It is, however, a ticklish thing to make these comparisons, because many Southerners, and particularly Southern newspapers, consider it an attack upon the South to intimate that it is still much improvable. As the Macon Telegraph said a few months ago: “After all what does it matter that a Harvard professor should consider us lazy and not even excuse us on the ground that we are victims of the hookworm? We still have the right to go on expanding the figures relating to our remarkable industrial upbuilding, until we have driven New England out of the business of cotton manufacturing.”
The best measure of comparative wealth would be a statistical statement of accumulations. On this subject there are many wild guesses. The Manufacturers’ Record in January, 1907, makes claims for the South which deserve especial examination: “England’s wealth, according to the London Express, is increasing at the rate of $7,000,000 a week. That is less than one seventh of the rate of the increase of wealth in the South. The increase in the true value of Southern wealth in the past twelve months was $2,690,000,000, or about $7,300,000 for every day in the year, including Sundays and holidays. Not only is the speed of increase in the South so much greater than that in England, but the South possesses resources, agricultural and mineral, that make certain in the future even a much greater rate of increase than England.”
Except poor old poverty-stricken New England, all the world will welcome this prodigious accretion of wealth. Think how many opera tickets you might buy for two and a half billions of dollars! The only attempt at exact figures of our national wealth is the estimate of the Statistical Abstract, published about every four years, and not based on any exact figures. Such as it is, it is relied upon by the Southern writers; and it sets forth that in the four years from 1900 to 1904 the total national wealth increased by less than 20 billions, an average of 5 billions a year; it is hardly likely that a third of the population, which in other respects is below the Northwest, was contributing more than half this annual gain. The only ground for the assertion seems to be an alleged increase in the Southern tax valuation from 7 billions in 1906 to 8 billions in 1907; assuming that the average proportion of valuation to actual value is forty per cent, you have your two billions and a half.
The first comment on this statement, which is selected as typical of the broad claims which float through the Southern press, is that the figures furnished the World Almanac for 1908 by the state authorities show that the Southern valuations in 1906 were 7,813 millions, and in 1907, 8,474 millions; so that the increase of assessments is 650 millions instead of 1,000 millions. In the second place, the estimated true value by the Statistical Abstract in 1904 was about 20 billions for the whole South; and on a basis of comparison of the valuations of 1904 and 1907, the increase in the whole three years would be at best only two and a half billions. In the next place, two and a half billions a year means that every man, woman, and child, black and white, is on the average laying up a hundred dollars, which is an amazing rate of saving.
Having thus proven that the material progress of the South is exaggerated, the next logical step is to show that perhaps it has foundation, inasmuch as the equivalent 28,000,000 people in the Northwest in 1905 are gaining wealth still more rapidly, having increased their estimated “true value” from 44 billions in 1904 to at least 50 billions in 1907. The South, which supposes itself to be getting rich faster than any other part of the globe, has in the last few years actually added less to its wealth than a similar Northwest agricultural region. In the year 1906-7, while the South added 650 millions to its tax duplicate, the North added 850 millions. If, as may be the case, the 650 millions of valuation meant 1,700 millions of new wealth, the Northwest was adding at least 2,300 millions.
In all this array of figures there is no criticism of the South, no denial that it is more prosperous than it has ever been before; no desire to minimize its splendid achievements which are helping on the solution of the race problem; but it is essential that the Southern people should measure themselves squarely with their neighbors. The single state of New York, with less than a fifth the population of the South, has as much property as the whole South (leaving out Missouri), and adds every year to its wealth as much as is added by the whole South (leaving out Texas). The South is really at about the same place where the Northwest was thirty years ago; it is developing its latent resources; building its cities; perfecting its communications; starting new industries; and in much less than thirty years it will come to the point that the Northwest has now reached; but that section is still driving ahead more rapidly, and thirty years hence may be proportionately richer than it is to-day. If the South is saving four millions a day, the Northwest is saving five millions; and the Middle and New England states, the other third of the country, are saving eight or ten millions a day. If the South is to range up alongside the Northwest, to say nothing of the Northeast, it must increase its production still faster, and the only way to accomplish that purpose is by improving the average industry, thrift, and output of its people.
III. Comparative Efficiency of White Populations North and South
Some Southern statisticians, while admitting these indubitable figures, contend that the South is improving at a much more rapid rate, and hence must in no long time overtake the North; but it must be remembered that in most of these fields of comparison the North not only shows from two to two and a half times the output, but that its annual or decennial increase is absolutely larger than in the South; that is, that the annual amount which the South must add to its present output, in order to catch up with the North, is larger than it was a year ago, or at any previous time. A conventional explanation of this state of things is that the Negroes constitute a large part of the Southern working force, and are much below the average of Americans in their productive output; but when comparisons are made between similar aggregations of white population, results are not very different. If the whole South (including the District of Columbia) be compared, not with a block of about 28,000,000 Northern people, but with a block of about 18,000,000 white people corresponding to the 17,900,000 Whites in the South (both figures for 1900), the results are still startling; although the South has all the advantage of the labor and production of 8,000,000 Negroes besides the Whites. The debts of the Southern communities in 1902 were 374 million dollars; of the Northern, 301 millions. The total taxes raised in 1902 were: South, 116 millions; North, 202 millions. The estimated Southern wealth in 1900 was 16.7 billions; in 1904, 19.8 billions, an increase of 3.1 billions; in the North the corresponding figures are 25.8 billions and 31.4 billions, an increase of 5.6 billions. The Southern assessed valuation of 1907 was 8.5 billions, of the Northern group 10.7 billions.
What makes these differences? It certainly is not because the South is deficient in natural resources, in fertility, in climate, in access to the world’s markets, in the enterprise of its business men. What is the reason for this discrepancy between the resources and the output of the South? Some of the Southern observers insist that the North is made rich through its manufactures. In order to eliminate that condition the comparisons in this chapter are all with Western and Northwestern states (Vermont being included simply to equalize the numbers); some of these states, as the Dakotas and Oregon, are very similar in their conditions to the purely agricultural and timber states of the South; in other states, such as Indiana and Wisconsin, there are large manufactures, which, however, are no more significant in proportion than those of Maryland and Missouri. The Northwestern states have more manufactures than the Southern, but they have more of everything, which indicates industry and prosperity. The obvious reason is that laborers in the South, both white and colored, are inferior in average productive power to Northern laborers; and the obvious remedy is to use every effort to bring up the intelligence, and the value to the community of every element of the population.