hird larger annually than its consumption." Also a
fellow-Senator, Chauncey Depew, said: "The American people
produce annually two billions more wealth than they
consume."

"Sell them to countries with undeveloped resources," Mr. Kowalt
suggested.

"The very thing. You see, my argument is so clear and simple that
in your own minds you carry it on for me. And now for the next step.
Suppose the United States disposes of its surplus to a country with
undeveloped resources like, say, Brazil. Remember this surplus is over
and above trade, which articles of trade have been consumed. What, then,
does the United States get in return from Brazil?"

"Gold," said Mr. Kowalt.

"But there is only so much gold, and not much of it, in the world,"
Ernest objected.

"Gold in the form of securities and bonds and so forth," Mr. Kowalt
amended.

"Now you've struck it," Ernest said. "From Brazil the United States, in
return for her surplus, gets bonds and securities. And what does that
mean? It means that the United States is coming to own railroads in
Brazil, factories, mines, and lands in Brazil. And what is the meaning
of that in turn?"

Mr. Kowalt pondered and shook his head.

"I'll tell you," Ernest continued. "It means that the resources of
Brazil are being developed. And now, the next point. When Brazil, under
the capitalist system, has developed her resources, she will herself
have an unconsumed surplus. Can she get rid of this surplus to the
United States? No, because the United States has herself a surplus. Can
the United States do what she previously did--get rid of her surplus to
Brazil? No, for Brazil now has a surplus, too.

"What happens? The United States and Brazil must both seek out other
countries with undeveloped resources, in order to unload the surpluses
on them. But by the very process of unloading the surpluses, the
resources of those countries are in turn developed. Soon they have
surpluses, and are seeking other countries on which to unload. Now,
gentlemen, follow me. The planet is only so large. There are only so
many countries in the world. What will happen when every country in
the world, down to the smallest and last, with a surplus in its hands,
stands confronting every other country with surpluses in their hands?"

He paused and regarded his listeners. The bepuzzlement in their faces
was delicious. Also, there was awe in their faces. Out of abstractions
Ernest had conjured a visi