Evening star. [volume] (Washington, D.C.) 1854-1972, 1925-01-12


employment situation has long been
counsel of perfection among stu
dents of these problems. II In Pc
RODS of great business activity the
work of construction might be some
what relaxed. and IL in periods OF
business depression and slack en-
ployment these works might be ex-
banded to provide occupation for
workers otherwise idle, the result
would be a stabilization and equai-
cation which would moderate the
alterations Of employment and un-
employment. ~
This in turn would tend to favor
able modification OF the economic
cycle. 1t is something to be greatly
6csi" ed. but It's accomplishment Is
attended by much difficulty. AS
practical proposition, 1t Is not easy
to convince a man whose factory Is
idle or running on part time that he
ought to construct an addition to IL
because at some future time 1t VIII
be needed or easy to recognize good
times until they are passed. Also
IL Government withdraws from the
market others are likely to follow,
nevertheless the first and easiest ap-
plicatiop OF such a regulation is in
connection with public works; the
public buildings, highways. public
utilities and the like. Most forms of
Government construction could be
handled in conformity to such a
policy, once IT was definitely estab
lished. Certainly in time of depres-
sion the Government can start build
ing. This applies not only TO the
construction activities of the Federal
Government but to those of States,
counties and cities.
Economics Apparent.
more than this, the economies pos
sible under such a plan are apparent.
When everybody wants to do the
same thing at the same time, 1t be-
comes unduly expensive. Every ele-
ment of costs, in every direction.
tends TO expand. These conditions
reverse themselves in times OF slack
employment and sabnormal ACTIVITY.
with the result that important econo-
mics are possible.
II am convinced that II the Gov
ornamental units would generally
adopt such policy. and IL. having
ADOPTED II, they would give the fullest
publicity to the resultant savings, the
showing would have a compelling In
fuence upon business generally.
Quasi-public concerns. such as rail-
the great corporations. whose require
ments can be quite accurately antici-
pated and charted, would be impress
ed that their interest could be served
by a like procedure.
The tendency of present times is
undoubtedly toward conservatism in
turning out articles intended for cur
rent consumption. The merchandise
ing community is chary OF laying In
great stocks against a future market
because of the many uncertainties
that still remain as a heritage from
the war period. 1t is true that these
uncertainties are far less acute In our
country than in most others. but their
existence in other parts OF the world
inevitably has a certain effect here.
On the whole, then, our search for a
factor of balance and sterilization
brings US back to this business OF
construction, which is represented
here today.
Progress Made.
1T Is found by those governmental
agencies which maintain touch with
these matters that notable progress
has been made in efforts to lessen the
seasonal element in employment in
the construction industries. They re-
port that employment is better spread
through the year tRan ever before
and that in the last two or three years
the proportion of wintertime employ
ment has been considerably increased.
This Is entirely to the good, although
much remains to be desired in this
regard.
Organizations such as your own
represent possibilities of much good
usefulness in dealing with all these
problems. To the extent that they
are devoted to such useful ends. they
are entitled to all encouragement. In
the construction industries the move
ments to develop uniform contract
forms promise much as an assurance
Of fair treatment to all competitors
and securing the best work. 1t is
always recognized, OF course. that
such organizations may be made the
means to an undesirable Limitation
of competition, and to the unjusti-
fable increase of profits. II trade
associations could be so conducted
that the public might be assured OF
all their potential ADVANTAGES. and
at the same time safeguarded against
the disadvantages incident to re.
stricted competition and the erac+fo,
of too liberal profits, they would
render large service to the com
munity, and would be assured OF a
corresponding measure of confidence
ana support. A very wise man, Adam
smith, writing some century and a
half ago, made an observation which
suggests how uniform are the
processes of human nature through
the generations. He said:
People of the same trade seldom
meet together, even for a naerrfment
ana diversion but the conversation
ENDS In a conspiracy against the
public, or In some contriyance 10
raise prices.
We have had a good deal of evil
dence In our own time that this die
tum of the. wise old Scotchriian Is
quite as applicable In one generation
as In another. 1t is this trait of hu-
man nature Which has in more recent
years compelled society to. adopt
reguIatives measures to protect itself.
am sure we can all agree that or
carnations of this kind will command
the greater public confidence, and be
the more capable of lasting useful
ness, IL they recognize the danger OF
railing into such practices. There is
ample opportunity for good and USE
full results through organisation
without overstepping the boundaries
| of public interest, honest competition
and fair dealing. To such a program
every trade association may well be
recommended. BY punctilious observ-
ance of such aims and limitations. they
will best serve themselves and win
the commentator of the community
it, ~ IyvtS -