“SOCIALISED CAPITALISM.’'

Waikato Times, Volume 112, Issue 18703, 1 August 1932, Page 6

“SOCIALISED CAPITALISM.’'

Under this caplion Mr A. G. Milbank, an American lawyer, bank director, chairman of the board of a great industry, and philanthropist, sets forth foundation principles on which “to build an improved economic and social order.” Socialism in its extreme form “destroys some Of the finest and most useful dualities in the individual.'’ On dhe other hand, capitalism in its extreme form "makes the individual a predatory animal rather than a social being.” Ills proposals look to the rohabllittitioft of capitalism through the humanisation, mutualisation, stabilisation and socialisation of Industry.

lty “socailsatioh” he does hot mean “nationalisation.” .He Is thinking rathoi- or the evolution and wider adoption of measures already approved by the success of voluntary and public co-operation in programmes for the promotion of health, for the welfare of children, and for protection against the evil days of old age and unemployment. Through such united enterprise private investments in the social field have maintained their value and continued to pay dividends in terms of human health in contrast with the depressing and sorry spectacle in the world of crumbling prices. Mr Milbank has a right to urge such investments, for though he could make no reference to his own part in such activities In the field of publio health, for example, it is known that he has practised what he here preaches. By contrast, the business leader who forgets that his vefy position imposes upon him a fiduciary responsibility, “becomes a threat to the economic order upon the maintenance of which the success of the tvholo capitalistic system depends.” This from within the business world. Recently a voice of warning has been heard from without. Professor 11. E, Agnew, of the Department of Marketing of New York University, spoke scathingly of those who fail to meet this responsibility to the publio which gives thorn fullest possible freedom of individual initiative and achievement—

"Few, very few', of present-day business executives would quostion the accuracy arid truth of the adage, ‘Honesty is the best polioy.’ Y'et they gamble in the stocks of their own companies. They sell short in the face of passing dividends, thus dishonestly inducing strangers to become partners with them. They take their partners’ money and squander it on bonuses to inefficient executives, hoping to make them big men by paying them big salaries. Some of these ‘captains of industry’, who profess to believe in honesty uso money to buy public officials, to influence legislative bodies, to corrupt courts and then call upon these same officials, Legislatures and courts to protect the property by legal means which they have acquired by Illegitimate means." These are sins against society from which enlightened self-interest must protect it if it is not to fail of its highest attainment, which is indivdual worth. “At all cost to he sought and at all cost pursued, To be won at all cost and at all cost assured.”