their hours by agreement with employers. The national unions, however,
for the most part left the matter to the local unions for settlement as
their strength or local conditions might dictate. In some cases the
local unions were advised to accept a reduction of wages in order to
secure the system, showing faith in Steward's theory that such reduction
could not be permanent.

The movement to establish the eight-hour day through trade unionism
reached its climax in the summer of 1872, when business prosperity was
at its height. This year witnessed in New York City a general eight-hour
strike. However, it succeeded in only a few trades, and even there the
gain was only temporary, since it was lost during the years of
depression which followed the financial panic of 1873.

To come back to the National Labor Union. At the second convention in
1867 the enthusiasm was transferred from eight-hour laws to the bizarre
social reform philosophy known as "greenbackism."

"Greenbackism" was, in substance, a plan to give the man without capital
an equal opportunity in business with his rich competitor. It meant
taking away from bankers and middlemen their control over credit and
thereby furnishing credit and capital through the aid of the government
to the producers of physical products. On its face greenbackism was a
program of currency reform and derived its name from the so-called
"greenback," the paper money issued during the Civil War. But it was
more than currency reform--it was industrial democracy.

"Greenbackism" was the American counterpart of the contemporary
radicalism of Europe. Its program had much in common with that of
Lassalle in Germany who would have the state lend its credit to