FOR CANADA, PEACE AND DEMOCRACY! ‘the working -people, the leadership of the Communists. The people and their govern- ments in the land of Socialism and the New Democracies reject the propaganda that a third world war is inevitable.’ They are building for peace. They stand in the fore- front of the world-democratic camp, on guard for democracy and peace. The U.S.S.R. and the New Democracies “are free from those acute contradictions and mutual rivalries which characterize the imperialist camp. Within the camp of the imperialist powers those rivalries are being aggravated by the drive to war. The forces desirous of peace and democratic progress are immeasurably stronger than is the camp of the imperialists striving for war. VI. COMING ECONOMIC CRISIS : — the end of the war Ottawa and big business have connived with, and sur- rendered to Wall St. on all major ‘political and economic questions. By increasing Cana- da’s subordination to U.S. dollar imperialism the factors making for economic crisis have been accelerated. This betrayal of the na- tional interests ensures that Canada will suffer the sharpest impact of the coming economic crash in the United States. Here are the facts: *& By July 1948, Canadian industrial pro- duction had declined 24.5 points from the (1944 output peak of 198.8. From April to ' July 1948, the production index dropped by. 10 points, an indicator of the serious effects of the Abbott-Howe austerity .plans imposed in November 1947 as part of a long range plan to make Canada an' economic and _ political dependency of the U.S. %& Over four million acres of wheat have been taken out of production since 1940, %*& Retail sales are falling off and commo- dities are piling up in manufacturers’ ware- houses. Inflation has reduced the value of the worker’s dollar to about 50 cents as compared to the pre-war dollar, as corporate - profits steadily rise. —t% The official cost-of-living index only partially reveals the truth: that the dinner tables of Canada’s families have been ruth- _lessly robbed by the profiteering trusts since the Liberals and Tories combined. in 1946 to scuttle price and profit controls. In five years of war the index went up 18.9 points, In three years of peace it has risen more than 40 points. The food index is now up to 203.9. Consumer prices are at the highest level in Canadian history—approximating prices in the U.S. while wages remain considerably lower. : : %* In 1947 investment income received by the capitalists was $2,300 million, compared to $1,700 million in 1944 at the peak of wartime production, an increase of $600 million, At the wartime peak the operating : of 411 Canadian corporations was million; in 1947 these same companies got $787 million, an increase of $200 mil- lion, or over 33 percent. , "THESE factors making for economic ‘crisis _ have been sharply accelerated in the past year since the adoption of the Abbott-Howe austerity plans, by which the Dominion gov- ernment is seeking to protect the predatory interests of finance-capital and its monopolies at the expense of the great mass of Canada’s » people. In November 1947 the Labor-Pro- ive Party warned that the Abbott plan with its restrictions on consumption and ion, higher taxes and the $300. million a = from Wall aie would weaken Canis ; id strengthen U.S. monopoly control an influence over Canada’s SR We warned Canadians that the Abbott plan was part of ‘the arrangement by which the Dominion government saerificed a large sector of Cana- da’s export markets, reduced Canadian ex- ports to the United Kingdom, and is subor- dinating our national economic development to U.S. interests. That condemnation has been justified by events. A definite policy has been adopted to shift the emphasis of Canadian production » more and more towards supplying raw mater- als for export to the U.S. Canadian exports are being directed where Wall Street wants them to go, in line with the war objectives of the Truman-Marshall plan, bringing dis- ruption to Canada’s ‘traditional export trade, and laying the basis for a sharper and deeper crisis m the status of the Canadian dollar and the balance of payments to the U.S. re of U.S. pressures to depress Canadian wage past year has also seen harsh evidence levels and to weaken Canada’s trade union movement. This is the meaning of the barring of union organizers and dele- gates from entry into the U.S. and the cooperation with U.S. monopolists and of right-wing AFL and CIO officials to break up unions such as the metal miners, lumber- workers and seamen’s unions, to imprison and deport union militants, and to introduce into Canada the anti-union Taft-Hartley Act. ¢ The peak of the post-war boom is past. The cycle of expansion of new construction and productive capacity, which were the main factors of that boom, is ending. The men of Wall Street have embarked on a reckless course based upon the illusion that they can* avert economic crisis by preparing for war. That is what Hitler thought: with terrible results for the world. U.S. armament expenditures in 1948 alone amount to $14 billion. Marshall Plan expen- ditures will exceed $5 billion in its first year. The stock-piling of strategic war materials ‘mean further great expenditures. Tax reduc- tions and refunds of excess war profits have given additional billions to the U.S. mono- polists, while inflationary prices have brought havoc to the people’s living standards. All of this creates acute economic contradictions which affect Canada as well as the U.S. T IS a myth, unfounded by economic realities, that U.S. finance capital will be able to revive the capitalist economies of Europe. The Marshall Plan is not solving Europe’s economic problems but is aggravat- ing them. Priority is given to the rebuilding of war industry in Western Germany which weakens Britain and France still further. War is given priority over peaceful reconstruction. While the capitalist markets of the world cannot absorb America’s capital goods sur- plus, the countries of Socialism and New Democracy, the colonial and dependent lands would be glad to receive and pay for them— on terms which did not involve submitting to U.S. imperialist domination. But the spe- cific aim of the Truman-Marshall Plan is to block such peaceful cooperation. (CAPITALIST boom, soaring profits, fever- ish expansion of the capital goods indus- tries, decline of the people’s living standards, accompanied by inflation and over-expansion of credit, the drive towards war and fascism —these are the conditions which foreshadow * the coming crash. All of these factors are - present in U.S. and Canadian life today. Capitalism breeds economic crisis, Only So- cialism can finally conquer and eliminate the contradictions which make capitalist crises inevitable. The immediate task for labor and the people is that of struggle against the policies and mex who are leading our country to disaster: Curbing the monopolies, cooperation for the peaceful development of world trade between the capitalist and socialist sectors of the world, measures to raise the living standards of the people, the fight for peace: these are the things necessary to fight against the menacing crisis. VII. CANADIAN POLITICAL PERSPECTIVES : INCE the end of World War II the working class of Canada has put up stubborn battles on the fronts of wage demands, prices, housing and civil liberties. There is a growing anxiety among the people over the danger of war and the consequences of the pro-Wall St. policies of Ottawa. The experiences and struggles of these three years have strengthened the trend away from the Liberal and Tory old-line parties, and there- by profoundly aggravated the elements of crisis which have beset those parties since the “Hungry Thirties’. Canada’s political perspective is one of sharper, deeper class conflict between the camp of big business reaction and’the forces of labor and democracy. Reflccting this, there is under way a regrouping of political forces throughout the country. The basic trend in both old-line parties ‘is towards the merging of their policies in sup- port of the main war aims of Wall Street and- Canadian monopoly. This is der-onstrat- ed by the unanimity of Liberal and Tory parties in their choice of national leaders. St. Laurent is the choice of St. James: St. and clerical reaction; George Drew is the man of Bay St. and the mining trusts. St. Laurent is the evil genius of the U.S.-inspired Western war alliance; Drew is the No. 1 anti-Soviet warmonger. _ Behind the shadow-boxing of the Liberal and Tory politicians, which will increase with the approach of the federal elections, there is absolute unanimity between the St. Lau- rent and Drew forces on the fundamentals of ‘reaction and. war. The Tories have established an alliance with the leadership of the Social Credit movement. In Quebec the. tie-up of the Progressive Conservatives with the near-fas- cist Union Nationale of Duplessis is now being extended to the reactionary right wing nationalist forces around Houde and_his Parti Canadien. The Ontario elections of this year clearly showed that the Progressive Conservatives had a working agreement be- hind the scenes, through Duplessis, with the Catholic hierarchy. : GETHER with the tendency towards coalescing of the old-line parties of mon- opoly, there is a reaching out for new mediums to deceive the people and hold them back from struggle and_ progressive political action, Both old-line parties are exerting every possible effort to penetrate the ranks of the labor movement and wreck it from within. They buy traitors. They expend enormous sums to flood the country and the labor movement in particular with Hitlerite red- baiting propaganda. Reaction is doing its utmost to influence and bring within the orbit of its war policies the democratic masses of the people, including the support- ers of the CCF, . 3 It would be a serious mistake for the working class to under-estimate the effective- ness of ‘these attempts. ‘Against this minority gang-up of big busi- » ness and its political henchmen, the majority of this country belong in the camp of peace, democracy and Canadian independence. The supreme need is that the working class movement realize the urgency and peril of the hour; that the opportunity be grasped to bring together this majority in united’ action, the majority forces of Canada—labor, farm- ers, youth, housewives, veterans, middle-class, French and English-speaking—to save Canada and peace. The Labor-Progressive Party calls upon all peace-loving Canadians to unite, defeat the warmongers, prevent a third world war. VIII. RIGHT WING SOCIAL DEMOCRACY AIDS THE IMPERIALIST Ss Te main reason the warmakers have not been defeated and repudiated by labor and its democratic, allies, is the confusion, misrepresentation and division fostered by right-wing social democrats in the labor movement. On all fundamental issues right-wing social democrats—including the leaders of the CCF >~are in the same camp with the avowedly imperialist politicians. They support the Marshall Plan and the Western Union mili- tary pact for anti-Soviet war. In .Canada they give active support to the King-St. Lau- rent policies of involvement of Canada as a satellite in the Western war alliance and tie the sections of labor under their control to these criminal Liberal-Tory ’ policies, They strive to stiflle with red-baiting every indica- tion of opposition to these policies, including honest attempts from within the CEF to modify the foreign policy line of the tight- wing leadership. The declaration of M. le Coldwell that “no nation, no people can resist successfully our way of life” is as clear an expression of solidarity with Wall St. as his brazen appeal to the Soviet people to “get rid of Stalin”., Reactionaries .in the top circles of the trade union movement in North America, in cooperation with right-wing social democrats in Europe, are. splitting trade unions in the Marshall Plan countries. wherever possible. They are encouraging strike-breaking, trying to split the World Federation of Trade Uni- ons and seeking to establish a “Marshall Plan . international” of .rump unions. In Canada right-wing social democrats carry on a parallel campaign to that of the most reactionary sections of the capitalist class against every union which enjoys progressive leadership. Under pressure of its dominant right-wing the national convention of the CCF joined with the Canada Steamship s Lines Co. in the vicious campaign of red- baiting against the Canadian Seamen’s Union. IX. WAR NOT INEVITABLE i Bese No. 1 task of the Labor-Progressive Party today is to unite peace-loving Canadians in the fight to prevent a world atomic war. A third world war is not inevitable. The interests striving for war can be defeated. The lie that war with the Soviet Union is unavoidable, the lie that Canada is in, danger of invasion, the lie that U.S. and Canadian imperialists are concerned only to preserve democracy, the lie that the Marshall Plan is a humanitarian project to feed Europe and: help its economic recovery, the lie that a war against the Soviet Union would be only “a thirty days war”, the lie that the Soviet Union is preparing for aggression— each of those and others of the same type being fostered by all the tremendous facili- ties for capitalist propaganda, are examples of the “tell it to: them often enough” tech- nique used with such ghastly results against democracy by Hitler. HE truth is clear and irrefutable. No country or group of countries is threat- ening North America or any democratic interests of Canada or the United States. There will not be war, unless we, the people of North America, permit Wall Street, Washington and Ottawa to start one. The only threat to the peace of the world today is the threat in the aggressive war prepara- tions and propaganda of United States im-~ perialism and its satellites. The reckless war preparations that Louis St. Laurent pretends are for our “defence” are in fact a part of United States preparations for a war of conquest across the seas. The U.S. and British governments created the Berlin crisis and they are now cynically preventing its solution. Wall Street is out to dominate the world. Its Marshall Plan is a plan to replace Anglo-French supremacy in Western Europe ‘with the supremacy of U.S. imperialism. It is a desperate attempt to stop the spread of democracy and of socialism,. an attempt to save the capitalist system, by atomic war. The 1946 convention of the Labor-Pro- gressive Party warned Canadians that: “This grim prospect, which would mean devastation and ruin for our country is not inevitable. To avert it requires that Cana- dians grasp now all the implications of the deep-going conflict that is under way between the forces of peace and those who are striving for war”. . . . “People’s unity against pro-fascist reaction is the urgent, imperative need; and bold initiative and leadership by the labor movement is the prime condition for its achievement”. The people of Canada want peace. The people of Canada want international cooper- ation. Labor must lead a great nation-wide crusade to defeat the warmongers. The La- bor-Progressive Party will strive with all its energy to arouse and mobilize democratic public opinion in Support of an independent Canadian peace policy. e e e EOPLE’S unity against the drive to war corresponds with the proudest traditions and the universal national aspirations of the people of French Canada. The fight against the war plans of monopoly-capital is part of the struggle to win full and. unequivocal national equality for French Canada. The struggle for full national equality, for social Progress, for restoration of trade union and - civil rights, in Quebec, is a struggle against € war camp in that province. In the struggle to keep Canada out of war, Canadians of French descent and Canadians of non-French descent fight shoul- der to shoulder in defence of their mutual democratic interests and the interests of our country, against war-mongering finance-capi- tal and its trusts and monopolies, its fascist allies and aims, which know no national loyalties—which drive only to protect their profits by fascist reaction and war. The Labor-Progressive Party associates it- self with the profound Opposition of the demo- cratic people of French Canada against the involvement of our country in imperialist war. The Labor-Progressive Party emphasizes that, in French Canada, the Jabor movement must accept a ‘special responsibility in this struggle. French and non-French workers are united in labor’s inescapable struggle against monopoly-capital and its striving for repres- sion, fascism and war. The highest national ideals of Canadians of French descent find clear expression in the labor movement. _ It will be the task of the LPP to help PACIFIC TRIBUNE — NOVEMBER 65, 1948 — PAGE 6 ‘