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Roads To Freedom

A Sylla s for Discussion ~lu.pli-­ I

By HARRY W. LAIDLER,Ph.D. Executive Director, League for FWQlPAATI.AlffiC .uIDYfRSllX L1 BRAltY. -_ .. .: . .- -. - ._- - SOCIALIST -LABOR GOLlfCflOI

Copyright, 1924, by LEAGUE FOR INDUSTRIAL DEMOCRACY' 70 Fifth Avenue, ":" .

No. 10 Ten Cents a Copy 1924 15 Copies $1.00 Special Rates for Bundle Orders

~ , . , League for Industrial Democracy 70 Fifth Avenue, New York City

The League invites those in sympathy with it to join its ranks. It has chapters in colleges and in cities. Th e Leagu e is gover ned by a Board of DIr ectors of 25, a ssisted by a Student Co u ncil . The obj ect of It s co llege work is Uto promot e an intelligent understa nding of t he l abor move­ m en t a nd of th e movement towa rd a new socIal orde r based on production for us e a nd not for ." Writ e for information to th e Executive Directors.

OFFICERS: (19 24-1925) President, ROBERT MORSS LOVETT (Harvard) Vice Presid ents VLADIMIR KARAPETOFF, J AMESH . MAURER, ZONA GALE, (Cornell) (U. of Wisconsin) VIDA D . S CUDDER, ( Sm it h) Ex ecutiv e Directors NORMA,.'\f THOMAS (Prin ceton) HARRY W . L AIDLER (Wesleyan) T r easu r er ·F i eld Secretary STUART CHASE ( Har vard ) PAUL BLANSHARD (Michigan)

Publications of the League These include a N ews-Bulletin issued periodically and various leaflet s and pamphlets. P amphlets al­ r eady publish ed include : The Challenge of War, by Norman Thomas, 1924 . . 10c Public Here and A broad, by Harry W. Laidler, 1924 15c A ccumulation of Capita l, by Geor ge Soule, 1924 .. 10c How Am erica Lives, by Harry W. Laidler, 1924 .. 10c Th e Profit Motive in Industry, by Prof. Harry F . Ward, 1924 10c Challenge of W ast e, by Stuart Chase, 1922 10c Irrepressible Am erica, by Scott Nearing, 1922 10c Roads to Freedom-A Discussion Course, tby Harry . W. Laidler, 1924 10c Canad a Shows H ow to Manage 'E lectrical P ower (leaflet) , by HarJ;y W. Laidler...... 5c SPECIAL RATES FOR LARGER ORDERS CONTENTS PAGE I NTRODUCTION 4 CHAPTER I.-THE NEED FOR CHANGE 5 CHAPTER I1.-THE SOCIALIST SOCIETY. Extent of. -Other Forms of Ownership­ Lack of Dogmatism-Representation of All Elem ents in Control-Remuneration and Incentive Under -The State Under Socialism-Social Institutions-Transition to Socialism-Ultimate Goal-Plan of Miners-Control Under - Administration - Wages -Conditions of Success-For Discu ssion Groups 8 CHAPTER IlL-UTOPIAN AND SCIENTIFIC SO - CIALISM. Utopians-':"Marxian Socialism-Development of Industry­ Emergence of Class Struggle-Growing Power of Workers -Aid of Idealists-Main Tenets of -Re- vision of Theory-For Discussion Groups :..... 14 CHAPTER IV.-BOLSHEVISM OR . Differs fr om Socialists-Based on Belief in Cataclysm-Dic­ tatorship of -Soviet Form of -Ex­ tent of Social Ownership in Russia-Development of "Trusts"-Modification of Tactics-Critics of Bolshevi sm- For Discussion Groups :...... 19 CHAPTER V.- AND . Anarchists Differ from Socialists-Schools of Anarchists­ Reliance on Education-Critics of Anarchists-Syndicalist Ideals--Tactics-Critics-For Dis- cussion Groups 24 CHAPTER VL- SOCIALISM. Forces Influencing Guildsmen-Aim of ­ The Guild Unit-Relation to State-Criticism of Guild So- cialism-For Discussion Groups 29 CHAPTER VII.-THE DEMOCRACY. Growth of Consumers' Cooperation-s-Technic of Organiza­ tion-Achievements of Movement-Limitations of Move­ ment-Regarded as Panacea by Some-For Discussion Groups 32 CHApTER VIII.-SINGLE . Land Value Created by Society-Results Claimed for Single Tax-Schools of Single Tax-Criticisms-For Discussion .Groups ,...... 36 CHAPTER IX.-SUMMARY 39 INTRODUCTION

H E following syllabus on "Roads to Freedom" at­ tempts with the utmost brevity to set forth the main T theories of social reconstruction that are being offered before the world at the present time. Students are urged to supplement this syllabus with the readings referred to under each topic. Of the books and pamphlets suggested, 'perhaps the most valuable from the standpoint of group dis­ cussion throughout the course are the pamphlets of the L eague for Industrial Democracy; Savel Zimand's "Modern Social Movements" (N. Y.: H. W. Wilson, 1921, 260 pp., $1.80), which contains excellent summaries and bibliogra­ phies of all of the theories discussed; 's "Proposed Roads to Freedom" (N. Y.: Holt, 1919,270 pp., $2.00), a brilliantly written book on Socialism, guild So­ cialism, anarchism, etc., by the noted philosopher; Harry . W. Laidler's "Socialism in Thought and Action" (N. Y.: Macmillan, 1920, 574 pp., $2.60), a college text book, touching on practically all of the phases here discussed, and the American Labor Year Book, 1923-4 (N. Y.: Rand School, 1924, 570 pp., $3.00), which gives the latest de­ velopments of the labor movement the world over. I f one book were to be referred to for each social theory, the following, by advocates of their respective theories, might be suggested: Dr. James P. Warbasse's "Cooperative De­ mocracy," 's "Social Reuolution" Pt. 2; Fred erick Engel's "Socialism, Utopian and Scientific"; Post­ gate's "Bolshevik Th eory'"; Eltzbacher's "Anarchism"; Levine's "Syndicalism in Fronce"; Reckitt and Bechofer, " T he Meaning of National " and 's "Progress and Poverty." These should be supplemented by the more critical books mentioned under each heading. The Rand Book Store, 7 East 15th Street, New York City, has the best collection of books for sale on these subjects. The L. 1. D. will also aid in securing books. This pamphlet has been written primarily for discussion groups. It has also, however, an interest for the general reader who is desirous of gaining a better idea of the aims of various schools of thought striving to bring about fun­ damental social change. HARRY W. LAIDLER. October, 1924. Roads to Freedom

ASyllabus By HARRY W. LAIDLER, Ph. D.

1. THE NEED FOR CHANGE NCREASING millions of human beings in the world today are urging a fundamental change in social re ­ I lations on the ground that only through such a change can humanity hope to attain a truly free and fine industrial civilization. Most of those who urge such a change readily concede that the present order of is a necessary histori c stage in the evolutio n of society. T hey hold that, during its brief career, capitalism "has created more massive and more colossal productive forces than have all preced­ ing .generations together."* They contend, however, that the present order is rapidly outgrowing its usefulness and that it has given rise to fundamental social and economic evils which may be ameliorated, but which cannot be eradi­ cated so long as capitalism endures. T hese evils include vast economic wastes resulting from the production and distribution of life's necessities under competitive conditions and for individual profit; industrial crises; irregularity of employment; poverty and the fea r of poverty ; child labor ; sickness and disease resulting from improper working cond itions, unsanitary. housing condi tions and lack of adequate food; industrial accidents due to im­ proper safeguards around the worker; inequality of wealth, based on differences in ownership rather than in ability or in industry; unethical business practices; social and industrial tyranny; the development, on the one hand, of the spirit of arrogance and snobbery among the members of the "House of Have," and, on the other hand, of the spirit of subservience among the members of the "House : of Have-Nots" ; class warfare, due to the present privat e

•Marx and Enge ls, Communist Manifes to . 5 ownership of industry and the quest of industrial groups for special economic privileges; international warfare, re­ sulting largely from the competition among business groups in various lands for special privileges in undeveloped coun­ tries; and, finally, the suppression of personality and the denial of opportunity among the masses to develop to the full their intellectual, aesthetic and ethical natures.

FOR DISCUSSION GROUPS. LITERATURE-Pamphlets: The following L. 1. D. 10 cent pamphlets are recommended: Laidler, Ifow America Lives (1924); Stuart Chase, The Challenge of Waste (1922); Norman Thomas, The Challenge of War (Revised, 1924); Harry F. Ward, The Profit Motive in Industry (1924); Harry W. Laidler, Public Ownership (1924). These may be secured in quantity by discussion classes for 6 cents apiece. Also Kirby Page, Industrial Facts and War (N. Y.: Doran or author, 347 Madison Avenue, 10c); Scott Nearing, Oil and Germs of War (Ridgewood, N. J.: Nellie S. Nearing, 1923, 10c) and other pamphlets by Nearing. Marx and Engels, Communist Manifesto (N. Y.: Rand School, 7 East 15th Street, 1Oc; written originally in 1848) ; Winthrop D. Lane, Denial of Civil in the ·Coal Fields (N. Y.: Doran, 1924, 1Oc) ; American Civil Liberties Union, So This Is ! (N. Y.: A. C. L. U., 100 Fifth Avenue, 5c) . Also see the other leaflets of this Union. . Books: Sidney and Beatrice Webb, Decay of Capitalist Civilization (N. Y.: Harcourt, Brace and Co., 1924, 242 pp., $1.75); John A. Fitch, The Causes of Industrial Unrest (N. Y.: Harper, 424 pp., 1924, $3.00); Research Depart­ ment, Rand School, American Labor Year Book (N. Y.: Rand School, 1924, $3.00); Bertrand Russell, Prospects of Industrial Civilization (N. Y.: Century, 1923, $2.00) ; Laid­ ler, Socialism in Thought and Action, chs. 2-3 (1920, 546 pp., $2.60); Committee of Federated Engineering Societies (The Hoover Engineers), Waste in Industry (N. Y.: Mc­ Graw-Hill Co., 1921, 406 pp., $4.00); National Bureau of Economic Research, volumes on Distribution of Incomes in the U. S. (N. Y.: N. B. E. R, 474 West 24th Street, Vol. 1-1922, 152 pp., 1.58; Vol. II.-425 pp., $5.15); Busi­ ness Cycles and Unemployment, N. B. E. R (N. Y.: McGraw-Hill Co., 1923, 504 pp., $4.10) ; R E. Tawney, The 6 Sickness of A cquisitive Society (N. Y.: Harcourt, 1923, 188 pp., $1.50); Thorstein Veblen, Absentee Ownership (N. Y.: B. W. Huebsch, 1922, $3.00) and other works; Walter Rauschenbusch, Christianizing the S ocial Order, Pts, III-IV (N. Y.: Macmillan, 1916, 493 pp., $2.00) ; Committee of In quiry of Interchurch World Movement, The Steel Strike of 1919 (N. Y. : Harcourt, 1921,277 pp., $2.50), and Pub­ lic Opinion and the Steel Strike (N. Y.: Harcourt, 346 pp., 1921, $2.50 ; paper edition, $1.50) ; Fred C. Howe, Why W ar? ( N. Y. : Scribner, 1916, 360 pp., $2.00); Upton Sin­ clair, Th e Brass Check (Author, Pasadena, Calif.: 1920, 445 pp., $1.20; paper edition, 60c); Th e Goose S tep (Author, 1923, 478 pp., $2.00; paper, $1.00); Th e Goslings (Author, 1924, 444 pp., $2.00 ; paper,$1.00) and other works; Hill­ quit and Ryan, S ocialism: P romise or Men ace? ch. 2 (N. Y.: Macmill an, 1914, 270 pp., $2.00); H. G. Wells, New W orlds f or Old, Ch. 4 (N. Y.: Macmillan, 1908, 333 pp., $2.00); Walter Weyl, Th e New Democracy (N. Y.: Macmillan, 1912, 370 pp., $2.25); Florence Kelley, Modem Industry (N. Y.: Longmans, out of print); Kropotkin, Fields, Factories and Workshops (Published in England) ; , Capi­ tal, Vol. 1. ( Chicago: C. H. Kerr & Co., 869 pp., $2.50) ; Fred En gels, S ocialism, Utopian and S cientific ( Chic. : C. H. Kerr & Co., 139 pp., 60c; paper edition, 25c.) P ROBLEMS FOR DI SCUSSION-What, in your opinion, are the outstanding evils of the present industrial' order? Cite the competitive wastes that have come under your observation in connection with the present system of production and dis­ tribution and that could be eliminated under a cooperative system. Do you think the present system has merits which outweigh its evils? What are they? Are they inseparably connect ed with the profit system or merely with the ad­ vance of technical and scientific knowledge? In · your opinion, is the support of a separate class of property-income receivers necessary for the efficient con­ duct of industry? Can the ideals of democracy, of free­ dom and of equality of opportunity be realized under an where the natural resourc es and principal industries are owned and operated by private individuals for personal profit? What advances have already been made as a result of public and cooperative operation of functions formerly regarded as private? 7 II. T HE SOCIALIST SOCIETY OCIALI ST S see society evolving, as a result of indus­ trial and social forces inherent in capitalism, and of S the ever growing power, intelligence, social conscious­ ness and organization of the worker s by hand and brain, into a Socialist society, a cooperativ e commonwealth. The society toward which they are striving, they maintain, will lead more surely than will any other social goal away from social tyranny and toward social fr eedom. Moreover, the Socialist ideal is likely to prevail, because it is but the logical working out of tendencies already observab le in present­ day society, not a fine-spun theory of a utopian dr eamer. Extent of Social Ownership-This ideal has commonly been defined as "the and and democratic management of the socially necessary and dist ribution." More concretely, Socialism aims at mu­ nicipal ,State and Federal ownership and operation of nat­ ural resources, such as water power, mines and forests; of natural monopolies, such as transportation, telephones and telegraphs, and of large scale industry. The American platf orm of 1924 urges, for instance, ultimate transf er to the people of "ownership of large scale industries, beginning with those of a public char­ acter , such as banking, insurance, minin g, transportation, communication and the trustified industries, and ex tending the process as rapidly as conditions perm it, to th e end that ex ploitation of labor through rent, interest and profit may finally be abolished." Other Forms of Ownership-Socialists, however, do not de­ mand the public ownership of all industry. Under a So­ cialist regime, they declare, there would be a considerable amount of voluntary cooperation among both consum ers and producers . The tend ency. would probably be for con­ sumers' cooperation to persist und er Socialism in the distri­ buti on of many household necessities-a business in which it has already gained such strength in European countries. In the publicatio n of organs of opinion, a very considerabl e amount of voluntary cooperative effort might also be ex­ pected. Farmers' , self-governing work-shops, and oth er forms of producers' associations would be in evi­ dence in many lines of endeavor. S Private ownership would also survive in certain occupa­ tions under a collective regime. Many handicraftsmen own­ ing their own tools and farmers doing their own work, would probably prefer to labor for themselves rather than for any public body or cooperative. A considerable num­ ber of new industries in the experimental stages might be started as private enterprises. There undoubtedly will be many free lance writers, artists, etc., not employed by any one group. Private and cooperative industries would, of course, be under obligation to observe certain regulations passed by the community to safeguard the workers and consumers.

Lack of Dogmatism-The aim of the Socialists is not to superimpose upon the people any particular industrial mech­ anism, but to abolish the system of exploitation of man by man, to eliminate industrial waste, to secure equality of opportunity and the maximum social welfare, and to develop the personality of the mass of the people. It is the belief of the Socialists that only under a system of social ownership can these objects be attained, but it is also their belief that only future experience can tell what particular forms this socializing process should take.

Representation of All Elements In Control-An effort would be made throughout, in the various publicly owned indus­ tries, to eliminate bureaucratic and autocratic control, and to ensure that all of those elements that are concerned in the running and in the success of the industry-the workers, the technicians and administrators and the general public-e­ be given adequate representation in industrial control.

Remuneration and Incentive Under Socialism-Socialists are not committed to anyone form of compensation of intellec­ tual and manual producers under a cooperative system. Undoubtedly the principles of compensation "according to deed," compensation "according to need," compensation based on length of service and equal compensation would all play their part, while the law of supply and demand could not be ignored. Compensation based on ownership of in­ dustry, compensation "according to greed" and compensa­ tion "according to breed," however; would, it is hoped, no longer exist. 9 The end to be attained here, as well as in the matter of ownership, would be social efficiency and social happiness, and those forms of compensation which proved best fitted to bring about these ends in particular occupations would gradually replace other forms. Socialists, however, are aware that even now people are motivated by other than the profit incentive-the incentive of social prestige, the desire to create, to pay one's way in life, to develop one's potentialities, to serve one's fellow men and to be a part of a great enterprise-while many are kept in productive work through the enormous power of mere habit and custom. To the extent that the incentive is necessary to bring out the best sort of efficiency, to that extent it can be utilized in a Socialist society. However, the greatest possible encouragement will be given to other incentives, and they may be depended upon to be more in­ fluential as the years go on under a system of rather than for profit.

The State Under Socialism-Socialists oppose a class state utilized for the purpose of keeping down an oppressed class. They believe, however, that some machinery is necessary, whether it be called the state or not, for the purpose of expressing the will of all the citizens. Such a machinery should be thoroughly democratic, should give adequate room for the expression of minority opinion, and should not inter­ fere with the freedom of the individual to order his own life, except where the exercise of that right interferes with the equal rights of others.

Social Institutions-While the family and religion, like every other social institution, are constantly undergoing change, the Socialist movement puts forth no proposals in­ terfering with monogamy or with religious beliefs. Oppo­ sition to the family has never been a part of Socialist plat­ forms or programs. On the contrary, there is every in­ dication, Socialists maintain, that the character of the family will be greatly improved under Socialism. The ethical life of the community as well is bound to rise to greater heights under a cooperative system.

Transition to Socialism-Socialists realize that all industry cannot be socialized at once. Transferring industry from 10 private to collective owership must take time. The majority favor some method of compensation for industries trans­ ferred. As much of the money for the purchase of industries as practicable should be raised, theybelieve, through graduated income, , land value and other forms of taxation. The ma nner of transfer will, of course, depend on the tem­ per of the times when occurs. In times of vio­ lence, confiscation is far more likely to be urged than in more normal peri ods. Ultimate Goal-As Karl Kautsky, at one time regarded as the foremost Marxian scholar of Europe, maintains: "Nothing is more false than to represent the Socialist society as a simple, rigid mechanism whose wheels when once set in moti on run on continuously in the same manner. "The most manifold forms of property in the means of pro­ duction-national, municipal, cooperatives of consumption an d production, and private can exist beside each other in a Socialist society-the mos t diverse forms of ind ustrial organization, bureaucratic, trades un ion, cooperative and individua l; th e most diverse forms of remuneration of labor, fixed wages, time wages, piece wages, participation in the economies in raw material, machinery, etc ., participation in the results of intensive labor ; the most diverse forms of circulation of products, like contract by purchase from the warehouse of the State, from municipali­ ties, from co-operatives of production, from producers them­ selves, etc ., etc . The same manifold character of economic mechanism 'that exists today is possible in a Socialistic society. Only the hunting and the hunted, the struggling and resisting, the annihilating and the being annihilated of the present competitive struggle are excluded and therewith the contrast between the ex­ ploiter and exploited." Plan of Miners-While American Socialists have refrained from making a detailed plan of the future society as they would wish it, they have worked out tentative plans of demo­ cratic control under public ownership in specific industries. One of the most suggestive of these proposals is that of the Nationalization Research Committee of the United Mine Workers, formulated by such men as John Brophy and Arthur Gleason. Control Under Nationalization-T his plan provides for the vesting of mine ownership in the nation. It makes a definite 11 distinction between control and adm inistration. Control should be placed in the hands of a permanent F ederal Inter­ state Commi ssion of Mines, composed of 11 members, five to be named by pr ofessional and industrial organizations and six by the President. At the head should be the Secretary of Min es, a Cabin et officer. The Commi ssion should tabu­ late all the significant facts regarding the industry, analyze the costs entering into the production of coal, make up the annual budget, fix the price of coal, conduct necessary researches, etc.

Administration-The job of administration should be vested in a National Mining Council made of three kinds of members: ( 1) The financial, technical and managerial administrative heads of industry, (2) the miners, and (3 ) the coal consumer s, the consumers in other allied industries, and the community. There should be regional councils in the important regions and also mine committees in the mines or groups of mines.

Wages-Wages should be determined by a Joint Wage Scale Committee, representative of the miners and of the directors of the industry, the miner s' representatives to be appointed by the U nited Mine W orkers.A Bureau of Wage Measurement, conn ected with the F ederal Commis­ sion of Mines, should assist in ascertaining facts which must be known before wages for particular kinds of work can be scientifically determined.

Conditions of Success-The conditions of success for na­ tionali zation, the authors of the plan maintain, are: "(l) administrative organizing minds in the public service ; (2) a competent technical sta ff ; (3) a 100 per cent organized union; (4 ) collective bargaini ng publicly accepted as a basis of wage agreements; (5 ) a large labor representation in all departments of government; and (6) a political labor party. The condi­ tions of nationalization are a 100 per cent union and a political labor par ty. A democra tic policy like nationalizing can be achieved only in a democratic St ate." This line of appr oach to the problem of nationalization is probably that along which in general Socialists would proceed in the reorganization of other industries and de­ serves close study. 12 III. FOR DISCUSSION GROUPS. LITERATURE: P amphlets:'-Nationaliza tio n R esearch Comm itt ee, U. M. W. , H ow to R un Coal (Clearfield, Pa., United Mine . W orkers, District No.2, 1923, 1Oc ); Laidler, Public Own er­ ship H ere and Abroad (N. Y.: L. I. D., 1924, 64 pp., 15c). Write also to Socialist P arty, 2653 Washingt on Boule vard, Chicago, Ill.; to Rand Book Store, 7 East 15th Street, N. Y. City ; to F abian Society, 29 T othill Street, London, Eng , and British Labor Party, 33 E ccleston Sq uare, London, S. W. I, Eng., and Internat ional Book Store, 10 J ohnston Cou rt, London, England, for lists of pamphlets. Students are ad vised to read Th e' New L eader, a weekly Socialist paper, publi shed for $2.00 a year at 7 East 15th Street. Th e A merican Labor M onthly, $1.00 a yea r, pub­ lished at 100 Fi fth Avenue, is a Marxi st journal critical of the Socialist Party.

B ooks: La idler, S ocialism in Thought and Action, Ch. V .; HiIlquit and Ryan, S ocialism-Promise or M enace? ( N. Y.: Macmillan, 1914, 270 pp., $2.00); Bertrand Russell, Proposed R oads to Free dom ; Karl Kautsky , S ocial R evo­ lution, Pt. II (Chicago : Charles H. K err & Co., 1902, 189 pp., 60c); S idney and Beatrice W ebb, A Consti tution f or · the S ocialist Commonw ealth of Great Britain ( N. Y.: Long­ mans, Green, 1920, $4.25) ; Scott Nearin g, Th e N ext Step (N. J .: Ridgewood, N. S.N ear ing , 1923, $1.00, paper, 50c) ; Emile Vander velde, Socialism vs. the S tate (Chicago : Charles H. Kerr, 1919,229 pp., $1.00); H. G. W ells, N ew W orlds f or Old (N. Y.: · Macmillan, 1908, 333 pp., $2.00) ; Dr. Jessie W. Hughan , A merican S ocialism of the Present Day (N. Y.: John Lane, 1911 ; out of pr int); S idney Zimand, Modern Social M ovements, Summaries and Bibli ographies, pp. 121-183; J ohn Spargo, A pplied S ocialism ( N. Y.: B. W. Huebsch, 1912, $1.50); Bernard Shaw and others , Fabian Essays (Boston : T he Ball Publishin g Co., 1889, 276 pp.; 75c); Plumb and Roylance, Industrial Democracy (N. Y.: Huebsch, 1923, 359 pp., $2.00) .

PROBLEM S FOR DISCUSSIO N-How much public, cooperative and private owners hip do th e Sociali sts advocate in th eir Socialist commonwealth? Why do th ey not ur ge govern ment owner­ ship of all industry? What kind of indu strial control and admini stration do the y seek? What would be th e place 13 of the consumer, the worker and the technician in Socialist indu stry ? What incentives should be resorted to under Socialism to develop the maximum social efficiency ? In what indu stries and professions are non-profit incentives now operating effect ively? What functions of the present St ate should be abandoned and what functions should be ret ained under Socialism? What criticism, if any, have you of the tentative plan of the miner s? of the railway workers (the Plumb plan )? H ow, in your opinion, should Sociali sts proceed in this country to socialize indu stry if they were in power? What kind of international economic org anizations should they endeavor to evolve in order to eliminat e the cau ses of inter­ nati onal disputes and to equali ze as much as practicable the opportunities for higher standards of life in various parts of the world?

III. UTOPIAN AND SCIENTIFIC SOCIALISM H E foregoing outline of a Socialist commonwealth is held in general by the vast majority of modern So­ T cialists. This might come as a surprise to many critics of Socialism who have falsely supposed that the organi zed Socialist movement has as its goal the government owner­ ship of all industry, a highly centralized and :bureaucratic industrial control, minute regulation of the private lives of the citizens of the commonwealth, a system of " " and absolute equali ty of compensation. Many of these false conceptions are due to systematic misrepresentation of Socialist aims. In considerable meas­ ure, however , they ar e due to the confusion that exists in many minds between and modern "scien­ tific" Socialism.

Utopians-For some centuries past social thinkers of the type of Sir , , Fourier , St. Simon, Edward Bellamy, etc., have in minute detail portrayed systems of social organizations which .they regarded as ideal future states. These writers contributed .much to • social progress through their powerful indictment of the injustices and social wastes of their day. Their pictures of future states have undoubtedly stimulated the social imag- 14 ination of millions, and have strengthened their belief in the possibility of a more orderly and a more brotherly social order. However, they have led others to confuse utopian dreams with the more practical program of modern Socialists, while the failures of their experiments-inaugurated with a view to prove the desirability of their particular schemes-has been put forward, unjustly, as proving the impracticability of a Socialist commonwealth. Utopian Socialists made the mistake of believing that a social thinker of one generation could work out in minute detai l a plan of a future society and could induce society to accept this plan in toto. They had little conception of the evolutionary tendencies in industry. They did not realize the role of the workers by hand and brain in ind ustrial evolu­ tion. They believed that men were influenced pr imarily by ideas and reaso n, rather than by interests and emotion, and that all that it was necessar y to do was to present a model of their plan to- have it universally accepted. And a fter their system was adopted, they conceived it as a static social order, rather than as one in constant flux. Marxian Socialism-The school of Utopian Socialists was gradually superceded, beginning with the middle of the nine­ teenth century, by that of the Marxian or "scientific" Social­ ists, under the intellectual leadership of Karl Marx ( 1818­ 1883.) The first great pronouncement of this school was the Communist Manifesto (1848), the work of Karl Marx, then a young man of 29, and of F rederick Engels, 27 years of age. Scientific Socialists refuse to present a detailed scheme of a future state, as did the utopian writers, satisfying them­ selves with suggesting the broad outlines which any social order dominated by the producing class must necessarily have. They maintain 'that Socialism is coming, not as a ' result of plans of closet philosophers, but as a result of the revolu­ tionary forces in the capitalist system of production and distribution, not least impo rtant of which are the modern machine and the modern working class. Development of Industry-Industrial society, they claim, has passed thro ugh many stages of development, among them 15 and . Feudalism has evolved into capi­ talism, the present system. The-first stage in industrial de­ velopment was the handicraft stage. .With the use of steam and electricity the small handicraft shop evolved into the factory, which was first dominated by the indi vidual owner, then by the partnership, and, increasingly, by the corpora­ tion, trust and combine.

Emergency of Class Struggle-T his evolution has developed distinct classes in society. Formerly, the worker owned in­ dividually the inexpensive tools with which he worked, or, as an apprentice in the shop, he felt assured that, within a few years, he would become a master worker . At present, however, he is but one of hundreds emp loyed in the great industrial plants, and realizes that th is status as a worker . is, generally speaking, permanent. He receives a wage or ­ salary and is employed only if he yields a profi t to the owner of the machinery. This wage does not depend on his product so much as upon that which the employer is compelled to give him , and this amo unt is determined by the number of competitors for his job, the strength of th e organization of the workers, and the · standard of living which the worker regards as a minimum. . The owner of land and industry, on the other hand, receives a return of rent, profit andtinterest as a result of this ownership. This condition, according to the Marxian school, has given rise to a struggle between the service-income group and the property-income group for as large a part of the • social product as each can secure, and this struggle is known as the class struggle.

Growing Power of Workers-The intellectual and manual workers, with the progress of industry, organize in trade and industrial unions, become ever better educated, perform increasingly important tasks in industry, through consumers' and producers' cooperatives and control of shop conditions, receive new accessions from the ranks of the middle class. who find it longer impossible to compete against big busi­ nes s; steadily develop as a political force, and become ever more determined to secure the fu ll social product of their toil. On the other hand , the property-income class becomes a decreasing mino rity of the population and, with the de- 16 velopment of the corporation, performs, as capitalists, little or no useful service in industry. Its function is only to save, invest and receive rent, interest and profit. No one, declares the "scientific" Socialist, can watch this struggle for the social product between these two classes without realizing that it can never cease until the majority, that is, the educated, organized, disciplined, useful class of intellectual and manual producers, receives the entire social product, and this is impossible under any system of private ownership; it is possible only under a system of collective ownership, a system of Socialism. The workers, further­ more, are assisted in their struggle by other idealistic ele­ ments in the community who see in the Socialist society a happier life fo r all humanity. Aid of Idealists--This movement toward Socialism, Marx­ ists assert, is also aided by the appearance of industrial crises, and by economic imperialism, which is one of the main causes of modern warfare. T he only effective remedy lies in the int roduction of a coope rative sys tem. Main Tenets of "Scientific" Socialism-In fo rmulating his economic theory concerning the inevitable coming of So­ cialism, Marx also formulated a general theory of industrial development, known as the economic interpretation, or the materialistic philosophy, of history, in which he declared that economic factors were fundamental in the evolution of society, and traced the effects of methods of production and distribution on the whole social, political and ethical life of the community. Contrary to popular fancy, this theory does not exclude ethical factors, nor should it be confused with the materialistic philosophy of life. In the economics of Marxian Socialism may be found the labor theory of value and the theory of , which theories many Socialists consider inadequate and unessential parts of the Socialist system. Without an ac­ quaintance with them, however, no st udent has mastered the subject of Socialism. Revision of Theory-T he Marxian theories have been necessarily revised to a considerable ' extent in the light of . recent developments during the last generation or two. It has generally -been admitted that the early Marxians mis­ calculated the time element-the change from private to 17 social ownership has been a slower process than the founders of "scientific" Socialism predicted. The Marxians also miscalculated somewhat certain of the very complex in­ dustrial developments that have taken place the last three­ quarters of a century-no human being could appraise these tendencies with perfect accuracy. ' They depicted, however, in quite a remarkable fashion, the general tendencies of in­ dustrial development. The economic interpretation of his­ tory which they formulated has been accepted, with slight modifications, by the majority of outstanding present day historians. The organized labor movement, which, at the time of the Communist Manifesto, was scarcely in existence, has grown tremendously in its trade union, cooperative, political and educational phases, and labor seems likely within the next generation or so to take the role portrayed by Marx and Engels in practically every advanced country of the world.

FOR DISCUSSION GROUPS. LITERATURE-Pamphlets: Engels, Socialism, Utopian and Scien­ tific (Chic. : Charles H. Kerr, 25c); Marx and Engels, Communist Manifesto (N. Y.: Rand School, ed. of 1919; originally"written in 1848, 56 pp., paper, 15c); Karl Marx, Value, Price and Profit (Chic.: Charles H. Kerr, 128 pp., originally written, 1865, 10c); Morris HiIlquit, From Mar» to Lenin (N. Y.: Rand School, 1921, 25c, paper edition). Books-Joyce C. Hertzler, History of Utopian Thought (N. Y.: Macmillan, 1923, 321 pp., $.3.00); Lewis Mumford, The Stories of Utopias, (N. Y.: Bani and Liveright, 1922, 315 pp., $3.00); Morris HiIlquit, in the U. S. (N. Y.: Funk, Wagnall, 1910, Part I, out of print) ; Savel Zimand, Modern Social Movements pp. 21-84; Louis B. Boudin, Theoretical Systems of Karl Mar» (Chic.: Kerr, 1910, 286 pp., $1.25); E. R. A. Seligman, Economic Inter­ pretation of History (N. Y.: Columbia Univ., 1907, 166 pp., $2.50) ; Laidler, Socialism in Thought and Action, Chs, 3-4·; HiIlquit and Ryan, Socialism: Promise or Menace; Bert­ rand Russell, Proposed Roads to Freedom, pp, 1-31; , American Socialism of the Present Day (N. Y.: John Lane, 1911; out of print); M. Beer, The Life and Teaching of Karl Mar» (London: National Labor 18 Press, 8 and 9 Johnson's Court, E. C. 4, 1921" 132 pp., 3% shillings); J ohn Spargo, Karl Marx, His Life and Work (N. Y. : Huebsch, 1910, 359 pp., $3.50, temporarily out of print); , Evolutionary Socialism (N. Y.: B. W . Huebsch, 1919, 224 pp., out of print) ; O. D. Skelton, S ocialism; a Crit ical Analysis. (Boston: Houghton, Mifflin, 1911, 329 pp., $2.00)-best anti-Socialist treatise; V. Sim­ khovitch, vs, Socialism (N. Y.: Columbia Univ. Press, 1923, 298 pp., $2.50)-an anti-Marxist book; I. M. Rubinow, Was Marx' Wrong? A reply to Prof. Simkhovitch . (N. Y.: Marx Institute of America, 1914, 60 pp., out of . print.) PROBLEMS FOR DISCUSSION-What are some of the differences between the utopian and Marxian schools of Socialism? Do the failures of early ut opian efforts prove anything regarding the practicability of Socialism? What lessons should be drawn from the utopian phase of Socialism? What are the main tenets of "scientific" Socialism as orig­ inally formulated? Which of these principles have stood the test 0 f time? The economic interpretation 0 f history? The class struggle? The ,theory of surplus value? To what extent should Marxian Socialism be modified, 'if at all, in view of recent social and economic development? What have been the greatest contributions of Marxian thought to economic and social development? How far can one proceed to formulate a plan for a Socialist society without becoming utopian in one's philosophy (see "The Day After the " in Kautsky's .)

IV. BOLSHEVISM OR COMMUNISM OLSHEVISM or Communism is the name applied to the 'social' philosophy of those now dominant in B. the Russian Republic. The communism of the Rus­ sian Communists must not be confused with the old commu­ nism of the early utopian writers. The latter urged the abolition of private ownership not only in the means of production but also in all property.

Differ from Socialists-The advocates of Bolshevism or communism differ from the organized Socialists of the world not in their ultimate idea Of social organization, but in the 19 method advocated by them in attaining their goal. The Socialist movement throughout the world has based its tac­ tics largely on the hope that . Socialism would be brought about through the growing power of the workers organized in labor unions, in political parties, in cooperative societies and in educational groups. .They have striven for the day when labor and Socialist parties in the advanced countries of the world would become the majority parties in parlia­ ment, and, through legislative.action, enforced by trade and , would proceed to transform industry from private to public control. The Bolshevists, on the other hand, have felt that such parliamentary efforts were bound to be too slow and that other tactics should be urged. -T hey maintain that an effort should be made to organize the more intelligent, aggressive, militant minority of the working class population as revolu­ tionary nuclei, especially in strategic industries and in the army and navy. These communist nuclei should seek out as many points of contact as possible with the rest of the working class. They should be the leaders of the workers in strikes, in the struggle for civil liberties, for immediate political reforms and against militarism and war, not on the ground of principle or of the effectiveness of immediate reforms, but on the ground that such activities develop the confidence of the workers in communist leadership and that they present additional opportunity to bring before the workers the educational propaganda of communism.

Based on Belief in Cataclysm-The tactics of Bolshevists are based largely on the belief that the system of capitalism is bound to collapse. It will probably collapse, they feel, as a result of another world war. The next world war will bring in the . When capitalism disinte­ grates, the workers will turn to the communist nuclei who will be in a position to furnish the only real leadership. Through the more or less passive support of the large mass of workers, the small, revolutionary nuclei will then seize the strategic industries-railroads, telephones, telegraphs, electric power, mines, etc.-together with the agencies of government, and proceed to run industry for the workers. Old democratic forms will be temporarily abolished; old officials ousted, and the soviets of workers, farmers and soldiers will supplant representative legislatures. 20 "Dictatorship of Proletariat"-According to Bolshevist tac­ tics, this capture of the state should be succeeded by a "dictatorship of the proletariat." In establishing this dic­ tatorship, the workers should disfranchise non-producers, extending the right to vote only to workers. -The farming population should have a voice in the government, but should have proportionately a smaller representation than has the city worker. Opposition papers should be temporarily sup­ pressed; counter-revolutionary movements, put down with an iron, hand, and the soviets should proceed immediately upon a comprehensive program of socialization. Side by side with this action, the International of the workers should be strengthened for the purpose of stimulating immediate in other countries. Following the transition period, freedom of discussion should be restored and, with the elimination of parasitism, the franchise should again be made practically universal.

Soviet form of Government-The soviet form of govern­ ment, as advocated by the Bolsheviks, is pyramidal in form. In Russia, which at present presents the chief example of this form, groups of workers in local districts elect delegates to the local soviets; these delegates, in turn, elect members to the provincial soviets and the latter choose the repre­ sentatives to the All-Russian Congress of Soviets. The national congress elects a central executive committee. This executive committee chooses the Commissars, who constitute the most important administrative group. The Commissars are in charge of foreign affairs, education, finance, justice, etc. The economic functions are centralized in the Su­ preme Economic Council, a cabinet department consisting of representatives from industrial unions, from regional councils, from the central executive committee, from the council of peoples commissaries, and from cooperatives. Beyond the Russian Soviet structure is that of the union of Soviet Republics. To some extent the soviet system is based on ' occupational and industrial, rather than on geo­ graphical representation.

Extent of Social Ownership in Russia-The Russian Soviet government owns 'the land. This is rented out to the peas­ ants through their village . The farmers have a right to use and pass it on, but not to sell or mortgage it. 21 •The land and buildings in the city belong to the municipal governments, who rent them out. The railroads are owned and run by the state. In the latter part of 1923, about four thousand of the largest industries were directly operated by the state; four thousand of the smallest were leased, of which half were run by cooperatives or workers' organizations and half by private capitalists. Private capital is employed mostly in trade. In late 1922, it was estimated that about 30% of the internal trade was in private hands, 15% in cooperative hands, 55% in those of the state. Later the business of cooperatives increased. Development of "Trusts"-One of the most interesting de­ velopments has been the creation of so-called trusts or­ ganized by the state, in the linen, sugar, textile, electrical and other industries. These compete against small private business for control of the field. They put their profits back into the business for expansion and increase of wages. The stockholders to whom they are responsible are the state. The creation of these trusts has relieved the Su­ premeEconomic Council of many details of administration. Local and regional councils are being organized, consisting of trade union chairmen, directors of food, land, labor, etc., and, as consultants, technical experts, to coordinate the work of the industries. . In a large number of industries single heads are being substituted for committees and conferences, organized immediately after the revolution. Marked en­ couragement has of late been given to technical experts. "The manager may be a communist workman, in which case he must have a technician as an assistant, or he may be a technician with an assistant chosen from among the workers." Modification of Tactics-The original Bolshevik tactics as adopted by the Russian Communists have been considerably modified during the past few years, owing largely to the failure of social revolutionary movements in other parts of Europe, to the collapse of military expeditions against Russia, and to the fact that the farming population had to be conciliated. The Bolsheviks have recently granted an increased measure of free discussion to their opponents, have brought numerous non-Bolshevik elements into the government, are granting to private employers the right to own and operate certain industries and are leasing out other industries to private managers. 22 Critics of Bolsheviks-The critics of Bolshevism maintain that the Bolsheviks erred in basing their tactics so largely on the assumption that revolutions were about to break out in other European countries; in adopting anti-social means, such as violence, to attain social ends; in assuming that such a semi-feudalistic system as existed in Russia could.be trans­ formed at a single step into a cooperative commonwealth, and that a highly centralized and comparatively inexperienced Soviet government, after thus socializing the entire industrial structure, could run this structure efficiently; in failing ade­ quately to consider the economic beliefs and the potential power of the large mass of slowly moving peasants; in ex­ cluding from the government the non-Bolshevik revolutionary elements; in failing to bring to its aid from the very be­ ginning the technicians and other intellectual forces of the community; and in trying to superimpose upon the labor movements of other countries tactics which may have been necessary and desirable in a semi-feudal, agricultural coun­ try like Russia, but which are not adaptable to countries with a widely different economic social and political back­ ground. Finally, Communists have been criticized. on the ground that many of them have adopted the shibboleth in their struggles that the ends justify the means; that all is fair in the fight for the revolution. In criticizing the tactics adopted by the Russian Bolsheviks, however, one must not forget the Russian background and the almost insuperable obstacles against which the Communists have had to con­ tend-the broken-down economic machinery inherited by the Communists, civil wars, international blockades, etc. The recent change in front of the Soviet government in­ dicates that the Bolsheviks themselves now admit, at least in part, the justice of some of the criticisms of their op­ ponents. FOR DlSCUSSLON GROUPS. LITERATURE-Pamphlets: Lenin, The State and Revolution (Lon­ don: Socialist Labour Press); Lenin, Soviets at Work (N. Y.: Rand School, 1918, 48 pp., IOc.); Hillquit, From Marx to Lenin; Trotzky, Dictatorship vs. Democracy (N. Y.: Workers' Party, 1922) ; Kautsky, Dictatorship of the Prole­ tariat (Girard, Ks.: Appeal to Reason, 1920, SOc., critical). Send for pamphlets on Communist tactics as interpreted by the Workers' Party of America, 1113 W . Washington 23 Boulevard, Chicago, III. The Daily Worker, the organ of the Workers' Party, is published here. B ooks-R. W. Postgate, Th e B olsh evik Th eory (N. Y . : Dodd, Mead, 1920; out of print) ; Bertrand Russell, B olshevik The­ ory, Pt. II. (N. Y.: Harcourt, 1920 ; out of print); A. L. Strong, Th e First Time in History (N Y. : Boni & Live­ right, 1924); Zimand, M odem S ocial M ovements, Bibli­ ography, pp. 229-52 ; Laidler, Socialism, etc., ch. 11; A. A. Heller, I ndustrial R evival in S ovi et Russia (N. Y. : Seltzer, 1922, $2.00); Eden and Cedar Paul, Creativ e R evolut ion (N. Y.: Thos. Seltzer, 1920, 220 pp.); Brailsford, Russian W orkers' R epublic (Harper, 1921, 274 pp.; out of print); W . T . Goode, B olshevism at Work (N. Y. : Harcourt, 143 pp.; out of print ) ; Karl Kautsky, Terrorism and Communism (Lond on: National Labou r Press, 1920, 234 pp., $2.00); E. A. Ross, Russian S oviet Republic (N. Y. : Century, 1924, 300 pp., $3.00) . P ROBLEMS FORD ISCUSSION-W hat are the main differences be­ tween Sociali sm and Bolshevism; between t he social and eco­ nomic developm ent in Russia prior to the revolution and in America at the present time? What is the evidence for and against a cat astro phic breakdown of capita lism in the United Sta tes at present ? For and against a world wa r to be followed by a world revolution? Is American labor more likely to choose the Russian or the British way of social de­ velopment? Why? What are the relative advantages in wo rk­ ing fo r a revolution through parliamentary pr ocedure backed by trade union action, and one through a violent upheaval? What is the meaning of "the dictatorship of the proletariat?" What are the relative advantages of dictatorship and democ­ racy as a means of transition to a Socialist society? F ormu­ late the code of ethics which, in your opinion, the workers should adopt if they are to succeed in a long-drawn-out struggle for a new society and to operate that society on an efficient basis?

V. ANARCHISM AND SYND ICALISM NA R CHISM. Anarchists differ fro m the Socialists in their opposi tion to all forms of the political state; in A their belief that all social coercion can be dispensed with ; in their refusal to rely on parliamentary action as one 24 of the means of reorganizing industrial society; in their in­ sistance that industry must be run entirely by ' voluntary autonomous groups, and in their general lack of plan for the operation of a new society. To the extent that they urge terrorism to achieve their ends-the violent anarchists have always, however, been in the small minority-they also differ from the Socialist school of thought. Schools of Anarchists-Anarchists urge the abolition of the political state. They are in general of two schools-the in­ dividualist-anarchists and the communist or syndicalist-an­ archists. The individualists would not disturb present prop­ erty relations. Their desire is merely that the state be elim­ inated so that all may mold their . lives as they see fit. There is the anarcho-communist and anarcho-syndicalist, on the other hand, who would substitute for private ownership a system of community or producers' ownership and opera­ tion of land and capital without the interference of the po­ litical state. Most anarchists urge the development of loosely federated autonomous cooperative industrial groups organ­ ized on a voluntary basis and accept syndicalism as the expression of the anarchist principle in the economic -field. Under anarcho-syndicalism there would not only be no state, but there would be no compulsion to work and all things would be shared in equal proportion. Reliancewould be placed on the possibility of making work so pleasant that practically everyone would prefer work to idleness. For under anarch­ ism, work would not involve either overwork or slavery, or excessive specialization that industrialism is bringing out, but merely an enjoyable activity for certain hours during the day, giving an outlet to man's spontaneous constructive impulses. "There is to be no compulsion, no law, no gov­ ernment exercising force; there will still-be acts of the com­ munity, but these are to spring from universal consent, not from any enforced submission of even the smallest minority." Anarchism is not merely an economic-political program, but is a philosophy of social arrangements applying to every activity of human beings-education, marriage, religion, as well as work and "order." Proudhon, Bakunin and Kropot­ kin have been among its greatest advocates. Reliance on Education-The leading members of the move­ ment aim to realize their ideals through education, leaving 25 "indiscriminate killing and injuring to the government­ to its statesmen, its stockbrokers, its officers, and its law" (L. S. Bevington in Russell,op-cit., p. 53.) The movement, however, has contained a considerable number who have been impatient with educational methods and have preferred violent means. .The strongest support for .the movement has been found in the Latin countries-Spain, Italy, France-and to some extent in Russia. Critics of Anarchists-Socialists with anarchists desire to see the state shorn of much of the ·coercive power that it exercises today. They believe, however, that, if it ceased to be a class instrument, the need for organized compulsion would be greatly reduced. They urge the opinion that, at least for generations, organized society must have at its disposal some means of enforcing its decrees, democratic­ ally arrived at, against an anti-social or non-social minority -decrees against violence, against , laws for the pro­ tection of the health, the safety, the education and the in­ dustrial development of the community. Nor do Socialists agree with anarchists that enforcement of decrees necessarily limits community freedom. Such laws are often the means of protecting the weak- against the strong and of adding to, not subtracting from, the sum total of human liberty. As for the difference between the Socialist and the anarch­ ist industrial organization, a comparison between the Social­ ist conception as heretofore given and the ideal of voluntary communism here outlined will be immediately revealing.

SynOicalist Ideals-Closely allied with the anarchist phil­ osophy is that of .syndicalism. With the anarchists the syndicalists are anti-statists; have an abhorrence of the political state. They differ from Socialists partly in their complete repudiation of political government, and . partly in their belief that industry should be organized solely on the basis of producers' control, with no representation on the part of consumers as such.

Industrial Organization-The cell of the syndicalist society would be the local trade unions or syndicate. The producers of the same trade, joined in the syndicate, would control the 26 means of production. No syndicate would be the exclusive owner of any portion of the collective property, but merely the owner of it with the consent of other social groups. The syndicate would connect itself with the rest of society through the national federation of a particular trade, the (the central trade unions of a locality), and the gen­ eral federation-the national group of all syndicates. The bourse du travail would be the most important of the groups. It would take charge of all local interests. It would collect statistical data, arrange for the distribution of prod­ ucts and secure raw materials. It would have both local and industrial autonomy, and perform any needed local admin­ istration. It would "destroy the centralized political system of the present state" and "counterbalance the neutralizing tendencies of industry." Services of national importance would be left to the gen­ eral federation, which would serve the people in international relations and have general powers of supervision. The state with its arbitrary rules would be sloughed off.

Tactics--Syndicalism is to be attained, according to its advocates, not through political action, which is usually frowned upon, but through direct, , of which the strike is the most important. Each strike increases the spirit of working class , and prepares the way for the final, , which will lead to the transfer of industry from the master class to the working class.

- Criticisms--Syndicalism is strongest in France and Italy, where large sections of the trade unions have adopted it in spirit. In the United States, there is very considerable syndicalist feeling among the Industrial Workers of the World. Socialists criticize syndicalism on the ground that it gives the producers exclusive power, and ignores the legi­ timate and valuable social functions of a democratic state, representative of the people as consumers. I f all power of control reside in the workers of the industries those in strategic industries, furthermore, might be able to coerce society to concede unfair demands. However, the move­ ment, in so far as it has shown the dangers of parliamentar­ ianism and of state bureaucracy, has had a salutary influ­ ence on Socialism. 27 F OR DISCUS SION GROUPS. LITERATURE-A narchism: Bertrand Russell, Proposed Roads to Freedom, ch. 2 ; Zimand, M odern S ocial M ovements, pp. 253­ 60 ; P eter Kropotkin, Conquest of Bread ( N.Y.: G. P . Put­ nam's Sons, 1906, 299 pp.; out of print); P. A. Kropotk in, A narchism (in Ency. Br it., 11th ed., 1910, vol. 1, pp. 914-19) ; P. A. Kropotkin, Memoirs of a R evolutionist (Boston: H oughton, Mifflin, 1899, 519 pp.; $3); , Anarchism and other Essays ( N. Y.: Moth er Eearth Pub. Assn., 1910, 277 pp.); Paul Eltzbacher, A narchism (N. Y. : Benj. R. Tucker, 1908, 309 pp.); Leo To1stoi, S ocial Evils And Th eir R emedy (London: Methuen, 1915, 255 pp.) . Contra: Lai dler, S ocialism, etc., pp. 235-8 ; Geor ge Pl echanoff, Anarchism and Socia lism (Chicago : C. H. Kerr and Co., 1908, 148 pp.; out of print); Bernard Shaw, Imp ossibilities of Anarchism (London : , 1893, 27 pp.); A. M. Simons, S ocialism us. A narchism (Chic.: C. H . Kerr & Co. ; out of print); Sidney Webb and others, S ocialism and ( N. Y.: J ohn Lane, 1911, 102 pp.); Robert Hunter, V iolence and the Labor M ovement (N. Y.: Macmillan, 1914,213 pp. ; $2.00) . S yndicalism: Savel Zimand, M odern S ocial M ovements, pp. 207­ 27 ; Louis Levine, Syndicalism in Fr ance (N. Y. : Longmans, 229 pp., $2; cloth, $1.50, P aul F. Br issenden, Th e I . W. W., A Study of American Syndicalism (N. Y.: Longmans, 1919, 432 pp., $4) ; Bertrand Ru ssell, Proposed R oads to Freedom, ch. 3; G. Sorel, Reflections on Violence (N. Y.: Huebsch, 1916, 299 pp., $3) ;W . D. Haywood and Frank Bohn, In­ dustrial S ocialism (Chicago : C. H. Kerr & Co., 1911, 64 pp., 10c) ; J. Ramsay MacD onald, S yndicalism: A Critical Exam­ ination (London : Constable, 1912, 74 pp.); Scott Nearing, Th e N ext Step ( N.J.: Rid gewood; Author, 50c) ; J ohn Spargo, S yndicalism, Socialism and Industrial Unionism (N. Y.: Huebsch, 1913; out of print) ; G. D. H . Cole, S elf­ Government in Industry, Appendix A; Laidl er, S ocialism, etc., pp. 177-186; Robert Hunter, Violence and the Labor M ovement (N. Y.: Macmillan, 1919, 388 pp., $2.00); Philip Snowden, S ocialism and S yndicalism (London : Collins' clear type pre ss, 1913 ; 262 pp.) . PROBLEMS FOR DISCUSSIO N-How do the above philosophies differ fr om Socialism and how do they differ fr om each other ? Do you ag ree with the Anarchists that all coercive powers of the 28 state should be discarded? If not, what powers do you think should be retained under a better social order? Are the Anarchists right in their belief that no compulsion should be used in inducing men to work? Have Syndicalists placed too much emphasis on industrial control by the producer under the new social order? What has been the chief contribution of Syndicalism to social the­ ory? What are the inadequacies, if any; of the Syndicalist proposals for social reorganization Syndicalist tactics?·

VI. GUILD SOCIALISM UIL D Socialism. has sought to combine the good points found in the more orthodox Socialist schools G with those urged by the syndicalists and the anarch­ itsts. .:: ,,,,;j1-1HH Guildsmen maintain that syndicalists and anarchists have been right in condemning the tendency of many Socialists to concede too great a power to the political state under Socialism and to lay too great emphasis on industrial con­ trol by the consumer as opposed to the producer. How­ ever, they refuse to go the length of syndicalists in correct­ ing these errors. They contend that the state or has certain functions to perform which cannot be ignored; the consumer has rights which must be respected. Forces Influencing Guildsmen-Guildsmen have been in­ fluenced, not only by the syndicalists, but by the artistic achievements of. the medieval guild, democratically con­ trolled by its craftsmen-members. They have also made a part of their philosophy de Maeztu's doctrine of "the functional principle"-that groups are entitled to rights only as a result of the performance by them of certain use­ ful functions. Such writings as that of the Socialist artist, , have likewise had their effect. Aim of Guild Socialism-Roughly speaking, guild Socialism advocates that the to industry be placed in the hands of the state or community, the management, in the hands of democratically controlled guilds. These guilds would be divided into industrial and civic guilds, and, according to some, also into distributive guilds. Each guild would con­ tain all of the workers in the craft or industry-managerial, .29 technical and manual. They would be given virtual au­ tonomy so long as they satisfactorily performed the func­ tions allotted to them. . The industrial guilds would deal with transit, agriculture, mine s, etc.; the civic guilds, with health, education, and other professions ministering to "es­ sential, non-economic" . needs.

The Guild Unit-The guild unit would be the national guild, highly decentralized. It would lay down general policies, purchase raw material, etc. It would contain repre­ sentatives of the regional guilds, and the latter in turn would contain delegates from the local guilds. Relation to State-The guildsmen of the type of S. G. Hob­ son would give ultimate sovereignty to the state and would make the state, as representative of the citizen or consumer, the highest court of appeals. G. D. H. Cole and his fol­ lowers, on the other hand, denying the sovereignty of the state, would set up composed of representatives of producers and consumers to take charge 'of certain func­ tions, such as banking, the provision of capital, coercive powers, and, to an extent, the regulation of incomes and prices. The consumers under guild Socialism would be safe­ guarded by holding the power to tax the guilds, securing from them for the community their surplus after payment of the cost of operation, etc. Guildsmen would rely' to a very considerable extent on the development 'of trade and industrial unionism to bring about the guild 'system. A new school of guildsmen, the Douglas-Orage Credit group, would, on the other hand, seek to bring about their goal through the increasing control of credit by the workers. This could be obtained, they assert, as a result of utilization of the credit power which is theirs by virtue of their con­ trol of labor power. The guild Socialist movement was definitely launched in England in about the year 1912 by A. J. Penty, A. R. Orage and S. G. Hobson. These were joined later by G. D. H . Cole. While this group has never been large, its influence has been considerable, although, on account of the recent divisions in its ranks, that influence has lately waned. 30 Criticism of Guild Socialism-It is impossbile here to analyze critically all of the theories of the various schools of guild Sociali sm. These social thinkers have done yeomen service in stimulating vital thought on future social tendencies and possibilities. They have, during their brief career, made numerous changes in their concepts of a new society, and will probably continue to do so in the future. Their demand that the development of personality rather than mere pro­ ducti vity be the ideal of the new society has supplied a needed element in Socialist thought. It is questionable, however, whether it is possible, as the guildsmen suggest, to introduce into the future social order the general organization and spirit of the medieval guilds. The guild of medieval times, as Dr. Niles Carpenter points out, "was built around highly skilled, small scale handicrafts, rigidly restricted, strongly traditional, fiercely local." Modern industry, on the other hand, "takes for granted unskilled, minutely divided labor; large scale production; remorseless change and innovation; national and even international organization" (Guild Social­ ism p. 240). Some of the guildsmen have been guilty of charting the future after the manner of the utopians of the past, and of basing the future industrial organization not on the logical development of observable tendencies in industry, but merely on their own particular desires. Many modern Socialists feel that the "guildsmen exalt too highly the importance of mere production by placing it in a position co-equal, if not su­ perior, to the social organization for the satisfaction of the individual's needs; that such an organization as is proposed may lead the worker to devote too much attention to the organization of production, while "it is as a consumer in the widest sense of the word that the worker will realize his individuality and enjoy his freedom." While just now the school of guild Socialism is not so prominent as a few years ago, its contributions, despite its shortcomings, are of the utmost interest to all students of social organization.

FOR DISCUSSION GROUPS . LITERATuRE:"-Pamphlefs: The Policy of Guild Socialism and other pamphlets publi shed by the National Guilds League, 39 Cursitor St ., E. C. 4, London, Eng. 31 Books: Niles Carpenter, Guild Socialism, An Historical and Critical Analysis (N. Y. : D. Appleton & Co., 1922, 350 pp., $2.50). (The best critical, yet sympathetic survey of the movement); M. B. Reckitt and C. E. Bechofer, The Mean­ ing of National Guilds (N. Y. : Macmillan, 1920, 452 pp., $2.75). (A handbook describing the various schools of Guild thought); Bertrand Russell, Proposed Roads to Free­ dom (N. Y.: Holt, $1.75) ; G. D. H. Cole, Guild Socialism Restated (London : Methuen & Co.) and Self-Government in Industry (London: G. Bell & Co., 1919); S. G. Hobson, National Guilds and the State (N. Y.: Macmillan, 1920, 406 pp., $4.00); Savel Zimand, Modern Social Movements, pp. 185-207, with bibliography); Laidler, Socialism, etc., ch. 6; A. ] . Penty, A Guildsman's Interpretation of History (Lon­ don: Allen & Unwin, 1920) ; C. H . Douglas and A. R. Grage, Credit, Power and Democracy (London: Cecil Palmer, 1920). PROBLEMS FOR Drscussrox->What were the forces leading to the birth of the school of Guild Socialists? What contributions have Guild Socialists made to modern socialism which give promise of permanency? Do you agree with the "functional principle" in industrial control? Do ' you believe that ulti­ mate authority should rest with the State as representative of the consumer? What are your criticisms, if any, of the guildmen's creed?'

VII. COOPERATIVE DEMOCRACY YNDICALISTS and guild Socialists have criticized the social ideal held by a large part of the modern Socialist S movement, largely on the ground that it does not give due consideration to the claims of the producers. There is growing up a school of thinkers connected with the consumers' cooperative movement who argue that the industrial organization of the future is likely to be built on the present consumers' cooperatives, and who insist that the consumer, for whom all industry should be operated, has been too greatly ignored in many Socialist schemes. This school has been called at times the school of "con­ sumerism." The ideal at which it aims has been spoken of as "a cooperative democracy." The school is also anti-statist in its philosophy, and in many respects resembles that of 32 communist-anarchism. It opposes 'ownership by state agen­ cies on the ground that such ownership means compulsory cooperation, as contrasted with the voluntary cooperation of the consumers' cooperatives. . Growth of Consumers' Cooperatives-To understand the aims of this school, it is necessary to understand the present-day consumers' cooperative movement. · The movement had its birth in Rochdale, England, in 1843. Since then the idea has spread, until today practically every country in Europe has strong consumers' cooperative groups, which have or­ ganized not only hundreds of retail cooperative stores, but great wholesales and large numbers of factories. In many instances the cooperatives possess large tracts of land, and operate banks, insurance companies, building associations, educational institutions and various other enterprises. In 1922, it was estimated that some 3,000 cooperative stores existed in the United States with an annual business of about $100 ,000,000. Technic of Organization-The consumers' cooperative movement is organized by the consumers for the purpose of purchasing goods under conditions determined by them­ selves. Each member-consumer has one vote in the elec­ tion of the governing committees and no one has more than one vote. A person may become a member on payment of a small fee, at times $1.00, at times $5,00, and at times $10.00. Interest on capital invested by the members is fixed at a low rate. The cooperatives usually sell goods at the same price as that charged by competing merchants. . At the end of the quarter they return to the customer mem­ ber a "dividend" or savings-return in proportion to the value of the goods purchased. Achievements of Movement-The movement has thus far saved millions of dollars to working-class consumers; set a high standard in the quality of goods sold; promoted thrift, eliminated many wastes found in competitive industry, given a valuable training to thousands of workers in the technic of distribution and production, and has brought to the forefront able working class leaders who could be trusted. It has provided the employees of the "coops" with some­ what better working conditions than those prevailing in private enterprises. It has proved an aid to the workers 33 during strikes and periods of industrial depression. It has offered valuable educational and social opportunities to thousands of working class consumers. It has demonstrated that industry can be conducted for use as well as for profit. It has strengthened the bonds of brotherhood between peoples of various countries. It has promoted the ideals of justice and of mutual aid.

Limitations of Movement-On the other hand, the move­ ment has thus far confined its field of action largely to the distribution of -articles of daily use in the household of the worker and has not as yet touched such national industries as the railroads, the mines, etc. The large bulk of its mem­ bership is probably interested more in the "dividend" that comes at the end of the quarter than in any ultimate social ideals. Most of the cooperative stores have not as yet been able to interest the majority of their members in the actual conduct of the business, nor have the~ worked out a satis­ factory scheme of representation for their employes. The majority of writers on the cooperative movement regard it as one of several forces leading to a new social order, but not as the only force. Hand in hand with the extension of cooperatives, they see the municipalities, the state and the nation taking charge of the transportation industry and other basic industries. They find it difficult to visualize how consumers, organized on a voluntary basis, can run such industries on Rochdale principles.

Regarded as Panacea by Some-On the other hand, some cooperative leaders contend that in the cooperative move­ ment people learn to do things for themselves on a volun­ tary basis, while, under municipal, state or federal owner­ ship, they are inclined to leave the conduct of affairs to the state officials; that the political state was organized by a ruling class for the purpose of suppressing a lower class, and therefore cannot be depended upon for constructive tasks in behalf of the workers, and that cooperation by the state is of a far more compulsory, far less voluntary nature than cooperation on the part of groups of consumers. They thus feel that in the society of the future practically all industry should be organized on a voluntary cooperative basis along the general lines of the Rochdale plan. 34 FOR DISCUSSION GROUPS.- LITERATuRE-Pamphlets: Order 5c and 10c pamphlets from the Cooperative League of America, 167 W. 12 St., New York City, particularly pamphlets by Agnes D. Warbasse, Dr. James P . Warbasse and Harry W . Laidler, the latter on Th e British Cooperative M ovement (5c ). Al so write for the literature of the All-American-Cooperative League, B. of L. E. Building, Cleveland Ohio. This League is more favorable to the producers' cooperative movement than is the Cooperative League. The headquarters of the In­ ternational Cooperative Alliance is 4 Great Smith St., West­ minster, London, Eng., and of the educational department of the British Cooperative movement, H olyoke H ouse, Hanover St., Manchester, Eng. Books-Savel Zimand, Modern Social Movements, pp. 67­ 81; Dr. James P. Warbasse, President of the Cooperative League, in Cooperative Democracy (N. Y.: Macmillan, 1923, 493 pp., $3.50), takes the position that the consumers' co­ operative movement should completely dominate the new social order. Albert Sonnichsen, in Socialism and Coopera­ tion (N. Y.: Macmillan, 1919; out of print), is of a similar opinion. Sidney and Beatrice Webb, in The Consumers' Co­ operative M ovement (N. Y.: Longmans, Green, 1921, 504 pp., $6.50) , while fully endorsing the movement, present a more critical point of view, maintaining that voluntary co­ operation will have its place under a new system of society, but will not occupy the center of the stage. - Other worth while discussions are: Daniel Bloomfield, S elected Articles on M odern Industrial Problems, pp. 3-34 (N. Y.: H . W. Wilson, 1919, 377 pp., $2.40); E. P. Harris, Cooperation, the H ope of the Consumer (N. Y.: ( Macmillan, 1918, 328 pp., $2.00) ; Fred C. Howe, Denmark: ACooperative Commonwealth (N. Y.: Harcourt, 1921, 203 pp., $3) ; L. S. W oolf, Cooperation and the Future of Indus­ try (London: Allen and Unwin, 1918, 141 pp.). Also sup­ plement on The Cooperative M ovement in the New Statesman of May 30, 1914 ; Paul Blanshard, An Outline of British Labor, ch. 10 (N. Y.: Doran, 1924, 168 pp., $1.50) . PROBLEMS FOR DISCUSSION-In what fields of effort have con­ sumers' cooperative ventures chiefly succeeded? What fields hav e they failed to reach? Why? W hy have con­ sumers' cooperatives succeeded, where efforts at self -gov- 35 erning workshops have failed? What have been the ob­ stacles in the way of consumers' cooperation in -this coun­ try and what are the forces which are advancing the cause? What lias been the chief value of cooperation thus far in European countries? What problems has it failed to solve? What part, in your opinion, will consumers' and pro­ ducers' cooperation play in a future society? Why?

VIII. SINGLE TAX ;\ LL of the schools of thought thus far discussed, with I1 the exception of the individualist-anarchists, have . urged a change in the ownership and control of both land and capital, as a means of attaining an ideal social order. The school known as single taxers has, on the other hand, maintained that a revised system of taxing land would be the means of eliminating poverty and of ushering in an era of equality of opportunity. Land Value Created by Society-According to the single taxers, the value of land is created by society, not by in­ dividual effort. Land may be purchased for a song in a sparsely occupied territory. Society develops the neighbor­ hood, constructs buildings, carries on trade, and, after a series of years, without a stroke of work on his part, the owner may be able to sell his possession at many times its former value.' In fact, according to the single taxers, land has a tendency to absorb all of the value due to "the growth of population, the increase and extension of exchanges, the march of invention, the spread of education, the improve­ ment of government," etc. This increased value should not be absorbed by the in­ dividual owner, but by society, its creator. The single taxers therefore propose "the taking, by taxation ,upon land values irrespective of improvements, of the annual rental value of all those various forms of natural opportunities embraced under the general term 'land'''. Results Claimed for Single Tax-Acccompanying this pro­ posal, they maintain that upon industry and the pro­ ducts of industry should be abolished, as they tend to dis­ courage enterprise and, furthermore, as profits resulting from the production of in industry, are the result of individual, not social exertion. 36 The imposition of the single tax upon land, declare the . single taxers, "will compel every individual controlling natural resources to utilize them by employment of labor or abandonment to others; will thus provide opportunities of work to all men and secure to each the full product of his labor; and that as a result involuntary poverty will be abolished and the greed, intemperance and vice that sprung from poverty and the dread of poverty will be swept away." The father of the single tax school was Henry George. His great work was "Progress and Poverty."

Schools of Single Tax-Among the present day single taxers there are several schools of thought. There are the individualists, with their doctrines of natural rights, and with their leanings toward individualist-anarchism. This school opposes all tendencies toward public ownership of industry. There are those who advocate public ownership of public utilities, together with the single tax, as a means of ensuring a free field for competition in industry. Henry George long .urged the nationalization of the railroads as a supplement to his taxation policy. There are others, how­ ever, who, while believing that the single tax will bring markedly better conditions, have no objection to the social­ ization of as many industries as is deemed necessary to en­ sure equality of opportunity. "I favor," said one prominent single taxer, a while ago, "not only the single tax, but the public ownership of natural monopolies, of municipal utili­ ties, of the credit systems, of the great trusts, and, if these changes don't correct present economic injustices, a complete socialization of industry." . Controversy has also waged within the movement on the question of the relative desirability of nationalizing the land and of correcting the evils of landlordism merely through taxaticn. Criticisms--Socialists in general have placed themselves on record in favor of a tax on land values, though objecting to the singleness of the tax. They urge income, inheritance and other forms of taxation as well as land taxation. They deny the validity of the philosophy of "natural rights" which has played so large a part in the formulation of the single tax theory. They deny the contention that, while rent results from the effort of society, profit results 37 from individual effort. They maintain that capital as well as land bears a social character; that every pro­ duced in industry is a social, not an individual product. Socialist critics of the single tax theory maintain that special privilege is not based on the ownership of land alone; that this may have been true under a land economy but that, in modern industry, he who owns and controls machinery and credit is by virtue of such control in a privi­ leged position. The worker will not be placed on an equal plane with his employer by having the choice of retaining his position in a factory or of taking up free land, although he may be in a better position than at present. Unless he had very considerable capital, he would find it difficult to earn a decent living on the land. He would be at a disad­ vantage as compared with other farmers, mine 'owners, etc. He would be subject to exploitation so long as he had no share in the ownership of the machines of production. Nor have the single taxers shown how their tax would reach in any effective manner such industries as banks, which gener­ ally occupy little land, and yet, through control of credit; earn very large sums. Free competition is enormously wasteful, Socialists con­ tinue. What is needed is not free competition in all spheres of industry, as many single taxers would have it, but a sane and orderly cooperative system which would eliminate com­ petitive wastes. The worker is demanding more and more a greater share in the control of industry, and a part share in its ownership. The single taxer fails completely to satisfy this growing de­ mand. Nor has this school of thought proved its contention that the landlord, as opposed to the capitalist, absorbs all of the increased products of industry. . The writings of Henry George were noble and eloquent in­ dictments of things-as-they-are. His analysis of the social character of land values was a distinct contribution to social progress. But the failure of his philosophy to capture the imagination of the masses or of a great and increasing num­ ber of thinking men and women seems to indicate that his remedy was not far-reaching enough and many of his fol­ lowers, still calling themselves single taxers, are gradually adopting a program which bears a very close resemblance to that of the Socialists. 38 FOR DISCUSSION GROUPS. LI TE RATuRE-Pamphlets. Write for pamphl ets to Single Tax Publishing Co., 150 Nassau St., N. Y. City, and Single Tax Part y, 3 E. 14th St., New York City. B ooks-Henry George, Progress and P overty (N. Y.: Double­ day, Page, 1916, 568 pp., $1.75) ; C. B. Fillebrown, A B G of Ta x ation (N. Y.:Doubleday, Page, 1909, 229 pp. ; out of print ); Frederic C. H owe, P rivilege and D emocracy ill America (N. Y. : Scribner, 1910, 315 pp.; out of print); J. D. Miller, Sill gle Ta x Y ear B ook ( N. Y. : Single Tax Publishing Co., $2.50); Louis F. Post, Ta xation of L and Va illes (: Bobbs, Merrill Co., 1915, 179 pp., $2.00) ; Yetta Scheftel, Ta xa tion of Land V alues (B oston: H oughton, Mifflin,. 1916, 489 pp., $2.25) , critical of single tax ); , S ocialism ill Th eory and Practi ce ( N. Y. : Macmillan, 1909), pp. 291-5; out of print) ; A. N. Young, Sillgle Tax M ouement ill the U. S. (Princeton, N. .r.. University Press, 1916, 340 pp., $1.50). Write for literature to Single Tax Publishing Co., 150 Nassau St., N. Y. City, and Single Tax Party, 3 E. 14th St ., N. Y. City. PROBLEMS FOR DISCU SSION-What advantages are likely, in your opinion, to result fr om the single tax? What are its dis­ advantages? Does single tax, in your opinion, adequat ely deal with the problems of industrial wastes? Does it supply a remedy for exploitation ? Is it likely to sat isfy the de­ mands of the worker? Why has the single tax philosophy failed of late to appeal to the masses as widely as have such philosophies as Socialism?

IX. SUMMARY E have thus sketched the social ideals held by various schools of thought--eooperators, Socialists, guild W Socialists, syndicalists, anarchists. All unite in their cond emnation of the present system and their belief in the need for fundamental change. All except the single taxers . urge the abolition of private owner ship in the means of pro­ ducti on and distribution. The single taxers urge merely a change in land relationships. The schools disagree in regard to the most effective mean s to be used in bringing about that change and in regard to the exact nature of the new social order to be attained. The chief questions at issue between most of the groups relate to the problem of the place .of the state under a new 39 system and the character of control by the producer and the consumer. Should the political state be entirely abolished? Anarch­ ists, syndicalists and some guildsmen and cooperators say yes. Bolsheviks believe that it should be sovietized. Many Socialists feel that some organization is necessary under a cooperative system to represent the consumer, and that the state, shorn of its class character, can be so utilized. Within the guild Socialist movement controversy has waxed bitter in regard to the question of state sovereignty. In the com­ munist movement, the greatest question at issue has been the extent to which the state should use its power of suppres­ sion during the transitional period. It is probable that the controversy regarding the relative power which consumer and producer should possess over the actual conduct of industry will wage for many genera­ tions to come. Syndicalists and some of the guildsmen groups believe that power should reside in the producer as far as administration is concerned. Cooperators, the major­ ity of Socialists and other schools of the national guilds em­ phasize the need for properly safeguarding the rights of consumer, and believe that the consumer, representing all of the community, should be the final arbiter. How should the workers under a new system be com­ pensated? What power should be given to technicians? How should tasks be assigned? How should' industries be coordinated? How large a field should be given to public ownership, to cooperatives, to private enterprise? Should emphasis be placed on local or on national administration? And how should a cooperative system be ushered in­ primarily through industrial action, primarily through par­ liamentary action, . through cooperative ventures, through educational propaganda or through some kind of a coup d'­ etat! These are among the many questions with which the various groups of social thinkers are trying to grapple. It is too early in social development to answer many of these problems. Some can only be answered as a result of painful experiments, after the new social order is installed. But clear and hard thinking on these problems and a care­ ful analysis of the lessons to be learned from the various ex­ periments that are now taking place should be of inestim- · able help in guiding the ship of society toward a better and nobler social harbor. 40