RURAL LIFE UNDER THE REIGN OF CO-OPERATION.
"I wish, Fillmore," said George Gaylord, "to question your statement, as
to the ability of the co-operative movement, to check the rush from
country to city life. The tide of the movement is a strong one, that has
been constantly increasing in volume, for the past twenty years. I fear
that even the popular co-operative movement, will fail to turn the
flood."
"The thing is sure to be accomplished, George! But, to understand the
workings of the underlying force, which shall make this change possible,
we must first study the units of rural society. Of course, the financial
basis of these units, must be supported by agriculture. Agriculture is,
and must continue to be the main support of all rural populations. Fifty
years ago, agriculture as a whole, comprised a vast collection of small
farms and farmers. Then, the small farmer and his family, as the stable
unit of suburban society, was financially and practically independent.
Questions of over-production of food products, rise or fall in the price
of exchange, panic in the money market, or an adverse balance of trade,
disturbed them not.
"Under the spur of necessity, and as a part of the legitimate farm work,
the farmer and his family, in a crude way, practiced many of the
industrial arts, such as leather working, harness making, boot and shoe
making, cloth making, the carding, spinning and weaving of wool; the
preparation, spinning and weaving of flax or linen fabrics; the
manufacture of many farm implements, brooms, baskets, harrows, sleds and
carts; tailoring, making all kinds of underwear, hosiery, gloves and
mittens; linen furnishings, for table and bed, together with many other
articles of household use. Often, the forge and the anvil, with tools
for rough iron working, were added to the equipment of the farm. In
those days, farming required a knowledge of the use of tools; the
square, the level, the plumb-bob; the hammer, the saw and the plane;
were as necessary to the farmer, as they were to the carpenter.
"If we carefully study the significance of these things, we shall soon
discover, that in reality those farms were practically, combined
agricultural and manufacturing institutions, which were self-supporting
and self-sustaining to such an extent, that farm people were the most
independent on the face of the globe. As such, these small farm centers
were potent factors, in swiftly advancing the permanent wealth and
civilization of rural society. Born and trained in this practical school
of life; financially unshackled, therefore politically free; our farmers
of fifty years ago, developed a spirit of sturdy independence, a
patriotic devotion, a steadfastness of purpose, a self-confidence, and a
power of the initiative, which made them the pride and the bulwark of
the nation. They were the well trained, trustworthy citizens, of a true
republic.
"Evolutionary progress, moves forward by waves. The depression between
the crest of the last and the summit of the succeeding wave, represents
the transition, from one step of progress to the next higher. Therefore,
periods of depression, need not cause alarm, they are in reality
prophecies of progress. Let us apply this evolutionary law to
agriculture and its people, as being in the transition stage, during the
past forty years.
"Since the beginning of the last half of the nineteenth century, the
separation between agriculture and manufacture has been going forward,
the gulf between them becoming wider and more absolute, with each
succeeding year. Invention, improved machinery, combinations of capital,
the sub-division of the various trades into specialties, leaving the
worker, master of none; all have served to develop the entire system of
manufacturing industries, to a degree out of all harmony with the tardy
progress made by agriculture. The mining and manufacturing craze, has
swallowed up all other interests. Like a whirlwind, it has spread over
the land, drawing into the ranks of its toilers hosts of agricultural
workers; thus swelling the army, producing manufactured articles, and
correspondingly reducing the home market for such things.
"These conditions have naturally produced a congested market. Logically,
there has followed, periods of stagnation, labor riots on account of
reduced wages, periods of enforced idleness, and panics in the money
market; all culminating in a loud demand for relief from the burden of
over-production, by securing control of foreign markets. So completely
has the manufacturing craze dominated the commercial and political
economy of the republic, that both leaders and people are blind to the
real cause of the calamity. An aggressive and progressive minority begin
to realize, that the laborer and the farmer are no longer free, that
they are the slaves of capital with its factories and machines, or of
railroad combines, which control all lines of transportation. But no one
sufficiently understands the situation, to be able to answer why.
"Now let us study the history of agriculture, during the past forty
years. This trying period of transition, has been marked by many
changes. The small farm family, shorn of its ability to manufacture,
even in a crude way; for shoes, clothing, bedding and table linen, must
patronize factories located in distant cities. In order to pay for these
things, much farm produce must be shipped to remote markets. In both
cases, such heavy freights, commissions and profits, are paid to lines
of transportation, middle men and handlers, that at the end of the
year, the farmer's net proceeds are reduced to zero, or at least very
close to that point. If the farmer be in debt, he finds himself unable
to pay the interest on the indebtedness. If the farm represents much
invested capital, the net income of the farm becomes too meagre to pay
even a moderate rate of interest on its cost value; therefore its
selling value must shrink to the level of its reduced income. In this
way a large share of the available assets of the small farmer, are swept
away. The savings of years, are swallowed up and lost. Savings, that in
the aggregate, amount to many millions of dollars. What has become of
these values? They have been absorbed by the cities and the railroad
monopolies, whose servants the cities are.
"Four decades of this process, has robbed the farm-center, as a unit of
rural society, of its former wealth, independence and power. Rural
society as a whole, is no stronger than its weakest unit. This is why
agricultural districts are depopulated, while cities are over crowded.
These results are the work of the competitive system, with its wasteful,
wicked methods of distribution and exchange, which so widely separates
the farm and the factory, the farmer and the artisan, the food and the
consumer.
"From another point of view, we may discover that inventive genius, has
added a long list of labor-saving machinery, to the equipment of the
farm. Since wheat growing, has become the leading crop, this expensive
machinery must be included in the outfit of every successful farm. The
burden of this expense, has proved too great for the capacity of the
small farm. It has encumbered thousands of them with an indebtedness so
hopeless, that its annual interest swallows up the income of the farm.
From these causes, a crisis in the affairs of agriculture has arisen,
which has demanded larger farms, more capital, more brain force and more
systematic, better organized, co-operative labor. Hence, the evolution
of the bonanza farm; with which the small farm can no longer compete.
Notwithstanding its many wasteful methods, the bonanza farm has been a
step in the right direction. It has taught our agricultural people a
valuable lesson, as to what may be accomplished by the combined
co-operation of brains, labor and capital. It has demonstrated the
necessity for the evolution of the co-operative farm. It has prepared
the way for it.
"With the advent of the co-operative farm, will come the beginning of a
new agricultural era. The co-operative farm village, with its well
organized, allied industries, will again unite agriculture with
manufacture. The village will represent the new unit of rural society.
This unit will be free, independent and self-sustaining. The occupation
of farming, will be lifted into a new realm. It will become the
occupation of the noble, the cultured and the progressive. The people of
these farm centers, will form the warp and woof of agricultural society,
organized as a whole. The presence of organized society, largely adds to
the value of all lands and to the value of agricultural and manufactured
products.
"The brilliant author of 'Volney's Ruins,' well understood the force of
this principle as applied to increasing agricultural wealth, and at the
same time largely adding to the general prosperity of the State. In an
essay published in 1790, Volney lays down the following principles: 'The
force of a State is in proportion to its population; population is in
proportion to plenty; plenty is in proportion to tillage; and tillage,
to personal and immediate interest, that is to the spirit of property.
Whence it follows, that the nearer the cultivator approaches the passive
condition of a mercenary, the less industry and activity are to be
expected from him; and, on the other hand, the nearer he is to the
condition of a free and entire proprietor, the more extension he gives
to his own forces, to the produce of his lands, and to the general
prosperity of the State.'
"Each co-operative farm, will become a new center of permanent wealth; a
new center of social progress; of organized labor; of distribution and
exchange. These new centers, by again bringing together the food and the
consumer, will save millions for themselves, which under the competitive
system, were thrown away in freights and commissions. As these farm
centers continue to increase, they may stretch away in one unbroken
chain, perhaps five hundred miles in length. Each link in the chain,
will be a five or ten-mile boulevard. Altogether, forming one continuous
system of broad, free highways, the finest the world ever saw! Aided by
trains of horseless carriages, there will be developed between the
centers along this highway, a new system of transportation,
distribution, commerce and exchange. With the establishment of each new
system, the co-operative movement will gain an added impetus. The
centers of exchange, distribution and commerce, located in great cities,
will gradually lose their dominancy. The long lines of monopolized
railroads, connecting these cities, will as surely lose a large
proportion of their traffic. The magnetic wealth and bustle of the great
city, will lose its attractive power. As a consequence, and by the
action of a natural law, the tide of wealth and population, will flow
back to the country; with its meadows and fields, its mountains and
streams, its sunshine, blue skies, pure air and wholesome, enjoyable
village life. Amid such surroundings, upright and just, fearless and
free, the model citizen of a true republic, may find a natural home."
"Pardon me, Fillmore, for the interruption! I freely concede the
desirability of the results, which you have so glowingly pictured.
Nevertheless, I cannot quite agree with you, about the existence of a
law, through which the tide of wealth and population will again flow
towards the country. I am inclined to think, that facts and figures are
against such a result. The statistics of the census of 1890, indicate
that about one-third of the population, and over seventy-five per cent
of the wealth of the nation, were then located in the cities. A little
later, able thinkers and writers of the Josiah Strong type, proclaimed,
that by the middle of the twentieth century, this would be a nation of
cities, with less than ten per cent of its wealth and population
remaining rural. As startling as these predictions are, I very much
fear, that the logic of events favor their fulfillment!"
"If you will give me a little more time George, I think I shall be able
to show you where these writers erred, in reasoning from wrong premises.
They have judged the trend of events and the probable results that are
to follow, from the standpoint of the competitive system. A system,
which they have accepted without question as a permanent one, never to
be replaced by another. This was the fatal error, which has robbed their
conclusions of all value.
"In discussing the status of our great cities, these writers all agree,
that they are a constant menace to the nation; centers of political
corruption, which are in every way antagonistic to the letter and spirit
of a republican form of government; aggregations of the most dangerous
elements of society, which are incapable of self-government. These
admissions have a wonderful significance. Let us examine them.
"The question of society, becomes a potent factor in the solution of
this problem. Society, like a great leviathan, covers the face of our
country. Representing the aggregate of life, it affects all lives. As
the social side of the body politic, it has the power to strangle or to
nourish, every interest which is dear to those lives. Dominant society,
is the support and inspiration of government. The excellence of any
government, may be measured by the excellence of the society upon which
that government is based. Under the standard of a republic, society may
be divided into two classes; the true and the false. Reasoning from
these premises, we may conclude, that in order to have a true republic,
we must first evolve a true society.
"The society representing the competitive system, has its centers or
units in our great cities. Its votaries, are worshippers of wealth. They
are importers of foreign fashions, and foreign ideas of government. They
believe in caste. They detest equality. They have no love and very
little respect for the equal rights guaranteed by the Constitution. They
despise honest labor. They consider it menial, as a badge of servitude.
They believe that wealth is a power which can raise the wealthy few to
the dominancy of a privileged class. They believe that as members of
this class, they can treat all other classes as servitors and
dependents, who may be hired to do anything for money. They view with
complacency, the crowded populations of our great cities. The greater
and more dense the mass of people, the larger, more dependent and more
obsequious the class of servitors. They are naturally, more or less in
sympathy with monarchial and despotic institutions. They believe that
the rulers, judges and law-makers, should come from the ranks of the
privileged class. They are out of harmony with the republic, because it
is the true form of a co-operative government. Co-operation, they hate,
it smacks of equality! They are devoted to the competitive system. They
recognize its power to maintain a perpetual warfare among competitors,
which shall forever keep the main host in such abject poverty, that they
willingly become slaves to the wealthy. Having lost their independence,
the votes of these competitors are at the command of their financial
masters. Than this, nothing could be more harmful to the welfare of a
true republic.
"This form of urban society, is the flower of the competitive system.
The tendency of this society is to so engender selfishness, and to so
destroy patriotism, that a multi-millionaire of the William Waldorf
Astor type, deliberately achieves the acme of shame, by renouncing his
allegiance to a country to which he owes everything. He expatriates
himself, and flies to the refuge of a monarchy, to escape the honest
burden of a just taxation. A taxation based on an assessment of less
than one-third the rate, which is applied to the average farmer of the
republic. One example of such ignominy, ought to teach every patriot,
that the true republic must be built on the solid foundation of a
society and industrial system, which represents justice and equality.
"Let us now question the co-operative movement, with the purpose of
ascertaining its fitness to become the base of a new society, and also
the proper foundation for a true republic. In a society growing out of
the co-operative system, as our rural and agricultural societies may now
do. We find the conditions are reversed. Labor, is the badge of
respectability. It is the title to an honorable independence. In such a
society, both men and women are free. All are co-operators, none are
servitors. No beggars! No caste! The units of a co-operative society,
are sound and healthy to the core. Co-operation, insures
self-employment. Self-employment brings freedom, ambition, independence,
self-respect, leisure and education; with all the comforts and
refinements of life. With these insured, the co-operator cannot be
bought or corrupted by wealth. Each co-operator becomes a citizen, who
without fear and without restraint, may speak, write and vote, in
accordance with the highest dictates of conscience. A healthful degree
of honorable, self-sustaining labor for all, is the key-note of this
social organization. Men and women are placed on the same plane of
equality, financially, socially and industrially. For woman, this is a
matter of the utmost importance.
"Productive co-operative labor, crowns woman with a self-supporting,
self-respecting independence, which emphasizes her freedom from every
form of bondage. In this, we have a perfect demonstration of the power
of labor to bless humanity. Progressive life and invigorating labor, go
hand in hand. One is the complement of the other. Labor as naturally
promotes grace, strength, virtue and long life; as idleness breeds
helplessness, vice, disease and extinction. Here we discover the wisdom,
and the universal application of nature's law of labor. This law
demands, that women who wish to become mothers of a dominant race, and
who desire to secure perpetuity and progress for that race, must take an
active part in some useful, productive labor. If we consider the
significance of this demand, we shall perceive, that any form of social
or industrial organization which denies this right to woman, or which
takes from her the opportunity, the necessity, or the desire to labor,
becomes her worst enemy, a foe to humanity, that is conspiring to reduce
her to the degredation of a helpless dependent, a mere parasite. In her
declaration, that 'The human female parasite, is the most deadly microbe
which can make its appearance on the surface of any social organism;'
Olive Schreiner has summed up in one sentence, the grave danger from
this source which threatens the race.
"The combined and marvelous effects of the co-operative system and
society on the woman question, rightfully places that industrial and
social system far above all others, in the choice of a secure basis for
the foundation of a true republic. In fact, George! After carefully
considering the bearings of the questions involved, I feel sure that you
will heartily agree with me in the assertion, that co-operative society,
is the very embodiment of even handed justice, in which the rights of
all are considered. Furthermore, you will be willing to admit, that it
teaches the value of labor, and how to discover its uses and abuses. In
eliminating its abuses, it will appear, that true progress, is to so
improve and increase the ease and attractiveness of all kinds of labor,
that they can no longer be classed as toil, or even disagreeable tasks.
This then, is the legitimate field of inventive genius. Success in this
field is assured, because it is in harmony with all laws of progress.
Every hardship, every difficulty and every danger, which is eliminated
from physical labor, increases in the same proportion, the opportunity
and the demand for mental labor. This demonstrates the action of
nature's law of compensation, which in elevating the character of labor,
maintains its quantity."
"Yes Fillmore, I am convinced! I am willing to admit the truth of the
assertions, which you have made concerning co-operative society, as the
result of the co-operative movement. No doubt, they are destined in the
near future to supersede the competitive system and the city society
which grew out of it. As I view the situation now, that time cannot come
too quickly! Yet, there is one point which still puzzles me. It is in
connection with the rapid improvement of labor saving agricultural
machinery, which, as Josiah Strong says, will soon enable a few farmers
to do all the farm work, forcing all other agriculturalists to seek
employment in manufacturing cities. How can you answer that argument,
from the co-operative standpoint?"
"That is a pertinent question George, to which co-operation can furnish
many conclusive answers. Let us consider the significance, and the
conclusiveness, of some of the following:
"Under the co-operative system, every new labor-saving machine applied
to agriculture, means just so much added wealth for the farm colony. It
affords that much additional income, for active workers; so much more
money to swell the annuity fund, for the retired members; so much more
cash capital, for the sinking fund, with which to purchase, and to
retain the permanent control, of an ever-increasing series of
co-operative farms, for the lasting benefit of their people. With
co-operative genius to invent, and an abundance of capital with which to
buy, the advent of any conceivable quantity of improved machinery on the
co-operative farm, would only serve to increase the wealth, leisure and
independence of the co-operators.
"Such well-conditioned people could not, under any circumstances, be
forced to leave homes of luxury and refinement in the country, to become
the working slaves of a manufacturing syndicate in the city. Indeed! Why
should they? Why should these co-operators, or any one with the
opportunity to become such, go to the city to accept an insufficient and
uncertain wage; to be compelled to pay five prices for food, when a
better and more abundant supply, could be raised on lands of their own,
with less than one-half the exertion? Having good homes of their own,
why should these people pay exorbitant rents to owners of tenement
houses, for the poor privilege of living in stuffy rooms, choked with
smoke and filth, and surrounded by the clatter, the strife, the poverty
and the soul-wearing competition of the great city.
"Why should they rob their children of health and happiness, by
depriving them of a natural birthright, healthful exercise, free access
to the pure air, the bright sunshine, the blue sky and the unnumbered
charms of country life, with its fascination of ever changing landscape,
a picturesque mingling of verdure clad hills, green meadows, shady
forests, clear lakes and bold mountains? Why should these children be
compelled to live a cramped, unnatural life, confined to the narrow
streets, poisoned both mentally and physically, by the foul air,
disease, corruption, crime and misery of the densely populated city? Why
should agriculturists, who are independent co-operative owners of the
soil, humiliate themselves by joining the vast army of struggling
competitors, who throng the already overcrowded labor market in our
great cities? Why should they be eager to become the financial and
political slaves of the leaders of the competitive system; the social
autocrats, who form the society of the 'Four Hundred?'"
"Can a Josiah Strong answer these questions? No! Why not? Because, in
blindly reasoning and writing from the competitive standpoint, he has
quite overlooked the fact that agriculture is the base of all wealth. He
has forgotten, that as a class, agricultural people who own the farming
lands of the country, hold the key to the situation. Made conscious of
their strength by co-operation, they are the most independent people
living. They are in a position to dictate terms to all other classes.
They cannot be forced to do anything, which they do not wish to do. In
arriving at his conclusions, it seems quite probable that Josiah Strong
has made the serious mistake of accepting as true, a very prevalent
idea, that in due course of business, (competitive business) all lands
everywhere, would belong to the city capitalist; therefore, that all
farmers would then be tenants at will, who could be turned off the land
at the caprice of the owner. In this fatal mistake, we discover the
error which has vitiated all premises from which he has been reasoning.
"Thanks to the forceful lessons, taught by Henry George, to which our
agricultural people have given two decades of careful study. They have
learned, that free access to land, is absolutely necessary to a natural
enjoyment of life. They have learned, that for this reason, those who
own land are masters of those who do not. With a sturdy independence
which should characterize all citizens of a true republic, they have an
intense antipathy towards all forms of slavery. Determined to remain
free; they have redoubled their efforts to possess, and to retain
permanent control of lands, sufficient for themselves and their
children. In this work, they have discovered that co-operation leads to
perfect success.
"In answering other arguments advanced to show why the city should
dominate the country, and therefore absorb its population; the question
of rent plays an important part. It should be studied carefully. The law
of rent, is an enigma to the poorer classes, upon whose necks its yoke
presses as a grievous burden. They sweat and groan under the burden, but
can discover no way of escape. They must be educated. They must know the
cause, before they can learn to avoid the effect.
"Rent, is a legal harness which enables the capitalist who owns houses
and lands, to bind needy people to do his work. Through the exactions of
rent, he can compel these people who can least afford to do it, to pay
his taxes, his interest on capital invested, his living expenses, his
traveling expenses, his insurance and such wide margins of profit, as
necessity, opportunity and favorable location, may allow him to take.
Rent values, like land values and market values, are exponents of social
organization. Human lives, enter into the equation of these values. The
absence of people diminishes these values, the presence of people
increases them. For this reason, rents are highest in great cities,
lowest in the sparsely settled country, touching zero on lands occupied
by nomads. Land values, are affected in the same way. This will give us
a clue, to the transitory character of wealth composed of values. It
will give us another reason, for the shrinkage in value of farm lands,
and the increased wealth of cities; which follows the migration of
people from country to city.
"We may now consider another important factor, which affects rent values
in great cities. It is the spur of a sharp want, of the urgent necessity
of helplessness, which must drive and control the actions of a large
majority of the inhabitants. The presence of these elements is
necessary, in order to create the highest markets for rents. The larger
the throng and the keener the necessities of the crowd of bidders
competing, the higher the prices they will pay for rent. Under the reign
of the competitive system, this is a conclusive demonstration of the
truth of the saying, 'That the necessities of the poor, are the
opportunities of the rich.' Is anything further needed, to prove that
the competitive system is the essence of a cruel barbarism, which blots
the civilization and shames the humanity of the republic? Why not change
it for the co-operative system?
"Under the progressive and beneficent reign of co-operation, there would
be homes for the homeless, land for the landless, work for the
unemployed and independence for all. This would mean, a total absence of
want; that imperative spur, which is so necessary to the life of
competition.
"Transportation and taxation, are two factors yet unnoticed, which
materially affect rent values in great cities.
"Taking up the question of transportation; we soon discover its
importance. The great manufacturing city, is the center of a complete
network of railroads. The inhabitants of the city, are at the mercy of
these railroads. Nominally, they are supposed to be competing lines. As
a matter of fact, by means of traffic association, they become one huge,
consolidated monopoly. A monopoly so dangerous, so powerful, so
unscrupulous, and so voracious, that it does not hesitate in fixing and
maintaining rates so exorbitant, as to be actually prohibitory, at least
so far as two-thirds of the city dwellers are concerned. Meanwhile the
monopoly arbitrarily depresses rents and land values in the country,
while it increases them in the city.
"Let me give you an illustration of the methods, by which these results
are accomplished. Take if you please, the case of an average city,
factory-worker; receiving an average wage of one dollar and fifty cents
per day. On this wage, he has a family to support. In the country,
thirty miles away, he can have a comfortable house, with a nice large
garden, for the moderate rent of five dollars per month. A most
desirable home! But, here comes the opportunity for the railroad! A ten
cent fare each way, six days in the week, would pay the railroad a
handsome profit. But, a handsome profit does not satisfy a monopoly! The
handsome profit must be doubled six times, before it will consent to
serve the public! As a result, this workman, not having the ready cash
with which to purchase a monthly commutation ticket, must pay to the
monopoly, at its lowest rate (two cents per mile) the gross amount of
one dollar and twenty cents per day for transportation. Subtract this
sum from the workman's daily wage; there will remain the scant trifle of
thirty cents, with which to pay bills for food, fuel, clothing,
medicine and other family expenses. Utterly impossible! Even if the
owner of the country house and lot, should consent to reduce its price
and its rent one-half, the workman would still be prohibited by the
railroad, from taking advantage of the reduction. He would gladly pay
the ten cent fare, for then he would be able to pay ten dollars per
month rent, for the luxury of occupying such a desirable country home.
This would be a blessing to all interested parties; still, it cannot be,
because the monopoly says no! Being a monopoly under the protection of
the competitive system, its dictates may not be questioned.
"Although, the case cited, may be duplicated a thousand times, every day
in the week, in every large city of the republic; yet, everywhere, on
all possible occasions, the common sense of the people is outraged, and
their ears offended, by the loud shouts of the competitive leaders, who
praise without stint the great usefulness of the monopolistic trust.
Solemn as owls, with an air of great learning, they assure the people
that these beneficent trusts, are the natural outgrowth of high-grade
business methods, which must be let alone. Do the poor people, the
farmers, the country land owners, and the working men, join in these
shoutings? Obviously and most assuredly, they do not!
"Let us now follow our factory workman back to the city, for the purpose
of noting the effect of this monopolized transportation, on city rents.
Baffled in his desire to live in the country, he seeks to make the best
of a bad situation. As a consequence, he is obliged to pay to the owner
of some tenement house, a rental of fifteen dollars per month for three
small rooms; poorly ventilated, unfurnished and unheated. These rooms
are so undesirable on account of difficult access, bad location,
unsavory smells, and the immediate presence of other tenants in the
house, who are quarrelsome, drunken, filthy and generally disreputable;
that but for the prohibitory tariff maintained by the railroads they
would remain unoccupied, even if the rent should be reduced to seven
dollars and fifty cents per month. However, poor workmen receiving scant
wages, may not expect to be choosers. They with their wives and
children, must ever bravely strive to adjust themselves to their
environments, which more often than otherwise, prove cruelly bitter and
oppressive.
"In the case of our artisan, who is a brave, industrious, hopeful
fellow; after paying his rent, he will have left from his monthly wages,
the small sum of twenty-one dollars. Providing of course, that
throughout the month, he has been so fortunate as to remain well and to
lose no time. With this amount, (seventy cents per day) he must manage
as best he can, under such adverse circumstances, to feed, warm, clothe,
shoe, and protect his family. With such a meagre sum to supply so many
wants, it is impossible for him, even under the most favorable
circumstances, to make petty savings with which to meet emergencies.
When the misfortune of sickness overtakes him, the situation becomes
appalling!
"From this illustration, we may judge how much the city is indebted to
the railroad monopoly for its high rents. To great cities, high rent is
a matter of the utmost importance. Take all rent advantages from them,
and the entire list of their manufacturing industries, could be carried
on in country villages with equal profit. It is quite evident then,
that these cities are alive to the fact that rent is a measure of the
value of locations."
"Before going farther, Fillmore, allow me to inquire! Why could not
these working men and their families, who are confined to the city by
the high rates of the railroad monopoly, find cheap country homes near
the city; say within a radius of from five to ten miles?"
"Thank you George, for such an opportune question! Its answer leads
directly to a discussion of the question of taxation.
"A land monopoly, is more to be feared, more harmful to the poor and
more disastrous to the interests of the general public, than any other
kind. The worst form of land monopoly, may be found in full force, along
the outskirts of large cities. These monopolies are made possible, by
the unjust application of a faulty system of taxation.
"As a preliminary step, a hungry host of individual capitalists and land
syndicates, proceed to purchase large tracts of adjacent lands at farm
prices. These lands are then sub-divided into villa sites, and into a
variety of sizes of town lots. Prices are placed on these lots, which
would about equal the value of the ground, when in course of time, at
the edge of the city, they should be covered by dwellings or business
houses. This accomplished, the holders like cormorants, sit and wait for
the growth of the city and the efforts and capital of other people, to
so increase the value of their holdings, that they can realize their
prices and take their profits. These periods of waiting, may cover a
long time, often, from one to twenty years. Meanwhile, these monopolized
lands are kept out of use, because on account of high price, they cannot
be used for agricultural purposes.
"Why can these land monopolists afford to wait so long? Because an
inequitable system of taxation, discriminates in their favor; offering
aid and encouragement for them to do so. Without this aid, it would be
impossible to keep these lands out of use.
"How can this happen? In the first place, these sub-divided lands, as a
whole in large tracts, are assessed at the rural rates applied to unused
and unoccupied lands. These assessed values, may be so low, as to be
less than one per cent of the asking price of the lots. As time passes,
they are liable to be slowly increased. Under such a discriminating
system of assessment, the taxes that may be collected, are merely
nominal. This unequal system of taxation, is applied, in a proportionate
degree, to all unoccupied lands inside the city limits, which are held
out of use by the land speculators.
"How does this state of affairs affect city rents, and at the same time,
assist in preventing the poorer classes from enjoying the advantage of
country homes? First, it establishes a broad zone of monopolized land
around the city. This zone continues to increase in width with the
growth of the city. Scattered through this zone, are many tracts of
farming lands in active use. For this reason, they have to bear an extra
burden of taxes, in order to equalize the low rates on such large tracts
of idle land. These heavy taxes are patiently borne by the resident
farmers, with the hope of reimbursement in the near future, by being
able to sell their farms for extraordinary prices. In this way, abnormal
prices become firmly established throughout the zone; which like some
great barrier most effectively confines the working man and his family,
to the narrow limits of a city tenement, with its high rents.
"If a builder with some idle capital, should wish to erect a
considerable number of modest cottages, within the limits of this
monopolized zone; with the purpose of renting them to working men; he
would find it impossible, or at least impracticable to do so. Why?
Because he would have to pay almost city prices for the ground; then,
having covered the lots with houses, he would be obliged to pay a heavy
penalty for this outlay of capital, by the grievous burden of taxation,
which would fall upon him. Houses built under these circumstances, could
not be let at a rent low enough to be within the means of the working
man.
"The number of people who are confined to city life by the causes named,
is very large. Just how large, I have no means of ascertaining.
Families, who are subsisting on incomes of ten dollars per week and
less, furnish a large proportion of this number.
"We have seen that the disastrous crowding, the alarming density of our
large city populations, is mainly due to two causes. High
transportation, caused by the railroad combine; and an outrageous land
monopoly, made possible by a bad system of taxation. We have seen, that
this dense mass of needy humanity, constantly creates such a fierce
competition, that rents must grow higher and wages must grow lower. We
have seen, that the causes named, are steadily diminishing the wealth of
rural sections, by transferring it to the great city. We have seen that
this whole movement, which tends to transform the great majority of the
independent citizens of a republic, into the financial slaves of an
oligarchy, is the natural outgrowth of the competitive system. Taught by
history, we know, that as the oligarchy rises and reigns, the republic
dies.
"Knowing the causes which have produced these conditions, we are
prepared to discover, and to apply the most efficient remedies. It is
only by associated effort, that rural populations can successfully
oppose the concentration of wealth in cities. The well organized mass,
becomes a great power. The new century demands a new industrial
organization. The co-operative system, answers the demand. It is in
harmony with the idea, that life is the most precious of all things.
Therefore, it recognizes that opportunity to labor, and to enjoy the
fruits of that labor, is the highest privilege of life. Under the reign
of co-operation, this is insured. United in congenial co-operative
associations, farming and working people in the country, reinforced by
large numbers of recruits from cities, may build up for themselves, new
centers of combined industries, society, wealth, distribution, exchange,
education, amusement and insurance; which will place them in the ranks
of the self-employed, who are financially and politically free. By
growth and expansion, these centers will become the units of a vast
co-operative system, which must soon wholly displace the competitive.
"The inspiring motive of this co-operative system, will be the elevation
and perfection of human lives. To this end will tend the invention of
every labor-saving machine; increasing the product and shortening the
hours of labor. With the physical man thus properly nourished and
developed; the intellectual and spiritual man, will for the first time
in history, have the necessary conditions in which to expand, blossom
and bear fruit. Under such circumstances, life in the country will be
both altruistic and idealistic. By comparison, life in cities will
become a hardship which few will care to choose. The few, it may be
taken for granted, will be so bound to the wheels of Mammon that they
cannot get away.
"The larger independence and better education of the co-operative
majority of voters, will soon enable them to find a relief for the
imprisoned populations of cities, which are now confined by the pressure
of land monopolies and railroad combines. They will see to it, that
these railroads become the property of the government; well knowing that
they can never be made to serve the public honestly, until the public
owns them. As for the land monopolists, they will find their holdings so
burdened with taxes, that they can no longer keep them out of use. The
erection of fine buildings will be encouraged. Costly mansions,
dwellings, or factories, will not increase the tax. With these barriers
removed, the densely packed populations will quickly expand. They will
fly from center to circumference of the city. Later, they will be
attracted to the country village, where more congenial homes and
employments await them. Then educated and emancipated, they will no
longer pay rent.
"We have seen that the economics of society vitally affect the status of
human lives; physically, morally and spiritually; industrially,
financially and politically.
"We have seen, that rural society, based on the co-operative farm colony
as a unit; answers every demand for the protection and development of
human life. We have seen that the inspiration of this society, is to
secure for all, a lasting reign of peace, plenty, harmony and progress;
a most convincing proof, that it is the ideal society on which to build
a true republic, that shall be self-sustaining.
"We have seen that the perfect emancipation of woman, and the exalted
motherhood, which is made possible by the advantages of the co-operative
system, insures the permanency and the dominancy of a republic so
supported.
"In analyzing the workings of the competitive system, we have seen that
its methods are those of war. In the never-ending struggle of competing
strife, opposing armies of human beings slowly grind each other to
death; leaving unaccomplished the real object and purpose of life. This
enormous waste of life, violates every principle of a republican form of
government. It aborts even the efforts of planetary evolution.
"We have seen that the competitive system produces monopolies and
trusts, with a constantly increasing tendency to concentrate wealth in
cities; placing it in the hands of the few, who are the financial
masters of the many.
"We have seen that from the ranks of the wealthy few, come the leaders
of competitive society, who make their strong holds in the great city.
They are the shining lights of the competitive system. They believe in a
constant warfare of competition, which brings suffering to the many and
success to the few. We have seen that a surfeit of wealth and power, has
made these leaders so despicably selfish and unpatriotic, that they are
unwilling to pay a just proportion of tax for support of the government.
"We have seen that the monopolist, encouraged by the sympathy of
competitive society, endeavors to monopolize administrative and
executive functions. By means of unequal rates of taxation, and more
especially of unjust assessments, he is able to shift most of his taxes
to the shoulders of farmers and small property holders in state, county
and town. This outrageous evasion by the rich, of their just share of
the burdens of government, is shameful to the last degree! It robs the
poor of all protection, that governments are bound to offer! It is a
crime against humanity! It is a sin against the perpetuity of the
republic! It is anarchy! If a government is no longer able to protect
its poor; then, such a government has forfeited all right to exist!
"We have seen that a true government, republican in form, is a
co-operative institution, which must be based on justice, and equal
rights, for all; thus recognizing the common brotherhood of humanity.
Organized and maintained for the purpose of conserving, developing and
protecting life; such a government, would at all times be guided by the
beacon light of the axiom, 'That the injury of one is the concern of
all.' It would wisely measure its strength and perfection as a
government, by the strength and perfection of its weakest unit.
"We have seen that with members of competitive society, the accumulation
of wealth, becomes the sole ambition of life; that they may enjoy the
ease, luxury and social power which follows. We have seen that wealth
develops selfishness and idleness. Idleness breeds helplessness, vice,
disease, and extinction. The predominance of such a society, would mean
the death of the republic.
"Having compared the merits and demerits of the two industrial systems,
and of their closely related societies; taking it for granted, that as
the highest expression of social evolution, the republic must endure;
which, George, do you think will prove the true system, the true
society, that must predominate; that must naturally develop most social
and political power; most perfect conditions of life; most happiness?"
"There can be but one answer, Fillmore! The co-operative is the true
system, and the true society! You have made it very plain that the
republic cannot endure without them. It is equally evident, that with
restraining influences removed, city populations in a large measure,
will again return to the country for homes; attracted thither by the
many advantages offered by co-operative village life."
"Speaking of homes, George, reminds me that I must now confer with you
in regard to a personal matter, which may affect your work and your
welfare for many years. This is the fifteenth of September. You have now
been in Solaris, a little over one month, with an opportunity to study
the co-operative movement quite extensively. I believe you are in
harmony with it; and can do a good work for it.
"This office, as you know, is the present headquarters of the general
movement. Tomorrow I am going East, to be absent at least one month,
perhaps three. I wish you, as my private secretary, to at once take
charge of the office. I can offer you a salary of $1,500 for the first
year. The office staff is a capable one, which will make your work quite
light. I have made arrangements with Mr. and Mrs. Gerrish and with Miss
Houghton, to co-operate with you as advisers. Since the first
establishment of the office, Miss Houghton has so often volunteered to
assist me, that she is now familiar with the routine work. Finally, I
shall at all times while away, be within reach by phone or wire; by
which I wish you to consult me whenever occasion may demand. What say
you, George! Can you accept my proposal?"
"Yes, Fillmore, I accept without one moment's hesitation! I shall be
delighted with the opportunity to work for the interests of
co-operation. You may trust me to do my best!
"By the way, Fillmore! I take it for granted, that before you return you
will meet Miss Fenwick, and her friend Mrs. Bainbridge, if so, please
present my regards."
"I shall not forget your message, friend Gaylord! Miss Fenwick is now at
Fairy-Fern-Cottage, on the Hudson. She will meet me at Fenwick Hall, in
Washington, where we are to be married on the twentieth day of this
month.
"The wedding is to be strictly private and informal, only Miss Fenwick's
attorneys are to be present as the necessary witnesses. After the
wedding, the customary tour will be omitted; leaving us free to remain
at Fenwick Hall, until the inspiration of the moment brings the choice
of some mountain or sea-side resort.
"I shall expect you, George, to mail weekly reports from the office, to
Fenwick Hall. Wire me for instructions, whenever you are in doubt."
"I shall obey your wishes to the letter, Fillmore! What you tell me of
the coming wedding, is glorious news! I congratulate you with all my
heart, on your great good fortune! You deserve it; you have well earned
it!"