PRESIDENTIAL ADDRESS. 243 



without apprehension. A universal unrest pervades the world. This had indeed 

 already become apparent before 1914. The war has exacerbated the symptoms 

 which were already sufficiently menacing. Remedies by legislation had been 

 applied here and elsewhere without success. In the nineteenth century the 

 political emancipation of the inhabitants of this country was gradually effected. 

 By the end of it freedom had been practically won. The great changes which 

 occurred in the political condition of the country as it was before 1832 and as it 

 became by the end of the century had been brought about with relatively little 

 trouble. It is not surprising that this should have led to the conclusion that 

 economic changes could be effected with equal ease. Perhaps the confusion which 

 we continually observe between a ' law ' impose<:l by the will of a legislature and 

 a ' law of Nature,' so caUed, is responsible for this confusion. Parliament, we are 

 told, can do anything except ' make it rain or hold up.' It may perhaps even 

 effect this by enacting that under certain circumstances it shall be ' deemed ' 

 to rain or hold up, as the case may be. But the most ardent believer in the 

 power of legislation to bring about important changes will not be prepared to 

 deny that, whatever the legislators may say, he who goes out in the rain will get 

 wet. 



Having gained political freedom comparatively easily people seem to have 

 thought economic freedom would be got with equal facility. We have had 

 numerous instances of this on which it is unnecessary to dwell. Concessions have 

 been made by whicTi, apparently, life was made much easier for certain people. 

 But the fund out of which these concessions were to come has not been increased. 

 Many of them, though not so intended, had the effect of positively lessening that 

 total. In a perfect world it ought not to have had this effect, but, human nature 

 being as it is, it was easy to foresee the result. It could have been foretold that 

 a minimum wage established by law would sooner or later reduce the output of 

 the man paid by piece. It had that effect on the coal miners at a vei-y early 

 date after its enactment. 



The demand for higher wages without corresponding increased output was 

 causing anxiety before the outbreak of war. The inordinate expenditure which 

 the war brought with it seemed to justify the contention of the workmen that 

 the claims they had put forward would easily have been met in the past and 

 must be conceded when things became normal again. It was forgotten that 

 all thought of economic production had ceased. We were living, not on the 

 earnings of the year, but on credit raised on our expectations of the future. 

 In the past this course was also pursued, but (as has already been pointed out) 

 in very different circumstances, for the capital thua created was calculated to 

 yield an adequate return to the persons interested. 



It is to be feared that the limitations imposed are not appreciated by those 

 who will be most affected. The Legislature reduces hours from eight to seven in 

 the coal mines. The miner claims that his earnings shall not suffer. Circum- 

 stances make it difficult for him to get as much coal in seven hours as in eight 

 even if he were willing. It is hard to see how we can escape the conclusion that 

 the coal will cost more. The coal owner alleges that he is unable to pay the 

 higher cost except by obtaining a higher price. 



None of the remedies proposed touches the difficulty. We must obtain a 

 larger product if we are to have more to divide. Restrictions in output, whether 

 produced by the act of the Legislature, the will of the worker or (let us add) 

 the hindrance of a tariff, will fail to effect this. None of the short cuts now 

 proposed will lead us to our goal. Can w'e convince those most deeply interested 

 of the truth of this? The task is not an easy one, for promises without end 

 are made tp accomplish what is desired without pursuing the patient and laborious 

 course which alone can lead to a happy solution. For my part I rely on the 

 common sense of my fellow countrymen. The speedy abolition of all" artificial 

 prices by which we shall get to know the real cost of what we buy will be a 

 great help. We may hope that on this will follow an earnest desire "on the part 

 of all to do their best for the commonweal — convinced that on this intelligent 

 altruism we are best serving our own ends. A better division of industrv would 

 ensue. The net result would be a happy and contented nation, in which the 

 efforts of each would be more guided by the common welfare than by the selfish 

 desire for the advantage of the" individual. 



