You
know that it was Jefferson who said that the best government is that
which does as little governing as possible, which exercises its power as
little as possible. That was said in a day when the opportunities of
America were so obvious to every man, when every individual was so free
to use his powers without let or hindrance, that all that
was necessary was that the government should withhold its hand and see
to it that every man got an opportunity to act if he would. But that
time is past. America is not now, and cannot in the future be, a place
for unrestricted individual enterprise. It is true that we have come
upon an age of great cooperative industry. It is true that we must act
absolutely upon this principle (p. 439).
One
thing that many working people have in common is no contact between
employees and management. Wilson's central point is that the size and
scale of American society is so large that government intervention is
necessary:
Who
in this great audience knows his employer? I mean among those who go
down into the mines or go into the mills and factories. You never see,
you practically never deal with, the president of the corporation. You
probably don't know the directors of the corporation by sight. The only
thing you know is that by score, by the hundred, by the thousand, you
are employed with your fellow workmen by some agent of an invisible
employer. Therefore, whenever bodies of men employ bodies of men, it
ceases to be a private relationship" (p. 440)
This paragraph is an attack on the size of government. His perception is also an attack on the
framers of the Constitution. His progressive views sees the framers as not being able to
comprehend the direction of the country at that time, he claimed that the Declaration " is of no consequence to us unless we can translate its general terms into examples of the present day"
It goes back to Thoreau, who said, " people are basically machines and do as they are told, with no use of their own autonomy or intelligence. Wilson goes on to say that as an example the disparity in
connection between owner, management and employee and corporations, is what is happening
to government, because that is whats controlling the economy. The only difference between the
framers, and during his time is that the wealth was centered individually as opposed then
becoming industrialized,creating different problems like monopolies and corporations.
I chose this passage because, it appears that Wilson had tremendous foresight, In retrospect for him
not difficult to envision the future of the country based on the realities of the day. Government was
so huge that it seems distant. We've come to where major companies, and wealthy families control
so much of the direction of the country.The country is controlled by 5% of the population. That
hasn't changed much since since the beginning of the country. The only change is the shifting of
resources that gain wealth, from Agriculture to Industrial, and now the Information Age. Government
will never be small, it will only get more complicated. The wealthy will never share adequately nor
do they want too. There seems to be a shift, where there are entities to at least get a foundation to
sponsor their beliefs. If there is no change, I believe we are headed for anarchy.
POLITICAL IMPLICATIONS
The Depression had profound political implications. In countries such as
Germany and Japan, reaction to the Depression brought about the rise to power of
militarist governments who adopted the regressive foreign policies that led to
the Second World War. In countries such as the United States and Britain,
government intervention ultimately resulted in the creation of welfare systems
and the managed economies of the period following the Second World War.
In the United States Roosevelt became President in 1933 and promised a
"New Deal" under which the government would intervene to reduce
unemployment by work-creation schemes such as street cleaning and the painting
of post offices. Both agriculture and industry were supported by policies (which
turned out to be mistaken) to restrict output and increase prices. The most
durable legacy of the New Deal was the great public works projects such as the
Hoover Dam and the introduction by the Tennessee Valley Authority of flood
control, electric power, fertilizer, and even education to a depressed
agricultural region in the south.
The New Deal was not, in the main, an early example of economic management,
and it did not lead to rapid recovery. Income per capita was no higher in 1939
than in 1929, although the government’s welfare and public works policies did
benefit many of the most needy people. The big growth in the US economy was, in
fact, due to rearmament.
In Germany Hitler adopted policies that were more interventionist, developing
a massive work-creation scheme that had largely eradicated unemployment by 1936.
In the same year rearmament, paid for by government borrowing, started in
earnest. In order to keep down inflation, consumption was restricted by
rationing and trade controls. By 1939 the Germans’ Gross National Product was
51 per cent higher than in 1929 — an increase due mainly to the manufacture of
armaments and machinery.
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