by Anthology
"A cause, also inherent in your system, which often produced and always terribly aggravated crises, was the machinery of money and credit. Money was essential when production was in many private hands, and buying and selling was necessary to secure what one wanted. It was, however, open to the obvious objection of substituting for food, clothing, and other things a merely conventional representative of them. The confusion of mind which this favored, between goods and their representative, led the way to the credit system and its prodigious illusions. Already accustomed to accept money for commodities, the people next accepted promises for money, and ceased to look at all behind the representative for the thing represented. Money was a sign of real commodities, but credit was but the sign of a sign. There was a natural limit to gold and silver, that is, money proper, but none to credit, and the result was that the volume of credit, that is, the promises of money, ceased to bear any ascertainable proportion to the money, still less to the commodities, actually in existence. Under such a system, frequent and periodical crises were necessitated by a law as absolute as that which brings to the ground a structure overhanging its centre of gravity. It was one of your fictions that the government and the banks authorized by it alone issued money; but everybody who gave a dollar's credit issued money to that extent, which was as good as any to swell the circulation till the next crises. The great extension of the credit system was a characteristic of the latter part of the nineteenth century, and accounts largely for the almost incessant business crises which marked that period. Perilous as credit was, you could not dispense with its use, for, lacking any national or other public organization of the capital of the country, it was the only means you had for concentrating and directing it upon industrial enterprises. It was in this way a most potent means for exaggerating the chief peril of the private enterprise system of industry by enabling particular industries to absorb disproportionate amounts of the disposable capital of the country, and thus prepare disaster. Business enterprises were always vastly in debt for advances of credit, both to one another and to the banks and capitalists, and the prompt withdrawal of this credit at the first sign of a crisis was generally the precipitating cause of it.
"It was the misfortune of your contemporaries that they had to cement their business fabric with a material which an accident might at any moment turn into an explosive. They were in the plight of a man building a house with dynamite for mortar, for credit can be compared with nothing else.
"If you would see how needless were these convulsions of business which I have been speaking of, and how entirely they resulted from leaving industry to private and unorganized management, just consider the working of our system. Overproduction in special lines, which was the great hobgoblin of your day, is impossible now, for by the connection between distribution and production supply is geared to demand like an engine to the governor which regulates its speed. Even suppose by an error of judgment an excessive production of some commodity. The consequent slackening or cessation of production in that line throws nobody out of employment. The suspended workers are at once found occupation in some other department of the vast workshop and lose only the time spent in changing, while, as for the glut, the business of the nation is large enough to carry any amount of product manufactured in excess of demand till the latter overtakes it. In such a case of over-production, as I have supposed, there is not with us, as with you, any complex machinery to get out of order and magnify a thousand times the original mistake. Of course, having not even money, we still less have credit. All estimates deal directly with the real things, the flour, iron, wood, wool, and labor, of which money and credit were for you the very misleading representatives. In our calculation of cost there can be no mistakes. Out of the annual product the amount necessary for the support of the people is taken, and the requisite labor to produce the next year's consumption provided for. The residue of the material and labor represents what can be safely expended in improvements. If the crops are bad, the surplus for that year is less than usual, that is all. Except for slight occasional effects of such natural causes, there are no fluctuations of business; the material prosperity of the nation flows on uninterruptedly from generation to generation, like an ever broadening and deepening river.
"Your business crises, Mr. West," continued the doctor, "like either of the great wastes I mentioned before, were enough, alone, to have kept your noses to the grindstone forever; but I have still to speak of one other great cause of your poverty, and that was the idleness of a great part of your capital and labor. With us it is the business of the administration to keep in constant employment every ounce of available capital and labor in the country. In your day there was no general control of either capital or labor, and a large part of both failed to find employment. 'Capital,' you used to say, 'is naturally timid,' and it would certainly have been reckless if it had not been timid in an epoch when there was a large preponderance of probability that any particular business venture would end in failure. There was no time when, if security could have been guaranteed it, the amount of capital devoted to productive industry could not have been greatly increased. The proportion of it so employed underwent constant extraordinary fluctuations, according to the greater or less feeling of uncertainty as to the stability of the industrial situation, so that the output of the national industries greatly varied in different years. But for the same reason that the amount of capital employed at times of special insecurity was far less than at times of somewhat greater security, a very large proportion was never employed at all, because the hazard of business was always very great in the best of times.
"It should be also noted that the great amount of capital always seeking employment where tolerable safety could be insured terribly embittered the competition between capitalists when a promising opening presented itself. The idleness of capital, the result of its timidity, of course meant the idleness of labor in corresponding degree. Moreover, every change in the adjustments of business, every slightest alteration in the condition of commerce or manufactures, not to speak of the innumerable business failures that took place yearly, even in the best of times, were constantly throwing a multitude of men out of employment for periods of weeks or months, or even years. A great number of these seekers after employment were constantly traversing the country, becoming in time professional vagabonds, then criminals. 'Give us work!' was the cry of an army of the unemployed at nearly all seasons, and in seasons of dullness in business this army swelled to a host so vast and desperate as to threaten the stability of the government. Could there conceivably be a more conclusive demonstration of the imbecility of the system of private enterprise as a method for enriching a nation than the fact that, in an age of such general poverty and want of everything, capitalists had to throttle one another to find a safe chance to invest their capital and workmen rioted and burned because they could find no work to do?
"Now, Mr. West," continued Dr. Leete, "I want you to bear in mind that these points of which I have been speaking indicate only negatively the advantages of the national organization of industry by showing certain fatal defects and prodigious imbecilities of the systems of private enterprise which are not found in it. These alone, you must admit, would pretty well explain why the nation is so much richer than in your day. But the larger half of our advantage over you, the positive side of it, I have yet barely spoken of. Supposing the system of private enterprise in industry were without any of the great leaks I have mentioned; that there were no waste on account of misdirected effort growing out of mistakes as to the demand, and inability to command a general view of the industrial field. Suppose, also, there were no neutralizing and duplicating of effort from competition. Suppose, also, there were no waste from business panics and crises through bankruptcy and long interruptions of industry, and also none from the idleness of capital and labor. Supposing these evils, which are essential to the conduct of industry by capital in private hands, could all be miraculously prevented, and the system yet retained; eve
n then the superiority of the results attained by the modern industrial system of national control would remain overwhelming.
"You used to have some pretty large textile manufacturing establishments, even in your day, although not comparable with ours. No doubt you have visited these great mills in your time, covering acres of ground, employing thousands of hands, and combining under one roof, under one control, the hundred distinct processes between, say, the cotton bale and the bale of glossy calicoes. You have admired the vast economy of labor as of mechanical force resulting from the perfect interworking with the rest of every wheel and every hand. No doubt you have reflected how much less the same force of workers employed in that factory would accomplish if they were scattered, each man working independently. Would you think it an exaggeration to say that the utmost product of those workers, working thus apart, however amicable their relations might be, was increased not merely by a percentage, but many fold, when their efforts were organized under one control? Well now, Mr. West, the organization of the industry of the nation under a single control, so that all its processes interlock, has multiplied the total product over the utmost that could be done under the former system, even leaving out of account the four great wastes mentioned, in the same proportion that the product of those millworkers was increased by cooperation. The effectiveness of the working force of a nation, under the myriad-headed leadership of private capital, even if the leaders were not mutual enemies, as compared with that which it attains under a single head, may be likened to the military efficiency of a mob, or a horde of barbarians with a thousand petty chiefs, as compared with that of a disciplined army under one general—such a fighting machine, for example, as the German army in the time of Von Moltke."
"After what you have told me," I said, "I do not so much wonder that the nation is richer now than then, but that you are not all Croesuses."
"Well," replied Dr. Leete, "we are pretty well off. The rate at which we live is as luxurious as we could wish. The rivalry of ostentation, which in your day led to extravagance in no way conducive to comfort, finds no place, of course, in a society of people absolutely equal in resources, and our ambition stops at the surroundings which minister to the enjoyment of life. We might, indeed, have much larger incomes, individually, if we chose so to use the surplus of our product, but we prefer to expend it upon public works and pleasures in which all share, upon public halls and buildings, art galleries, bridges, statuary, means of transit, and the conveniences of our cities, great musical and theatrical exhibitions, and in providing on a vast scale for the recreations of the people. You have not begun to see how we live yet, Mr. West. At home we have comfort, but the splendor of our life is, on its social side, that which we share with our fellows. When you know more of it you will see where the money goes, as you used to say, and I think you will agree that we do well so to expend it."
"I suppose," observed Dr. Leete, as we strolled homeward from the dining hall, "that no reflection would have cut the men of your wealth-worshiping century more keenly than the suggestion that they did not know how to make money. Nevertheless that is just the verdict history has passed on them. Their system of unorganized and antagonistic industries was as absurd economically as it was morally abominable. Selfishness was their only science, and in industrial production selfishness is suicide. Competition, which is the instinct of selfishness, is another word for dissipation of energy, while combination is the secret of efficient production; and not till the idea of increasing the individual hoard gives place to the idea of increasing the common stock can industrial combination be realized, and the acquisition of wealth really begin. Even if the principle of share and share alike for all men were not the only humane and rational basis for a society, we should still enforce it as economically expedient, seeing that until the disintegrating influence of self-seeking is suppressed no true concert of industry is possible."
Chapter 23
That evening, as I sat with Edith in the music room, listening to some pieces in the programme of that day which had attracted my notice, I took advantage of an interval in the music to say, "I have a question to ask you which I fear is rather indiscreet."
"I am quite sure it is not that," she replied, encouragingly.
"I am in the position of an eavesdropper," I continued, "who, having overheard a little of a matter not intended for him, though seeming to concern him, has the impudence to come to the speaker for the rest."
"An eavesdropper!" she repeated, looking puzzled.
"Yes," I said, "but an excusable one, as I think you will admit."
"This is very mysterious," she replied.
"Yes," said I, "so mysterious that often I have doubted whether I really overheard at all what I am going to ask you about, or only dreamed it. I want you to tell me. The matter is this: When I was coming out of that sleep of a century, the first impression of which I was conscious was of voices talking around me, voices that afterwards I recognized as your father's, your mother's, and your own. First, I remember your father's voice saying, "He is going to open his eyes. He had better see but one person at first." Then you said, if I did not dream it all, "Promise me, then, that you will not tell him." Your father seemed to hesitate about promising, but you insisted, and your mother interposing, he finally promised, and when I opened my eyes I saw only him."
I had been quite serious when I said that I was not sure that I had not dreamed the conversation I fancied I had overheard, so incomprehensible was it that these people should know anything of me, a contemporary of their great-grandparents, which I did not know myself. But when I saw the effect of my words upon Edith, I knew that it was no dream, but another mystery, and a more puzzling one than any I had before encountered. For from the moment that the drift of my question became apparent, she showed indications of the most acute embarrassment. Her eyes, always so frank and direct in expression, had dropped in a panic before mine, while her face crimsoned from neck to forehead.
"Pardon me," I said, as soon as I had recovered from bewilderment at the extraordinary effect of my words. "It seems, then, that I was not dreaming. There is some secret, something about me, which you are withholding from me. Really, doesn't it seem a little hard that a person in my position should not be given all the information possible concerning himself?"
"It does not concern you—that is, not directly. It is not about you exactly," she replied, scarcely audibly.
"But it concerns me in some way," I persisted. "It must be something that would interest me."
"I don't know even that," she replied, venturing a momentary glance at my face, furiously blushing, and yet with a quaint smile flickering about her lips which betrayed a certain perception of humor in the situation despite its embarrassment,—"I am not sure that it would even interest you."
"Your father would have told me," I insisted, with an accent of reproach. "It was you who forbade him. He thought I ought to know."
She did not reply. She was so entirely charming in her confusion that I was now prompted, as much by the desire to prolong the situation as by my original curiosity, to importune her further.
"Am I never to know? Will you never tell me?" I said.
"It depends," she answered, after a long pause.
"On what?" I persisted.
"Ah, you ask too much," she replied. Then, raising to mine a face which inscrutable eyes, flushed cheeks, and smiling lips combined to render perfectly bewitching, she added, "What should you think if I said that it depended on—yourself?"
"On myself?" I echoed. "How can that possibly be?"
"Mr. West, we are losing some charming music," was her only reply to this, and turning to the telephone, at a touch of her finger she set the air to swaying to the rhythm of an adagio. After that she took good care that the music should leave no opportunity for conversation. She kept her face averted from me, and pretended to be absorbed in the airs, but that it was a mere pretense the crimson tide standing at flood in her cheeks sufficiently betrayed.
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br /> When at length she suggested that I might have heard all I cared to, for that time, and we rose to leave the room, she came straight up to me and said, without raising her eyes, "Mr. West, you say I have been good to you. I have not been particularly so, but if you think I have, I want you to promise me that you will not try again to make me tell you this thing you have asked to-night, and that you will not try to find it out from any one else,—my father or mother, for instance."
To such an appeal there was but one reply possible. "Forgive me for distressing you. Of course I will promise," I said. "I would never have asked you if I had fancied it could distress you. But do you blame me for being curious?"
"I do not blame you at all."
"And some time," I added, "if I do not tease you, you may tell me of your own accord. May I not hope so?"
"Perhaps," she murmured.
"Only perhaps?"
Looking up, she read my face with a quick, deep glance. "Yes," she said, "I think I may tell you—some time": and so our conversation ended, for she gave me no chance to say anything more.
That night I don't think even Dr. Pillsbury could have put me to sleep, till toward morning at least. Mysteries had been my accustomed food for days now, but none had before confronted me at once so mysterious and so fascinating as this, the solution of which Edith Leete had forbidden me even to seek. It was a double mystery. How, in the first place, was it conceivable that she should know any secret about me, a stranger from a strange age? In the second place, even if she should know such a secret, how account for the agitating effect which the knowledge of it seemed to have upon her? There are puzzles so difficult that one cannot even get so far as a conjecture as to the solution, and this seemed one of them. I am usually of too practical a turn to waste time on such conundrums; but the difficulty of a riddle embodied in a beautiful young girl does not detract from its fascination. In general, no doubt, maidens' blushes may be safely assumed to tell the same tale to young men in all ages and races, but to give that interpretation to Edith's crimson cheeks would, considering my position and the length of time I had known her, and still more the fact that this mystery dated from before I had known her at all, be a piece of utter fatuity. And yet she was an angel, and I should not have been a young man if reason and common sense had been able quite to banish a roseate tinge from my dreams that night.
