The toiler. [volume] (Cleveland, Ohio) 1919-1922, 1921-08-27
The international Situation and our PrQblems
THESIS L TTzOTSExY and VAE2GA 4
ADOPTED


and which undermined the economy OF capltalsm
The outbreak of the mperaist cded with the in
dustra crisis which had its origin in America 9l3) and began
to hover menacngy Europe The nor development OF
the industrial cycle checked by the war wch mad se De-
come the most powerful economic factor caed an unmed
market for the basic branches OF mdustrnd secured hem
against competition The played the pato soa customer
ever in want of goods The manufacture productive COM
modties was suppned by the fabrication Of means Oh desu
ton Millions of people not engaged IN prcdAlo pu III WORK
of destruction, continuously using up o e al
eyerncreasng prices This process is the case OF the present
economic decline By their contradictions OF ast society the
masters the cloak Of prosperity to this rus prospect Inc
State kept issuing loan after oan one issue paper money o
lows upon another till state accounting began De carried on
in billions instead of millions The wear andNaH OF machinery
and of equipment not repaired The cultivation Oh ano was
in bad state Public constructions in the cities ane on the hgh
roads were discontinued At the time the number OF gov
ernment bonds credit and treasury bills and notes kept growing
ncessanty Fictitious capital increased in proportion product
i've capital kept dsmshng The credit system instead OF serving
as medium for the circulation of goods became the
whereby national property including that which is be created
by the growing generations being modified for military
purposes
The capitalist state deadng the impending crisis, continued
after the war to follow the policy did during the war
namely; issues of paper money new oans regulation OF
prices of prime necessities guaranteeing of profits government
subsidies and other additions Of salaries and wages plus military
censorship and military dictatorship
At the same time the termination Of hostes and the re-
rewal of international relations limited though was, brought
out demand for various commodities from all parts oil the globe
Large stocks Of products were left without during the
and the enormous sums money centred the hands CT dealers
and SPECTATORS mobed by them to where they could
produce the largest profits Hence the feversh boom
panied by an unusual rise of prices and fantastic dividends while
in reality of the basic branches Of industry anywhere in
Europe approached the prewar level 4
By means c continuous arrangement ofhe economic sys
me accumulation Of inflated capital depeciion Of currency
Speculation instead Of economic reoratcn the bourgeois
ernments in league with the barking ecA and industrial
trusts succeeded putting off the beginning of the ecoOic
crisis till the moment when the political Tconsequent upon
the dmobzaton and the first squarng Of accounts some
what aIayed
Thus having gained considerable breathing space the bour
geoise imagined that the dreaded crisis has been removed for
indefinite time Optimism reigns supreme appeared if the
needs of reconstruction have opened era of lasting
anson Of industry and particularly speculation But
the year 1920 proved have been period Of shattered hopes
Tie W rid Crisis.
The cses-nancal commercial and industrial began in
March 1920 Japan the beginning Of it the month of April
in the United States oned by slight fall prices in January
Then II passed in England France and Italy n Apri 1t
reached the neutral countries Of Europe then Germany and
extended all the involved in the capitalist sphere Of
influence during the second half Of 1920
Thus the crisis Of 1920 periodic stage of normal
industrial cycle but profound reaction Consequent upon the
artificial stimulation that prevailed during the and during
the years thereafter and based upon rnaton and
haustion
The upward of industrial development was marked by
turns Of good times followed by crises During the last seven
years however there the productive forces of
Europe but the contrary they kept downward
The crumbng Of the very foundation Of industry is only
beginning and is going to proceed along the whole line
European economy going contract and expand during
number Of years to The marking the productive
forces going decline from the present fictitious level The
expansions going be only horved and of speculative
nature considerable extent while the crises are going TO be
hard and lasting The present European crisis of under
production the form in which destutcn reacts against the
STRIVING to produce trade and resume life The usual capitalist
level.
Of all countries of Europe England is economically the
strongest and has been the least damaged by the but
with regards to this country cannot say that it has, any
way gained its capitalist equilibrium after The war Owing
its international organization and to the fact that came out
victorious from the England did indeed achieve some COM
merca and financial success It improved its commercial balance
raised the rate Of the pound and reached an accounting surplus
in its budget But in the industrial sphere England after the
war; not only did not progress made big strides backward The
productivity Of labor in England today and Her national income
are much below that of the prewar period The coal industry