68 UNEMPLOYMENT IN THE UNITED STATES
ment in that particular industry, of finding other and suitable forms
of work.
On the problem of cylical unemployment, no one has dared to say
that we will find a preventive of these returning times of business,
and therefore of industrial depression. They are frequently due to
world economic conditions, and are not within the control of the local
Government, or a set of industrialists. Nevertheless, by taking
thought of the situation, and by cooperation between the Government
and the industrialists, it would seem we could shorten the length of
that period of depression, and decrease the depth of that depression.
so that we need not go so deep into it without some artificial stimula-
tion, nor so long endured.
This now brings us to the point of considering what value these
three bills introduced by Senator Wagner have for carrying out the
Government's part of the program.
In the first place we have the bill for collecting statistical informa-
tion. That is invaluable, as it gives everyone studying the problem
the necessary knowledge upon which to proceed. There appears to
be no competent objection to that particular bill.
The bill for creating an appropriate reserve for public works is vital.
At the exact moment when private industrial employment begins to
falter, whether due to the recession of technological unemployment
or other cause, the public works program can be put into play just
as soon as the collectors of the statistics begin to see there is a falling
off of industry in this or in that locality. They can be introduced, a
little at a time, the construction on these public works, to take up
the unemployed persons thrown out of employment by these periods
seasonal or technological unemployment. And when there is a
cyclical depression of the world they can shorten the depth of that
Pid of depression as well as the duration of it through this channel
of aid.
Let us consider if out of the three million men Mr. Green said are
now out of work to-day—I think his estimate is based on trade-union
figures, and does not give a complete picture; I think it is nearer
5,000,000 that are out of employment. We have no idea of what the
true number is. But, taking his figure, out of that 3,000,000 men, say
we can put 1,000,000 of them to work on public works for say 15 days,
eight hours a day, and at the regular rate of wages, five days a week.
Right away you bring into play a “spenders brigade ”’—this spenders
brigade of 1,000,000 people, they would demand products, and in a
moment, you would have a demand for 1,000,000 pairs of shoes, and
probably 5,000,000 pairs of socks, and 3,000,000 shirts, and a million
suits of clothes, to say nothing of the clothing and bedding and other
things which their families would require.
And can you imagine what would happen to the clothing industry
when orders for a million suits were thrown to them, or the knitting
industry when orders for 5,000,000 pairs of socks came to them, and
so on down the line of the things that would be consumed by this
spenders brigade? Incidently the mills would begin to work when
these people started out to buy stockings and they will take their time
to buy other necessities for themselves, and it is easy to see that in »
short time the depression is over.
After all, the whole thing is a circle and starting motion at one point,
it is transmitted to the adjacent points, and then the whole circle