CHAPTER XLII.
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!"