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Page Six THE DAILY WORKER. 1113 W. Washington Blvd., Chicago, Ill. (Phone: Monroe 4712) SUBSCRIPTION RATES By mall: $3.50....6 months wien months By mail (in Chicago only): 4 $4.50....6 moths $2.50....3 months $6.00 per year $8.00 per year (ddress all mail and make out checks to THE DAILY, WORKER 1113 W. Washington Blvd. Chicago, Iinole J. LOUIS ENGDAHL WILLIAM F. DUNNE MORITZ J. LOEB... {enmnnnnnennn EAtOTS Business Manager SRSA ISS ET SEE Entered as second-class mail Sept..21, 1923, at the Post Office at Chicago, Ill, under the act of March 3, 1879, <p 290 Advertising rates on application = The End of Fascism The French authorities, at the request of the Italian consul, are holding a member of the Italian Fascisti accused of complicity in the mur- fler of Matteotti. This little item of news is more eonvincing than long analytical articles of the weakness of the Mussolini government. They Pay Him For This! The manufacturing capacity of our country is now highly developed and is far ahead of our ability to distribute effectively and economically. The problem of American business, then, is the problem of distribution and | venture to say that during the next forty years the keenest minds In our business world will be working on it. The great “inventions” will be in connection with new methods of distribution rather than with new methods of manufacturing. In fact it has become far more than a mechanical or economic problem. It is rapidly becoming a so- cial—almost a spiritual problem—which can only be solved when everyone involved in it realizes his position and his responsibility and undertakes a veritable crusade to cut sales costs and reduce selling expense.—Roger W. Babson. The gentleman whose name is signed to the above undoubtedly rejects the matefialistic conception of history—if he knows what it is—and would resent any insinuation that his effusion (part of his latest bulletin to business men) was motivated by the present serious crisis facing American in- dustry and is therefore an example of the method by which the above-mentioned theory explains history. Babson is a sort of oracle for American business. He is paid a large amount of money for telling his clients why business is good or bad, but his real Contrast the present zeal of the Italian author- Ities in running down the degenerates whose} erime shocked the world with the unyielding at titude at first taken by the head of the Fascist government. There are other facts that show the awakening of the Italian masses, among them the widespread activity of the Italian Communist Party and the support it is getting from workers who a few months ago were afraid to call their souls their own. Mussolini and Italian Fascism are nearing the end of their rope and if resentment expressing it- self in revolutionary organization continues to grow in Italy, as it doubtless will, this may turn out to be more than a figure of speech. In Paterson The ‘Workers (Communist) Party of America has out-maneuvered in Paterson a specimen of one of the sub-orders of vermin that infest ever ican city dominated by a particular industr ehief of police of that city, ever since Workers Party speakers have been addressing meetings of the strikers, has made loud claims that he has tlosed halls to the strikers only to stop Commun- ist propaganda. The Workers Party has now withdrawn its speakers yoluntarily and the strike committee has issued a statement explaining the situation. Sub ‘quently a committee of the strikers interviewed “.@ police chief and insisted that he allow them to «open the halls. He has refused and every worker 1 Paterson knows him now for what he is—the | her clumsy tool of the silk mill bosses. The fight is being carried on with redoubled or and the party has gained in prestige while the police chief and his overlords are finding uble in setting up another smoke-screen with ‘hich to hide the basic issues in the strike—the ie ire of both to make of Paterson a stronghold of al feudalism. 9 Morgan Says “Yes” The power behind the throne of American polit- ies and the uncrowned king of Europe, Mr. J. P. Morgan, has just issued a statement to the world assuring it that the Yankee financiers will do their bit in putting over the Dawes loan. This announcement is of extraordinary signific- No one expected Mr, Morgan to say No, after the American financiers’ turned the London con- ference into marionette show doing the bidding of Wall Street. The vital ‘feature in the Morgan an- nouncement is its very issuance. Many had been holding their breath. They were becoming percep: tibly worried at the delay in floating the first Dawes loan. A word from Mr. Morgan and all is at ease in the realm of international finance. Mr. Morgan is speaking for the composite class interests of the American industrial and financial overlords. He is the agent plenipotentiary of Amer- ican imperialism in Europe. While Coolidge says “Hands Off America,” Mr. Morgan says “Hands On the World.” Historically and economically it was most fitting for the two declarations to be simulataneous The DAILY WORKER is giving its readers a thorogoing analysis of the Dawes plan and all its implications and dangers for the workers, At this: it there is no more momentous question con- fr « the working masses of the United States and of the other countries than the agreement of ic United States and of the other countries than vement of the international capitalists to the Wall Street school of finange take over stlvaging of international capitalism. it the convention of the American Bankers’ As- «ation, Mr, Woodruff, President of the National ik of the Republic, told his colleagnes to be fully vred for all eventualities. Mr. Woodruff was . encugh to Jet the bankers know that the ‘ alist world-can.be saved only by their taking ‘ ‘he seenrities. of Enrope....The Chicago banker ‘ 1 upon the high prinees-of American finances une the leadership of World capitalism with- wy fears. nd then Mr, Woodruff urged the banking solons to girdle their loins for a fight for lower wages. Thin is an essential, tho unwritten part, of the whole Dawes scheme. The challenge has been flung into the teeth ofthe workers of the whole land by the leading moneyed lords, Mr. Morgan has said Yes. All thé workers must answer him and_ his class in the only language the exploiters under-| ance. mome: caliber is indicated by his proposed solution of the problem of over-production i. e. “to cut sales cost and reduce selling expense.” In the Babsonian world there is no room for the theory of surplus value. Every one gets what he is worth and cheap production is the panacea ‘for all ills. It never occurs to him that cheap production —replacing workers with machinery, whichis what cheap production means—is only anothey way of reducing the consuming capacity of the workers and adding to the general misery among the masses and chaos in industry. In America, where cheap standardized produc- tion has developed the niost efficient industry in the world, and where distribution is organized until it works with machine-like smoothness, we face a : growing out of the simple fact that the mar e glutted. The day of the Babsons is drawing to a close. -| American industry faces an impasse, There is not enough consuming power granted the workers under the wage system to absorb the flood of pra- ducts that they turn out with the specialized ma- chinery owned by their rulers. All of the adyer- tising and special selling campaigns that the rest of the world gazes at with amazement, fail to ex- tend the limits of the domestic market. The limit has been reached. Moreign markets? War must be waged for them and if he was honest Babson would say so. Fortunately for the working class, the law of eapitalisin compels the industrial and financial lords to struggle always for cheaper production— to wage war on the living standards of the workers and force them to fight back. “Sales cost” and “sell- ing expense” cannot be reduced without reducing the number of workers and thereby. curtailing markets. So what Babson’s advice amounts to is just the old slogan of the capitalists—“reduction of wages”—the sovereign remedy of the parasites for all economic ills. It sure requires intelligence-of a high order to be an advisor to the American businessman. Communist advice to the exploited victims of Babson’s clientele required more intelligence t formulate, but it is simple enough to be easily un derstood: “All Power to the Workers!” Birds of a Feather Mr. William English Walling, once officially on the roster of the Socialist Party, and now in the same camp with Hillquit and Berger fighting for LaFollette, is doing presisely what we said a few days ago he would: do, The vicious foe of the class conscious workers of the United States and every country in the world is now a full-fledged democrat—locally at least. Mr. Walling who only a few days ago called down Spargo for jumping on the republican bandwagon has decided to take another leap himself—back- ward of course. Mr. Walling has been chosen as the democratic candidate for Congress in the fourth district of Connecticut. Incidentally it might be noted that this section breeds and harbors numer- ous millionaires, of whom Mr. Gompers’ lickspittle is one of the wealthiest. Here we have a very interesting phenomenon taking its full course. Mr. Walling is the chief and vilest propagandist of Mr. Gompers at work in disrupting the labor movement. Mr. Walling is feverishly on the job rendering the bosses of the country inestimable services. When any working class organizations is to be attacked for its oppo- sition to unspeakable conditions of employment, it is Mr. Walling who always comes across with the rankest and most poisonous sort of an onslaught. This is the Mr. Walling that is the sworn enemy of the Soviet Republic. This is the Mr. Walling who is doing a magnificent work for the open- shoppers in the office of the Executive Council of the American Federation of Labor. This is the same Walling who is calling on the workingmen to support Lak pllette. This is the very Mr. Walling who has just been choosen to represent the multi- millionaires’ row of Connecticut in, the House of Representatives. Last but not least, it is with this Mr. Walling that Hillquit. Berger and the other socialist leaders are today co-operating in an effort to stifle the growth of.a class farmer-labor party, Mr. Walling promises to vote with the democrats in Congress, He promises to be “progressive.” His evolution is complete. The socialists had better rejoice at the inspiring company they find them- selves in today in, their most ignoble efforts to stand—organized struggle for political and econ- rc power. send the Walling-Gompers-Lalollette-Wheeler- Spreckles-Vanderlip alliance into power. { THE DAILY WORKER By WILLIAM F, DUNNE. In an interview given September 30, secretary of the treasury Mellon gives plenty of evidence that the Dawes plan is the joint enterprise of American ‘finance and industrial cap- italists. His statements show that all | results of the plan have been care- |fully considered by both groups. | Mellon speaks both for the banking |fraternity and the steel barons. He |comes from Pittsburgh, the center of the steel industry and the close connec- nection between his financial enter- prises and the steel business are too well-known to need detailed explana- tion here, A Dual Problem. The dual problem that the Dawes plan must solve, apart from the stab- ilization of European capitalism, is to find an outlet for the flood of gold that has accumulated in the coffers of our capitalists, and which, with its ever present threat of inflation, ser- iously hampers American Capitalism in maintaining a favorable balance of trade. Plainly put, the American cap- italists have most of the available gold supply of the world and other nations can purchase but very little from them. The second part of the problem is how to revive European and particul- arly German industry without disor- ganizing American production by reason of a flood of cheap commod- ities produced by European workers for starvation wages. It is almost needless to say that no consideration for the American work- ors enters into this desire to prevent che swamping of American industry. it is a desire dictated solely by the fact that in spite of more or less care- less tallk about the domination by fin- ‘mee capital, the basis of American vapitalism is héavy industry—iron and steel and kindred products. The Amer- ican capitalists are not, in a world where war is just around the corner and where God is on the side of the nation that can produce the most steel, going to surrender their present supremacy in this field for any price. Mellon Speaks. It is at this point that the obser- vations of Andrew Mellon become otf interest. Here is what he says: 1. The American steel industry, is! not endangered by foreign competition even though under the Dawes plan the furnaces of Belgium, Northern France and the Ruhr operate to cap- acity. 2. Some, competition is expected from European steel in the Atlantic seaboard markets but foreign produc- ers cannot undersell American man- ufacturers in interior markets because of freight rates which local plants do not have to pay. 3. European producers will be able to meet competition of Americans in markets with some success but in this respect American steel manufacturers will be no worse off than before the war. 4. The German steel industries will cut costs to the minimum but their reparation payments will be a charge sgainst the industry and will serve to discount: their lower labor costs less- ening chances of German steel to com- pete in American markets. 5. American steel interests will gain more than they will lose by in- creased production in Europe and Eur- ope’s increased buying power will re- act more to the benefit of the United States than to-any other nation. The Imperialist View. We may take it for granted, I think, that these statements which could have been made only after consider- able deliberation, represent the view of a powerful section of American cap- italists as to the effects on basic in- straight at its heart with the hilt in the hands of the most brutal and pow- erful group in the world—the Amer- ican capitalist class. England’s coal and steel and ship- building industry are in ruins as a result of her “victory” over Germany and the collapse of the world markets. She has no immense domestic mar- ket to bulwark her iron and steel trade as have the American capitalists: She makes forays into China but there she meets American competition that has created a rivalry so fierce that Americans are no longer welcome in English clubs in the orient—a surface indication of the deep seated antagon- ism between Great Britain and Amer- ica that no amount of “blood is thicker than water” speeches can wipe out. No Mercy for Rival, Revival of the German steel indus- try will hurt Great Britain more than any other nation and she can expect little merey from the representatives of American capital on the experts committee. Her navy and her mer- cantile marine need’ fuel oil but again she encounters the rivalry of American imperialist and this rivalry will not be forgotten by the hardboiled committee of American capitalists when it is a question of her markets or theirs that are to suffer from a flood of German commodities. dustry in America of the operation of the Dawes plan, American industry is being rapidly curtailed at present, basic industries are selling little t6 Europe and the black pall of depres- sion, lightened here and there occa: sionally, but still indicating a steady trend downward, is settling over the United States, The revival of German industry cannot possibly have much more of an adverse effect than is the case today. American basic industry as a whole operates on an export basis that represents about 20 per cent of domestic production, If thru German competition American manufacturers lose a portion of this market the loss will be made up by the interest on loans made to European governments and European industry. Where Control Counts, But our imperialists do not intend to lose any of their Proportion of world trade—they intend to increase it. Anterican capitalists will be in control of German industry for the ‘imple reason that they are furnish- ing most of the money needed to ré- vive it. American experts will allot raw materials, they will specify what commodities are to be produced, how much of each and where they are to be sold. American. capital refused to come to the assistance of Europe until its terms had been met and this’ is the price it has exacted from the des- perate and fearful capitalists and governments of Europe whose only al- ternative was to be enjgulfed by the rising tide of revolution, Great Britain is the tats powerful rival of American imperialism. Just as American imperialism is based on the production of iron and steel so is the imperialism of Great Britain and the Dawes plan is a sword pointed A great producing nation like Ger- many cannot come back into the world markets without some national econ- omy suffering but every word of Mel- lon’s testimony indicates that the American capitalists have decided that they will not furnish both the capital and the markets for German heavy industry. Some inroads cannot »e prevented but the principle sufferer vill be Great Britain—the- ancient en- my and the one that disputes with he American rulers the markets. of he world and the oil supply of the world, The recent abolition of “Pittsburgh jus” must in light of the statements of Mellon be interpreted as a prepa- ration of the steel industry to allow interfor plants to meet German com- petition, It is thus corroborative evi- dence of the American capitalists to surrender none of the domestic market. - More Straws. Another indication of the ever-in- creasing antagonism betWeen what the proponents of Nordic superiority like to refer to as “the two great Anglo- Saxon nations” is found in the remark- ably frank expression of resentment aroused in our imperialist press by the support accorded Japan by Great Britain at Geneva recently. The Chi- cago Tribune warns Great Britain of the vulnerability of Canada and points out the conflicting viewpoints of the colonies and the motherland on the Japanese immigration issue, Beneath this attitude again is the solid econ- omic fact that American investments in Canada now exceed those of British capitalism and that in Australia also a home industry, making that colony more independent of Brjtish manufac: turers, has grown up during and since the war. Japanese imperialists are the en- emies of American imperialists in the Pacific and Britain must either give up her alliance with Japan and weaken her position in China or face the possibility of desertion of her dominions. All-of which is grist in the mill of American imperialism. Amer- ican capitalists nqw attack Great Britain in Europe with the Dawes plan and in the orient with the issue of Japanese immigration. The Line of Struggle. Perhaps some one will say that we place too much faith in the ability of the American capitalists to protect their markets but nothing is farther from our mind. We are interested here in discovering the general line of development of the imperialistic strug- gle, of determining the intent behind all the lovely phrases like “bringing peace to Europe,” “repairing the Wednesday, October 8,.1924 Steel, Finance and War wreckage of war,” etc. that are used to disguise the real purpose of the Dawes plan. Nor*should we be understood as say- ing that the operation of the plan will have no effect on the wages and work~ ing condition of American workers. It will. The bogey of German competi- tion will be raised and the industrial depression that is here, without any assistance from the Dawes plan, will be used to beat down wages and club the American working class into the state of subjection and helplessness so necessary for the bloody purposes of imperialism, The Big Issue. The vitally important thing in con. nection with the . establishment of American capitalist hegemony over continental Europe is the impetus it gives to the rivalries between Amer- ican and British imperialism—the threat of war that every provision of the plan breathes. ‘ Trotsky in a recent speech, put for- ward the idea of a sort of United States of Europe as the last resort of European capitalism in the struggle against the domination of American imperialism. The chief obstacle to this new alignment is the rivalry be- tween French and British capitalism but one thing js certain—the exten. sion of American imperialist rule must soner or later bring some sort of unity between the nations that pay tribute to American supremacy. British imperialism fights for its life and it can be depended upon to seek and secureallies. The Dawes plan is not a match thrown into a powder magazine. It is rather a heavy mass of inflammable material thrown on live coals. It smothers them for a while, no heat whatever @an be felt. But the destruc- tive forces are present and later the whole mass bursts into flames. . So it wil be with Europe and Amer. ica unless in the meanwhile the power of the imperialists is wrested from them by the working class. A DANCING-MASTER AND THE BAG-PIPER By ISRAEL AMTER. IDICULOUS, unfounded reports about a “famine” in Soviet Rus- siqvare filliing the American capitalist papers—and unfortunately also the revolutionary press. « Crops were bad this year in the southeastern part of the country and in the Ukraine. The. Volga, which experienced a devastating drought in 1921 has been attacked again. The Ukraine has had the same fate. But in neither case {s the drought to com- pare with 1921, There has been re- duced production.’ Had the situation been the same as in 1921, the peas- ants would have had no seed for sow- ing. Had the railways been in the @ condition as in 1921 neither seed nor other help could have reached the peasants, But we are living in the year 1924, The Soviet government is better able to take care of such catastrophes as droughts, The railways are working well. Hence there is and will be no famine. No such thing occurred as peasants eating “roots and grass.” This is purest fabrication. The peas- ants were frightened, since they still had in mind the experience of 1921. Had they n their crops, there would have been no seed for next tyear. As soon, however, as the gov: ernment was apprised of the serious: ness of the drought, it made prepara. tions for providing seed to the peas: ants, who will not pay for it for, three. conattion ot the Deasant, There Drawn especially for THE DAILY WORKER by K. A. Suvanto, Famine Reports in Soviet Russia plenty of grain in Soviet Russia, The|sia will get thru without any diffi- crops turned out 8 per cent less than last year; there are stores of seed for such emergencies. The peasants, therefore, ate their own store and waited for the seed. In August, Comrade Rykoy made a tour of the Volga, going far out into the country, to review the situation. Before his arrival the seed was on hand. The peasants were also prom- ised funds and later qroducts to help them over the winter. In the Ukraine the situation was-not nearly so serious. The peasants will be pinched for the winter, but will get help. To be sure, the rich peasants are complaining. They expect the same aid as the poor peasants—but it will not be forthcoming. They have grain in their sheds. They have funds with which to get seed. They trypto evade their taxes—but the im- provements on their farms show that they are not suffering. In addition to the widespread as- sistance which the Soviet government is giving to the poor peasants, there will be more than 1,000,000 tons of grain for export. This is less than culty. .The statement in a recent is- sue of the “Isvestia” and “Pravda” that the British loan which is sorely needed to build up industry, will not be accepted ‘on the usurious terms that will be forced on Germany, dem- onstrates clearly that Soviet Russia is capable of dealing with all the prob- lems confronting her, Neither drought nor Georgian uprisings paid for and instigated by international imperial- ism—and put down by the workers and pei its of Georgia themselves,— nor part of Danzig port which has been granted to Poland by the League of Nations, for the erection of a mu- nitions depot—clearly against Soviet Russia; nor Liberal and Conservative harangu'ng in England against the: Anglo-Russian treaty; nor a Finni: Lettish pact against Soviet Russia; nor a thrust against Soviet Russia in the East thru intervention in China, can touch Soviet Russia. We are liv- ing'in the year 1294—and Soviet Rus- sia of the Workers, Peasants and Red Soldiers can meet all the problems facing them. A serious drought a famine would have pleased the had been hoped for, but Soviet Rus- ' « Remember If You Want to Vote the Wi esda , Oct. 14—Last Registration D _ Those who signed petitions to place the Workers Party cand oa the ballot must register if their signatures imperialists, But there is no f to Register ers (Communist) Party Ticket to count,