The Providence news. (Providence [R.I.]) 1891-1906, 1894-12-26
REGARDING TRUSTS.

IL is more popular TO denounce the
business organizations known as
trusts" than 10 call attention
to the beneficial features they PEE
sent, though it is 10y no means fiji
cult to cons ruct very strong argument
favorable 10 trusts, looking at them
solely from the standpoint of their effect
upon society and entirely disregarding
their function as dividend-earner for
investors in their stock and bonds.
The two trusts that more nearly affect
the everyday life of the pc pie than the
other great business organizations that
are known by the name, are the Sugar
Trust and the Kerosene Oil Trust, the
operations of both of which are very
completely modelled upon the methods
commonly brought TO the front in con-
demuation of trusts. and blindly and
ignorantly paraded on every lossible
occasion.
Ii is quite possible to denounce the
treatment accorded to investors in these
trust secu les and yet discover grounds
for commendation that have far wider
application aud far deeper significance.
1t is no exaggeration to declare that there
is not "A household in America, of high
or low degree, that has not benefited
more or less through tie operations OF
the oil trust. 1t has brought To every
family the means of lighting homes, of
heating and OF cooking on small scale,
at cost that is but one-fifth what it
cost not many years ago, when the oil
was supplied by many independent
companies competing with each other.
Under the old system of riiuting
oil, the consumers Were taxed TO main
tain "A great number Of corps OF officials
as well as to pay profits to many sets of
stockholders and owners. These differ
ent firms and corporations were obliged
to keep up warfare with each other
constantly. which was cons ant and
unnecessary tax upon the consumes Of
oil.
Now, whatever the consequences TO
inNcSioiS, anu iudb StuSS VI ibdiCicir
who depend upon fuctuating stocks for
their profits. may be, and whitever the
Bellamyish gentlemen who insist that
all great corporations should segard the
public good first and profit second. may
excitedly assert, the vital fact is that
the oil monopoly has affected the great
mass of the people favorably, and only
favorably.
The same argument applies, with
more or less completeness, to the Sugar
Trust in its relation TO the consumers If
sugar. 1t has cheapened sugar materi-
ally. and thereby contributed its share,
perhaps, to the general reduction of the
staples required to maintain life that
has taken place during the past quarter
century. A great many wise gentlemen
have at various times concluded that they
had discovered way to use their IN oney
manipulating sugar stocks SO that they
would greatly profit. Sometimes these
gentlemen succeed, and then consider
trusts "A necessary factor In our industrial
and social development; and sometimes
they fail to realize the coveted profit,
and then the truth is forced home TO
them that trusts are inimical to Ameri-
can institutions.
II is not usual for commentators on
trusts TO take iull cognizance Of their
benefit to people at large, but that il
really the chief consideration. 1t is not
necessary to worry about money-nvest-
ors. They can take care OF themselves.
tt isHOtIutVutrt tr0Surupauytttng IKE
a defence of trusts, in any features that
operate against the pubic good. but it is
proper to suggest that the effect of trusts
upon the social fabric is essentially the
same as the effect Of pure socialism
would be, except that the prof fiis Of the
business are not as widely distributes;
aud whoever is interested in the tend
ency toward socialism cannot neglect TO
carefully consider the preparatory work
of the trusts, both in consolidating and
organ zing great industries and in habit
Mating people TO uniformity of method
and stability Of prices-stability, that
is, as compared with the unreasonable
fluctuations caused by destructive COM
petition.