Atlanta tri-weekly journal. [volume] (Atlanta, Ga.) 1920-19??, 1921-08-23
THE ECONOMIC SITUATION
Bv DR.. Frank Crane

The cause of the industrial depression is
plain.
People are not buying. 1t is what is called
buyers strike.
Why don't, or WON'T they buy? Because
goods cost too much! Prices are too high at
the retailers.
Why? Because he mad to pay the whole
saler and the producer high prices.
And why did the producers Gncluding farm.
erS, manufacturers, and the like) charge such
high prices?
For the same reason anybody fixes prices al
all-becauSe he can get them people will pay
them. In the sense of charging all customers
are willing to pay, about every person in
business is profiteer
And why were customers willing to pay
such exorbtant prices?
Because they wanted the goods, ana they
had plenty of money,
And why was there so ildch money?
Because the nation was at war. Which means
engaged upon program of colossal waste and
extravaganza Ghere never was a war without
thiS) AMI was going in debt mile minu
and issuing bonds right and left
Why did no! this "prospelity" continue?
Because he time came Gas it always comes)
when men have to Pay Up, just as the day
comes when men have to die. Having TO Pay
Up they beg IN suddenly to Economic. They
took to saving and to Doing Without. And
that prevented Selling, and was like throwing
monkey-Wrench into the machinery.
How shall we cure the hard times?
Simply by backing up. The downward path
we gayly ran in extravaganza we must pain
fully retrace with tears.
The prn clral item in the cost OF production
is Labor. SEE, for instance, The recent arrange.
ment of the British Goa! mining industry where
it was agreed that of the profits SO per cent i:
to go to Labor and II to Capital.
You are never going to get lower price:
until Labor accepts lower wages.
The Labor Unions are opposed to this be-
cause the Cost of Living has not come down
But it will not and cannot come down unit
wages come down, for high wages are wha
makes goods cost so much.
When workers refuse to take lower wages BY
striking, they will not get the high wages they
want, but will strike themselves out of job
for the producers will simply quit business
They are doing so now. Hence much unem
ployment.
Some time ago the newspapers reported what
had been done at Dunbar, Pa. The American
Manganese Company there found it could no
go on paying high war wages without financial
ruin They plainly stated that they would have
to cut wages or Shut up shop. The workers
thereupon SenSibly proposed reduction of ii
| per cent in wages; the company Immediately
| reduced the rents of those employees who wer,
| its tenants; and the local ShopkeeperS quickl,
| followed by cutting down the prices they
charged for food and supplies.
| What took place in Dunbar shows on small
| scale what will have to take place all over tn,
nation, and the world, if we are ever to recove
| from our economic debauch and dreadful morn
| ing after.
Intelligent Labor leaders ought to see th
and shrewdly cooperate with owners to MAKE
the adjustment as healthy, just, and smooth a.
possible.
That is what the leaders of Labor in Grea
Britain, and in many respects the British Labo
Party is the most intelligent group representa-,
wage-earnerS in the world, have been trying
| to do
The whole matter is in no sense case O.
"war" or of class against class, but is a gen
eral, natural, economic situation where al
should cooperate to help along.
| Copyright, 1921, by Frank Cra1e)