The Bottineau pioneer. (Bottineau, N.D.) 1885-1895, 1890-05-24
Great PROFIT. 81 tho Sugar Trust.

1t has been recently stated that the
profits Of the great sugar trust are equal
to from 80 to 40 per cent. on the capital
actually invested. The appraised valua-
ton of the different concerns on entering
the trust was about SIS ,0O0, 900. In Civ
ing out certificates Of capital to the mem
bers Of the combination the capital was
raised to three times that amount.
The motive Of this is plain. The enor-
nous profits OF the trust, il reckoned on
a capital OF $50, 0OO,0 OO, appear less ex-
orbitant than If reckoned on the actual
capital and attract less attention and
hostility from the public.
Meanwhile the head Of the trust, Theo-
dore F. Havemeyer, defends himself
very logically by the principles Of the
protectionists in the following style:
'sThe great cry Of Of the great par
ties is for protection; that is, they cry
for it loudly during campaigns. But
when we proceed to give ourselves some
protection q howl is raised. They de-
mand protection for the industries.
When an industry protects itself it is
said that it is illegal"
The sugar trust is a very shrewd and
daring ''infant industry" it seizes the
thunder Of the protectionist Jove and
uses it for its own ends. The trust is
thoroughly logical. II it is q good thing
to have the products Of American mills
and factories increased in price to the
consumer above their normal value, why
may not different branches Of industry
form trusts to raise prices and thus pro-
tect themselves? They will realize larger
returns on their capital, and that means
protection to the American laborer; for
it is n Of the beautiful dogmas Of our
protectionist teachers that the more
money the employer makes the higher
the wages Of the laborer will be. Il
Good pro~tectionists ought really to ap-
plaud Mr., Havemeyer and his associates
in the trust, and ought to hold them up
to the admiration Of the people.
And the ought not to COM
plain. If protection is to raise prices to
him at all, it really matters very little
whether it come through congressional
enactment or whether it be the result Of
private combination.
Consumers ought to be more consid-
crate, and not to denounce Mr.. Have
meyer as an 'all round villain"
We should remember that a trust is
purely a private affair."" with which
the government has nothing to do.
Meanwhile the sugar trust is firmly
holding it's ground behind a wall Of 81
per cent. average ad valorem duties; and
the reduction on raw sugar without
any reduction on refined sugar-as is re-
ported to be the plan Of Mr.. McKinley's
committee, provided he a get the con-
sent Of the Kansas representatives for
any reduction at all-will only serve to
strengthen the defenses of the g
trust.
There is one practical way to turn the
position of the trust; and common sense
people cannot see why that should not
be adopted. Mr.. Mckinley himself said
to an Ohio audience during the campaign
in that state last fall: whenever this
free competition is evaded or avoided by
combinations Of individuals or corpora
tions, the duty should be reduced and
foreign competition promptly invited"
So, after all the wild and windy dec
lamation of Republican stump speakers
In election times, their ablest leaders do
believe that the tariff raises the price Of
goods to the consumer. If the tariff
does not raise prices, then Mr.. McKin.
ley's fine sentence would lose its point,
for it would be, q foolish procedure 10
strike at the sugar trust by the removal
~& l,,kS,c 80 kI,nco I,,%snc lo n~k I-1oo a.
prices up.
We are now collecting $50, zoo, 900 q
year in duties on ~sugar-the poor bear
ing a relatively much higher proportion
of the burden than the rich-and until
the present Republican congress assem-
bled everybody supposed that the govern
ment had no need for this enormous sum-.
Now, however, it seems that congress is
making away with the surplus in such a
record breaking style, and is carrying
out SO fully the late Corporal Tanners
exclamation, ITO hell with the surplus!''
that instead Of a surplus we are to have
q deficit, and that there is more method
than madness in Mr.. McKinley's drag
net process for finding new subjects Of
taxation.
From present appearances the sugar
trust has nothing to fear.
Since congress assembled In December
three bills against trusts have been intro
duced In the senate and fifteen in the
house. The most important Of these Is
the bill Of Senator Sherman. The sena-
tor was quoted some time ago as saving