Seattle daily post-intelligencer. [volume] (Seattle, W.T. [Wash.]) 1881-1888, 1884-08-02
e.rsE or OyER-rRODICTIoS
,yor,hvesterH Lumberman.

Northwestern LumbeFman.
are many people who do not
is - there should be such a thing az
Induction of salable commodities.
~. ms .sv that all useful articles should
iDs,nn,chasers ~, at some price. The IA
ID .p ,hsoYy Of such people is that un-
na'.S na'.Sonmmp.ion is the real cause Of any
's.esd oyer.production or surplus of
10 n5s This under er-cOnsumptiou, they
80 /. caused by underpaid or unem-
w, ,s..5 ,shor. or excessive taxation that
rS.scysrishes the people, so that they
~ a.p.ot buy goods. Ii is true that un-
- a.s,,syous people purchase less than
49, those incomes are ample and con
,a"rons ~ II is likewise true that there
- rarsods in which the purchasing
-, of a community is crippled by
y.,,ession in business and Industry.
~, often this very depression has been
..nssd by oyer. production.
nv July number OF the Bankers
y.aazias reaches the core of the matter
!, he following simple and clear Ian
Gags: ,...
a., 40 perfect that it is easy to produce
msst things that are needed on stu
,.ndous scale. Ii was maintained by
(, older political economists that over
mOdEciion was impossible. At some
~ or other everything would find a
Ss,sr and consumer. But the error of
Az doctrine is clearly seen and ad-
ui,ied. No person needs more than n
~r,sin smount of food or clothing. No
arson can comfortably eat two dinners
a he same day. II, therefore. sec
snd dinner is cooked for him, either il
10, eaten, or if it be. he is the worse
tor il. Consumption therefore is lin
aai. Production must be governed by
ia limit or exceeded at an ever increas-
ne loss.
fbe KEY sentence in the above extract
sthis: "The modern facilities for pro-
iac.ion are so perfect, that IL Is easy to
poduce most things that are needed on
i laapendous scale" That IN to- say,
nOdern machinery, when driven at its
kgkest speed. can turn out usable com
ucdities faster than they can be con
nmed. We see this illustrated in the
ae Of lumber. iron and cotton. All
be. is needed to cause overproduetion
sthe stimulus of general prosperity to
sEieh that modern phrase has called a
sm The machinery extant has that
nii capable of turning out product in
naS OF eonsumptive demand in very
hFi period. This is all there is of the
uHing depression. Production has
ha carried to excess under the ini-
rise OF tbs boom of 1879 81. Ii is easy
nay that there was an excess OF rail-
nd building and too much locking up
4 capital in unproductlvo railroads.
Bs the companies were induced to
wetbuild for the same reason that the
ns.mills and rolling and cotton mills
tsfe induced to overproduoe, because
rosperity had made capital abundant
and cheap. 1t all runs around in n
afoie. one cause chasing another. But
HE boys running in cireling row,
shan the head boy suddenly stops those
behind tumble in heap; or, like train
d cars, when forward one jumps the
mack, those in the rear pile up in wreck
and confusion; so when rapid production
znses q blockade of goods, industry and
hsde are balked and confused.
The only way, then, in case there is
a'eipfoduction, is to apply the brakes
% the machinery. Production should
Dot wholly cease, for that demoralizes
and impoverishes labor. But the speed
lhsi caused too rapid an outputting of
kods should be Stacked. The saw mill
men OF The Northwest have hit the right
nmedy In urging the early shutting
aovn Of the mills this fall, though IL
soald be better il the mills could be
mn through the residue of the season
On reduced time. The trouble ia to
make the employees see the necessity
o. reduction in time and pay. Ii is
qalle evident that if the mills continue
y run In the way they have for the last
'eiee years, with the accession of new
nllls and improved machinery, the nat
Hl Increase Of consumption will hard
Y Keep pace with the increase of pro-
asct II the lumber market is 10 find
lsilei at all, it must be through the
xency OF the manufacturers them.
MIses' They should not continue TO
Min out product in excess of demand,
ma snen complain of the merchants
s'suss they do not hold up prices.