The people's voice. [volume] (Helena, Mont.) 1939-1969, 1940-04-10

and the subject matter discussed, to
sumner goods and services including
clothing, higher education, medical
care, motion pictures, radios, pleasure
| trips, tobacco and carfares. 1t is OBJ
vious from the foregoing that industry
must depend on the low income groups
to buy its products: first, because
mass production requires mass con-
sumption; secondly, because the low
income groups having incomes above
I$1,250 per year spend $3.50 of their
earnings and save only 10 while
those with earnings under 81 $50 spend
Jail and are usually in debt, while fam
lilies with incomes over $4,000 spend
only 1879 and save the rest or 51%o.
Analysing the foregoing we find that
we have an industrial plant which is
idle 5000 Of the time, through lack
of consumer market. We have g.
100000 idle workers ready and willing
to consume the product of farm and
industry but unable to do so because
of lack of income. In simple terms
produce when they have a market,
thereby giving employment, and con-
sumner market that will consume when
they have the employment to furnish
the money with which to pay for that
consumption
Knowing the elements that enter
into bringing about this condition we
oh nj OF t,.Vyfy 10
blame this, that or the other thing,
and meet the problem as an economic
evil that can only be met by recog-
nizing the economic facts at our dis
posal Considering these facts we find
that if employment is to increase con-
sumer purchasing power must increase
to provide market for the product
of industry.
In 1889 national income paid out
was nearly $4,000, 100000, it is esti-
mated that a $10,O00,000,00 increase
in this income would be a start to-
ward employment for all, an increase
of $50 In wages paid to wage earners
already employed would raise their
total income $2,57O,OOO,OOO and there
by create approximately 100000 new
jobs at an average income of 1882
per year making an additional $780,
100000. Together these two items
total ,3O0,00O,OOO.
Our economy does not operate in
compartments, experience
shows that an increase in workers
incomes is accompanied by an In
crease in incomes of business men,
'armers, receivers of rents and divi-.
lends and all groups in the higher
income brackets. From 1888 to 1887
avery increase of $500 in workers in
come was accompanied by an increase
If $50 in other incomes On this basis
We find that an increase of $4,000, 000,-
100 in workers incomes would be ac-
by an increase of $780,
100000 total which gives us some
o spare above that required to bring
bout the desired results.
The national resources committee
# the United States government has
ust released a comprehensive study
howing what goods would be con-
umed if the national income were
aised to 0OO,000,000 which could
e used as basis for charting pos
ible production increases to avoid
reproduction of goods that would
OF find place in the economic cycle.
he responsibility for the re-employ-
lent if this great army of willing
vorkers rests primarily with industry,
ldustry being a part Of our economic
ystem therefore places the RESPONSE
ility upon our system. To admit
nat there is no solution, is to admit
nat our system has failed and l am
IRE we are not willing to admit that
urs is not the greatest, grandest and
lost tolerant system in the world.
ct us quit quarrelling with or about
sues that are distasteful to us and
eet the challenge they present.
B. /. STEINMETZ,
Great Falls, Mont