504 State Papers and Addresses

Of course, by comparison to the big corporations, many of these plants in
question are insignificant in size. In the aggregate, however, these smaller
industries constitute one of America's biggest institutions. Over a period of
years, they have developed to a point where innumerable towns and communi-
ties have depended on them for their very existence, and for a considerable per-
centage of consumer goods, the enjoyment of which has given to our American
people the highest standard of living in all the world.

Their threatened elimination from the economic set-up, therefore, assumes
importance too great to be visualized readily, or to be discounted. If they or
a great number of them, pass out of the picture, it has been estimated by the
National Association of Manufacturers that at least 3, 000, 000 persons now
working would be unemployed within six months, unless some method is found
to place vitally important defense work with these plants. Tied up so closely
with this as to be absolutely inseparable from such a development would be the
question of civilian morale. For civilian morale, as you well know, could be the
deciding factor in any war in which we might be forced to engage, just as in
the final analysis, it was the deciding factor in the rout of Germany's armies
during the last great World War.

We have been hearing and reading a lot lately about the question of army
morale. Much thought and attention has been given to this question by authori-
ties in Washington and by those charged with the training of the millions of
mem now under arms. Certainly you can't very well have morale in the Army,
however, without a corresponding morale behind the lines at home. To achieve
this civilian morale, it is going to be necessary to retain workers in industry,
and to keep plants going that will supply employment throughout the length
and breadth of America, as well as in the large centers of employment.

While every thought is being given to the development of our war industries
to the point where they may be adequate to supply our own needs, as well as
to make possible quickly the promised material aid to Great Britain and other
harassed countries, public officials generally, and. leaders in business* and in-
dustry have not lost sight of the fact that there is bound to be a post-war
period.

Further it is recognized that this post-war period needs attention now, if
we are to escape far worse conditions than those which throttled the world in
the depths of the depression of the early 30's. It is certain that if our post-war
economy is to be maintained at anything like the required level, we cannot
permit the many thousands of smaller industries to be abandoned or even
seriously curtailed, because to them we will have to turn, in great measure,
for employment and production which will be necessary for peace-time rehabili-
tation and re-adjustment once the war-time industry ceases.

It is to be admitted,. therefore, and I think every sensible business man and
woman realizes, that there are indeed serious times ahead for America and for
cur own State, even though we never fire a gun.

There are serious and busy times ahead for our civilian populations, too, if
the firing does begin. Never was there a war such as this one! Never before,
even when barbarians of the Middle Ages overran Europe, was their a more