The whole middle class had not yet been exterminated. The sturdy skeleton of it remained; but it was without power. The small manufacturers and small business men who still survived were at the complete mercy of the Plutocracy. They had no economic nor political souls of their own. When the fiat of the Plutocracy went forth, they withdrew their advertisements from the Hearst papers.
Hearst made a gallant fight. He brought his papers out at a loss of a million and a half each month. He continued to publish the advertisements for which he no longer received pay. Again the fiat of the Plutocracy went forth, and the small business men and manufacturers swamped him with a flood of notices that he must discontinue running their old advertisements. Hearst persisted. Injunctions were served on him. Still he persisted. He received six months' imprisonment for contempt of court in disobeying the injunctions, while he was bankrupted by countless damage suits. He had no chance. The Plutocracy had passed sentence on him. The courts were in the hands of the Plutocracy to carry the sentence out. And with Hearst crashed also to destruction the Democratic Party that he had so recently captured.
With the destruction of Hearst and the Democratic Party, there were only two paths for his following to take. One was into the Socialist Party; the other was into the Republican Party. Then it was that we socialists reaped the fruit of Hearst's pseudo-socialistic preaching; for the great Majority of his followers came over to us.
The expropriation of the farmers that took place at this time would also have swelled our vote had it not been for the brief and futile rise of the Grange Party. Ernest and the socialist leaders fought fiercely to capture the farmers; but the destruction of the socialist press and publishing houses constituted too great a handicap, while the mouth-to-mouth propaganda had not yet been perfected. So it was that politicians like Mr. Calvin, who were themselves farmers long since expropriated, captured the farmers and threw their political strength away in a vain campaign.
'The poor farmers,' Ernest once laughed savagely; 'the trusts have them both coming and going.'
And that was really the situation. The seven great trusts, working together, had pooled their enormous surpluses and made a farm trust. The railroads, controlling rates, and the bankers and stock exchange gamesters, controlling prices, had long since bled the farmers into indebtedness. The bankers, and all the trusts for that matter, had likewise long since loaned colossal amounts of money to the farmers. The farmers were in the net. All that remained to be done was the drawing in of the net. This the farm trust proceeded to do.
The hard times of 1912 had already caused a frightful slump in the farm markets. Prices were now deliberately pressed down to bankruptcy, while the railroads, with extortionate rates, broke the back of the farmer- camel. Thus the farmers were compelled to borrow more and more, while they were prevented from paying back old loans. Then ensued the great foreclosing of mortgages and enforced collection of notes. The farmers simply surrendered the land to the farm trust. There was nothing else for them to do. And having surrendered the land, the farmers next went to work for the farm trust, becoming managers, superintendents, foremen, and common laborers. They worked for wages. They became villeins, in short-serfs bound to the soil by a living wage. They could not leave their masters, for their masters composed the Plutocracy. They could not go to the cities, for there, also, the Plutocracy was in control. They had but one alternative,-to leave the soil and become vagrants, in brief, to starve. And even there they were frustrated, for stringent vagrancy laws were passed and rigidly enforced.
Of course, here and there, farmers, and even whole communities of farmers, escaped expropriation by virtue of exceptional conditions. But they were merely strays and did not count, and they were gathered in anyway during the following year. [75]
Thus it was that in the fall of 1912 the socialist leaders, with the exception of Ernest, decided that the end of capitalism had come. What of the hard times and the consequent vast army of the unemployed; what of the destruction of the farmers and the middle class; and what of the decisive defeat administered all along the line to the labor unions; the socialists were really justified in believing that the end of capitalism had come and in themselves throwing down the gauntlet to the Plutocracy.
Alas, how we underestimated the strength of the enemy! Everywhere the socialists proclaimed their coming victory at the ballot-box, while, in unmistakable terms, they stated the situation. The Plutocracy accepted the challenge. It was the Plutocracy, weighing and balancing, that defeated us by dividing our strength. It was the Plutocracy, through its secret agents, that raised the cry that socialism was sacrilegious and atheistic; it was the Plutocracy that whipped the churches, and especially the Catholic Church, into line, and robbed us of a portion of the labor vote. And it was the Plutocracy, through its secret agents of course, that encouraged the Grange Party and even spread it to the cities into the ranks of the dying middle class.
Nevertheless the socialist landslide occurred. But, instead of a sweeping victory with chief executive officers and majorities in all legislative bodies, we found ourselves in the minority. It is true, we elected fifty Congressmen; but when they took their seats in the spring of 1913, they found themselves without power of any sort. Yet they were more fortunate than the Grangers, who captured a dozen state governments, and who, in the spring, were not permitted to take possession of the captured offices. The incumbents refused to retire, and the courts were in the hands of the Oligarchy. But this is too far in advance of events. I have yet to tell of the stirring times of the winter of 1912.
The hard times at home had caused an immense decrease in consumption. Labor, out of work, had no wages with which to buy. The result was that the Plutocracy found a greater surplus than ever on its hands. This surplus it was compelled to dispose of abroad, and, what of its colossal plans, it needed money. Because of its strenuous efforts to dispose of the surplus in the world market, the Plutocracy clashed with Germany. Economic clashes were usually succeeded by wars, and this particular clash was no exception. The great German war-lord prepared, and so did the United States prepare.
The war-cloud hovered dark and ominous. The stage was set for a world-catastrophe, for in all the world were hard times, labor troubles, perishing middle classes, armies of unemployed, clashes of economic interests in the world-market, and mutterings and rumblings of the socialist revolution. [76]
The Oligarchy wanted the war with Germany. And it wanted the war for a dozen reasons. In the juggling of events such a war would cause, in the reshuffling of the international cards and the making of new treaties and alliances, the Oligarchy had much to gain. And, furthermore, the war would consume many national surpluses, reduce the armies of unemployed that menaced all countries, and give the Oligarchy a breathing space in which to perfect its plans and carry them out. Such a war would virtually put the Oligarchy in possession of the world-market. Also, such a war would create a large standing army that need never be disbanded, while in the minds of the people would be substituted the issue, 'America versus Germany,' in place of 'Socialism versus Oligarchy.'
And truly the war would have done all these things had it not been for the socialists. A secret meeting of the Western leaders was held in our four tiny rooms in Pell Street. Here was first considered the stand the socialists were to take. It was not the first time we had put our foot down upon war, [77] but it was the first time we had done so in the United States. After our secret meeting we got in touch with the national organization, and soon our code cables were passing back and forth across the Atlantic between us and the International Bureau.
The German socialists were ready to act with us. There were over five million of them, many of them in the standing army, and, in addition, they were on friendly terms with the labor unions. In both countries the socialists came out in bold declaration against the war and threatened the general strike. And in the meantime they made preparation for the general strike. Furthermore, the revolutionary parties in all countries gave public utterance to the socialist principle of international peace that must be preserved at all hazards, even to the extent of revolt and revolution at home.
The general strike was the one great victory we American socialists won. On the 4th of December the American minister was withdrawn from the German capital. That night a German fleet made a dash on Honolulu, sinking three American cruisers and a revenue cutter, and bombarding the city. Next day both Germany and the United States declared war, and within an hour the socialists called the general strike in both countries.
For the first time the German war-lord faced the men of his empire who made his empire go. Without them he could not run his empire. The novelty of the situation lay in that their revolt was passive. They did not fight. They did nothing. And by doing nothing they tied their war-lord's hands. He would have asked for nothing better than an opportunity to loose his war-dogs on his rebellious proletariat. But this was denied him. He could not loose his war-dogs. Neither could he mobilize his army to go forth to war, nor could he punish his recalcitrant subjects. Not a wheel moved in his empire. Not a train ran, not a telegraphic message went over the wires, for the telegraphers and railroad men had ceased work along with the rest of the population.
