Finally, in reply to questions asked on the floor of Congress after this same speech, Mr. Berger said: "Any interference by the government with the rights of private property is Socialistic in tendency," that is, that every step in collectivism is a step in Socialism. Yet this demand for the restriction of the rights of private property by a conservative government is the identical principle advocated by progressives who will have nothing to do with Socialism. (See [Part I, Chapter III.])

Mr. Berger and the large minority of Socialist Party members that vote with him in Party Congresses and referendums may be said to represent a combination of trade unionism of the conservative kind, and "State Socialism," together with opportunistic methods more or less in contradiction with the usual tactics of the international movement. These methods and the indiscriminate support of conservative unionism have been repeatedly rejected by the Socialists in this country. But very many Socialists who repudiate all compromise and will have nothing of Australian or British Labor Party tactics in the United States are in entire accord with Mr. Berger on "State Socialist" reform. It is thus a modified form of "State Socialism" and not Laborism that now confronts the organization and creates its greatest problem.

Mr. Charles Edward Russell, for example, says that "we are not striving for ourselves alone, but for our children," that "our aim is not merely for one country, but for all the world," that "we stand here immutably resolved against the whole of capitalism."[165] And Mr. Russell will hear nothing either of compromise or of a Labor Party. But when we come to examine the only question of practical moment, how his ideal is to be applied, we are astounded to read that, "every time a government acquires a railroad, it practices Socialism."[166]

Mr. Russell points out that "almost all the railroads in the world, outside of the United States, are now owned by government," yet in his latest book, "Business," he refers to Prussia, Japan, Mexico [under Diaz], and other countries as having boldly purchased railways and coal mines when they desired them for the common good.[167] Mr. Russell here seems to overlook the fact that the history of Russia, Japan, Mexico, and Prussia has shown that there is an intermediate stage between our status and government "for the Common Good," a stage during which the capitalist class, having gained a more firm control over government than ever, intrusts it (with the opposition of but a few of the largest capitalists) with some of the most important business functions.

Yet Mr. Russell himself admits, by implication, that government by Business "properly informed and broadly enlightened" might continue for a considerable period, and therefore directs his shafts largely against Business Government "as at present conducted," and he realizes fully that the most needed reforms, even when they directly benefit the workingmen, are equally or still more to the benefit of Business:—

"In the first place, if the masses of people become too much impoverished, the national stamina is destroyed, which would be exceedingly bad for Business in case Business should plunge us into war. In the second place, since poverty produces a steady decline in physical and mental capacity, if it goes too far, there is a lack of hands to do the work of Business and a lack of healthy stomachs to consume some of its most important products.

"For these reasons, a Government for Profits, like ours, incurs certain deadly perils, unless it be properly informed and broadly enlightened.

"Something of the truth of this has already been perceived by the astute gentlemen that steer the fortunes of the Standard Oil Company, a concern that in many respects may be considered the foremost present type of Business in Government. One of the rules of the Standard Oil Company is to pay good wages to its employees, and to see that they are comfortable and contented. As a result of this policy the Standard Oil Company is seldom bothered with strikes, and most of its workers have no connection with labor unions, do not listen to muck-rakers and other vile breeders of social discontent, and are quite satisfied with their little round of duties and their secure prospects in life....

"Unless Business recognizes quite fully the wisdom of similar arrangements for its employees, Business Government (as at present conducted) will in the end fall of its own weight."[168] (My italics.)

Surely nobody has given more convincing arguments than Mr. Russell himself why Business Government should go in for government ownership and measures to increase the efficiency of labor. Surely no further reasons should be needed to prove that when a government purchases a railroad to-day, it does not practice Socialism. Yet the reverse is sustained by a growing number of members of the Socialist Party (though not by a growing proportion of the Party), which indicates that the Socialism of Bebel, Liebknecht, Kautsky, Guesde, Lafargue, and the International Socialist Congresses is at present by no means as firmly rooted in this country as it is on the Continent of Europe.

FOOTNOTES:

[144] Journal of Political Economy, October, 1911.