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The Red Flag Aug 30, 1919

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 "en Minutes' Talk With the Workers Capitalism— The Basis of Colonialism
French Politics
HE RED FLAG
A Journal of News and Views Devoted to the Interests of the Wording Class
)L. 1   NO. 31
VANCOUVER, B. C, SATURDAY.  AUGUST 30, 1919
FIVE CENTS
WHO OWNS IRELAND?
(From the "Labor Leader," By Casey.)
Increased scientific production to benefit or bol-
\r up Capitalism leaves me quite cold.
i long as nations are privately owned, the only
titude for the working class is an   attitude   of
Ivolt.,
(Private ownership is responsible for last Sunday's
mdrous harvest of the sea   at   Grimsby   being
[rted away as manure instead of being utilized to
ed the starving continental workers and people
ho need fresh food at home.
[Private enterprise dumps an army of 100,000 men
ito Ireland to overawe a population of 4 3-4 mil-
ln people, who simply    desire   to   be left alone.
mcy up-to-date field kitchens being driven
irough the street by splendidly groomed horses,
pottish regiments marching by with fixed bayonets
impress poor, half-starved folk who have never
fcceived a living wage in their lives; folk who
fwer in mean, wretched cabins, where three sods
.iuxf smoulder in open fireplaces!
J Rotten earthen floors, thatched roofs where the
[ater percolates through on wet days, whilst the
mke fills the death-trap of a living room, making
bildren sore-eyed and old women cough up their
frsides! Thousands of one-roomed, vermin-infested
ens, which the labors of Hercules could not
l^anse! Rows of houses with simply an open
ivity as fireplace, and not a vestige of either oven,
fate or hob! I have seen better houses at Seidis
Sord, in Iceland, than some of the miserable huts
have entered in Ireland.
If 700 years of British rule can produce such rot-
lm results, then it is high time that the people of
reland had a chance to see if they can do better.
Phe population of Mulhausen, even under Hun
lie, doubled in fifty years, but the population of
reland under English rule has decreased by over
|>ur millions.   At this rate of progress, Ireland in
mther fifty years will be simply a pleasure resort
)r a few lords, captains of industry, and fox hunt-
rs, and the original inhabitants will have   been
iped out.   .   .   .
WALL STREET'S S.O.S.
Vanderlip Proposes to Write Off the Allied Debts to Save Capitalism
(By J. T. Walton Newbold, Ulasgow "Forward.")
FOR some time past there has been ominous
plaints arising in the financial organs of
London and New York concerning the ever more
difficult problem of reorganizing the interchange of
commodities and services between tiie united Spates
and Europe. The wonderful prosperity which the
American moneyed interests have been experiencing and anticipating as yet to become more memorable has shown itself as something illusory in character and more than questionable in its advantage.
From "a debtor nation" such as the United States
was in 1914, she has become a creditor or, rather,
her banking houses have become creditors, to the
whole of the Allied natrons. She has become enabled to retain her gold within her borders, to re-
. ,  ' .. ~
THE OLD ORDER AND THS NEW.
TAKE THEM WITH A GRAIN OF SALT!
['When reading newspapers    and    periodicals, it
muld be kept in mind that they thrive by featur-
»K the abnormal.   For the truth of this compare
ie actual normal humdrum workaday life of any
&wn or village, with the abnormalities featured in
he press.    It is because many people have taken
de press reports of the Soviet administration   as
epical of the normal in that administration that
fey are so astounded that it is still   in existance
id capable of resisting and   repelling   the com-
Ined capitalistic armies for two years even when
[eighted down by the previous economic and poli-
[oal breakdown under the Tzarist regime.    That
ie Bolshevist regime, to date,   has   surmounted
accessfully these unexampled obstacles should be
affieient to discount most of the reports in   the
[kept" press as mere capitalist propaganda.
(From the "Dial")
(Jut of the war to end war has come the peace to
end peace. With the passing of time, sorrow for
the failure of the first-named enterprise tends increasingly to Jose itself in elation over a second
failure— over the sheer inability of the peacemakers of Paris to put everywhere into practice
their plan for the partition and the exploitation of
the world. Liberals who support the Treaty and
the Covenant have said that these documents do
not anywhere provide means for the suppression of
internal movements for industrial and social revolution. It does however appear that an alliance
has been perfected between Great Britain, the
United States, France, Japan and lUily. And it
is likewise sufficiently plain that this alliance has
as one of its chief objects the partitioning, among
its members, of the more backward portions of the
earth, now called mandatories. To the calloused
occidental mind there is nothing very terrible about
this scheme of things, familiar already under the
name of colonial exploitation. Indeed it begins
only now to appear that a system evolved for application to backward peoples, is already being applied, in its essence, to forward nations also. It has
always been an international crime for a people to
have great possessions and a dark skin, but only
recently has it been considered equally heinous to
have advanced ideas and to act on them. Conceivably a communist revolution might have occurred
somewhere in Europe in ante-bellum days; but only
in a world remade by the war and ruled by the
League are red Russia and black Rhodesia subjected to the same treatment. A backward country tempts capitalism to new gains, but a forward
country threatens the very existence of the system
that makes such gains possible. Thus the hope of
the world today lies in Russia's resistance to the
new Paris verdict, rather than in India's restlessness under an old sentence, and China's under n
new one.
plenish her supplies by imports from or liens on
Juondon and Paris, to write off her indebtedness to>
these monetary centrep and to establish enormous
claims upon them for future payments for munitions, stores and food stuffs sent "across the vcean
on account.
One-third of the world's gold has made its way
to America, and some £400,000,000 lies in the vaults.
of the 12 Federal Reserve Banks. Europe's desperate need has proved to be America's marvellous
opportunity. By the end of 1915, Britain had virtually ceased to be a creditor of the United States
and was becoming her debtor. From September of
that year until the entrance of the United Statea
into the war, the private financiers of America were
lending billions of money to the Allies to enable
them to purchase war-supplies from American con-
-Uactors. American money-lenders were providing;
the armies of right and liberty with vouchers for
vast war-stores and taking in exchange the IOU's
which; for the time being, were all that Britain and
France could render in payment. This process
went on for another year, when, the situation becoming desperate, a highly-placed British statesman was sent over to the States to acquaint the
American banking fraternity of the imperative
necessity of America doing something more than
merely lend private money. The American moneylenders were given to understand that the Allies"*
resources were almost, at an end and that unless
help came from America, that the war must stop.
That meant not only signal defeat for the cause of
Liberty and Democracy, but British and French
insolvency so far as Wall Street was concerned. Indemnities would need to be paid to Germany and
the American idealists would lost their principal aa
well as witness the defeat of their principles. The
stability of the American financial and industrial
system was at stake.
The American capitalists required to forego for
the time their gigantic plans for the conquest of
the markets of the world deserted by Britain*
France and Germany, and mobilize their money,
material, and man-power to secure the Cause of
Freedom as well as to make safe the billions of dollars which they had lent and which they saw themselves in dire risk of, finally, losing.
The United States entered the war in a frenzy of
patriotic fervor and of emotional ecstacy. The
hireling newspapers and publicity agents of Wall
Street trumpeted the new .lehad and fired their
readers and auditors to unparalleled efforts of increased production and prodigal outlay of money.
The American Government now assumed responsibility for financing the war. It raised enormous
loans to equip armies and fleets as well as to afford unlimited credit to Britain, France and Italy.
By May of 1918, our indebtedness to the United!
States Treasury amounted   to about £750.000.000,
and since that time further huge   sums have been
(Continued On Page Two.)
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TH& RED FLAG
Ten Minutes' Talk With the Workers
(Prom the Glasgow "Socialist." July 17, 1919.)
Economic Crises.
To most people it is a far cry from primitive
savagery to modern civilization. Yet an
examination into the origins of either our social
institutions, our tools and machines for production,
or ways of thinking on many matters will show
that after all we have not much to brag about. It
is now established beyond dispute that the most
delicate instruments we use. as well as our language,
religion, morals, domestic institutions, etc.. have
their roots or beginnings away back in those primitive times, thousands of years ago. There is no
break in the chain. Eveiything whieh you see
around you today represents in a more or less complex way the efforts of the race towards social progress and evolution. To realize this is one of the
most important discoveries of modem times.
Roots of Social Progress.
You can readily understand that were wc to simply live for the moment and take no heed for tomorrow, so far as ensuring our necessary supplies
are concerned, and remembering that wage slavery-
is unable to give us security in our means of life.
we should undoubtedly be reduced to the conditions
of primitive savages.
How this principle or idea of "property." of
using tools instead of relying on bare finger-nails,
in short, of preserving the results of previous efforts to enable us to "carry on" for a time, became established, forms the groundwork of a great
many books and makes a most fascinating subject
for the study of man. or. as scientists call it, the
study of anthropology.
Certainly, with the marvellous machines implements and contrivances of all sorts at our disposal
today there are great possibilities for leisure,
luxury and social comfort. More, in fact than is
enjoyed by you and me at the present time. Into
that, however, we need not go for the moment.
What is worth noting, however, at present, is
the arrogance, audacity and. need we say. impertinence of present-day rulers to claim all these
social achievements as theirs exclusively. Not only
so. but to base their claim to mortgage future
generations of our class, thereby making us helots.
on the grounds- forsooth, that these achievements
are the products of their brains!
Claims of the Pharisees.
It would be only necessary to state these claims
to you for their absurdity to be revealed were it not
that very clever writers—some of them unfortunately belonging to our class—are employed by our
masters to teach sueh false doctrines that unsuspecting and unlettered workers may be confused
or deceived.
Taking advantage of the workers' weakness in
the knowledge of economics, these pharisees and
charlatans ascribe the marvels of modern productive methods to some inherent and magic power of
"Capital." And then having subtly associated the
powers for producing wealth with these things
which are the property of the rich capitalist class,
they, with more stibtility. credit the owners of capital with the powers of their property and in this
way build up an excuse for profit-taking or exploitation.
"Thus the principle of subdivision of labor, i.e..
dividing a certain job into a great many parts and
giving each worker a certain part to do. or some
■workers doing agricultural work while others do
manufacturing work, and so on—a principle as old
a* the human race is held in these davs bv the
literary and oratorical rogues I have just mentioned to be the fruits of capitalist brains applied
to industry.
"Time" a Factor in Economics.
• They talk mysteriously about "time" as a factor
in production.   You. however, have only Jo refect
for a moment on the energy you have spent during
the week or to take a look at the fruits of your industry and then the contents of your envelope on
Saturdays to see by comparison that it would re-,
quire more than "waiting" u> make up the dif-
ference*. it is a very nice theory which first robs
the workers of any control over their own affairs
by making them wage-slaves, then demands a toll
on the grounds that he has to "wait'\before he can
get a job. That indeed is what the "waiting" or
time idea comes to.
The Idea of Faith.
A.-. «tber i t the economic crudities of our aforementioned charlatans is the idea of "faith."    As
you ; -. . , things are produced for profit, i.e., to
i>e sold. The business of our modern capitalists-
and i: is a fine art. is to find customers or buyers.
Bur i?i the nature of things oi the profit-making
system, ;;!! buyers are not just prepared to pay.
When a customer or buyer is found who is not in
a position to pay he gets the commodities on
"•faith" or. as economists say. "credit." The
credi* is extended over a longer or shorter period
a rding either to the bone-fides of the buyer or
■ > the general state of the market. Here in passing
let it be noted ore of the reasons for your newspaper
containing so many bankrupt cases, embezzlement ,
eases and cases of fraud generally. The idea of
faith becomes readily translated into the idea of
fraud. sim*e by deceiving your neighbor appears
the quickest road to net rich, which is the highest
ideal of our materialistie capitalist.
tado»
Basis of Industrial Crises.
Our penny-a-liner charlatans mistake the
for tire substance and think that if onlv n„
.    mere   n
sufficient faith all will be well. He has n„t th
slightest knowledge of the basis of industrial cri !
He falls to see that crises are not produced beca *
of lack of faith, but that there is no faith beten.
the markets are stagnant. Markets become fttao
nant when ever there are more sellers than buye*
a circumstance which periodically occurs. At i v
a period everyone seeks to realize their assets into
hard cash, Accordingly demands are, made all
round for obligations to be fulfilled. These de
mands sometimes overtake banks, who are Unabli
to pay over, with the result that a financial Crisw
ensues. It is to stabilize the banks and ensure con.
fidence that the recent amalgamations have beta
taking place in the financial world.
Indeed such is the basis of combines and trusts
whether of industry or finance. But it is all ia
vain. So long as production is carried on for pro.
fit ihere is bound to periodically result a "glut"or
"crises" ou the markets of the world. The trusts
may seek and in a measure be successful in regulit
ing the supply and demand for given products
They can not avoid the convulsion that accrue,
from time to time, because the markets, both home
and foreign- become congested. Only when production is regulated and ordered upon a basis :'
social wen-being instead of private aggrandisement can we escape the anarchy and jungle conditions of capitalism. T P.
WALL STREET S S. 0. S.
Vanderlip Proposes to Write Off Allied Debts to
Save Capitalism.
C tntinued From Page One.)
borrowed. Fully £1,000.000,000 is now owing to
the United States, and upon that there has to be
paid interest year by year. Not only that- but the
sum has to be repaid. It is not a gift. It is, merely
a loan.
Quite recently the head of the greatest financial
house in America, thc National City Bank of New
York, suggested to a Senate Committee the possible
wisdom of writing off the entire Allied indebtedness to the I*. B. A. as "a bad debt." or. as he inferred, the shouldering by the U. S. Government of
thi,s liability incurred in Freedom's Cause.
This hint has been received bv the world's monev
press witil considerable alarm. It savors too much
of "Bolshevism." Once "repudiation" or cancelling of deb'ts begins there is no knowing where
i* may end.
Mr. Vanderlip's suggestion is startling, coining,
as it does, from the financial agent of the Roek-
feller interests, from the head of the biggest banking company in the whole world. It is comprehensible, however, when one remembers the fact
that the National City Bank is the financial coping-
stone of American industry- and export trade, and
that the Fnited States manufacturers are alarmed
at the prospect of Europe repaying its debt in
manufactures, whilst Fnited States agriculturalists,
mineowners and timber corporations dread its
liquidation in raw materials from British and
French Folonies and Dependencies. America is an
exporting country, and her whole future as a prosperous capitalist nation depends on her ability to
maintain an ever-expanding export trade.
The Banker's Magazine for February, quoted the
Washington correspondent of the Morning Pos* aa
reporting:—
"How this 'interest*) charge is to be met is a
problem now occupying the attention of American business men and bankers. For this amount
to be pnid in cash is practically impossible, because debtor nations can not allow themselves to
be drained of their gold, even if they had it.
which they have not. In lieu of gola the indebtedness must be discharged in commodities: but
that means, on the part of England. France and
Italy.' flooding thc American market with then
manufactured goods, which America will not
tn*f.rat*» ... It sounds paradoxical, but it
is nevertheless true, that too much wealth. asoM
of the .tfiev effects of the war, makes the Fr.i -i
States not only a menace to the rest of the world
but also a danger to herself. That menace, of
course, not in the political or military sense, bn*
financially and economically, is threatening ta
disturb international equilibrium, and at hnm*
is resulting in inflation and continuing to keep
up the high prices."
Now. we read in the Investor's Review (21-649)
that an urgent meeting has been held in the parlor
of .J P. Morgan & Co.. in New York, attended by
all the representative bankers of America, at whid
it was decided to form a syndicate to lend t'500
000.000 to stabilize European industry. Only in
this way could Europe pqssibly continue to mak"
such purchases in tbe IT. S. A., as would maintain
the necessary volume of TT. R. exports Tn other
words, the American capitalists are' compelled M
lend £800.000.000 of commodities to Europe to P"'
vent an immediate falling off of American «*<Pnrt
an immediate slowing down of American indostry,
a paralysation of American production, and " ***
lapse of American Capitalism.
At the end of six or eight months thev will hav*
to find a new palliative or accept the steady i'i:
of Western Europe and of America to &-*
Revolution.
No wonder the Investor's Review comments!-**
"The wisdom of the world bankers is not eqw
we fear, to the solution of the debt-puHo W"
liatives they may invent and apply, m* ^
liatives serve but to increase the destruCtW
virulence of the disease."
Capitalism is in extremis. Tt approaches n-
Universal Fatastrophe. Let Labor concentrate up«l
the necessary work of preparing itself to take <>"<•
control of the means of production and distribute*
and to direct these to the supply of the need* of tW
working community. THE RED FLAG
PAGE THREE
•
[E FINAL ARGUMENT IN THE NEW ORDER.
The case of Syria is one more instance to show
lat we are still far from that new international
rder which gives first place to self-determination,
[either England nor France seems primarilly con-
[rned with what the Syrians think about Syria.
ranee bases her claim on the Sykes-Picot Treaty
1916. But a year earlier there had been a treaty '
rawn between England, France and Russia, for a
sttlement in Asia Minor. England's present claim
jems to be that the collapse of Russian imperialism
[akes both agreements invalid. This point of law
ranee can not admit. But England has a better
ise than that. On her side it is the one argument
»h more than any other wrote the territorial
jrms of the Peace Treaty. It was her troops that
mquered Asia Minor.—"New Republic."
EDUCATIONAL CLASSES.
The season is approaching for educational classes,
f veryone should begin now to read up. The general
fiences and in particular philosophy, history and
olitical economy should be studied by every
icialist. The problems of the preser.t order are
)t so simple as they at first appear, are in fact
nnplex, and baffling when attacked with little
iderstanding. Therefore let us educate ourselves
id the members of our class so that they may move
tisely into the new Older. Can we, throughout the
ominion, co-ordinate our efforts in a standardized
lucational program. A page in the "Red Flag"
iven to questions and answers on points raised in
le classes might be a great help." especially if the
)urse of the studies were-under a regulation com-
lon to all.   Send in your suggestions.
OUR LITERATURE.
[he Communist Manifesto, at the rate of $8 per
100.   Single copies 10 cents.
lanifesto of the Socialist Party of Canada . . $6
per 100.   Single copies 10 cents.
|lave of the Farm . . $6 per 100. Single copies
10 cents.
["lie Present Economic System, by Professor W. A.
Bonger . . $6 per 100.    Single copies 10 cents.
pucialism, Utopian and Scientific . . Single copies
15 cents.   $13 per 100.
"age  Labor and Capital . . $8 per  100.    Single
copies 10 cents.
[Capitalist Production, being the iirst nine chapters
of Vol. I. Marx's Capital . . Single copies, paper
cover, 50 cents;   cloth bound, $1.00.
Ten Days That Shook the World, By John Reed,
1.00.
.olehak, Autocrat and Tyrant, The actual story
of Kolchak and his methods told by an American
official recently returned from Siberia. With
this is included, Anti-Bolsheviks and Mr. .Spargo,
by William Hard. Taken, with apologies, from
the July 9 "New Republic" . . $«"per 100. 10
cents per single copy.
Postage Paid.
Make all Money Orders payable to C. Stephenson,
)1 Pender Street Bast. Vancouver, B. C.
THE following extracts are from an article on
French politics in the August 20, "New Republic." The writer of it is very desirious of a
peaceful way out of the present crisis in French affairs, but seems doubtful after considering various
factors. He points out that the state of mind of the
rank and file of both army and navy are by no
means reassuring to a government which counts
on foree to repress popular movements and gives
many instances of revolts in those forces. And in
addition to this, he shows the economic, financial
and labor situation as continually growing worse.
We also might point out that France probably possesses, in the financial oligarchy which dominates
French bourgeois policies, the most . reactionary
ruling class in the capitalist world. A not very
favorable factor for peaceful progress.
"For some time, Le Matin, the paper with the
second largest circulation in France, has carried on
a violent campaign against Clemenceau, and in
favor of Briand. Important radical papers, such
as L'Oeuvre and Bonsoir, though not Socialist,
have anathematized the government incessantly.
And naturally the Socialists have continually
harassed it.
In the face of such failures and such opposition,
in the face of repeated predictions of an early collapse, in the face of a grave economic and financial
crisis, of high prices and popular unrest, it is surprising the government still endures. Clemenceau "s
position has for four months been very weak, and
it appeared that only his relation to the Peace Conference kept him in office. One has only to see an
important session of the Chamber of Deputies to
realize that the government is actually unpopular.
Then why does he remain now that peace is signed'?
Very likely because the deputies are afraid of endangering their position with the electorate; they
lie low, play politics, wait for the election and in
the meantime dance to the tune of the government
fiddle—all but the ninety or one hundred of the
extreme left.
And who will replace the government when it
goes? Barring a revolution, it will not be these
ninety or one hundred Socialists. They expect their
members to increase to one hundred and fifty or
two hundred in the next election, and in the mean
ly
A TESTIMONY TO BOLSHEVIK STRENGTH.
"TEN DAYS THAT SHOOK THE WORLD.".
(By John Reed.)
John Reed was in Russia during the Bolsheviki
Revolution and this book records his observations.
U is a journalist, thus a trained observer but be-
fdes this he had the advantage of understanding
ie historical nature of the forces at work. Price,
Postage paid.
Subscriptions to the "Red Flag."   $100 for 20
"wnes. *
Meantime, it is interesting to learn from Mr. Wm.
T. Goode, the special correspondent of the Manchester Guardian on the Esthonian front, who has
succeeded in penetrating the Bolshevik lines and
travelling through Pskoff to within 290 miles of
Moscow, that:
The story that the peasants refuse to woiik the
land-is in this sector quite untrue. The crops are
vast, in excellent order, and nearly ripe." . .
"The railways are well-managed and the permanent way and stations are in good order. . .
Tt is a triumph of organization, pointing to able
and constructive administration, both of the railways and the military. The private shops in Os-
trov are largely closed, but there are two stores
of the Soviet, formerly co-operative stores. A
bath costs nothing. The theatre is open and is
packed with townsfolk.
The whole appearance of this countryside is so
different from the fantastic descriptions given in
the west that the shock of disillusion is great. The
general impression I gained is that the governing
administration is a strongly organized communistic system, changing according to force of
circumstances. The weak points are tbe land
question and the unwilling conscripts, but the
ring of enemies only stiffens tbe internal resistance and helps Bolshevism.
"Petrograd will never be taken by the North
Russian Corps, nor Moscow by Kolchak or
Denikin."
time will participate in no ministry not predominantly Socialist.
For the next government the betting is on M.
Briand, who headed a ministry for some time during the war, as well as before it, and again burst
into prominence some months ago with a vigorous speech on electoral reform. Since then he has
hovered in the background, with the chances strong
that he might assume'the reins of government at
any time. He is an astute politician of the Lloyd
George Jype- willing to cater to whatever element
of the Chamber supports him.
But even in the event of a new ministry, no Violent general change of policy is to be expected.
There are circumstances which make a peaceful
change of government seem likely, and tend to
counterbalance a more revolutionary trend. We
must remember that France has come out of the
war victorious, even though the victory be pyrrhic,
eVen though the government's activity has consisted
chiefly in giving anaesthetics—not in curing the
patient,—an activity illustrated by the 14th of
July "Fete de la Victoire," when four million
francs were spent in festooning Paris and impairing the natural beauty of the Champs Elysees by a
double row of ornamental poles draped with flags
and electric lights. So are the people encouraged
to think only of the magnificent triumph of France,
"the state on the frontier of civilization, guarding
the liberty of the world," as the reactionary press
glibly asserts.
Along with this sedulously encouraged intoxication of victory goes the natural reaction which follows war, the psychology of a "patriotism" that
represses liberal thinking, and takes the form of
branding as "pro-German" and "Bolshevist"
every attempt to remove the fetters of a reactionary win-the-war cabinet, or to improve the condition of the workers.
But more important and permanent than these
factors, is France's large peasant population,
patriotic, fundamentally conservative, owning its
own land, prosperous during the war, and prosperous now under the regime of high prices. So
traditionally conservative are they that most of the
troops used to quell popular disturbances in Paris'
are from the farming districts. Yet of these factors which might counteract the revolutionary sit-'
nation, the only tolerably stable one is the contented peasant on the land. For before long the
glamor of victory will wear off, "patriotism" will
fade as the people begin to realize their frightful
economic and financial position, and as the government more and more conclusively manifests its
helplessness before the crisis. Taxes will become
heavier, the cost* of living higher.
The high cost of living—this chief cause of popular revolt, and prime condition of revolution—has
already had ominous results in France. The present
situation is so serious that there have already been
riots in Paris, shops broken into by exasperated
women. This tense situation has only been'aggravated by the strikes for shorter hours and higher
wages, which have given reason to employers for
putting up the prices of their goods. Realizing this
vicious circle of increased pay and increased prices,
the Confereration Generale du Travai] some weeks
ago made a considerable advance in its theories,
and concluded that its aim should be, not simply increased pay and shorter hours, but "tbe total reorganization of the system of production and distribution."
"Total reorganization"—a people's bitter discontent smouldering in France today, may easily
turn "total reorganization" to revolution. The
cities- as in all such cases, are the most restless. The
seaports. Bordeaux, Marseilles, Brest and Toulon,
are hot beds of radicalism. Today it is no longer
a case of "Paris against the rest of France," but
of industrial centres such as Paris, Lyons. Lille.
taking the lead and thc others following.
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PAGE FOUR
THE RED FLAG
THE RED FLAG
A  Journal   of News  and  Views  Devoted  to  the
Working Class.
Published When Circumstances and Finances Permit
By The Socialist Party of Canada,
401 Pender Street East, Vancouver, B. C.
Editor    C. Stephenson
Subscriptions to "Red Flag" ... 20 issues $1.00
SATURDAY AUGUST 30.   1919
S. P. ofC. and Organized
Labor
BECAUSE well-known members of the Socialist
Party of Canada are active in organizing
the 0. B. V., an impression appears to have got
abroad- among those not acquainted with the plat-*5
form of the party, that there is some connection be-
tween the two bodies. This impression is a false
one and we would recommend as a corrective, a
perusal of both the Party platform and the Party
manifesto as statements of its principles and policies.
In this article we will endeavor to give a brief
outline of our Socialist position and also our attitude to the O. B. U. and labor organizations in
genera].
The Socialist Party of Canada is a political organization of Revolutionary Socialism. Its po'iti-
cal functions are the education of the members of
the working class into a knowledge of their class
position in modern capitalist society. They also
advocate the capturing of the Powers of the State.
by the working class, for the purpose of turning
the present capitalist class ownership and control
of the means of production and distribution into
the collective ownership and control of society as
a whole. The Party's educational activities chiefly consist in the circulation of literature, the holding of meetings and of educational classes on history, philosophy, economics, etc., and. wherever
deemed advisable, the contesting of parliamentary
elections, always making it clearly understood that
the latter is done for propaganda purposes and
that only votes for the abolition of capitalism are
sought for.
The Party takes that stand against all reform
parties, because its membership, though recognizing the inescapable necessity of a constant struggle
by the workers against the encroachments of capital, also recognize that that struggle is unending
and without solution so long as the capitalist system exists. They point out that, 'the period of
permanent reform, can only begin when the workers have obtained control of the powers of the
State, up n which the process commences, of transforming the capitalist system of produetion for
profit into a system of production for use.
, As a revolutionary Socialist Party, the Socialist
Party of Canada can have no affiliations with any
non-revolutionary party even though professedly
Socialist or with an organized labor body whose
function is to assist its members to bargain to better advantage Jfor wages and conditions of work.
"We hear much, especially from the United States,
of revolutionary industrial organizations, but this
party holds that an industrial organization can not
lie called revolutionary, because in order to cover
• m
an industry it must take into its ranks individuals
with all kinds of political opinions antagonistic to
the social revolution. It is not that which is in the
•preamble, but that whieh is in the heads of the
membership that counts.
We have the authorative opinion of Karl Marx,
that if the workers failed to resist the encroachments of capital that they would be reduced to a
mass of broken wretches.   Needless to say, a mass
Moral Responsibility.
This doctrine of moral responsibility is one capable of wide extension. Under it Mr. Lloyd George,
Lord Northcliffe and Mr. Bonar Law could not
well complain if they were indicted as responsible
for a conspiracy to prevent the opening of peace
negotiations in the year 1916. with the result that
nearly 500.000 Englishmen were killed or maimed.
cf broken wretches are unlikely material to undertake intelligent action for the building of a new
society. Marx held the above opinion not alone
by cursory observation, but in addition through a
life time of exhaustive enquiry into the mechanism
of the capitalist system. Consequently, oocialists,
as individuals, take their part in the affairs of the
unions. Anxious for the progress of tiie working
class movement as a whole, they have a keen sense
of the reactionary separatist influence on the
workers of the craft form of organization, as well
as its growing in eompatability with the late modern industrialization of large scale production and
the ineffectiveness of a craft union in coping with
the centralized control of the capitalists. That the
Socialists were not the only ones who were dissatisfied was manifested in the instant and favorable reception accorded the proposed formation of
the O. B. U. by the majority of the organized labor
movement in Canada. And that result was a sufficient refutation of the charge that it was a scheme
conceived and foisted onto the workers in Canada
by a few Reds. There has long been great dissatisfaction with the A. F. of L.. and the relative
merits of the craft and the industrial form of organization have been discussed for a generation in
all parts of the world. Before the 0. B. U. was
formed, however- the strike in Winnipeg was
forced on the workers, the Government stepped in
and the triple alliance, the capitalists, the State,
and the A. F. of L., came out into the open to combat the new movement. Circumstances were favorable for the triple alliance, for they had the insurgents exhausted after a long strike, a numbei
of their officials in gaol and more important stil',
an overstocked labor market in their favor. Nevertheless, what the triumvirate have won in the material sense they have more than lost in moral
prestige. Sueh defeats for the workers, are really
victories at this stage of development.
In keeping the Socialist Party of Canada clear of
mere bourgeois reformist polities and of entangling
alliances with other organizations, political or industrial, the members hold that the Party is better
?.b!e to concentrate on a sound scientific educational
programme. But this does not mean that it vievs
without interest the struggles of thc workers on
the industrial field, for even the struggle over
wages has its significance. In Vol. 1. Capital,
p;iere 152, Marx says that "the class struggles of
the ancient world took the form chiefly of a contest between debtors and creditors, which in Rome
ended in the ruin of the Plebian debtors. . . .
Tn the Middle Ages the contest ended with the
ruin of the feudal debtors who lost their political
power together with the economical basis on which
it was established. Nevertheless, the money relation of debtor and creditor that existed at these
two periods reflected only the deeper-lying antagonism between the general economical conditions
of existence of the classes in question."
The class struggle of today takes the form of a
struggle between tbe wage working class and the
capitalist class, but the class struggle is not in the
wage relation, not in the transaction of buying and
selling labor power. Nevertheless, the antagonism
engendered in that transaction may often develop
into such course of action as may call into the open
that hidden but uninterrupted struggle which arises
from the deeper-lying antagonism between the
economical conditions of existence of the property-
less wage working class and the property-owning
capitalist class.
It is difficult to sec how those   accused   could
other than enter a plea of guilty to the charm, !
P'ea ij
consciously prolonging   the war.   Their
"nestly
mitigation of sentence would be that they h
believed that thousands of other   people's   nve.
should be sacrificed in order to ruin   the German
State in the interests of British capitalism.
One remarkable feature of this war has been th
conscription of Englishmen to defend a foreiim
State, namely- France, which has shown itself fa
capable of protecting its own independence bv
foree of arms. In the war that is proceedinj
against the Russian Soviet Government there has
been no declaration of "a state of war." nor hy
there been any due assent to the military poli?T
now being pursued against tbe Russian Soviet
Government by the British Houses of Parliament
Tn the absence of any "state of war." the Ministers
responsible for this policy, in my judgment, could
be indicted for treason-felony, as the legality of
the war and the provision of supplies fn»* the var
could be most strenuously disputed.
Try Them All.
After the decision in lleddoii vs. Bvans, the doe-
trine of moral responsibility has most serious implications for the Secretaries of State for War, the
members of the Army Council, and the general"
commanding in the field from 1914 to 1919. Mr.
Churchill recently declined to state the figures of
military executions which had taken place on all
fronts during the war; presumably because their
total would shock and astound the country, while
there would be a clamor for a most searching investigation into thc conduct of those associated
with the policy of murder by Field General Court-
martial. In the case of the military executions of
boys under eighteen years of age, all officers and
persons parties to the convictions and executions
would be guilty of murder, as there is no color of
justification under the regulations for imposing
the extreme penalty in sueh cases. A Commission
of Enquiry into the military prisons abroad and
into the nature of the punishments inflicted would
show without doubt that the clause in thc Bill of
Rights, which is not repealed by the Army Act. the
Defence of the Realm Acts, or the Regulations
thereunder, against torture has been infringed by
the military authorities so that the toll of exeeu-
lions might be somewhat reduced but the terrnrUi
•o" military law maintained. T'« my view, all these
cf fleers and statesmen wojH find it difficult to
answer an indictment charg..ig them with acting
in excess of their jurisdiction and with gross cruelty in connection with military punishments. Also
the shooting of men on the field of battle without
pretence of trial is murder under the Common **V*
of England.
A Committee of Inquiry into the conduit of the
Home Office officials entrusted with the powers of
deportation and internment would disclose ho"*
gravely the persons interned or deported under tw
orders of the Home Office have been oppressed 1
If sufficient to state with emphasis that the grossest corruption has accompanied the administration
of these regulations by tbe officials themsclver
C. H. Norman, in the "Glasgow Socialist "
THE "FREE" UNITED STATES
From the land of the free to the south, w« llflVe
received a circular appealing for funds for the defense of many hundreds of T. W. W. now confined
in gaol. The circular relates a tale of horror. Man*-
of these men have been upwards of two years m
craol. under the most spirit destroying conditions
without a judgment so far being rendered .'"-'fli'^
them. A large number have died pnd many *"f
those who remain are now broken in body and m"1^
Funds for the relief and defence of the prison^
should be sent to Thomas Whitehead, 1001 We*
Madison Street. Chicago, Illinois. THE RED FLAG
PAGE FIVE
he Last Peace Offers of the
Bolsheviks
(The Bullitt-Steffens Mission.)
Edward Bing, correspondent of the United Press
it present in Budapest, has obtained, by wireless,
long interview with Trotsky on the interior and
Ulterior situation of the Soviet Republic. The Daily
Jews of July 5 gives a report at length of Trotsky's
inswers to the various questions, but we confine
nirselves to that relating to the question of peace
between Russia and the Entente.
Asked as to the attitude of Bolshevist Russia to
flic Entente, Trotsky said:
"The ordinary Russian citizen does not believe
that Soviet Russia is at war with Kolchak, Denikin
end the bourgeoisie of Finland and Poland. These
groups are almost insignificant and are destined to
disappear very soon, even without our help, were
they not supported by foreign groups. Russia is
ting a defensive war against the imperialisms
)f England- France and the United States. These
three countries copy literally the methods of thc
Hohenzollerns, and shelter behind fictitious 'Governments.' They themselves violate the much-
talked of 'self-determination of small nationalities.'" w
Ts the Soviet Government ready to treat of peace
with the Entente?   asked Bing.
Trotsky replied:    "On this subject exact information can be obtained from Mr. William Bullitt,
representing Secretary of State Lansing, and Mr.
Lincoln Steffens. who have come to Russia on    a
nssion of peace.   Mr. Bullitt is in this regard more
than competent, for he has participated in negotiations of which I know only because T have    been
Unformed as a member of the Soviets.    The    Russian Press has published the text of   a treaty   of
)eace of whieh both the representatives of Soviet
lussia and the diplomats of the United States, representing Wilson and Lansing,    have approved.
rilson has been overruled, as he has on manv other
latters.    Clemenceau has had the word.    He has
certed himself to maintain anarchy in Russia and
to terrify French public opinion with the spectre.
England   and   the United States   have   given in
jto Clemenceau. and Italy, is now out of the game.
IWe declared openly to the diplomats that we   are
[ready to make peace even at the cost of great concessions, and we hope at the same time   to prove
[that to Clemenceau and his accomplices that the onlr
lEuropean army which grows in strength is the Red
j Army of Workers and Peasants."
This is the declaration recently made by Trotsky.
[Now to which treaty does he refer? We know of
jnone. yet he says it has been published in the Russian Press.
But we do know of a radio sent about a month
I ago from Moscow to Budapest, where the history
|of the Bullitt-Steffens mission was described as:
"Peace proposals have been brought by Mr. Bul-
llitt, Captain Petit and the journalist, Steffens. The
Soviet Government, at the express demand of Bullitt, has reluctantly refrained    from    immediately
[publishing them.
"But now. after this has fallen through, and in
[view of the constant attempts of the Allies' Governments to overthrow the Soviet system and continue this bloodshed, the Soviet Government pub-
jlishes the conditions.
"They have been drawn up by Wilson, Colonel
!House and Llovd George, and brought to us by Bul-
llitt.
'The Allies invite all existing Governments in
Russia to a new peace conference on a basis accepted by all tbe Allied powers, and the details ♦*#
which would be fixed later. The Soviet Government made some modifications which were accepted by Bullitt. The official invitation should
have been received by all on April 10 last.
"Then the Allies, who never had the intention of
signing peace, to hide thc r, al reasons for the continuation of the war from their people, and in tho
(Continued On Page Eight.)
Notes on Winnipeg Trial of Labor Officials
What Is Sedition and Conspiracy?
It seems clear that many publications regarded
as acceptable by great universities will have to be
thrown to the discard if the claim made by some of
the detectives of the R.N.W.M.P. are substantiated
by the Trial Court.' For instance, the Communist
Manifesto is on the shelves . of Oxford and Cambridge Universities, and has been there since 1888.
and yet it is used against the accused as evidence
of conspiracy. They sold it openly and this proves
that they were conspiring to overthrow the state.
Mr. Coyne read an extract from the end of section 2. This refers to revolutionary measures that
must be taken by the workers if they are to get
control.
M^, McMurray objected to an extract only being
read, since this was modified greatly by preceding
and subsequent statements. Mr. Coyne, however,
insisted that the passages he had read governed the
aspirations of the accused today.
This was later re-opened by Mr. Lefeau. assisting
defence counsel, who went somewhat fully into this
particular pamphlet to show the injustice of taking
extracts and drawing conclusions therefrom.
He asked Sergt. Reams if he had read the preface, and if he knew the author. Reams said he had
read but very little of it, but had marked the passage read by Coyne. He knew the author was a
German.
Mr. Lefeau asked him, "Would it surprise you if
I told you that the author was a cotton manufacturer living in England?" Reams said, no. he
would not be surprised.
Lefeau showed that the pamphlet was written before thc French Revolution of 1848, and that the preface had been written by Engels in 1888 after that
revolution. Then.he went on reading. "NO STRESS
IS LAID ON THE REVOLUTIONARY MEASURES
AT THE END OF SECTION 2." The times had
changed and many of these measures, then considered revolutionary, were now the law of the
land.
Then he turned to the section and read the list'
of subjects classed by Marx as revolutionary. Compulsory education for every child was one of them.
Reams said he had not seen this section.
Then Lefeau read on. "That passage would be
greatly modified today. Section four has become
antiquated because the political situation has been-
entirely changed. The old political parties have
been obliterated."
Reams said he "might have seen this, but even
if it was not revolutionary in itself, it was a good
starting point for stuff that was revolutionary."
Under eross question, Reams said he would not,
accept-the. responsibility for Mr. Coyne reading
this as a fair sample of the pamphlets he had put in.
THE   FREE (?)   PRESS.
Lefeau then stopped reading, and claimed that
he had read enough to show the unfairness of
reading extracts.   All should be read or none.
Those Bolsheviki Funds.
This controversy revived the letter published by
Senator Robertson with the advice of counsel, as
being a letter written.irom one Berg in Alberta to
R. B. Russell in Winnipeg.
In this letter as published by Senator Robertson
in the daily press, Russell was said to have received
"Bolsheviki Funds." Then a whole sentence in the
letter that explained the expression "Bolsheviki
Funds" had been omitted. This sentence said that
$250 had been sent by one of the miners' unions,
and they would send more as soon as they could to
help the 0. B. IT. The miners' unions, then, were
the Bolshevists. -But the Senator, the minister of
labor, a minister of the crown, had left out the
qualifying sentence. Mr. McMurray said that if
this was by design it was remarkable, and unpardonable.
What purpose could there be, he wanted to know,
if it were not to influence the public against the
accused. Whatever the purpose, the single case
condemned the practice of reading extracts only.
Socialism Defined.
"How would you define socialism?" Sergt.
Reams was asked. His reply was. "Socialism is
getting something for nothing. Those who have
nothing want to get something from those who
have."
This will likely be a new definition to many, but
the sergeant insisted that this is what the revolutionists were urging, and this is what was preached
in the Labor Church.
He said he was making enquiries into the "cause
of unrest," and "how far the propaganda of the
Socialist Party of Canada had ramified," so he
reported only what he considered seditious utterances to his superior.
There was an "underground channel going on
that doesn't appear on the surface," but* what the
propaganda was he could not express in concrete
terminology. It is not vague, however, it is there,
it is semi-concrete.
The purely bourgeois element, business and
financial elements, have absolute control of the
press and this control is decisive in obtaining a
majority approval. That is well-known, why evade
the fact? Freedom of speech is a legal fiction, because, where there is not an equal opportunity to
be heard, it can not be said to exist in reality.
THE SHAME OF CANADA
(From the "Western Labor News.")
Solomon Pearl Almazoff is a free man. Boiled
down the case against him amounts to this that at
a meeting to discuss social reform in a purely
theoretical argument he used the expression "We
must have bloodshed." (meaning at the instance of
the ruling class.) This was seized upon and reported by a police spy as an incitement to violence
and revolution, said police spy being described by
the man who was making a merit of not deporting
Almazoff to certain death on the strength of his
evidence, as unfamiliar with the English language,
and "an alien not of the highest type."
A number of the Winnipeg Citizen's committee
testified at the trial that a delegation of that body
went to meet Senator Robertson at Fort William on
his way West. No wonder the Minister of Labor
was so quick in branding the strike as a Revolution.
• •     •     •
Challenging a ruling of the court, a lawyer for
the defence pointed out that the magistrate had
been reading from American law and not British.
He replied that he didn't care what they did in the
IT. S. A., or in Australia or elsewhere, he was in
Canada.
• •     •     •
Take up collections at your union meetings, picnics and at the workshop.
Send all money and make all cheques payable to
A. S. Wells. B. C. Federationist, Labor Temple. Vancouver, B. C.
Collection agency for Alberta: A. Broatch, 1203
Eighth avenue east, Calgary, Alta.
Central Collection Agency: J. Law. Secretary.
Defence Fund. Room 12. Labor Temple, Winnipeg.
Contributions will be acknowledged through
Labor and Socialist Press.
Lawyers for the defence in Vancouver, Bird, Macdonald & Earle.
• •     •     •
Because of discrimination against contributors,
whose names have been published as sending in
moneys for the defence fund, acknowdedgment in
future will be made by mail.
Receipts to date have been $3985.93, and expenditures. $2054.75. 1 ,■■■.•-!'
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PAGE SIX
THE RED FLAG
(From "The Workers' Dreadnought.";
By M. Phillips Price.
THUS two great social institutions have
sprung up in revolutionary Russia—the
political Soviet and the economic Soviet. The duty
of the former is to protect the Republics from internal and external counter-revolution. The duty of
the latter is to build up under the protection of the
former the new social order. Once the danger of
foreign intervention is removed, it is possible that in
Russia the political Soviet will reduce its functions,
and that the power in the land wiil pass to huge
economic syndicates working under the control of
the Central Council of Public, Economy. The latter
body is something like the Central All-Russia Professional Alliance, except that it concerns itself only
with production, distribution and exchange on a
public basis and has nothing to do with the internal
affairs of the different industries, which belong to
the syndicates. When the new social order is really
guaranteed from foreign counter-revolution, the
political conflicts which have been raging in Russia
since the Revolution will gradually die down. The
struggles between the Bolshevik theory of "Immediate World Revolution" and the Menshevik
theory of "Labor Coalition with the Bourgeoisie"
will give way to others. Then will arise the delicate
problem of how to adjust the interests of the whole
community to the claims of the different workers'
industrial syndicates, so that private capitalists-
conquered in the October Revolution, shall not reappear again in a more insidious form. All this,
however, belongs to the future.
Russia has advanced by giant steps along the new-
road, in spite of all the wounds inflicted on her by
the war and the foreign intervention. Young and
energetic, untrammelled—with.-the century-old conventions and traditions of an older, more archaic
civilization, she has a clear field in which to begin
the work of reconstruction. The private exploiter
no longer exists in Russia today. If he was unwise,
he fled to Paris and London to plot counter-revolution. If he was wise, he entered the service of Soviet
Russia and is now receiving an ample salary, according to his knowledge and skill in industry.
Throughout the length and breadth of the Russian
plain, the struggle is still going on between those
peasants whose ideals can not go beyond cornering
corn and holding'it up for famine prices while the
towns are starving, and the proletarianized laboring peasants, who have learnt in the school of adversity that only by collective labor, by communistic production and distribution, can a new
and juster society be created. v
Soviet System Versus Democracy.
Everywhere in Russia now the organs of the new
form of society are found in the two types of
Soviet. Upon these political and industrial unions
only those who labor by muscle and brain can
elect and be elected. In order to obtain a vote,
therefore, a man or woman must be organized in
order to be thus organized one must do some form
of productive work. This is the first essential of
the Soviet system. The second essential is that the
Soviet should be elected, not territorially, but industrially. This is the real difference between a
Soviet State and a Democratic State. A Democratic
Stale recognizes no economic divisions in the electorate. Everyone is regarded as a part of what is
vaguely called "the people." How impracticable
a democratic parliament is for the modern industrially specialized form of society, the following
example may show. A metal worker, let us say,
lives .next to a railwayman, on one side, and an accountant on the other. All three have special
economic interests for the understanding of which
exact professional knowledge is required. Each of
them, if he was to draw up a programme of his demands at a given moment would   have   different
m
claims to make for the protection of his particular
economic interest. In a Soviet State each would
have these interests put forward through the
economic syndicate, of-which he wrould have to be
a member, and the central union of the syndicate
would then consider them in relation to the whole
economic production of the country. In times like
the present, when the fight with the counter-revolution is still going on, the syndicate would have to
consult with the political Soviet and obtain its
sanction also. But the point is. also, that the whole
Soviet organization is so arranged that the economic apparatus whieh is able to represent the \«prtiers' special interests and can reconcile them with
the interests of the whole community is at hand. In
a democratic state exactly the reverse is ihe case,
for here the workers' industrial organizations hr.ve
no political power, and can only advise a body
which is brought into being by a scattered rde>
torate. Thus the three types of workers I take
above are in a Democratic State only able to elect
representatives for one district in which their
economic interests are swamped in thousands of
others. Candidates are put up by party caucuses
which work on a territorial basis, and these candidates can not possibly represent all these interests
at the same time. The Democratic election to a
parliament, in fact, is nothing more than a device
to. deceive the workers by dividing them into artificial constituencies on the basis of which they can
not possibly unite and draw up a common social
and economic policy. This can only be done through
the development of the industrial unions as described above.
Perhaps the greatest advantage    of the Soviet,
however, is that it is capable of being coniiuually
re-elected.    The workers can withdraw their delegates and elect again at will.   Thus the Soviets are
always a reflection of the opinion of the workers
at the given moment.   This was most clearly seen
in the case of the All-Russian Congress of Soviets
in January, 1918, and the Russian Constituent Assembly, which met in that same month. The former,
elected only a short time after the election for the
Constituent Assembly, gave a large Bolshevik and
l^eft Socialist-revolutionary  majority.    The    Constituent Assembly, however, was elected on a candidate list made up in the Autumn of the previous
year when quite different parties were in the political arena, and when the important split between
the Left and the Right Wing of the Social-revolutionary party had not yet taken place.   The result
of the Constituent Assembly election was a majority
for the Right Socialist Revolutionaries,    in which
the Left Wing was hardly represented at all.   For
in the few weeks that elapsed between the drawing
up of the list of candidates for the Constituent Assembly and the elections for it,   an entirely   new
political situation had arisen.   The Soviet Congress
reflected this change, and the Constituent Assembly did not.    Therefore, when 'the Allied Governments say that there must   be   in Russia   a body
which represents all the Russian people in a Constituent Assembly, before they can recognize    the
Russian Government, they are really saying   that
they want a government which will be put in power
by scattering all the economic forces   of the Rus-
sian workers, and which will become an empty shell
within a short time of its election.
I would add one final word of appeal to* the
working class of England and France. Do not listen to the tales of horrors which the bourgeois press
of Western Europe tells about the Russian Revolution. I say, because I know, that the starvation
and misery from which the Russian people are suffering is due, not to those who are building up the
new Socialisf form of society, but to those who for
three years drove Russia in an exhausting war. and
then sent armed force* to invade her territory, and
cut off her food supplies, and the raw materials of
her industries.   The Russian people appeal to    aU
Lenin—The Personal Leader
—Face to Face With
His Followers
(From the September "Metropolitan.
1
LENIN'S philosophy could not convince
American like Robins. Robins came
from Russia more anti-socialist than when he went
But he also came back knowing that Lenin's phil
sophy is indeed a philosophy and that it can not be
countered by pretending that it is nothing but
blood and wind. It challenges Americanism with a
genuine challenge. It does not merely reject the
basis of Americanism. It brings forward a strongly
competitive basis of its own.
Lenin, of course, frankly, was not talking about
consciences or about majorities. But neither was
he talking about nothing. He was talking about
vitalities, economic vitalities.    He was saying:
The working-class is today the vital economie
class in Russia. Through that class we will make
a Russian Government better than the Tzar's or
Kerensky's. because it will be more vital, and better
than any political government anywhere, because
it will be economic. And this system, by example,
will penetrate and saturate the world.
Such was Lenin in talk.
One day. back in Petrograd, when the German-
Were advancing. Robins went out from his
hotel to walk along the Nevsky Prospekt. Tie made
toward the Neva. There was a crowd of people
gathering there at a corner. Rabins saw that they
were reading a placard, spread on a dead wall, and
that they were greatly excited by it. lie .'mred
them.   This placard, in purport, said:
"Lenin has absconded to Finland with lO.OOO.ftW
roubles in gold from tbe State Bank. The Russian
revolution has! been betrayed by false leaders. But
there is hope now for Holy Russia. Thc Little
Father is coming back. The Grand Duke Nicholas
Nickolaievitch is advancing from thc Crimea with
200,000 brave true Russian soldiers who will save
Russia from the Bolshevik traitors."
Robins turned and hurried back to his hotel tit
get his sleigh. He drove to Smolny. and waved hk
card at the door-keepers, and ran up stain In the
corridors were crowds of commissioners and clerks
and guards, running, shouting- and running again,
getting ready for something very immediate.
Machine-guns were being unhooded. Their ear-
tridges were being run into them. The crowds, with
the guns, surged over to one side of thc bnildingv
CContinued On Page Seven.*)
the world for peace.    They long to estahlish   the
normal economic exchange between East and West
Europe which alone can make good the destruction
of the four years' war.    Raise the blockade, they
say; send us the technical advisers without wbico
we can not restore our industries, shattered hy the
war.   Soviet Russia is ready to pay handsomely for
the services rendered.    If the workers of Knglanu
and France are still content to leave private financiers to control the relations   between   their countries and Russia. Soviet Russia will raise no   oo*
jection but   will treat    with their   financiers and
satisfy their wants in so far as they do not involve
the reduction of tfie Russian workers and peasant*
to the slavery that they lived in under Tsarism- -*
on the other hand English and French workers take
these matters into their hands they will    t*in*l   "j
Bolshevik Russia a friend and an ally.   They will
nt all times be welcome in the territories of tin **f'
public, which are as   safe for   those   engaged ""
honest labor as in any state of Western Europe o
America.   An immense field will be open to tl*-6*"";
to assist their Russian comrades with the technics
advice which only they can give.    On   the   <***-*
hand, they can learn many things-which will be n
to them in that wonder   land that   lies   between
Europe and Asia.   Let us tear out the pages of tn
past!   Let us write a new page in    the historj
the future! THE RED FLAG
,ENIN—THE PERSONAL   LEADER—FACE TO
FACE WITH HIS FOLLOWERS.
(Continued From Page Six.)
Capitalism—The Basis of Colonialism
fobins looked out from that side across   the yard
)f Sholny, toward the Viborg—the   Viborg work*
ion's quarter.
Two streets came from there toward Smolny
"hey were black with two streams of armed work-
icn flowing against   Smolny.   They   would over-
Ivhelm Smolny   and clean it out and then flow to
he front against the    Germans.    Such   was   the
Iry.
Robins drew back from his window and worked
lis way along a corridor of dense panic toward.
Lenin's private office.   He looked in.
Lenin was there.    He was   receiving telephone
icssages    from    the    front.    He    was    receiving
>crsonal reports from couriers.   He   was   writing
>rders   and sending them out.   He was   working
[ndthout pause, as usual,   and.,  as usual,   without,
mste.   He seemed quite unaware of any crisis.
Robins was thrust into the room by shouting men
)ehind him who cried to Lenin:   "The   order   to
fire
f*»
Lenin jumped to his"feet. For just one moment
le, too, w-as excited. "No! No!" he said. And
igain he said "No! No!" angrily.   "Shoot them?
re will talk to them.   Tell their leaders   to come
in."
Somebody went to tell them.   Lenin went back
to his messages and his orders.   The leaders of the"
10b began to come in and began   to fill    Lenin's
>ffice—workmen—in workmen's clothes—eac*h with
bayoneted rifle in his hands and with a magazine
)istol at. his waist---workmen—soldiers—the men
..cnin had to rely on—the armed Revolutionary
>roletariat—the nucleus of the future Red Army
rf Lenin's Russia. They grounded their rifles,
'omebody said to Lenin: "They are here." The
niter door was closed.
Lenin rose and walked toward his visitors.
"Comrades," he said, "you see I have not run
iw ay. Comrades, 1 was fighting for the Revolution
lefore some of you were born. 1 shall be fighting
tor the Revolution when some of you are dead. I
stand always in t danger. You stand in more
langer.   Let us talk frankly."
He put his hands in his pockets and walked up
ind down and meditated and spoke:
"Comrades, I do not blame you for not always
trusting your leaders. There are so many voices
|n Russia today! 1 wonder that you have trusted
is as much as you have.
"Among honest Revolutionists today there are
two voices.   One   of them is right.   One is wrong.
"Many comrades say:
" 'You must go to the front and fight the Ger-
lans and die fighting.   You must die fighting for
the Revolution.'
"They do not pretend, these comrades, that you
ire willing to fight for anything except the Revolution. But they say, and they say truly, that the
['ermans are against the Revolution. And so they
»ay:   'Go and fight the Germans.'
"1 do not say so.   I say,:
" 'You are the new army.   You are the only army
)f the Revolution.    You are the    beginning of it.
Vhat will happen if you fight the Germans?   The
)ld army js not fighting.   It can not fight.   It   is
exhausted.   Only you, with the Revolution in you.
ant to fight.   You know wdiat will happen.   You
"ill fight.   You wdll die.   And the soldiers of the
devolution will be dead, and the Czar will    come
lack.' x
"Would that be dying for the Revolution? Com-
•ades. when we die, let us die really for the Revoln-
Iion.   Let us die when by dying we can win victory
or the Revolution.
"Comrades, my voice is right.    They tell you I
"ill make a shameful peace.   Yes.   I wiH make a
lameful peace.    They tell    you    I will surrender
'etrograd, the    Imperial City.    Yes.    I wdll surrender Petrograd, the Imperial City.   They tell you
will surrender Moscow, the Holy City.    I   will.
(By W. A. Domingo, Editor, Negro World, in   the
"Messenger," a Radical Magazine for Negroes.)
Till'' various colonial empires of the world are
maintained by force and trickery and are
devoid of altruism in any shape or form. The motivating influence that brought them into existence
was the intention of a better armed race or nation
.to reduce weaker races and nations to the point
where they would be compelled to directly or indirectly produce wealth for the benefit of the
dominant class of the "Mother Country." The
true, basis of all empires is economic in spite of. the .
fact that apologists for colonial expansion exhaust
all their ingenuity to assign moral intent to countries whose imperial rule is based upon openly exer-
ciscd,or slightly veiled force. This is as much true
of the frank and brutal imperialism of Rome, Germany, France, Spain, Japan and Gceat Britain as
it is of the less visible imperialism of the United
States. The former countries, more ingenuous than
the latter, in acquiring new territory rarely, if ever,
attempted to cover up. their intentions with hypocritical cant or resort to the outward forms of a
"purchase;" they usually took whatever they had
the power to seize and explained the conquest afterwards.
A very natural question to ask is: "Why do
countries ha\e colonies.'" This is easily explained,
in the first place- because of the capitalistic development of most "civilized" countries the vast majority of the population have been expropriated
from the land and live in cities in ever increasing
numbers.. In the cities, because of thc wonderful
productivity of modern machines more goods arc
produced than can be bought up by the population
of the producing country, hence the need for out-
Jets in foreign countries. This condition makes
foreign markets necessary. The only markets that
can absorb any appreciable portion of niaiflifac-
tured goods are located in such countries as can not
or ARE NOT PERMITTED to develop industrially.
To safeguard and insure a market against competition from other industrially developed and exploiting countries, political control of the market is essential. Hence the imposing of the rule of the industrially developed exporting country upon the
industrially undeveloped and importing country.
However, sometimes the prospective colony may
have infant industries of its own—enough to supply its own needs—or it may have ambitions to become self-sufficient. In such cases the "Mother"
or exploiting country ordinarily effectuates the
death of the existing industries or renders the ambition to create new industries, stillborn. This is
illustrated by the manner in which the. weaving
and other industries of India were killed in the
interest of English manufacturers and by the way
in which the Jamaican government (which is dominated-by English officials appointed from Downing street, London) strangled the soap factory in
Kingston some years ago.
I will go back to the Volga, and I wdll go back
behind the Volga to Ekaterinburg; but I will save
the soldiers of the Revolution and I will save the
Revolution.
"Comrades, what' is your will?
"I will give you now/ a special train to the front.
I will not stop you. You may go. But you will
take my resignation with you . I have led the Revolution. I will not share in the murder of mf own
child.
"Comrades, what is your will?" ,
"Lenin! Lenin! Lenin!" The room held no other
sound. "Comrade Lenin! Comrade Lenin!" It
was a judgment delivered. Having delivered it, the
judges picked up their rifles and marched out of
the room and down thc corridor, still delivering
their judgment.   "Comrade Lenin."
Such was Lehin face to face with his followers.
Such was Lenin the personal leader.
.   The first reason for colonies is to   provide  '
safe markets for the surplus   commodities of
the "Mother Country."
i
Secondly, because of the needs of modern industry and the inability of manufacturing countries located in temperate regions to produce them,
tropical products such as copra, rubber, coffee,
cocoa, balata, pissava and hides have to be imported. In order that the #upply will be steady
and uninterrupted, political control of the source
is necessary. This control manifests itself in the
form of preferential tariffs between the colony and
the "Mother Country." It explains the insistent
demands of the Unionists of Great Britain for *
preferential tariff with the colonies and the reason
why Cuban imports into America are given a substantial rebate of customs duties.
The second reason for colonies is, therefore* .
to insure the Mother Country a safe and regular source of supply of raw materials.
Thirdly, because of the contradiction of modern
capitalist civilization, instead of machines being a
boon to the workers they have proven to be a curse.
In all industrialized countries vast armies of unemployed exist who have been created by the man
being displaced by his creature—the machine.
These unemployed men and women serve two purposes. One, by their pressure on the factory gate
to reduce wages to the lowest point of subsistence;
twro, by \their ever-increasing numbers enlarge the
proletarian population, thereby making of it a portentous menace to the system that created it. So
as to avoid the latter phase from becoming too
dangerous, the Mother Country, that is, the class
that controls it. needs some place to which the
"surplus" population can be conveniently exported. Hence, the various efforts to send unemployed Europeans to Australia. Canada, South
Africa, New Zealand and other temperate countries.
Germany, who came on the colonial field late, had
to yield to this imperative economic law even
though political control of her exported subjects
was lost when they went to colonies of other exporting countries or to sparsely populated sovereign countries like Brazil. This in a measure explains the dual citizenship laws of Germany.
The third reason for colonies is to find congenial territory to which to export the "surplus" population of the Mother Country.
The fourth and last important reason for colonies
is the intention to create sinecures for inpecunious
sons of the Mother Country, who by virtue of lineage and tradition belong to >he class from wdiich
bureaucrats are largely recruited. This last reason
wdiich is the visible manifestation of actual political control of colonies serves a dual puipose. First,
it serves as a guarantee that the colonial government, dominated by sons of the Mother Country,
will not be diverted into economic and political
activities and alliances inimical to the interests of
the land of their birth; and. next, by paying huge
salaries and enormous pensions to these officials,
substantial amounts are yearly extracted from the
colonies and exported to enrich the Mother Country. To sum up: All Empires, no matter how
seemingly benevolent, are based upon force and
maintain the structural form of a central, manufacturing, exporting and exploiting "Mother"
country, whose influence radiates to the "colonies"
through her possession of a merchant marine, political control and expropriation of the natives.
These bases of influence in their turn have behind
them power in the form of an army and navy.
Colonialism, therefore- is a product of Capitalism
which may be defined as -that system of wealth production and distribution that is based upon a favored few living off and at the expense of the oppressed many. With the death of capitalism in the
Mother or Central Country, will come thc collapse
of imperialism and its train or murder, high taxes,
poverty, oppression and exploitation in the Colonies.
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PAGE EIGHT
THE RED FLAG
spa.
TheTi
erm
tt
Wealth" as Used in the Science of Economic*
..T ABOR produces all Wealth." So runs the
JmmmJ familiar formula. There are many people, however, who are of opinion that this statement
is incorrect and that i£ should read: Labor, applied to natural resources, produces all wealth.
Now this, of course, supplies additional information but the addition interferes with the simple
directness of a statement which, without it, is correct as it stands. It will be observed that the verb
"to produce" means a bringing forth from already
existing material and does not imply creation. If
I were to say that labor creates all wealth, I should
be guilty of a misstatement, for the simple reason
that man can not create either matter or energy.
He can only bring about changes in form or location.
Suppose We turn the phrase round so thai it
reads: All wealth is produced by labor. You will
observe that we say "all" wealth. This clearly
limits the meaning of the word "wealth" to those
objects that are produced by labor. Now, the word
"wealth" is derived from the Anglo-Saxon word
"weal" and is a collective word applied to all those
things that contribute to health, happiness and
well-being. Words, such as this, which have in
general use a very wide significance, are generally
productive of considerable confusion when im»
ported into any science such as political economy.
This is because, for the sake of scientific precision,
it is found necessary to limit the meaning of such
words to one thing or group of things. "We are
committed, by the phrase we have been considering,
to definition of wealth as consisting of the aggregate of those objects or things which have been
produced by labor and are either necessary, useful
or agreeable to man.
This definition, it will be seen, excludes many
things commonly referred to as "natural wealth,"
such as mineral deposits and virgin land or forests,
as well as many other things of the same nature,
not generally considered in this connection at all,
for instance, the air, the light and heat of the sun-
and the natural forces. These things constitute
what we may call the constant factor in production
and are provided spontaneously and freely by nature; in recent economic language they are called
free- goods, as distinguished from economic goods,
which form the substance of wealth, and only become the material for economic science when they
become subject matter for human labor and thus a
factor in production.       • ■■-..»  ■ «.  m. K *    ,<»* 4^
Inasmuch as wealth is generally reckoned* in
terms of money this latter appears to many people
to be the sole form of wealth. The money-commodity itself, of course, is wealth, but notes and
bills are not, being merely devices for exchange.
Nor are mortgages, stocks, shares and bonds. These
latter are only claims upon wealth and their creation or extinction does not affect in any way the
existing quantity of goods. On the other hand, tbe
term wealth includes not only material objects but
other things not so tangible, such as electrical and
mechanical power, labor-power and personal services of one kind and another. These things are
the product of labor, are useful and are bought and
sold as such. The term wealth also includes many
things that, from an ethical point of view, might
not. by some, be considered either useful or desirable, for instance, beer, cigarettes, diamond
tiaras or patent medicine. John Ruskin, for example, approaching this subject from a sentimental
point of view, would elass as wealth only those
things which can be shewn to be conducive to tbe
health, happiness and well-being of humanity on
the highest ethical and moral grounds. He would,
therefore, include food, clothing and housing of a
wholesome and substantial kind, good music- books
and pictures; sunshine, flowers and scenery. I sup
pose one might reasonably include   the   gradta
God.   On the other hand, he would exclude all su I
things- as adulterated and shoddy goods, jaZz I11Usi
chromo-lithographs  and paper-bound books  ci
sing these as "illth."   Now, I find myself heartihr
in sympathy with the sentiment    here expressi?
Political economy, however, is not concerned 3
that aspect of the question.   It is, no doubt, qyw.
proper to draw such moral lessons as we find dm
per from our conclusions but the investigation itself
must be conducted in a   manner   free from   n*
;M*<*. * - ,,,,- I*   m ,,M^'
Adam Smith defines wealth as the annual pro.
duce of land and labor. J. S. Mill emphasizes this
important point: that the bulk of wealth is pro.
duced annually. This, of course, it must he, seeing
that it is consumed at practically the same rale
Even constant capital only subsists by perpetual
reproduction. This point of view appears to me to
be of peculiar importance. We see that the wealth
of the world consists of a stream of product!,
brought into being by the collective effort of the
producing class. The individual members of society appropriate and consume sueh shares of thk
stream as they can secure by virtue of the legal
claims they may possess under the prevailing sy.
stem of ownership. It is thus possible to expresg
wealth in terms of income distributed as rent, in-
terest- profit and wages. This view, T admit, is not
strictly accurate but is true of an increasingly large
proportion of the wealth of modern society.
GEORDTE.
Erratum: In last week's issue. (Aug. 23,)
the article .on Exchange by "Geordie." contains a typographical error. In the classification of paper money (No. 2) Jiduciary should
be spelt Fiduciary. (Dictionary gives it. Lat.
fiduciarius. from fiducia—confidence, trust.
THE LAST PEACE OFFERS OF THE
BOLSHEVIKS.
(Continued From Page Five)
hope of crushing Russia, the invitation was never
sent."
The Eleven Conditions of Peace.
"Here are the principal clauses of the treaty:
"An armistice to   be declared   on   all Russian
fronts, while the delegates discussed tbe following
conditions:
(1) All Governments constituted on the territory
of the ex-empire will continue only till tbe
people concerned decide on which Government they wish.
(2) Neither of these Governments to attempt hostilities against another.
(3) Raising of the blockade.
(4) Commercial relations to be resumed.
(5) All products already in Russia, and any
which may come, to be accessible to all
classes, without any distinction whatsoever.
(6) All the Governments to grant a complete
amnesty to their political adversaries, soldiers included.
*•   (7) Allied troops to evacuate Russia.
(8) Simultaneous reduction to a peace footing
of both Soviet and anti-Soviet armies.
(9) All Russian Governments to recognize the
debts of the ex-empire.
(10) Freedom of residence and liberty to travel
1          to be accorded to all Russians on the full extent of Russian territory.
(11) Prisoners of war to be repatriated.
"England and the United States are to guarantee the observance of these conditions by France.
"Even though the Red Army was then on the
point of capturing Odessa, the Crimea and the region of the Don, the Soviet Government was ready
to accept these conditions, ready to accept the
status quo, in the certain hope that the inhabitants
of those parts of Russia not already under tbe system of Soviets will be ready, sooner or later, to
overthrow their reactionary Governments."
The radio closed by saying:
"The publication of these proposals proves once
again the hypocrisy of the AJlied Governments,
and exposes their lies when they said that tbe Soviet
Government had refused to cease hostilities. Thc
duplicity of the Allied Governments can have only
one result—to close up our ranks more solidly than
ever, to fight the alliance of great and little Imperialists, who wish once more to enslave the peasants and workers of Russia."
Humanite. Julv 8.
THE AMENDED IMMIGRATION ACT
The New Jurisprudence.
If the law as laid down by the judges is sound,
which there seems to be no reason to doubt, then
the legislature has prescribed certain acts and
ophiions.and created a method of dealing with them
with which the old established law of tiie country
has nothing to do, and can have nothing to do.
Trial by jury and proof in a court of record according to the rules of evidence, are dispensed
with. An accused person can be subjected to an
inquisitional examination and compelled to a\on
erate himself or be convicted if he fails to do so.
The holding of opinions subversive of constituted authority and membership in societies alleged
to hold such opinions as articles of association are
among the most prominent reasons for the invocation of this law.
The classes of person directly affected    by 1he
law are aliens and British subjects not born in Canada. Very easily by the use of another statute all
naturalized citizens can be brought under its operation.
The penalty is deportation.
This principle of legislation was introduced \c
prevent questionable citizens of other countries
from coming into Canada and for catching mich if
they slipped in and sending them back. Tt has since
been extended as to the individuals it covers and
the character of the offences it deals with, for the
purpose of getting rid of obnoxious trade union officials and labor agitators.
There is"*ho apparent limit to the period of detention without even examination before a board.
Opinion is divided as to the future development
of this experiment in legislation which is new in the
British Empire at least. Some think that it is hardly dangerous, and may lead to a complete suhver-
sion of liberty. Others, on the contrary, consider
that law and order are in such grave danger ji'st
now that this legislation, if anything, requires extension and strengthening. A great many »"*
chary of expressing any opinion as they fear th«j
to do so might bring them under thc provisions rf
the statute and lead to personal discomfort Most.
however, think that the law will be largely a ****
letter and that most accused persons will he ^
corded the favor of a legal trial. A few'say to W
it alone, the law will be a handy weapon when tW
get into power. This puts them on the same le**
of citizenship as tbe men who secured the $*•***
of the law.
The arrested Russians before the Immigrj2
Board in Vancouver are being defended by *• ^
Macdonald and Earle. Send your contributions (
the General Defence Fund.
Propaganda Meeting, Empress Theatre. corD
Gore avenue and Hastings street, Sunday. ° r
Doors open at 7:30 p.m.

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