The Princeton union. [volume] (Princeton, Minn.) 1876-1976, 1892-04-21
"A GREAT COMBINE 3.
Minority Report in the Grain
Investigation Case Sub
mitted.
Mr.. Moore Finds a Great Com
bine Organized to Lower
Prices.


over 20, 600 words. A synopsis is given be.
low:
Representative Moore first expresses his re-
grets for being unable to sign the majority re-
port. In his opinion the duty of the committee
was TO report the evidence, something more
on the serious topics covered by the investiga-
ton. 1t was the committees duty, he believed.
70 report specific findings when fully justified by
the evidence i'll order that thew nav be the ba sis
Tor the recommendations for legislation. He
could not sign the majority report because it
d1u not make specific findings, or such findings
as ne tnought ought to be made in view of the
Mr.: Moore then explains the reasons
which moved him to coincide with most of
the conclusions o. the majority report.
Speaking OF the combine the minority
report states:
THE COMBINE.
cannot agree with the finding in the majority
report Cnat the evidence fails to disclose a com
pine which fixes the price to be paid for wheat
throughout the regions of Minnesota and the
Northwest; On the contrary 1 most consci-
before this committee it cannot be successfully
denled that such q combine does exist through
OUT me state OF Minnesota and the Northwest
ana CnaC the direct effect of such combine is to
deprive the producer of wheat of large Der
cent OF the profits of his industry,
UNDER THE Law OF SUPPLY AND DEMAND,
Duluth and Minneapolis should have three
ment III liking the price Of Mime sota grain than
Chicago and Milwaukee. What fiction prevents
TINS natural application of the law OF supply
ana demand to the market at Duluth and Min
neapolis? If Chicago, with the wheat aggregated
at Milwaukee. having but little over Fl 600
Ooo bushels to its credit can fix the price for
15, ooo,oOo bushels gathered at Duluth and
Minneapolis it most certainly is done by some
power other than law of supply and demand 10
complete the logic of this reasoning let it be un--
deTstood that the evidence in this case discoses
rail fro,,
luth to the seaboard as reported in the testi-
mony taken July 2, 1891, and March 1892.
make the freight from Duluth to the seaboard
the nearly equal rate and freight from Chicago
to the SeabOard.
Bear in mind in this connection that the ton
mage to and from Duluth is the equal of the
tonnage to and from Chicago. The freight being
practically the same from Duluth to the sea-
board as it is from Chicago to the seaboard the
tonnage OF the two ports being equal what IA
clltty, what power. what influence is it which
permits Chicago, with twentgone millions to
govern the price of sixty-three million bushels
at Duluth? The situation OF the Duluth and
Mlnneapolls markets-the1r PROSTATE situa-
ton to the influence of an unna tural combined is
doubly told and described when it is ascer-
tanned from the testimony and all admittedfac
that the price of wheat at Duluth is permitted
and forced to be the price at Chicago, less the
freight rate from Duluth. quote now the tet-
trnony OF Mr. Amsden bearing upon this ques-
lion, which is here introduced.
NOW WHAT POWER
or what influence could possibly make the diff
ference of 6b cents between Chicago and Duluth
unless some power foreign to the law OF supply
and demand arbitrarily fixes this difference?
Why does not the 63.OOO,OOO bushels OF wheat
at duluth and Minneapolis control the Fl OOO,-
900 at Chicago and Milwaukee? 1t may be that
my brethren on the committee do not under
stand the word combine to mean what under
stand that word means. If my brethren on the
committee understand that no combine has
the two or three or more persons who sit down
and arbitrarily fix the price of wheat at Duluth
and Minneapolis, then must agree with them
that the evidence has not reached SO far into tie
heart Of this com bine as to discover the names
OF these two three or four Individuals But
the word combine as used by me and as believed
price of wheat Ill Minnesota and the Northwest
is rather that the price is unnaturally fixed and
enforced by those interested in the gathering OF
npon other than the natural competitive and
honorable principles: There can be no just rea-
son why, with equal facilities and with equal
should not rather control the 21.OOO,oOo tribu-
tary to Chicago than be controlled by it, What
mean by combine is that the united action of
all the dealers in wheat in Minnesota and the
Northwest is based upon the fiction that the
price OF wheat at Chicago necessarily governs
the price at Duluth and Minneapolis. That the
entire wheat business OF Minnesota and the
Northwest is carried on under this diction is
logically admitted by every witness who has
been before the committee. How is this accom-
pl1shed?
that there is located. at Minneapolis g. board
called the chamber ofcornlnerce, and at Duluth
q similar board called the board of trade The
testimony shows that these boards are COM
posed, SO far as the wheat dealing interests are
concerned, OF dealers in wheat, both elevator
men and commission merchants. with q few
boards meet daily and transact between them
selves the purchase and sale OF wheat. It is
also conceded that these sales are largely fcti-
tious sales. It must BIO borne in MUD that the
wheat Minnesota Northwest
escape these dealers who control the board of
trade at Duluth and the chamber OF commerce
along the different lines of railroad throughout
this wheat region. They have all the facilities
at the lake ports. 1t is impossible for any con-
siderable amount of wheat to escape their
handling. They necessarily have the sympathy,
If not the cooperation Of all the lines of trans
portation. 1t seems, from the testimony, that
wheat each day, the closing price which they
make on the preceding day. And how do they
make the price? Do they fix the price in regard
to the value OF the wheat as calculated by the
law OF supply and demand the freight rates and
the facilities for export? If this were honestly
done, the law of supply and demand, natural in
its character, would necessarily govern ths
price paid for wheat. It matters not whether
this price is fixed in open board or by secret
committee. 1t is price which they, the Gle.
vat xator men and dealers tx It is the result OF
vator and commission men. 1t makes no diff
ference by what means it is ascertained, fixed
OF agreed upOu.I Line testimony, as referred to
hereinbefore, fully establishes the fact that
every elevator man i'll the Northwest adopts
the list price promulgated
.. BY THEIR COMMON AGENT,
Frank n. Irons at Minneapolis, and whether
the elevators and dealers shall deny that Frank
Irons fixes tho price. and shall claim that such
price is fixed by themselves eitherin open board
or by committee, or In whatsoever way they
shall fix the same, and afterwards communi-
Gated to their general agent, Frank Irons. Why
do they not fix the price III accordance with the
law OF supply and demand? In order to under
stand this question. it is necessary to refer to
deductions and inferences which follow the testi-
mony. It Is the testimony OF all persons ex-
amined on that subject that the price ut Minne-
apolis is the price ut Chicago less freight from
Minneapolis to Chicago This is the agreement
of the dealers and elevator men. This is the
combine.
That there is no power In the business circles
which. emanating through the boards OF trade
the transportation lines or from whatever
source engaged in the wheat traffic in Minnesota
and the Northwest which confronts the despot-
ism OF this forced condition of the market. is
the highest proof to my mind OF the existence of
THE MOST TREMENDOUS COMBINE
that was ever known in the history of the world,
and that this can exist only by virtue Of an un-
natural law is another proof of conspiracy; for,
In the absence of a conspiracy, Gods natural
laws take their own course. No one VINO reads
the testimony can fail to see that this condi
ton is brought about by conspiracy, surely
reflected in the care which the elevator
companies and all the dealers and even the lines
OF transportation have exercised to maintain
the price list promulgated by Frank H. Irons