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308, ‘ .
v . The Folly of Competition 7
I In‘ America on- the contrary after a trust has killed off its com-
petitors and begins to make large profits, still larger groups of capi-
tal are attractedto the field and fresh and ruinous competition is
set up, the trust thus defeating itself ultimately by its own success
' whichunakes it the prey of new capital, though the latter may lose
heavily in the struggle. These rushes of capital from field to field
and consequent disorganization, struggles and losses are prevented
in Germany by the control exercised by the government. Capital
. is entitled to a fair reward for its employment as is labor while
the public is entitled to fair prices. The government stands be-
tween the three elements and by ,various laws and executive ex-
pedients succeeds in apportioning fairly the share which each is to
have. gAll belong to the nation. If one suffers, ultimately all must
suffer and this the government as the representative of all prevents.
Itystands like a strict father among his sons, and not as do other
Governments, an uninterested police otiicer merely keeping .1 the
peace between rival groups of buccaneers. ‘
In the United States monopolies are largely left undisturbed to
‘ruin their competitors and extort high prices from the public.
‘Gradually wealth has flowed from the hands of the well-to-do and‘
the workers into the hands of the rich. The extent to which this
has taken place will be covered in another chapter entitled, “Gov-
ernment, Labor and Capital.:' In Germany, however, a fair division
of ‘profits is assured. Instead of a dissatisfied and oppressed public
the German public is satisfied and loyal to the Government. Far
more than in any other country is the public satisfied to be guided
and governed by the Government because they recognize the fact
that the Government is acting in good faith and is not, as in the
United States, mostly an aggregation of politicians acting 'in their
own private interest and opposed to the interests of the public.
, The Results of Co-operation
Being internally united it is only natural that the industries of a
country like Germany-should outstrip those of other countries in
which individual initiative is the only spur and in which competi-
tion is reckless and destructive. In fact no other result could
possibly occur.
Nor does the Government limit its assistance to imposing a con-
dition of justice. It actually assists manufacturing establishments
in every way within its power. It establishes testing plants for the
testing of materials. This involves such a great expense that few
private manufacturers in America can afford a ‘similar equipment
which is consequently to be found only in small units on widely
scattered plzints for special purposes and among some technical
universities for experimental purposes. In the knowledge of the
qualities of strength, uniformity, elasticity, and other physical at-
tributes, the German manufacturer knows what the properties are
of the materials he uses in manufacture. In steel construction, for
example, he knows how heavy or how light the members should be
by actual test. The American manufacturer has only approximate
THE. FATHERLAND '
calculations to follow and usually: allows overweight to be "on the
safe side.” In the New York subway as well as in many sky-
scrapers twice as much steel was used as necessary. Such enormous
investment of capital is forever lost. Countless examples of waste
of materials due to lack of testing facilities could be cited. Ger-
many has removed for her manufacturers this great handicap, by
the establishment of the research and testing plants referred to.
Synthetic Businesses x
In chemical industries, she maintains great experimental labora-
tories, the discoveries of which are freely'at the service of her
manufacturers. She encourages invention by a good patent sys-
tem, while the American patcnt system acts as a deterrent to in-
vention, the cost and technicalities of patenting discouraging our
inventions, .while the failure of the courts to uphold the broad
rights of inventors and to let infringcrs escape tlxrouglrminute
loopholes still further retards progress. The policies of ourlarge
trusts in buying and suppressing patents or in controlling the fields
in which patents could be utilized and thus in suffocating invention“
still further hamper us.
Protecting the manufacturer at every turn the German Govern- ,
ment lends still further assistance by dividing Government work
among them in a fair proportion and further in giving particular
attention to the expansion of foreign markets. . id x
Against the organized effort of the German Government with its
great financial‘ power and its enormous prestige amongits own
manufacturing concerns as well as throughout the world, other
countries can at best bring to bear but the organized efforts of
boards of trade or commercial associations controlling directly no
capital and being merely in position to advise. How can the manu-
facturers of other countries compete alone and unsupported against
the German manufacturers backed by the German government?
The answer is only too obvious. They cannot long continue to
do so successfully. =
If they are to be enabled to compete they must be similarly sup-
Dorted by their own Governments. But to do this requires a propcf
governmental system, which other countries do not possess in, the
degree that Germar.1y does. ' g
The Value of Coxnmon Scnsic‘
American business men and American office holders see the thing
that should be done, they see the necessity, the desirability, of certain
actions, but the actions are not taken. The things are not done-
Every one protests but the bungling and foolish things continue to
be done. Why? '
Because our governmental system places inthe hands of the
politician and office holder at greater incentive to serve his own
interests than to serve the interests of the"-public.‘ ‘Sooner or
a later every nation whose system does this must take a second or a
third place in the progress of the world‘ as compared with the
Government with an ehicient system. ,
,.i
THROUGH THE EYES OF ENGLAND ’
(It is only the Tory section of the Anxerfcan pres: which is still disturbed over the “Belgian atrocitic.r.” In England they smile when you
bring up his long-exploded subject. Beside: Belgian: are very unpopular in London just now. A: ever it 1': fnxposriblc to forgive the
people we have wronged. The following article, which recently appeared in the cancer-votive “Cambridge Univer.n'ty 1lfaga.':ine," will sur-
prise those whd have imagined that the English were as bitterly disposed toward: the German: as some of our leading pillars of society.)
“READERS of ourtranslations from the foreign press," states
the Cambridge Jlfagasim’, “will be aware of many details in
the manufacture of news which escape their less discerning neigh-
bors, but even the most seasoned student will find matter for reflec-
- tion in the following, quoted by Mr. A. Ponsonby, M.P., at a recent
meeting in Glasgow. It is worth noting that of the papers concerned
the Kdlnische is semi-ohicial, the Mafia is one of the most influential
' Paris dailies, and already celebrated in connection with its tales of
‘concrete foundations,’ the Timr: is the Penny Mail, and the
Corriereis often spoken of as the leading paper,’ not only of Italy,
but of Europe." '
After the fall of Antwerp the K5lm':chc Zeitung' published this:
,“VVhen the fall of Antwerp got known the church bells (in Ger-
many) svere rung.’ ”
The Matin altered it thus for the benefit of Parisian readers:
bells with their heads down.’ "
“ ‘According to the'Kb'lnische Zcitung the clergy of Antwerp were
compelled to ring the church bells when the fortress was taken.’ "
The Time: decided that.London could go one better with this:
"‘According to what the Matin has learned from Cologne, WC
Belgian priests wholrefused to ring the church bells when Antwefp
was taken have been driven away from their places.’ ”
The Carrier: dclla Sara then took a part in the fabrication by
stating that: , "’ X
“ ‘According to what the Times has heard from Cologne via Paris,
the unfortunate Belgian priests who’ refused toting the church
bells when Antwerp was taken have been sent to hard labor.’ " -"
The Marin, which began the yarn, concluded it thus:
‘”A“01'dlnE.to the information of the Carrier: della Scra from -
C0l0EI,18. Via London, it is confirmed that the barbaric conquerors of
Antwerp punished the unfortunate priests for their heroic refusal
to ring the church bells by hanging them as‘living clappers to the