The Indianapolis times. [volume] (Indianapolis [Ind.]) 1922-1965, 1934-12-06
Liberal Viewpoint
By DIR. HARRY ELMER BARNES :

- BY DIX. HAIRY ELmEK BARNES
THE seeming change of heart on the part of
l. the governing group IN American caIdtal-
ism since Mr.. Roosevelt's rousing victory III the
November election has quite naturally and de-
servedly attracted great deal of comment.
It has vast significance not merely for the
destinies of the New Deal hut also for the fu-
ture of our whole social and economic and
political system. Upon its outcome will depend
the possibility of reviving and perpetuating
capitalism in this country, in association with
anything like the principles of modern de-
mocracy and popular government
If the capitalists desert the Roosevelt band
wagon this time, we shall have before us only
last desperate squirt of governmental infla-
ton and spending, to be followed by some sort
of dictatorial RECOMMENDATION.
When allowance is made for obvious differ
ences of historical setting and perspective the
situation is not unlike that which pertained to
the eighteenth century when the Benevolent
Despots tried to stave off revolution by carry
ing through seeping reforms at home designed
to eliminate the more wasteful and destructive
vestiges of the old feudal orders.
Frederick the Great, Catherine II and Joseph
of Austria made determined effort to set their
own houses in order. Now, in the terminal
stages Of capitalism Mr. Roosevelt is making
comparable effort to save the system of society
of our own day. If he is not deSpotic, at
least there can be no doubt of his benevolence.
of capitalistic prosperity may be permitted at
least some skepticsm about the sincerity of the
business ballyhoo in ostensible support OF the
New Deal. American business had its great
chance to cooperate with the President in
1893.
TINE NRA was the child of big business. Only
i clause IA existed as a fly in the ointment,
and this demanded no more than justice for
workers so that their wages would be sufficient
to buy the goods turned out by their employers.
If big business expected anything more favora
BILE to the employing class, then their expecta
| tons exceeded the bounds of reason.
1t frequently has been said in defense. of the
business sabotage of the New Deal from August,
1888 to November, 1884 that uncertainty of the
future discouraged business cooperation with
| the Administration.
This argument never has struck me as hav-
ing great deal of validity. 1t was certain that
the old ways to which business wished to re-
| turn were bound to be destructive of the cap
| italstic system. There was no uncertainty about
| that. Nor was there any uncertainty that Mr..
Roosevelt wished to save capitalism without any
more changes than were necessary to accom-
plish this end.
Even his inf1ationary policies, which usually
| were brought up in connection with the I'M
certainty alibi, were bound to be temporarily
| good for business and finance. They meant
| higher prices for manufactured goods and rise
| in the market value of common stock though
| bonds might undergo some decline. Only the
workers and salaried classes were likely to be
directly injured by initiation and the business
and financial groups were certainly not solicit
Gus about the workers or the white-collar ele-
ment.
The only threat to finance capitalism in the
Roosevelt policies was embodied IN the Securi-
| ties and Stock Exchange Acts. But these ask
nothing more than that institutionalzed gam
bling should be carried on without the loaded
dice of the previous decade
ON the surface at least, it looks as though
| ~ business hoped to check Mr. Roosevelt at
the polls in 1884 But the results of the cleo
ton showed this to be a futile hope. 1t even
seriously dampened the prospects of admins
tering any political licking to the AdmniStra-
| ton in 1886.
Therefore the only possible logic was to
| crawl the Administration bandwagon and
| proclaim united front. Even now there is lit
| tie talk among business leaders about the well
| fare of the whole community. Interest still
seems to be centered upon better business and
temporarily bigger profits.
| It is too early however, fairly to judge the
real motives of business in getting behind the
President. If it really does cooperate enthu-
Siasticaly with him. it certainly can save the
day for a considerable period ahead.
| This will be especially true if the President
himself abandons the obstructive concept of
scarcity and goes over frankly to an eSpousal
of the economy of abundance.
IF the full realization OF Americas capacity
| to consume becomes the ideal of the Admins
! tration and American business, nothing can stop
| their joint efforts