new enterprises are unprofitable, then the loss falls upon the State, and consequently upon all taxpayers, and, consequently again, especially upon you, Gentlemen, upon the great class of the propertyless. If, on the other hand, the new enterprises are profitable, then the profit, the large dividends, come to us, the rich stockholders, and this is not obviated by the fact that in many countries—for instance in Prussia—certain very uncertain advantages for the State in a very distant future are stipulated, advantages which would result much sooner and much more abundantly from an association of the working class.
Without this intervention of the State, of which, as I have said, the guarantee of dividends was the weakest form, we should perhaps have no railroads on the whole continent today.
The fact is also unquestionable that the State was obliged to take this step; that the guarantee of dividends was a most pronounced intervention of the State, that, furthermore, this intervention took place in favor of the rich and well-to-do class, which also controls all capital and all credit, and which therefore could dispense with the intervention of the State far more easily than you; and that this intervention was called for by the whole capitalist class.
Why then did not a cry arise at that time against the guarantee of dividends as an inadmissible intervention of the State? Why was it not then discovered that by this guarantee the social incentive of the rich managers of those stock companies was threatened? Why was this guarantee of the State not decried as Socialism and Communism?
But forsooth, this intervention of the State was in the interests of the rich and well-to-do classes of society, and in that case it is entirely admissible and always has been! It is only when there is any question of intervention in favor of the poverty-stricken classes, in favor of the infinite majority, then it is "pure Socialism and Communism."
Give this answer, therefore, to those who wish to raise a howl about the inadmissibility of State intervention and the
