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Show ilifillrr CQfKMSISE Text in Full of Recommendations Recommen-dations Made to Legislators. (Continued 1'ro.Tfi Pago Ou mi' ht v-ll nnsil. r wli.-th.'-r Iho higher of income an. J profits tax.-s ';i" " n..-.j tint- ho .-ff.'Otiv.-ly productive ot ,.-.vej,w mil I wii.-.lir-r i nut. on th.- roiitrirv 1- (h-striK-iive 01' busing a.-riviiv Hiui prudu.-iive of vst su.'l m-.I'l'ici. m-.I'l'ici. ih-v Thw.' is ;t point at wnlcll 111 P.:-r i;'n',-s hiyh raws 01' in.onif and pniflls tMX'.'M 'iKM'nuraf eiiei uy, remove tV- inr''Mti'p to -1 i I'-ri r -n-our- iiir.- -M r;i vaia iic.' an- produce iiiflu-'t rial Miik'ii.'iiion, wit 1 1 r(.(is.-iifiit unciiipluy-i)-oL anrl uther a t i'JiKlanl evils. Explains Surplus as Trade Balance. The prohl-'in :s not an -;.sy oi:- A I'un-daiiintal I'un-daiiintal !i;uu;-- has taken place with r'-fcri'iu'i- to the position of America in the world" aii'ahs. The pn-jiidi',: and passions fsmcndt-n-.l by decadc-i of con-trovers con-trovers brlu'ccn two schools of political and ei-rmoniic t hmih t I he one believes In prote. ti.ni of American ir.dnstrics, the other l.ehe.vers in tariff for recmic only -must ho subordinated to the single consideration con-sideration of the public, interest ill the I'Kht of utterlv ehaiiK'd conditions. Jti- , ,rr. t ;,f w ar A menca v as heavily t he debtor of flic rest of I he world, anil the inWivsL payments she had to make io I ni-ci-n coi; nines on American securities held abroad, the ex pmd i t ures -of Anierl-can Anierl-can travelers abroad ami Die ocean freight chaises she had lo pay lo others, about balanced the value, of her pre-war favorable favor-able balance, of trade. IuriiiK the war America's exports have hofn Hi-fi 1 1 ly stimulated, and increased prices have increased their value. On the other hand, she has purchased a large proport ion of the Ainoricaoi securities previously held abroad, has loaned sonif ('(in, On. 1,01111 to foreign uovernnn-nts. and has built her own ships. Our favorable balance of trade has thus ben groatly increascrl and I-'urope has been deprived of the means of-meeting it heretofore, existing. ex-isting. lOurope ran have, only three ways of jriceling tho favorable balame of trade in. peace times: Hy imports into this country of gold or of goods, or by establishing estab-lishing new credits. ICurope is in no position posi-tion at the present t hue to ship gold to lis. nor could we. ront em plate large further fur-ther shipments of gold into this coimtry withou t concern. The t hue has nearly passed for international governmental loans, and it will take, time to develop in this country a market fur foreign securities. se-curities. Anything, therefore, which would lend to prevent foreign countries from settling for our exports by shipments of goods into (his. country could only have the effect of preventing them from paying lor our exports, and therefore of preventing prevent-ing (ho exports from being made. The productivity of the country," greatly slim-ulaWd slim-ulaWd hy the war. must find an outlet by exports lo foreign countries, and any measures ta ken to prevent imports will inevitably curtail exports, force curtail- 1 incut of production, load the banking ma- : chinery of the .-..untry with credits to! carry unsold products and produce Indus- i trial stagnation and unemployment. ' we want to sci!, we must be prepared to buy. Whatever, therefore, may have been our vievs during t he period of growt h of American business concerning tariff legislation, we must now adjust our own economic life to a changed condition growing grow-ing out of the fact that American business is full-grown, and that America is the greatest capitalist in the world. Holds America Can Be No Longer Isolated. So policy of isolation will satisfy the growing needs and opportunities of Arnerica The provincial standards and policies of the past, which have held American business as if in a straitjackot, must yield and give wav to the needs and exigencies of the new day in which we live, a day full of hope and promise for American business, if we will but take advantage of the opportunities that are ours for the asking. The recent war has ended our isolation and thrown upon us a great duty and responsibf lit v. The United Slates must share the expanding world market. The United States desires for itself only equal opportunity with tiie other nations of the world, and that through the process of friendly co-operation and fair competition the" legitimate Interests of the nations concerned may be successfully and equitably adjusted. There arc other matters of importance upon which I urged action at the last session of congress which are still pressing press-ing lor solution. I a in sure it is not neeessarv for me again to lemmd you that there is one immediate and very practicable question resulting from the war which we should meet in (he most liberal spirit. It is a matte;- of recognition and relief to our soldiers. I can do no better than to quote from my last message urging this very act ion : "We must see to i( that our returning soldiers are assisted in every practicable way to tind the places for which thev are fitted in the daily work of the country. coun-try. This can be done by developing and maintaining upon an adequate scale the admirable organization crated by tiie department of labor lor placing men peeking work; and it can also be done, in at least one very great field, hy creating cre-ating new opportunities for individual enterprise. en-terprise. The seeretarv of th interior has pointed out the way by which returning re-turning soldiers may tie helped to find and t.iky up land in the hitherto unde-vef"ped unde-vef"ped regions ,-f the country which the federal government has already prepared "i- can rcaullv prepare for cultivation and aNo on many of tiie cut-over or neglected neglect-ed areas which Ji within the limits of the older stat es ; and I once more take the liberty of recommending very urgently ur-gently that, his plans shall receive the immediate and substantial support of the congress." In the matter of lariff legislation. T beg to call your attention to the statements contained in my last message urging legislation leg-islation with reference to the establishment establish-ment of the chemical and dyestuifs industry in-dustry in America: "Among the industries to which special consideration should be given is that of the manufacture of dyestuffs and related chemicals. Our complete dependence upon German supplies before the war made the interruption of trade a cause of exceptional excep-tional economic disturbance. The close relation between the manufacture of dye-stufts, dye-stufts, on the one baud, and of explosives ex-plosives and poisonous gases, on the other, moreover, has given the indust ry an excepr a.nal significance and value. "Altnough the Tnited States' will gladly and unhesitatingly join in the program of international disarmament, it will, nevertheless, never-theless, he a policy of obvious prudence to make certain of the successful maintenance main-tenance of many strolls' and well-equipped well-equipped chemical pla nts. The Germn n chemical industry, with which we will be brought into competition, was. and may well be again, a thoroughly knit monojf-olv, monojf-olv, capable of exercising a compel it ion of a. peculiarly insidious and dangerous kind." Sees Necessity of Increased Production. On ring t he war the farmer performed a vital and willing service to the nation. Hy materially increasing the product Ion of his land, he supplied America and the allies with the increased amounts of food necessary to Keep their immense armies in the field. He indispensably helped to win the war. Hut there is now scarcely less need of increasing the production in food and the necessaries of life. I ask the congress to consider means of encouraging en-couraging effort along these lines. The Importance of doing every thine: possible) to promote production along economical lines, to improve marketing, and to make rural life more attractive and healthful is obvious. I would urge approval of the plans already proposed to the congress hy the secretary of agriculture to secure the essent ial facts required for the proper study of this question, through the proposed enlarged programs for farm management studies a nd crop estimates. T would urge, also, the continuance of federal participation in the building of good roads, under the terms of existing law and under the direction of present agencies; the needs of further action on t he part of the states and the federal government to preserve and develop our forest resources, especially through the practice of better forestry methods on private holdings and the extension of the puhlicly-owned forests; better support sup-port for country schools and the more definite direction of their courses of study along lines related to rural problems; prob-lems; and fuller provision for sanitation in rural d;stricts and the building up of needed hospital and medical facilities in these localities. Perhaps the wav might be cleared for many of these desirable reforms hy a fresh, comprehensive survey sur-vey made of rural conditions by a conference con-ference composed of representatives of the farmers and the agricultural agencies responsible for leadership. Analyzes Causes Now Productive of Unrest. I would call your attention to the widespread wide-spread condition of political restlessness in our body politic. The causes of this unrest, while various and complicated, are superficial rather than deepseated. Hroadly, they arise from or are connected with tiie failure on the part of our government gov-ernment to arrive speedily at a just and permanent peace, per1"! t ting return to normal conditions: from the transfusion of radical theories from seething European centers pending such delay; from heartless heart-less profiteering, resulting in Ihe increase of cost of living, and, lastly, from the machinations of passionate and malevolent malevo-lent agitators. With the return to normal nor-mal conditions this unrest will rapidly disappear. In the meantime it does much evil. U seems to me that in dealing with this situation congress should not be impatient im-patient of drastic, but should seek rather to remove the causes. It should endeavor to bring our country back speedily to a peace basis, with ameliorated living conditions con-ditions under the minimum of restrictions upon personal liherty that is consistent with our reconstruction problems. And it should arm the federal government with power to ileal in its criminal courts with' those persons who by violent methods would abrogate our time-tested institutions. institu-tions. With the free expression of opinion opin-ion and with the advocacy of orderly political po-litical change, however fundamental, "there must be no interference, but toward passion pas-sion and malevolence tending to incite crime and insurrection under guise of political evolution there should be no leniency. Legislation to this end has been recommended by the attorney general and should be enacted. n this direct connection T would call your attention to my recommendations on August S, pointing point-ing out legislative measures which would be effective in controlling and bringing down the present cost of living, which contributes so largely to this unrest. On only one of these recommendations has i the congress acted. If the government's campaign is to be effective, it is neces- j sary thi.it the other steps iniggesied should bo acted upon at once. jlouW Extend Scope . of Food Control Act. I renew and strongly urge the necessity of the extension oi" thn present food control con-trol act as to the period of time in which it shall remain in " opt- rat ion. The attorney attor-ney general has submitted a bill providing for an extension or" this act for a period of six months. As it now stands, it is limited in operation to the period of the war and he' omes inoperative upon t formal proclamation of p--ace. It is imperative im-perative that it should be extended at once. The department of justice has built up pxtensive machinery for tiie purpose or enforcing its provisions; all of which must be abandoned upon the conclusion of peace unless the provisions of this act are extended. ex-tended. iJuriug this period the congress will have an opportunity to make similar per-ma per-ma nent provisions and regulations with regard to all goods destined for interstate commerce and to exclude them from in-terstate in-terstate shipment if the requirements o. tiie law are not complied with. Some such regulation is imperatively necessary. Tiie abuses that have grown up in the manipulation of prices bv the withholding withhold-ing of foodstuffs and oilier necessaries of life cannot othervi.se be effectively prevented. pre-vented. There '-an be no doubt of either tiie necessity or the legitimacy of such measures. As J pointed out in my last message, pu hi icily can accomplish a grea t deal in this campaign. The aims of the government govern-ment must be crearly brought to the attention at-tention of tile consuming public, civic organizations or-ganizations and state officials, who are In a position to lend their assistance to our efforts. You have made available funds with which to carry on this campaign, cam-paign, but there is no provision in the law authorizing their expenditure for the purpose pur-pose of making the public fully informed about thf efforts of tiie government. Specific Spe-cific recommendn tion has been made hy the attorney general in this regard. I would strongly urge upon you Us immediate imme-diate adoption, as it constitutes one of the preliminary steps to this campaign. Points to New Jersey's Cold Storage Legislation. I also renew my recommendation that the congress pass a law regulating cold storage, as it is regulated, for example, by the laws of the state of New Jersey, which limit the time during which goods may he kept in storage, prescribe the methods of disposing of them if kept beyond be-yond the permitted period and require ihat goods released from storage shall in all cases hear the date of their receipt. t would mat eriaily add to tht servicea -bility of the law, for the purpose we now have in view, if it were also prescribed that all goods released from storage for interstate shipment should have plainly marked upon each package the selling or market price at wh ich they went into storage. Hy this means t he purchaser would always lie able to learn what profits stood between him and the producer or the wholesale dealer. I would also renew my recommendation that all goods destined for interstate commerce com-merce he plainly marked with the price at which they left the hands of the producer. pro-ducer. We should formulate a law requiring a federal license of all corporations engaged en-gaged in interstate commerce and embodying embody-ing in the license, or in the conditions tinder which it is to be issued, specific regulations designed to secure competitive selling and prevent unconscionable profits in the method of marketing. Such a law would afford a welcome opportunity to effect ef-fect other much needed reforms in the business of interstate shipment and in the methods of corporations which are engaged en-gaged in it: but. for the moment, T confine con-fine rnv recommendations to the object immediatelv in hand, which is to lower the cost of living. Says Labor's Conditions Must Be Improved. No one who has observed the march of events in the last year can fail to note the absolute need of a definite program 'o bring about an improvement in the conditions con-ditions of labor. There can be no settled conditions leading to i ncreased production produc-tion and a reduction in the cost of living if labor and capital are to be antagonists instead of partners. Sound thinking and an honest desire to serve t he interests of the whole nation, as distinguished from the interests of a class, must be applied to the solution of tills great and pressing press-ing problem. The failure of other nations to consider this matter in a vigorous way has produced bitterness and jealousies and antagonism, the food of radicalism. The only way lo keep men from agitating against grievances Is io remove the grievances. griev-ances. An unwillingness even to discuss these matters produces only dissatisfaction dissatisfac-tion and gives comfort to the extreme elements in our country which endeavor to stir up disturbances in order to provoke pro-voke governments to embark upon a course of retaliation and repression. The seed of revolution is repression. The remedy rem-edy for these things must not be negative nega-tive in character, ft must be constructive. construc-tive. It must comprehend the general interest. in-terest. The real antidote for the unrest which manifests itself Is not suppression but a deep consideration of the wrongs that beset our national life and the application appli-cation of a remedy. Holds Democratization of Industry Is Essential. Congress has already shown its wil-: lingness to deal with these industrial wrongs by establishing the eight-hour day as the standard in every field of labor, i It has .-ought to find a way to prevent! child labor. It has served the whole i country by leading the way in developing the means of preserving arid safeguarding lives and health in dangerous industries. It must now help in the difficult task of finding a method that will bring about a genuine democratization of industry based upon the full recognition of' the right of those who work, in whatever rank, to participate in some organic wav in everv decision which directly affects their welfare. It is with this purpose in mind that I called a conference to meet in Washington on December 1, to consider con-sider these problems in all their broad aspects, with the idea of bringing about a better understanding between these two interests. The great unrest throughout the world out of which has emerged a demand for an Immediate consideration of the dif fb culties between capital and labor, hjd us put our own house in order. Franklv there can be no permanent and lasting settlements between capital and labor which do not recognize the fundamental concepts for which labor has been struggling strug-gling through the years. The whole world gave its recognition and endorsement to these fundamental purposes In the league of nations. The statesmen gatheredat Versailles reeogn'zed the fact that world stability could not be had bv reverting to industrial standards and' conditions against which the average workman of the world had revolted. Jt is. therefore the task of the statesmen of this new day of change and readjustment to recognize re-cognize world conditions and to seek to bring about through legislation conditions that will mean the ending of age-long -antagonisms between capital and labor anil that will hopefully lead to the building build-ing up of a1 comradeship which will result not only in great contentment among the mass of workmen, but also bring about a greater production and a greater prosperity pros-perity to business itsolf. Admits the Justice of Complaints by Labor. To analyze the particulars in the demands de-mands ot labor is to admit the justice of their complaint in many matters that lie at their basis. The workman demands an adequate wage, sufficient to permit him to live in comfort, unhampered by the fear of poverty and want in his olil age. He demands the right to live and the right to work amidst sanitary surroundings, sur-roundings, both in home and in workshop, work-shop, surroundings that develop and do not retard his own health and well being1 and the right to provide for his children's wants in the matter of health 'and education, edu-cation, hi other words, it is his desire to make the conditions of his life and the lives of those de-ir to him tolerable and e;;sy lo bear. - The establishment y.f the principles regarding re-garding labor laid difwn in the covenant r of the league of nations offers us the way to industrial peace and conciliation. No other road lies open to us. Not to pursue this one is longer to invite enmities, en-mities, bitterness and antagonisms which in the end only . lead to industrial and social disaster. The unwilling workman is not a profitable servant. An employee em-ployee whose Industrial life is hedged , about by hard and unjust conditions, which he did not create and over wdiich he has no control, lacks that fine spirit ! of enthusiasm and volunteer effort which are the necessary ingredients of a great producing entity. Let us be frank about this solemn matter. The evidences of world-wide unrest which manifest themselves them-selves in violence throughout the world bid us pause and consider the means to be found to stop the spread of this contagious con-tagious thing before ft saps the very vitality of the nation itself. Do we gain strength by withholding the remedy? Is not the business of statesmen to treat these manifestations of unrest which meet us on every hand as evidences of an economic disorder and to apply constructive con-structive remedies wherever necessary, being sure that in the application of the remedy we touch not the vital tissues of our industrial and economic life? There can be no recession of the tide of unrest un-rest until constructive instrumentalities are set up to stem that tide. Stands for Right of Collective Bargaining. Governments must recognize the right of men collectively to bargain for humane hu-mane objects that have at their base the mutual protection and welfare of those engaged in all industries. Labor must not be longer treated as a commodity. II must be regarded as the activity of human beings possessed of deep yearnings yearn-ings and desires. The business man gives his best thought to the repair and replenishment re-plenishment of his machinery, so that its usefulness will not be impaired and its power to produce may always be at its height and kept in full vigor and motion. mo-tion. No less regard ought to be paid to the human machine, which after all propels the machinery' of the world and is the great dynamic force that lies back of all industry and progress. Return to the old standards of wage and industry In employment is unthinkable. The terrible ter-rible tragedy of war which has just ended and which has brought the world to the verge of chaos and disaster would be in vain if there should ensue a return to the conditions of the past. Europe itself, whence has come the unrest which now holds the world at bay. is an example of standpatisrn In these vital human matters mat-ters which America might well accept as an example, not to be followed, but studiously stu-diously to be avoided. Kurope made labor la-bor tiie differential, and the price of it ail is enmity and antagonist and prostrated pros-trated industry. The right bf labor to live in peace and comfort nust be recognized rec-ognized by governments, zfad America should be the first to lay th foundation stones upon which industrialLeace shall be built. ( Holds Capital Shoul Have Reasonable Profit. Labor not only is entitled tj an adequate ade-quate wage, but capital should receive a reasonable return upon its ivestment and is entitled to protection athe hands of the governrnent in every emergency. No government worthy of the hame can "play these elements against e.ifh other." ' for there is a mutuality of interest between be-tween them which the government must seek to express and to safeguard at all 1 cost. I ; The right of individuals to strike is Inviolate In-violate and ought not to tp Interfered with by any process of the poternmnt. but there 1b a predominant right and ihat is the right of the government to protect all of its people and to assert its power and majestv against the challenge of any class. The government, whei it asserts i that right, seeks not to antagonize a chss, hut slmplv to defend the rtht of the whole people as against the Hrrenartble harm and Injury that might be done by the attempt by any class t usurp a power that only government "iself has a right to exercise as a protectlci to all. In the matter of internation 1 disputes which have led to war. sta tejtnen hive sought to set up as a remedy Irbltra'ion for war. Does this not point tflo way for ' a settlement of industrial dilutes, by the establishment of a tribuna fair and just alike to all, which will settle in- I dustrial disputes which in the past hive I led to war and disaster? Amrica, witnessing wit-nessing the evil consequences which hwe followed out of such disputes between the contending forces, must ibt adult itself impotent to deal with thei matters by means of peaceful processes Surely, there must be some method o bringing together in a council of peace nd amity these two great interests, out of which will come a happier day of poap and cooperation, co-operation, a day that will makd for more comfort and happiness in livijg anri a more tolerable condition amonglall classes class-es of men. Certainly human ittelllgenee can devise some acceptable n punal for adjusting the differences between capital : and labor. f Reforms Should Cote Through Orderly Prijtesses. . This is the hour of test ant trial foivi America. By her prowess am ' strenjfth'f and the indomitable courage if her r(, ht diers, she demonstrated her po'er to Wn el dicate on foreign fields her co veptlon 'aia: ! 'J ! llhertynd justice. Let not hi-nflu-ence tfi mediator between cap and labor weakened and her owriiure to set matters of purely doniecon-cern doniecon-cern iproelaimed to the world.'here are tie in this country who vaten direct' tion to force their will on a major. Russia torlay, with it.lood and tor, is a painful object lin of the per of minorities. It makuttle dtffere what minority it is; ther rapitor labor, or any other cb no sort prlyileee will ever be pitted to donate this country. We are.art-nersl are.art-nersl or nothing that is wortlhllo We i a domocracy, where the r,lrity are t masters, or all the hopes apur. posef the men who founded tlov-ernnt tlov-ernnt have been defeated and irot-ten.i irot-ten.i America there Is but one v bv whkrreat reforms can be aeconshed and; relief souRht by classes o;ned and t Is through the orderlv pisses of resentatlve government. Th(wt,o woupropose any other method re forr re enemies of this eountrv.ner lea II not be daunted by threi nol. loser composure or calmness ihese dislsine times. We can afford tho micof this day of passion and ,.Pst to self-contained and sure. ', jn ' strent of all reform in America the stmt road of justke to all clas:nnd cotlons of men. Men have but f0l loviis road to realize the full tion I of 'ir objects and purposes. I.ehn be-e who would take the shortvo Vd I of order and revolution. The rii-'n Ti I is - road of justice and orderlv i..?' |