, it was looked upon as a 
coming diminution of consumption of American prod- 
ucts. This fact acted upon American production. 
As soon as it was believed that American products 
would not be consumed, all the forces set in to stop 
them from being produced. Bankers refused to give 
credit accommodations to manufacturers, because they 
thought they could not sell their goods. New capital 
refused to go into business because it thought there 
would be no market for the products. Hence 
orders for new machinery, contracts for new mills, 
were cancelled. Manufacturers were afraid to buy 
stock ahead because they were afraid they could not 
sell their goods. So far as the influence on, American 
industries is concerned, to have consumers supplied 
from another quarter is exactly the same as diminish- 
ing consumption. The effects are identical. If it 
could have been assured that the consumption would 
not be transferred from American to foreign goods, 
there would have been no depression. Confidence 
would not have been disturbed and factories would 
have gone on as before. 



Some English History Items 

Editor GUNTON'S MAGAZINE, 

Dear Sir: There have been a great many histor- 
ical references in some of President. Gunton's lectures 
in the Bulletin, and I would appreciate it if you would 
give a little more of an account of the wars of the 
roses, the protestant reformation and the Peterloo 
massacre ; their cause, magnitude and effect. 

E. S. DELANA, Norway, Iowa. 



372 GUNTON'S MAGAZINE [April, 

Properly to answer these questions would take a 
full lecture. However, a few leading facts can be 
briefly summarized. 

(i.) The wars of the roses resulted from a quarrel 
between the descendants of the third and fourth sons of 
Edward III. Edward III. had seven sons. The eldest 
was Edward, better known as the "Black Prince," but 
he died before his father ; and on the death of King 
Edward (1377) the son of the Black Prinoe became heir 
to the throne as Richard II., at eleven years of age. 
He became very unpopular, and in 1399 his Cousin 
Henry, the son of John of Gaunt, fourth son of Ed- 
ward III., raised an army, deposed Richard, made him- 
self king, and reigned with the approval of parliament 
as Henry IV. 

This was the beginning of the House of Lancaster, 

which retained undisputed power for fifty- six years, 

through the persons of three Henrys, IV., V and VI. In 

1455 a quarrel arose between the reigning house and 

the Duke of York, who was a descendant of Lionel, the 

third son of Edward III., which resulted in an appeal 

to arms by the representatives of the two branches, 

Lancaster and York. The emblem of the house of 

York was a white rose, and that of Lancaster was a red 

rose ; hence the wars were called the wars of the roses. 

The struggle lasted thirty years (1455 to 1485), during 

which eighty princes of the royal blood, two hundred 

of the nobility and a hundred thousand of the gentry, 

the flower of England, were killed. From 1455 to 

1461 the Lan casters were successful, but in the latter 

year they were defeated by the Yorkites, when Edward 

of York ascended the throne as Edward IV. He 

reigned twenty-three years (1461 to 1483) and left two 

sons ; the elder, who was thirteen years of age, being 

proclaimed king as Edward V. The king's uncle, 

Richard of Gloucester, was appointed protector until 



i goo. ] Q UESTION BOX 373 

the young prince became of age, but Richard planned 
to have both the princes murdered in the tower, and 
himself proclaimed king as Richard III. 

His wicked career gave a plausible excuse for op- 
position, which was taken advantage of by the Earl of 
Richmond, now the only surviving heir of the house of 
Lancaster, who raised an army and met the king at 
Bos worth, Leicestershire, where Richard was slain by 
his rival's own hand. Henry of Richmond was crowned 
as Henry VII. Henry VII. , who was indirectly descend- 
ed from Edward III. through the Lancaster line 
being (through illegitimate relation) the great-grandson 
of John of Gaunt married Elizabeth of York, the 
daughter of Edward IV., and so united both the York 
and Lancaster lines in his own family, and with his 
ascension to the throne ended the wars of the roses. 

(2.) The protestant reformation may be said to 
have begun under Edward III., in the fourteenth cen- 
tury, through Wyclif, who translated the Bible into 
English and organized the army of barefooted priests. 
In the fifteenth century it was revived by John Huss, 
of Prague, who was burned at the stake in 1406. But 
the protestant reformation as a continuous movement 
which resulted in the establishment of the protestant 
church began in Germany in 1517, by Martin Luther, 
who posted on the doors of the cathedral in Wittenburg 
ninety-five theses against the practice that then pre- 
vailed of selling indulgences, that is, selling the privi- 
lege to indulge in certain sins. For this he was ex- 
communicated, whereupon he burned the canons of the 
church, defied papal authority, and began to propagate 
the new or protestant religion. 

A little later in England, Henry VIII., who wanted 
to put away his first wife, Katherine, in order that he 
might marry Anne Boleyn, quarrelled with the pope 
because he would not accomodate him with a divorce. 



374 G UN TON' S MA GA ZINE 

The spirit of the reformation had spread from Germany, 
and the abuses of the church were intolerable, so that 
altogether the sentiment in the community was ripe 
for any action against the church. Henry abolished 
the jurisdiction of the pope and set up a protestant 
church under the protection of the state. The contest 
was fierce and bloody, and lasted through the reigns of 
Henry and his son Edward VI., after which Mary as- 
cended the throne for five years (1553 to 1558) and re- 
established the Catholic religion. At her death, in 
1558, Elizabeth ascended the throne and reigned forty- 
five years, during which time the protestant religion 
was thoroughly established, never again to be over- 
thrown. 

(3.) The Peterloo massacre occurred in Peterloo 
Square, Manchester, the site upon which now stands 
Free Trade Hall. It was the occasion of a mass meet- 
ing held on the sixteenth of August, 1819, to be ad- 
dressed by Henry Hunt, the then leader of a reform 
movement. The movement was to secure universal 
suffrage, vote by ballot and repeal of the corn laws. 
The meeting was called in Peterloo Square for the pur- 
pose of passing resolutions and petitioning parliament 
to grant this request. The government took time by 
the forelock, had soldiers located all around the square, 
and when the meeting assembled charged the people 
with bayonets. Many were killed and something over 
two hundred were wounded. This has ever since been 
known as the Peterloo Massacre. The effect, however, 
was not to stop the agitation but rather to stimulate it, 
and it continued until the suffrage was extended to the 
middle class in 1832, the corn laws repealed in 1846, the 
suffrage still further extended to the laboring class in 
1866, and ultimately to the farm laborers, together with 
vote by ballot (secret vote) in 1874. 



BOOK REVIEWS 



DEMOCRACY AND EMPIRE. With Studies of their 
Psychological, Economic, and Moral Foundations. By 
Franklin Henry Giddings, M. A., Ph.D., author of "The 
Principles of Sociology." The Macmillan Co., New 
York and London. 1900. Octavo, cloth, 360 pp. $2.50. 

Like everything that Professor Giddings writes, 
this book is an attempt to discuss the question at issue 
from the background of psychological and political 
philosophy. It is an effort to justify from the 
point of view of economic and social evolution the ex- 
pansion policy of the United States in extending its 
jurisdiction over Hawaii, Puerto Rico, the Philippines, 
and, as Professor Giddings thinks, ultimately of Cuba. 
It is by far the ablest presentation of the subject that 
has yet been attempted. A glance at the contents 
shows the comprehensiveness of treatment. It is writ- 
ten from the point of view of the free-trade economist 
of the most philosophical type. The author sees in ex- 
pansion the one force that will finally break through 
the protective doctrine, which he thinks is far more a 
matter of national feeling than of economic reasoning. 
But in it all, able and cohesive as much of his reason- 
ing is, he overlooks what is after all the chief feature 
of national progress, development of the internal 
life of the nation. He sees the nation's greatness 
through its expansive authority, increase and competi- 
tion with other nations, rather than in the development 
of its own industrial resources and social life. 

It has ever been the prevalent idea that national 
greatness consisted in the extent of its political author- 
ity. This may assure its greatness in comparative ex- 
tent of power, but it does not necessarily assure its 

375 



376 GUNTON'S MAGAZINE [April, 

height in civilization. On the contrary, the very effort 
to extend a nation's political authority may prevent, 
and frequently has prevented, its own rise in the scale 
of civilization. It tends to concentrate the thought and 
enthusiasm of the people on its military or naval ac- 
complishments, which at best are brutalizing, and 
lessen their concentration of thought and interest on 
improvement in the quality of national life and charac- 
ter. Indeed, it is almost a commonplace that to raise a 
national conflict abroad is effectively to distract atten- 
tion from problems at home. Any great expansion of 
national energy horizontally is sure to lessen the 
growth perpendicularly. In proportion as a nation is 
called upon to govern barbarians it is called upon to use 
methods of government which are repulsive to highly 
civilized people. To the extent that a nation governs 
any portion of its people by despotism and arbitrary 
dictation does its finer sensibility of democracy, social 
equity, and industrial ethics become blunted ; yet, if it 
does not exercise more or less despotism it is ineffective 
in governing low types. 

England, for example, with its very growth of lib- 
eral spirit and democracy at home, is becoming less 
fitted jto govern barbarians or half-civilized races by 
despotism abroad. This is even more true of the United 
States in its present expansion policy. The peoples of 
the new territories to which our expansion applies are 
much lower in industrial and political development than 
are the Boers of the Transvaal. They are less capable 
of democratic self-government, and therefore will nec- 
essarily call for a greater amount of despotism in their 
government than would be tolerated in South Africa. 
This will be still further from the real spirit of Ameri- 
can government at home than will the attitude of Lord 
Salisbury in South Africa be to that of the British 
people. As Professor Giddings properly anticipates, 




igoo.] BOOK REVIEWS , 377 

this will in the nature of things carry with it all the in- 
centives for low political management and corrupt 
administration, because the very use of despotism is an 
invitation to unconscionable conduct, dishonest treat- 
ment and generally low methods. Contempt for the 
governed always lowers the standard of government, 
and to the extent that we are compelled to disregard 
democracy and can indulge in low methods of govern- 
ment over any section of our people do we tend to lower 
the standard of political morality and pure democracy 
for the whole. The more democratic a nation becomes, 
therefore, the higher must be the civilization of new 
groups over which its authority extends, if the expan- 
sion is not to react to the lowering of the standard at 
home. Russia may subject Poland and treacherously 
rob Finland of its rights without materially lowering 
its standard at home, because its home standard is des- 
potism. But this cannot be done with impunity by 
such nations as England, and least of all by the United 
States. We may have empire without endangering 
democracy, but it must be empire that gives substantial 
democracy to the annexed groups, and not empire 
which has to govern its new possessions by despotism. 
In his chapter on " The Consent of the Governed" 
Professor Giddings effectively disposes of the hack- 
neyed use of that phrase. He shows that in our own 
history, as well as that of other nations, nearly all ex- 
pansion and political integration has been without the 
consent of the governed. The true interpretation, he 
thinks, of that phrase is that the new government shall 
so justify itself as ultimately to win the consent and ap- 
proval of the governed. It is indeed true that if polit- 
ical development and integration could never legiti- 
mately take place without the consent of all the gov- 
erned it might never occur at all. In defending our 
expansion into Hawaii, Puerto Rico, the Philippines 



378 GUNTON'S MAGAZINE [April, 



and ultimately Cuba, Professor Giddings thinks that it 
is no accident but the inevitable movement of the 
American people from their very nature and character. 
He says (p. 270): " There are not lacking reasons for 
thinking that the war with Spain was as inevitable as 
any event of nature, and that, at this particular stage 
in the development of the United States, territorial ex- 
pansion is as certain as the advent of spring after win- 
ter." This he sees in the restless daring and pioneer 
energy in the character of the American people: 

" It is not a hundred and fifty years since the pioneers of the Ohio 
and Mississippi valleys were making clearings in the wilderness during 
intervals of exterminating warfare. It is not yet fifty years since the 
later pioneers of the western plains were crossing a pathless desert, in 
caravans that left a trail of bleaching bones to mark a route for those 
who should follow them to the El Dorado of the West. Are we to sup- 
pose that the offspring of such men, in so short an interval, have lost 
those instincts that lead men to prefer enterprises that call for physical 
courage and resourcefulness? It is true that we are rest- 
less under the disappearance of opportunity for adventure and daring 
enterprise. It is therefore certain that, more than most nations, we are 
liable to an outbreak of warlike spirit under what we conceive to be real 
provocation ; and that no other nation is so likely as ours to turn itself 
into great armies and to fight with an indomitable determination to con- 
quer, when it is once convinced of the justice of its cause." 

Well, there is a background of truth in this, but it 
seems to be wholly unsustained by any reference to the 
particular facts of the case. From this and much that 
follows in the same chapter one would suppose that the 
American nation had taken on an irrepressible impulse 
not merely to make war on Spain but to enter upon a 
daring enterprise of expansion that would brook no op- 
position. Nothing of the kind has been visible. In 
the first place, there was no real public enthusiasm 
about the war with Spain until we began to have un- 
paralleled victories. If Dewey's fight at Manila had 
been a more uneven battle, and we had lost a few ships, 
and if Toral's force at Santiago had fought instead of 
capitulating at sight, and if our fleet had been com- 




i goo.] BOOK REVIEWS 379 

pelled really to struggle for supremacy off Santiago, it 
is more than probable that the public sentiment of the 
country would have disapproved of the war. 

Nor can it be said that there was any expression of 
this adventurous spirit toward expansion during the 
time of the peace conference. So far as we remember, 
there was not a public meeting held or any other form 
of popular expression anywhere in the country express- 
ing a national feeling in favor of taking the Philippines. 
About all the expression that took place at all was 
against it. This was the work of the administration, 
and it has not yet received popular approval. There 
is in truth nothing in the experience as indicated by 
any popular movements, any public expression of 
opinion or other means of ascertaining the national 
sentiment, to sustain this inference of the warlike, 
daring, adventurous spirit of the American people, es- 
pecially as intruding our political authority into other 
nations. The reverse seems to be the characteristic of 
the entire spirit of the American people. 

The real background for this line of reasoning by 
Dr. Giddings is revealed a few pages later, when he 
discusses the free-trade aspect of the subject. The con- 
version of the American people to a free-trade doctrine 
by cold reasoning and presentation of statistical data he 
thinks was entirely hopeless. It needed something 
that would more strongly appeal to the feelings and 
imagination than logic and facts. The annexation of 
foreign territory, with the lively picture of oriental 
trade, forced interrelation with foreign powers and the 
protection of our standing on the other side of the 
globe, will create a national feeling which transcends 
the narrow limits of a protective policy. And there is 
truth in this. The very fact that we have great in- 
terests, even if it is only to fight savages on the other 
side of the globe, and that we are to be consulted more 



380 GUN TON'S MAGAZINE [April, 

and more about the policy in Asia, will transfer the 
national interest from the efforts to protect and develop 
domestic industries to what for the moment seems to 
be the larger sphere of helping to slice up China. That 
imperialism is more likely than any theorizing discus- 
sion to break up the protective policy and inaugurate 
free trade is undoubtedly true, and that reason alone is 
sufficient to condemn the expansion policy. 

But, from the point of view of Dr. Giddings and 
those who think with him that the greatest develop- 
ment is to extend our authority over an increasing 
area, the abolition of all lines of industrial demarcation 
is the great thing to be accomplished. From the point 
of view, however, that the true influence of a nation 
upon civilization is derived from the greatest develop- 
ment of its own character and civilization ; that quality 
is more important than quantity, and height of character 
than breadth of territory, all this is a mistake. So far 
as letting loose the adventurous quality in the Ameri- 
can people, there is nothing in the Philippines that can- 
not be supplied in our western states. There is every 
opportunity there for the pioneer spirit, without the 
necessity of the warlike spirit, to develop the possibili- 
ties of our western territory by diversification of our 
industries. To lift the industrial and civic life and po- 
litical morality of the southern states to the plane of 
the rest of the nation would add more to the power of 
the United States as an influence in world civilization 
than would the conquest by military force of the whole 
Orient. 



SOUTH AMERICA: A Geographical Reader. By 
Frank G. Carpenter. Cloth, i2mo, 352 pp. Illustrated. 
60 cents. American Book Company, New York, Cin- 
cinnati and Chicago. 

This is a school text-book for young pupils; or, if 



i 9 oo.J BOOK REVIEWS 881 

not strictly a text-book, is at least intended for sup- 
plementary use in some of the regular courses in 
primary and intermediate schools. It is true to the 
newer idea in educational methods for this class of sub- 
jects, in that it uses the medium of travel and story. 
It describes an imaginary trip of a teacher and class 
throughout the continent of South America ; beginning 
at the Isthmus of Panama, going down the west coast, 
thence across to the Rio de la Plata, along the Brazilian 
coast, up the valley of the Amazon and thence across to 
the Guianas and Venezuela. 

One feature it seems to us would have improved 
this book ; it might have presented some brief sugges- 
tions of historical data in connection with the purely 
descriptive matter concerning each country visited. 
Interesting cities and monuments and notable scenery 
might, in the most natural way, have been connected 
with the history of the people, thus gaining all the 
educational value of association. It is an interesting 
little book, profusely illustrated, and well adapted to 
hold the interest of young scholars while impressing a 
great deal of important information. 



NEW BOOKS OF INTEREST 



Trusts or Competition. By A. B. Nettleton, A.M., 
former Assistant Secretary of the Treasury. Cloth, 
$1.00, paper 50 cents, 304 pp. Leon Publishing Co., 
Chicago. A collection of essays and addresses by pro- 
fessors of political economy and others, and additional 
matter by the author; presenting both sides of the 
question in business, law and politics. 

The Regeneration of the United States: A Forecast of 
its Industrial Evolution. By William Morton Grin- 
nell. i2mo, 145 pp. $1.00. G. P. Putnam's Sons, 



382 G UNTON'S MA GAZINE 

New York. This volume is in Putnam's ''Questions 
of the Day " series. 

Economics and Industrial History for Secondary Schools. 
By Henry W. Thurston. I2mo, 300 pp. $1.00. Scott, 
Foresman & Company, Chicago, 111. The field for 
economic instruction in secondary schools is as yet 
practically undeveloped, compared with what might be 
done. The above volume, therefore, is at least in line 
with one of the needs of the times. 

The Criminal ; His Personnel and Environment : A 
Scientific Study. By August Drahms, Resident Chap- 
lain, State Prison, San Quentin, California. With in- 
troduction by Cesare Lombroso, of the University de 
Torino, Italy. Cloth, 402 pp. $2.00. The Macmillan 
Company, New York and London. 

HISTORICAL AND BIOGRAPHICAL 

The Puritan Republic of the Massachusetts Bay in New 
England. By Daniel Wait Howe. 8vo, 422 pp. Gilt 
tops, $3.50. Bowen-Merrill Company, Indianapolis, Ind. 

The American Revolution. By William E. H. Lecky, 
M. P. Cloth, i2mo, $1.25. D. . Appleton & Company, 
New York. This volume contains the chapters rela- 
ting to America, taken from Mr. Lecky's "History of 
England in the Eighteenth Century." 

Bismarck and the New German Empire. How It Arose 
and What It Displaced. By J. W. Headlam, M. A., Fel- 
low of King's College. G. P. Putnam's Sons, New 
York. This is No, 25 in Putnam's "Heroes of the 
Nations" series. 

Alexander the Great. By Benjamin Ide Wheeler, 
President University of California. G. P. Putnam's 
Sons, New York. This is the biography which ap- 
peared serially last year in the Century Magazine. It is 
now included in "Heroes of the Nations" series. 



FROM MARCH MAGAZINES 

' * There are many good people who find it difficult 
to keep in mind the obvious fact that, while extremists 
are sometimes men who are in advance of their age, 
more often they are men who are not in advance at all, 
but simply to one side or the other of a great move- 
ment, or even lagging behind it, or trying to pilot it in 
the wrong direction." -HON. THEODORE ROOSEVELT, in 
11 Oliver Cromwell ;" Scribners. 

Except for Great Britain's countenance, we should 
almost certainly never have got the Philippines ; ex- 
cept for her continued support our hold upon them 
would be likely to prove precarious, perhaps altogether 
unstable. It follows that we now find ourselves actu- 
ally caught in an entangling alliance, forced there not by 
any treaty, or compact of any sort, formal or informal/ 
but by the stress of the inexorable facts of the situation. " 
-HoN RICHARD OLNEY, in " Growth of Our Foreign 
Policy ;'' The Atlantic Monthly. 

' ' The days of placidly relying on our prestige 
have passed ; we have educated the natives ; we have 
spoiled them to a great extent ; we have given them a 
freedom which they neither understood nor appreciated, 
and they do not thank us for it, no .matter what the 
official reports may say. Were a great conflict to take 
place between England and the ever-advancing Russia, 
I much doubt whether we could rely on our Indian sub- 
jects to stand en masse by us." A. H. SAVAGE LANDOR, 
in " Chief Causes of Discontent in India;" North Ameri- 
can Review. 

11 They must learn to depend on themselves, to be- 
come men ; and they must learn that hardest lesson of 

383 



384 G UNTON'S MA GAZINE 

all, that a man's freedom consists in binding himse 
Still again, they must learn these things at an age when 
the average boy has an ill-seasoned body, a half-trained 
mind, jarred nerves, his first large sum of money, all 
manner of diverting temptations, and a profound sense 
of his own importance. How can they be taken down, 
and not taken down too much, thrown, and not thrown 
too hard? How can they be taught the responsibility of 
freedom?'' L. B. R. BRIGGS, in " The Transition from 
School to College ;" The Atlantic Monthly. 

" There are some who think that the Boer com- 
munity has a right to complete control of its own terri- 
tory, and to be as uncivilized or as tyrannical as it may 
choose. But this is an error. There is an interna- 
tional right corresponding to the right of eminent do- 
main. All rights are enjoyed either by nations or by 
individuals on the tacit understanding that they be ex- 
ercised with due consideration for the rights of neigh- 
bors and of the greater public. The Boers are at- 
tempting to arrest the march of civilization, to hamper 
industry, and to retard education. England is fighting 
the battle of civilization." GEORGE F. BECKER, in " A 
Battle of Civilization ;" The Forum. 

''Dealings with Mohammedans sooner or later 
bring one into contact with their essential peculiarity. 
They cannot avoid regarding others from a religious 
standpoint ; and they cannot set aside permanently the 
fact that God has commanded them to subjugate or ex- 
terminate all who refuse to believe in Mohammed. 
This Divine command shapes their conduct toward 
aliens, even when they themselves would like to forget 
it. It classes all of alien faith as Blasphemers ; and 
this fact once being fixed, inquiry as to minor detail is 
needless in their eyes. A Blasphemer (kiafir or gioaur) 
is a Blasphemer. Wherefore ask whether he be American 
or Spaniard?" HENRY O. DWIGHT, in " Mohamme- 
dan Peculiarities;'' The Forum. 



. 




DAVID STARR JORDAN, LL.D. 
President Lei and Stanford Jr. University 



See page 401 



GUNTON'S MAGAZINE 



REVIEW OF THE MONTH 



Admiral Admiral Dewey has certainly startled the 

Dewey in political community, but does not seem 

Politics . J 

to have seriously disturbed it. His an- 
nouncement of April 3rd that he would "be only too 
willing to serve the American people as president" 
sent a chill of disappointment throughout the country. 
To this was added amazement by the Admiral's declara- 
tion that ' ' the office of the president is not such a very 
difficult one to fill, his duties being mainly to execute 
the laws of congress," and hesitancy in declaring even 
the general trend of his political preferences. Finally 
he declared himself a democrat, but added that he had 
never voted in his life and that the only man he ever 
wanted to vote for was Mr. Cleveland. 

Except on the question of expansion his views on 
all public questions are still absolutely unknown, and 
he seems destined to learn by hard experience that 
under advanced democratic government the people are 
more deeply interested in the principles and issues at 
stake than in the personality of a candidate who stands 
for no principle, even though in other respects he may 
be a popular hero. It is sincerely to be hoped that he 
will withdraw from the field before being forced to en- 
dure the humiliation of overwhelming defeat in the 
democratic convention, or, if nominated on a third 
ticket, of failure at the polls in November. If he goes 
through the campaign and comes out a soured and dis- 

385 



386 G UNTON'S MA GA ZINE [May, 

appointed cynic, it will be a sad case of having thrown 
away real fame for the bauble of temporary popularity, 
and lost both. 



Porto Rican 



Next to the gold standard measure, the 
most important work of congress is the 

Tariff Law . 

system of tariff taxation and local gov- 
ernment adopted for Porto Rico : (The bill finally re- 
turns to the short spelling.) A tariff on imports from 
Porto Rico to the United States and imports into Porto 
Rico from the United States, equal to 1 5 per cent, of 
the Dingley law rates, was adopted by the senate on 
April 3d, by a vote of 40 to 31 and the house on April 
nth by a vote of 161 to 153. So much adverse senti- 
ment has been worked up over this measure that it bids 
fair to injure the administration in the coming cam- 
paign. But time will justify it as an act of wise states- 
manship. It really imposes no appreciable burden on 
Porto Rico, inasmuch as their principal export to this 
country is sugar, which is one of the commodities on 
which the American consumer and not the importer 
pays and always has had to pay practically the full 
amount of the tariff. Not only will the reduced tariff 
on sugar not be a burden on Porto Rico, but they will 
receive a net advantage over all competitors of 85 per 
cent, of the present tariff, which they never before 
possessed. Moreover, all the tariff duties collected will 
be refunded to the island and used for its internal im- 
provement, which is far more important to its devel- 
opment than offering a clear gratuity to its sugar cane 
growers. The benefits of our entire tariff system 
against other countries are extended to Porto Rico, and 
in addition a 5 per cent, duty is imposed on coffee im- 
ported into the island from any of its West Indian or 
South American competitors, while it may send its own 
coffee into the United States free. 



igoo.J REVIEW OF THE MONTH 387 

The new measure confirms our right 

Vital Point 



to govern these island possessions as 



may be necessary to prevent them 
from endangering our own institutions, prosperity 
and standard of living. If this had not been 
done, the argument for ' ' extending the constitu- 
tion " uniformly to the Philippines would have been 
all but irresistible. Many who favored free trade with 
Porto Rico argued, with singular lack of logic, that 
of course we would not be bound to do the same 
by the Philippines. On the contrary, if their legal 
point as to the constitution was well taken we would be 
absolutely bound to do the same in the Philippines, 
while morally the claim of the Philippines for free 
trade and right of free immigration into this country 
would be even stronger, for obvious reasons. Porto 
Rico was willing to be annexed to this country, which 
implies that she recognized the great advantage to her. 
That justifies us in declaring that if we assume the re- 
sponsibility of annexation we must at least save ourselves 
from harm therefrom. But we are taking the Philip- 
pines by force, against the will of the natives. When 
we conquer, we shall proceed to shut them out by a 
tariff and no-immigration policy. Then of course it 
will be pointed out in great detail how we first rob them 
of their country and next exploit them by a tariff and 
even forbid them to come and live in the United States ! 
No mistake, we shall have another hard fight on when 
we come to the Philippine question, and it is a vast 
gain to have reasserted in advance the power of congress 
to withhold the constitution from newly-acquired pos- 
sessions unfitted to enjoy its privileges. 

Plan of The Porto Rican tariff law also included 

Government for a system of government, providing for a 
Porto Rico governor, an executive council of eleven 

members, five of whom must be Porto Ricans, and a 



388 GUNTON'S MAGAZINE [May, 

house of delegates of thirty-five members to be elected 
every two years. The governor and members of the 
executive council are to be appointed by the president 
of the United States with the consent of the senate, and 
all laws of the Porto Rican legislature may be repealed 
by the United States congress. A judiciary system is 
established, the judges for the island to be appointed 
by the president with the consent of the senate, and 
local district judges by the governor with the consent 
of the executive council. All citizens of Porto Rico 
who have been residents one year are entitled to vote, 
but a property qualification is required for members of 
the house of delegates. 

The really important thing in Porto Rico for sev- 
eral years to come is the matter of franchises for indus- 
trial and railway enterprises. There will be a flood of 
applications for such franchises, and the power of 
granting them is reserved absolutely to the executive 
council and the governor, subject only to annulment 
by the United States congress, a remote contingency. 
It is not fair to say that this makes carpet-bag rule and 
favoritism certain, but it offers the very greatest temp- 
tations and opportunities in that line that any conceiv- 
able arrangement could afford. The only way to avoid 
this sort of a regime is, first, to allow a majority of 
natives in the executive council, leaving the governor 
with the veto power ; second, to prescribe by law in 
advance the conditions on which all grants and fran- 
chises shall be given, requiring proper compensation 
to the government and specifying the conditions of ser- 
vice, etc., to be complied with. These matters ought 
not to be left to the discretion of a board of American 
politicians, even though they all might endeavor to act 
with the disinterested patriotism that seems assured in 
the governor's office at least by the appointment of 
Charles H. Allen, now assistant secretary of the navy. 



igoo.] REVIEW OF THE MONTH 389 

To grant full discretion is to subject the governor and 
council to a variety and intensity of pressure from all 
quarters that cannot fail to hamper their efforts for 
good government. 

Most fortunately for the cause of law and 
Contest 61 order, the Kentucky embroilment is go- 

ing through the process of peaceful legal 
adjustment. Both parties agreed, in the latter part of 
February, to submit the matter to the courts. Both 
the circuit court and the court of appeals of Kentucky 
have decided that the legislature's action in seating 
Goebel was regular, in view of the provisions of the 
Goebel law. The case will be carried to the United 
States supreme court, which may refuse to consider it, 
but if it does consider it the decision may, not im- 
probably, be the same. The real complaint is against 
the infamous law itself, which allows the legislature 
to overthrow the returns of the election boards. This 
having been made the law of Kentucky, however, it 
was possible legally to carry it out in Goebel's favor. 
The only final and sure remedy will lie in an appeal 
to the people to elect a legislature which will abolish the 
Goebel law. Such being the case, it now looks as if it 
would have been better if Governor Taylor had sub- 
mitted to the outrage under protest and relied on the 
moral strength of his attitude for a new attack on the 
real source of the whole abomination. 

Governor Taylor's position will be strengthened 
anyway by the farcical proceedings instituted by his 
political enemies in the effort to prove him an instiga- 
tor of Goebel's murder. The character of the evidence 
submitted in this investigation, and the petty persecu- 
tion in arresting several republican state officials on 
this same murder charge, when their freedom was im- 
portant in the larger struggle they were carrying on, 



390 



GUNTON'S MAGAZINE 



[May, 



shows that the proceeding is backed far more by politi- 
cal animus than any genuine desire to find the murderer. 



Corporations 
in Trouble 



This decline of popular anxiety on the 
' 'trust" question is hastened by the object- 
lessons we are having of the results of un- 
economic combination. Some of the penalties of over- 
capitalization and speculative management are already 
showing themselves. They are more effective cor- 
rectives than all the legislation restraining capital that 
has ever been enacted. The American Malting Company 
has incurred a deficit of $1,300,000 by virtue of having 
declared a dividend twice as large as the earnings for 
the year ultimately warranted. The Flour Milling 
Company, which was largely a speculative organiza- 
tion, has passed into receivership, while trouble is 
reported from the various brewery consolidations, in- 
dicating that the next movement may be the breaking 
up of some of the large concerns. Most conspicuous 
of all, perhaps, is the action of the American Sugar 
Refining Company in reducing its dividend one-half 
by reason of the slash into its profits made by fierce 
competition with the Arbuckles and others within the 
last few years. Since . 1893 this company has been 
paying 12% dividends, but for the first quarter of 1900 
this has been reduced to a 6% basis. Naturally a con- 
siderable drop in sugar stock followed, together with 
heavy sales. One year ago, on March 4, 1899, sugar 
stock was quoted at 138^; on March 5th, 1900, the 
day of the reduced dividend, the stock sold at 99^. At 
present, the market quotations on granulated sugar are 
5.15 cents by the American, 5 cents by the Arbuckles. 



Downfall of 
Third Avenue 
Railway 



The collapse of the Third Avenue Rail- 
way Company in New York was fairly 
staggering, not only because of the 
great interests involved but in the suspicious circum- 









igoo.] REVIEW OF THE MONTH 31 

stances surrounding it. One year ago the stock of this 
company was worth 243 ; within the twelve months it 
dropped to 51, and on February 28th Mr. Hugh J. 
Grant was appointed receiver of the road, which ap- 
pointment was made permanent on March i6th. The 
receiver's report to the court, submitted on March i4th, 
showed an astonishing state of affairs. In addition to 
the total funded debt, amounting with interest to more 
than $5,000,000, there was an unfunded debt of about 
$7,250,000, secured by collateral, and an unsecured 
floating debt of nearly $12,500,000. Moreover, im- 
provements and extensions had been undertaken which 
would cost upwards of $10,000,000 more. There were 
claims for personal injuries, not yet adjusted, amount- 
ing to more than $10,000,000. Not only this, but the 
roads operated by the Third Avenue Company showed 
liabilities and claims of more than $30,000,000 and 
assets only of $5,680,000. 

How it was possible to have ever borrowed such 
sums of money without security and expended it for so 
little is almost inexplicable, except on the theory of 
either deliberate fraud with a political background or 
grossly incompetent management. Probably there 
was a combination of both influences, and the grand 
jury is expected to go into the case. In the substitu- 
tion of underground electricity for the cable, upwards 
of $10,000,000 was spent with such reckless and waste- 
ful management that attention was called to it over 
and over again by such men as John D. Crimmins, 
without result. Much of the trouble is charged to the 
habit of Vice- President Hart of buying up immense 
holdings of Third Avenue stock and trying to keep up 
the market quotations by borrowing money for the 
company's new extension expenses, instead of issuing 
bonds, which would have revealed the growing in- 
debtedness. This policy was sure to require, sooner 



392 GUNTON'S MAGAZINE [May, 

or later, the throwing of large amounts of this stock on 
the market, thus precipitating a decline, which is 
exactly what happened. Perhaps it come none too 
soon to reveal the true condition of affairs. 

Most fortunately for the public's interest, 

Outcome 13 ^ e roa ^ ^ as P asse ^ under the control of 

the Metropolitan Street Railway Com- 
pany, which, by extremely able management, has be- 
come probably the finest and the most efficient city 
railway property in the country. The announcement 
that the Metropolitan had purchased a controlling in- 
terest in Third Avenue stock was made on March i8th, 
and at once the stock went up to a liberal margin over 
par. Large economies will be inaugurated, chiefly by 
using the Metropolitan's great new power house at p6th 
Street to operate both systems. This will also save the 
expenditure of several million dollars for new power 
houses, which the Third Avenue system badly needed. 
Transfers will be given between the two systems, which 
means practically a wholesale reduction of fares, and 
gives the public a gain which no amount of competition 
between the two lines would ever have yielded. 

All this experience illustrates in a new way the 
truth of two very commonplace but savagely denied eco- 
nomic propositions; first, that profit- making is not a 
matter simply of natural or monopolistic opportunities, 
but that, even in a situation where profits seem so cer- 
tain and easy as in a New York street railway enter- 
prise, skill and capacity make all the difference between 
success and bankruptcy ; second, that when competition 
has reached a certain point the only further gain the 
public can pqssibly obtain, in cheaper and better service, 
comes through the econom)^ and uniformity made pos- 
sible by combination. The fortunate outcome in this 
case, however, ought not to head off the investigation 
into the Third Avenue's management. 




igoo.] REVIEW OF THE MONTH 393 

Ncw Equally satisfactory is the settlement of 

Carnegie the Frick- Carnegie controversy, which 

Corporation promised to involve vast properties in a 

long and vexatious litigation. These interests had 
been administered for some years in the form of a part- 
nership under th3 direction of Mr. H. C. Frick as chair- 
man of the managing board. Each partner was bound 
by an " iron-clad agreement" to sell out his interests 
to the company (virtually to Mr. Carnegie) on demand. 
Late in 1899 some disagreement arose and in Decem- 
ber Mr. Frick's resignation was requested, and given. 

It was claimed by Frick that his interest in the 
business (amounting to 6 per cent.) was worth upwards 
of $16,000,000, whereas he would only get about $6,- 
000,000 if forced out by Carnegie under the iron-clad 
agreement. This was made a basis of an action, com- 
menced on February isth, to which the Carnegie Steel 
Company filed a reply on March i2th, alleging that 
only a very small proportion of the value of Frick's 
holdings was ever actually paid for, but that nearly all 
of the $6,000,000 the company was willing to allow rep- 
resented pure profit from the business. 

The new president of the company, Charles M. 
Schwab, worked incessantly to bring about a settle- 
ment, and finally proposed a plan that was accepted by 
all parties. All the Carnegie, Frick and associated in- 
terests were merged into a regular stock corporation, 
"The Carnegie Company,'' with a capital of $160,000,- 
ooo, the whole of which was subscribed on the spot by 
those already interested. The new company was in- 
corporated in New Jersey on March 24th and the shares 
fixed at $1,000 each. Of these Mr. Frick received 15,- 
484, thus gaining practically all he had contended for, 
while Mr. Carnegie retained the controlling interest by 
subscribing for 86,379 shares. The two other large 
holdings are those of Henry Phipps (17,226 shares) and 



394 



GUN TON'S MAGAZINE 



[May, 



President Charles M. Schwab (18,929 shares). It is 
said that bonds to the amount of $160,000,000 are to be 
issued, thus duplicating the capital stock; and large 
extensions of the plant will be made. This of course 
ends the control of the business as a personal enterprise, 
and abolishes all ''iron-clad agreements." The new 
company is the largest, and, judging from the profits 
of $21,000,000 made in 1899, the most profitable iron 
and steel manufacturing concern in the world. 



Croton 

Reservoir 

Strike 



The most acute labor disturbance of the 
season has suddenly arisen on the great 
work in progress for the city of New 
York at the Croton reservoir, in the northern part of 
Westchester county. A new dam is being constructed, 
which will largely increase the capacity of the reservoir. 
On this work about 700 Italians have been employed, 
common laborers receiving $1.25 a day, minus deduc- 
tions for medical service whether required or not. 
Board and lodging in the vicinity are said to cost from 
$14 to $i 8 per month, and, since a great deal of time is 
lost by rainy weather, the men have had great difficulty 
in living on their earnings. About 10 per cent. of the 
laborers organized a strike early in April, and the whole 
700 left work. Armed with guns and pistols, they 
promised to do violence upon any substitutes that might 
be brought in. The sheriff of the county and his depu- 
ties could not suppress the violent demonstrations and 
finally the state militia was ordered out, to the extent 
of several near-by companies, and the seventh regiment 
from New York city. On the night of April i6th one 
of the soldiers was shot and killed, presumably by a 
striker, although the leaders disavow and deplore the 
act. 

The Italian consul-general at New York, Giovanni 
Branchi, has been trying to settle the trouble, and de- 






i goo.] REVIEW OF THE MONTH 395 

clares that the men would accept a compromise on 
$1.37^ a day for 120 of the laborers, which would only 
cost the contractors $15 a day additional. On April 
1 8th the contractors did, in fact, offer to raise the wages 
of 80 hand- drillers from $1.30 to $1.50, but refused to 
raise the rate for common labor, claiming that it would 
have to be given to all if to any, and that they could 
not fulfil their contract under the increased expense. 
But if the consul-general is right, and the men will all 
go back if 12 J^ cents extra is granted to 120 of them, 
the contractors ought not to expect any public sym- 
pathy if they refuse. They have no moral right to put 
the public to the great expense of keeping a large body 
of troops on the ground when so small a concession 
would solve the difficulty. 

The Root On the other hand, the root of the whole 

trouble is not with the contractors, but 

Trouble . 

lies in the inexcusable neglect of con- 
gress to stop the immigration of this low grade of labor. 
By allowing them to come in without limit we practi- 
cally invite contractors to hire them on the cheapest 
possible terms. When the usual effort is made to beat 
down and get the advantage of ignorant laborers, and 
they finally break out into a violent revolt, we proceed 
to send soldiers to suppress them by force, perhaps with 
loss of life on both sides. Strikes among this grade of 
laborers, when they do occur, are always of a vicious 
and dangerous nature, and for the public safety, to say 
nothing of common justice to the immigrant laborers 
already here, any further influx should be prohibited. 
Contractors would then be obliged to choose a higher 
grade of help, and if this meant largely increased ex- 
pense it would force the use of new kinds of labor- 
saving machinery, thus removing some of the more de- 
grading features of rough physical labor. Further- 



396 GUNTON'S MAGAZINE [May, 

more, if contractors were not able to go to the barge 
office and fill strikers' places indefinitely, the laborers 
might be able to maintain a decent scale of wages with- 
out having to stake their cause periodically on violence 
and intimidation. 

At last the metropolis is assured of a 
Rapid Transit 
in New York rapid transit underground railway. The 

successful bidder for the contract, John B. 
McDonald, succeeded after considerable delay in furnish- 
ing the required securities, and ground was broken in 
City Hall Park on Saturday afternoon March 24th. The 
park was lavishly decorated with flags and streamers, 
a great throng was present, and Mayor Van Wyck re- 
moved the first spadeful of earth. Congratulatory 
addresses were made by the mayor, Controller Coler, 
and Alexander E. Orr, president of the rapid transit 
commission. Actual work began the following Mon- 
day morning, and the contractor believes he will have 
the tunnel finished in three years, although he is al- 
lowed four and a half. It is to cost $35,000,000, and 
be large enough for a four-track railway, from the city 
hall to the upper side of Manhattan Island, thence 
branching off and terminating at two points in the 
Bronx Borough. A time schedule of fifteen minutes 
to Harlem is promised. The commission was au- 
thorized to spend $50,000,000, and thus has $15,000,000 
left, which it expects to devote to a tunnel from the city 
hall down Broadway and under the river to Brooklyn. 
This can hardly be called an experiment in munic- 
ipal ownership. For the city to construct a tunnel, is 
practically the same thing as to open and maintain 
public streets. Probably the railroad in the tunnel 
will be operated by a private corporation under con- 
tract with the city. Such an arrangement can be made 
to yield large returns to the municipality besides 



igoo.] REVIEW OF THE MONTH 397 

giving the best service to the public, perhaps with 
transfers to surface lines. 

The whole work will be under the supervision of 
trained inspectors employed by the rapid transit com- 
mission and selected by civil service examinations. 
The board will also issue all necessary permits for the 
opening of streets, etc. This removes some very im- 
portant powers from the hands of Tammany Hall, and 
encourages the belief that the giant enterprise will not 
be turned into a political job. 

Death of Following so soon after the surrender of 

General General Cronje, the death of General 

Petrus Jacobus Joubert, which occurred 
at Pretoria on March 2/th, from disease, was an excep- 
tionally severe blow to the Transvaal cause. He was 
confessedly a broad-minded, patriotic and liberal states- 
man, by long odds the best man the Boers had. If 
Joubert's ideas could have prevailed an entirely differ- 
ent policy would have been adopted towards the ' ' Uit- 
landers," but, once the fight was on, he took the field 
and planned some masterly campaigns, a case striking- 
ly parallel with that of Robert E. Lee, the great heroic 
figure of the southern confederacy. The high charac- 
ter, integrity and the liberal spirit of General Joubert 
were recognized not merely by his own countrymen 
but by the world. English generals, statesmen and 
journals were among the first to express sincere admi- 
ration and appreciation of so worthy a foe. It is under- 
stood that General Louis Botha has succeeded Joubert 
in command, although President Kruger himself is now 
assuming a more active direction of the Boer tactics. 

Interjected into the midst of the South 

The Delagoa African war comes the long delayed de- 
Bay Award ' 

cision of the arbitrators in the famous 

case of the Delagoa Bay Railway, in Portuguese East 



398 GUNTON'S MAGAZINE [May, 

Africa. The outcome was important to the Boers, since 
if a heavy award against Portugal had been granted it 
might have forced the turning over of the port of Lor- 
en$o Marquez into English hands, whereas for years 
this port has served as the Transvaal's principal means 
of importing munitions of war. The final award in 
favor of the English and American claimants is only 
about $4,250,000, while it was expected to be fully twice 
that amount; and loans sufficient to pay the judgment 
have been offered to Portugal from several sources. 

The claims grew out of the action of the Portu- 
guese government in confiscating the Delagoa Bay Rail- 
way, which was built by Edward McMurdo, an Ameri- 
can engineer, mostly with English capital. The orig- 
inal concession was granted to McMurdo in 1883, but, 
largely through the influence of the Transvaal govern- 
ment, it was afterward surrounded with impossible 
conditions, and because these could not be fulfilled the 
road was taken over by the government and the owners 
deprived of all rights in the situation. The British and 
United States governments protested, and finally the 
matter was submitted to arbitrators in 1891. McMurdo 
is long since dead, but it is doubtful if the award just 
granted will cover the actual amount expended on the 
road by the claimants, to say nothing of the value of 
the concession itself, now estimated at $30,000,000. 
The result is highly unsatisfactory and will injure the 
cause of arbitration itself. President Kruger certainly 
cannot complain that the judges were under British 
influence, since the decision leaves the port and railway 
in the hands of Portugal as before and so continues 
their neutral character. 

Little has been accomplished during the 

South Africa P as ^ mon ^ on either side, although there 
has been a marked revival of Boer ac- 
tivity. Clearly, President Kruger realized the necessity 



i goo.] REVIEW OF THE MONTH 399 

of vigorous action to keep the burghers together, after 
such a series of calamities as the relief of Kimberly and 
Ladysmith, surrender of Cronje, loss of Bloemfontein 
and death of General Joubert. Relief columns under 
Lord Methuen from the south and Colonel Plumer, 
coming down from Rhodesia on the north, have been 
working toward Mafeking, but time and again they 
have been beaten back, while the investment of the 
little town becomes closer than ever. It is really a 
point of small tactical advantage, but the sentimental 
effect of a capture on the one hand or relief on the 
other would be considerable. How the garrison is to 
hold out much longer on half rations is a mystery, 
especially since there seems to be no prospect that Lord 
Roberts can spare any more detachments for side expe- 
ditions. 

The commander-in-chief has .been remaining 
quietly in Bloemfontein, getting supplies and prepar- 
ing for the advance on Pretoria, but the Boers have not 
left him in peace. They have established headquarters 
at Kroonstadt, on the Pretoria railway line in the 
northern part of the Orange Free State, and are ope- 
rating with small detachments all around Bloemfontein, 
along the border of Basutoland, and almost as far south 
as Cape Colony. General Brabant, who was operating 
in the southern part of the Free State, was surrounded 
at Wepener early in April and has been holding out 
against odds ever since. 

Several disasters have overtaken the 
British, through the incessant activity 
of relatively small expeditions and skir- 
mishing parties of Boers, harrassing the outskirts of 
Lord Roberts' great army. On April ist two batteries of 
horse artillery under Col. Broadwood, while retiring from 
the waterworks twenty miles east of Bloemfontein, were 



400 G UNTON'S MA GAZINE 

surrounded in ambush and lost seven guns together 
with about 250 men, 200 of whom were reported 
"missing," which probably means captured. 

Again, on April 3rd, three companies of Royal 
Irish Fusiliers and two companies of mounted in- 
fantry, who were out collecting arms from free state 
burghers, were surrounded near Bloemfontein. Al- 
though they held out most gallantly until 9 o'clock 
the next morning, the odds were too great and the 
whole three companies were finally taken prisoners, 
only forty of the whole number remaining un wounded. 
General Gatacre was ordered to their relief as soon as 
word came of the disaster, but he arrived too late and 
failed to pursue promptly. Whether for this or for 
causes not made public, Gatacre has since been ordered 
home and his place taken by General Chermside, who 
has been with Roberts at Bloemfontein. 

In other engagements, to the south of Bloemfon- 
tein, the British have lost several hundred killed and 
captured, but nothing of a decisive nature has taken 
place. There has been nothing in these encounters to 
indicate that the Boer strength is a really serious men- 
ace to the British position or line of supplies. Accord- 
ing to the last reports, these desultory tactics are being 
abandoned and the burghers are withdrawing to the 
north, with the evident intention of concentrating to 
meet the British advance now believed to be imminent. 

General Buller's army still remains in northern 
Natal. Since the publication of Lord Roberts' severe 
criticisms on the Spion Kop blunder, it seems hardly 
possible that Buller will be retained for further active 
service. It would be singular policy for the British war 
department to make public such strictures and so de- 
stroy the confidence of his troops if it planned to en- 
trust General Buller with another important forward 
movement. 



THE CONTROL OF THE TROPICS 

DAVID STARR JORDAN, PRESIDENT LELAND STANFORD, JR., 

UNIVERSITY 



The history of man in the equatorial parts of the 
earth has been very different from that made in the 
temperate zones of the North. In the cool regions 
man has lived by the sweat of his brow, tinder the 
stress of unsatisfied aspirations, the strong trained in 
strength by the conquest of the elements, the race- 
blood purified by the early death of the unfit. In gen- 
eral, fitness to win in the struggle of life has meant 
fitness for action, capacity for exercise of wisdom, vir- 
tue and sympathy. In the long run the result of the 
struggle for life has been the survival of those possess- 
ing the traits which enable men to struggle together. 
The qualities which make institutions and on which 
civilization rests have become the hereditary race 
traits of all northern peoples. And these races have 
nowhere, on their own ground, become degenerate save 
after the extermination of their best elements, as the 
ultimate effect of continued successful or unsuccessful 
war. 

The conditions of life in the tropics reverse much 
of this. These regions are most favorable to vegetable 
life. Foodstuffs .are to be had for the taking. To be 
well fed is not conditioned on effort of any kind. 

401 



402 GUNTON'S MAGAZINE [May, 

Moreover, activity either physical or mental is in itself 
dangerous. It is the enterprising, the resolute, the 
daring who is soonest destroyed by sunstroke or mias- 
ma. The children of the strong cannot grow to ma- 
turity under a vertical sun. While tropical conditions 
vary much in degree, this is true of them all as a whole. 
Nature is lavish in wealth of animal and vegetable life. 
Man is a creature of the present, careless of the future, 
without incentives to economy and industry, the prey 
of small vices, untroubled by questions of abstract right 
or equity and generally incapable of forming institu- 
tions far-reaching in their scope and resting on a basis 
of theoretical justice. More obviously, the natives of 
the tropics are paupers in a land of wealth, squalid in 
a land of comfort, and the whole condition seems to rep- 
resent a vast economic waste. Moreover, natives of 
other regions removed to the tropics become more or 
less like the tropical people themselves. In this fact 
we recognize two elements, personal degeneration due 
to vice and the loss of high incentives, and race degen- 
eration due to the death of the active child or man. 

The control of the tropics in the interest of in- 
dustrial development and in the interest of better man- 
ners, cleaner morals and nobler religion constitutes the 
essence of what Kipling calls " The White Man's Bur- 
den." This is the supposed justification of Great 
Britain's presence in India, of our jurisdiction in the 
Philippines and of tropical colonialism in general. We 
must sharply distinguish colonialism from actual colo- 
nization such as takes place in temperate regions. The 
settlement of Canada, New Zealand, Australia, Tas- 
mania, is a real expansion of England, a growth of 
Anglo-Saxon empire in every respect noble, worthy 
and permanent. The French " colonization " of Mada- 
gascar, the Dutch colonization of Java or the British 
hold on India is something wholly different. 




1 9 oo.] THE CONTROL OF THE TROPICS 403 

The control of the tropics has passed through a 
number of stages. It was at first a result of the search 
for spices and perfumes, luxuries demanded by the 
higher classes of Europe which their own lands did not 
yield and which furnished an incentive to adventure. 
Later came the demand for gold, tea, coffee, sugar, 
rubber, lumber, slaves, the call for volume of trade, the 
requirement of means of investment, for money, the 
need of public offices for the overflow of younger sons, 
and finally the desire to spread the higher elements of 
civilization and Christianity. The methods of control 
have been as diverse as the results desired. The most 
prominent may be grouped under four classes : Slavery, 
Imperialism, Democratic Federation, Permeation. 

i. Slavery. Slavery is the subordination of the 
will of one man to that of another. The slaveholder 
is the representative of a higher race, the strong, the 
virtuous, the Christian. The slave is taken from bar- 
barism and filth, brought into new and better relations, 
made clean, industrious and effective. For the worship 
of devils and fetiches is substituted the religion of civ- 
ilized men, and these civilized men in turn live in pros- 
perity through the wisely-directed labor of many slaves. 

This is the fair side of slavery. Not long since it 
was the only side seen to most men. But broader ex- 
perience showed the darker face. We see now that the 
system cursed the slave, destroying his manhood and 
his power of initiative, at last degrading his race 
through the elimination of those brave souls who chose 
death rather than servitude. The system cursed the 
master not less, by developing the spirit of domination, 
by destroying the feeling of equity and of brotherly 
love among men. It is opposed to the forces that make 
for progress, to the demands of justice and to the spirit 
of democracy. "If slavery is not wrong," said Lin- 
coln, "then there is nothing wrong." 



404 GUNTON'S MAGAZINE [May, 

2. Imperialism. Since slavery passed away, im- 
perialism in one form or another has become its ac- 
cepted substitute in the control of the tropics. In 
general, the essence of imperialism is non-delegated 
power. It is the divine right of kings applied to races 
and their rulers. Practically, imperialism means the 
control of a weak race by a strong one in the interest 
of the industrial development of the weak race and the 
commercial advantage of the strong. Imperialism or 
collective slavery has the same fair side that chattel 
slavery or individual imperialism has. It makes for 
order, cleanliness, thrift, commerce, luxury, Christian- 
ity. It is less subject to abuse than personal slavery. 
The public master is never so good as the best private 
master though never so bad as the worst. The final 
results are the same, the degradation of those races 
who have been cared for by its paternalism, the de- 
struction of initiative, the loss of the spirit of freedom. 
The rulers themselves suffer as a body the same ills 
which affect the individual slaveholder and this in pro- 
portion to the degree in which they actually rule. 
The spirit of arrogance, the feeling of caste, the 
growth of militarism, the "divine right" to seize the 
possessions of weaker races, are characteristics of im- 
perialism. Slavery under either form is still the 
' ' black demon breeding drouth and dearth of human 
sympathy," so familiar to us in the struggles of the 
last generation, "Great Britain," says Goldwin Smith, 
' ' has deserved and won the respect of the Hindu but 
she has never won and is now less likely than ever to 
win his love. Lord Elgin sorrowfully observes that 
there is more of a bond between man and dog than be- 
tween Englishman and Hindu." So it is ever in the 
relation of master and slave, whether on a large scale 
or a small one. It is said that the increasing famines 
in India are largely due to the loss of all the native 



1 9 oo.] THE CONTROL OF THE TROPICS 405 

forms of industry, their home-taught spinning and 
weaving and work in metal. The tendency of outside 
mastery is to make of all men unskilled laborers alike. 

The control of subject races under imperialism has 
shown many forms. It may be systematic exploitation 
scarcely distinct from slavery ; it may take the form of 
indentured labor without which, it is claimed, most 
tropical plantations are unworkable; it may be the 
subsidy of petty despots; it may be rule by bare 
military force ; it may consist in absolute extermina- 
tion or again it may represent any one of various 
stages in freedom or self-government. It may again 
be paternalism, pure and simple, the rule of a wise 
man under no orders save those given to Sancho Panza 
"to fear God and do your duty." In its best form this 
system has shown wonderful results but again it is 
hard to establish and its effects show little permanence.. 

I do not believe that the results of imperial con- 
trol in the tropics indicate a final solution of the prob- 
lem or constitute anything more than a passing phase 
in history. 

When a race is held in its place by force, the 
people who are held and the people who hold them 
suffer alike from the unnatural relation. It must fi- 
nally end in independence or federation or extermina- 
tion. Therefore we may safely paraphrase Lincoln's 
words : ' * If imperialism is not wrong, nothing in gov- 
ernment is wrong," though as a temporary stepping 
stone toward something else it may have a recognized 
place. 

3. Federated Democracy. A third form of control 
may be that under democracy. It would consist in the 
application to the tropics of the twin principles of 
equality before the law and of delegated power, which 
have been the corner-stones of human progress in the 
temperate zone. 



406 GUNTON'S MAGAZINE [May, 

Self-government on the basis of personal freedom 
has never grown up spontaneously in the tropics. All 
tropical republics have been oligarchies: all rulers 
have been dictators. The powers they have assumed 
have been delegated through tacit consent, the consent 
of hero-worship, of fear or of indifference, not through 
the explicit authority of a bill of rights. The weak, 
lawless, turbulent republics have reflected the charac- 
ter of the people who compose them. We in America 
are about to try this new solution of the great question, 
the control of the tropics through the federation of 
the weak peoples with the strong. This now is our 
problem. If the people of the North set the pace, can 
the people of the tropics keep step with it at least to 
such a degree as not to imperil the peace and civiliza- 
tion we have already attained? 

As to this, most experts of Europe say no. "Any 
attempt to govern the tropical possessions of the United 
States on democratic principles," says Alleyne Ireland, 

' ' is doomed to certain failure We look in 

vain for a single instance within the tropics of a well- 
governed country." 

But this fact does not settle the matter. The ex- 
periment has never had a fair trial, and this we have now 
resolved to give. Nor is it altogether hopeless. Cer- 
tainly each of our states is stronger in the union than 
it would be if standing alone. This is even more true 
of the weak than of the strong. Certainly Porto Rico 
as a territory of the United States, with full equality 
before the law and with full guarantee against des- 
potism, can do some things which Porto Rico as an 
independent nation could not accomplish. The pros- 
pect in the Philippines may stagger us somewhat, but 
if we undertake the control of the tropics in the 
Orient we can only operate along the lines of our own 
governmental methods. We must recognize men as 




igoo.] THE CONTROL OF THE TROPICS 407 

men, whatever their race, color or location, and each 
part of our country must share and share alike in all 
our powers, endeavors, hopes or advantages. We may 
doubt the outcome but we must not flinch from the 
conditions. If control of the tropics be ever made safe, 
helpful and permanent, federation under democracy is 
surely a hopeful method. It must rest on * ' consent of 
the governed," and by consent we must mean not for- 
mal vote but willing participation. If we have made 
frhe plunge then we should not hesitate for a moment 
as to the rest of our duty. Whatever possessions the 
United States may hold must be part of the United 
States, territories, states in time, and their people full 
citizens, " mere citizens," the only kind of citizens that 
we know. If we cannot grant this, let them go. 
Equality or separation, there can be no other alterna- 
tive under our constitution, or under the eternal justice 
upon which the constitution rests. 

If our nation ever really expands beyond its conti- 
nental boundaries its strength abroad as at home must 
lie in the hearts of its citizens. If the country of the 
Filipinos is ours then our country is theirs. If they 
come to know our country as we know it then may they 
love it as we love it. 

Alone of all the great nations of the world, Amer- 
ica has a recognized theory of government. Govern- 
ment by the people places manhood above order, the 
development of individual character above the techni- 
calities of good administration. This looks not to the 
smooth ordering of affairs of to-day but to the ultimate 
growth of the future. Great Britain has never had a 
theory of human rights and duties and in her political 
affairs she lives from hand to mouth. Her conservatism 
is tradition. Her radicalism is opportunism. One prob- 
lem she solves in one way and another in another ; one 
is forgotten, one dissolves in commercialism, another 



408 GUNTON'S MAGAZINE May 

erupts in war. Under the same flag is the despotism 
of the Straits Settlements, the perfect democracy of 
New Zealand, the slaughter of the Transvaal. It floats 
over a Gordon, a Rajah Brooke, a Kitchener, and a 
Cecil Rhodes and the same flag befits them all alike. 
What in the long centuries will come of it all, no man 
can foretell, save that the conditions we know at any 
one time can never be permanent. 

Not so with the Republic of America. " How long 
will the United States endure? " asked Guizot of James 
Russell Lowell. " So long as the ideas of her founders 
remain dominant." 

In our control of the tropics, short though it has 
been, we have made blunders of the deepest kind, 
blunders due to ignorance, indifference, inaction and 
especially to the assumption that order is a matter of 
swords and muskets alone. 

I believe that a saner policy is now possible. I 
trust that we may regain our lost ground. A great 
hope lies in the present Philippine Commission, com- 
posed of men wise, just and sympathetic. They will 
surely do all that men can do to restore peace and good- 
will to our wretched brethren of the East. They go 
forth not to "do politics " but to clear away the debris 
of past politics, Spanish, Tagalo and American, and 
they deserve the heartiest support of all good citizens. 
4. Permeation. Another solution of the control of 
the tropics is through independence and permeation. 
Let the native peoples develop their own institutions 
in their own way, undisturbed by outside governmental 
control and unimpeded by force of arms. Let their 
only real check be the force of superior experience and 
superior wisdom. 

Missionaries, commerce, railways, manufactures, 
industrial corporations, consular offices, let these per- 
meate the tropics. All of them make for decency, 



THE CONTROL OF THE TROPICS 409 

equity, stability. They require no armies for their 
support. Armies bring disease, drunkenness, injustice, 
recrimination. The soldier cannot safely precede the 
missionary. Still less can he take his place. "The 
force of arms must be kept far from matters of the 
Gospel. This," said Martin Luther, "is the lesson of 
my life." 

A good example of control through permeation is 
that of the "peaceful conquest of Mexico." We may 
rule Mexico through force of brains, a power more 
potent than force of arms, more worthy and more last- 
ing. The present stability of Mexico is largely due to 
American influences. Every year American intelli- 
gence and American capital find better and broader 
openings there. In time, Mexico shall become a re- 
public in fact as well as in name, side by side in the 
friendliest relation with her sister republic of broader 
civilization. It is not necessary that the same flag 
should float over both. If one be red, white and blue, 
let the other be green, white and red what matter ? 
The development of Mexico, the ' ' awakening of a 
nation," is thus a legitimate form of expansion. It is 
not a widening of our own governmental responsibility, 
but a widening of our influence and an extension of re- 
publican ideas. The next century may see Mexico an 
American instead of a Spanish republic, and this with- 
out war, conquest or intrigue. 

Permeation is cheaper than war. A single battle 
costs more than a hundred Christian missions. A sin- 
gle campaign has cost as much as the great trans- 
Siberian railway. We could fill all tropical countries 
with consular agents and commercial agents, men 
trained to stand for good order and to work for Amer- 
ican interests, for less than it costs to subdue a single 
tropical island. Stevenson in Samoa did more for peace 
and property than all the warships which ever passed 



410 



GUNTON'S MAGAZINE 



his island, and this out of pure good will the best 
agency in the work of civilization. And with every 
peaceful invasion the area of civilization and freedom 
is expanded. In peace, not in war, in commerce, not 
in force of arms, is found the key to our problem if 
any solution be ever possible. 

Whether the control of the tropics along any lines 
whatever shall be practicable and permanent no one 
can say. Perhaps like the grand Quivira or the foun- 
tain of eternal youth it is only a dream of the restless 
adventurer. History gives no record of success. She 
tells only of varying kinds and degrees of failure. But 
in each case the failure is less in proportion as the 
equality and humanity of man has been conceded. 

But this, alas, seems certain. The tropics are 
stronger than we at last. They will control and swallow 
up whatever we put into them. As with animals and 
plants, so with men and institutions ; the frost line of 
the Tropic of Cancer is the greatest barrier we know, 
the dead line which, for good or ill, no form of life has 
ever yet passed unchanged. 





EXPANSION THE DOOM OF PROTECTION 



Protection has been our national policy since the 
foundation of the republic. While it has not always 
been philosophically and economically applied, it has 
been accepted and supported by the American people 
as the policy of preserving and expanding our domestic 
industries. The protectionists, whether as federalists, 
whigs or republicans, were never quite so well versed 
in the theory of their policy as were the free traders in 
theirs. Indeed, protection can hardly be said to have 
had a logical doctrine at all. It was a policy, a kind of 
horse- sense policy, under which the people persisted in 
doing very much better than they knew. It is not until 
recently that protection can be said to have been re- 
duced to anything like an economic doctrine with a 
scientific basis and philosophic scope. 

It is not surprising, therefore, that in the absence 
of any clear doctrine or economic principle on the sub- 
ject the narrowest views regarding it should be enter- 
tained and that local or personal interests should influ- 
ence its application. These perversions, sometimes 
verging on favoritism, have furnished the anti-protec- 
tionists with new material for demanding free trade. 
Little wonder that under these conditions the anti- 
protectionist movement would occasionally rise to 
serious proportions and bring about experiments with a 
non-protective policy; but every experiment in this 
direction was followed by industrial disturbance, fre- 
quently by disastrous depressions accompanied by finan- 
cial panics. 

When the people change from one policy to an- 
other, it matters little what the policy is, if the change 
is followed by disaster they are sure to change back at 
the first opportunity. This is often taken to indicate 

411 



412 GUNTON'S MAGAZINE [May, 

that they are intellectually converted to the other 
theory, which is seldom true. They eagerly return to 
the policy under which they were prosperous, merely 
because they were prosperous. The very fact that they 
were prosperous is to them, for the time being, the 
justification of the policy. Whether it is more philo- 
sophical or logical or humane or in the long run more 
just are not the determining qualities under such cir- 
cumstances. 

Despite the fact that the classic literature and 
scholarship, and the influence of the great universities, 
combined with the Jeffersonian doctrine of politics, all 
favored it, the free-trade doctrine made practically no 
permanent inroad on the convictions of the American 
people. The power of the teacher, however plausible, 
seemingly logical and profound his philosophy and 
broad his humanities, ultimately availeth little against 
the continuous concrete experience of the people. 

The protective system performed a double func- 
tion, it gave revenue to the state and protection to do- 
mestic industry. Down to the civil war internal taxes 
were unknown. The entire revenues of the country 
were collected from duties on imports. This fact 
greatly contributed to strengthen belief in the tariff 
policy. Advocates of free trade were forced to become 
the advocates of internal taxation, which is generally 
objectionable to the American people. 

Moreover, during all this time the attention of the 
people has been concentrated upon domestic questions. 
We have had no foreign possessions, no entangling alli- 
ances with other countries. The Monroe doctrine has 
been our guide, we have acted upon the policy of not 
interfering in the affairs of other nations, nor permit- 
ting them to interfere with ours. The political issues 
at every presidential or state election, therefore, were 
domestic. They related to questions of industry, trade, 




. J EXPANSION THE DOOM OF PROTECTION 413 

interstate commerce, finance, and policies affecting the 
educational, social and moral welfare of our citizens. It 
was the safeguarding of old and the development of new 
industries, the encouragement of railroad construction 
for the opening of our vast areas of virgin territories, 
the development of cities and towns and the solution of 
the educational, municipal and economic problems they 
created, that engaged the attention of the people. All 
the questions of public discussion and political action 
were confined to the domestic interests of the people. 

It has been constantly urged that with protection 
we could have no foreign trade. Experience has de- 
stroyed the validity of that theory by showing that our 
foreign trade grew as our domestic industry developed. 
The greater our home productions the greater is our 
consumption of foreign goods. Not that we consume 
foreign goods instead of our own, but in addition to our 
own by way of variety. The more the people make 
and use, the more they are likely to buy from others. 
Those who make little produce little, never buy much, 
they are small consumers. Contrary to all the anti- 
protection reasoning, with the development of our do- 
mestic industries we have increased our exports to for- 
eign countries. This means that we have gradually 
come to produce certain commodities cheaper than they 
can be produced in other countries, notwithstanding our 
tariff duties, which the prophets proclaimed were 
added to the price and handicapped American pro- 
ducers. During this time, with the diversification of 
industries, development of resources, cheapening of 
products, creation of cities, popular education and daily 
earning opportunities for the masses, we forged along 
at a rate witnessed nowhere else in the world. Neither 
plausible theories of brotherhood nor imaginary pictures 
of the honor, glory and gain of capturing foreign 
markets availed so long as the economic and political 



414 



GUNTON'S MAGAZINE 



[May, 



interests of the American people were centered on de- 
veloping the economic resources, adjusting the social 
conditions and solving the political problems of the 
United States. 

In 1898 we made a departure. We entered upon a 
war with Spain to secure the right of self-government 
for Cuba. Our success on both land and sea has no par- 
allel in the history of warfare. When we had driven 
the Spanish out of Cuba we demanded both Porto Rico 
and the Philippines. We were strong enough to take 
the one and rich enough to buy the other. This, to- 
gether with the annexation of Hawaii, has introduced a 
new and foreign element into our national life. The 
entire attention of the administration and of congress 
has become centered on the problems of our foreign 
possessions. In reality, the center of our political in- 
terest is transferred from the United States to the West 
Indies and the islands of the Pacific. 

The first question we have to settle in the Philip- 
pines is, how can we reduce this new and semi-barbar- 
ous people to the conditions of law and order and to the 
recognition of United States authority. They dispute 
our right to come and challenge our power to govern, 
so we are compelled to maintain a state of war, keeping 
a larger army in the Philippines than all the white or 
half-breed population of the entire islands. When we 
have accomplished this, which may take years, we shall 
have to solve the problem of how to govern these un- 
civilized people. This brings us face to face with con- 
ditions that have practically nothing in common with 
the spirit and character of American institutions. These 
people are poor, helpless barbarians, they have practi- 
cally no sense of sustained industry or orderly civil 
government, no experience in representative institu- 
tions. A large majority of them go barefooted and 
half naked. 









EXPANSION THE DOOM OF PROTECTION 415 

In dealing with these problems, which for a long 
time are going to be all absorbing, we have to radically 
depart from all the methods of democratic institutions ; 
we have to treat these people as wards, and govern 
them by despotic authority. This means that the Amer- 
ican government and congress are going to be absorbed 
for years to come in devising, establishing and admin- 
istering arbitrary paternal government in three or four 
different countries outside of the United States. This 
despotic control of inferior races will necessarily deaden 
the spirit of democracy at home by familiarizing our 
representatives with a contempt for human rights and 
representative institutions. We have already begun in 
Porto Rico by creating there essentially a carpet-bag 
government, consisting of a governor and advisory 
council of eleven, all appointed by the president 
of the United States with the consent of the senate. 
Six of the council must be United States citizens. 
In view of the ignorance and poverty of the people, 
we may expect from this practically the same political 
jobbery, selling of industrial privileges and other 
scandalous political" performances, that disgraced the 
carpet-bag era in the southern states. This will be 
another source of foreign detraction of home discus- 
sion, another force to center public interest abroad. 

In addition to this we have the trade aspect of the 
subject. We are responsible for the economic welfare 
of these people. If they cannot earn a living we feel 
called upon to feed them, and in order to seem humane 
we are tempted to give them the benefit of the Ameri- 
can market, abolishing all tariff lines and having free 
trade. This work has already begun. President McKin- 
ley led the sympathetic march in this direction by 
recommending in his message to congress that we 
establish free trade between Porto Rico and the United 
States. The excuse, defence or explanation for this 




416 GUNTON'S MAGAZINE [May, 

course is not on economic but humane grounds. " We 
must do something for these people, we have become 
responsible for them, we must send them capital to 
start their industries, we must raise money if necessary 
to feed their poor, we must recoup them for the losses 
suffered by tornado, all of which is highly philanthrop- 
ic and creditable to the sympathetic character and sen- 
timent of the American people, but it is creating a new 
center around which public policy will crystallize. 

We can no longer discuss the tariff question in re- 
lation to Porto Rico on economic and scientific grounds. 
It is charity, sympathy, benevolence. The same will 
be true of the Philippines. This is the beginning of 
the substitution of sentiment for economics. Hereto- 
fore the question as to the tariff has been, how will it 
affect the welfare of the United States, how will it 
affect American industries and American prosperity? 
So long as the question was presented in this form, the 
cold logic of the free trader was impotent. No people 
can be held to a national policy on the strength of 
bloodless logic and mathematical deduction, against 
the sentiment of national welfare and patriotism. The 
world is moved by national interest, by sentiment, by 
questions that are warm with flesh and blood. So long 
as the basis of protection was the United States, the 
welfare of the American people, our home industrial 
and social improvement, it was the policy of patriotism. 
But let that national sentiment once be centered on 
foreign problems and the enthusiasm for home interests 
subsides. Besides the sympathy phase of this foreign 
problem, there is the flag glory and foreign trade as- 
pect. We shall be told that our great industrial inter- 
ests are now in foreign trade ; not merely in carrying 
the flag to the land of barbarians but in furnishing the 
markets of the Orient with American products, and 
thus the emphasis of economic policy will be placed 






IQOO.J EXPANSION THE DOOM OF PROTECTION 417 

upon selling goods to foreigners rather than to Ameri- 
cans. It will soon become magnified as a much greater 
accomplishment to sell a cargo of shoddy productions 
to Asiatics than to sell twenty times as much of supe- 
rior products to American citizens. We shall have the 
doctrine, so familiar in England, that a nation's welfare 
is measured by the volume of its foreign commerce, 
though nothing could be more misleading. A nation's 
welfare and status in civilization is measured, not by 
its foreign sales, but by the standard of daily consump- 
tion of its average citizen. Ireland exported bread- 
stuffs to England when her people were dying of star- 
vation. Consumption is the source and measure of a 
nation's welfare. 

All this is already under way. Not only has the 
proposition for free trade for Porto Rico been recom- 
mended by the president and fiercely discussed by con- 
gress, but so completely did the sympathy idea prevail 
over the economic policy that the little tariff imposed 
is to be given back to Porto Rico. 

Senator Foraker admits, in an article in the North 
American Review, that they struggled for this skeleton 
protection in order to retain the principle, for fear of 
establishing a precedent for the Philippines, showing 
clearly that the whole question will have to be fought 
over again there. And now Brigadier-General James 
H. Wilson, commanding the provinces of Mantanzas 
and Santa Clara, Cuba, in making his report to the 
government, recommends that we establish free trade 
with Cuba. Concurrently with this, Mr. Robert P. 
Porter, ' * Special Commissioner for the United States 
to Cuba and Porto Rico," is publishing extensive inter- 
views and writing articles for the magazines with all 
the quasi-official flavor they will carry, endeavoring to 
show that with our immense growth in manufactures 
and methods of production we are outstripping the need 



418 



GUNTON'S MAGAZINE 



of protection ; that we are increasing our exports, and 
showing that we can compete with Great Britain and 
other countries in foreign markets. All this is very 
natural, and from their point of view is very properly 
backed up by the daily leading editorials in the free- 
trade papers of the country. 

Thus it is that expansion, in forcing upon us a new 
and novel problem, is destined rapidly to transfer our 
national interests from domestic industry to govern- 
ment in the tropics. Under the alluring glamour of 
becoming a "world power," with distant possessions 
demanding trade concessions in foreign countries, and 
becoming the paternal guardians of barbarians, we 
have already begun to lose the grip upon our domestic 
interests, the very source of our national welfare. As 
the demands of these foreign interests increase, and 
our intercourse with foreign nations becomes more in- 
volved, the maintenance of our prestige abroad will 
soon become a national patriotic sentiment. With a 
sentiment for a world power and a world commerce, 
the road for free-trade propaganda, which has already 
recommenced, will be easy and inviting. Another 
touch of dull trade is all that is necessary to put this 
movement under full headway. Thus the very ideal 
for which free traders have so long struggled in vain is 
now likely to be accomplished for them by the protec- 
tionists themselves. 



SHABBY SALARIES OF OUR PUBLIC 
OFFICIALS 

ADELBERT H. STEELE 



To those who have given attention to this subject 
it is well known that the salaries now paid to most of 
our public officers are insufficient to defray their actual 
living expenses at their posts of duty, leaving nothing 
for their services. 

It is also as remarkable as it is surprising that not- 
withstanding our phenomenal increase in population 
and wealth there has been but one increase in the 
salary of the president and the vice-president since the 
organization of the government in 1789, and no in- 
crease whatever in the salaries of cabinet officers since 
1853, of members of congress since 1866, of the judges 
of the supreme court of the United State since 1873, 
nor in the diplomatic service since 1856. The history 
of our public service in this respect is as follows : 

The Executive. By the Act of September 24, 
1789, the salary of the president of the United States was 
fixed at $25,000 per annum, with the use of the furni- 
ture and other effects in his possession belonging to 
the United States, to be paid quarterly. The salary of 
the vice-president was at the same time fixed at $5,000. 
President Washington, with that sublime patriotism 
which ever characterized him, refused to accept any 
salary for his services to his country. 

The salary of the president continued $25,000 
until it was increased to $50,000, payable monthly, by 
the Act of March 3, 1873. Congress, however, at- 
tempted in 1876 to repeal the act increasing the salary 
to $50,000, but President Grant righteously imposed 

419 






420 GUNTON'S MAGAZINE [May, 

his veto and the salary therefore remains at $50,000 
with the use of the executive mansion. 

The Cabinet. In 1789 the salary of the secretary 
of state was fixed at $3,500 per annum, which was in- 
creased to $5,000 in 1799, to $6,000 in 1819, and to 
$8,000, the present salary, in 1853. 

The salary of the secretary of the treasury was 
fixed at $3,500 per annum in 1789 and was increased to 
$5,000 in 1799, to $6,000 in 1819, and to $8,000, the 
present salary, in 1853. 

The department of war was created in 1789, and 
the salary of the secretary was fixed at $3,000, which 
was increased to $4,500 in 1799, to $6,000 in 1819, and 
to $8,000, the present salary, in 1853. 

The navy department was created in 1789 and the 
salary of the secretary was fixed at $3,000, which was 
increased to $4,500 in 1799, to $6,000 in 1819, and to 
$8,000, the present salary, in 1853. 

The post-office department was created in 1789, and 
the salary of the postmaster-general was fixed at $1,500, 
which was increased to $2,000 in 1792, to $2,400 in 
1794, to $3,000 in 1799, to $4,000 in 1819, to $6,000 in 
1827, and to $8,000, the present salary, in 1853. 

The office of attorney-general was created in 1 789, 
with a salary of $1,500, which was increased to $1,900 
in 1791, to $2,400 in 1797, to $3,000 in 1799, to $3>5oo 
in 1819, to $4,000 in 1830, and to $8,000, the present 
salary, in 1853. 

The department of the interior was created in 
1849; the salary of the secretary was fixed at $6,000, 
and increased to $8,000, the present salary, in 1853. 

The department of agriculture was created an ex- 
ecutive department in 1889, and the salary of the sec- 
retary was fixed at $8,000, the same as the other mem- 
bers of the cabinet. 

Congress. By the Act of September 22, 1789, the 



SHABBY SALARIES OF PUBLIC OFFICIALS 421 

salaries of the senators and representatives in congress 
were fixed at $6 per day and $6 for every twenty miles 
of the estimated distance for traveling to and from their 
homes to the seat of government ' ' by the most usual 
road.'' In 1816 the salaries were fixed at $1,500 per 
annum and 30 cents mileage. In 1818 the salaries 
were fixed at $8 per day and 40 cents mileage by the 
"most usual road." In 1856 salaries were fixed at 
$3,000 per annum and 40 cents mileage. In 1866 the 
salaries were fixed at $5,000 per annum and 20 cents 
per mile, by the nearest route usually traveled in going 
to and from each regular session, the amounts now paid 
to senators and representatives in congress. 

In March, 1873, Gen. Benjamin F. Butler of Mas- 
sachusetts succeeded in attaching a "rider " to an im- 
portant appropriation bill, by which the salaries of 
the president, vice-president, judges and members of 
congress were increased, that of members of congress 
from $5,000 to $7,500 with an allowance for their 
actual traveling expenses, and the act was approved 
by President Grant. The next day a concurrent reso- 
lution was passed, making the increased salaries of 
members of congress retroactive for a period of two 
years. This unwise action gave rise to the phrase of 
"salary grab,'* arousing public sentiment to such an 
extent that congress repealed the act on the 2Oth of Janu- 
ary, 1874, and it is said that a large majority of the 
members of congress covered their increased pay back 
into the treasury. Owing to constitutional inhibi- 
tions, congress could not then repeal the increased 
salaries granted to the president or judges of the 
supreme court. As already stated, the repeal of the 
president's salary was attempted by congress in 1876, 
but was defeated by the veto of President Grant. 

The Judiciary. By the Act of September 23, 
1789, the salary of the chief justice of the supreme 



422 G UNTON 'S MA GA ZINE [May, 

court of the United States was fixed at $4,000 per an- 
num, the associate justices at $3,500, the district judges 
from $ i, ooo to $1,8 oo per annum. In 1819 the salary 
of the chief justice was increased to $5,000 and of the 
associate justices to $4, 500 per annum. In 1855 it was 
increased to $6,500 for the chief justice and $6,000 for 
associate justices. In 1871 salaries were increased to 
$8,500 for chief justice and $8,000 for associate justices, 
and in 1873 it was further increased to $10,500 for the 
chief justice and $10,000 for the associate justices, their 
present salaries. The salaries of the circuit judges are 
now $6,000 and the district judges $5,000 per annum. 

The Diplomatic Service. The foreign service of 
the United States was first authorized by act of con- 
gress July i, 1790, and the salaries of the ministers 
were fixed by the president, at a rate not to exceed 
$9,000 per annum, together with an outfit not to ex- 
ceed one year's salary, which was paid in advance. 
Under this act legations were established at Paris in 
1790, London in 1792, Russia in 1809, Mexico in 1825 
and Austria in 1838. An act regulating the diplomatic 
and consular service was passed August 18, 1856, fixing 
the salaries of envoys extraordinary and ministers 
plenipotentiary, to Great Britain and France, at $17,500 
per annum ; to Spain, Russia, Austria, Prussia, Brazil, 
Mexico and China, $12,000, and to all other countries 
at which the United States had diplomatic represen- 
tatives, at $10,000 per annum. The first diplomatic 
representative from the United States to Italy was pro- 
vided for in 1864, although there had been a minister 
at Naples or Rome for several years, and the salary 
was raised to $12,000 in 1871. Germany was estab- 
lished as a first-class mission in 1871, upon the organ- 
ization of the German Empire, and the salary fixed at 
$17,500 per annum, and Russia and Mexico were raised 
to the same rank about 1890. The provision in the 



igoo.] SHABBY SALARIES OF PUBLIC OFFICIALS 423 

act of 1 790 making an allowance for an outfit was re- 
pealed by the act of August 18, 1856, and a provision 
made authorizing an allowance of salary for a period 
while receiving instructions, not exceeding thirty days, 
and also for the time actually and necessarily occupied 
in transit between their homes and their posts of duty. 
The missions to London, Paris, Berlin, St. Petersburg, 
Rome and Mexico were all raised to the rank of ambas- 
sadors, between 1893 and 1898, without, however, any 
increase of salaries or allowances. 

When we consider the condition of the country in 
1789, the state of society, the enormous national debt 
of $22.50 per capita, the condition of the treasury, and 
the high purchasing power of real money, the salaries 
then authorized appear liberal when compared with 
those paid under present conditions. There was not 
then a steam-engine, a steamship, a locomotive, a tele- 
graph or telephone line in the world. It was preemi- 
nently the age of the horse, the mule, the cumbersome 
stage-coach and the lumber- wagon. It required Wash- 
ington six days to travel from Mount Vernon to New 
York for his inauguration as president. The same 
journey can now be made in six hours. Andrew Jack- 
son was twenty- eight days, in 1796, traveling -from 
the Hermitage at Nashville to Philadelphia, to take his 
seat in congress as a member from Tennessee. The 
same journey can now be made in as many hours. 

Members of congress then reached the seat of 
government, wherever it chanced to be, on foot, on 
horseback, or in cumbersome stages, some of them ar- 
rayed in Indian moccasins, deer-skin coats and coon- 
skin caps. Such was the condition of society in those 
early days of the republic. 

President Washington, however, was evidently dis- 
satisfied with the compensation then authorized by 
congress for many of the public officers. In his ad- 



424 



GUNTON'S MAGAZINE 



[May, 



dress to both houses of congress at Philadelphia, De- 
cember 7, 1796, he said: 

' ' The compensation to the officers of the United States in many 
instances and in none more than in respect to the most important sta- 
tions appear to call for legislative revision. The consequences of de- 
fective provision are of serious import to the government. If private 
wealth is to supply the defect of public contribution, it will greatly con- 
tract the sphere within which the selection of character for office is to be 
made, and will proportionately diminish the probability of a choice of 
men able as well as upright. Besides that it would be repugnant to the 
vital principles of our government to exclude from public trusts, talents 
and virtue, unless accompanied by wealth." 

For purposes of comparison, let us note some of 
the salaries now paid by England, France, Germany 
and Russia and several of the smaller nations, for the 
same or similar services : 



Executive Salaries. 


Cabinet 
Officers. 


Ambassa- 
dors to 
the U. S. 


Judges. 


ENGLAND: 
The Queen . $1,925,000 


$25,000 


$32,500 


Lord High Chancellor, 
$50,000; Lord Chief Jus- 








tice, $40,000. 


FRANCE: 






Court of Cassation, $5,000 


The Pres't . 240,000 


12,000 


28,OOO 


to $8,000, and an allow- 








ance for expenses. 




Imperial 








Chancel- 








lor and 






GERMANY: 


Minister 






The Emp'r . 3,852,370 


of For- 


23,000 


From $2,500 to $23,000. 




eign 








Affairs, 








$23,000 








11,500 








Imperial 






RUSSIA: 


Minister 




Officers called senators 


The Czar . . 12,000,000 


of For'gn 


31,200 


constitute highest court 




Affairs, 




in Russia; salaries, 




$15,288 




$3,600 to $6,500. 


SPAIN: 








The King. . 2,000,000 








GREECE : 








The King. . 200,000 








MEXICO: 








The Pres't . 50,000 


15,000 






CANADA: 


7,000 to 






TheGov.-Gen. 50,000 


8,000 







1 9 oo.] SHABB Y SALARIES OF P UBL1C OFFICIALS 425 

The system of jurisprudence of France, Germany 
and Russia differs widely from that of England and the 
United States. In many instances the judges receive 
some portion of the fees of their respective courts and 
in many cases allowance for expenses ; their total com- 
pensation is said to exceed that of the judges of the 
United States courts. 

The principal cabinet officers are also furnished by 
their governments with official residences. Their am- 
bassadors at Washington are furnished with official 
residences and in most cases, it is said, allowances are 
made to them for the customary official entertainments. 

England pays her ambassador to France $45,000, 
to Germany $40,000, to Russia $39,050, to Italy $3 5,- 
ooo, to Austria $40,000 and furnishes each of them 
with an official residence. 

France pays her ambassador to England $40,000, 
to Russia $42,000, to Germany $28,000, to Austria 
$34,000, to Italy $24,000, to the Pope $22,000, and fur- 
nishes to each an official residence. 

Germany pays her ambassador to England $34,500, 
to France $34,500, to Russia $34,500, and furnishes 
each with an official residence. 

Russia pays her ambassador to England $39,000, 
to France $39,000, to Germany $39,000, to Austria 
$39,000, and furnishes each with an official residence. 

From the above it is seen that the salaries paid by 
the four great European nations to their executives, 
cabinet officers, judges and diplomatic representatives 
are in every instance very much greater than those now 
paid by the United States, in addition to which all of 
them furnish official residences for the chief officers 
of the cabinet and in every instance for their ambas- 
sadors and ministers. England, Austria, Germany, 
Mexico, Korea and Japan own the official residences of 
their ambassadors or ministers at Washington. 



426 GUNTON'S MAGAZINE [May, 

The United States is now a nation containing a 
population estimated to be more than seventy-five mil- 
lions of freemen, composed of forty-five states and ter- 
ritories, together with many islands in the sea. Mul- 
hall, the eminent English statistician, estimated the 
wealth of the United States at the close of 1896 at 
$81,750,000,000 with an annual earning capacity of 
$15,580,000,000. If these figures were correct the cen- 
sus of the present year will show our national wealth 
to exceed one hundred thousand millions of dollars. 
The same high authority estimated the wealth of Eng- 
land at the same time at $59,030,000,000, of France at 
$47,950,000,000, of Germany at $40,260,000,000, of 
Russia at $32, 12 5,000,000, of Austria at $22, 560,000,000, 
of Italy at $15,800,000,000, and of Spain at $11,900,- 
000,000. If these figures were correct they prove that 
the United States is by far the wealthiest nation in the 
world and it is increasing in wealth much faster than 
any other. Our wealth is nearly equal to the combined 
wealth of England and Russia, of England and Ger- 
many, and exceeds that of France and Russia, or of 
Germany and Russia, and nearly equals that of Russia, 
Austria, Italy and Spain combined. 

Our annual revenue now exceeds $600,000,000, a 
greater sum than the entire value of all of the property 
in the country at the organization of the government. 
Our net national debt is now a little less than $1,500, - 
000,000; per capita, 1890, $14.63. This indebtedness 
per capita is less than half of that of England, Germany 
or Russia, and less than a quarter that of France. There 
is no reason therefore, why our public officers of the 
people should not be paid just and reasonable salaries. 

It is not a party question, but a business question, 
that should be adjusted on business principles by busi- 
ness methods. 

It is a fact that the existing salaries of the vice- 



igoo.] SHABB Y SALARIES OF P UBLIC OFFICIALS 427 

president, members of the cabinet, and of our ambassa- 
dors and ministers are largely insufficient to pay the an- 
nual rents of their residences and enable them to live 
in accordance with the reasonable demands and require- 
ments of the society of the present day at their respec- 
tive posts of duty, leaving them no compensation for 
the valuable, exacting and responsible services they 
render to their country. It actually costs our ambas- 
sadors or ministers plenipotentiary of the first class more 
than double the salary they receive to pay the neces- 
sary official expenses at the respective capitals to which 
they are accredited. In fact, it is known that one of 
our recent ambassadors to Russia could not obtain a 
suitable residence in St. Petersburg for his entire 
salary. 

Our cabinet officers, ambassadors and ministers are 
expected to live in as fine residences and entertain as 
liberally as their foreign associates, and as a rule they 
do so, paying the necessary expenses from their private 
funds. It is doubtless generous and exceedingly pa- 
triotic for them to do so, but it is highly improper, un- 
just, and morally wrong for the government to permit 
any public officer to pay from his own pocket the neces- 
sary expenses for conducting his office. No person, ex- 
cept a man of wealth, can now afford to accept any of 
those positions, and the president's choice is now and 
for many years past has been practically restricted to 
men who are able as well as willing to do so. 

It is clear, therefore, that congress should take im- 
mediate measures to revise the salaries in all of the great 
departments of the government, placing them on a busi- 
ness basis, and accord to each officer a fair and reason- 
able salary for the services rendered. 

If congress should accord to the president of the 
United States the salary now paid to the president of 
France it would at least solve the problem of ' ' What 



428 GUNTON'S MAGAZINE 

ought we to do with our ex- presidents? " It would also 
be good policy and wise economy for the United States 
to construct and maintain official residences at Washing- 
ton for the vice-president and for each member of the 
cabinet, and also own and maintain official residences 
for the ambassadors and ministers of the United States 
at all of the principal capitals of Europe. We already 
own residences for our diplomatic or consular repre- 
sentatives at Tokio, Japan; Bangkok, Siam; Seoul, 
Korea ; Tangiers, Morocco, and Tahiti, Society Islands. 

The liberality shown by the county of New York 
toward its judiciary is in sharp contrast with that of the 
government of the United States. The judges of the 
supreme court in the county of New York receive $17- 
ooo per annum, or $7,000 more than the chief justice and 
$7,500 more than the associate justices of the supreme 
court of the United States, while the city police magis- 
trates of the city of New York receive $7,000 per annum, 
or $1,000 more than the circuit or district judges of the 
United States ! If the United States should pay the 
judges of its great tribunal a salary of $25,000 per an- 
num it would be but half that now paid by England to 
the Lord High Chancellor. 

The salaries of members of congress should also be 
revised and increased, and it would be wise policy for 
each state to own and maintain the residences of its sen- 
ators at Washington. It is manifest to all that the dig- 
nity, the honor, and the high sense of justice which 
characterizes the American people, imperatively require 
that a revision of the salaries of our public officers should 
be made at the earliest possible moment. It is still 
true as was said more than eighteen hundred years ago : 
" The laborer is worthy of his hire." 



ADMIRAL DEWEY 



In becoming a candidate for the presidency tinder 
peculiar circumstances, Admiral Dewey has created an 
almost universal feeling of disappointment among the 
American people. Not that he has committed any 
offense ; it is every native-born citizen's right to aspire 
to the presidency. Nor is there any good reason why 
a man should not frankly ask for the office if he really 
desires it, instead of adopting the usual but less frank 
method of pretending not to want it when he is almost 
"dying" to get it; but there is always a fitness of 
things. Although politicians may act upon the spoils 
system, so far as possible the people make their choice 
upon the merit system. For a person to be a successful 
candidate for public office, particularly for the presi- 
dency, he must have some good ground for asking the 
confidence and votes of the people. He must be famil- 
iar with public questions, with the duties of public 
office, indeed he must have had some experience in pub- 
lic affairs. 

Ordinarily, for a person to announce himself as a 
candidate for the presidency, who had no experience 
and who had no known views on public policy, and who 
indeed was so colorless politically that it was difficult 
to decide to which party he belonged, would be only to 
invite ridicule and derision on the ground of obvious 
unfitness and entire lack of claim to public considera- 
tion for the place. The only reason why Admiral 
Dewey or any of his personal friends could hope for 
favorable consideration of his candidacy is that he con- 
ducted a marvelously successful naval battle in Manila 
Bay. His merit in that sphere was recognized by the 
whole civilized world, and for that he was honored as 
man was never honored before by the American people. 

429 



430 GUNTON'S MAGAZINE [May, 

In this respect the American people were in no 
wise tardy ; indeed, they may be said to have been ex- 
travagant, if extravagance were possible under the cir- 
cumstances. There was nothing suggested that could 
be done by way of national demonstration of apprecia- 
tion and tribute to Admiral Dewey that was not done. 
The nation gave itself over to hysterics in proclaiming 
its gratitude for Dewey's accomplishment. Indeed, it 
lavished applause upon him until he cried out to be let 
alone. Nor is there any criticism that the people over- 
did the matter. Nobody is disposed to begrudge a cent 
of the money or a moment of the time or a jot of the 
enthusiasm that was so unstintedly bestowed. He did 
at Manila what no naval officer ever did before, sunk 
or captured the enemy's entire fleet without losing a 
man. Moreover, his apparent self-possession, entire 
absence of "big-head," his prompt action in dealing 
with foreign vessels and all concerned, seemed to mark 
him as an exceptional hero of exceptional circum- 
stances. 

The first thought in many quarters was, Dewey for 
the presidency! When this suggestion reached his 
ears he again displayed the exceptional quality and 
rose to the height of saying No, and added the sensible 
reason, I don't know enough about government, I am 
a sailor. All that was evidence of greatness, greatness 
which consisted of knowing what he knew, and know- 
ing enough to know that he had not the experience and 
qualifications of political statesmanship. This attitude 
was appreciated by the American people ; with each 
incident he rose higher and higher in the people's esti- 
mation. They said, Here is a man who has risen to 
the acme of fame in his profession, without taking on 
the ego-inflation of assuming that he can do everything 
else as well as he destroyed the Spanish fleet. Had he 
rested on that accomplishment and preserved the repu- 



i 9 oo.J ADMIRAL DEWEY 431 

tation thus legitimately earned, lie would have contin- 
ued the nation's hero, upon the highest pedestal of 
honor, and remained there for the remainder of his life 
and endured throughout our history. 

It is because he has suddenly changed from all this 
and seems to have lost his judicious characteristics that 
everybody is surprised and experiences a feeling of 
profound regret. In announcing himself as a candidate 
for the presidency he has revealed characteristics the 
opposite of those by which he won his honors. 

Indeed, his every act in his new political role indi- 
cates the novice rather than the statesman. It is sym- 
pathetically suggested that he has been surrounded by 
bad advisers, but even so it shows that in politics he is 
not proof against bad advisers, which is an essential 
quality in successful political leadership. Whether it 
be due to the burning ambition of his wife and her 
relatives, or whatever, it shows that he has no such 
ability correctly to judge and wisely to act in politics 
that he showed in war. 

He may have been largely influenced by the ex- 
perience of Governor Roosevelt, but if so it is another 
evidence of his incapacity correctly to gauge political 
influences. There is only one point of similarity be- 
tween the case of Colonel Roosevelt and Admiral 
Dewey, and that is that they were both successful 
heroes in the Spanish war. But Colonel Roosevelt was 
essentially a man of political life. He was one of the 
most active, aggressive, successful, public-spirited 
young men of this generation. He was not a novice in 
politics, but an active student and constant participator 
in political affairs. He had served with distinction in 
the legislature, as chairman of the civil service commis- 
sion, as president of the board of police commissioners 
of New York city, and as assistant secretary of the 
navy. He passed from one office to another because of 



433 GUNTON'S MAGAZINE [May, 



his marked success in every position he held, and he 
left the highest position to organize a regiment and go 
to the war, in which he gained the highest honors of 
the army. 

When he came from Santiago at the close of the 
war, therefore, he was not a novice in politics. There 
was no doubt as to the party to which he belonged, and 
as to his definite views on important public questions. 
On the contrary, he was a pronounced republican and 
an aggressive advocate of specific reform policies. In 
fact, he left the field of statesmanship temporarily to 
join the army, and in his new field he rose to the front 
and carried off the distinctive honors. When he re- 
turned, therefore, he returned to the sphere of public 
life in which he had had much longer experience than in 
war, and it was the most natural thing that the distinc- 
tion he had won at Santiago should contribute to his 
popularity in politics, where he was still better known 
and which he had made his life calling. 

Moreover, Col. Roosevelt did not announce him- 
self as a candidate for governor with a willingness to 
take a nomination from any party, leaving the public 
in doubt as to his views on all public questions. On 
the contrary, as already stated, he was a pronounced 
partisan with distinct ideas, and the tide set in through- 
out the state demanding his nomination for governor. 
The shrewd politicians, the party organization, in fact 
all the pressure of organized political machinery, were 
impotent to suppress this public demand. There was 
no reason why Governor Black should not have had a 
second term, except for the fact that the spontaneous 
uprising among the voters demanded Roosevelt. 

In Admiral Dewey's case nothing of this kind 
exists. He has had no experience whatever in polit- 
ical public life ; his experience has been only in the 
navy, and there he rose to the top, but politics was 




rgoo.J ADMIRAL DEWEY 433 

strange and unknown to him, and when he remarked 
on his return from Manila that he did not know 
enough about public questions to be president, the 
truth of which he has since demonstrated, every- 
body believed him. There was no call from the people 
for Dewey to be a candidate for president, any more 
than there would be for Lord Salisbury to take charge 
of a cotton factory. In fact, the world does not ask a 
blacksmith to make watches or a watchmaker to write 
poetry ; it calls for people to do that which their ex- 
perience and training are at least supposed to fit them 
to do, and hence nobody seriously thought of Admiral 
Dewey for president. The announcement of his can- 
didacy was a surprise, and when he hesitated about in- 
dicating to which party he belonged the surprise was 
greater, and when he spoke of the presidency as a mere 
executive office, a kind of chairmanship, he revealed 
the novice, which created universal regret. 

Such unfamiliarity with the duties and responsi- 
bilities of the highest political office in the nation, in a 
gentleman announcing himself as a candidate for the 
presidency, made everybody sorry for Dewey. No- 
body is disposed harshly to criticize him, but only to re- 
gret that the nation's greatest hero in another field 
should have made such an inexplicable mistake. It is 
no particular criticism of Admiral Dewey that he knows 
nothing about the money question, the tariff question, 
and the other important problems of public life ; he 
was not expected to know these things, but ignorance 
on such matters in a candidate for the presidency takes 
one's breath away. But in addition to this unfamiliarity 
with the duties of the office to which he aspires and 
obvious unacquaintance with public affairs he adds 
the quality of indifference. He says he never voted in 
his life and never but once had a desire to vote. It 



434 GUNTON'S MAGAZINE [May, 

would be difficult to conceive more complete testimony 
of unfitness for the office. 

His candidacy will make no particular difference 
in the campaign. Of course, Mr. McKinley will be 
nominated by the republicans at the Philadelphia con- 
vention ; that is a foregone conclusion. Whether it 
would be wiser that another candidate be nominated or 
not, the fact remains that he will be the republican 
nominee. When the democratic party meets in a con- 
ference at Kansas City Mr. Bryan will be nominated. 
Between Mr. Bryan and Admiral Dewey the democrats 
can have no choice. Mr. Bryan is eminently familiar 
with public questions. He represents a certain theory 
regarding several of the more important issues, he is 
one of the ablest exponents in the country of at least 
one of those theories. Millions of democratic voters 
believe in him, they believe in his integrity, they be- 
lieve in his theory and they believe that he knows more 
about the question than any other man. 

Much as they may admire Admiral Dewey, his 
views upon the questions which the great mass of the 
democratic voters have been educated to regard as well- 
nigh sacred are wholly unknown. Indeed, if he has any 
views at all, and if later he should announce that he 
holds the same opinions as Mr. Bryan, there are all the 
reasons in the world for the democrats to prefer Mr. 
Bryan, who is the ablest exponent of these peculiar 
doctrines, and if Admiral Dewey should prove to have 
different views on some of these questions then there 
is every reason why the democrats should refuse to 
have him as a candidate. There is indeed no pos- 
sibility of a man getting the nomination of either of 
the great political parties whose political opinions are 
hatched after his candidacy is announced. If he tries 
therefore to secure the nomination against Mr. Bryan, 
he will be defeated overwhelmingly if not ignomini- 



ADMIRAL DEWEY 435 

ously. If he accepts an independent nomination he 
will incur antagonism that will rapidly grow into per- 
sonal dislike by millions of American citizens who now 
admire and honor him. 

He will not have the excuse that the prohibitionist 
candidates or greenback candidates have had, or that 
Palmer and Buckner had in 1896. These independents 
at least stood for an idea, but for all that anybody yet 
knows the Admiral stands for nothing or for anybody but 
for Admiral Dewey. He asks for the place, not because 
he can take anything to it, not because he has an idea, 
not because he represents a political policy, but because 
the office is the highest gift of the people and he would 
like it. 

The probability is, therefore, that the candidacy of 
Admiral Dewey, whether he seeks the regular nomina- 
tion at Kansas City or expects an independent nomina- 
tion, will disrupt the ranks of the democracy, improve 
the chances of Mr. McKinley's reelection, make himself 
a disappointed rejected aspirant for forlorn political 
honors, with millions of enemies, and dethrone him 
from the high pinnacle of national honor which he had 
really earned, and otherwise might have forever en- 
joyed. 



WHY THE SHEKMAN LAW WAS PASSED 



For years it has been generally charged and be- 
lieved that the act of 1873 demonetizing silver was 
stealthily passed through congress, that most of the 
members of congress in voting for it, and President 
Grant in signing it, were unaware of its demonetizing 
clause. Investigation of the history of that law, how- 
ever, proves that this charge is entirely false. The 
records show that it was before congress three years 
and that the debates on the subject occupied several 
hundred columns of the Congressional Globe. 

Much the same kind of false statement has been 
circulated regarding the so-called Sherman act of 1890. 
It has been commonly charged that the law authorizing 
the purchase of four and a half million ounces of silver 
a month was passed as a deal with the silver people, to 
save the McKinley bill. We have given credence to 
this view ourselves. Investigation of the facts, how- 
ever, shows that this statement was a political story 
without foundation. 

The persons most actively concerned in the con- 
ference work on the Act of 1890 were Hon. Joseph H. 
Walker of Massachusetts and Hon. John Sherman of 
Ohio, the two best informed men in congress on 
finance. When the inside history of this matter is pub- 
lished it will show that Messrs. Walker and Sherman 
were engaged in a deadly conflict with free coinage, 
for which a bill was already pending in the senate. To 
this they were uncompromisingly opposed, tariff or no 
tariff. All the evidence points to the fact that if the 
silver people had been flatly voted down, with the ex- 
isting state of public opinion on the subject, they would 
probably have carried the next house and perhaps the 
senate and so forced upon the country free coinage at 

436 




WHY THE SHERMAN LA W WAS PASSED 437 

16 to i. By way of heading off this and resisting the 
attempt to pass a free-coinage bill that session, the con- 
ference, after long higgling yielded to the purchase of 
four and a half million ounces of silver a month by the 
government, which then represented the total American 
output. 

This was evidently wise policy. It was not good 
financiering per se, and nobody would have resisted it 
more vigorously than Mr. Walker or Senator Sherman 
on its merits as a financial proposition, but it was to 
head off a many-times more deadly thing. No better 
evidence of this could be desired than the fact that at 
the first opportunity the very men who aided in passing 
the Sherman act were most prominent in urging its 
repeal. It was enacted in 1890, repealed in 1893. 
During those three years it served to head off the catas- 
trophe of free coinage, which probably could not other- 
wise have been prevented, and thus passed the nation 
over to a period where industrial conditions and public 
discussion have done the work of creating a sounder 
public opinion, which has at last legally established the 
gold standard and rendered free coinage of silver at 16 
to i an impossibility without the reconversion of the 
American people and the election of a specific majority 
in both branches of congress for the purpose. In the 
light of experience, therefore, while it seemed to be 
yielding to unsound doctrine, the act of 1890 was really 
a necessary compromise which perhaps saved the nation 
from untold disaster. 



EDITORIAL CRUCIBLE 

THE NEW YORK Sun has rendered a real public 
service in exposing the scheme of Congressman J. D. 
Richardson to make a fortune by converting public 
documents into private property. In the interest of 
public decency it is to be hoped that Mr. Babcock's 
joint resolution to have fifteen (and if needs be thirty) 
thousand copies of the ' ' Messages and Papers of the 
Presidents " printed for free distribution will be adopt- 
ed, and so defeat the success of this scandalous scheme. 
Congressmen of the Richardson type should be effect- 
ually taught that they cannot cover up their methods 
of "working" the government by demagogically advo- 
cating confiscation of the profits of legitimate private 
industries above four per cent. 



' ' WAS Slavery the True Cause of the South African 
War? " is the title of an article in the Anglo-American 
Magazine for March, by Albert Greenwood. The sub- 
ject is treated with conciseness and brevity, yet Mr. 
Greenwood has little difficulty in showing that behind 
and back of the Boer situation the real grievance is that 
England compelled the Boers to abolish slavery. They 
have always been hungry slave-owners, and when they 
were compelled to discontinue chattel slavery in the 
open ownership of the natives they adopted an appren- 
ticeship system, which was another name for prac- 
tically the same thing. 

Whatever may be said against England on a hun- 
dred different charges, on the slavery question she has 
been straight and unqualified. She abolished slavery 
in the West Indies in 1835, and has ever since con- 
stantly set her face against the traffic in human beings. 
When she annexed the Transvaal in 1877 she insisted 

438 




EDITORIAL CRUCIBLE 439 

upon a no-slavery condition, for which the Boers hate 
her more than for any other one thing. Slave -owning 
is a part of the spirit which denies religious freedom 
and political rights and equality in the courts to alien 
inhabitants. Any people who will deliberately arrange 
their political institutions so as to swindle people out 
of their property and deprive them of representation, 
while pretending to grant it, may be expected to have 
a real pro-slavery spirit. The indictment that Eng- 
land's abolition of slavery in the Transvaal is the real 
Boer grievance is, to say the least, strongly presented 
by Mr. Greenwood. 

THE Anglo-American Magazine, which came into 
existence with 1900, opens its March number with an 
article by Thomas G. Shearman on the British and the 
Boers. Outside of the single tax, the animus of which 
in his case is free trade, Mr. Shearman is more than an 
averagely clear-headed student of public affairs, and on 
the question of the British and the Boers he appears to 
be at his best. He is entirely free from the maudlin 
sentimentality so prevalent on the Boer question, that 
Kruger and Cronje represent a struggling republic. In 
a clear, strong, straightforward way Mr. Shearman dis- 
poses of the idea that the mere name of republic 
necessarily carries real democratic freedom. He shows 
in an unmistakable way that the construction of the 
government and the relation of the two raads is really 
to conceal despotism rather than to give representative 
freedom. The second raad was created merely as a pre- 
tence to give representation without giving any power 
to the voters, because all the controlling authority, 
both in law-making and the judiciary, belongs to the 
members of the first raad. He shows that Oom Paul 
is literally a despot, though nominally the president of 
a nominal republic, and that, notwithstanding that 



440 G UNTON'S MA GAZINE [May 

Great Britain is in name a monarchy, it is in reality far 
more democratic and liberal to its own people in its 
entire policy, in its attitude toward civilization, relig- 
ious and political rights, than the Boer mis-named repub- 
lic ever aimed to be. In reality, in the present unfor- 
tunate struggle in South Africa, it is England and not 
the Boers who stand for good government, property 
rights, individual justice, religious equality and political 
freedom. 



IN A RECENT issue of the New York Evening Post 
Mrs. H. M. Plunkett writes of the workings of the 
half-time school system for factory children in Eng- 
land. She gives an intelligent and encouraging ac- 
count of how the system has affected the health, intel- 
ligence and moral character of the English laborers. 
She recounts what every investigation on this subject 
has revealed since the law was adopted in 1 844 ; namely, 
that the children study better and work better under 
the half-time system. It is no disadvantage to the 
capitalists, because they simply employ two children, 
each to work half a day instead of one to work a whole 
day. The very self-interest of the parents, in seeing 
that their children shall not be deprived of the oppor- 
tunities for a half-day's work, prevents any one child 
working more than its regular half time each day. 
Attendance at school being made the condition of per- 
mission to work, the law becomes self-enforcing. 
Parents are eager for children to go to school in order 
that they may work, and thus by self-interest regular 
attendance at school is universally secured. 

This is altogether the best system of child em- 
ployment that has yet been adopted in any country. 
It is a matter of constant surprise that no state in this 
country has adopted the half-time system. This is a 
phase of protection which the American protectionists 



igoo.] EDITORIAL CRUCIBLE 441 

have overlooked. No more important measure could 
be adopted for factory and shop workers to-day than 
the half-time system for all children under sixteen 
years of age. This would carry into the sweatshop, 
the dry-goods store, the factories and workshops 
throughout the country security against overwork and 
the guarantee of education. It would more effectually 
than anything else guarantee that the children of immi- 
grants from Europe and Canada should learn the 
English language and receive at least an elementary 
education in order to be permitted to take advantage of 
our opportunities of employment. A ten hour day and 
half-time factory system would establish an economic, 
educational and political renaissance in the South. 



IN THE Arena for April, under the title " Irish Na- 
tional Reunion," Mr. John E. Redmond, M. P., leader 
of the Parnellite section of the Irish party, writes of the 
future political power and purpose of the Irish party. 
Among other things he says : ' ' To-day Ireland can, 
with union, command eighty-six members, bound to- 
gether by solemn pledges not to take office or emolu- 
ments from the government for themselves or their 
friends, and to remain absolutely independent of all 
British parties, ready to support or destroy any British 
government as the interests of Ireland may demand." 

There is nothing new in this. The Irish members 
of parliament, so long as they could keep from quarrel- 
ing among themselves have always been " bound to- 
gether by solemn pledges to support or 

destroy any British government." 

"At the present moment," Mr. Redmond says, 
"the British government possesses in the House of Com- 
mons a majority of 150 avowedly hostile to Ireland." 
This is written for American consumption. Nothing is 
farther from the truth. There is no avowed hostility 



442 GUNTON'S MAGAZINE [May, 

to Ireland in the British parliament. The only hostil- 
ity that exists is to Irish independence. So far as hos- 
tility to beneficial and liberal legislation for Ireland is 
concerned, the facts are all the other way. In these re- 
spects Ireland is more generously treated than either 
England, Scotland or Wales. Politically she has twenty- 
four per cent, more representation, according to popu- 
lation, than England has. If Ireland were put on the 
same basis of representation as England, which it is 
only equitable that she should be, she would have only 
seventy-nine members of parliament, instead of one 
hundred and three. Her land laws are almost socialis- 
tically favorable to tenants and against landlords. In- 
deed, in no other country has there been any such fa- 
vorable legislation for tenants as in Ireland. In the mat- 
ter of the established church, also, is Ireland the excep- 
tion. England, Scotland and Wales have to support a 
state church, which some day they will get rid of, but 
Ireland was relieved of that incubus in 1868. In her 
land laws, religious laws and political representation she 
is more favored than any other part of the British Em- 
pire. 

WHAT is THE matter with Australia, that it should 
be backsliding from the free-trade doctrine of the 
mother country ? The colonies of Victoria and New 
South Wales have hitherto had independent policies 
on this subject ; Victoria having protection against both 
foreign and colonial products, while New South Wales 
had free trade. Instead of Victoria giving up its pro- 
tection, as was expected, there is a movement on foot 
to extend protection to both colonies under the form of 
a " federal tariff." 

At a recent " Inter-Colonial Protectionist Confer- 
ence " a platform was adopted and plan of propaganda 
outlined. Many of the propositions of the Australian 



i 9 oo.] EDITORIAL CRUCIBLE 443 

protectionists are eminently sound. For instance, their 
platform says: "That the amount of import duty im- 
posed for protective purposes on any article should be 
based on the difference between the cost of production 
of such article in the country of its cheapest production 
and its estimated cost of production in the Australian 
Commonwealth, having particular regard to the differ- 
ence of wages paid, hours worked, and social conditions 
in each case." 

It demands total prohibition of prison-made goods, 
and asks : ' ' That all goods which compete with pro- 
tected productions, or which may be used in substitu- 
tion for protected productions, should be subjected to 
duties sufficient to place them on level terms with such 
protected articles, notwithstanding the fact that they 
may be impossible for Australian production." 

But the Australian protectionists have gone one 
step farther than either the English or American pro- 
tectionists, in that they favor protective legislation for 
labor as well as for capital. Under this head they call 
for factory and shop legislation regulating the hours of 
labor, overtime, and other conditions of the workshops. 
In this country protectionists have limited their advo- 
cacy of protection to the duty on imports, but they have 
been as much opposed to factory legislation, either in 
the interest of shorter hours, no night work for women, 
minimum age or other restrictive conditions for chil- 
dren, as the most ultra free traders. 

It is encouraging to see that Australia is entering 
the field of protection on a broader and more scientific 
plane than that upon which the protective system of the 
United States has hitherto rested. Protection only half 
protects when it puts a duty on imports. It is no less 
important to national development that the opportu- 
nities for social, educational and physical improvement 
be secured to the laborers than that the market be pro- 
tected for manufacturers. 



THE CITY HISTORY CLUB OF NEW YORK 

CHARLES B. TODD 



Of the hundreds of societies in New York city 
educational, benevolent, charitable, reformatory the 
most original and far-reaching in its aims is the City 
History Club, since its object is to make of the boys and 
girls of New York good citizens public-spirited, un- 
selfish, patriotic. 

Almost all the ills that afflict our body politic in 
New York arise from the indifference or selfish love of 
ease of the citizens, and no little of this apathy arises 
from ignorance of the city's noble and romantic history. 
New Yorkers know all about the history of Greece and 
Rome and very little of that of their own city. They 
are not alone to blame. The studies of the public and 
private schools, the curriculum of the city's colleges, 
seem to be arranged largely with that end in view. To 
remedy this lack of knowledge, to develop in boys and 
girls who are to be the citizens of the next generation 
a consciousness of public duty and responsibility, is the 
object of the City History Club, just as the League for 
Political Education aims to instruct and stimulate the 
present generation of citizens. 

How could this object be best obtained? The 
problem was the subject of long and careful study by 
the founders of the club, and at last they fixed upon a 
plan admirable in theory and in practice yielding ex- 
cellent results. The city was divided into five districts, 
each named after some historic personage or place, as 
Stuyvesant District, the Rhinelander, the De Lancey, 
the Washington Square, the Bloomingdale ; and little 
"clubs," or classes of boys and girls, were formed in. 
them, each a complete little unit in itself, although an 

444 



CITY HISTOR Y CL UB 445 

integral part of the parent club. These " clubs" are 
almost wholly educational in purpose, the social side 
which forms so prominent a feature of the university and 
college settlements being held in abeyance. Each 
class is in charge of a teacher, mostly volunteers* 
though a few are paid. The club meets once a week. 
There is a chairman and secretary for each, and the 
proceedings are conducted according to parliamentary 
laws and usages. A lesson is given out for each meet- 
ing on city history or government, sometimes illustrated 
by pictures or lantern slides. Sometimes there is a de- 
bate, or an essay or essays written by a member of the 
class. 

An excellent way of arousing the children's interest, 
it has been found, is to give them pictures of some his- 
toric landmark, or building, or personage connected 
with the city, and ask them to write what they know 
or can find out about it. For this purpose the club has 
acquired a large collection of engravings. 

By far the most popular method of teaching local 
history, however, is by means of excursions to various 
quarters of the city rich in historical landmarks, and a 
study of them at first hand, as it were. On these oc- 
casions the class is led by the teacher, the places to be 
visited are named in advance, and the students are ex- 
pected to inform themselves as to their history and po- 
sition. The society also issues a printed itinerary or 
guide to the places to be visited. 

The first excursion of the club was to the Battery, 
under charge of Miss Florence Bissell, chairman of the 
committee on excursions, and embraced the following 
landmarks or their sites : 

The " Battery," or stone breastwork for years on 
the line of the present State Street. The barracks of 
the British troops in the colony times, on the present 
line of Water Street. Old Fort Amsterdam, that stood 



446 GUNTON'S MAGAZINE [May, 

in the present Battery Park, and after New York was 
captured by the English took the name of the reigning 
king. The equestrian statue of King George III., that 
formerly stood in Bowling Green and was pulled down 
by the American whigs in July, 1776, much of the lead 
in it being molded into bullets for the patriot army, 
Fraunces' tavern, still standing on the corner of Pearl 
and Broad Streets, and where Washington bade final 
farewell to his officers. Site of the Dutch city hall 
or " Stadt Huys," 73 Pearl Street. Office of Bradford's 
printing-press, the first in New York, at 83 Pearl 
Street. Office of the Gazette, the first newspaper 
printed in New York, on the site of the present Cotton 
Exchange, Hanover Square. Wall Street, on the line 
of which ran the ancient palisade, or city wall, built 
in 1653 to defend the then city from the Indians and 
English. Marble statue of William Pitt, that stood on 
the corner of William and Wall Streets ; erected by 
the whigs in honor of Pitt for his defence of the colo- 
nies, and mutilated by the Tories ; now in possession 
of the New York Historical Society. The old English 
city hall, where Washington was inaugurated the first 
president of the United States, on the corner of Nassau 
and Wall Streets. Trinity Church, St. Paul's Church, 
City Hall Park and the City Hall, ending with an as- 
cent to the dome of the World Building for a bird's-eye 
view of the city. 

Excursion number two was to the old houses in 
Greenwich ; number three to the rooms of the New 
York Historical Society and to St. Mark's Church with 
its family vault, built by Stuyvesant himself. 

Number four was a bicycle excursion planned by 
Professor Frank Bergen Kelley, the society's normal 
teacher, through Central Park to McGowan's Pass 
tavern, which stands nearly on the site of the tavern 
where Washington decided to evacuate New York in 



CITY HIS TOR Y CL UB 447 

1 776. Through this pass the British pursued the Ameri- 
can army across northern Central Park, over Harlem 
Plains to Harlem Heights, where and in the plain be- 
low the battle was fought. Number six was an excur- 
sion, led by Mr. Kelley, to Fraunces' tavern, and num- 
ber seven one to New York below Wall Street, by the 
same gentleman. 

The children are vastly interested in the old-time 
places, particularly in those connected with the revo- 
lution. Washington and Hamilton, and Burr, who 
killed Hamilton in a duel, appeal strongly to their 
imaginations. 

The boys say that, on the whole, bicycle excursion 
number four to Harlem was the most fruitful and in- 
teresting of the seven. Dismounting in McGowan's 
Pass, their teacher told them the story connected with 
it how in 1776 the pass formed part of the farm of 
Daniel McGowan, who had joined the patriot army, 
leaving the farm and homestead in charge of his son 
Andrew, a boy of twelve ; and how, on September I5th 
of that year, the Hessians came hurrying up in pursuit 
of Washington's army, which had retreated through 
the pass a few hours before, and commanded Andrew to 
lead them to the American camp. The lad knew that 
the patriot army was within an hour's march, and there- 
fore led the Hessians in a different direction across 
country toward the North River, where they were soon 
lost in swamps and thickets, thus giving Washington 
time to reach Harlem Heights and entrench. 

From the pass the class walked up the hill on the 
right to old Fort Fish, overlooking Harlem Mere, an 
American redoubt in the revolution and also in the 
war of 1812. An old cannon and mortar here interested 
them immensely. Thence they rode up East Drive to 
Seventh Avenue, dismounted and walked up the hill on 
the left to visit an old block-house erected in the war 



448 G UNTON'S MA GAZIN*. [May, 

of 1 8 12. Thence east to Fifth Avenue, and tip that 
thoroughfare to Mount Morris, site of the former In- 
dian village of Muscoota, and whose summit in 1776 
was crowned with American and later with English 
breastworks. Thence up Fifth Avenue to 12 6th street 
and west to St. Nicholas Avenue (formerly Harlem 
Lane), entering the latter near the picturesque " Point 
of Rocks," overlooking the Hudson, where the Amer- 
ican line of entrenchments across Manhattan Island in 
the revolution began. Thence south on St. Nicholas 
Avenue, Manhattan Avenue and the Boulevard, to io6th 
Street, traversing en route the entire battle-ground of 
Harlem Heights. Thence to Grant's Tomb and back 
to Hamilton Grange on Hamilton Place, the seat of 
Alexander Hamilton, built by him in 1802, and where 
he was living when shot by Burr in 1804. The thirteen 
trees planted by him (or his nephew) in honor of the 
thirteen states, nearly opposite the Grange, were viewed 
by the boys with great interest. 

After this the class rode to Trinity Cemetery, on 
1 5 3d Street, and saw in its wall the tablet to Leytch and 
Knowlton, the heroes of the battle of Harlem Heights, 
and then on to the site of Fort Washington, scene of 
one of the sharpest fights of the revolution, to the old 
Jumel mansion, now Earl Court, in 1776 the head- 
quarters of Washington and Knyphausen in turn; 
thence down to Kingsbridge on the Harlem, and 
through Van Cortlandt Park to the manor house, 
whence it returned to the city by rail. 

No building has so strong a hold on the children's 
affections as the City Hall. By express orders of his 
honor the mayor they are accorded the freedom of the 
building and the employes exert themselves to impart 
information. Every class insists on seeing the mayor, 
and his honor always accords them an interview. One 



1900.] CITY HISTOR Y CL UB 449 

little girl of twelve raised a laugh at the expense of the 
city's chief official. 

Seeing a disappointed look on her face the mayor 
kindly said : " What is it my little girl? " 

"Why sir/' said she, "I thought you would be 
bigger man." 

Wishing to see for himself a class in session, the wri- 
ter betook himself to the East Side on a windy evening 
in March. Turning into Tenth Street from Second Ave- 
nue a walk of two blocks brought him to the corner of 
Tenth Street and Avenue A, where St. Mark's Club 
holds its meetings. Our directions were explicit, the 
room was over a laundry one flight up a corner room 
with its windows looking out diagonally on Tomp- 
kins Square. A boy whom we accosted on the stair- 
way said he was on the way thither and would lead 
us to the room. It was scantily furnished with three 
plain tables, and a dozen or more of wooden chairs and 
stools. Eleven boys from ten to twelve years old were 
already assembled with their teacher, a young senior of 
New York University . 

The lesson was on the adoption of the federal con- 
stitution and election of the first president in 1789, but 
was subordinated, as the teacher explained, to the busi- 
ness meeting which was one of more than usual im- 
portance. There was to be a speaking contest for a 
prize the next week in connection with the annual exhi- 
bition of the Boys' Club of St. Mark's Place. Seventeen 
boys of the City History Club had been chosen to com- 
pete for it, and the arrangements must be made at this 
meeting. After this had been done the lesson of the 
evening was taken up. 

The visitor could but be pleased with the ready an- 
swers of the boys to the questions and their evident in- 
terest in the subject. 

The City History Club has a few paid teachers but 



450 G UNTON'S MA GAZINE 

depends largely on volunteers. It has grown from 
thirty-five to ninety classes and from seven hundred to 
two thousand student members, since 1897. Its great 
want at present is teachers and lecturers to take charge 
of the classes ready to be formed as soon as the neces- 
sary teachers can be found. The work is practical, 
helpful and interesting to the teacher and one for which 
our young men and women of leisure can easily qualify 
themselves. The field is white for the harvest but the 
laborers are few. 

A pleasant feature of the club is its affiliation with 
other clubs and societies of similar objects. Its rela- 
tions with the League for Political Education are as 
close as those of mother and daughter. 

4 ' Each society is complementary to the other. The 
City History Club develops in boys and girls, the citi- 
zens of the next generation, a consciousness of public 
duty and responsibility. The League for Political Ed- 
ucation instructs and stimulates the present generation 
of citizens. One is the primary school of civics ; the 
other the high school." 

The club has many classes in the university and 
college settlements, several in the public schools, but 
does a greater work in that field by supplying public 
school teachers with material and data for teaching city 
history. It also has a class in the Boys' Club as before 
remarked, but it has in the main done pioneer work, 
establishing its classes in neighborhoods where there 
are no institutions with similar objects. 

The eagerness and enthusiasm with which the boys 
of even the worst neighborhoods have taken up the 
study of citizenship and patriotism is a surprise and a 
pleasure to the founders, and well repays them for their 
labors and anxieties. Lads of from twelve to fourteen 
by their questions, answers, and essays show themselves 
well able to assimilate what is taught them. 






CIVIC AND EDUCATIONAL NOTES 



Governor Roosevelt's emergency mes- 
Tenement House sage on the tenement house question, 
Commission sent to t ^ e legislature on April 2d, had 

the desired effect. The measure appropriating $10,000 
for a commission to investigate New York and Buffalo 
tenement conditions and recommend legislation is a 
useful first step, because conditions have changed since 
the famous tenement house commission of 1894 went 
into the subject, and moreover we now have a govern- 
or who earnestly believes in handling this menace to 
healthful and progressive city life without gloves. No 
half-way measures will do any good. There must be 
rigid insistence on proper sanitary and air-space re- 
quirements, and radical powers given to some efficient 
authority to condemn bad tenements . If we can have 
another term of Governor Roosevelt something can be 
done for better tenements that is worth doing. 



American The future of Cuba is confessedly one of 

Training for our gravest problems. The task of free- 
Cuban Teachers j n g her f rom Spain has been followed by 
the more perplexing work of making her fit to be the 
independent and self-governing nation we have 
pledged ourselves to establish. No one scheme of re- 
form, no matter how commendable, will accomplish all 
that is necessary, because every phase of life in the 
island, industrial, political, social and educational, 
must be reached and regenerated. A plan recently 
proposed would, if carried out, do much toward solving 
the educational problem. President Eliot of Harvard 
University has offered to provide, free of charge, for 
the instruction of one thousand Cuban teachers at the 
Harvard summer school for teachers. It is further pro- 

451 



452 GUNTON'S MAGAZINE [May, 

posed to give the teachers a trip across the continent 
for the purpose of visiting our principal cities, colleges 
and universities. The advantages to be gained from 
bringing Cuban children under the influence of Ameri- 
can methods o* teaching, American ideas and customs, 
cannot be overestimated. It will begin the work of 
civilization where, on the individual's side, it must be- 
gin, to be truly effective, with the young. If en- 
larged and carried on year by year the coming genera- 
tion will have made great strides toward civilization. 

The Cuban teachers fully appreciate the advantages 
of such a plan, and it is unfortunate that the number 
must be limited to one thousand. It is believed over 
two thousand applications will be made. 



Good New Orleans is the metropolis of the 

for New South ; but in many respects, alas, it has 

Orleans! been until lately one of our most back- 

ward cities. There has been little about it, either in 
physical characteristics or civic spirit, to label it as an 
American city. Public effort has mostly been applied 
to keeping the Mississippi from turning the town into a 
modern Venice with the principal streets as canals ; 
and, indeed, some approximation to this has been a regu- 
lar feature all the time, in the shape of wide surface 
gutters along the curbs carrying the city's sewage. 

But New Orleans has not been insensible to the 
new spirit of civic improvement that has been sweeping 
across the land within the last few years. A number of 
fine new public buildings have been erected recently, 
and in some of the leading streets at least the disgust- 
ing surface drainage has been abolished and the sewers 
put underground. Last year the city arose to a crown- 
ing act worthy of sincere congratulation and wide 
recognition. It is not an enormously wealthy city, yet 
it voted to borrow from $14,000,000 to $16,000,000 for 



1900.] CIVIC AND EDUCATIONAL NOTES 453 

a complete system of waterworks and drainage, and at 
the same time agreed to a special tax of two mills on 
the dollar for the next forty-three years, and the diver- 
sion of certain other revenues, to provide for the interest 
on this loan. An expenditure of $16,000,000, based on 
a total assessed valuation of only $140,000,000, is a 
good deal more of an undertaking than New York's 
$36,000,000 for rapid transit, on an assessed valuation 
of three and one-half billions ; about one to nine in the 
one case, and one to ninety-seven in the other. It is a 
rather heroic task for New Orleans. May the results 
amply justify it. 



A Suggestion New York University has been given a 

About the 
Hall of Fame 



About the large gum of money for a Hall of F ame , 



in which the names of one hundred and 
fifty " Great Americans " will be recorded. The first 
fifty names will be inscribed the present year, and 
every five years hereafter five more names will be 
added, which will conclude the list in the year 2000. 
The names must be those of men and women born in 
this country and who have been dead at least ten years. 
Before any name is inscribed it will be submitted to 
about one hundred professors or writers of American 
history and must be approved by the senate of the 
university. 

It is hard to imagine a proposition that would cause 
more radical divergences of opinion in the process of 
carrying it out than will this one. A few names all 
will agree upon, but the standard of excellence varies 
so widely, according to the viewpoint selected, that no 
list can be finally agreed upon without more or less 
arbitrary action. The provision that only the names 
of native-born Americans may appear will exclude 
many of our distinguished patriots and scholars, to say 
nothing of the early colonial governors and pioneers ; 



454 G UNTON'S MA GAZINE 






but if it is to be strictly an American list this seems 
inevitable. The other provision, that they must have 
been dead ten years, is a wise one. It will put those 
whom it is desired to honor far enough into the past to 
soften acute personal feeling and give opportunity to 
distinguish between ephemeral reputation and real 
fame. 

Instead of reserving so large a part of this memo- 
rial for names that will only become famous during the 
twentieth century, to the exclusion of many brave and 
noble men and women who shared in the constructive 
upbuilding of the republic, would it not be far better to 
inscribe the whole one hundred and fifty names now, 
or perhaps set the closing date forward about ten years 
from now, in order to include such names as Lowell, 
Holmes, Whittier, Elaine and others ? This would 
make it a monument to the first century of our national 
life, and future generations could provide suitable 
honors for their own good and great. The Hall of 
Fame cannot serve as a perpetual tablet for all great 
Americans, past and to come ; why, then, extend it 
arbitrarily to the year 2000, instead of letting it help 
perpetuate the memory of those we have produced thus 
far? 

Surely the marvelous era of history made and lived 
and fought out and wrought out here in this free and 
mighty new empire of the West, from colonial times 
down to 1900, has produced at least one hundred and 
fifty names worthy of lasting honor and remembrance, 
certain to be accorded by all Americans who shall 
ever feel a throb of gratitude for the civilization and 
freedom they enjoy. 



THE OPEN FORUM 

This department belongs to our readers, and offers them full oppor- 
tunity to "talk back" to the editor, give information, discuss topics or 
ask questions on subjects within the field covered by GUNTON'S MAGA- 
ZINE. All communications, whether letters for publication or inquiries 
for the " Question Box," must be accompanied by the full name and ad- 
dress of the writer. This is not required for publication, if the writer 
objects, but as evidence of good faith. Anonymous correspondents are 
ignored. 



LETTERS FROM CORRESPONDENTS 

Dr. Henderson's Proposed Curriculum 

Editor GUNTON'S MAGAZINE, 

Dear Sir: I have read the article on " For Char- 
acter, Not Cleverness " in your March number with in- 
terest, and I quite agree with its human spirit. I can- 
not feel, however, that the curriculum quoted from my 
kindergarten address is too radical. As my teaching 
progresses, I feel increasingly that the early years of 
childhood, up to the i5th year, should be devoted to 
the moral, artistic, organic side of life, and that the 
formal, analytic work should be left to the high school 
and the college. 

C. HANFORD HENDERSON, 
Pratt Institute, Brooklyn, N. Y. 



Uniform Assessment for Taxation 

Editor GUNTON'S MAGAZINE, 

Dear Sir: In reference to your editorial on taxa- 
tion in the March magazine, would it not be a better 
system to have real estate taxed upon its regular market 
valuation, regardless of mortgage, and that such tax 
should be levied only once both for state and local pur- 
pose? The state should do all the appraising and col- 

455 



456 GUNTOWS MAGAZINE [May, 

lecting, and then pay to each locality whether city or 
county a certain fixed amount sufficiently large to cover 
its annual expenditures, according to a budget prepared 
in advance. 

An exception could perhaps be made with large 
cities, where the local authorities should collect the taxes 
and pay to the state a fixed percentage of the total 
amount collected. 

As to who should pay the taxes, I think that the 
present legal owner should pay it, whether he owes 
anything on the property or not. It is the owner of the 
property, and not the man who loaned him money on 
it, who will eventually get all the profit that may come 
out of the investment. The interest the owner pays on 
money loaned to him is a part of the expense attend- 
ant on the management of the property, and will cease 
as soon as the debt is paid. It is the amount left in his 
hands after all expenses have been paid that is real 
profit, and it is a part of that profit that the government 
may in justice expect from every good citizen. 

The taxation of capital may be just in the abstract, 
but is not practicable, since the owners of capital could 
always shift the tax upon those who needed their capi- 
tal. And since in either case it is the borrower, as well 
as the consumer, who ultimately must pay the tax, it is 
best for the government to acknowledge the principle 
and arrange its system of taxation in accordance with it. 

PHILIP ROSENTHAL, 

New York City. 



A Southern " Community Mill " Plan 

Editor GUNTON'S MAGAZINE, 

Dear Sir: Having noticed some mention of your 
President Gunton's speech in New York upon the sub- 
ject of better wages for laborers in southern cotton 






LETTERS FROM CORRESPONDENTS 457 

mills, I take the liberty of writing to you. Nearly a 
year ago I became wrought up by the extreme pauper- 
ism of such laborers, who are becoming so numerous 
among us, because our population was driven from the 
farm by 5 cent cotton. The drift of pauperized white 
labor away from the cotton fields to mills offering 
bread for wages is so great that ordinary care for help- 
less humanity has become a serious problem to our 
towns and cities. It is a common thing for alms to be 
solicited on our streets, for the purpose of burying the 
dead of the toilers at the wheel. Many of these youth- 
ful laborers are so driven by necessity that they are 
deprived of all education, not to mention the natural 
pleasures of childhood. Toiling twelve or fourteen 
hours per day, "to feed mamma and little sister," 
these heroes in rags are deprived of the intellectual 
crumbs of charity that are provided for them by our 
public schools. Without magnifying this condition of 
actual distress, it must be admitted as a fact of general 
observation. Even our merchants have learned by ex- 
perience that mill hands, at present wages, add but lit- 
tle to any profitable trade or to general prosperity. 
For commerce is not profitable when the purchaser is 
unable to pay for the necessities of life. Therefore, 
merchants and others are beginning to reflect as to 
whether a community mill, run to maintain higher 
wages, would not benefit all classes of society. 

Hence I have applied for and procured a charter 
for a "Community Mill" here, solely for the purpose, 
as provided in the charter, of maintaining a higher 
scale of wages and promoting the social and intellectu- 
al condition of such laborers. The charter provides 
for a capital stock of $100,000, one-tenth of which is 
called primary stock and is the only stock that can be 
voted in the management of the enterprise ; that this 
stock itself shall never receive more than three per 



458 G UNTON'S MA GAZINE 

cent, dividend, and the $90,000 of other stock shall 
never receive any dividend, but the entire profit of the 
mill is to be devoted to the purposes stated. 

Of course I had little hope of procuring the neces- 
sary funds to start the mill upon these unselfish condi- 
tions, but two methods of doing so occurred to me, 
neither of which has been attempted. One was to pro- 
cure subscriptions for the $90,000 of stock in many 
small contributions from laboring people. The other 
was to procure similar aid from northern manufactur- 
ers, who, I felt confident, would be forced to protect 
themselves from this pauper labor. It is possible for 
the better class to extend such aid to the community 
mill, without actual donation, such as might be in- 
ferred from the fact that the bulk of the stock draws no 
dividend. 

If I can control the primary stock of $10,000, and 
I think I can do so, I would be willing to devote the 
balance of my life, being now 50 years old, to accom- 
plish the purpose of this charter to maintain higher 
wages, etc. You can readily see that the owner of the 
primary stock might, where no dividend is to be paid, 
pay himself sufficient wages to repay any aid he might 
receive to pay for the $90,000 of stock. To enable me 
to procure such aid and repay the same was the sole 
purpose of leaving this opportunity in the charter. As 
the cotton' mill business is so universally profitable in 
the South, such credit arrangement with those equally 
interested in forcing better wages here ceases to be 
mere donations. Nothing seems more likely to con- 
strain mills here to increase wages than the establish- 
ment of such community mills, which would not only 
become an example but would be rallying points for 
the oppressed. WM. S. WHITAKER, 

Barnesville, Ga. 



QUESTION BOX 



Land Taxation in New Zealand 

Editor % GuNTON's MAGAZINE, 

Dear Sir : In conversing with an occasional cham- 
pion of " single tax," New Zealand is cited as a country 
where the experiment is in successful operation. I have 
searched for some writings on New Zealand to learn the 
entire history of the experiment but found nothing of 
much value. Perhaps the land problem in New Zea- 
land might furnish you a theme for some future lecture. 

Thanking you in advance for any reference you may 
give me, and with a high appreciation of the good work 
you are doing, 

R. WILLIAMS, Streator, 111. 

Those who affirm that the " single tax " is enforced 
in New Zealand are mistaken, unless it has gone into 
force within the last year. It is true that taxes are con- 
centrated on land in a greater degree in New Zealand 
than in any other place I know of, but when you speak 
of the " single tax " you speak of it as advocated by the 
followers of Henry George. With them the single tax 
means that the revenues of the community shall not 
only all be drawn from land but that the tax on land 
shall be equal to and take the whole of the economic 
rent therefrom. 

In New Zealand neither of these things is done. 
All revenue is not raised from land. They have an in- 
come tax wholly independent of land, and their land tax 
is not equal to the entire land value but is a graduated 
tax on the value of the land. For instance, where the 
value of a piece of land is five thousand pounds, or less 
than ten, the tax is one-eighth of an English penny, or 

a quarter of a cent on the pound (five dollars), and the 

459 



460 GUNTON'S MAGAZINE [May, 

rate increases as the value rises. Where the value is 
two hundred and ten thousand pounds or more, the tax 
is twopence, or four cents on the pound. But even at 
the highest rate it will be seen that this is only an in- 
finitesimal fraction of the land values. 

You will find the best account of this that I know 
of in the Consular Report for January, 1 897, where full 
particulars of the graduated land tax will be found on 
page 29. You can get the report by applying for it 
through your congressman. 



How the " Wars of the Roses " Began 

Editor GUNTON'S MAGAZINE, 

Dear Sir : Your account of the Wars of the Roses, 
in answer to a question in your April magazine, leaves 
little to be desired on the score of conciseness and clev- 
erness, but you do not state what was the cause of the 
quarrel between Henry VI. and the Duke of York, in 
1455, out of which the war arose. 

M. P., Philadelphia, Pa. 

As already explained* Edward III. had seven sons; 
the eldest, Edward Prince of Wales (the " Black 
Prince ") died in 1376, leaving an only son. At the 
death of Edward III. in 1377 this boy was crowned as 
Richard II. Richard being childless the eldest male 
line became extinct, hence the heirship to the throne 
fell to the descendants of the sons of Edward III. in 
the order of their age priority. The eldest son was 
dead, the second son had died without heirs ; Lionel, 
Duke of Clarence (third son), John of Gaunt, Duke of 
Lancaster (fourth son), and Edmund Langley, Duke of 
York (fifth son), were still represented by legitimate 
heirs. Of course, the crown would rightfully go to the 
descendents of Lionel (third son), being the oldest rep- 
resentative of Edward III. Lionel, whose daughter 

* GUNTON'S MAGAZINE for April, pp. 372-373. 






1 9 oo. ] Q UESTION BOX 461 

Philippa married Edmund Mortimer, had two grand- 
children, Roger and Anne Mortimer. Roger was dead, 
but left a son, Edmund Mortimer, Earl of March. 
Anne Mortimer had married Richard, Earl of Cam- 
bridge, the eldest son and heir of Edmund Langley, 
Duke of York (fifth son). It will be remembered that 
Henry IV., who usurped the throne from Richard II., 
was the son of John of Gaunt, Duke of Lancaster 
(fourth son) ; but Edmund Mortimer, the great grand- 
son of Lionel, clearly had the prior claim. In order 
to make things safe, Henry IV. had Edmund Mortimer 
arrested and thrown into jail, and he finally died 
without heirs. The only remaining representative of 
Lionel was Anne Mortimer, who had married the 
Earl of Cambridge. By this marriage the claims of the 
third son (Lionel) and the fifth son (Edmund Langley) 
were united. The descendants of this marriage clearly 
had the superior claim to the throne over Henry VI., 
who represented only the fourth son. 

Richard, Duke of York, son of Anne Mortimer, at- 
tempted to enforce his claim to the crown, but was cap- 
tured and executed, leaving the duty to maintain the 
York claim to his son of the same name. This claim 
was the stronger by the fact that Henry VI. had no 
heirs, but finally a son was born to the king, destroying 
the Duke of York's hope of peacefully obtaining the 
crown. In 1453, however, the king became demented 
and the Duke of York claimed the right of protectorate 
during the king's illness, which was granted by parlia- 
ment; but in 1455 the king recovered his senses and 
deprived the Duke of York of his position, whereupon 
he took up arms against the king to enforce his own 
claim to the throne. On May 22d, 1455, the two armies 
fought the battle of St. Albans ; thus began the Wars 
of Roses. 






BOOK REVIEWS 

THE HISTORY OF AMERICAN COINAGE. By David 
K.Watson. 1899. Cloth, 278 pp. $1.50. G.P. Putnam's 
Sons, New York and London. 

There are very few subjects of national significance 
upon which the American people say so much and 
know so little as that of the monetary standard. The 
idea that the present low value of silver, and the estab- 
lishment of the gold standard finally consummated in 
the recent act of congress, are simply results of vicious 
conspiracy, persistent influence of the money and bank- 
ing fraternity, is accepted in a more or less definite de- 
gree by millions of American citizens. 

The fact that in the first establishment of the mint 
congress enacted that 371^ grains of pure silver, with 
some alldy, should constitute the standard dollar, and 
that this has continued unchanged ever since, so far as 
the pure silver is concerned, is assumed to have some 
kind of an occult significance in connection with the 
monetary standard. 

The reason why congress established the monetary 
ratio between gold and silver at 1 5 to i in 1 792 , and 
changed it to 16 to i in 1834, and the reason why Jef- 
ferson suspended the coinage of silver dollars in 1806 
seems to be very little known, although the subject for 
several years has been almost interminably discussed in 
the newspapers, in the clubs and on the street corners. 
Books and pamphlets innumerable have been published 
during the last eight years, loaded down with statistical 
tables, and yet the obvious historic facts that every- 
where stand out in the history of our monetary system, 
as explaining the course of congress on the subject, are 
practically omitted. 

In the present volume, which is admirably printed 

462 



BOOK RE VIE WS 463 

in large, clear type and on good paper so as to make it 
attractive reading, Mr. Watson has given a concise, 
consecutive history of the subject, which really leaves 
little to be desired. It is orderly in arrangement, dig- 
nified in tone, clear, direct and concise in expression, 
and conclusive in its cumulative data upon the subject. 
There is none of the tone of the special pleader, and yet 
in the presentation of the facts that led up to and the 
reasons given for the different changes as they came 
along, the real cause for each step becomes obvious to 
the reader, unless he persistently refuses to see. 

The reason the ratio between the two metals was 
originally fixed at 1 5 to i is brought out by the reports of 
Morris, Jefferson and Hamilton, on their respective in- 
vestigations of the subject. That this was an overvalua- 
tion of silver soon became very clear, and consequently 
practically no gold found its way to the mint, it being 
more profitable to sell it as bullion in the open market 
for other purposes. 

For this reason France in 1803 changed her ratio 
from 1 6 to i to 15 j to i. Everybody then believed in 
the double standard. It is true Hamilton had a leaning 
to the single gold standard, but preferred if possible to 
maintain the double standard. But, by the disparity 
of the bullion value in the two metals, they refused to 
work in double harness and keep together. One was 
constantly balking while the other was leading, all of 
which is unobtrusively but very clearly brought out by 
Mr. Watson. 

At frequent intervals this subject forced itself upon 
congress, with the view of making the disorderly team 
keep evenly together. To this end, in 1834, the mint- 
ing act was revised, and in order to secure a working 
basis by which the two metals should be of the same 
bullion or market value, and hence keep together, the 
gold dollar was reduced from 24.75 grains (fine) to 23.2 



464 GUNTON'S MAGAZINE [May, 

grains, or about six per cent. This was due to the 
double fact that in the original law of 1792 silver was 
slightly overvalued, and that during the forty years it 
had further declined in value. This reduction in the 
weight of the gold dollar changed the ratio from 1 5 to 
i to about 1 6 to i, or, to be technically correct, 
16.002155 to i. The market price of silver in London 
was then $1.313 per ounce, which is 15.73 to i. Thus 
the ratio was swung to the other side of the line, and, 
in about the same extent that in 1792 silver was over- 
valued by the mint act, it was now undervalued. That 
is to say, the 371^ grains of fine silver which as be- 
fore constituted the silver dollar was worth in the 
market about three per cent, more than the 23.2 grains 
of gold in the new gold dollar. Consequently, for 
identically the same reasons that no gold would come 
to the mint after the act of 1792, no silver would come 
to the mint after the act of 1834, and, as during this 
whole time the Spanish silver dollar was legal tender 
in the United States (made so by the act of 1793), no 
silver dollars had been coined since 1806. The silver 
coinage was only for fractional currency. 

But now a new difficulty arose. The undervalua- 
tion of silver for coining, to the amount of from two to 
three per cent., not only destroyed any incentive for 
taking silver to the mint to be coined into dollars at 16 
to i, but it created an incentive of nearly three per 
cent, for taking the small currency that the government 
was constantly coining on its own account and export- 
ing it or melting it down into bullion. The result was 
that the currency disappeared from circulation just as 
fast as the mint turned it out. No matter how much 
fractional currency the government furnished, there 
was almost none in circulation. 

In 1837 another attempt to adjust the currency was 
undertaken. This time it was by altering the amount 



i 9 oo.] BOOK RE VIE WS 465 

of alloy in the coins. Since 1834 gold coins had been 
made .899225 pure metal and .100775 alloy, while sil- 
ver coins were .8924 pure metal and .1076 alloy. To 
simplify the matter, the proportion was changed to 
nine parts of pure metal to one of alloy in both the sil- 
ver and the gold coins. At the same time the total 
weight of the silver dollar was reduced from 416 grains 
to 412 1-2 grains, so that the amount of pure silver re- 
mained the same ; but the weight of the gold coin was 
not changed, and so the reduction in the amount o 
alloy slightly increased the amount of gold, thus chang 
ing the pure gold in the dollar from 23.2 to 23.22 
grains. This, it will be seen, again slightly changed 
the ratio, from 16.002155 to one to 15.988 to one, thus 
making the ratio slightly higher than 16 to one, where- 
as before it was slightly lower than 16 to one. 

But silver was still undervalued. That is to say, 
37 1^ grains of pure silver was still worth more in the 
market as bullion than 23.22 grains of pure gold, and so 
no silver went to the mint and the fractional currency 
which came from the mint continued to be melted and 
exported. 

In 1853 congress was again compelled to try to 
remedy this. Up to this time the fractional currency 
was in exact divisions of the dollar. The pure silver 
in two halves, four quarters or ten dimes was exactly 
371 j grains. In order to prevent this fractional cur- 
rency from going out of circulation, the act of 1853 re- 
duced the amount of silver in these coins by seven per 
cent. , limited their legal tender to five dollars, and pro- 
hibited the coinage thereof except at the government's 
discretion, which was the first refusal of free coinage 
ever enacted. This sufficiently overvalued the silver in 
the small coins to make any melting of them a loss. After 
the act of 1853, to melt any of the small coins into bul- 
lion would yield only about 95 cents on the dollar, 




466 GUNTON'S MAGAZINE [May, 

which effectually stopped all melting and exportation 
of small coins, and secured their constant circulation. 

It will be seen that all this change in the coinage 
laws was a constant effort of congress to keep the 
double standard by adjusting the amount of pure metal 
in the coins to the market value, so as to have them of 
equivalent bullion value and thus destroy any incentive 
for either one or the other being taken out of circula- 
tion. So far from all this being an effort to regulate 
the economic value by coinage laws, it was a constant 
effort to adjust the coinage laws to the economic value, 
over which neither congress nor all the governments 
of the earth could exercise any successful control. 

The next act, and the one which has given the 
subject so much notoriety, was the act of 1873. This 
was another revision of the minting law, and was not 
brought about by any attempt to deal with the value of 
silver, for nobody now had any interest in silver. It 
was still at a premium, and fractional currency circu- 
lated perfectly, as it was limited in legal tender, and 
coined only by the government at a valuation greater 
than the bullion in it. As to the silver dollar, nobody 
gave it a thought. It was worth more in the market 
than in the mint, and had been all the time since 1834, 
and hence nobody had any interest whatever in men- 
tioning it in all the discussion that took place. The 
discussion of the change made in the act of 1873 began 
in 1870, and in all there are several hundred pages of 
the Congressional Globe which are filled with the speeches 
on this subject, and not one relates in any way to the 
fate or opportunities of the silver dollar. It had not a 
friend in court, and for the simple reason that nobody 
had any use for it for coining purposes, it being worth 
more elsewhere. Consequently it was not mentioned 
in the act, dropped entirely. The gold dollar had 
been the standard ever since 1834. No other dollar 



igoo.] BOOK REVIEWS 467 

had been coined. No other dollar had been acted upon 
as the money of account. It was taken for granted that 
no other dollar was needed, just the same as in the act 
of 1853. 

The act of 1873 provided that the weight of sub- 
sidiary coins should be in grammes instead of grains. 
The only reason for this, as explained by Senator Sher- 
man at the time, was to make them the exact equivalent 
of the French coins and the coins of the associated nations 
of Europe (the Latin Union), the proposed dollar being 
the precise equivalent of the five franc piece. There being 
no standard silver dollar either mentioned or required, 
the trade dollar was authorized. This was a dollar con- 
taining 420 grains, coined especially for California and 
the Pacific states in their trade with China. The num- 
ber of grains was stamped on the dollar. Nobody ob- 
jected to this, because nobody needed a silver dollar 
except the people of the Pacific, who were dealing with 
Asiatics. No objection was raised to this, and even as 
late as 1874 Senator Stewart of Nevada, in a speech in 
congress, said : "I want the standard gold, and no paper 
money not redeemable in gold." In a speech nine days 
later, he repeated the same sentiment thus : ' ' By this 
process we shall come to a specie basis, and when the 
laboring man receives a dollar it will have the purchas- 
ing power of a dollar . . . Gold is the universal 
standard of the world. Everybody knows what a dol- 
lar in gold is worth." 

All this, which is brought out with remarkable 
clearness by Mr. Watson, shows beyond the possibility 
of doubt to the open-minded student that the act of 
1873, which only followed the rule of the act of 1853 
and dropped the silver dollar from the list of coins, 
was the result of the practically continuous effort of 
congress to adjust our monetary standard to the bullion 
value of the metal of which it was made, and that there 




4S8 GUNTOWS MAGAZINE [May, 

was no thought on the part of anybody to demonetize 
either the one or the other. It was not until the value 
of silver subsequently fell much below the coin- 
age value, so that it would afford a great profit to the 
bullion owners to have it coined at a ratio of 16 to one, 
that any interest in the free coinage of silver was heard 
of. It was the fact that the value of silver declined so 
rapidly after 1874, from purely economic reasons, as 
the improvement in the methods of production, refin- 
ing and transportation, and the discovery of more pro- 
lific mines, that caused the movement for free coinage 
again to assert itself, and led to the law of 1878, which 
enacted that not less than two million nor more than 
four million dollars a month of standard dollars should 
be coined. Under this act (1878 1891) 378,166,793 
silver dollars were coined, many times more than the 
entire amount of standard dollars that were coined in 
all our previous history under free coinage, 

In 1890, as silver continued to decline in value, the 
demand for more coinage and for free coinage in- 
creased, because the profits of coinage were larger, and 
in 1890 the famous Sherman act was adopted, which 
authorized the purchase of four and one-half million 
ounces of silver a month. This was estimated to be 
the entire American output, and it was to be paid for 
in treasury notes. The silver dollars, certificates and 
treasury notes issued under these two acts amounted to 
$570,166,793. 

The continued decline in the value of silver, despite 
this, and the constant increase of government paper 
money, threatened the stability of our currency and 
made it absolutely necessary in the interest of financial 
stability and business safety to repeal the Sherman law, 
which both republicans and democrats, in fact every- 
body except extreme silverites, agreed to. All of which 
came about as the economic and financial evolution be- 



1 900. ] BOOK RE VIE WS 469 

yond the power of any one government or combina- 
tion of all governments to prevent; in evidence of 
which, all the leading countries of Europe, including 
France, the banner free silver country of the world, 
have been compelled to do likewise, and in 1897 even 
Asiatic Japan, by virtue of having become a commercial 
nation, was compelled also to adopt the gold standard 
and refuse longer the free coinage of silver. 

There are many respects in which Mr. Watson's 
little book is the best that has been published on the 
subject. It is not loaded up with tables of production 
of gold and silver ; it is not an encyclopedia of the facts 
of the world's production of the precious metals, but it 
is a concise, orderly, coherent, clear, intelligible state- 
ment of the history of coinage in the United States. 



A DIVIDEND TO LABOR. A STUDY OF EMPLOYERS' 
WELFARE INSTITUTIONS. By Nicholas Paine Gilman. 
Cloth, 400 pp., $1.50. Houghton, Mifflin & Company, 
Boston and New York. 

Some years ago Professor Gilman published a vol- 
ume on " Profit- Sharing Between Employer and Em- 
ployee." It was intended to be a study of the evolu- 
tion of the wages system, pointing the way toward the 
voluntary introduction of cooperative methods in pro- 
ductive industry. It dealt with the theory and eco- 
nomic aspects of the subject as they presented them- 
selves to Professor Gilman, and cited numerous 
experiments both in Europe and America in support of 
what the author considered to be the drift of economic 
evolution. 

The present volume may be said to continue the 
discussion and data presented in the earlier work. " A 
Dividend to Labor " is intended primarily to give the 
results of a wide range of experiments in cooperation 



470 GUNTON'S MAGAZINE [May, 

and profit-sharing, bringing the data down to the im- 
mediate present. 

Professor Oilman separates his group of profit- 
sharing enterprises into two classes, those which grant 
an indirect dividend to labor, and those which make a 
direct dividend. Under the head of indirect dividend 
he cites a numerous group of "welfare institutions" 
and "patronal institutions" in Germany, France, Hol- 
land and Belgium ; also the voluntary institutions for 
providing insurance and various forms of relief and 
extra compensation adopted by employers in England 
and the United States. As illustrations of concerns 
which have adopted the plan of a direct dividend to 
labor, based usually on the proportion of profits to the 
wage roll in each given year, he cites one French insti- 
tution, the Maison Bailie- Lemaire, and in this country 
three, the Bourne Mills of Fall River, the Proctor and 
Gamble Co. of Ivorydale, Ohio, and the N. O. Nelson 
Company of Leclaire, Illinois, and in England one, the 
South Metropolitan Gas Company of London. 

The criticism that it is almost invariably necessary 
to make on books discussing profit-sharing is that the 
author fails to appreciate its limitations. Generally the 
advocate of profit-sharing works up to the point of pre- 
senting it as something which will remedy all the diffi- 
culties and solve all the problems in the relations be- 
tween capital and labor. Unquestionably there are 
phases of cooperative effort and of welfare institutions 
that can be made a permanent part of our industrial 
system because of their advantage to both employers 
and workingmen. But when such features reach the 
point of taking the place of a definite portion of the 
regular income of labor, upon which the laborer is de- 
pendent, they pass into a very uncertain and doubtful 
field. They depend upon either the good- will of the 
employer or his disposition to regard the scheme as 



igoo.] BOOK REVIEWS 471 

profitable to himself, while another employer might 
reasonably differ on the same proposition. Such being 
the case, these semi-gratuities are liable to be sus- 
pended or abandoned with every change of manage- 
ment, and this means for the laborer to surrender a 
part of what has become his customary and necessary 
income. 

If, for example, the introduction of semi-benevo- 
lent and profit-sharing features has been allowed to 
check or become the substitute for what otherwise 
would have been normal wage increases, then the 
laborer has simply exchanged a portion of his definite 
income for another kind of income dependent on con- 
ditions that are extreme^ unreliable and subject to all 
the variations in the employer's profits, to say nothing 
of his temper and conscience. 

The financial importance of profit-sharing to 
laborers is ordinarily much exaggerated. It is taken 
for granted that all such forms of extra income mean an 
absolute gain which would not have been received by 
the laborers in any other way. As a matter of fact it 
is very often the case that wages in these establish- 
ments, plus the average dividend allowances received 
by the workers during normal business conditions, 
amount to no more than what their wages would come 
to if they were entirely independent of any semi-be- 
nevolent relation with the company but were well or- 
ganized in trade unions enjoying the friendly recogni- 
tion of the company. If so, it is definitely better that 
the income should be in the form of higher wages than 
divided between wages and several forms of profit- 
sharing or welfare institutions. Wages are a definite and 
reliable source of income, determined by economic 
laws operating throughout the community, and, having 
once been established on a given plane, the presumption 
is always in favor of the laborers as against any effort 



472 GUNTON'S MAGAZINE [May, 

to reduce them. The public looks upon wages as 
something to which labor has a distinct ethical as well 
as economic right ; hence both the morarforces of the 
community and competitive economic laws fight in be- 
half of the laborer against arbitrary efforts to lower the 
wage rate. 

Such is not the case with patronal institutions and 
voluntary dividends granted by a corporation to its 
men. These are recognized and looked upon as evi- 
dences of the liberality of employers, and if ever they 
are abandoned it is considered a matter entirely for the 
employer to decide, something to which the laborers 
have no particular right. The laborers are in the po- 
sition of receiving a semi-charitable grant, based on the 
philanthropic spirit of his employer. To such a grant 
they are never considered to hold any particular eth- 
ical and of course no economic right. Any workingman 
who has been enjoying two or three kinds of extra in- 
come, based on the voluntary good-will of the employer, 
and suddenly loses them by some change of manage- 
ment or bad times, might well wish that his total in- 
come had been a little less, perhaps, if it all could have 
reached him through some definitely established eco- 
nomic channel, not subject to arbitrary suspension, but 
of a kind to which he could assert an economic right 
and get the cooperation of his fellows in struggling to 
maintain. 

It must be said, however, that Professor Gilman 
does recognize some of these limitations, and so escapes 
many of the pitfalls which lie along the path of the 
enthusiastic advocate of profit-sharing and cooperative 
enterprises. Of the institutions he cites in support of 
his theory, the most successful are those in distributive 
rather than productive cooperation. This is natural, 
since cooperative stores involve the minimum of ex- 
pert industrial genius and specialization. They are 



1900.] BOOK RE VIE WS 473 

largely of a perfunctory nature, demand no extraordin- 
ary ability, and lend themselves more easily than any 
other kind of industry to management on the committee 
or representative plan. The main economy in distribu- 
tion is the opportunity to do a large business. Where 
this can be secured by voluntary cooperation of large 
masses of workingmen, there is not much left for highly 
expert skilled management to perform. But such in- 
stitutions cannot be cited as evidence that cooperation 
in the more advanced forms of productive industry 
would be a success. Indeed, almost every experiment 
of that kind that has ever been undertaken has failed, 
and if the concerns have not been abandoned entirely 
they have been reconverted into joint-stock corpora- 
tions. This is especially well illustrated in the indus- 
trial experience in England during the last half 
century. 

All the efforts at profit-sharing in productive in- 
dustry which have succeeded are of the nature of vol- 
untary grants from the employers, dependent on the 
profitableness of the business and entirely under the 
employer's control. Pensions, idleness or sickness re- 
lief, insurance, fraternal societies, reading-rooms, cheap 
lodgings and meals, are of this character. They do 
not involve representative control of industry, which is 
the essential principle in bona fide cooperation. These 
voluntary patronal institutions, and profit-sharing dur- 
ing good years, have succeeded only when they have 
remained under the entire control of the employers, 
and thus been prevented from ever encroaching on the 
economic effectiveness or profit- making capacity of the 
industry. 

Professor Oilman practically recognizes this fact in 
what he says about the function of the capitalist employer 
in industrial society and his importance to the welfare of 
labor. He sees quite clearly that a high order of indus- 



474 GUNTON'S MAGAZINE [May, 

trial efficiency is more advantageous in the long run to 
laborers (since the operation of economic laws will dis- 
tribute to them a share of the gains of such efficiency ) 
than would be a system based on the kindest intentions 
in the world but with mediocre capacity to wrench an 
increasing yield of wealth from nature. This he brings 
out very well in the following quotation : 

' ' However much I shall have to say in this volume 
upon the moral disposition of the employer, I fully 
recognize the fact that the first thing necessary to the 
welfare of the workman is that his employer shall be a 
man of intellectual ability and general force of charac- 
ter not primarily moral force. It is far more impor- 
tant for the workman that his employer shall be finan- 
cially successful than that he shall be kind or gener- 
ous in his dealings. A hard employer, who keeps his 
men steadily at work for years, on the average wage, 
is much more of a real benefactor to the operative than 
a genial emploj^er whose inexperience or lack of capacity 
closes the factory in a few months : the latter will have 
the sympathy of his employees, but he is not their best 
friend. The responsibilities of a typical great entre- 
preneur of this century are many and varied, and they 
call loudly for the strong man in the manager's chair. 
The employer often selects the place in which the fac- 
tory is to be carried on : he has to build it in accord- 
ance with the latest teachings of experience ; he has to 
stock it with approved machinery; he has to find 
capable overseers and a supply of competent work-peo- 
ple ; he has to buy the raw material, to decide upon 
styles and patterns, and then to sell, in the most favor- 
able market he can find, the finished product, due to 
all this remarkable and prolonged concert of various 
abilities in the whole force. He is the one person to 
whom the chief praise for success is rightly ascribed : 
just as much is he the one person at whose door the 



i goo.] BOOK RE VIE WS 475 

blame of failure is to be laid whatever its specific 
cause, he is properly held accountable for allowing that 
specific cause to work. 'Captains of industry/ who 
have chosen their lieutenants and privates, they are the 
culprits or the weaklings to whom failure is due, if 
failure there be: and, if success arrives: 

" ' Brightest is their glory's sheen, 
For greatest hath their labor been.' 

1 * Mr. Mallock has not overrated the importance to 
modern civilization of the strong brain and the forceful 
character of the successful employer. He deserves to 
lead, since he is indispensable to the welfare of those 
allied with him, the capitalist and the workman alike. 
The incompetent employer, as President Walker de- 
clared, is the worst enemy of the workingman, for he 
soon leaves him unemployed. A successful manager, 
on the other hand, who feels no particular sympathy 
with his operatives in their toilsome life, but does keep 
them in work, year in and year out, stands between 
them and starvation like a wall. Power and success in 
the entrepreneur are the surest ground for the em- 
ployee's confidence in the future. A fine morality, in 
the sense of sympathy or kindness or generosity on the 
employer's part, is a secondary matter, however im- 
portant, just as in deeds of war the morality of a 
Napoleon or a Moltke is not primary. But, assuming 
the existence in him of all the abilities required for the 
prosperous working of a great industrial establishment, 
then good- will to men, sympathy with one's kind and 
the human touch are happy and fortunate and admir- 
able additions to the vigor of mind and the power of 
will which have taken a bond of fate. It will be 
another proof of strength in the strong employer if he 
seek and gain all the moral advantage possible, and 
cement a kindly alliance with his nearest fellow-men, 



476 GUNTON'S MAGAZINE [May, 

building up the special and the general welfare in firm 
union. Morality, no substitute for intellectual ability 
and force of will in business, is a very noble companion 
to them." 

Not only this, but it is quite true that a broader 
and more generous spirit on the part of employers 
toward employees, and not merely their own employees 
but the working class of the country, would go a long 
way toward harmonious solution of industrial problems. 
So much of the industrial conflict of the day arises out 
of misunderstanding, and short-sighted refusal on the 
part of employers to recognize the labor movement, 
especially organized labor, that, were a different atti- 
tude and spirit adopted, there is hardly any dispute 
over wages or hours of labor or working conditions 
which could not be adjusted between the parties long 
before any point of open rupture was reached. 

Professor Oilman, greatly to his credit, does not 
allow his predilection for profit-sharing to draw him 
into any mistaken attitude of hostility to trade unions. 
11 The attitude of the employer,'' he says, " toward 
trade unions should be one of frank appreciation of the 
great good that they have done, and are doing. Some 
of the most progressive manufacturers of our day have 
declared their preference for dealing with the authori- 
ties of trade-unions, rather than with the men separate- 
ly. Not a few, like Mr. George Thomson of Hudders- 
field, and Mr. N. O. Nelson of St. Louis, positively 
encourage their employees to join a union. The 
Union, like the Trust, is plainly an enduring element 
of the modern industrial situation. It should become 
an incorporated body, with power to sue and be sued, 
and thus level up its responsibilities to its powers. In 
the mean time, wise men will adjust themselves to it, 
and make the best of it, instead of fighting the inevit- 
able. They will not be the first to resist every demand 






IQOO.] BOOK REVIEWS 477 

of the laboring man simply because it comes from a 
union, or the last to concede a courteous and patient 
discussion of labor difficulties before disinterested 
parties." 

To put the whole matter in a nutshell: if the 
same amount of good- will and friendly interest in 
labor, which is now devoted to profit- sharing and semi- 
benevolent enterprises that may be contemplated by 
other employers, were devoted to open and avowed 
recognition and encouragement of labor organization, 
including willingness to treat with union representa- 
tives, while helping to supply workingmen with sound 
and progressive educational opportunities on economic 
problems, it would do far more to settle the labor ques- 
tion on the basis of mutual progress and good-will than 
would come from attaching pension systems or free 
medicine bureaus or home-buying schemes or dividend 
sharing to every industrial enterprise in the land. 



CHARLES SUMNER. By Moorfield Storey. Cloth, 
466 pp. $1.25. Houghton, Mifflin & Co., Boston and 
New York. 

This volume is the latest and certainly one of the 
most important contributions to Mr. Morse's American 
Statesmen series. The biography covers the activities 
and career of Senator Sumner during the most critical 
period of our history, just before, during and immedi- 
ately following the civil war. Brooks' cowardly as- 
sault on the senator after his most famous speech on 
'The Crime Against Kansas" lends an air of tragedy 
to the life, of which the author takes no undue advan- 
tage in the biography of his hero. The assault, how- 
ever, he regards as doing more for the anti-slavery 
cause than any other single act, and places Mr. Sumner 
as almost the equal of Abraham Lincoln in that great 
movement. 



478 G UNTON'S MA GAZINE 

NEW BOOKS OF INTEREST 

HISTORICAL AND DESCRIPTIVE 

Oliver Cromwell. By Charles Firth, M. A., Balliol 
College, Oxford. G. P. Putnam's Sons, New York. 
Mr. Firth is an authority on the Cromwellian period of 
English history, having been placed in charge of the 
principal articles bearing on that period in the prep- 
aration of the British Dictionary of Biography. 

The War in South Africa. Its Causes and Effects. 
By John G. Hobson. Cloth, demy 8vo. $2.00. The 
Macmillan Company, New York and London. Mr. 
Hobson has recently been the South African corre- 
spondent of the Manchester (England) Guardian, and 
this volume is based on personal study and observa- 
tion. 

A History of the Colonization of Africa by Alien Races. 
By Sir Harry H. Johnston, author of " British Central 
Africa," etc. Cloth, i2mo, $1.50. With maps, etc. 
The Macmillan Company, New York and London. 
This appears in the Cambridge Historical Series. 

SCIENTIFIC AND EDUCATIONAL 

The International Geography. Edited by Hugh 
Robert Mill, D. Sc. Cloth, 8vo, 1,088 pp., $3.50. D. 
Appleton & Co., New York. A rich and comprehen- 
sive work; a veritable encyclopedia of geographical 
facts and explanations. It is the work of seventy 
authors, eminent in the geographical field, and has 
nearly 500 illustrations. We shall review it in a later 
number. 

History of Education. By Levi Seeley, Ph.D. 
i2mo, 343 pp. $1.25. American Book Company, New 
York, Cincinnati and Chicago. Will be reviewed in a 
later number. 



FROM APRIL MAGAZINES 

"The main object of school and college is the 
same, to establish character, and to make that charac- 
ter more efficient through knowledge." L. B. R. 
BRIGGS, in "The Transition from School to College;'' 
The Atlantic Monthly (March.) 

" It was not until 1645 that Cromwell had begun 
to stand out clear in the popular imagination, alike of 
friends and foes, as a leader of men. He was now the 
idol of his troops. He prayed and preached among 
them ; he played uncouth practical jokes with them ; 
he was not above a snowball match against them ; he 
was a brisk, energetic, skilful soldier, and was an in- 
vincible commander. In parliament he made himself 
felt, as having the art of hitting the right debating-nail 
upon the head." JOHN MORLEY, in "Oliver Crom- 
well;" The Century. 

1 ' This predominance of the emotional sense over 
the thinking power appears by no means exclusively in 
his practical preachments. It pervades his writing on 
art as well. This it distorts in the first place, and 
vitiates in the second. It distorts it by giving it the 
false sanction of moral purpose, of utility. In a large 
sense, art certainly has this sanction, and no other, like 
every department of human effort. In the only sense, 
however, in which this is not a truism, it is false ; and 
a detailed consideration of art in this view results in 
distortion," -W. C. BROWNELL in "John Ruskin;" 
Scribners. 

' ' It goes without contradiction that in our colleges 
and universities there is practically no educational 
supervision whatever. It is doubtful if the bravest col- 
lege president in the country would quite dare to go 
into a department and make an issue on the methods 
of instruction obtaining therein ; and it is still more 

479 



480 GUN TON'S MAGAZINE 

doubtful if he would be sustained by his board, if he 
did this. The average board would probably suggest 
to him that he ' would better get at it in some other 
way, ' wisely neglecting to state in what other way ! ' 
-A COLLEGE PRESIDENT, in ' ' The Perplexities of a 
College President;" The Atlantic Monthly. 

''When Emerson, at Concord, in 1879, saw ^ s 
bust, modeled by Daniel Chester French, he remarked 
approvingly, after looking at it intently, ' That is the 
face that I shave ' not altogether an .unconscious trib- 
ute to the fidelity of the work, for he recognized that 
in detail it conformed to nature. Turning to another 
bust of himself that stood in the room, a portrait quite 
without character, he said, ' This one is as harmless as 
a parsnip.' The philosopher thus, in homely speech, 
gave a very good art criticism, and one that in general 
terms may be applied to all of French's work." WIL- 
LIAM A. COFFIN, in "The Sculptor French;" The Cen- 
tury. 

"'When I returned from Elba I found, among 
other papers of the Bourbons, an account of six thou- 
sand francs paid monthly to the editors of the Times, 
besides taking a hundred numbers monthly, and I had 
an offer from them to write for me for payment. I haJ, 
offers from the editors of several English newspapers 
to write for me, even during the time of war, previous 
to my going to Elba, and to insert news and everything 
else I wished, and that money would be taken to send 
them to France. I did not do it. I was wrong, how- 
ever ; I ought to have accepted their offers, and then 
my name would not have been held in such odium in 
England as it was. This they said themselves to me. 
For in the end these . newspapers formed the public 
opinion, and always will do. I was very wrong ; I see 
it now.' " From "Talks with Napoleon" (O'Meara's 
Journal); The Century. 






HON. CHARLES H. ALLEN 

GOVERNOR OF PORTO RICO 



See page 488 



GUNTON'S MAGAZINE 



REVIEW OF THE MONTH 



It is sufficiently clear now that the 
Scouring the long . delay of the British army at Bloem- 
Frcc State ' . 

fontein was not without purpose. Lord 

Roberts waited there a month, apparently doing noth- 
ing and allowing the Boers to take up positions all 
around him and send detachments even as far south as 
Cape Colony. In all this he had a double purpose. 
He was gathering together and thoroughly organizing 
his immense army and establishing a line of supplies 
for an advance movement of wonderful rapidity and 
irresistible momentum. At the same time he planned 
to make a sudden raid and capture separate bands of 
the enemy to the East and South before they could 
extricate themselves and retire to Kroonstad. 

The latter attempt was hardly successful. Late in 
April strong detachments were sent to the relief of 
General Brabant at Wepener, and on April 25th the 
town of Dewetsdrop, northwest of Wepener, was occu- 
pied by General Chermside, who, it will be remem- 
bered, recently supplanted General Gatacre. The 
Boers to the number of four or five thousand immedi- 
ately left the vicinity of Wepener and retired north 
towards Ladybrand, Thaba Nchu and Winburg. About 
the same time General Ian Hamilton, who had been 
defending the waterworks twenty miles east of Bloem- 

481 



483 GUNTON'S MAGAZINE [June, 

fontein, started east, fighting a sharp battle at Israel's 
Poort and forming a junction with General French's 
cavalry division. A joint attack was made, with indif- 
ferent success, on the very strong position which a part 
of Botha's retiring army had taken up at Thaba Nchu. 
This is on high ground directly between Bloemfontein 
and Ladybrand. A few days later the Boers retired 
from Thaba Nchu, joining other forces at Ladybrand. 

Although this army might conceivably 

have been used for a sudden westward 
Advance 

strike at the British line of supplies, 
Lord Roberts did not attempt to capture it but com- 
menced a general forward movement early in May. 
Already he has swept away all the strong points of 
Boer resistance in the Orange Free State. The British 
line of advance was fully forty miles in extent, follow- 
ing the Pretoria railroad as the main trunk line of oper- 
tions. Brandfort was reached and captured by a three- 
fold attack on May 3rd. The Vet River, eighteen miles 
north of Brandfort, was reached on the 5th. Some re- 
sistance was met here but quickly overcome, and on 
the 6th Smaldeel and Winburg were occupied. On the 
next day 4,000 British cavalry reached the Zand river, 
sixteen miles beyond Smaldeel ; here a considerable 
battle was fought, the Boers having established a line 
of defence twenty miles long. Details of this engage- 
ment are meager, but by May loth the Boers were 
again in full retreat towards Kroonstad. The battle 
on the Zand was the last serious resistance they have 
made thus far. It was supposed they would surely 
make a strong stand at Kroonstad, but a serious dis- 
sension arose between the Free State and the Trans- 
vaal forces as to the future conduct of the campaign. 
Nearly all the Free State burghers retired eastward to 
Heilbron, President Steyn accompanying them, and 



REVIEW OF THE MONTH 483 

this place is the latest Free State capital. The 
Transvaalers thereupon abandoned Kroonstad and 
retired north, Lord Roberts entering the town on May 
i2th. He seems to have made a brief pause here, pre- 
paratory to the final march to the Vaal. 

Meanwhile Generals Brabant and Rundle had been 
advancing north from Wepener to engage and hold in 
check the Free State army at Ladybrand, which place 
was captured on May 1 5th, thus removing all danger 
from that source. In Natal, General Buller has recap- 
tured Dundee and Glencoe, and it is not inconceivable 
that his army will be brought up for a flank attack on 
the Boer left, when Lord Roberts is ready to force the 
Vaal and invade President Kruger's domain. 

Some time ago Lord Roberts despatched 

Mafekmg _ . __ 

Relieved General Hunter to the northwest with a 

strong force of more than twenty thou- 
sand, ostensibly for the relief of Mafeking. General 
Hunter reached the Vaal river at Warrenton, May 4th, 
joining forces with some of the British columns ad- 
vancing from Kimberley north. A day or two later he 
crossed the Vaal and drove the Boers out of Fourteen 
Streams. It now appears probable that General Hunter 
will follow up the Vaal river to the east for a flank at- 
tack on the Boers who will be defending Johannesburg 
and Pretoria, for Mafeking no longer requires him. 
The heroic little garrison under Colonel Baden- Powell 
was rescued on May 1 7th by a relief party under Col. 
Mahon, bringing a large quantity of supplies. These 
were no doubt welcomed with extravagant demonstra- 
tions, for it has been a long time since the town has 
had anything better than half rations of horseflesh and 
bran. Col. Baden- Powell's little force has held out 
since last October, more than 200 days, under almost 
constant bombardment, and it is no wonder that the 



484 GUNTON'S MAGAZINE [June, 

news of his relief has set London and the principal 
British cities wild with uproarious enthusiasm, con- 
tinued through several days. 

At the beginning of the war it was 
Announced ' thought possible, at least, that England's 

peace terms would be control of the for- 
eign relations of the two republics, a liberal franchise 
law and other internal reforms, and prohibition of 
further importation of war munitions. For some time 
it has been growing clear, however, that when the war 
is over the Orange Free State and Transvaal will be 
made British colonies, outright. Mr. Chamberlain left 
no doubt on this point when, in his Birmingham speech 
of May nth, he declared that: 

" While the government do not wish to be vindictive, they are de- 
termined that never again shall the republics be a nursery of conspiracy, 
and they will see that justice is done to those who are determined to be 
loyal. The government is not prepared to recognize the independence 
of the Boer republics (cheers), and we are determined that the republics 
shall be finally incorporated under the British flag. For an interval 
they must be a crown colony, such as India is ; but we hope they will 
eventually become a great self governing colony like Canada and 
Australia." 

If this were a case of a highly civilized and pro- 
gressive republic being wiped out of existence and put 
back by a powerful despotism like that of Russia, such 
an outcome as now seems certain in South Africa would 
be intolerable. In reality, it is a backward and undemo- 
cratic oligarchy that is being put beyond the power of 
any longer retarding the advance of civilization in that 
quarter of the globe. The name republic will disap- 
pear, but if these two little countries are finally organ- 
ized under a system of government such as Canada or 
Australia has they will be practically as independent as 
they are now, with the additional immense advantage 
of a set of institutions that will really guarantee per- 



igoo.] REVIEW OF THE MONTH 485 

sonal, civil and religious liberty, such as the Boers have 
never possessed under their narrow and tyrannical 
regime. 

It is worth noting here that the new form of feder- 
ated government for Australia, which is on the point of 
enactment by the British parliament, comes so near 
granting entire independence that the only strong legal 
bond remaining is the right of appeal from Australian 
courts to an imperial court, which, by the way, will be 
composed of judges drawn from every part of the em- 
pire, Australia included. 

The ecumenical missionary conference 
The Ecumenical held in New York city from April 2ist 

Conference ' c ^ 

to May ist inclusive was one of the most 
remarkable religious gatherings in the history of 
Christendom. There have been other meetings of the 
sort, one in Liverpool and two in London, but none on 
such a scale of magnitude as this. More than 2,500 
delegates were present from all parts of the world, rep- 
resenting missionary societies in a dozen different 
countries. The proceedings were opened and in part 
presided over by ex- President Harrison, as honorary 
chairman, and the discussions covered almost every 
phase and branch of protestant missionary effort 
throughout the world. 

Perhaps the most notable feature of the conference 
to the lay observer was the shifting of the point of em- 
phasis in regard to the whole proposition of missions. 
This change, not directly voiced in the addresses, yet 
spoke louder through the whole proceedings than any 
other. The main justification for the vast work repre- 
sented by these delegates was not chiefly based as of 
old on theological propositions about the future destiny 
of unconverted heathen, but rested on grounds that 
finite men are much better entitled to urge with the 



486 GUNTON'S MAGAZINE [June, 

authority born of knowledge. Great attention was de- 
voted in all the reports to the social and moral con- 
ditions of the people, and the frequently shocking re- 
sults of the superstitions of savage and barbarous 
races. The work of the missionary is no longer 
confined to exhortation and warning ; it extends out to 
the physical, mental and moral conditions per se, recog- 
nizing that improvement in these lines is necessary to 
any really effective comprehension and living of a 
higher order of religious principles. Little centers of 
civilization are thus started, and both the human 
interest and spiritual success of the work increases 
along with its broadening range. 



A New 



Even more remarkable was the sounding 
of a note of recognition of elements of 
truth in all religions. This idea was 
best presented by Dr. John Henry Barrows, president 
of Oberlin College, and who, it will be remembered, 
practically organized the World's Parliament of Re- 
ligions at the World's Fair in 1893. In his address to 
the conference Dr. Barrows said : 

" Missionaries are keenly alive to the fact that some of the non- 
Christian faiths are keeping their place in the world because they 
minister in a measure to some of the needs of the human heart. They 
are preserved from utter condemnation by the great truths which, amid 
all errors and perversions, they undoubtedly contain. There is much 
beauty in Confucian morals. There are Christian elements, if not a 
Christian spirit, in the Buddhist ethics. Christian theism is not wholly 
out of touch with the monotheism of Islam, or the pantheism of Hindoo 
philosophies. . . The non-Christian world sees principally the de- 
fects of Christendom. It is predisposed to look leniently upon its own 
shortcomings. It has not fallen in love with Christianity in some of its 
manifestations. . . Before there can be an unprejudiced estimate of 
Christianity, Christendom must clear its skirts of many shams and in- 
iquities." 

That this new attitude towards the " heathen " re- 
ligions, and largely new basis of justification for 
missions, should be accompanied by such a vast growth 



igoo.] REVIEW OF THE MONTH 487 

of interest and enthusiasm, refutes better than any 
wordy argument that solemn old time-worn prophecy 
that, if ever our theology should let in a ray of hope for 
the heathen, missions and the reason for missions would 
drop out of existence. 

i 
Some President McKinley has made excellent 

Imperialism appointments thus far for the principal 

Scandals T ' 1 A 

offices in our new island possessions. 
There is no disposition anywhere to question this. 
Therefore, the fact that in spite of these good appoint- 
ments several flagrant scandals have already developed 
shows the extreme difficulty we shall have in trying to 
carry on our type of government among groups of semi- 
barbarous alien people. It has just recently come to 
light, for instance, that the commission appointed last 
year to investigate the beef scandal managed to spend 
more than $100,000 in the course of its labors. The 
itemized account submitted by General John M. Wilson, 
chief of engineers, one of the members of the commis- 
sion, shows a lavishness of expenditure that would have 
been more appropriate for a millionaire family junket 
around the world. More than $3,000 is charged for 
Pullman cars, some $4,430 fora special train; nearly 
$50,000 for services of the members of the commission ; 
thousands upon thousands of dollars for employees, per 
diem expenses of commissioners, carriage hire, etc. , and 
even such items as funeral expenses of a member of the 
commission and flowers bought by General Wilson 
therefor. All the time General Wilson was on the 
government pay-roll as a brigadier-general, which 
would seem according to the constitution to debar him 
of the right to draw pay for other government work at 
the same time. 

More recently it has developed that some one in 
connection with the postal service in Cuba, presumably 



488 GUNTON'S MAGAZINE [June, 

Charles W. Neely, chief of the finance division, has 
embezzled upwards of $100,000, while the expenses of 
minor army officials and others in the Cuban adminis- 
tration have been mounting up at a tremendous rate. 
Inspectors appointed by Postmaster- General Smith 
have gone to Havana to make a thorough investigation, 
and on May i6th the postmaster of Havana and deputy 
auditor of Cuba and two Cuban clerks were placed 
under arrest. The extent of the stealing that may be 
revealed is of course a matter for conjecture, but it is 
certain the bottom of the scandal has not yet been 
reached. 

At the same time it is noteworthy that bribery and 
various scandalous performances have been so flagrant 
in some parts of the Philippines under our control that 
General Otis found it necessary last November to issue 
a special order to army officers concerning these grave 
abuses. In this order General Otis said : "The evil, 
corrupting and far reaching in its effects, appears to 
have reached a stage which renders its suppression 
with a strong hand imperative." The complaints apply 
to the local governments we have been trying to set up 
in the subjugated portions of Luzon. 

Porto Rico A better regime seems assured for Porto 

Franchises and Ri p rompt i y a f ter the passage of the 

Government 

law providing for a tariff and system of 
government, it became so manifest that the island was 
to be fairly overrun with seekers for offices and privi- 
leges that congress passed another measure, which be- 
came a law April soth, specifying the conditions under 
which franchises should be granted. Under this law 
all railroad, street railway, telegraph and telephone 
privileges must be approved by the president of the 
United States, must be subject to amendment or repeal, 
must forbid the issue of stock or bonds except in ex- 




igoo.J REVIEW OF THE MONTH 489 

change for actual cash or property, must forbid the de- 
claring of stock or bond dividends, must provide for 
regulation of the charges for service by public corpora- 
tions, etc. This law will be a great protection against 
corruption in Porto Rico. An additional safeguard is 
afforded by the appointment as governor of Porto Rico 
of Charles H. Allen, who succeeded Governor Roose- 
velt two years ago as assistant secretary of the navy. 
Governor Allen was inaugurated on May ist, and is 
succeeded in the navy department by Frank W. Hackett, 
who has been connected with the navy since 1862. 

It is only two or three weeks since Gen- 
pinc Warfare era ^ Otis assured us for the twentieth 

time that the Philippine rebellion was 
' * practically over," and word came that Aguinaldo had 
been killed by the Igorottis. Hardly was time allowed 
for enthusiasm to get under way when information fol- 
lowed that Aguinaldo was very much alive and had 
raised a new army in the north of Luzon. At the same 
time rebellion broke out again in the island of Panay, 
and a company of our soldiers of the 26th Infantry was 
surrounded and narrowly escaped annihilation. Four 
were killed and sixteen badly wounded and left on the 
field. Guerrilla warfare has been renewed in several 
quarters in Luzon, and in truth we seem no nearer 
ultimate success than at any time within the last six 
months. With more than 60,000 American soldiers on 
our expense roll in the Philippines all the time, we do 
not seem to have nearly enough force to hold the civil- 
ized portions of the islands and establish local govern- 
ments, to say nothing of following up the natives into 
the mountain strongholds and wiping out the insurrec- 
tion by extermination. 



490 



GUN TON S MAGAZINE 



[June, 



It is a relief to turn from this deplorable 

Senator Hoar's .~ f i> f -\ o 

plan sacrifice of life and treasure to Senator 

Hoar's masterly address of April I7th, 
pointing out the needlessness of this war and offering a 
series of suggestions which in the main are logical and 
probably a more feasible way of restoring peace and 
settling the problem than force. Senator Hoar's prop- 
ositions were these : 

" I would declare now that we will not take these islands to govern 
them against their will. 

"I would reject a cession of sovereignty which implies that sov- 
ereignty may be bought and sold and delivered without the consent of 
the people. 

"I would require all foreign governments to keep out of these 
islands. 

" I would offer to the people of the Philippines our help in maintain- 
ing order until they have a reasonable opportunity to establish a govern- 
ment of their own. 

" I would aid them by advice, if they desire it, to set up a free and 
independent government. 

" I would invice all the great powers of Europe to unite in an agree- 
ment that that independence shall not be interfered with. 

" I would declare that the United States will enforce the same doc- 
trine as applicable to the Philippines that we declared as to Mexico and 
Hayti and the South Am erica a republics. 

" I would then, in a not distant future, leave them to work out their 
own salvation, as every nation on earth, from the beginning of time, has 
wrought out its own salvation." 

There is nothing visionary in this program, 
nothing unpatriotic ; it would be strictly in line with 
fundamental American principles. It would simply 
apply to the Philippines the policy we have adopted 
towards Cuba, and it would probably end the warfare,, 
leaving us with all the " foothold " advantages we shall 
need to support our interests in the eastern question. 
Senator Hoar's speech, by the way, while open to criti- 
cism on some points of abstract political philosophy, 
was in many respects the greatest effort that has been 
made in the United States senate within a generation. 
It challenges comparison in point of eloquence, logic 



IQOO.] REVIEW OF THE MONTH 491 

and far-reaching importance of subject-matter with 
some of the great constitutional orations of the Web- 
ster- Calhoun era. 

Three candidates have already been put 
Political in the field> Eugene V. Debs comes 

Conventions .-.-.. 

first, on the socialist ticket, with a plat- 
form as strongly anti-Bryan as anti-McKinley, invoking 
in fact " A plague on both your houses ! '' On May loth 
both wings of the populist party held conventions, the 
fusionists at Sioux Falls and the middle-of-the-road 
wing at Cincinnati. The fusionists nominated Mr. 
Bryan on a platform denouncing imperialism, trusts 
and the gold standard, declaring sympathy for the 
Boers, demanding free trade on all trust products, the 
initiative and referendum, public control of railroads 
and telegraphs, and the free coinage of silver at 1 6 to i. 

At Cincinnati the straight-line populists nominated 
Wharton Barker for president and Ignatius Donnelly 
for vice-president, on a platform demanding the initia- 
tive and referendum, public ownership of railroads, 
telegraphs and telephones, fiat paper currency, a 
graduated income tax, direct election of president, 
vice-president, federal judges and senators, denounc- 
ing trusts, and favoring free coinage at 16 to i. Mr. 
Barker, who is the editor of the American (Philadelphia), 
expects to poll at least one million votes (sic!) and thus 
defeat Bryan, thereby rescuing populism from the 
ruinous fusion policy. 

Meanwhile republican conventions have been held 
in numerous states, notably New York, Ohio, Pennsyl- 
vania, Iowa, Massachusetts and Illinois, all declaring 
strongly for President McKinley's renomination and 
upholding his policy in toto. The state campaign in 
Illinois, by the way, promises to be unusually interest- 
ing. It is most gratifying that the republicans have 



492 GUNTON'S MAGAZINE [June, 

succeeded in freeing themselves of the odium of 
questionable machine leadership. The nominee for 
governor is Judge Richard Yates, son and namesake of 
the famous war governor of Illinois, a man of unsullied 
reputation, progressive and vigorous characteristics. 
This lifts Illinois politics to a distinctly higher plane, 
and ought to compel the nomination by the democrats 
of an exceptionally good man, if any hope is entertained 
of defeating Judge Yates. 

The senate has been making a mighty 
Clark Cases* effort to rid itself of undesirable ele- 
ments, and within the last month has 
achieved at least a partial success. The long drawn-out 
struggle over the case of Senator Quay came to an end 
on April 24th, when his credentials were rejected by a 
vote of 33 to 32. This establishes the principle that a 
governor cannot appoint a senator to fill a vacancy 
caused by the failure of the legislature to elect. 

Much more serious is the case of Senator Clark of 
Montana, the objection to whom is based on charges of 
flagrant corruption in securing his election. The senate 
committee on privileges and elections reported on 
April 23d that these charges were well founded and 
recommended that Senator Clark's seat be declared 
vacant. On May i5th, before the senate had reached 
the point of formally adopting this report, as it was 
certain to do, Senator Clark arose and made a long per- 
sonal statement, defending his conduct throughout the 
case and ending by reading a letter to the governor of 
Montana, dated May nth, in which he resigned his seat 
in the senate. The senator spoke with a great show of 
sincerity and defended his personal integrity with much 
emotion, arousing no little sympathy among his col- 
leagues. What was the astonishment and indignation 
of the senate next morning to learn that acting 





igoo. ] RE VIE W OF THE MONTH 493 

Governor Spriggs of Montana had appointed Senator 
Clark to fill out the vacancy caused by his resignation. 
On all hands this is regarded as a cheap political trick, 
worked up in advance, taking advantage of the absence 
of the Governor of Montana from the state and intended 
to forestall the action of the senate declaring the seat 
vacant. Whatever sympathy there may have existed 
for Senator Clark, with this revelation it is probable the 
senate will declare that Mr. Clark was never elected, 
thereby nullifying the resignation and of course the re- 
appointment as well. If it does not do this, it may 
actually expel Senator Clark by a two-thirds vote, 
which would be entirely warranted by the insult he has 
offered that body. Meanwhile, Governor Smith has 
returned to Montana, declared the Spriggs appoint- 
ment void, and named Martin Maginnis successor to 
Senator Clark. Whether Mr. Clark will present his 
snap appointment to the senate and thus force the issue 
remains to be seen. 

Organized labor clearly believes in 

Chicago Labor ., . ,, - .- ,1 t T 

Troubles ' striking while the iron is hot. In 

other words, the workingmen realize 
that a prosperous era is the time of times for demand- 
higher pay and shorter hours. Critics of the unions, 
however, never seem able to fix any time when a strike 
is opportune. If it comes during hard times they ex- 
claim: "What fools; they are certain to lose, why 
don't they wait until business is good!" Then when 
business does become good and the laborers seize the 
opportunity to demand a share in the prosperity, the 
comment is: "What short-sighted folly, to interrupt 
business and inconvenience the whole public just when 
delays and interruptions are most expensive to all con- 
cerned." 

A strike of machinists for the nine-hour day is on 



494 GUNTON'S MAGAZINE [June, 

in several cities. In Chicago for some weeks there has 
been a strike in the building trades, with many really 
serious aspects. The dispute does not hinge primarily 
on the question of wages or hours, but relates largely 
to several minor questions, such as the amount of work 
each man shall do, the use of non-union material, etc. 
Nearly 50,000 men are out, and there have been many 
cases of violent interference with non-union workers. 
More than this, it is asserted that the city is being prac- 
tically held up by fraudulent claims for damages 
amounting to over $250,000, presented by the labor 
unions, and that it is impossible to get a jury to indict 
anybody for criminal conspiracy in connection with 
these claims because of labor-union "terrorism." 

Since May 8th St. Louis has been the 
St Louis Street - "* . , - 

Railwa Strike scene of a labor war of extreme acri- 
mony, characterized by almost constant 
violence. Almost all of the 3,600 street railway em- 
ployees went on strike, and attempts to run cars have 
resulted in riots and brick-throwing. Passengers have 
been injured, and at least once the police have been 
obliged to fire directly into the crowd. The strikers 
demand the right of conference and arbitration on all 
disputes, which is just; but other of their demands, 
that the company shall compel all its employees to join 
the union, and shall suspend any employees without 
pay who may be suspended by the union, etc., exceed 
the economic limits of trade-union influence and action. 
Such rules, if adopted, would open the door to intoler- 
able abuses. 

Both the Chicago and St. Louis instances are fur- 
nishing texts for severe denunciations in the press. It 
cannot be denied that a labor union, once endowed 
with very large power, can be about as tyrannical and 
arbitrary as any human organization, especially if actu- 






igoo.] REVIEW OF THE MONTH 495 

ated by the spirit of bitterness and revenge. For this 
spirit, it must not be forgotten however, the policy of 
injunctions against strikers and refusal to recognize and 
treat with union representatives must be held largely 
responsible. Violence, rioting and arbitrary attempts 
to run the employer's business cannot be defended on 
any economic or ethical ground, but American laborers 
are not natural-born anarchists, and when these out- 
breaks occur we may be sure there is provocation some- 
where of a peculiarly exasperating nature. 

Standing out in violent contrast to the 
Examples of Wise 1 . . -, ., , ,, 

Labor Policy policy of ' fight it out at any cost we 
have some recent instances of economic 
wisdom, such as the action of the Standard Oil Com- 
pany in voluntarily increasing the wages of its more 
than 30,000 workingmen, and at the same time reduc- 
ing their working time one hour. A simultaneous in- 
crease of wages and reduction of hours is unprece- 
dented, but it is a sure sign of the economic sense 
which forestalls labor troubles by recognizing the nat- 
ural and proper desire of labor to share in the advanc- 
ing prosperity and wealth of the community. 

There are other conspicuous instances of wage in- 
creases of recent date. The Berwind- White Coal Com- 
pany, one of the largest soft coal firms in Pennsylvania, 
has advanced the wages of 12,000 employees about 20 
per cent. , and the National Tube Company has granted 
a 10 per cent, increase to 20,000 men, which is the 
second 10 per cent, increase within six months. A re- 
cent number of the Railroad Trainmen s Journal shows 
the adoption of satisfactory wage scales and increases 
on more than twenty important railroad systems in this 
country within the last year. 

As an illustration of wise policy in cases where the 
dispute has passed into a strike, a very notable case has 



496 



GUNTON'S MAGAZINE 



lately occurred on the New York Central system at 
Buffalo. The car repairers employed by that com- 
pany, although many of them had within sixty days 
received an increase of wages, went on a strike late in 
April for a further increase. Instead of arbitrarily re- 
fusing to consult with the strikers about the merits of 
the case, the Central's superintendent of motive power 
went to Buffalo on purpose to meet and confer with a 
committee of the men. This reasonable and enlight- 
ened policy yielded the good results that it can almost 
always be counted upon to do. It proved that when 
laborers are treated with respect and their unions rec- 
ognized, dealings with them can be as satisfactory and 
honorable as between any so-called "business men," and 
with no more danger of violence. A wage scale was 
agreed upon which gave the men nearly all they asked, 
while on the other hand they conceded points which it 
appeared the company could not consistently grant. 
The superintendent of motive power stated after the 
conference that : "In some cases the rate of increase 
over the original pay previous to March i6th is in the 
vicinity of 40 per cent., in other cases it is only 10 or 
12. It was clearly understood between myself and the 
committee that the company would always be ready to 
give a hearing to any committee of its employees that 
the men might select on any grievance that may arise. 
If at such meeting they wish to have an advisor who is 
not an employee there will be no objection to that, but 
the company will deal with its employees directly." 

Evidently wisdom has been learned since the great 
Central strike of a decade ago, fought in large part on 
exactly this issue of recognition and conference. 






WHAT CAN THE PAN-AMERICAN CONGRESS 

ACCOMPLISH? 

WILLIAM ELEROY CURTIS 



Another conference of the American republics is 
called to meet in the City of Mexico between May and 
October 1901. The first was held in Panama in 1825, 
having been called by Simon Bolivar for the purpose of 
negotiating a defensive alliance against Spain and the 
aggressions of other European powers in the American 
hemisphere, and to make a declaration of the policy to 
be pursued by the new Spanish-American republics to- 
wards each other and the rest of the world. In addi- 
tion Bolivar proposed plans of arbitration ! to settle 
differences between the American nations, to define 
the boundaries between the new republics,:!. to suppress 
the slave trade, to aid in securing the independence of 
Cuba and Porto Rico, and to define the ^relations be- 
tween the other American republics and Haiti and 
Santo Domingo, which were inhabited almost entirely 
by colored people against whom a social and political 
prejudice prevailed. 

An epidemic of yellow fever cut short the delibera- 
tions of this conference. Five years later it was in- 
vited to reconvene in Mexico, but for some reason did 
not. In 1838, and again in '39 and '40, the invitations 
were repeated without effect. In 1847 fi ye of the South 
American republics held a conference atfLima^and 
negotiated a treaty of confederation. In 1864 and 
1878 Peru made other attempts to ; bring [the nations 

497 



498 



GUNTON'S MAGAZINE 



[June, 



together, but few attended and nothing was accom- 
plished. The project was renewed in 1880 by Colom- 
bia, in 1882 by the United States, and in 1887 by 
Uruguay, but was not successful until 1889 when all 
of the American nations except Santo Domingo as- 
sembled by delegates at Washington at the invitation 
of the United States. 

Now it is proposed to hold another conference, 
and Mexico is to be the host. The United States has 
taken the initiative and has forwarded invitations to 
the other republics, but it will meet them on even 
terms and have no greater authority or power than 
Paraguay or Santo Domingo. 

Each nation may send as many delegates as it 
pleases, but will be entitled to only one vote. It is 
presumed that the rules of the conference of '89 will be 
adopted, as they were generally satisfactory. The 
program of topics to be considered will not be arranged 
until all of the governments have been heard from. 
A circular inviting suggestions has been forwarded to 
each, but it may be expected that the principal ques- 
tions left unsettled by the conference of '89 will be re- 
newed, the most important being a plan of arbitration 
for the settlement of differences between the American 
nations and a permanent method of determining claims 
for damages brought by the citizens of one country 
against another. 

The Latin- American countries admit foreigners to 
the civil rights enjoyed by natives, and at the same 
time impose upon them the same obligations and re- 
sponsibilities. This, however, has never been con- 
ceded by the United States or the European govern- 
ments and is a cause of constant irritation. When a 
native of one of the southern republics suffers in person 
or property from a revolutionary movement or from 
the government in time of emergency, he has no re- 



igoo.] PAN-AMERICAN CONGRESS 499 

dress, but foreigners always claim indemnity. Hence 
our ministers at the capitals of those countries always 
have on hand claims of more or less merit. The 
superior power of the United States offers a temptation 
to adventurers to abuse our hospitality, and foreigners 
who intend to do wrong or expect to suffer losses some- 
times come to the United States long enough to secure 
naturalization papers in order that they may seek an 
asylum here in time of trouble or engage our minister 
as their attorney in case they decide to sue for damages. 
Here is an example to the point: Five Polish 
Jews, brothers, emigrated to a catholic country in 
South America and applied the proverbial skill and 
energy of their race in the transaction of business. 
They soon found that religious prejudice and indiffer- 
ence to business obligations on the part of their 
neighbors threatened to involve them in trouble, and, 
having no reason to expect the protection of 
Russia, they came one by one to a city in 
Pennsylvania where they had relatives and re- 
sided there at brief intervals until they obtained 
naturalization papers. They complied with the letter 
of the law, but committed perjury when they made oath 
that they intended to become citizens of the United 
States. With these naturalization papers they returned 
to South America one after another till the whole fam- 
ily were thus prepared to seek the protection of our 
government whenever necessary. The occasion came 
about a year ago. By their exactions in business mat- 
ters, by their enterprise, and because of personal char- 
acteristics for which nature is responsible, this family 
became very unpopular in the community where they 
lived. They amassed wealth, acquired commercial 
supremacy in a large district, and their debtors in- 
cluded nearly every man of importance in a wide 
range of territory. Their unpopularity increased un 



500 



GUNTON'S MAGAZINE 



[June, 



til a revolutionary movement was inaugurated by a 
discontented politician in that locality, and, when he 
called upon his neighbors for financial assistance, 
they told him to go to the five brothers and get money 
from them. This suggestion was adopted with energy 
and the only one of the brothers who happened to 
be at home was not only robbed of arms and money but 
was subjected to torture and other personal indigni- 
ties. It was a sort of a "white-cap" movement, and 
furnished an opportunity for several neighbors in dis- 
guise to gratify their hatred of the Hebrews. The 
brother who suffered proclaimed himself a citizen of 
the United States and filed with our minister a claim 
against the government under which he lives for $500,- 
ooo damages, although he was finally induced to re- 
duce it to $100,000, and has offered a contingent in- 
terest of fifty per cent, of all that he recovers to an 
attorney who is pressing the case. 

The man is no more a citizen of the United 
States than he was before he left Poland, but, having 
unlawfully obtained naturalization papers he expects 
our government to collect the money and make an 
enemy of a weaker nation who wants to be our friend. 

Such claims are the cause of constant irritation, 
and furnish ground for the allegation that we bully 
our weaker sister republics when we ought to assist 
and encourage them. To have a permanent court to 
adjudicate them on their merits, instead of demand- 
ing payment with a ship of war, would be not only 
advisable but just. 

The most important result of the conference of 
1889 was the interest it excited among the people of 
the United States in the affairs of their southern 
neighbors and a more cordial feeling was the out- 
growth of that interest. The excursion given in honor 
of the delegates, taking them 9,000 miles in a special 






i 9 oo.] PAN-AMERICAN CONGRESS 501 

train to visit all the great cities of the north and accept 
their hospitality, did more to promote friendly relations 
than any formal action of the conference, although sev- 
eral important recommendations have since been car- 
ried out. The survey for an intercontinental railway 
has been completed and valuable and voluminous re- 
ports have been submitted to the various governments. 
The Bureau of American Republics was promptly 
established at Washington, and has demonstrated its 
usefulness; uniform sanitary regulations have been 
adopted by nearly all the nations ; extradition treaties 
have been concluded by all but two ; the free naviga- 
tion of all rivers has been acknowledged ; treaties have 
been concluded and legislation enacted by most of th e 
nations for the protection of patents and trade marks ; 
a uniform code of nomenclature, prepared by the Bu- 
reau of American Republics, has been adopted, and sev- 
eral other matters of less importance have been adjust- 
ed as direct results of the conference. 

Among other new topics for the conference of 1901, 
already suggested, are uniform quarantine regulations, 
which are generally assented to by all nations but er- 
quire concert of action. It would be well, also, to set- 
tle a long controversy concerning the recognition of 
university diplomas by other governments than those 
in which they are located. This is important to physi- 
cians and dentists particularly. The diplomas of the 
medical schools of the United States are not recognized 
in the South American countries because quacks and 
imposters prohibited from practice in this country have 
gone there with professional diplomas from fictitious 
institutions. The universities in most of the Latin- 
American countries have high standards and are much 
more careful in conferring degrees than many institu- 
tions in the United States. Through their influence 
diplomas from all North American universities are re- 



502 



GUNTON'S MAGAZINE 



[June, 



jected and foreigners are required to pass rigid exami- 
nations in which they are often handicapped by profes- 
sional jealousies and local considerations. It would be 
comparatively easy to secure an agreement under which 
the diplomas of certain universities in all of the coun- 
tries might be recognized without question. 

It is also important to reach some understanding as 
to the rights of commercial travellers and to conclude 
treaties for their protection against the extortionate 
fees often imposed by local authorities. In some coun- 
tries a drummer is compelled to take out a license in 
every town he visits, for which he must pay an ex- 
cessive tax. This is not only a great inconvenience, 
but an onerous and unjust embargo upon commerce. 
In certain countries drummers are required to obtain 
licenses from the state as well as from the municipal 
authorities, and if they attempt to take orders or even 
show samples without them they are liable to a heavy 
fine or imprisonment. This practice is defended on 
the ground that, as local tradesmen in those countries 
are required to pay taxes and take out licenses, for- 
eigners should not be exempt, and the authorities of 
each municipality need the revenue. It might be ar- 
ranged, however, to allow drummers to obtain a single 
license from the national or state government which 
would carry with it the right to trade in all the prov- 
inces and municipalities. 

The greatest good, however, that can come from 
international conference is the interchange of hospital- 
ity and personal association among the delegates. If 
we could remove suspicion from the minds of the lead- 
ing men in South America as to the sincerity of our 
disposition towards them, it would be beneficial to both 
sides, and these conferences can do much in that direc- 
tion. But the cause of the greatest distrust can only 
be removed by the adoption of a consistent policy on 



igoo.J PAN-AMERICAN CONGRESS 

the part of our government. When Mr. Cleveland 
came into power for the first time he revoked every- 
thing President Arthur had done towards the exten- 
sion of our commerce and the cultivation of better re- 
lations with the southern countries. When Gen. Har- 
rison became president and Mr. Elaine went back into 
the department of state, the policy of President Arthur 
was resumed with most encouraging signs until Mr. 
Cleveland with a rude hand again overthrew all that 
had been done and practically gave notice to the south- 
ern republics that we did not want their friendship or 
their trade. 

We invited them to a conference in 1889 to discuss 
matters of mutual importance and to promote mutual 
welfare. One of the most important topics under con- 
sideration was reciprocity in trade, and with a great 
deal of enthusiasm we entered into negotiations under 
which concessions in tariff duties were made between 
the United States and most of our sister republics. 
Assuming that we were in earnest their merchants and 
planters prepared themselves to secure the largest ben- 
efits possible from the new arrangement, and their 
governments took the trouble to adjust their revenue 
systems to meet the changed conditions. But the rec- 
iprocity treaties were in force only long enough to 
demonstrate their great value to them and to us when 
our congress by legislative enactment revoked every 
one of them, without even saying "by your leave." 
Each of these commercial arrangements contained a 
clause providing for its termination after due notice 
and by certain procedure, but congress ignored these 
provisions and cancelled a series of sacred contracts in 
a manner that would have justified a judicial injunction 
if the transactions had occurred between private indi- 
viduals. 

When Mr. McKinley became president and the 



504 



GUNTON'S MAGAZINE 



[June, 



republicans recovered control of congress, they made 
overtures of friendship, but the southern republics at 
once detected our insincerity. In the Dingley tariff 
law a provision was inserted for the negotiation of rec- 
iprocity treaties upon terms that were impractical and 
absurd. By this action the republican leaders expected 
to please the other American nations on the one side 
and prevent the reduction of the protection enjoyed by 
favored industries at the same time. Nevertheless, 
with great skill and patience, the diplomatic represent- 
atives of our government succeeded in negotiating lim- 
ited commercial treaties with the Argentine Republic 
and the British West Indies. No other of the republics 
would consider a reciprocity treaty after the way they 
had been treated in 1894. But the wool growers of 
Ohio threatened to vote the democratic ticket if the 
duty on Argentine wool was reduced from eleven to 
nine cents a pound. Hence the republicans in the sen- 
ate dared not ratify the treaty. Similar threats on the 
part of the beet-sugar growers prevented the ratifica- 
tion of the treaties with the West Indian colonies, 
and the republicans in congress placed themselves 
in the position of the politician in Iowa who frankly 
confessed that he was in favor of the enactment of a 
prohibition law but he was opposed to its enforce- 
ment. The republicans, by their national platforms, 
their speeches, and their resolutions are in favor of the 
principle of reciprocity in trade with the southern re- 
publics, but are opposed to its application. 

Our insincerity and inconsistency and selfishness 
in this respect have become well understood by the 
ruling minds of the southern republics. They have more 
sentiment than we and are more inclined to be governed 
by sentimental reasons in their political and commer- 
cial relations, but their pride has been wounded and 
their faith has been shaken so often that hereafter they 



igoo.] PAN-AMERICAN CONGRESS 505 

will consider their own interests just as we consider 
ours, right or wrong. 

The South Americans are a little shy about appealing 
to that great American principle known as the Monroe 
doctrine, because our foreign policy, particularly con- 
cerning them, as I have described, has not been charac- 
terized with such sincerity and unselfishness as to com- 
mand their entire confidence. There are two classes of 
people in South America, two political parties, the 
conservatives and the liberals. The conservatives, as 
their title indicates, are opposed to progress and mod- 
ern innovations, and are controlled by the catholic 
church, which in South America abhors North Ameri- 
can institutions. It opposes free schools and all secular 
education; it resists the emancipation of women and 
the advancement of the laboring classes. On the other 
hand the liberals encourage every new idea and desire 
to initiate our institutions, although at times their faith 
is sorely tried. The conservatives take advantage of 
every disagreeable incident to prejudice public opinion 
against the United States, and the recent acquisition of 
territory has afforded them an opportunity of crying, 
"I told you so." They have long argued that " La 
Grande Republica" intended sooner or later to extend its 
sovereignty over the entire hemisphere, so when we 
took Porto Rico and the Philippines and assumed a 
protectorate over Cuba they proclaimed that it was the 
first step in the march of conquest southward. 

The approaching conference in Mexico offers the 
United States an opportunity to allay these apprehen- 
sions, and to confirm the faith of our friends and sup- 
porters in the southern republics by declaring a liberal, 
friendly and permanent policy to govern our future re- 
lations with them. They have a right to know what to 
expect from us. We are the elder brother in the great 



506 G UNTON 'S MA GAZINE 



family of nations, and the rest look to us for example, 
encouragement and consolation. 

The policy of reciprocity in trade should either be 
abandoned entirely because it conflicts with some of the 
interests protected by our tariff, or else it should be car- 
ried out in good faith. It is useless for the republican 
party to make further pretensions on this subject. If 
the majority in congress desires to promote our trade 
with the southern republics, it should give the president 
broad and complete authority to arrange for an ex- 
change of concessions with an idea of securing the 
greatest good for the greatest number, but if the man- 
ufacturers of cheap jewelry in Providence, the wool- 
growers of Ohio, and the sugar beet manufacturers of 
Nebraska are to dictate the terms of our export trade 
that fact should be frankly and honestly stated. 

It ought to be proclaimed from the housetops that 
the government of the United States will not afford an 
asylum for Europeans, residents of South America, who 
seek the protection of our naturalization laws, and that 
no claims for damages against one of our sister repub- 
lics shall be presented by our diplomatic agents unless 
the claimant is a native of this country and actually re- 
sides here. And what is more important is the procla- 
mation by the United States as a principle of interna- 
tional policy that the political and geographical integ- 
rity of the American republics shall be preserved and 
protected. 






PARTY POLICIES FOR 1900 

During the next five months two great political 
parties will make their appeal to the American people 
to be entrusted with the responsibility of shaping the 
policy and administering the affairs of the nation dur- 
ing the first four years of the twentieth century. There 
are two standpoints from which a party may be judged, 
its conduct in the past and its promises for the future. 
The promises of parties like individuals can be trusted 
only in proportion as they are fortified by habit, char- 
acter and conduct. While the confidence in the charac- 
ter of the party is drawn from the past, the real inter- 
est and hope of the nation is in the future. Therefore 
the people want to know not merely what the party has 
done but also what it proposes to do. 

As the nation progresses new and varied interests 
arise demanding public attention. It is the function of 
statesmanship so to modify and if needs be expand the 
national policy that it shall include all the varied inter- 
ests of the nation. Of course new demands usually 
appear in their crudest form, yet, however crude and 
seemingly hostile, every new proposition usually con- 
tains some element of truth and merit. In the nature 
of things these new problems arise chiefly from the 
differentiation of industrial interests, hence the new 
problems are largely of an industrial character and 
arise among the farmers and laboring class. They 
usually seem antagonistic because they are new and 
different and are presented from the grievance point of 
view of the reformer. Merely to ignore or bluntly op- 
pose these new propositions, although crudely and 
often mistakenly presented, is to intensify hostile feel- 
ing and increase the irrational character of demands 

507 



508 GUNTON'S MAGAZINE [June, 

which have at the bottom a rational cause for a hear- 
ing. How to pick out the kernels of truth from the 
bushels of husks and integrate them into the public 
policy of the nation at the point of common affinity 
with the national interests is the duty of party organ- 
ization and sound political leadership. 

The confidence and support of the masses should 
be, and in a large measure probably will be, given to 
the respective political parties in the coming election, 
in proportion as they wisely take advance ground on 
these new interests and intelligently, not demagogic- 
ally, incorporate them in their plan of public policy. 

How stands the democratic party ? The last time 
it was entrusted with the administration of affairs it 
disrupted our industries, demoralized our finances and 
involved the nation in one of the most disastrous periods 
of its history. The modern democratic party has little 
commendable to offer as a certificate of past conduct. 
The only basis of its appeal for support is its promises 
for the future, and in the light of experience these 
must necessarily be taken with a large increment of re- 
serve. Its promises must necessarily be very strong in 
political wisdom, economic soundness and social at- 
tractiveness. They must make up in this scientific 
soundness and plausibility what they lack in historic, 
characterful endorsement. The position and candidate 
of the democratic party are already known. Ever since 
1896 Mr. Bryan has been continuously before the pub- 
lic as the active embodiment of the party, its official 
spokesman ; he has formulated its ideas and substan- 
tially determined its policy as it will be expressed in 
the platform. The three essential features of the 
democratic policy, as voiced by Mr. Bryan and which 
will doubtless be confirmed by the convention, are 
anti-expansion, anti-trusts and the free coinage of silver 
at 1 6 to i. There will doubtless be a number of other 



PARTY POLICIES FOR WOO 509 

things mentioned in the platform but these are the 
cardinal points. Anti-expansion and anti-trusts are 
negative propositions. They contain nothing con- 
structive or affirmatively helpful. Granting that ex- 
pansion is a mistake, declaring against it after it is 
accomplished is merely impotent resolving. There is 
nothing important the democratic party can now do 
about it. We cannot suddenly withdraw from the 
Philippines nor give up Porto Rico ; even Mr. Bryan 
does not pretend that he would try. The only thing 
that the democrats could or would be likely to do is to 
make them into territories and hurry them into line 
for statehood, and endanger the stability of our institu- 
tions by adding the people of Hawaii, Porto Rico and 
the Philippines to our voting population. 

Opposition to trusts has still less merit than oppo- 
sition to expansion. That is a proposition which has 
neither statesmanship nor economic sagacity behind it. 
It is one of the crude "half-baked" propositions which 
are useful to ornament market-place oratory, but have no 
place in a serious responsible public policy. "Anti- 
trusts " as represented by Mr. Bryan is simply an elastic 
phrase which has no meaning. Mr. Bryan has in all 
his speeches given no evidence that the anti-trust idea 
rests upon any feasible proposition or even that it is to 
be taken seriously as a tenet of responsible public 
policy. 

The one thing upon which he is definite and from 
which he insists the democratic party will not swerve 
to the right or to the left is the free coinage of silver. 
Mr. Bryan knows what 16 to i is. He knows that it 
was the one idea which made him a presidential possi- 
bility and which carried him so near the goal of success ; 
it was the one plank that held him up and he is deter- 
mined that it shall not be deserted, although in the es- 
timation of everybody else, with the possible exception 



510 GUNTON'S MAGAZINE [June, 

of Mr. Towne and a part of the populists, it is a dead 
issue. 

In this program there is nothing which can carry 
relief to the farmers or improve the conditions of the 
laborers, nothing which will ease the pressure of their 
toil or increase their income, nothing indeed which 
even looks seriously in that direction. Some general 
phrases in this regard will doubtless be inserted in the 
platform, but they will stand unsupported by any act of 
the democratic party in the past or any utterances of its 
candidate during his four years of vacation^ and train- 
ing. They will be purely promises unrelated to any- 
thing in the character, history or political philosophy 
of the party. 

The case of the republican party is somewhat dif- 
ferent. During the last thirty years it has very much 
more historical evidence of definite character to present. 
It has also been responsible for the administration and 
policy since 1896, and the contrast in the nation's pros- 
perity with that under the previous administration 
speaks for itself. With the exception of 1892, the last 
year of the previous republican administration, the 
period of 1899-1900 has no parallel in the country's ex- 
perience for prosperity and business expansion. While 
the wisdom of the republican expansion policy may 
well be a matter of controversy, its domestic, industrial 
and financial policy are an unquestioned success. In 
these respects the United States now leads the world. 
In stability and world credit our financial conditions 
have no superiors and in industrial prosperity and 
growth we have no equals. This much the republican 
party has in its favor. 

But with this progress new conditions have arisen, 
new difficulties have asserted themselves, new griev- 
ances have developed which make new problems 
to be solved. How stands the republican party on 




i 9 oo.J PARTY POLICIES FOR 1900 511 

these new questions ? Is it equal to the leadership of an 
advanced public policy, broad enough and yet conserva- 
tive enough rationally to include these questions ? 
This duty naturally and properly belongs to the repub- 
lican party; it is not hidebound with any cast-iron 
theory which precludes the absorption of new ideas 
and adoption of new policy. Its history has been one 
of elasticity and progress ; with numerous mistakes, of 
course, but to make no mistakes is to make little prog- 
ress. It may therefore consistently take the responsi- 
bility of dealing with the new questions that the prog- 
ress of the last half century and its own policy 
have created. More is expected of the republican party 
than of the democratic in this respect, because it has 
done more in the past. Its success in the future de- 
pends upon living up to its own record, in being true 
to its own history. 

Recognition of the interests of the farmer does 
not mean the acceptance of populism, which is the 
inflammation phase of a reform movement. What the 
farmers really need is not a depreciated currency, pub- 
lic ownership of railroads and the suppression of cor- 
porations. They need an increasing market for their 
products, cheap transportation and cheap loan accommo- 
dations. The first can be secured only by promoting 
the prosperity of all other industries; the second by 
the economic development of our railroad system, which 
can only come concurrently with national prosperity ; 
and the third by furnishing better banking methods 
affording greater elasticity to our paper currency. 

The wageworkers also have special interests 
which need consideration and should become a part of 
the national policy. The great principle of protection, 
which is a cardinal doctrine of the republican party, 
ought to be effectively applied directly to the interests 
of laborers as well as of capitalists. To this end effect- 



512 



GUNTON'S MAGAZINE 



[June, 



ive restriction of immigration should be made a pro- 
nounced part of our national policy. 

It is a part of the theory of our form of government 
and especially of the republican party that the condi- 
tions of the laboring classes should improve commen- 
surately with the progress of the nation. The general 
improvement of the wage class must always ultimately 
come through a general rise of wages. It is useless to 
talk about a higher social standard which does not bring 
with it a permanent high wage rate. The opportuni- 
ties for general increase of wages are periodic, they 
come only with the periods of general prosperity. Un- 
less the laborers can secure a general increase of wages, 
shorter hours or other advantages during the period of 
prosperity they are almost sure not to get them at all. 

We are now in the midst of one of the greatest 
periods of prosperity this country has ever seen. It is 
not merely fair and humane but it is of the utmost im- 
portance to national welfare that a part of the present 
prosperity should be permanently transferred to the 
laborers ; in other words, that this era of industrial ex- 
pansion and exceptional prosperity should permanently 
lift the standard of living among the masses in the 
United States. In order to make this possible, through 
the natural operation of economic causes, it is neces- 
sary materially to restrict the tide of immigration. So 
long as the influx of the cheapest labor of Europe is 
practically unimpeded, the natural pressure upon the 
capitalists in this country for distribution of part of the 
present gains among the laborers through higher wages 
is largely nullified. 

The tide of immigration is now setting in, in 
greatly increased magnitude. It will have the double 
disadvantage of defeating the natural operation of 
economic law as to wages of American labor, flooding 
our cities with low-paid squalor- creating laborers who 






i goo.] PARTY POLICIES FOR 1900 513 

fill our tenement rookeries and perpetuate our sweat- 
shop system in spite of wholesome legislation against 
it, tending to keep down wages and lower our social 
standards of living, besides furnishing one of the most 
dangerously corruptible elements in our politics. Im- 
migration should be arrested during this period of 
prosperity. The capitalists should not be permitted 
indiscriminately to reach out for the low-paid labor of 
Europe, but should be obliged to employ American 
labor at American wages. 

It should be a part of the economic policy of a 
nation also that progress in the improved methods of 
production should be accompanied by a general and 
permanent shortening of the working day for the 
laborers. The development of greater and more 
complex organization among capitalists should bring 
with it as a part of public policy the recognition and 
encouragement of intelligent, rational, responsible 
organization among the laborers. The tendency of 
the courts narrowly to interpret the theory of injunc- 
' tion so as to prevent the organized action of laborers 
while encouraging the organized action of capitalists, 
should be specificially condemned, and the recognition 
of the equality of organized labor and organized cap- 
ital before the law should be pronounced and em- 
phatic. 

The principle of insurance, which is one of the 
features of modern life among the well-to-do class, 
should be extended to the wage class. With every 
advance in machinery and superior organization, the 
efficiency of labor is reduced to a finer and more con- 
cise quantity. The tendency is more and more to 
discharge laborers at the age of sixty and earlier by the 
very force of dislocation through improved machinery. 
This discharge should be anticipated in the conditions 
of the industrial system itself. It is nothing the 



514 



GUN TON'S MAGAZINE 



laborers can prevent, it is nothing that capitalists can 
avoid, it is necessarily a part of the situation which 
large capital and rapid invention create ; it is a condi- 
tion with which the public policy of the nation should 
deal. It is another case for the application of the 
principle of protection to the wageworkers, not in the 
form of tariffs or charity but of economic insurance. 
It is a part of wise public policy and high statesman- 
ship to see that under no conditions in this country 
shall corporations pursue profit-making industry at the 
expense of the education, physical health and morality 
of the laborers, nor under conditions that shall bring 
premature old age and enforced idleness and depen- 
dence in the declining years of the average industrious 
citizen. 

To be sure, these questions relate to special inter- 
ests, interests of limited groups of people, but they are 
also of common interest to the nation. The health, 
education and social welfare of the laboring class is as 
important in the long run to the national character and 
welfare as the prosperity of the capitalists or the pro- 
tection of the nation against a foreign foe. The eco- 
nomic and social significance of these questions 
demands that they be treated as a part of the develop- 
ment of national conditions, and not as the whims and 
notions of agitators. To broaden the public policy so 
as rationally to integrate their treatment into the insti- 
tutional action of the nation is manifestly the duty of 
the republican party. It is in accord with its history, 
its character and its pretensions. This is its grand op- 
portunity. If it will rise to the level of the occasion 
and in the closing campaign of the century take its 
position on the broader platform and higher plane 
which its own policy has created it will be the real 
leader of the nation's progress not of the manufac- 
turers and merchants, not of the bankers and importers, 
not of capitalists and financiers merely, but of the in- 
tegrated interests of the whole nation. 



THE ICE TRUST OUTRAGE 



In the so-called " trust" organizations during the 
last fifteen months a few cases have occurred where the 
reorganization, absorbing a large number of small con- 
cerns, has been used unfairly to bleed the community 
by an arbitrary and unnecessary rise of prices. The 
fact that a few have done this has created in the public 
mind the belief that all do it, and that these so-called 
trusts are the common enemy of public welfare. A 
conspicuous and scandalous example of this method is 
the New York "ice trust, 5 ' so called. The American 
Ice Company is not a trust but it is a concern which has 
recently consolidated by absorption nearly all the ice 
companies in New York city. In 1898 and 1899 the 
,-price of ice in New York city was twenty-five and 
thirty cents a hundred pounds. On the first of May, 
1900, the consolidated American Ice Company put up 
the price to sixty cents a hundred. For this rise of 
price no economic reason can be given. It is a case of 
simply having the power to exact double price and in- 
flict hardship on the people of New York the coming 
summer. If any suspicion of this move had existed 
three months ago, new ice companies would have come 
into existence to supply the market, because the profits 
are fabulous. 

There has been an outcry against the rise of prices 
in many industries, but in nearly all cases there has 
been an economic cause for it in the rise of the cost of 
raw material and all the processes of handling and 
marketing, but none of this is true of ice. On the con- 
trary the manufactured ice, which is preferred to lake 
and river ice because it is cleaner, is produced at a lower 
cost, and the cost of distribution of the ice to cus- 

515 



516 GUNTON'S MAGAZINE [June, 

tomers is in no wise increased. The simple fact is that 
this arbitrary doubling of the price of ice in New York 
city is a violent and unscrupulous outrage on the 
public. 

It is true that the Hudson river ice crop this year 
was much smaller than last, but a large amount was held 
over from the ice crop of last year and the manufacture of 
ice can be greatly increased without any increase of cost 
per unit. Moreover, there is no difficulty in getting ice 
from Maine and other places where the crop was 
abundant at $2 a ton, or less than twelve cents a hun- 
dred pounds delivered in New York. If the combina- 
tion had raised the price to forty cents a hundred on 
the excuse that "Jack Frost " did not do as good duty 
on the Hudson river this winter as last it would have 
been an imposition but it might not have raised the ire 
of the public. The people can be fooled for a while if 
the fooling is skilfully done, but when it is bunglingly 
performed so that the motive of " stand and deliver " is 
obvious the indignation becomes intense. In this re- 
spect the American Ice Company is a bungling bungler. 

It is manifest that the American Ice Company is 
not one of the legitimate concentrations which have 
used their increased capital to improve the quality and 
reduce the price of their product, but it is an industrial 
conspiracy against the community, which uses its organ- 
ized power neither to improve the quality or reduce 
the price of the product but simply to control the sup- 
ply and extort double prices from the public. This is 
the kind of performance that creates an anti- trust and 
anti-capital public sentiment. All the anti-trust and 
restrictive legislation against capital and the public 
suspicion of corporations has been created by this kind 
of policy on the part of a few hoggish owners of capital 
who understood neither the principles of industrial 
growth, honest business methods, nor the relation of 




THE ICE TRUST O UTRA GE 517 

industry to public interests. Happily this type of cap- 
italists are few in number, but they have been numer- 
ous enough to bring discredit on their class. Like the 
promoters of corners and "Miller syndicates" their 
success is always brief and usually ends in disaster. 
This unbusinesslike and impolitic as well as unjust 
conduct of the American Ice Company has set in motion 
forces that will probably sweep that concern off its feet. 

What makes this ice conspiracy appear in a still 
worse light is the fact that it turns out to be a quasi- 
political scheme. The American Ice Company is not 
merely in league with Tammany Hall but all the leading 
spirits of Tammany are heavy stockholders in the con- 
cern, and have manifestly acquired their stock for politi- 
cal aid rendered. For instance, Mayor Van Wyck 
owns $400,000 worth of this American Ice Company 
stock; his brother Augustus Van Wyck owns $400,000 
worth. John F. Carroll (in the absence of Croker the 
Tammany leader) has $500,000; J. Sergeant Cram, 
president of the board of dock commissioners, $50,000; 
Dock Commissioner Murphy $50,000 and so on. It 
might be interesting to inquire what these politicians 
paid for their stock, and if they paid par value in cash 
for these holdings where they got the money. For in- 
stance, where did Mayor Van Wyck get $400,000? It 
could hardly have been saved from his salary as judge 
or mayor ; it is not known that he was ever the recipient 
of a fortune by legacy. The political services of the 
mayor, the leader of Tammany Hall and members of the 
board of dock commissioners may very well have been 
regarded by the American Ice Company as worth a 
million and a half to the unsavory methods of its enter- 
prise, since without their aid it would have been unable 
to carry through this scheme and arbitrarily double the 
price of ice to over three million consumers. 

If there is any truth in the adage : ' 'Whom the gods 



518 



GUNTON'S MAGAZINE 



would destroy they first make mad," Tammany is surely 
on the list for destruction. A little while ago the 
Third Avenue Railroad Company thought that by the 
aid of Tammany, it could ride roughshod over the 
public in putting down two double sub-trolley tracks 
on Amsterdam Avenue. It was warned but it defied the 
warning. It flauntered its charter in the face of the 
people and dared either the courts or the legisla- 
ture " to take away its property," but the people real- 
ized the danger involved and the more the corporation 
flaunted its defiance the more determined the people 
became to suppress it. The company worked night and 
day to lay its tracks in order that it might plead heavy 
investment, but the people saw its object, correctly 
divined its motive and finally legislated it off the 
avenue, charter, tracks, investment and all. The 
millions of money that the corporation wasted in defy- 
ing public warnings and in buying the influence of 
Tammany brought it to bankruptcy, and, as a reward 
for its uneconomic methods and defiance of public 
interest and public opinion, it has been gobbled up by 
its competitor, the Metropolitan Street Railway Com- 
pany. If the American Ice Company will continue its 
present policy it may be assured of some similarly un- 
expected outcome. When once the people get 
thoroughly awake to the true inwardness of the situation, 
Tammany cannot save it. Indeed, if Tammany will 
only do enough for the American Ice Company it will 
not be able to save itself. 

Several propositions are already in the air to defeat 
this conspiracy. One is the organization of a cooperative 
ice company which shall be large enough and rich 
enough both to manufacture and import sufficient ice 
for all Manhattan. Another project is that the city 
shall undertake to gather and manufacture ice and 
supply it to the public at cost. Of course this is taking 




i goo.] THE ICE TR UST O UTRA GE 519 

business into the doubtful realm of politics. It is 
having recourse to socialism, which is always a doubt- 
ful experiment, but all reforms are the substitution of 
lesser or greater evils. If private enterprise insists 
upon joining hands with corrupt politicians for the ob- 
vious purpose of bleeding the public by monopoly 
prices, then drastic measures ate sure to be adopted by 
the people. If the ice company's folly should continue 
until a municipal ice plant is demanded, then a new 
city government would be called for, as the corrupt ally 
of the American Ice Company could not and would not 
be trusted. Thus the combination of the economic 
fools in the American Ice Company and the political 
madmen in Tammany Hall, through their insane greed 
and conscienceless plunder of the public, may bring 
about the fall of the corrupt fabric of Tammany Hall. 
The people of New York have had many evidences of 
Tammany's degrading character but they have never 
before caught it in the act of conspiring with a 
monopoly to double the price of a necessity of the city's 
very poor, and with millions of the blood money in the 
pockets of the high officials from the mayor down. 
While doing all this it is impudently posing as the 
friend of the poor and the enemy of trusts ! 



WORKING-WOMEN'S CLUBS 

CHARLOTTE COFFYN WILKINSON, SECRETARY NATIONAL LEAGUE 

OF WOMEN WORKERS 



Many and various are the factors which determine 
the popular attitude of mind toward humanitarian work. 
It is influenced sometimes by a love of the dramatic or 
delight in a striking contrast. Life is interpreted not 
in terms of life as it is known but by preconceived ideas, 
the memories of early stories and legends. The miracle 
of St. Elizabeth lingers in mind when, young and beau- 
tiful, she bore her apron full of loaves, or are they best 
remembered as roses ? The Lady Bountiful was a 
beautiful ideal of her time but she has gone with her 
vassals and her broad lands. Nevertheless the ' ' Lady 
Bountiful " attitude of mind, in itself an assumption of 
superiority, is with us still to-day. 

To this love of the picturesque is added a rigid 
practicality of view whose possessor thinks that to "do 
good " one must give something tangible and real, 
"loaves," in short, and that the value of any undertak- 
ing may be estimated by the number it affects, much as 
early missionaries counted the number of souls saved. 
This same practicality of mind makes sharp class dis- 
tinctions, counting rich and poor as well-defined social 
units, and failing to see that there must be wide diver- 
sity in any class and that "the great conglomerate class 
of the rich * * * has included human beings as 
different as Lord Shaftesbury and Mr. Barney Barnato." 

To present the work of any organization in which 
women of leisure (so called) and working women are 
associated together, and to deny that it is in any sense 
a charity, induces confusion and misunderstanding 
among many, so firmly is it bred in the general mind 

520 



WORKING- WOMEN'S CL UBS 521 

that the function of women of leisure in such an organ- 
ization is to lead, direct and guide as to them seems 
wisest and best. 

The working women's clubs have from the first 
been self-governing organizations where all have been 
on an equal footing, where no single voice has been 
authoritative and where no one vote has carried undue 
weight. The clubs have been governed not from 
without by a board of "lady managers" but by the 
members for the members. How successful this 
method has proved is best testified to by the originator 
of a most flourishing club : ' ' Again and again the vote 
has gone contrary to my best judgment and I have 
come away from the club rooms feeling that a serious 
mistake had been made. Never once has subsequent 
experience proved that the vote of the majority was at 
fault. Every year of our club life shows to me that in 
a club of one hundred and fifty members no one mem- 
ber, no matter how broad her outlook upon life, can 
decide what is best for the club as a whole." 

Self-support, or more correctly the attempt at self- 
support, has been the second principle of our clubs. 
The expenses are met by membership dues and enter- 
tainments where a small admission fee is required. 
Oftentimes a club sublets its rooms to kindergartens, 
day-nurseries or clubs meeting in the daytime, so that 
its entire rent is paid for in this way. It would be 
difficult to imagine a self-supporting club which was 
not at the same time self-governing, for no body of 
club members would struggle to meet the expenses of 
their club if they were not to have in charge its com- 
plete control. There are however many self-govern- 
ing clubs which are not wholly self-supporting. Often 
a club member whose means permit takes upon herself 
the payment of half the rent of the club rooms (the 
largest item in club expenses) ; but this is a wholly 



522 GUNTON'S MAGAZINE [June, 

different matter from asking for public aid, and 
although a club under such circumstances cannot 
claim to be self-supporting it could not be termed a 
charity. 

These two principles of self-government and self- 
support are practical applications of the far more 
fundamental principle of cooperation. If a club is 
wholly self-supporting it argues prompt payment of 
dues and the successful carrying through of entertain- 
ments. In order that a club may be self-governing it 
must be generally recognized that the good of the many 
is more important than that of the one. Although this 
form of government fosters independence of thought 
and freedom of action it cannot be carried into effect 
unless members appreciate the duty of taking part in 
club work. Given then this form of organization, 
either the members must realize the necessity of co- 
operation or the club must fail. 

Our clubs have then been independent self-govern- 
ing bodies, made up of women of widely different 
opportunities in life. They are illustrations of the 
great principle of social exchange. To some of the 
club members life has meant all that wealth and educa- 
tion could give, to others has come knowledge of prac- 
tical affairs and of the industrial world. By means of 
close association in the club has come the realization 
that each has something to give, that every opportu- 
nity involves a responsibility, that we receive but to 
share, and that we can never really share without 
mutual understanding. 

The form of government of our clubs has developed 
and fostered this mutual understanding between 
women of wholly different social grades. It has 
developed also a spirit of service, for it was but a step 
from the realization that each could contribute to the 
welfare of the club to the further apprehension that 



i goo.] WORKING - WOMEN'S CL UBS 523 

club members had responsibilities beyond their club 
walls. This spirit of service first found expression in 
various li Lend a Hand" circles where the members 
distributed fruit or flowers to sick people in the neigh- 
borhood. A committee from one club befriended many 
families under the supervision of an agent of the local 
charity organization society. The members of the 
committee showed so much judgment that there were 
few cases in which the help given did not meet with 
the full approval of the agent. Many clubs distribute 
flowers in the summer, share their Thanksgiving 
dinners in the fall, and at Christmas welcome small 
guests to a well-laden tree. 

How far-reaching in its effects may be the mutual 
understanding from club life is illustrated by an expe- 
rience in one of the large manufacturing cities of 
Massachusetts. The working members of the clubs 
were all employed in the mills owned by the fathers, 
brothers and husbands of the members who were not 
wage-earners. " During a long winter's strike in the 
mills the girls never wavered in their allegiance to the 
club. They heard the employer's side of the question 
calmly told them by women they trusted. The tale 
was carried home to the men of their families. The 
girls had the opportunity to state their grievances and 
this in turn was carried back to their employers. More 
good feeling on both sides was encouraged in the city 
by the club than by any other means for reaching both 
sides represented by capital and labor." 

The association in our clubs of women of different 
points of view is most valuable. Calmness of judg- 
ment and breadth of view are necessary in the con- 
sideration of any industrial problem ; but they will be 
purely visionary without a knowledge of all its practi- 
cal bearings. The value of this association is well 
illustrated by an incident which occurred in Baltimore 



524 GUNTON'S MAGAZINE [June, 

about two years ago. " One of the largest commercial 
bodies in the city announced in the papers that it in- 
tended to furnish house rent free for six months to 
several hundred families to be brought to the city from 
smaller places, with the understanding that there were 
to be at least three women in each family able to 
operate sewing-machines in factories. It was urged, in 
favor of the plan, that many more operators were 
needed by the manufacturers. Members of a girls' 
club to which a number of machine operators belonged 
made inquiries in the club as to the truth of this state- 
ment and found that many of the largest factories were 
not working full time. Finding that thoughtful women 
in the charitable and social organizations of the city 
were beginning to question whether this importation of 
new workers would not depress wages, the club imme- 
diately joined forces with those who were interested. 
A meeting was held at which the machine operators in 
the club were invited to state their side and in less than 
a week a committee representing five thousand women 
presented a protest to the commercial organization and 
the whole matter was dropped. This was not brought 
about by the little handful of factory workers who 
happened to belong to a girl's club, but it would hardly 
have been accomplished without them," 

In Massachusetts the state association of working- 
women's clubs has been of real value to working women 
in general, as it has succeeded in introducing the eight 
hour workday in the dry-goods stores of Boston. The 
conditions in Boston which made possible such a move- 
ment on the part of the Massachusetts Association were 
unusual and peculiarly favorable. The Boston Dry 
Goods Clerks' Benefit Society had been agitating the 
question for several years, so that the public were some- 
what prepared for it. I quote from the report of the 
association for 1 897 : 




igoo. ] WORKING- WOMEN'S CL UBS 525 

"At the Dec. 1896 Directors' Meeting it was de- 
cided to assist this movement as far as possible. The 
secretary was empowered to send out petitions to every 
woman's club in Boston and vicinity for the early clos- 
ing of the stores during the months of January, Feb- 
ruary and March, 1896 a; large number of names were 
obtained in this way. Several distinguished clergy- 
ment and philanthropists also gave it their active sup- 
port. The proprietors of the large dry-goods stores 
were interviewed by the Association's officers. The 
different firms received them most courteously and 
agreed that the experiment was worth trying, and an- 
nounced in the daily papers that the stores would be 
open at 8.30 A. M. and close at 5.30 P. M. until further 
notice. This custom continues to the present writing, 
June 1897, an hour being given at noon for lunch. The 
movement is spreading rapidly and other stores are 
closing early in Boston and vicinity." 

These examples show what may be accomplished 
by clubs in which almost all the members are busy in 
store and factory eight and ten hours a day. The con- 
spicuous service which many clubs have been able to 
render to the communities of which they are a part has 
been possible largely on account of the nature of their 
organization. Not that I would overestimate the value 
of our principles. A club may be self-governing and 
self-supporting and yet not be a success. A frame- 
work is not a completed structure. Enthusiasm, per- 
sistence, and devotion are necessary to the success of 
any undertaking, no matter what its principles are. 
The value of self-government, self-support, and co- 
operation as club watchwords lies in the fact that they 
are based on the great truth that differences in economic 
condition do not involve differences in fundamental 
human characteristics and rights to opportunity, recog- 
nition and respect. Unless this truth is appreciated by 



526 GUNTON'S MAGAZINE [June, 

the originators of a club, there may be lack of sym- 
pathy and a possible danger of patronage. Mutual un- 
derstanding and confidence will accompany its full real- 
ization. 



Miss Wilkinson's account of the working- women's 
clubs forms another contribution to the constantly ac- 
cumulating evidence that women are taking an active 
part in the general social movement. The extent and 
variety of women's organizations is much greater than is 
commonly supposed. There is a national federation of 
women's clubs, which includes 600 independent clubs, 
besides 30 state federations containing 2,110 clubs with 
a membership of 132,023. New York takes the lead 
with 196 organizations, 25,000 members, Massachusetts 
is next with 123 clubs and 17,000 members, Illinois has 
185 clubs and 15,000 members, Pennsylvania 71 clubs 
and 8,607 members, District of Columbia has 10 clubs 
with 5,000 members. 

There is an immense field of usefulness for women's 
organizations to do work that men cannot do half so 
well, if at all. Under the factory system the tendency 
is to work women and children longer, under worse 
conditions and for less pay than men. On these condi- 
tions the influence of women's organizations, both 
among the working-women themselves and among 
women's clubs of more general character, could be very 
great. 

This great movement of women's clubs should now 
become a source of economic and political information. 
When the women can intelligently discuss the economic 
and social aspects of the sweatshop and the conditions 
of the working girls, the industrial and political dan- 
gers of unrestricted immigration, and other questions 
that affect the welfare of the community, especially of 



i goo.] WORKING-WOMEN'S CLUBS 527 

the working- women and children, opposition to these 
reforms would become impotent. 

The men, particularly the organized workingmen, 
will readily come to the support of the women's de- 
mands in these respects. The next step in woman's 
organizations should be to take on this educational char- 
acter. Every woman's club might easily be made a 
center of economic and political study. A practical 
step in this direction would be for the national federa- 
tion, including the 30 state federations, to begin with 
employing one able and well-equipped woman to devote 
her whole time to the organization of study classes, 
much on the plan that the Young Men's Christian As- 
sociations do the work in their different departments, 
such as army and navy departments, railroad depart- 
ments, etc. The expense would be slight and the re- 
sults enormous. They would soon be able to have an 
organizer for every state. This would be the begin- 
ning of a systematic though not tedious work of educa- 
tion on public questions for women. A few years of 
systematic work by the immense club organization that 
now exists would make the women of America, espe- 
cially the working- women, more of a power in the 
community than the women of any other country, by 
as much as our institutions are freer and progress 
greater than in the rest of the world. [EDITOR.] 



EDWIN MAXEY, LL.D. 

For about twenty years the Egyptian question in 
its present form has been an open question in Europe. 
This question involves the following considerations: 
What right has England in Egypt ? Would other na- 
tions be justified in forcing a settlement of the question 
in the present emergency ? Are they prepared to re- 
sort to force ? What settlement have they to offer ? 

The bankruptcy of Egypt, due to bad financial 
management, led to a joint control of the finances by 
representatives of France and Great Britain. An ar- 
rangement of the above sort was sure to have been a 
source of trouble, had it lasted. But fortunately it did 
not last long ; for the jealousy of foreigners, religious 
fanaticism and the discharge of the Egyptian army 
which left many able-bodied men out of employment 
all these causes combined to bring about a revolt. 
France refused to furnish any aid in putting down the 
revolt and so England was forced to put it down or get 
out. She chose the former, and after a brilliant cam- 
paign by land and sea the forces of Arabi were practi- 
cally destroyed in a very short time. England now 
felt that it would be culpable generosity in her to in- 
vite or permit France to join her in reaping the fruits 
of labors in which she would take no part. England, 
therefore, caused the khedive to issue a decree, in 1883, 
abolishing the joint control. She next proceeded to 
place the finances of Egypt on a firm footing and sta- 
tion garrisons in such numbers and places as to prevent 
a future return to anarchy. Nominally this arrange- 
ment was a temporary one, but actually England has 

528 



THE EG YPTIAN Q UES TION 529 

no disposition to get out of Egypt and we may be rea- 
sonably sure she will not unless forced to do so. 

Primarily, then, the position of England in Egypt 
rests upon force. But has she no higher claim ? 
Egypt herself must give the answer. Neither is this 
answer a doubtful one. The records of Egyptian 
progress within the last twenty years, while they may 
lack the glitter of bayonets, are not to be disregarded 
as evidence in the forum of a candid world. From a 
national bankrupt Egypt has, under the wise financial 
guidance of England, become not only a solvent nation 
but a nation whose credit compares favorably with that 
of many of the states of Europe. Her fiscal reports 
now show a balance on the side of income rather than 
on the side of expenditure as formerly. The Egyptian 
surplus for 1898 was 1,190,000 pounds sterling. Egypt 
is no longer food for the fattening of the money sharks 
of Europe, as she was twenty years ago. She can now 
borrow money at a just rate of interest and is in a fair 
way to pay her old indebtedness. But the financial re- 
construction, commensurate with that wrought by Alex- 
ander Hamilton in our own country, is one of the least 
of the benefits England has conferred upon Egypt. 

The government of Egypt as England found it had 
so lost its hold upon the people that neither life nor 
property was safe. A foreigner may now travel un- 
armed in Egypt with as great safety as in Italy. The 
owner of property there feels reasonably sure that 
when he has paid his taxes to-day he will not be called 
upon to pay them over again to-morrow. 

Egyptian commerce has increased more than ten 
per cent, within the last five years. The railroad and 
the telegraph, concomitants of advancing civilization, 
are being stretched over Egypt, not simply contem- 
poraneously with but in large part as direct effects of 
English occupation. The reconstruction of the judicial 



530 GUNTON'S MAGAZINE [June, 

and educational systems has succeeded beyond the pre- 
dictions of the most sanguine. The improvement of 
the educational and judicial systems, here as every- 
where, has been at once cause and effect of social bet- 
terment. This improvement has not been confined 
within the limits of Egypt proper. Anglo- Egyptian 
rule has been extended so as to encompass savage tribes 
and hitherto worse than useless territory. And if it 
has not succeeded in making this region redolent with 
the fragrance of the rose and radiant with the sunlight 
of higher civilization it has at least rendered a valuable 
service to mankind by abolishing the slave trade in all 
those lands over which it has extended its spheres of 
influence, and some of those were but recently im- 
portant highways to that traffic. 

So much for the basis of Britain's claim to Egypt, 
which is in short expediency. Her title cannot be 
said to rest upon prescriptive right, for this title has in- 
deed been questioned more than once within these 
twenty years. France has repeatedly threatened to 
make England "show her hand.*' There were covered 
threats (and very thinly covered too) during the Fashoda 
negotiations, and one does not need to seek far or deep 
to find the reason why those threats were not at that 
time developed beyond the stage technically known as 
" bluff." Nor does it require any extraordinarily subtle 
insight into politics to discover why this bluff did not 
create a panic in diplomatic circles. Unfortunately for 
France the Fashoda child was prematurely born. Were 
the Fashoda case now pending the ejectment of Major 
Marchand might lead to more serious proceedings in 
appeal. But the Fashoda incident is settled. The 
question now is, can France or any other nation afford 
to take advantage -of Great Britain's preoccupation in 
South Africa to force a settlement of the Egyptian 
question ? Would such a move accord with inter- 



igoo. J THE EG YPTIAN Q UESTION 531 

national ethics ? Would it not be tinged with a sug- 
gestion of cowardice ? The answer which must be 
given to these questions is not doubtful. While the 
international code of ethics lags behind the code which 
governs the intercourse between individuals, there are 
nevertheless certain principles of international comity 
which are considered binding in the forum of nations. 

But, waiving the moral question, we have still the 
question of expediency which, like the poor and the 
tax gatherer, abideth forever. 

Viewed, then, from the standpoint of simple ex- 
pediency, what nation or nations, if any, can at present 
afford to resort to force in pressing their demands for a 
settlement of this perplexing problem ? The nation 
most intimately concerned in ejecting England from 
Egypt is, of course, France. But in an aggressive cam- 
paign against Great Britain can France hope for success, 
notwithstanding the fact that a considerable portion of 
the British army is needed to operate in South Africa ? 
Such a campaign would of necessity be in large part 
naval ; and presumably Egypt would be the objective 
point. France would therefore have two main avenues 
of approach ; first, by way of the Atlantic and then 
overland across French possessions to Egypt ; or, 
second, by way of the Mediterranean either direct to 
Egypt or through Algeria. Let us examine these for 
a moment. Has France a sufficient Atlantic squadron 
to protect her transports along the first route ? An ex- 
amination of the facts convinces us that a negative 
answer must be given. 

But, admitting that she has, it would still be neces- 
sary for her to protect an exceedingly long line of com- 
munications by land through an open and for the most 
part barren country. This is a task which would tax 
her resources to the utmost. We may therefore con- 
sider this route as practically out of the question. There 



532 GUNTON'S MAGAZINE [June, 

remains the Mediterranean route. Here we find that 
the British squadron outclasses the French, with the 
further advantage on the side of the British that they 
control the avenues by which an additional force could 
enter the Mediterranean. Egypt is equally safe from 
attack from this direction as from the other, inasmuch 
as the French fleet would not be sufficiently strong to 
protect their line of transports. The chances of success 
are, therefore, such that France cannot well afford to 
undertake, alone, to drive England out of Egypt, and a 
prominent English statesman has admitted with 
characteristic candor, bordering upon bluntness, that 
England does not mean to get out unless forced out. 
There is the further consideration that France has 
enemies on the continent and cannot wisely enter upon 
an undertaking that will weaken . if not exhaust her re- 
sources. 

But may not France accomplish by an alliance 
what would be impossible for her to accomplish single- 
handed ? There is but one direction in which France 
may turn with any reasonable hope of securing an ally 
to this enterprise, and that is to Russia. But Russia 
can employ her energies to a far better advantage in 
Persia and China. There she can obtain a foothold 
much more easily and one which would be of far more 
practical use to her. Interference in Egypt by Russia 
could benefit the latter only indirectly by crippling 
England, while in Asia Russia can gain direct advan- 
tage as well as indirectly threaten English prestige. 
Hence there is very little likelihood of Russia going 
farther than diplomatic protests against England re- 
maining in Egypt. And even were Russia inclined to 
embark in this enterprise it would be difficult for her 
to render the needed assistance to France, for Russia's 
fleet would at the outset be bottled up in the Black Sea 
and would continue in that comfortable but ineffective 



i 9 oa] THE EG YPTIAN Q UES TION 533 

condition during the continuance of the war, and her 
land forces would be compelled to operate at almost an 
equally great disadvantage. 

But, granting the power to oust England, what 
would the world or Egypt gain thereby ? For certainly 
the interests of Egypt are entitled to some considera- 
tion. Could France alone or France and Russia com- 
bined bring about a better condition of affairs than can 
reasonably be hoped for under the present rule ? 

If not, where is the justification for the use of 
force ? The age of conquest simply and solely for 
military or political aggrandizement is past. Neither 
will it do for either or both to drive England out, then 
get out themselves and say : " After us, the deluge." 
It is an extremely doubtful problem whether Egypt is 
capable of continuing, alone, the measure of prosperity 
and liberty she now enjoys. Therefore, whoever dis- 
turbs the equilibrium assumes a great moral responsi- 
bility. But, notwithstanding the present desires and 
jealousies, there is no immediate danger of a resort to 
force in the settlement of this question. The argument 
against such a move, even from the standpoint of 
expediency, is too strong. 



ARE WE GOTHIC OR A MIXED RACE?* 

MOULTON EMERY 

The term "race " the writer takes to mean strictly 
the most perfect homogeneity of a people in feature, form 
and disposition that the same soil can originate, and the 
term nation to signify a race that exists under one form 
of government, albeit mixed to some extent with for- 
eign elements. The dominant idea in the former is 
perfect sameness of origin, and in the latter perfect 
sameness of government. Thus we speak of the Gothic, 
the Celtic and the Slavic races, and of the French, the 
Spanish and the Russian nations. 

In determining the correct status of the American 
people among the various nationalities of the world, we 
can do so only through comparison with other peoples. 
When we come to study the subject we shall find that 
absolute purity of race exists nowhere in Europe under 
one government where race and nation become per- 
fectly synonymous terms except in Norway, Sweden 
and Denmark ancient Scandinavia. Gothic they were, 
Gothic they are, and Gothic they doubtless always 
will be. 

The Gothic race peopled all the countries border- 
ing on the Baltic and the North Seas. As Saxons, 
Frisians, Angles, Jutes and others, it occupied all the 
territory now known as Prussia proper, Brandenburg, 
Mecklenburg, Holstein, Schleswig, Hanover; the free 
cities Westphalia, Brunswick, Oldenburg, Holland and 

*This article is the first in a series to extend through the next four 
months, analyzing the racial origins and composition of the people of the 
United States. Among the authorities to which the author refers in 
support of his data are Froude, Green, Macaulay, Buckle, Bancroft, 
Palfrey, Hewit, Ramsay, Baird and the U. S. Census Reports of 1890. 

534 



ARE WE GOTHIC OR A MIXED RACE? 535 

Flanders. It doubtless passed from Denmark into 
Norway and Sweden. It was the southern Goths that 
overthrew the Roman empire. The name German or 
Teuton was incorrectly applied by the Romans to all 
the people east of the Rhine instead of to the central 
tribes alone. The Germans are not the parent stock of 
the great Gothic race, but are only a branch of it. 

What the Greeks were to the ancient world the 
Goths were to the modern, the personification of the 
highest type of dauntless bravery and heroic undying 
courage. They conquered all Europe and stamped 
their individuality on every people Whatever goes to 
physical and mental endowment and the mental 
is but a product of the physical, plus the environment 
they possessed in a preeminent degree. Their supe- 
riority was not a temporary glow, to die down and dis- 
appear forever. It was in the blood and burned as 
fiercely in the eighth century as in the fourth. They 
were born rulers of men, the natural aristocracy of the 
earth. The Russians sent over to the Norman Goths- 
and begged for Rurik as a ruler ; and in France, Eng- 
land, Scotland and Ireland, in the two Sicilies, the isles 
of the Mediterranean and the Holy Land, their suprem- 
acy as fighters and rulers was unquestioned. Nor is 
the parallel incomplete in civilization, refinement and 
the arts, for their monuments rise in every land in lofty 
spires and towering battlements. To be descended from 
a Norman Goth is to be a born aristocrat with a patent 
of nobility struck from the pages of heroic history. 

When we get beyond the primary classification of 
European humanity into the Gothic, Celtic and Slavic 
races, down to the sub-races we shall find that perfect 
purity of blood is the exception among Celtic peoples. 
Communities of such exist only in isolated inaccessi- 
ble corners of the earth, which either repelled or failed 
to invite a foreign foe. Indeed, the Jewish race itself, 



536 GUNTON'S MAGAZINE [June, 

which is generally supposed to be the only type of 
racial purity, is in reality no purer than others, though 
living under the express command of God to this end. 
Their repeated captivities and perversities nullify any 
such claim. Their monotheistic faith alone remains to 
them pure. 

The Spaniards cannot say they are from a com- 
mon ancestor. The only pure stock in Spain is the 
Biscay an. It is supposed to be the original race of 
Europe. Hemmed in by the sea on the north, and by 
the mountains on the south, it possesses nothing in 
blood or language in common with the rest of the con- 
tinent. All Spain except the territory of the Biscayan 
was overrun by the Visigoths, who were in turn sub- 
dued by the Saracens, in whose train came thousands 
on thousands of Jews. Celt, Goth, Saracen and Inqui- 
sition Jew form the basis of the modern Spaniards. 
Almost the same may be said of the Portuguese. 

When we come to Italy the question is not what 
foreign elements are represented in her people, but 
rather what are not. The Latins as a distinct people 
had disappeared long before the time of Caesar. Not 
only all the Mediterranean races but all the races of 
the known world go to the making of her nationality. 
Europe, Asia and Africa deluged her with slaves, the 
fruits of conquest, and Gothic blows and blood welded 
them together. The French are the product of Gaul, 
Frank, Briton and Norman. The Greek race has re- 
mained comparatively free of contamination. Its slaves 
were Greeks, not barbarians. 

Next to the Italians the Irish are the greatest mix- 
ture of any people in Europe. The modern Irishman 
is a compound of Irish and Scot, Scandinavian, Saxon 
and Frenchman. The only pure unadulterated Irish- 
man is to be found in Connaught. Spanish pirates set- 
tled in the South, Danish pirates founded Dublin, Wex- 





igoo.] ARE WE GOTHIC OR A MIXED RACE? 537 

ford, Waterford, Cork and Limerick, and it is but fair 
to presume spread out into the interior. Dublin, Louth, 
Meath and Kildare were occupied almost exclusively 
by Anglo-Normans ; these counties formed the English 
Pale. Antrim was settled by Highlanders from the west- 
ern coast of Scotland, and Leinster and Munster were 
peopled to some extent by colonies of English sent 
over by Queen Elizabeth on the overthrow of the Earl 
of Desmond. 

In Scotland the Gothic conquest extended as far 
north as the Firth of Forth. The Celts were driven 
back to the western coast and to the Highlands. The 
Lowland Scotch, whether from Scotland or Ireland, 
were of the same origin as the English ; only the acci- 
dent of battle prevented the Lowlands from being a 
part of England, and the Lowlanders from being Eng- 
lishmen. "The population of Scotland, with the ex- 
ception of the Celtic tribes, which were thinly scattered 
over the Hebrides and over the mountainous parts of 
the northern shires, was of the blood of the population 
of England, and spoke a tongue which did not differ 
from the purest English more than the dialects of Som- 
ersetshire and Lancashire differ from each other." 
(Macaulay's "History of England.") 

It has long been the fashion to speak of the Eng- 
lish as not entitled to be called a race, but as only a mix- 
ture of racial elements. Even the language has not 
escaped, but is regarded as only a dialect. Such state- 
ments are the emanations of pure ignorance. Just the 
contrary is the case. The Gothic conquest of England 
was not effected in a day, but required one hundred 
and fifty years to accomplish. It was not a subjuga- 
tion or an absorption. It was almost an extermination. 
It was a war to the death in which no quarter was given 
or asked. The Britons did not pass under the yoke. 
They did not surrender. They either died in their 






538 GUNTON'S MAGAZINE [June, 

tracks or slowly and sullenly, inch by inch, retreated to 
new lines of defence until they could go no farther. 
Wales and the sea received the remnants of them. A 
few remained in Cornwall and Westmoreland. That 
with this slight exception the English are wholly free 
of Celtic blood everything goes to prove. Scarcely a 
word of the Celtic language survives in the nomencla- 
ture of English towns, places and rivers. It is only 
when one gets to the western border that any evidence 
is met with that such a people as the Britons ever in- 
habited the land. 

In 886 the Normans under Rollo besieged Paris 
with 40,000 men, and after losing 7,000 men in battle 
wrested Normandy from the French king. The Nor- 
mans must have been very numerous in the new 
country of their conquest. Doubtless such of them as 
were single took Neustrian wives. But the Neustrians 
were not Celts, they were Franks, Germans, who con- 
quered northern Gaul and peopled it. So that when 
two hundred years later the Norman conquest took 
place Normandy with the natural rate of increase must 
have numbered fully if not more than one million souls. 
When swarms of them poured across the channel into 
England it was not an alien race that invaded the land ; 
it was practically men of the same blood ; Goth to Goth. 
All research goes to prove that the English, like the 
Norwegians, Swedes and Danes, are of the purest 
Gothic blood. 

Holland is wholly Gothic, and so is most of Bel- 
gium. Germany has preserved the purity of the Teu- 
tonic race except, perhaps, on the extreme borders. 
Russia is Slav and Tartar, and to some extent Germanic. 
Of Celtic peoples the Welsh alone have remained abso- 
lutely free of foreign elements. 

Now who and what are we Americans, the people 
of the better part of this North American continent ? 




i 9 oo.] ARE WE GOTHIC OR A MIXED RACE? 539 

Have we any claim to belong to any one race? Have 
we any predominant inheritance from any European 
stock? Or are we a mixture of many races, destined 
like the numberless nationalities of ancient Italy to boil 
and simmer for a thousand years or more before we 
can throw off the dross of inharmonious features, forms 
and dispositions, and grow into uniformity of type and 
temperament can become the perfect product of our 
environment? On this question the most erroneous 
notions prevail. 

To those who, like the writer, were born and 
reared on the hills of New England where their an- 
cestry have slept for centuries, who have looked 
abroad on none but the descendants of English stock, 
and who have grown up in the belief that New 
Englanders in particular and the rest of the people 
in general are as much a branch of the English race 
as the Greeks of Asia Minor were a branch of the 
Greek race, the question seems a most frivolous one. 
But to the newcomer, the Celt or Slav, or to the man 
who has never taken note of anything save the swarms 
that have passed through Castle Garden, we are indeed 
a mixture of all the races under the sun, from every 
clime and every country. And yet the question admits 
of a definite answer if one will bestow on it the neces- 
sary study. 

The people who fled across the Atlantic to find new 
homes in the wilderness of the western world were 
mostly the victims of religious persecution. To the 
intolerance and bigotry, not of the church of Rome, 
but of the church of England, is due the fact that 
America, these United States, was in its settlement and 
occupancy down to 1820 mainly English and almost 
wholly Gothic. Whatever doubts there may be as to the 
character of the present population, there surely can be 
none as to the nationality of the settlers down to that 



540 GUNTON'S MAGAZINE [June, 

time. By the process of exclusion alone the student of 
history cannot go far astray from the facts. 

Down to the revolution none or next to none came 
from Spain or Portugal. Only a small band of 167 
Waldenses came from Italy and settled on the South 
river, the Delaware. In those days catholic powers 
were not troubling themselves to build up protestant 
communities, however active they may be to-day in 
dumping on us their pauper subjects. 

The Celtic element came from France, Wales and 
the Highlands of Scotland. Considering the sparse - 
ness of the population of the two latter countries at 
that time and the absence of religious persecution, 
that most potent of all stimulants to emigration, the 
number could not have been large. In fact it must 
have been very small. After the revocation of the 
edict of Nantes in 1685, a few colonies of Huguenots 
came over and settled in the lowlands of South Caro- 
lina, at New Rochelle, and on the Hudson in New 
York, and in Massachusetts and Rhode Island. It is 
true that the dragonade of Louis XIV. exiled many 
thousands of Huguenots, but they did not all come to 
America. The number that did has been greatly over- 
estimated. In all probability ten times more of them 
remained in England than sought our shores. They 
spread throughout protestant Germany, the king of 
Prussia sending them a special invitation to make their 
abode in his dominions. When the banner of the stub- 
born Stuarts went down forever on the battlefield of 
Culloden in 1 746, a number of Highlanders were trans- 
ported to the Carolinas, but they were few. 

Celtic Ireland contributed none to the early settle- 
ment of the colonies. Whilst it is possible that now 
and then an Irish Celt might have migrated hither, it 
is an indisputable fact that no regular Celtic Irish im- 
migration set in until many years after the revolution, 



igoo.J ARE WE GOTHIC OR A MIXED RACE 541 

when the famine drove them forth. They migrated 
only to catholic countries, France, Spain and Austria. 
Down to 1580 Ireland was wholly catholic. Her popu- 
lation, whether Spanish, Danish, Norman, English or 
Scotch in origin, all had the same religious faith. The 
reformation that spread over all Europe was stayed in 
its course at the Irish Sea. The people of Ireland were 
beyond the reach of modern thought and investigation. 
No currents of intellectual activity reached their shores. 
Living a half savage life they received all the benefits 
of the papal system and experienced none of its abuses. 
They were then as now, ever have been, and in all 
probability the catholic portion of them always will 
be, under the complete domination of the priesthood. 
The monarch may reign but the priests rule. 



EDITORIAL CRUCIBLE 



IN ADDRESSING a Boston club recently, Mr. Gama- 
liel Bradford is reported as saying that if necessary he 
was " willing to lay down his life for his country." 
There are only a few occasions upon which that sort of 
speech is anything but cheap talk. There is not likely 
to be any opportunity for Mr. Bradford to lay down his 
life for his country by merely talking against annexa- 
tion. The real way to do it is to join Aguinaldo's 
army. Really, the Bradfords and Atkinsons do far 
more toward making the American people endorse ex- 
pansion than any efforts the administration makes. 



THE INCREASE of American exports is something of 
a disturbing element in the calculations of the anti- 
tariff prophets. The present tariff was deplored as 
being the handicap to any real extension of our foreign 
commerce. Curiously enough the course of trade de- 
velopment has paid no attention to these solemn warn- 
ings. Our exports are greater now than ever before, 
indeed our exports to Germany are increasing at such 
a rate as to cause quite a little disturbance in the gen- 
ial sentiment of our Teutonic brethren. Germany used 
to import more into the United States than we sent to 
Germany, but this has been radically changed and the 
balance is the other way. During the calendar year of 
1898 the value of the German exports to the United 
States was $77,700,000; during the same year our ex- 
ports to Germany were $163,800,000 a difference in our 
favor of $86, 100,000. The curious aspect of it all is that 
our free-trade doctrinaires are now beginning to lecture 
Germany on the merits of free-trade, assuring the Ger- 
mans that our expansion is not due to our protection 

542 




EDITORIAL CRUCIBLE 543 

and that protection cannot help Germany. These 
people do to well seek a foreign market for their intel- 
lectual wares. Experience is too much for them in the 
United States. 



THERE is A manifest effort being made in certain 
quarters to turn the visit of the Boer delegates to this 
country to political account by injecting the Transvaal 
war into our national campaign. Of course the opposi- 
tion may try to utilize a pro- Boer sentiment, but the 
administration party ought to know better than to de- 
scend to this method of campaigning. There is noth- 
ing this country can do to help the Boers in their 
present struggle, and there is nothing in the Boer cause 
to warrant any sympathetic action on our part. This 
country is preeminently the leader and friend of dem- 
ocratic institutions and of human freedom. The Boer 
government stands for neither. Politically it is a nar- 
row oppressive oligarchy; industrially it is a slave 
power. The present war was begun by the Boers, not 
in defence of their own but by invasion of British ter- 
ritory. True, it is a war for independence, but the 
object of the independence is not to extend democracy 
and equal rights but to give the Boers undisputed 
power to oppress immigrants and make slaves of the 
natives. The Boers hate England largely because she 
abolished slavery in the Transvaal. Besides violating 
the spirit of the Monroe doctrine, to endorse 
the Boers would be to endorse political despotism and 
chattel slavery. 



THE NEW currency law seems to be working better 
than many of its friends anticipated. In the first forty- 
six days of the new act (March i4th to May ist) the in- 
crease in the national bank circulation has been greater 
than in the preceding seven years. During this brief 



544 GUNTON'S MAGAZINE [June, 

period applications have been received and approved 
for 236 new national banks, 194 of which will have a 
capital of less than $50,000. This increased circulation 
amounts to $29,692,368, and it appears to be distributed 
largely in the rural districts or smaller cities, as less 
than two millions and a half of it has been issued by 
the associated banks of New York. According to re- 
turns received from 3,000 national banks, it is estimated 
that there will be an immediate further increase of over 
$69,000,000, and still another increase of more than 
$20,000,000 during the year. So that, under the first 
year's operation of the new act, by the use of the new 
bonds the national bank circulation will probably be 
increased fully $110,000,000. This is an increase in 
the volume of currency largo enough perceptibly to 
affect the money markets of the country. For the pas- 
sage of this act the administration is entitled to un- 
stinted credit. 



THE CROKERS and Van Wycks of Philadelphia seem 
to have found a tartar in John Wanamaker. As editor 
of the North American, Mr. Wanamaker's son criticized 
the conduct of the mayor and certain other city officials 
of Philadelphia, and in true Tammany fashion Mr. 
Abraham L. English, director of public safety, accom- 
panied by the commissioner of city property, called 
upon Mr. Wanamaker to demand that he stop the criti- 
cism. They warned him that they would immediately 
put in operation their political scandal-manufacturing 
machine of a most personal and defamatory character. 
This method of approach usually makes most men 
yield, but Wanamaker was an exception. With him 
the trick would not work. He defied their threats and 
ordered them to leave his office at once. 

This exposition is useful at least as showing the 
scandalous methods these political ruffians resort to. 



i 9 oo.J EDITORIAL CRUCIBLE 545 

If a man cannot be bullied or bribed he must be ruined 
by manufactured scandal, which, even though false, he 
is usually powerless to prevent. But Mr. Wanamaker 
is not only a clean man and a bold man but he is a rich 
man. He can put more machinery in motion than the 
whole group of Philadelphia scandal-manufacturing 
city officials, and what is more Mr. Wanamaker has the 
confidence and respect of the community, which they 
have not. He will be backed by the moral sentiment 
of the nation in the heroic stand he has taken and in 
any fight that may follow. Blackmailers are always 
cowards when they are cornered. 



ON THE first of May the Standard Oil Company in- 
creased the wages of its employees in Williamsburgh, 
Greenpoint and Long Inland City 10 per cent., and re- 
duced their working time from ten to nine hours a day. 
On the 1 4th of May this increase of wages and reduc- 
tion of time was extended to all its employees at its 
different stations and distributing points throughout 
the country, including over 30,000 workingmen. Com- 
menting on this unusual step for a large corporation 
the Brooklyn Eagle says : 

" The reasons for the increase in the wages of the employees of the 
Standard Oil Company are of less consequence than the increase. It is 
estimated that the total amount of the additions to the pay of the men 
will reach $1,500,000 a year, and that the total pay roll will, in the future, 
be $16,500,000 every twelve months. It is said that no man employed 
by the company receives less than $1.50 a day and that the average 
wage is $2." 

It may be said that the Standard Oil Company can 
easily afford to give its employees an extra million and 
a half dollars a year, but that is not the point. People 
do not usually pay all they can afford to but only what 
they must. It is one of the hopeful signs of the times 
that despite the calumny, abuse and efforts to blackmail 
this concern in a hundred ways, its management should 



546 GUNTON'S MAGAZINE [June, 

pursue the even tenor of its way as if it were receiving 
compliments, raise the wages of its workmen and 
shorten their hours without being asked. If all large 
and wealthy corporations would follow its lead in this 
respect as eagerly as they follow its methods of corpo- 
rate organization, a new era in the relations of capital 
and labor would soon begin. 



AT THE RECENT race conference in Montgomery, 
Alabama, the repeal of the fifteenth amendment was 
advocated as the remedy for race troubles in the 
South. The franchise was given to the negro on the 
mistaken assumption that people can be made equal by 
statute law, and they cannot. That would require a 
miracle. Thirty-five years' experience has shown that 
no miracle was wrought. In the South the white race 
has shown that it will not submit to negro government 
under any circumstances. There is really nothing ex- 
ceptional in this. There is no place on the earth where 
it will. A few dozen white people go into Hawaii and 
rule the natives, a handful of Europeans go into Africa 
and govern the country. Wherever the white race 
comes in contact with inferior races it always governs. 
Granting that the fifteenth amendment was a mistake, 
it is now too late to obtain its repeal. The race ques- 
tion will have to be solved some other way.' The indi- 
vidual states may ultimately find some way legally to 
eliminate the negro from politics. But in doing this 
they must be prepared to surrender part of their repre- 
sentation. The southern states have always been over- 
represented in the national government. Before the 
war they had two-fifths representation for their slaves, 
which were then simply property and no more entitled 
to political representation than horses, sheep or cattle. 
Since the war the southern states have been over-repre- 
sented in congress by the illegal suppression of the 



1900.] EDITORIAL CRUCIBLE 547 

negro vote. If the South insists on eliminating the col- 
ored vote, its representation should be promptly reduced 
to the basis of its white population, thus for the first 
time in the history of the republic putting it on the 
same political basis as the rest of the United States. 



M :. ANDREW CARNEGIE is one of America's public- 
spiritt i citizens. He has demonstrated his interest in 
popular education by giving millions to the erection of 
public libraries, where the masses may have free access 
to the best there is of literature and art and other aids 
to intelligent and well-informed citizenship. In order 
that the working people may have the benefit of these 
extraordinary opportunities they must at least have the 
time to visit the libraries. To secure this, which alone 
can make libraries a real opportunity for the masses, 
there must come a shortening of the working day. 
Libraries and lecture halls can be of little service to 
laborers who work twelve hours a day. Now is an ex- 
cellent time for Mr. Carnegie to take the next step for- 
ward in his good work by adopting the three-shift 
system. In many departmonts of iron and steel manu- 
facture it is necessary for the machinery to work con- 
tinuously night and day. Under the two-shift system 
this obliges laborers to work twelve hours at a stretch. 
The next feasible step is to adopt the three-shift sys- 
tem, which would give the eight-hour day. This would 
be a great advance and a consistent part of Mr. Car- 
negie's free library scheme. There is every reason, 
economic, social and moral, why the shorter working 
day should mark the next step in our national progress, 
and there are special reasons why in the iron industry 
the three-shift system should be adopted. Won't Mr. 
Carnegie do this, and thus set the pace for a general 
improvement for the workers in the iron industry of the 
country? 



A LABOR-UNION COLLEGE 



It has been announced that the American Federa- 
tion of Labor is contemplating the establishment of an 
institution for the education of members of labor unions. 
The subjects to be covered are English and American 
History, constitutional law, political institutions, mu- 
nicipal government, political science, theoretic and ap- 
plied economics. The object, of course, is to furnish 
an opportunity for systematic study and thoroughly to 
equip leaders in the labor movement with a scientific 
knowledge of the various departments of economic and 
political science, so as to put the representatives of or- 
ganized labor fully on a level, so far as intellectual 
equipment and scientific information are concerned, 
with the best representatives of capital or the great 
political parties. 

The very suggestion of such a departure shows 
that evolution in the best progressive sense is doing its 
work within the ranks of labor organization. Despite 
all that is said against labor unions, the rashness of 
their leaders, the unreasonableness of their claims and 
the narrowness of their ideas, despite the constantly re- 
peated announcement that they are alien to American 
institutions, these organizations stay and multiply. All 
the forms of anathema have been applied against them. 
Legislation has been inflicted and courts have acted, 
leaders have gone to jail, but the unions thrive never- 
theless ; all of which shows that like " trusts '' they are 
here to stay. Political leaders cater to them a few 
months before an election, but in fact have never taken 
them seriously. They are not altogether to blame for 
this, for labor unions have to a very large extent made 
themselves nuisances because of the uneconomic and 

543 




A LABOR-UNION COLLEGE 549 

even unintelligent direction of their action. They fre- 
quently make claims upon individual employers, and 
often upon political parties, which cannot be seriously 
entertained, and it may be said that usually when em- 
ployers really recognize them to the full extent of 
treating with their representatives the unions soon try 
to take possession of the business and dictate the details 
of management, which obviously belongs to the em- 
ployer. In this way the best-intentioned capitalists 
have been soured against labor organizations, and not 
infrequently it happens that when the labor leader is 
judicious and moderate he loses popularity with the 
union ; they insist upon having the brawling declaimer 
at the front. The history of nearly every trade union 
reveals these characteristics, and wherever the union is 
sufficiently strong to enforce its recognition it becomes 
so despotic that it is only a matter of time when em- 
ployers seek an opportunity to organize against it, and 
so make war on the very principle of organization itself. 

In reality this is very much like the experience the 
community has with trusts. Capitalists combine and 
find that through their combination they have at least 
temporarily an advantage over the market situation. 
They often proceed to " put on the screws " by foolishly 
putting up the price of the goods or wantonly endeavor- 
ing to " freeze" competitors out of the business. In 
this way, through their unintelligent and wholly un- 
economic attitude they bring the whole community 
down upon them, and what is really good and sound in 
combination becomes disreputable because of the un- 
economic, uninformed leadership connected with it. 

But, notwithstanding all the blunders and the per- 
verse action due to unintelligent narrowness, large cor- 
porations have come and are coming. They increase in 
size and number, and are here to stay. This is rapidly 
becoming recognized by all classes in the community, 



550 GUNTON'S MAGAZINE [June, 

and legislators find that it is impossible to pass laws 
to suppress them without arresting the progress of 
society, which will never be tolerated. With all the 
antagonism and fuming, from the defeated competitor 
to the slick politician, it is now universally admitted 
that trusts or large corporations cannot be suppressed, 
and that the most that can be hoped is that they shall 
be intelligently directed. 

Despite the constant habitual declaration that we 
have no classes and must have no class legislation in 
this country, the fact remains and is becoming more 
obvious every day that the wage workers are a class. 
They are a class who have interests in common, inter- 
ests which are not in an immediate sense identical with 
the interests of the employing class. Of course, in the 
broader sense both the laborers and employers have a 
common interest; interest in prosperity, interest in 
freedom, interest in the progress of society, security of 
individual effort, freedom of thought and independence 
of social and political action. But, since wage receivers 
as a class depend for their welfare upon increasing 
their income and diminishing drudgery, and the 
employers upon the other hand have at least tempora- 
rily a seeming interest in not paying more wages and 
not shortening the working day, there is a manifest 
short-range conflict of interest. In the long-range 
societary sense the interests are common, but in the 
immediate instance both view their interests as antag- 
onistic, and that is why the conflict comes on with 
increasing severity, and that is why so frequently it 
happens that both sides show more heat than light 
upon the subject. 

The questions which are at least apparently wholly 
in the interest of labor must command recognition. It 
is useless to say that they involve class legislation. All 
the best legislation that the world has ever had has 



1900.] A LABOR-UNION COLLEGE 551 

been class legislation ; that is to say, it has been legis- 
lation in the interest of some specific object, which 
usually was to give freedom or advancement or protec- 
tion to some special group. The abolition of slavery 
was class legislation ; it affected only the slaves. The 
extension of the franchise to workingmen was class 
legislation ; it extended political power distinctly to a 
class previously excluded. All educational legislation 
providing free and compulsory education is class legis- 
lation ; it is chiefly for the children of the working 
class, not for the children of the rich. Every law, in 
Europe and this country, restricting the hours of labor 
of women and children is class legislation ; it is invok- 
ing the legal power of the community in the interest of 
a class which economically could not protect itself. 
The enforcement of sanitary conditions, the provision of 
fire escapes to factories, the right of factory inspection, 
and in fact the whole line of humane and civilized 
industrial legislation as represented in the factory acts is 
class legislation and it was all opposed on the theory that 
it was class legislation. The laissezfaire doctrinaire, econ- 
omist, statesman and employer, all alike protested 
against every step of this now admittedly beneficient 
legislation on the ground that it was class legislation. 

The laws that have been passed for the protection 
of life and health in mining, enforcing ventilation, 
inspection, safety of egress and the application of every 
known device to preserve the life and protect the limb 
and otherwise guaM the working conditions in mining, 
have all been passed not for the mine owner but for 
the laboring miners. This legislation became indis- 
pensable because the short-sighted self interest of the 
capitalists did not prompt them to do it, and the work- 
men were powerless to do it themselves; society, 
through legislation, had to do it for them. 

As a matter of fact, therefore, the idea that legis- 



552 GUNTON'S MAGAZINE m [June, 

lation is bad because it is for a class is all a mistake. 
It is only bad when it will fail to produce good effects. If 
it will benefit a hundred, a thousand or a million 
people of a particular class, though it does nothing for 
the rest of the community, it is a real contribution to 
civilization. It improves the condition of just so many 
human beings. It helps a class because it needed help- 
ing. The leaders of political parties fail to recognize 
this aspect of the subject. They seem to assume that 
workingmen are not justified in asking any legislation 
for themselves alone, and that they must take their 
share in the general benefit of general legislation, 
which affects everybody. They seem to imagine, 
because laborers are divided more or less evenly be- 
tween the two parties, that the respective parties 
equally represent the labor interests, and hence they 
look with impatience if not contempt upon any request 
by the laboring class or the wageworkers for special 
recognition. Both parties are willing enough to say 
that laborers shall be protected in their rights and have 
equality before the law, shall be guaranteed the free- 
dom to work where they like and for whomsoever they 
like, and so on, and conclude that that is the whole of 
the question. But it is not. These are general condi- 
tions which they share with everybody else in the com- 
munity. But there are special conditions from which 
the remainder of the community does not suffer person- 
ally and directly, and which the laborers are unable to 
affect for themselves except either through legislative 
action or coercive action of combination, often through 
strikes. 

It is for this reason that the laborers periodically 
attempt to flock off into a third party, and say ' ' Plague 
on both your houses." Whenever they do this they be- 
come less rational in their policy, because they segre- 
gate themselves from the more experienced and wiser 



i 9 oo.] A LABOR-UNION COLLEGE 553 

leadership which has dominated the action of the more 
successful and experienced classes. Whenever they 
have attempted to flock alone they have proceeded to 
denounce everybody not of their class as antagonistic, 
dishonest and to be treated as an enemy. Hence that 
is the time that they are caught by the red flag of 
socialism or by the noisy declamations of populism, 
in fact, that is the time that they become victims of the 
cheap campaigner and unscrupulous politician, and 
when they do this it not infrequently happens that the 
less scrupulous political parties will bid for their sup- 
port by promising to carry out the most irrational part 
of the laborers' program. This was conspicuously true 
in 1896. The Chicago convention bid for the populist 
and labor vote by exactly this method. Mr. Bryan's 
speeches throughout the campaign were appeals to the 
unreasoning feelings this created, and he is grinding 
out platitudes to the same purpose yet. But he is only 
enabled to do this because the other party practically 
ignores the situation. 

The result of these segregating movements is fre- 
quently that disintegrating and even dangerous policies 
are adopted. It is safe to say that to-day no third party 
labor movement could be organized which was not two- 
thirds socialistic that was not, in short, practically a 
war upon existing institutions, and if successful would 
be a poverty-creating setback for society. 

The only conceivable remedy for the dangers from 
this source, and they are becoming greater and more 
far-reaching as laborers become organized and inde- 
pendent, is economic and political education, not of 
the laborers alone but of the capitalists as well. The 
capitalists must learn by study or experience that class 
legislation is not necessarily bad; that most of the 
beneficent legislation of society must needs be in the 
interest of laborers, because the laboring class is least 



554 GUNTON'S MAGAZINE [June, 

able to control the new forces of society equitably in its 
own interest. On the other hand, this movement can 
only be a conflict, with acrimony and loss, impeding 
progress and inflicting hardship during every inch of 
advance, unless the laborers through their organizations 
and leaders are more wisely directed. If labor unions 
are to maintain and increase their usefulness as the 
means of representing and promoting the interest of the 
laboring class, they must be in the hands of better in- 
formed and more thoroughly equipped leaders. 

The establishment of a college or institution for 
the purpose of educating and training the leaders of 
labor organizations by equipping them with the knowl- 
edge of the history and principles of economics and 
government is a great step, indeed, the most encourag- 
ing step that has yet been attempted in this direction. 
If this proposition should be carried out and, as pro- 
posed, lectures and instruction be given by the most 
competent specialists in the various departments, it will 
not be long before the trade-union secretary and presi- 
dent and the walking delegate will be selected on the 
merit system, and will be quite as well informed and 
fully as capable of scientifically discussing the economic 
questions involved in labor controversies as the most 
experienced corporation manager. The local union 
will then gradually be changed from a nursery of an- 
tagonism to a school of economic and political educa- 
tion. The trade unions would gradually become the 
training clubs for economic and social discussion, and 
by the force of intelligent information they would be- 
come more rational in their demands, more intelligent 
and forceful in their claims, and many times more suc- 
cessful in their undertakings. 

This idea of a labor-union college is the culmina- 
tion of a long series of improvements in the efforts and 
methods of labor organization. They were once secret 



igoo.] A LABOR-UNION COLLEGE 555 

clans organized or convened for destructive purposes 
by mob methods, to wreak vengeance on some employer 
or competing laborer. But they gradually evolved from 
that into friendly societies and protective associations, 
with an increasing recognition of their larger industrial 
interests, and little by little, through a multitude of 
mistakes, have learned that discussion, peaceful propa- 
ganda, is ultimately more effective than mob force or 
personal violence. Thus they have gradually been 
transformed from mere striking machines into a com- 
paratively intelligent, orderly, economic force. The 
proposed educational institution if established will put 
them on an intellectual plane quite equal with the em- 
ployers and professional economists. For, while they 
may lack the wealth of the one and the scholarship of 
the other, they will have a practical experience and a 
real touch with the laborer's life that neither of the 
others possess. 

If the proposition of the Federation of Labor to es- 
tablish a labor-union college is seriously entertained, it 
should be encouraged by every class in the community. 
It should be encouraged by every laborer, even if he has 
to contribute a certain per cent, of his wages to support 
it. It should be encouraged by every employer as the 
surest way to elevate industrial controversy to the plane 
of intelligent discussion and peaceful solution. It should 
be encouraged by statesmen and political parties as the 
most effective means ever suggested of elevating the 
plane of citizenship and promoting intelligent voting 
and pure politics- at the very source of popular institu- 
tions. 



CIVIC AND EDUCATIONAL NOTES 



The announcements and descriptive il- 

Chautauqua Sum- 1 _ 

met Schools lustrated circulars of the Chautauqua 

summer schools are just out, and as 
usual indicate steady progress. The Chautauqua sys- 
tem has been thoroughly reorganized during the past 
year, and the executive offices moved from Buffalo to 
Cleveland; but of course the popular center of the 
work, typified by its local summer headquarters, re- 
mains at Chautauqua Lake. This is one of the most 
beautiful spots in the East, and the environment 
is such as to guarantee a thoroughly satisfying, pleas- 
urable and helpful experience to all who may care to 
combine summer recreation with educational and liter- 
ary opportunities of a high order. 

Courses are offered this summer in English lan- 
guage and literature, modern and classic languages, 
mathematics and science, social science, psychology 
and pedagogy, nature study, music, fine arts, 
expression, physical education, domestic science and 
practical arts. Among the large corps of lecturers 
well-known names are numerous, including such 
authorities as G. Stanley Hall, Moses Coit Tyler, 
Benjamin Ide Wheeler, Bliss Perry, and others. 



Educational 
Heresy ! 



Professor Hugo Miinsterberg, of Harvard, 
is in danger of a heresy trial if he is not 
more considerate of orthodox educational 
ideas. In a recent number of the Atlantic he disputes, 
up and down, the value of so-called "practical" peda- 
gogics and psychology for teachers, and actually hints 
that natural tact, sympathy and adaptability are more 

556 









CI VIC A ND ED UCA TIONA L NO TES 557 

important factors in bringing out the results in mind 
and character for which true education strives. He 
says: 

" Psychology is a wonderful science, and pedagogy, as soon as we 
shall have it, may be a wonderful science, too, and very important for 
the school organizer, for the superintendents and city officials, but the 
individual teacher has no practical use for it. I have discussed this 
point so often before the public that I am unwilling to repeat my argu- 
ments here. I have again and again shown that in the practical contact 
of the schoolroom the teacher can never gain that kind of knowledge of 
the child which should enable him to get the right basis for psychologi- 
cal calculation, and that psychology itself is unable to do justice to the 
demands of the individual case. I have tried to show how the conscious 
occupation with the pedagogical rules interferes with the instinctive 
views of the right pedagogical means, and above all how the analytic 
tendency of the psychological and pedagogical attitude is diametrically 
opposite to that practical attitude, full of tact and sympathy, which we 
must demand of the real teacher, and that the training in the one atti- 
tude inhibits the freedom in the other. " 

After all, it is rather refreshing to read something 
like this, in the intervals between listening to long lec- 
tures by learned bachelors on " child study" (as if a 
child were a queer species of rabbit or muskrat for 
laboratory study under microscope and tweezers!) and 
wading through the mathematically correct essays read 
by delegates to conventions of maiden ladies on " Ad- 
vice to Mothers." 



The new so-called "Davis law," estab- 

Teachers' Salaries li s hi n gr a Uniform Scale of teachers' Sal- 
Should Increase . . 

aries in New York city, is the final out- 
come of the failure of the different boroughs of the city 
to agree on any satisfactory arrangement of this matter. 
The law seems to be greatly defective. It has taken 
the power of paying the salaries out of the hands of the 
controller without providing any means whereby the 
board of education can do this work. The board is 
obliged, however, to go ahead and establish an audit- 
ing department of its own, with or without authority, 



558 G UNTON '5 MA GAZINE 

all of which will mean considerable delay in the pay- 
ment of salaries already due. More than this, the 
measure itself is a direct violation of home rule which 
forbids any unqualified endorsement of it. The real 
root of the trouble seems to be that on so many vital 
matters New York continuously fails to justify its exer- 
cise of home rule. If there had been any real disposi- 
tion on the part of the city government to do the right 
thing in this matter of teachers' salaries, there would 
have been no need of going to Albany for relief. 
Probably the city will never get wholly free of outside 
interference until it reaches the point of conducting its 
public affairs on a broadminded, enlightened and pro- 
gressive plane, recognizing public interests in the 
order of their real importance instead of their plunder- 
yielding capacities. 

The standards for teachers in New York city have 
been steadily raised and the requirements increased. 
It is right that their pay should advance, it ought to 
have advanced long ago, it has always been too low. 
Teachers are not competitors in the economic field, and 
their service ought to be rewarded with isome refer- 
ence to its usefulness to the community as well as 
mere cost of living. New York is not going to be 
ruined by these increases. It is the great center of 
enormous wealth in the western hemisphere, and ought 
to be spending more and more all the time for whole- 
some improvements in a dozen directions. If public 
money were being spent for degrading brutal spec- 
tacles or official debauchery, as in the old Roman times, 
there might be cause for alarm ; but, never question or 
doubt the soundness and strength and hopefulness of 
a community or civilization that threatens to overrun 
its allowance now and then for the sake of popular 
education! That is a better guarantee of permanent 
security and expansion than any cutting of the tax rate. 



THE OPEN FORUM 

This department belongs to our readers, and offers them full oppor- 
tunity to "talk back" to the editor, give information, discuss topics or 
ask questions on subjects within the field covered by GUNTON'S MAGA- 
ZINE. All communications, whether letters for publication or inquiries 
for the " Question Box," must be accompanied by the full name and ad- 
dress of the writer. This is not required for publication, if the writer 
objects, but as evidence of good faith. Anonymous correspondents are 
ignored. 

LETTERS FROM CORRESPONDENTS 



Effects of Porto Rico Policy 

EDITOR GUNTON'S MAGAZINE, 

Dear Sir: As I remember, either in your mag- 
azine articles or some of your lectures you quite forcibly 
and boldly criticized President McKinley for his 
departure from a protective to a free trade policy ; this 
was in the president's Porto Rican recommendations to 
congress. But now congress has caused the republicans 
to see that a graver and more difficult question is in 
their plan than existed in the president's original plan. 
Is there not danger in radical departures from plain 
positions such as are generally understood, like uni- 
form taxes or tariffs ? If enough people can be con- 
vinced that congress was, under existing co