THE NEW INDUSTRIAL REVOLUTION 235

Drudgery and monotony of basic work are impelling forces
toward the development of desires for the products of individual
 craftsmanship and of the artist. The development
of supplementary industries and other undertakings
and services as an outgrowth of excess employees from
basic industries points to the soundness of this conclusion.

TaE VitaL PROBLEMS

Among all the social and economic problems of increased
productive efficiency, the most menacing and pressing up
to the present time are: (1) the coordination of production
and consumption, (2) the development of supplementary
industries to absorb the workers displaced by other industries,
 (3) the maintenance of profits in production by
reducing selling costs, and, (4) the gradual evolving of
practical policies under which there may be an equitable
division of the gains of increased industrial efficiency. The
coordination of production and consumption in individual
industries has as a rule been satisfactorily worked out.
The real need in this connection is the establishment of
inter-industry coordination.

THE UNEMPLOYMENT MENACE

Early in the year 1928, it became evident that full and
regular employment for industrial workers was the most
vital problem which had developed from the new era of
industrial efficiency and unprecedented prosperity. The
earnings of the large industrial corporations were at the
most prosperous peace-time level in their history. Employees
 who were working were receiving higher wage
rates and larger earnings than ever before. Prices were
falling and real wages were advancing. There had been
some decline in the volume of industrial production during