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the ruler of the political State. State ownership is not only not Socialism, but it is not of necessity a step toward it. The failure of State Socialism to do away with poverty and other evils is therefore not a valid argument against Socialism. In general, however, Socialists favor the extension of government ownership. They look upon it as the development within the capitalist order of the political and industrial forms which the proletariat will some day inherit and transform into the Socialist State.

SUMMARY

1. Large scale production saves in the purchase of raw materials in the marketing of the product, in the application of power, in labor, and in the utilization of by-products.

2. Combination saves in the cost of salesmen, in the elimination of cross-freights, in the elimination of poorly located plants and in comparative accounting and demonstration.

3. Monopolistic combinations embody the advantages of large scale production and combination with the power to control markets and prices.

4. Monopoly in spite of its dangers is a distinct forward step and is an inevitable feature of modern industrial conditions.

5. Socialists regard State regulation of monopoly as wasteful, bureaucratic and ineffective.

6. The public ownership of public service utilities and "State Socialism" have distinct advantages, but cannot be regarded as solutions of the social problem.

QUESTIONS

1. What are the specific advantages of large scale production? Of combination? Of monopoly?

2. What have been the usual forms of monopolistic combination in the United States?

3. What are natural monopolies? Why are they so called?

4. What is meant by the "Doctrine of restraint of trade"?

5. Why do Socialists regard State regulation as likely to fail?

6. How may monopoly benefit the consumer?

7. What are the advantages of the public ownership of traction facilities? What are the objections to public ownership?

8. To what extent do we have "State Socialism" in the United States?

LITERATURE

Ely, R. T., Monopolies and Trusts.

Howe, F. C., The City, the Hope of Democracy, Chap. IX.

Jenks, J. W., The Trust Problem.

Report of the United States Industrial Commission, Vol. I.
Ripley, W. Z. (editor), Trusts, Pools and Corporations.
Shaw, Albert, Municipal Government in Great Britain.
Tarbell, Ida M., History of the Standard Oil Company.

PART III

THE SOCIALIST IDEAL

CHAPTER XVI

THE UTOPIAN SOCIALIST IDEAL

The ideal of perfection: In every age of civilization there have always been idealists who, realizing the imperfections and injustices of the world as it is, have endeavored to formulate their conceptions of the world as it ought to be. Mankind has always had a weakness for these beautiful pictures of a perfected world, and many of them have given rise to sects and societies working for the realization of the ideal. The picture drawn is usually nothing more than the literary expression of the author's dreams, without any intention of starting a movement or a revolution. Its influence in bringing about social changes depends upon the social and economic conditions existing at the time in the land of its origin. The Utopian ideal frequently merges imperceptibly into the concept of a future life beyond the grave, and in writings of a mystical type it is sometimes difficult to tell which is meant, the earthly paradise of the future or the paradise in which dwell the spirits of the blessed dead.

The Utopias present themselves to us in almost infinite variety and they form one of the most interesting chapters in the world's literature. It will be impossible for us to do more than notice briefly a few of the most important of these pictures and the movements which have followed them.

Ancient Utopias: One of the first definite pictures of an ideal world is the Republic of Plato, one of the great masterpieces of literature. It is remarkable that even the great Athenian philosopher could not conceive of a society which was much more than the Athens he knew and loved with the more obvious defects removed. Communism still existed to a very large extent in Athens, but only within the limited cultured class. Beneath were the slaves, who far out

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