The Connecticut labor news., 1923-10-13


 ther than remote, outside considerations are the primary cause of the business cycle" says the conventions declaration. Past cycles have shown certain com mon tendencies. During the up grade or period of business revival, we see a rise in the volume of manufacturing, in stock exchange prices, in commodity prices, and in demand for credit by business men and speculators. Then follow stifening money rates, and the gradual straining of credit, with pos sible curtailment to spectators. At this point, we are just ready for the change. It is heralded by falling of stock exchange prices, while business wavers or continues to rise unevenly, burdened and deliveries delayed and the apparent shortage of goods is intensi- fled by speculative buying and duplica- ton of orders. Credit expansion hears its limit; public confidence is shaken; orders are cancelled ruthlessly; quick liquidation of inventories sharp and irregular fall of prices; workers are layed off. The cycle ending in the de- preSsion of 1921 was unusual in the ex- tent of the proceeding expansion, in the severity of the depression, and in the amount of unemployment. During its deepest slump as many as four or five million of Americas wage earners were unemployed.
 Consideration of past dangers and disasters Is worth while principally for the knowledge 1t gives, enabling us to read and interpret future danger sig nalS
 Three of the ten recommendations of the committee are concerned with the need for knowledge as a guide to bus1- enss policies. An increase in the fac1ll- etis of the Department of Commerce is also recommended and a greater degree of cooperation with that department in. and extending business in formation. The committee also undeT-Y scores the need for expansion and stan dardization of statistics by the DePs ment of Labor. It urges especially iN iodic and prompt publication of the facts about the following key industries; Raw wool and woo1en textiles, raw cot ton and cotton textiles, hides and lea ther and shoes iron and steel and lead ing fabricated products of each; zinc, lead and copper and leading products of each, and bitu1ninous coal
 "A section of great practical value discusses the use of construction work as a balance wheel for business. If all rbanches of our public works and the work of our utifities-the telephones, and others-could systematically put aside financial reServ- es to be provided in times of prosperity for the deliberate purpose of improve nent and expansion times of depression, et,o ft,a of depressions but we should at the asme time diminish the height of boons.
 "ThiS utilization of government pro- iects as an employment reserve so far IS possible by which demand for labor md materials may be stimulated during depression, Is now being made part of he governments policy. To continue he investigation to find the principles md the information necessary to stabi- ize employment, studies will be made of some of the seasonal industries. In he first of these-the construction in, lustry- the committee has already been upon which labor is represen- ed by John Donlin, president of the Building Trades Department.
 we recommend and urge, therefore, he A. F. of L. actively participate in Ill endeavors now in progress and de ,elopng from them. To facilitate this ,lan the Federation should have avail lb1e the thought and information of all abor organizations upon regularization ,f employment and allied problems. We recommend that provision be made for his work and all wage earners be urged o send to headquarters suggestions, cri-l icism and information which will be helpful in developing constructive la DOT policy on the reduction or the eli- nination of unemployment"