"What sort of educational program can we devise that will subserve all the various national policies--that will enable Germany to be a great scientific nation, that will enable it to carry on an aggressive colonial and industrial policy, and yet not throw us into the arms of democracy? Their present educational system is their highly effective reply. "Our problem is a very different one," Dr. Flexner remarks. "Our historic educational problem has been and is quite independent of any position we might be able to achieve in the world. That problem has always been: How can we frame conditions in which individuals can realize the best that is in them?" Dr. Flexner is then reported to have quoted the following from a Springfield Republican editorial:-- "Germany could readily train her masses with a view to industrial efficiency, whereas our industrial efficiency is only one of the efficiencies we care about; the American wishes to develop in many other ways, and to have his educational system help him to do it." [56] _New York Times_, Nov. 12, 1911. [57] F. H. Streightoff, "The Standard of Living among the Industrial People of America." [58] Interview with Sir Joseph Ward, New York, April 15, 1911. [59] Winston Churchill, _op. cit._, p. 325. [60] Winston Churchill, _op. cit._, p. 186. [61] Winston Churchill, _op. cit._, pp. 240, 243. [62] Winston Churchill, _op. cit._, pp. 250, 252. [63] Lloyd George, _op. cit._, pp. 68-69. [64] Winston Churchill, _op. cit._, p. 197. [65] Winston Churchill, _op. cit._, p. 197. [66] The _Outlook_, June, 1911. [67] Sidney Webb, the _Contemporary Review_ (1908) and "Basis and Policy of Socialism," pp. 83, 84. [68] The _Survey_ (New York), 1910, pp. 81-82, 466, 731-732. [69] H. G. Wells, "First and Last Things," p. 133. [70] Edmond Kelly, "Twentieth-Century Socialism," p. 314. [71] _Vorwaerts_ (Milwaukee), Feb. 3, 1898. CHAPTER V COMPULSORY ARBITRATION So far I have spoken only of the constructive side of the new capitalism's labor program, its purpose to produce healthy and industrially efficient laborers so as to increase profits. "State Socialism" gives the workingman as a citizen certain carefully measured political rights, and legislates actively in his behalf as a profit-producing employee at work, but its policy is reversed the moment it deals with him and his organizations _as owners and sellers of labor_. Towards the individual workers, who are completely powerless either politically or economically until they are organized, the new capitalism is, on the whole, both benevolent and actually beneficent. But it does not propose that organized labor shall obtain a power either in industry or in government in any way comparable to that of organized capital.