BUSINESS PRINCIPLES IN THE CONDUCT OF 

 INDUSTRIES. 



BY ROBERT H. THURSTON 



[Robert Henry Thurston, director Sibley college and Cornell university since 1885, 

 and university professor of mechanical engineering; born, Providence, R. I., October 

 25, 1839; graduated Brown university, 1859; worked in his father's shops until 1861 ; 

 assistant engineer and engineer in charge of vessels, United States navy, 1861-72; 

 acting assistant professor, natural philosophy, United States Naval academy, Anna- 

 polis, 1865-71 ; professor mechanical engineering Stevens Institute of Technology, 

 1871-85; president American Society Mechanical Engineers, 1880-3; inventor of 

 engine governors, testing machines, etc.; United States commissioner to Vienna 

 exposition, 1873; to Paris, 1889; Author: Friction and Lubrication, Materials of 

 Engineering, 3 volumes; Manual of the Steam Engine, 2 volumes; Materials of Con- 

 struction, Stationary Steam Engines, Friction and Lost Work in Machinery and Mill 

 Work, Manual of the Steam Boiler, Handbook of Engine and Boiler Trials. The last 

 thing from his pen before his death was this paper prepared for Cassier's Magazine.] 



The business principles involved in the conduct of the 

 industries of a country include two distinct codes ; one of these 

 should control the whole system of the nation; the other 

 should guide the conduct of its details as affecting the in- 

 dividuals engaged in its various industries. These two codes 

 are not entirely independent, and are not at all conflicting in 

 their requirements. Both are simple and self evident in their 

 formulas, and both are founded upon obvious and unquestion- 

 able principles. Both have their economic, their moral and 

 their legal aspects, and, combined, they constitute the proper 

 and only proper system of principles which should control all 

 industrial operations. The national code should consist of 

 the following fundamental laws: 



1. The nation should make itself industrially, as well as 

 politically, independent. 



2. The national system of industries should be so ad- 

 justed and administered as to insure the production within 

 its own borders, just as completely as may be practicable, the 

 natural resources permitting, of all the essential industrial 

 products of a civilized community. 



3. Every natural resource should be developed as com- 

 pletely as possible and as efficiently as practicable. 



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