160 The Stock Market Crash—dAnd After
economy and production may be completely accomplished.
 Through the development of a codperative
 spirit and the establishment of a frank relationship
 the rewards of the efforts of all those associated
 with industry can be equitably distributed.
“The wisdom of such a policy will be made manifest
 in a high standard of workmanship, in increased
industrial earnings, in waste elimination, and in the
personal contact between management and workers
which is free from suspicion, antagonism and
hatred.”
Under the leadership of William Green, Labor
now boasts of trying to save waste, realizing that the
ultimate source of wages is productivity. “We will
rely on facts rather than on force,” President Green
announced at the annual convention of his organization
 in Los Angeles in 1927. This was in comment
on the report of the Federation's Executive Council
that “unless workers are to be put at a disadvantage
in maintaining and advancing wages, unions must
gather their own statistics and make their own interpretations
 of the statistics compiled by statistical
bureaus and employers.”
John P. Frey, a member of the Council, declared
that the Federation's principle that “wages of workmen
 must keep pace with their increasing power of
production, has given the world a new instrument
with which to measure wages.”
In these statements lies the kernel of labor's new
policy of fact-finding in furtherance of its battle for
higher wages and increased purchasing power. Pro-