The representative. [volume] (St. Paul, Minn.) 1893-1901, 1895-06-19
problem. Let us see If the facts bear us

as an individual, is limited. Even assoc
ciating with others under. the. form of a
co-partnership does not increase that ca
pacity in any marked degree for obvious
reasons. Where each is empowered to
enter into contracts and create Indebted
ness binding upon all; and each in turn
is l,ableS for the acts OF all, there can be
no great and powerful aggregation. The
risk is too large for prudent men to as
sumo. To make a large combination eff
~fective, or even possible, artificial means
must be resorted to. In the first place,
the limiting of liabilities, for the acts of
others, Is a powerful factor. In the next
place, vesting the power to enter into
contracts II to create Indebtedness, in
the hands of one man, or a board of a
few men, remove the other difficulty. But
in~order that these artificial advantages
maybe enjoyed, corporate power must be
obtained from the government. or, as
stated before. the aggregated power of
all the individuals composing the state is
put into operation for the benefit of a
very few OF them. Here is where the
fundamental error occurs. It is erron-
eously assumed that the power thus con-
ferred upon certain individuals possessed
OF vast business capacities will be adj
vantageous to- the public at large, by
reason of the resulting reduction in the
cost Of performance of a given service or
the production Of certain articles of COM
merce. That cheaper production and
service cost results may be taken for
granted without establishing the exist
ence OF any benefit, arising therefrom,
to the public. Indeed, taking into ac-
count mems proneness to abuse power it
would be strange if they should not use
the power thus conferred upon them for
their own advantage, regardless of what
the effect of such procedure might be
upon the public, and knowing the force
and tendency of the "Ego," power and
oppression may safely be asserted to
dwell together. The artificial advantage
thus conferred upon the corporation en-
abies 1t to gather within it's organization
greater a~ggregations, not only of capital.
but also of individual interests, than
would be possible to do under a mere part
nership organization. It's scope enlarges
and It's operations are soon limited by it's
accessible field only. AS its business ex-
pands 1t comes in contact with conflicting
interests. Trouble arises and legal pro-
cesses follow. Having larger interests at
STAKE than the individual, 1t is able to pay
larger attorneys fees. AS a consequence
II has In its constant employ, the finest
legal talent in the country. Its opera
lions are limited by law. Naturally it's
legal advisors are drawn upon for devices
whereby the spirit of the law NAV he
violated while it's letter is obeyed. As
a rule they prove only too successful. The
laWmaking body attempts to remedy the
defect which permits the violation Of the
rights Of the citizens. Five minutes after
a bill is introduced the corporation af-
fected by it's provisions is appraised of the
fact. 1t demands a hearing before the
proper committee, and its request Is grant
ed. Now comes the test between the
representatives of the people, on the one
side, and the representatives of the COR
poratlon on the other, as to which is the
most useful to his employer. The former
represents all interests. Some of them
he knows more or less about; of others
he knows nothing. The latter may know
very little concerning things in general,
but ne can be depended upon to under
stand in full detail, the nature and scope
Of the business that he represents. In
that field he Is an expert. Especially is
he familiar with the legal and constitu-
tionly points involved and with the court
decisions favorable to his side of the con-
troversy. The question at issue is that
particular n with which, above all
others he is thoroughly familiar. With
these conditions clearly in view the result
of the bearing should not long remain a
matter Of speculation. The peoples rep
r~esentative is simply argued out of his
boots. II he were a philosopher he would
take into consideration the fact that only
one side had been represented, by special
counsel, while the other had been left to
take care of itself, and would, perhaps,
modify his opinion, in consequence. But
the average legislator, like the average
citizen, is not a philosopher. He looks
at the surface of things, and his judgment
is hasty and ill-considered. A half hours
brilliant argument will often upset his
convictions of a lifetime. The verdict
that he renders under such circumstances
is favorable to the corporation. When
the case is so fragrant that no amount
of specious reasoning can obscure It's real
motives, the corporation, having immense
at its disposal, will not hesitate
to use concrete arguments to carry it's
point. If by some unexpfainable reason
the interests Of the people should win the
day, in spite Of the fact that the condi-
tons are all favorable to the opposite re-
suit, they must again ru0 the gauntlet
of the same evil influences, In an aggra-
waited form, before the court. And yet we
have men apparently sane on all other
matters %gibbering ~diconnectedly about
controlling corporations. When one sees
the terrible power possessed by corpora
tons and observes the uses to which it is
put, one can hardly escape the conclusion
that If free institutions are to survive cor
porations must be destroyed. But how
that is to be accomplished is a serious
question. One fact the people of this
country will do well to never lose sight of
that hot-blood and ill-temper never
solved problems either in government or
in mathematics, and also that whatever
we have of evil conditions in our system is
the result Of our own shortsightedness
and folly.
1t may be taken for granted, too, that
we will continue to suffer the conse-
Quences until such time as we take hold of
the problems in a dispassionate and in
telligent manner.
The first thing to be done is to stop
issuing new charters and renewing old
ones. Then by a systematic process to
wind them up as fast as possible without
throwing the social system into too great
disorder. The latter undertaking will be
a difficult one in view of the important
social functions which corporations now
perform. To many the task appears so
huge as to be impossible, while the belief
is quite generally accepted, that our high
ly-developed stage Of civilization cannot
exist without them. This belief, how
ever, Is more the result of hasty and ILL
founded conclusions than of minute and
searching,analysis. That corporations do
exercise snme of the most imnortant social