The 10,000-mi. travel diary of Hubert R. Knickerbocker, first correspondent to explore Red Russia thoroughly, came last week to the end of its 24 daily instalments in Manhattan's Evening Post, Philadelphia's Public Ledger.
Both Wall Street and Walnut Street were arrested by the series' title The Red Trade Menace, and startled by certain headlines: Famished Moscow Short All Food Except Bread; Red Railroads Collapse; Reds Use Forced Labor In Forests; Russia Ships Coal Here and Sells Below Cost.
There was another side to Correspondent Knickerbocker's report:
Yes, Moscow is on "iron rations" of food, clothing, shoes; but in remote, unheard-of-cities, in "strategic centres of production" such as Azbest, Magneto-gorsk and Dnieprostroy (see map), the diarist found abundant food, clothing and shoes for the new pampered aristocracy of toil.
Yes, the Red railways have "collapsed." There were 30,000 accidents during the Soviet fiscal year just ended, 1,000 deaths, 2,000 people maimed for life. During August alone 384 engines and 1,638 cars were wrecked beyond repair. But the railways, driven by the fierce will of Dictator Stalin to fulfill the Five-Year Plan, hauled 3,500,000 more carloads this year than last.
Yes, some Soviet timber is cut by "forced labor," but of a peculiar kind. Diarist Knickerbocker reported that these cutters appear to receive the same wages as other Soviet woodsmen. They are forced not to chop wood but to live in certain forest regions where such labor is the only sort in demand.
In a word, the "forced laborers" are former kulaks (rich farmers) dispossessed of their land by the Soviet program of "collectivizing farms." With grim humor, Mr. Knickerbocker was told that in Russia rich farmers had never worked before, would not work except under some compulsion, are now being "taught to work."
Yes, the Soviet Union is unquestionably selling grain, coal and oil abroad for less than production cost in rubles at 50¢ per ruble.
But only in Moscow is the ruble quoted at 50¢. On foreign exchange, foreign bankers quote it at but 6¢ or 7¢. On that basis the cost of grain, coal and oil produced in Russia is definitely less than the sales price abroad.
Thus the value which a man sets upon the ruble determines for him whether the Soviet State is guilty or not guilty of "dumping." If one believes the ruble is worth 50¢, one finds Russia guilty; if one believes the ruble is worth 10¢ or less, one finds her not guilty.
In the mind of Diarist Knickerbocker lurks no doubt. "With the ruble at its actual value," he wrote, "the Soviet Union is exporting, in all cases, at a large profit." The Red State, therefore, is not guilty of "dumping abroad," is guilty of inflating its own currency.
Things Seen. Staggering were some of the things Diarist Knickerbocker noted on his 10,000-mi. swing around Reds.
. . . Peasants selling farm-made boots for "the standard price" of $75 per pair in shoe-short Moscow. . . . Twenty-one U. S. engineers & wives in "Austingrad" where foundations 2,000 ft. long are now in for the $20,000,000 Soviet Ford factory.