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or industrial willingness he displayed would really alleviate the shortages and inconveniences by which he suffered.

 

In the speeches of politicians towards the close of 1911 and the spring of 1920, there was manifest an increasing recognition of the fact that what is called the capitalist system-the private ownership system that is, in which private profit is the working incentive-was on its trial. It had to produce general prosperity, they admitted, or it had to be revised. It is interesting to note such a speech as that of Mr. Lloyd George, the British premier, delivered on Saturday, December 6th, 1919. Mr. Lloyd George had had the education and training of a Welsh solicitor; he entered politics early, find in the course of a brilliant parliamentary career be had had few later opportunities for reading and thought. But being a man of great natural shrewdness, he was expressing here very accurately the ideas of the more intelligent of the businessmen and wealthy men and ordinary citizens who supported him.

 

There is a new challenge to civilization, he said. What is it? It is fundamental. It affects the whole fabric of society as we know it; it's commerce, its trade, its industry, its finance, its social order-all are involved in it. There are those who maintain that the prosperity and strength of the country have been built up by the stimulating and invigorating appeal to individual impulse, to individual action. That is one view. The State must educate; the State must assist where necessary; the State must control where necessary; the State must shield the weak against the arrogance of the strong; but the life springs from individual impulse and energy. (Cheers.) That is one view. What is the other? That private enterprise is a failure, tried, and found wanting-a complete failure, a cruel failure. It must be rooted out, and the community must take charge as a community, to produce, to distribute, as well as to control.

 

Those are great challenges for us to decide. We say that the ills of private enterprise can be averted. They say, No, they cannot. No ameliorative, no palliative, no restrictive, no remedial measure will avail. These evils are inherent in the system. They are the fruit of the tree, and you must cut it down.' That is the challenge we hear ringing through the civilized world today, from ocean to ocean, through valley and plain. You hear it in the whining and maniacal shrieking of the Bolshevists. You hear it in the loud, clear, but more restrained tones of Congresses and Conferences. The Bolshevists would blow up the fabric with high explosive, with horror. Others would pull down with the crowbars and with cranks especially cranks. (Laughter.)

 

Unemployment, with its injustice for the man who seeks and thirsts for employment, who begs for labour and cannot get it, and who is punished for failure he is not responsible for by the starvation of his children-that torture is something that private enterprise ought to remedy for its own sake, (Cheers.) Sweating, slums, the sense of semi-slavery in labour, must go. We must cultivate a sense of manhood by treating men as men. If I and I say this deliberately if I had to choose between this fabric I believe in, and allowing millions of men and women and children to rot in its cellars, I would not hesitate one hour. That is not the choice. Thank God it is not the choice. Private enterprise can produce more, so that all men get a fair share of it . . . [3]

 

Here, put into quasi-eloquent phrasing, and with a jest adapted to the mental habits of the audience, we have the common-Sense view of the ordinary prosperous man not only of Great Britain but also of America or France or Italy or Germany.

 

In quality and tone it is a fair sample of British political thought in 1919. The prevailing economic system has made us what we are, is the underlying idea; and we do not want any process of social destruction to precede a renascence of society, we do not want to experiment with the fundamentals of our social order. Let us accept that. Adaptation, Mr. Lloyd George admitted, there had to be. Now this occasion of his speaking was a year and a month after the Armistice, and for all that period private enterprise had been failing to do all that Mr. Lloyd George was so cheerfully promising it would do. The community was in urgent need of houses. Throughout the war there had been a cessation not only of building but also of repairs. The shortage of houses in the last months of 1919 amounted to scores of thousands in Britain alone. [4] Multitudes of people were living in a state of exasperating congestion, and the most shameless profiteering in apartments and houses was going on. It was a difficult, but not an impossible situation. Given the same enthusiasm and energy and self-sacrifice that had tided over the monstrous crisis of 1916, the far easier task of providing a million houses could have been performed in a year or so. But there had been corners in building materials, transport was in a disordered state, and it did not pay private enterprise to build houses at any rents within the means of the people who needed them. Private enterprise, therefore, so far from bothering about the public need of housing, did nothing but corner and speculate in rents and sub-letting. It now demanded grants in aid from the State in order to build at a profit. And there was a great crowding and dislocation of goods at the depots because there was insufficient road transport. There was an urgent want of cheap automobiles to move about goods and workers. But private enterprise in the automobile industry found it far more profitable to produce splendid and costly cars for those whom the war had made rich. The ammunition factories built with public money could have been converted very readily into factories for the mass production of cheap automobiles, but private enterprise had insisted upon these factories being sold by the State, and would neither meet the public need itself nor let the State do so. So, too, with the world in the direst discomfort for need of shipping, private enterprise insisted upon the shutting down of the newly constructed State shipyards.

 

Currency was dislocated everywhere, but private enterprise was busy buying and selling francs or marks and intensifying the trouble. While Mr. George was making the very characteristic speech we have quoted, the discontent of the common man was gathering everywhere, and little or nothing was being done to satisfy his needs. It was becoming very evident that unless there-was to be some profound change in the spirit of business, under an unrestrained private enterprise system there was little or no hope, in Europe at any rate, of decent housing, clothing, or education for the workers for two or three generations.

 

These are facts that the historian of mankind is obliged to note with as little comment as possible. Private enterprise in Europe in 1919 and 1920 displayed neither will nor capacity for meeting the crying needs of the time. So soon as it was released from control, it ran naturally into speculation, cornering, and luxury production. It followed the line of maximum profit. It displayed no sense of its own dangers; and it resisted any attempt to restrain and moderate its profits and make itself serviceable, even in its own interest. And this went on in the face of the most striking manifestations of the extreme recalcitrance on the part of the European masses to the prolonged continuance of the privations and inconveniences they suffered. In 1913 these masses were living as they had lived since birth; they were habituated to the life they led. The masses of 1919, on the other hand, had been uprooted, everywhere, to go into the armies, to go into ammunition factories, and so on. They had lost their habits of acquiescence, and they were hardier and more capable of desperate action. Great multitudes of men had gone through such brutalizing training as, for instance, bayonet drill; they had learnt to be ferocious, and to think less either of killing or being killed. Social unrest had become, therefore, much more dangerous. Everything seemed to point to a refusal to tolerate the current state of affairs for many years. Unless the educated and prosperous and comfortable people of Europe could speedily get their private enterprise under sufficient restraint to make it work well and rapidly for the common good, unless they could develop the idea of business as primarily a form of public service and not primarily a method of profit-making, unless they could in their own interest achieve a security of peace that would admit of a cessation not only of war preparation, but of international commercial warfare, strike and insurrection promised to follow strike and insurrection tip to a complete social and political collapse. It was not that the masses had or imagined that they had the plan of a new social, political, and economic system. They had not, and they did not believe they had. The defects we have pointed out in the socialist scheme (Chapter XXXVIII, sec 5) were no secret from them. It was a much more dangerous state of affairs than that. It was that they were becoming so disgusted with the current system, with its silly luxury, its universal waste, and its general misery, that they did not care what happened afterward so long as they could destroy it. It was a return to a state of mind comparable to which had rendered possible the debacle of the Roman Empire.

 

Already in 1919 the world had seen one great community go that way, the Russian people. The Russians overturned the old order and submitted to the autocratic rule of a small group of doctrinaire Bolshevik socialists, because these men seemed to have something new to try. They wrecked the old system, and at any cost they would not have it back. The information available from Russia at the time of writing this summary is still too conflicting and too obviously tainted by propagandist aims for us to form any judgment upon the proceedings and methods of the Soviet Government, but it is very plain that from November, 1917, Russia has not only endured that government and its mainly socialistic methods, but has fought for it successfully against anything that seemed to threaten a return to the old rgime.

 

We have already (sec5) pointed out the very broad differences between the Russian and the Western communities, and the strong reasons there are for doubting that they will move upon parallel lines and act in similar ways. The Russian peasants were cut off by want of education and sympathy from the small civilized community of prosperous and educated people, which lived upon them. These latter were a little separate nation. The peasants below, under the really quite alien incitement of the Bolshevik socialists, have thrown that separate nation off and destroyed it. In the towns, and in the towns alone, communism rules (1920); the rest of Russia is now no more than a wilderness of barbaric peasantry, but there is much more unity of thought and feeling between class and class in the west than in Russia, and particularly in the Atlantic communities. Even if they wrangle, classes can talk together and understand each other. There is no unbroken stratum, of illiterates. The groups of rich and speculative men, the bad men in business and affairs, whose freedoms are making the very name of private enterprise stink in the nostrils of the ordinary man, are only the more active section of very much larger classes, guilty perhaps of indolence and self-indulgence, but capable of being roused to a sense not merely of the wickedness

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