Evening star., 1922-11-13
Submits His Pla,,
for StabiIiizutiOn
of Industries.
Summarizes Study
He Made of Eco
1lOnaic Unrest.
Special Disrateh to The Star.

Der 13.-ThomaS Edison has submit
ted to the stan engineers of the Bab-
son Institute his plan for stabilizing
business and breaking the backbone
Of the high cost Of living. He has
authorised the following popular de-
scription Of his theory.
With Characteristic audacity he
goes to the heart Of economic life.
He proposes to afford the ordinary
consumer cheaper commodities. to
furnish the producer with ready capt.
tai ana security and to eliminate
such parasites as unnecessary mid
dlsmen and dishonest speculators-by
establishing the government a. the
country's great middleman and by
making ordinary commodities. as well
as gold. the basis of currency.
some time ago. At the suggestion Of
Henry Ford and others. Edison de.
voted himself to studying the causes Of
momentous problem 10 now under the
scrutiny OF the ablest economists and
bu4ipess experts at Wellesley.
Simple and Startling Plan.
His plan IL simple and startling. He
would have the government list some
forty basic commodities. such a. cot.
ton. corn, copper. coal. wheat. fiax,
iron. and then. taking the prices Of
the last twenty-five years as a basis.
This price he would have determined
In terms OF gold and called unit. or
q dollar.
He would have the government take
over or establish great warehouses
and storage plants. When the pro-
he brings It to the agent at the gov
ernment warehouse. who gives him .
csrtihcats covering his whole de-
posit and At the same time pays him
half Of the value OF the deposit, as
computed on the twenty.five.year
average basis: in cash. The government
When q dealer wants wheat. coal.
cotton or any other commodity he
buys the producers certificate on the
market; he presents it at ware
house, pays the government back the
money advanced and takes the prod.
uct away.
The rovsrnmsnt-hxed average price
safeguards the producer from the
ravaRes Of dishonest speculation. The
half.value payment he receives from
the government affords him q ready
capital. The certificate he receives Is
nut on the market, subject to the
ordinary laws Of supply ana demand
But the certificate does not depend
on the gold in treasury vaults. but
on the commodity In the warehouse.
In one sense the Edison plaa 10 . 70.
turn to the ancient system Of barter
as far 40 the eomplexity OF modern
lite will allow.
Form Of Money Proposed.
Unit money In the Edison plan is
not money In the popular eoncep-
tion-that 10, metal money or money
with A metal basis. Tho day when
natal furnished the most exclusively
ractieal basis for 4 medium OF *.
chanrA 40 we'll as a measure OF value
has. according to Edison, gone BY:
His money would stu De e.S desesminsa as nn7d
in treasury vaults being its only
basis. YOU would have wheat in the
government bins. coal IN the govern.
fnsnt pits, rice In storage, cotton In
th1 warehouses;. etc.
"Ali articles deposited IN the ware.
H rstio when loan Of unit money is
rsn. Only one kind Of unit money
10 issued together with the deposit
coz suppose s a farmer puts in the ware.
mouse. ], 900 bushels Of wheat graded
by the government rs No. red. The
this trade, including. high war pricss,
sa, saw. 81 per bushel. The farmer Is
nivsn $500 in unit money. He then
can hold his wheat by means OF his
certifieatS until he thinks the price
IL satisfactory. ana thus pc Ge 'naSpeno. nnIp au.
thH nrice ahead months before the
cren ie rAaped. This, certificate Is
bourht on the exchange. at market
nTic3 now, say. Sl.lS for No. l red.
The farmer would get $3.50. a. the
wheat 10 higher than the twenty :hvs-
Z. q q cents, sns o'hef he wouid nans
aBus the unit money would not
vary. It would always be the same,
necausS wheat would not be likely
ia be sold over period Of one year
for 50 cents. In other words. the
s:fs.nSa''. TO O. ispsil tie value Of the
"n.i ..rhe ' ayerares are changed every
v..r 4 nav year being added and the
earliest year OF the twsnty-hvs 70
dropped.
pressrvls value Of Uait Msnsy.
"rn four Or ave years the twenty
five-year average would be less and
the three.year high war prices viii
bring the average down, 90 Wheat
impair the value Of the, unit money. ]
aIf q person wants peanuts he buys
peanut 6Arsincates.. or It he wApts rice
I'd buys rice esrtihoatss. or anything
snr ~ storsse: hSuds An thS certificate
and the amount of unit money loaned
md the commodity 10 at his order sot
phIpMene. The unit money. You mo-
tloS, u ae@Ame1 To- Al Articles.,% >
!. .athes Altt money casnot Eactuate.