FILENE SEES INDUSTRY AS BULWARK OF PEACE

"If the existing political conditions in Europe are not radically changed, another war is imminent," Mr. Edward Filene, well-known international economist, said in opening his speech on "American Business and World Peace" last night at the Phillips Brooks House. "As long as the people of Europe are in want of food or the other necessities of life, there is bound to be unrest, changing governments and racial atred. At present through the inflation and consequent decline of the European currencies, they are forced to resort to exportation even at a loss to get our foodstuffs in return.

Mass Production is Solution

"The solution for these problems in Europe as well as the resulting problem of super-competition in America is mass production. By mass production of sufficient magnitude we can lower prices and raise wages so that the working people will be able to have an ample share of the comforts of life. It may seem visionary to expect that wages will be raised with the lowering of prices, but higher wages become an inevitable part of even a selfish scheme of mass production. For the producers must have consumers for their products and they can best be assured of them by raising the wages of their employees so as to make liberal consumers of them. The greatest testimony to the success of this scheme is the Ford automobile industry. Ford makes the cheapest and yet best product of its kind, pays double wages, and yet makes more himself than anyone else in American industry. At the same time his men do not become more machines, nor is their life reft of beauty as we often hear.

Working Day to be Cut Down

"By an elimination of the waste in industry we can not only increase output, but we can cut down the average working day to five or six hours, and thus afford the worker with an increased chance to broaden and enjoy his life.

"I recently asked the Chancellor of Germany what he thought would become of the political difficulties he was combatting, if all prices were suddenly reduced by one half. Although he said that this was merely an idle fancy, he finally bad to agree with me that if it could be done the political problems would disappear like smoke. On the purchasing power of the mass of the people the security and peace of the World undoubtedly depends, and the only way to make this purchasing power sufficiently great is through scientific and mass production."