IJCSB LIBRARY i G y\ * / / POPULAR PROGRESS THE CAUSE OP AGEICTJLTUSAL AND INDUSTRIAL DEPSESSION, TIHCIE REV. THOMAS DONOHOE, D. 1). Author of "THE ZKOQUOS AND THE JiZBUITS " BUFFALO, N. Y. : PRESS OF MURRAY & DAWSON. 1898. COPYRIGHT, 1898, BY REV. THOMAS DONOHOE, D. D. PREFACE. Are the ebb and flow of our prosperity pro- duced by accidental causes, or is there something radically wrong in the industrial system, which produces such general and long-continued de- pression in a country of such vast resources? Every good citizen must grieve to behold deso- lation spreading through this fair land, in the wake of that insatiable monster, "hard times," that has been devouring the substance of the poor and has crushed out many a feeble life; and his heart must yearn for the day when pros- perity shall again smile on the toiler's task and bring happiness and comfort to his home. That there has been a great deal of suffering in the land is a lamentable fact, too often ignored by state and national authorities, because there has been no general clamor for relief; and as poverty in the eyes of society is a sin or a crime, people would prefer to suffer in silence rather than make known their weakness or guilt. IV. When a plague sweeps over the land, mark- ing its path with suffering, with ruin and with death, the sympathy and the generosity of a imlile people are aroused, and all the skill and in- telligence that money can procure or that au- thority can compel are brought into play, to bring relief and restore health to the land. The industrial plague, known as "hard times," is more insidious in its nature, more mysterious in its origin than any physical epidemic; yet, it is IK. less far reaching in its effects and disastrous in its results. The physical plague will mark its victims with outward and unmistakable symp- toms of disease, but the industrial malady merely marks the gaunt features of its prey with the lines of want and care, or clutches the heart, and stifles every outward evidence of shameful weak ness. The two great political parties have promised that the adoption of their principles would bring a penacea for all our ills, and would even restore healthful conditions to the land, but hope too long deferred has wearied and made sad the hearts of a patient people. V. If we can disc-over the true cause of our malady, it should be within our province to effect a cure. The laud yields immense food crops; so abundant, in fact, are these crops some years that it does not pay to harvest them, and they are allowed to rot in the fields, or our consuls and merchants seek a market in foreign coun- t ries for the surplus products that cannot be sold at home; and all this time strong, able-bodied men with willing hands, often skilled in special callings, are starving in sight of plenty. Our manufactures, mines, etc., like the land, turn out more products than can be consumed; yet, there are hundreds of thousands of idle hands, but they have no work and can get no money to buy the comforts, or even the necessaries of life. This country should not only be the land of plenty, but also the home of peace. Isolated from the great powers of the world by immense tracts of ocean, and with a smaller neighbor pur- suing kindred interests on her northern border, she need not fear any external enemy, and should not have any internal foe. People govern VI. themselves, at least in theory, and make their own laws; and if prosperity can he controlled by government or law, then the remedy is within easy reach. \Vhen men see plenty all about them, of which they are denied a part, and luxury in which they cannot share, though they may be able and will- ing to toil for a pittance, they cannot be in love with conditions which seem to cast all nature's favors at the feet of the few. These men may have families, may have little ones at home look- ing for the coming of the bread winner, "bearing his sheaves," and then want will breed discon- tent and incipient rebellion. Shall the strong protect and help the Aveak;. or is warfare the natural condition of man, and the brute struggle for the survival of the fittest the ultimate destiny of the race? As this is the age of reason, all disputes should be settled by appeal to the higher intelligence, and in no land should this be so easily effected as here where the governing power is in the hands of the people. Rumblings of discontent may be heard, but they are only the bellowings of brute force, manifest- VII. ing ly dmnb. but intelligible nppeal, the revolt of the great army of toilcr> against the injustice of the present industrial system. Anarchy, too, and socialism, favored by disturbed condition?, like dark clouds, may be seen above the horizon Pol-lending storms and destruction. This country has passed tlirough many great crimes in her history, but the good sense and patrioti.-m of her people have rallied to her cause and have enabled her to triumph. The proper province of ' iovernment is to promote the welfare of its people, not indeed by providing happiness, but by placing within the reach of all the means of procuring happiness for themselves by their exertion and toil. If conditions have arisen which tend to limit the means of procur- ing a livelihood, and thus exclude a large portion of citizens from the pmvuits of happiness, it is ilic duty of (lovernment to re-adjust those con- ditions to the requirements of the public welfare. Tin's is not paternalism; it is justice. The author has sought to point out the fads and to suggest methods of relief; and if this little work only serves to throw some light upon VIII. the true onuses of and the remedies W indur- trial depressions, his labors shall not have 1> -en in vain. It is well that one free from the traditional theories and the meanin^le-s cant of I he schools, and independent of the crude aspirations rnd the aims of organized labor., should discuss question- which have such important hearing u[)on the prosperity and civilization of America. THOMAS DOXOllOK. liulTalo, X. Y., February, 1S98. PAGE. CHAPTER L Agriculture, 1 CHAPTER II. Shoemaking, 28 CHAPTER III. Cloth and Clothing, - 41 CHAPTER IV. Carpentry, 78 CHAPTER V. Prison Labor, 87 CHAPTER VI. Inventions, 95 CHAPTER VIL Laws and Lawmaking, 127 CHAPTER VIII. Taxation, 144 CHAPTER IX. Remedies, 164 CHAPTER X. The Outlook, 206 CHAPTER I. AGRICULTURE. Agriculture claimed the first attention of the human race. The fields yielded teeming har- vests to the careful tillers of the soil; herds and Hocks supplied food and raiment in abundance. whilst varied cares and rural scenes made life pleasant amid God's creation. In every newly-settled laud the first occupa- tion of the settler is the tilling of the soil, for in this way may be found all that is needed to sup- ply the wants of incipient society. The early American colonists cultivated a bit of cleared ground, whilst they built their rude log cabins for shelter and sought in the hunt the furs of wild animals to barter at the trading posts for the products of Europe. Agriculture was the staple of work and the standard of wages. In the colonial period there was very little manufacture in the land. AVomon of the farm carded and spun the wool, and wove the cloth for the household, and bartered the sur- plus for luxuries or for the articles of urban or 2 roni.AR ]'I;0 per ton. The price- of different articles varied with the season: hut the ahove list is a pretty fair average of ruling prices for a hum period. In 1^S>5 the prevailing prices for ahove articles were: AYheat 50 cents, corn '1~> cents, oats 1 !J cents, rye 44 cents, barley :'>'> cents, potatoes 2<> cents and hay $S.I>5 per ton. In the following year prices were still lower, ex- cepting for wheat, which arose in price in the late fall on account of the failure of the crop in India. With the prices of thirty years ago for his produce the farmer conld live in comfort, could pay for his farm, could allow his children, in the winter season at least, to enjoy the advantages of higher education offered by the towns, and could indulge in many of the luxuries of life. AY hen this fundamental and most extensive branch of industry was in a prosperous condition, it stimulated trade in every other class of me- chanical and manufacturing labor. The farmer could afford to buy more and better clothes for his family, lie could have better buildings and AGRICULTURE. 5 more costly furniture for his home, and could have better stock and implements for his farm. As a necessary sequence all this included a greater demand for the product of the loom, more work for the carpenter, the painter, the cabinet maker and allied trades, and more money to expend on many little luxuries of various kinds. The farms through Xew York State will average over ninety acres, and in the season of high prices the income of the farmer should range from $1,200 to $2,000 a year; but with this income diminished one-half, or two-thirds, by low prices, the farmer must exercise economy to live; and dependent branches of trade will suffer depression from his loss. The annual products of the average farm in the United States should be sufficient to sup- port a family in comfort and even luxury. In France there are over 5,000,000 leasers and owners of land engaged in cultivating the soil, and these farms average less than ten* acres; yet France is the most prosperous country in the world. Why is not prosperity the reward of the *Eight and three-fourths acres. (Leslie). tJ POPULAR PROGRESS. American farmer? For many years, notwith- standing the capital invested, his income lias not exceeded that of the common laborer with no capital but his strong arms, or perhaps, a shovel. The population of the state has about doubled in twenty years; railroads have been built through the land, bringing the farms closer to the markets; wealth and the demand for food products have enormously increased in the same [ici-iod. Improvements in farm implements have kept pace with the progress in every other branch of industry. Every farmer has his mow- ing machines, his reaper and binder, his patent drill and sower, to enable him to increase his crops and lessen his expense. In the large farms of the A\ r est and the South, steam is utilized to draw the plows, to reap the harvest and to thrash the grain. 'The biggest wheat harvester in the world is in use for the liivt time on Robert Island, in the San Juaquin river near Stockton, California. This machine has a cutting line of fifty-two feet, and it also 'threshes and sacks the grain. This it does at the rate of three sixty-pound sacks of wheat every AGRICULTURE. 7 minute. In one rim around a field of 4,000 acre- it will turn out many sacks of wheat ready for the market. It has reduced the cost of har- vesring to a minimum, and the number of days consumed in getting a large field ready for mar- ket will be about half that of the regular har- vester. Eight or ten men handle it easily, while ir is turning out from 1,500 to 1,800 sacks a day of ten hours, and sweeping 100 acres of grain clean. Xo difficulty has been experienced in harvesting, as the traction engine, which was built especially for the machine, pushes it through the thick grain with about the same rase that an ordinary engine would draw a wagon over a country road. A general employment of these machines in all the great grain fields of the northwestern and ihe Pacific slope states, will enable American wheat growers to lead all other nations in the production of that great staple of commerce."' Twenty years ago all this work was done by hand. Five or six men were employed in the planting season, whore but one or two are re- *New York Paper. 8 POPULAR PROGRKSS. quired at present. Scores of men filled the har- ve>t fields, for five or six weeks at very hiah v, aaes, to mow the hay and reap the grain. At early morning the men went forth with their scythe or their sickle to labor long and hard it is true, but joyfully, for the reward sweetened their labor. Two or three men to supplement the work of machines are all that are needed now to do the work of the scores of harvesters of former years. The click and hum of steel have driven out the merry laugh, the jest and jibe, of the toilers of former days. The farming population has not increased in the same proportion as the towns, notwithstand- ing all these improvements, and very many good farms in our most populous states* have been abandoned because not sufficiently remunerative to sustain an ordinary family. In 1790 one-thirtieth of the population of the Tinted States lived in cities of 8,000 or more in- habitants. In 1880 the proportion of city dwel- lers had increased to nearly one-fourth of the *There are many abandoned farms in the cen tral part of Isew York. AGRICULTURE. 9 whole. The population of the State of Xew York has about doubled in forty years, from 1 s:>0 to 1890, but the population of the cities has multiplied from four to ten times in the same period. The wheat production, of Xew York State had fallen from 1870 to 1800 from 12,178,462 to *.:'.<>4,:>:}!) bushels, whilst the wheat yield of the entire country had nearly doubled in the same time. The farms of Xew York are close to the center of population of the country, and are \\ithii) easy reach of the great marts and the food consuming regions of the world, yet they can- not compete in grain raising with the great farms of the far distant Xorth "West. The cost of trans- portation fr<,m tlicse farms to the seaboard, or through the milling centers to the markets, is very great, but the immense quantity produced at a diminished cost through the use of machin- ery, makes grain raising in the "West a profitable business. The quantity of wheat raised in the Dakotas alone increased from 170,662 bushels in 1870 to 42,944,503 bushels in 1890, whilst the popu- 10 FOrt'LAR PROGRESS. Intion of this region incroa>ed only from 14,189 to f> 11,5^7, in the same period. The wheat yield had multiplied itself over 250 thru twenty years, whilst the population of the terri- tory had multiplied itself but about thirty-five times. The number of large farms has greatly in- creased in recent years. Within the last ceii-Hi* de.-ade, from 1SSO to 1800, the number of farms containing between 500 and 1,000 acres has in- creased over eleven per cent., whilst 2,968 farms of 1,000 or more acres were enumerated. One farm in the South West, which was formed with- in the above period, contains upwards of 1,500,- 000 acres. All the cultivating on this immense farm is done by steam power. A large tract, say half a mile wide, is taken, and an engine isplaced at either side. These engines are portable, and operate cables attached to plows. Three, men under this system can plow thirty acres of land i" a single day. The harrowing and planting of different kinds are done in a similar manner. There are great farms in the North West which are operated on a like gigantic scale, the level AGRICULTURE. -Q prairie land being peculiarly adapted to this form of farming. These great farms of the West, which have been called "Bonanza Farms," began about 1875. Before that time it would have been a risky business venture to attempt to cultivate thou- sands of acres with uncertain and high-priced la- 1>< >r, and with an inconstant and vacillating mar- ket. About the year 1875 mowing machines, labor-saving reapers and cultivators began to be extensively employed on farms, displacing a vast number of men, thus making the management of large farms not only possible, but also very profitable. With a foreman and two or three men, and a full supply of labor-saving machines, a doctor or a lawyer could pursue his profession in the city and operate a vast farm in the grain U-lt. A knowledge of farming was not neces- sary. It was sufficient to know that it was a very profitable investment, which would yield from fifty to 500 per cent. I have known a railroad conductor in the State of Xew York to run an extensive wheat farm in Dakota, by merely tak- ing a pleasant trip of a few weeks, twice a year 12 PfMTI.AK PROGRESS. to bis farm to see tl:;il ilic LTain was -owed, and the harvest gathered, threshed and sold. These farms are owned by men in England, in Ireland and in different parts of the K:i tern states. They can be run at a fair profit, with wheat at twenty- five cents a bushel, and collosal fortunes must be made for their owners when wheat command! seventy or more cents in the market. The small farmer cannot compete with these extensive enterprises, and they are forced from the field, or are compelled to limit their labors to 1 tranches of farming where less capital is re- quired, but where more skill and more hands are necessary to carry on the work. The great Bonanza Farms of the Wot have but very slightly lessened the cost of flour to the retail buyer, when we take into account the greatly reduced cost of production. Flour sold . at seven dollars a barrel, in the small towns in Dakota, when wheat was worth seventy cents a bushel. Nor have these great farms contrib- uted to a rise in wages or perceptibly increased the demand for labor. Laborers in the Bonanza Farm region are very irregularly employed at a AGRKTLTUEE. 13 very low average pay. Xot one of the Bonanza Farms lias a permanent dwelling and the full complement of men are necessary for only two or three months in the year, and even during this season the most unskilled labor is capable of doing the work. This labor may be obtained in the market actually cheaper than slave labor: be- cause the employer of free unskilled labor may employ and discharge men at will, and may en- gage labor for only the, busy season, whereas, the slave owner is obliged to maintain his slaves dur- ing the entire year. ( 'heap labor brings degradation and decline to the nation, whiUt a high rate of wages leads on pro-pei ity in its train.* The nations are so closely bound together in their commercial rela- tions lhat the prosperity or depression of one contributes to the prosperity or works the ruin of many others; and the "pauper labor" of Europe is finding its counterpart in the pauperized labor of the United States. In plowing, one man with improved machines can do the work that was formerly done by more *Adam Smith. 14 POPULAR PROGRESS. than a score of men. Until recently grain was sown Ity hand. A niiin would carry a pcmeh or sack suspended from his shoulder, and with measured tread would walk through the field sowing his seed; now a boy seated upon the latest improved sower will do ten times the amount of work with ease. In corn planting the cultivator displaces twenty men, and in gathering the ripened ear machines do the work of hall a score; whilst in shelling corn, one man can now do the work of one hundred or more working in the old way. Reapers came into use early in the present century; but it was only within the past decade that they attained their fullest development, and now one man with the latest style of reaper can do the same amount of work that was formerly done by three hundred men with sickles . Threshing the sheaves of ripened grain on the barn floor with flails gave healthful employment to many men throughout the winter season ; n< > w the dusty, noisy, man devouring steam thresher does the same amount of work in two or three days. AGRICULTURE. 15 There are labor-saving machines for gathering and for shelling the corn, which displace from ten to one hundred and fifty men. AY lien the grain is brought to the mill to be ground into flour the labor-saving principle still prevails. Mills can now, with the assistance of two or three men, turn out 1,000 barrels of flour in the same length of time that they could mill twenty or thirty barrels under the old process. Feudalism in Europe favored large landed estates and vassalage of the peasantry. The struggle for liberty implied also, either directly or as a corollary, peasant proprietorship in land. The advance of civilization in every country was attended by increased numbers of individual owners of land, and the great majority of culti- vated soil in every civilized country is held by small proprietors. Individual liberty would naturally assert itself in the right to independent ownership. Small holdings of land seem pecu- liarly adapted to prosperity. There is then no necessity for labor-saving machinery on the farm to supplant the toiler; easily attained ownership through small holdings offers a larger field for 16 POPULAR PROGRESS. employment, and a higher state of cultivation creates a greater demand fur the various form- of manufacture. Napoleon rendered facile the transfer of titles to land; then lie divided the vast estates into small holdings, and in this way lie laid the foun- dation of prosperity in France. Statistics prove that the most prosperous provinces in France are those in which there are the greatest number of small proprietors. "Work is plentiful and wages are high, results which invariably follow from increased demands, and a great stimulus is given to every line of industry by the healthful tone of the primary calling. Farming on an extensive scale would necessarily involve not only large outlay, but also great indebtedness; yet all the.se are supposed to be offset by vastly increased re- sources and returns. Investigation, however, proves that the large farms are not only heavily encumbered, but in almost all countries that they have inore than their proportionate share of in- debtedness . Farming in the United States, under present conditions, is a very unprofitable occupation. AGRICULTURE. j_f The only farm that pays is the Bonanza Grain Farm, or the cattle ranch. Men of means, from present indications, will, in the future, invest in one of these i\vo methods as the only profitable forms of farming. As in all other branches of industry, there is in farming a tendency towards centralization of production. "That the only possible future for agriculture, prosecuted for the sake of producing the great staples of food, is to be found in large farms, worked with ample capital, especially in the form of machinery, and with labor organized some- what after the factory system, is coming to be the opinion of many of the best authorities, both in the United States and Europe."* With the growth and extension of these ma- chine-worked and factory-formed farms, agricul- ture as an occupation for the small farmer will cease to offer profitable employment, except in the form of small truck or poultry farms near the large markets. The highest good of the greatest number was formerly supposed to constitute the fundamental *"Rcent Economic Changes." (D. A. Wells). -18 I'D PULAR PROGRESS. principle of national prosperity, hut the fin de .siecle trend is towards the highest good of the smallest number; and this tendency is indirectly advocated by political economists of high stand- ing as the progress of civilization. Xo nation ever has been or ever will bo prosperous and happy unless the great mass of people obtain work at fair wages.* Something- is wrong in the system when a farmer in the United States cannot make a living on fifty or one hundred acres of land. The pro- ducts of agriculture here are enormous; depres- sion could never be traced to a general failure of crops. This country not only produces enough to feed and clothe her own inhabitants, but ships are continually bearing her products to every country in the world, where a market can be found, and the only limit to her exports is the absence of demand. In twenty-five years, from 18fiO to 1885, the exports of agricultural pro- ducts from the United States have more than *"Cheap labor means degradation of the nation; dear labor means prosperity." Adam Smith). AGRICULTURE. }9 doubled in value.* About 100,000,000 bushels of wheat are annually shipped from the I'nited States to Europe, and much more could be sent if there were a greater demand; but our wheat, there meets a sharp competition in the product of India, which finds an easy approach to Eu- rope through the Sue/ Canal. United States consuls and exporters of grain hope to find a new market for our wheat in the ports of China and Japan. A short time ago there was an almost uni- versal cry for the protection of American labor against the pauper labor of Europe; yet here are our noble American farmers competing in the markets of the world with the Coolie labor of .India and China, the cheapest and most debased on the globe. A little reflection upon the facts here pre- *From 258,000,000 in 1860 to 530,000,000 in 1885. In May, 1897, Russell Sage, who is president of the Iowa Central R. R., received a letter from one of the Railroad Commissioners of Iowa, asking him to make a cheap rate on corn, so that farmers could ship it out of the state. It was rotting, but present prices would not pay farmers to haul it. In fifteen years the production of corn had ex- panded from 5,000,000 to 300,000,000 bushels. New York Herald, May 16, 1897. 20 POPULAR PROGRESS. seated will convince any unprejudiced mind that the introduction of labor-saving machinery in the work of the farm, lias brought about this condition of things, has made farm life in America unprofitable, and lias reduced the noble and independent American farmer to a condi- tion of helpless poverty, where even vassalage to a mighty lord might be welcomed as a boon to his hopeless slate. Labor saving machinery might have been directed towards improving the condition of the farmer, and might have been made to bear the burdens of toil; but the greed of men has made them instruments of depres- sion and a curse to the land. Tn the last forty years the products of agricul- ture have increased more than four-fold, whilst the population lias increased only about three times. In twenty years, from 1870 to 1890, the acreage under cultivation in the United States has nearly doubled, but the value of the pro- ducts of the farm has scarcely changed. In 1870 these were valued at $2,447,000,000, whilst in 18!)0 they had only increased to $2,460,000,000. AGRICULTURE. 21 In 1840, when the population of the United States was 17,069,453, over 3,700,000 people were employed in agricultural pursuits out of a total of 4,796,407 employed; and their comfort- able homes, their well kept farms, the well groomed stock, the independent air of the fanner, were proofs positive that farming was a profitable calling. There was a ready market for their produce, and a good price for their goods. In 1890 out of a total population of over 62,000,000, about 8,300,000 were engaged in the same industry. The ratio of increase of agricultural products for many years had far exceeded the increase of pop- ulation; yet the ratio of those employed in this pursuit to the total employed had greatly de- creased. The markets are overstocked; prices fall; weeds grow in the fields where wheat should bloom; homes are abandoned; decay and neglect mark the desolation wrought in agriculture by the introduction of the new economy of labor- paving machines, which displace the farmer and the farm hand, and force them into other in- dustries, if they can find work, or into the ranks 22 POPULAR PROGRESS. of the great and ever increasing army of the Unemployed in the cities and towns, into degra- dation and want. Over 100,000 were displaced in twenty year-, from ls<51 to 1881, in England by the in trod uc- ti