The workingman's advocate. [volume] (Chicago [Ill.]) 1864-1877, 1870-11-05
THE CAUSE AND THE REMEDY.

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THE CAUSE AND THE REMEDY.
In the discussion of the questions now
presented to the American people, and
upon the determination of which de-
ponds in a great measure the prosperity
and happiness of the enterprising
wealth-producing classes and perpe-
tuity Of our Democratic Republican
institutions, there are a few funda.
mental principles that must be kept
prominently before the mind, among
which are the sources Of wealth, the
purposes to which it is applied, and the
means by which it is distributed.
lst. All wealth is the product Of
physical and intellectual labor EN-.
ployed in production, AMI in the dis
tribution Of the products Of industry
and enterprise, as well as in the useful
callings and professions.
2nd. There are but two purpC.es TO
which the products of industry and
enterprise can be applied. One is the
payment of the rent or interest on the
capital employed, and the other is the
payment OF labor.
3rd. The rate of interest on money
determines what proportion Of these
products shall be awarded to capital
for its use, and what 70 the lsborer for
their productions.
4th. All interest paid for the use OF
money, whether on public securities or
private obligations, must in the end be
borne by labor, and is as much a charge
upon it as the taxes paid for the sup
port Of the Government
5th. When the average rate exceeds
the aggregate rate Of increase on the
wealth of the nation, the inevitable
result IS the Capitalization Of the wealth
VI properly ~ .ho r-----Si.- # OOnI-
paratively few non-prOducers, and the
lmPoverishment of the whole wealth
producing element OF the nation.
9Th. All beyond such rate as viii ef-
feet the equitable distribution of the
products Of industry and enterprize
between capital and labor is a le galised
fraud upon the industrial classes for
the government il morally bound TO
institute money, 50 that il will distrib-
ute products to producers and capital
in strict accordance with the labor or
service performed in their production.
Now, it is demonstrable beyond the
power of refutation, that the aggregate
rate of increase in the wealth Of the
nation has not in the past exceeded
three-and- s-third per cent, while the
rate Of interest on money has aver
aged as much as nine per cent. per
annum, and the consequent unfair dis
tribution OF property and products, be
tween capital and labor is the main
source Of the wrongs and expressions
which are affecting the industrial
classes in all departments of useful
occupation, callings and professions.
Free trade and protective tariffs are al
best but pallstives. Neither can afford
general, permanent relief, Uecause they
do not reach the root Of the evil. II
is absurd to assume that our manufac-
turers can pay nine to twelve per cent
on the capital employed in their bust
ness, and compete with goods and
wares manufactured with capital al
three to three-snd-half per cent.-the
rates in Europe-and it is equally rid
iculous to argue that labor can be per.
maneudy benefited by protective
tariffs, however high, so long as the
rate Of interest on money remains SC
greatly ahove the rate Of increase on
the national wealth for capital, when
it co-Operates with labor, will be sure to
gather up the surplus earnings of their
combined production, and compel the
laborers to toll for a mere subsistence,
The reduction OF interest to such
rate as will effect the equitable distrib.
ution Of the products Of industry and
enterprise between capital and labor is
then the great desideratum. 1t il
cheap money rather than clasap labor that
is needed to emancipate labor from a
thraldom scarcely less unjust and OPP
pressiye than chattel slavery itself,to en-
able us to develop our resources md
compete successfully with foreign pro-
auctions in the manufacture of all ar
ticles of prime necessity, and at the
same time TO preserve and perpetuate
our Democratic and Republican institu-
tons.
To control the usurpations Of money,
to reduce the usur1ous and ruinous
rates Of interest TO a parallel with the
rates Of production of labor is an es-
sential attribute Of sovereignty, and one
Of the most Important functions of gov
eminent. Rig t here the remedy must
be aPpled--money, which is the stan
dard Of distribution to capital and la
Dor, must be instituted 20 that it shall
distribute products 70 producers and
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