The sun. [volume] (New York [N.Y.]) 1833-1916, 1915-07-19
=. LABOR'S SHARE.
Another Conclusion Drawn From Ma
tIOnal Civic Federation Figures.

To THE EDITOR OF THE SrN-Sir: 1
was much interested in seeing the letter
from David Goldstcin OF Boston In which
he accuses the socialists of juggling
census figures and then proceeds to do
the same himself In gloating over the
recent statistical report on wages and
profits Issued by the National Civic
Federation.
on the face OF It this report would
seem to set aside the soc.a'ist contention
that capital gets "A larger share Of the
total product than does labor. But a
small amount OF observation shows that
this result IL obtained by the use OF
the word capital in "A highly specialized
sense. Mr.. Goldsteln and others Of his
sort well know. but pre!e" not TO say,
that this is mere verbal qui1bling. The
socialists. along with many of the
orthodox economists. use the word
capita" 10 mean all income bearing
property. They mean. and specifically
say they mean. that Incomes due to
ownership are greater than those due to
work. wages" in the technical sense,
when they assert that capital gets more
OF the product than does labor.
As a matter Of fact, the socialist
statements to the effect that the share
Of capital Is four to five times hat of
labor can be proved from the recent
Civic Federation figures. Not having at
the present moment a copy OF the report
in full at hand, hut merely a short alb
stract from the columns OF THE SCS, |
shall attempt merely To show tina the
share OF capital is as large as that Of
labor.
The Civic Federation report gives an
average gross value of product an en-
pioyce "A year of S2.420. OF which
$3.50 represents the cost of materials.
out of the balance OF Sl,0?5 there goes
sl36 for rent, interest, insurance. &c.
Certainly Mr.. GoldstcIu cannot say that
this share goes to labor. lie must
allow that the portion going to Interest
and rent, at least, is part Of the in
come going to capital. Nor can We ex-
clude the sum set down as "deprecia-
hon OF capital" Allowing perhaps s75
for rent and interest, We have already
some 1874 being divided w between
various capitalists for every $500 going
to the workers,
But II Is when We stop to a~ralyZe the
item "cust OF materials that We see
the slaring supeIiciality OF Mr.. Gold
STEMS JOY. In large measure the prod
ucts of one industry serve as raw ma
terials FOR the next For example. the
steel industry turns out products which
are used as raw materials in making
lll'lNT as aAA~f W. Q IL -
the raw material for cloth mills; their
product l. the raw material for clothing
shops. Now We may well assume that
this same ratio Of S31i To capital to
$500 t. labor holds in the Industries
supplying materials as in those using
them, Figuring his out. We shall ar
rive at the conclusion that capital re-
ceives at least as much as labor.
Where those who hold the same views
as Mr.. Goldstein 60 astray is in assum-
ing that the socialists mean to assert
that the individual employer gets tive
times the share OF his employees. The
socialists, az Mr.. GOld-tein surely
knows hut darcs not admit for feat OF
spelling his argument, are not concerned
with how the various capitalists divide
their profits among themselves. They
do not concern themselves with the
question OF whether one group OF cap
italls,S may despoil others. What they
do stick to is the plain fact, shown by
the civic Federation figures, that the
capitalist class AS a whole gets at least
as large a share of the joint product as
does labor.
Neither Mr.. Goldstein nor any other
doughty killer of socialism has vet bee n
able To disprove his fact Nor can
they attempt to do so, save by the
most unscien,ifc and INSCRIPTIONS
method. that of clubbing on words and
their meanings, For shame, Mr.. Gold
stein. For shame. you who know so
well that you are simply splitting NJ
capital into pieces and giving the
name of the whole to one piece.
s.. q. RICH.
BETHEL, Me, July II.