The Advocate and news., 1898-01-05
Labor Replies to Secretary Gage.


Cages recent letter taking exception
70 the resolutions passed by the fed
eration with reference to the Gage finan-
cial pill. Mr.. Gompers presents mastery
argiment. He says in part:
You take exception to- the position
which our organization has taken upon
Your bill as we'll as the language en-
plOyen. Even II you are justified In tie
one, you certainly misapprehend the
ether ] submit that you will seek in Vain
tor single GenunciatoTy word either In
regard to our motives, your plan, or
your bill. We realize that denunclation
Is not argument, but to declare our posi-
tiOn and the statement OF fact in re-
gard to most important and far-reach-
ing measure, affecting the changing Of
the financial system Of our country, can
by no means bes construed as denuncia-
tion.
"Thoae resolutions declare against
your plans for more thoroughly commit
ting our country to the gold standard,
plan for destroying our greenback cur
rency and substituting bank notes,
plan, In fact, for weakening the control
Of the national government, over the
most important of all measures, the
measure Of values, and strengthening
the banks, plan aiming at what you
call currency REFORM and which we call
bank monopoly
"The resolutions are declaratory Of
the views Of the American Federation Of
Labor and are entirely impersonal, for
of all men in public life we have the
greatest respect for your integrity. The
wage-ea earners Of America, represented in
the American Federation Of Labor, be-
lleve that the position taken In regard to
theretirement Of the greenback currency
Is antagonistic to their interests and are
opposed to your plan for more thor
oughly committing this country Of ours
to the gold standard.
'You ask what evils have resulted
from our adherence to the gold standard.
| answer that the evils are those that
have grown and ever must grow from a
dishonest measure of values, a measure
Of values that interferes with the just
distribution of wealth, that deprives
some men of part Of their earnings that
Is rightly theirs and confers 1t upon
others who have earned 1t not. Any
measure of values that thus forces an
unjust distribution Of the products OF
labor, that deprives the producer of the
fruits Of toll, cuts down wages and
profits, thereby destroys the incentive
to enterprise, leads to industrial stagna-
tion, enforced idleness, distress and pub
uc suffering.
''The products of labor are divided
AukR cI CHI
gOes as interests and rents 10 the money
leEder and the landlord and capitalist
who do not make productive use Of their
own capital but who seek to avoid the
risks of production. A second share goes
as profits to employers, a third share
goes as wages to wage -earners. The in
forest charges and rents are to great
degree fixed, and profits and wages are
subject to great fluctuations. This being
so, 1t Is clear that anything that reduces
the total money value Of the products of |
labor must increase the share of the /
money lender and creditor, though nomi-
n0lly fixed, and decrease the share to be |
DIVIDED among employers and wage
earners. 1t Is equally clear that to In |
crease the value Of money must decrease
the value Of the products Of labor and
therefore enrich the creditor at the ex-
penSe OF the debtor.
Nov, If our adherence to the gold !
standard has caused money to grow |
dearer, you must admit that the gold |
standard has done injury to our people,
brought distress to wage-earners and |
employers and discouraged enterprise. |
0er adherence to the gold standard has |
caused money to grow In value and. Of |
course, forced the things measured in
money to fall in price.
However, it Is not alone to the cheap |
eniDg Of the labor cost of production,
but also to an actual appreciation Of gold |
SlfAt the fall in prices since 1872 has |
been In great part due. And this appre-
ci&tion has grown out OF the demonetiEa-
ttOn Of silver, which has increased the !
~, a.. L., A. N.nA