The daily star-mirror. (Moscow, Idaho) 1911-1939, 1919-03-31
PROFITS AND WAGES.
Profits and wages rise together a

PROFITS AND WAGES.
Profits and wages rise together ano
fall together when economic condi-
tons are normal and wholesome
There is disaster ahead for either
public or private management when
wages rise and profits fall. The dis
appearance Of profit is calamity
alike in Russia, in Germany, in the
United States, or anywhere else.
Profits are the proof of management
which has produced wages. The dis
appearance of profits is proof that
wages must be paid by taxpayers, or
the work must stop. Neither labor
nor capital can be trusted to fix its
own price in a market controlled by
duress or unfair device. The chief
port of Argentina was ''nationalized"
because labor made demands impos-
sible to grant. England faces a SINH
lar crisis as the result of demands by
labor which have grown with each
concession. Here there is an appar-
ent revulsion of sentiment because
of the clear disclosure of the results
of government operation, and the
failure of even excessive increases of
wages to satisfy those who receive
them. Neither the shipbuilders nor
the railway workers could earn their
wages in other industries. But the
shipworkers are striking for war
wages, and the railway workers are
demanding government operation as
means of getting still more. How
can they fail to see that it will cost
them ruin if they increase costs above
the worth of the products without
which there can be no wages, except
at the cost of the taxpayer New
York Times.
When it comes to the Victory loan |
next month special stress
will be laid by the government and
the soliciting committees on the adj
of every citizen using to the
limit an asset which has not figured
largely in previous campaigns. That
S his credit. People who have had
an idea that it would be difficult to
raise the six billions the government
wants will find that the loan will be
put across through liberal use of in
lividual borrowing power with little
" no trouble. The question may be
asked why, if the banks are to fur
fish money to borrowers in this way,
hey should not loan directly to the t
government. The answer is that if :
he government takes funds directly t
rom the banks it diminishes their I
oaning power, while if the citizens
orrow and then loan to the govern
aent the loaning power of the banks
} not only not diminished materially,
ut perhaps actually increased. This i.
henomenon comes about, through the :
recess of the federal reserve system, :
financial machine which coins cir
alating medium out of the debts of
ae people. Fundamentally the pro-
ass by which the treasury will raise
lost of the six billions it needs is a
mple one in which the citizen lets
lie government use his credit for
me.-Yakima (Wash.) Republic.
- - -
The republican party, with it's en-
able record in years past, must not
axe the mistake Of trying to get
lck into power entirely through
iticism of democratic policies. The
tried that for years, but
thout success, their opportunity
ming only because of split in the
publican ranks. 1t is all right to
II attention to the mistakes of the
rty in power, but these past mis-
kes are not so important to the
ople as are future accomplishments,
lding to right these mistakes. The
publican party should come before
!, people in 1920 with constructive
,gram, based on sound economic
nciples and devoid of political
tn. 1t is all right to open the book
e and there SO that the people may
d of mistakes made and profit
m them but for the most part re-
,lican work should consist of lay
the foundation for Improvement
r the present condition.
- n n