Evening journal., 1920-01-16
PLUMB PLAN RECALLS TWO PUZZLES.

~ HE Plumb plan which has been exposed to the
try In all It's naked lovellness. and which its advo-
Gates wish applied to all industries recalls two old puz-
zles.
The nrst how put 1--WE horses in four stables
so that each horse has stable to himself and the sou
tion given to put the nrs horses n stable number
one the third horse in stable number two, the fourth
horse In stable number three and then lead Of the
horses from the first stable and place him in stable
Der four.
The other puzzle relates to the will OF an old Arab
who died possessed Of Il horses onehaf OF which
willed to his eldest son, onethrd to the next eldest and
one-ninh to the baby.
How 10 divide II horses equally was a poser until
the eldest solved II by driving another horse into the
herd making is Of which he took the second took
G. and the baby received ?, making II In all.
The Plumb plan, as developed and as it is proposed
by It's sponsors to apply TO all industry provides that
Society that is the public shall receive profits on
its investment In the shape Of better cheaper and
service The investment society is deemed TO be the
grant to industry to do business.
Capital shall receive its share In guaranteed protec
on Of investment and that current rate Of return which
the markets OF the world procures the acceptance at
part Of the securities which represent invested capital
The capital required support industry shall be deem
ed It's investment
'Labor shall receive It's return upon It's invest
ment Of human effort that rate OF wages which in the
free markets OF the world procures the service Of that
class Of labor and in addition wages shall receive It's
OF all the savings which labor effect in the pro-
oesses Of production"
Capital. It viii be noted is to receive nothing from
the saving OF labor, Is II TO share any benefits By
OF better, cheaper and service" And Is
highly probable. labor being what Il humanity IS, that
society would never receive benefit through savings
which includes cheaper service. through increased
service for the simple that labor would step in
and demand Il It's due. Society would be In the posi-
ton OF holder Of common stock In a concern which
declared dividends beyond the preferential hold
mss
Capital the acceptance al par Of Its securi
the markets OF the world frequently because Of
some improved method Of manufacture some decreased
unit cost Of output due to the invention Of labor
saving device. to some means OF increasing produc-
lion.
The Plumb plan proposes that labor shall absorb
profits derived, which would Of course depreciale
the value Of the securities offered for sale by capital and
eventually makes II difficult II not impossible, TO market
them incidentally, the securities marketed by capital
the stocks and bonds purchased by society.
As to which group is to bear the losses In lean
years. the Plumbites silent
Nor could be expected that labor under the Plumb
plan would long be contended with that rate Of wages
which in the free markets Of the world procures the
vice Of that class OF labor"
Judging from resolution unanimously adopted by the
American Federation Of Labor In Buffalo two years ago,
American labor wants something better than the free
market rate of wages and under the protective policy it
receives il.
The Plumb plan Is not ldealistlc or visionary.
It is plumb nonsense in the sphere of economies.
a great many industries reward their laborers
for economies effected in production and this is COM
mendabe.
Society viii profit by cheaper goods if capital
and labor tend TO their Knitting.
p,fth MIA, 0rsF
squeeze capital out industry substitute government
ownership.