The Guardian And Evening Star with, which is incorporated the West Coast Times. MONDAY, JUNE 25, 1928. LAW OF SUPPLY AND DEMAND.

Hokitika Guardian, 25 June 1928, Page 2

The Guardian And Evening Star with, which is incorporated the West Coast Times. MONDAY, JUNE 25, 1928. LAW OF SUPPLY AND DEMAND.

In the coal inquiry being conducted by the United States Senate Committee one of the members, says a report, after expressing the opinion that the law of supply and demand “if put intp force would bring this country to the same condition as far as labor is concerned as Europe is,” asked a witness if the law of the survival of the fittest “has any place in civilised society?” The witness is reported as saying: “Senator, the law of supply and demand is a. jungle law, but I don’t know how to stop it.” Is there anything ethically wrong in the law of supply and demand.or the tendency for the fittest to survive over the less fi't ? “Survival in the business world means continuance where one is or in wliat he is doing, and it frequently happens that the best fortune that ever befalls an individual is that of being compelled to change from where lie is or from what he is doing or from his manner of doing it. There is a good deal of hit-and-miss about the distribution of the population in the employments, and the law of supply and demand is always attending to correct the mistakes. The “law” is simply a name for a natural tendency for supply and demand to meet and satisfy each other. It is said that nature abhors a vacuum and it may l>o said also to abhor a demand without a supply or a supply in excess of the demand. It is always working to maintain or restore the equilibrium throughout the industries. Wherever an increased supply is wanted to' meet a demand, an ineentive appears in the market price, and on the other hand', wherever a supply is in excess of the demand, the market price tends to decline, gradually at first and serving tho double purpose of increasing consumption and warning against the continuance of a surplus which cannot ho used. Why should this economic law, which tends to distribute the working population in the various industries and occupations in the proportions which will produce the best results, be called the law of the jungle? Evidently this has reference to the competitive conditions which sometimes arise when all the warnings of the law are disregarded and certain industries are overcrowded. There is competitive warfare of the jungle kind, with resort to trickery, deception and unfair practices, hut it is not as typical of business life as is honourable competition in which merit wins to the advantage of everybodv. Competition in the sense of a fair test and comparison of ' abilities to render service is the most effective means otf perfecting the industrial organisation, and of placing individuals where they will be most useful. The history of industrial and social development is a continuous story of the competition of new ways of doing things with the old ways, and although the issue always has been that of the . survival! of the fittest, and oveiy change has involved more or less discomfort or temporary loss to some persons, Society has moved forward by means of the changes. The railroads drove the stage coaches out of business, the trolleys drove out the horse ears and the automobile has been making a lot' of trouble for both trolleys and steam railroads. Men are thrown out of employment temporarily, and investments are depreciated or wiped out by these innovations, hut what can be done about it, except to agree that whatever is demonstrated to be fittest for its purpose shall be welcomed and adopted? '