Evening star. [volume] (Washington, D.C.) 1854-1972, 1931-01-16

as took place in
1880, but sees many changes needed
IN both theory and practice during
the coming year. In taking q look al
1891 economic probabilities he saws.
Three years ago it cost $50 to have
tonSil operation, today 1t costs $3.50.
The result Is that we cannot afford
10 be sick. and our relatives cannot
AFFORD to have us die. OF course, It Is
quite proper for mothers and dauph-
tiers to spend enough money on their
clothes to keep an ordinary family
going, and father must 90 to the roif
club and lose at least $3.50 worth of
goI balls and pay his caddy fees. But
these are naturally necessities, lust as
the radio, automobile, electrical ice box
and other new inventions which make
life easier; also the kitchenette In the
apartment and the necessity of eating
our dinner fro ma tin can and rushing
to the movies.
These are necessities which we al,
must have, and it Is pretty hard 10
judge as to just how many of them
possibly are not necessities The only
way we really might be able to Judge
between necessities and lllxuries Is thar
when you find you are to dodge the
collector or walk on the other side of
the street to avoid meeting your banker.
then perhaps these items are not neces.
sites. but luxuries. If you can afford
them with the reasonable assurance
that you can meet the monthly paw
ments, then they probably are neces-
stiles.
I'm considering the problems of the
present financial conditions. they also
charge unemployment to the myth
the machine age. For every man who
mas peen replaced in factory by a
machine, other men have had to make
the machine and have had to make the
parts to replace those which are worn
out, have had to furnish the power
10 move the machine and have had to
discover and transport the lubricant so
Inat the machine would run properly.
These different allied lines have taken
up the position which the man has lost
IN the factory. An analysis of the
Machine Age shows that it is Just ex-
actly the same kind of myth that sal
aries must be maintained at high levels,
with the result that we nave q large
amount Of unemployed people because
employers cannot hire a large number
OF people and pay large wages. Those
who are being employed are, naturally.
not concerned as to those who are not.
as long as they can keep their positions
at the salaries which they demand.
The theory of a five-day week is
Just ike the Machine Age theory. If
be unable to compete with the rest of
the world. The announcement which
we hear now that Germany is working
hard and trying to get on her feet
working from IL to IL hours day
certainly Is the answer to the five-day-
week problem
Until we are through with these Diff
ferent theories, which have been taught
to us by various economists who first
4
operation and others on mathematical
and stock charts, and get back to a
common sense basis of doing business
in common sense way and living In
an ordinary common sense manner we
cannot have sustained prosperity There
is price at which labor, commodities
and materials can be sold or had, and
we have got to get down to that basis
before we can start going up again.
zone OF the most serious things we
have yet to be confronted with Is the
adjustment of labor. It is not right
that the agricultural producers should
take a IS per cent reduction in the
sale price Of their production and the
laborers still continue to maintain their
wages at a war basis. As soon as
wages are adjusted to a basis on which
men can afford to hire men to do work
for them, we will find there Will be no
unemployment and that there will be
more prosperity than now exists. In
fact, there will be the return Of our
prosperity.
There is no reason to expect that We
shall have to go through another year
of financial disturbance such as the one
which we have just passed through.
but there is no reason whatsoever to
expect a return to normal conditions
which will eventually be reflected In
security prices until these different
economic theories have been exploded
and we become normal In our manner
of living, In our business, In our pleas
ures, and in our general mental atti-
f1Ydo