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with an eye single to turning out a serviceable product； instead
of； as usual； being managed with an eye single to private gain in
terms of price。
To the spokesmen of 〃business as usual〃 this rating of
current production under the pressure of war needs may seem
extravagantly low； whereas； to the experts in industrial
engineering； who are in the habit of arguing in terms of material
cost and mechanical output； it will seem extravagantly high。
Publicly； and concessively； this latter class will speak of a 25
percent efficiency； in private and confidentially they appear
disposed to say that the rating should be nearer to 10 percent
than 25。 To avoid any appearance of an ungenerous bias； then；
present actual production in these essential industries may be
placed at something approaching 50 percent of what should be
their normal productive capacity in the absence of a businesslike
control looking to 〃reasonable profits。〃 It is necessary at this
point to call to mind that the state of the industrial arts under
the new order is highly productive； beyond example。
This state of the case； that production in the essential
industries presumably does not exceed 50 percent of the normal
productive capacity； even when driven under the jealous eye of
public officers vested with power to act； is presumably due in
great part to the fact that these officers； too； are capable
business men； that their past training and present bent is such
as has been given them by long； exacting and successful
experience in the businesslike management of industry； that their
horizon and perspective in all that concerns industry are limited
by the frame of mind that is native to the countinghouse。 They；
too； have learned how to think of industry and its administration
in terms of profit on investment； and； indeed； in no other terms；
that being as near as their daily work has allowed them to take
stock of the ways and means of industry。 So that they are still
guided； in some considerable part； by considerations of what is
decent； equitable and prudent in the sight of conservative
business men； and this bias necessarily goes with them in their
dealings with those ubiquitous； intricate and systematic
dislocations of the industrial system which have been found
profitable in the management of industry on a footing of
competitive sabotage。 They still find it reasonable to avoid any
derangement of those vested interests that live on this margin of
intangible assets that represents capitalised withdrawal of
efficiency。
In so characterising the situation there is； of course； no
inclination to impute blame to these businesslike officials who
are patriotically giving their best abilities and endeavors to
this work of enforcing an increased production in the essential
industries and diverting needed labor and materials from the
channels of waste； nor is it intended to cast aspersions on the
good faith or the honorable motives of those grave captains of
industry whom the officials find it so difficult to divert from
the business man's straight and narrow path of charging what the
traffic will bear。 〃They are all honorable men；〃 But like other
men they are creatures of habit； and their habit of mind is the
outcome of experience in that class of large； responsible and
remunerative business affairs that lie somewhat remote from the
domain of technology； from that field where the mechanistic logic
of the industrial arts has something to say。 It is only that the
situation as here spoken of rests on settled usage； and that the
usage is such as the businesslike frame of mind is suited to； at
the same time that this businesslike usage； of fixed charges；
vested interests and reasonable profits； does not fully comport
with the free swing of the industrial arts as they run under the
new order of technology。 Nor is there much chance of getting away
from this situation of 〃incapacity by advisement；〃 even under
pressure of patriotic devotion； fear； shame and need； inasmuch as
the effectual public opinion has learned the same bias and will
scarcely entrust the conduct of its serious interests to any
other than business men and business methods。
To return to the argument。 It may be conceded that production
in the essential industries； under pressure of the war needs；
rises to something like a 50 percent efficiency。 At the same time
it is presumably well within the mark to say that this current
output in these essential industries will amount to something
like twice their ordinary output in time of peace and business as
usual； One…half of 50 percent is 25 percent； and so one comes in
sight of the provisional conclusion that under ordinary
conditions of businesslike management the habitual net production
is fairly to be rated at something like one…fourth of the
industrial community's productive capacity； presumably under that
figure rather than over。
In the absence of all reflection this crude estimate may seem
recklessly hasty； perhaps it may even be thought scandalously
unflattering to our substantial citizens who have the keeping of
the community's material welfare； but a degree of observation and
reflection will quickly ease any feeling of annoyance on that
score。 So； e。g。； if the account as presented above does not
appear to foot up to as much as the conclusion would seem to
require； further account may be taken of that side…line of
business enterprise that spends work and materials in an effort
to increase the work to be done； and to increase the cost per
unit of the increased work； all for the benefit of the earnings
of the concern for whose profit it is arranged。 It may be called
to mind that there still are half…a…dozen railway passenger
stations in such a town as Chicago； especially designed to work
at cross purposes and hinder the traffic of competing railway
corporations； that on the basis of this ingeniously contrived
retardation of traffic there has been erected a highly prosperous
monopoly in the transfer of baggage and passengers； employing a
large equipment and labor force and costing the traveling public
some millions of useless outlay yearly； with nothing better to
show for it than delay； confusion； wear and tear； casualties and
wrangles； twenty…four hours a day； and that this arrangement is；
quite profitably； duplicated throughout the country as often and
on as large a scale as there are towns in which to install it。 So
again； there is an exemplary weekly periodical of the most widely
reputable and most profitable class； with a circulation of more
than two million； which habitually carries some 60 to 80 large
pages of competitive advertising matter； at a time when the most
exacting economy of work and materials is a matter of urgent and
acknowledged public need； with nothing better to show for it than
an increased cost of all the goods advertised； most of which are
superfluities。 This； too； is only a typical case； duplicated by
the thousand； as nearly as the businesslike management of the
other magazines and newspapers can achieve the same result。 These
are familiar instances of business as usual under the new order
of industry。 They are neither extreme nor extraordinary。 Indeed
the whole business community is run through with enterprise of
this kind so thoroughly that this may fairly be said to be the
warp of the fabric。 In effect； of course； it is an enterprise in
subreption； but in point of moral sentiment and conscious motive
it is nothing of the kind。
All these intricate arrangements for doing those things that
we ought not to have done and leaving undone those things that we
ought to have done are by no means maliciously intended。 They are
only the ways and means of diverting a sufficient share of the
annual product to the benefit of the legitimate beneficiaries；
the kept classes。 But this apparatus and procedure for capturing
and dividing this share of the community's annual dividend is
costly one is tempted to say unduly costly。 It foots up to；
perhaps； something like one…half of the work done； and it is
occupied with taking over something like one…half of the output
produced by the remaining one…half of the year's work。 And yet；
as a business proposition it seems sound enough； inasmuch as the
income which it brings to the beneficiaries will presumably foot
up to something like one…half of the country's annual production。
There is nothing gained by finding fault with any of this
businesslike enterprise that is bent on getting something for
nothing； at any cost。 After all； it is safe and sane business；
sound and legitimate； and carried on blamelessly within the rules
of the game； One may also dutifully believe that there is really
no harm done； or at least that it might have been worse。 It is
reassuring to note that at least hitherto the burden of this
overhead charge of 50 percent plus has not broken the back of the
industrial community。 It also serves to bring under a strong
light the fact that the state of the industrial arts as it runs
under the new order is high