New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1897-06-16
TRUSTS AND THE TARIFF.

Renublican Senators acted wisely in adopting
the motion Of Senator Carter, referring to mem
hers of the Judiciary Committee all proposals
10 deal with trusts in the revenue law. Inc
suhiect is one of such Importance, ana acton
thereon NAV SO affect the revenue OF the GOV
eminent that the utmost caution should guide
and guard each step There Is Il strong feeilhS
that Congress can do something effective to pro-
tect the public against combinations. Inc same
prevalent public opinion. being able 10 coh'rol
legislation absolutely in many States has sought
10 restrict such combinations within the states
by most stringent enacments, and all know
that these efforts have not resulted in success
The bastv assumption which so many make,
that il would be easier TO devise effective United
States laws for the same purpose and that such
laws could he more surely enforced, has not
been justified by any experience thus FAR
Hence it is that many have jumped TO the con
clusion that the tariff act may be made the in
strument of effective restraint.
Without much investigation it may be seen
that comparatively few Of the combinations
supposed TO have most power owe any part or
it to duties on imports The Standard Oil Com
pany has never been helped in the slightest de-
gree by a tariff. The United States Leather
Company is largely engaged in making sole
leather for export and would not he anected
If there were duty on such leather i'm
ported The Anthracite Coal Trust to which
Mr. Pettigrew devoted much attention on Mon
day. has never wished or had duty on anthra-
cite coal. and large quantities of such coal are
yearly exported 10 Canada. The Sugar Trust
owes It's power 10 a combination of grocers and
It's compacts with them, and that power is so
great that it may we'll be questioned whether
Of rofn
could at present be marketed if admitted free
Of other duty than that on raw sugar The
benefits it derives from legislation or from TAX
ing advantage of delay in legislation, are also
TO a large extent due to this control of the
agencies Of distribution
But If it were true that the important COM
binatlons were helped by duties imports. it
is extremely doubtful whether any provision TO
restrain them through that agency would be
effective. The common notion is that wherever
a trust is known to exist it could be destroyed
BY taking off all duties on the competing import
ed products But what would be the use in
taking off duties STEEL as Mr.. Pettigrew
suggests. at n time when American steel bets
are selling in England: The news that all the
steel combinations broke up some time ago does
not seem 10 have reached this statesman from
the interior Where would the Government get
needed revenue if, on proof Of a combination
70 control the price OF sugar, all refined sugar
should be admitted free: What would be the
use OF exposing bituminous coal producers Of
Pennsylvania and Maryland 10 greater compe-
ttion In New-England by taking off the duty
on hitumnOus coal because 4 combination is
held 10 exist in anthracite coal? Behind this
lies the obvious fact that such provision could
be deliberately used 10 deprive the Government
OF revenue from almost any branch Of imports.
1t would not be difficult for dealers to make
large contracts for future delivery al current
prices ard then TO form an unholy comblnn-
ton and get information 10 The Government,
the products they wish TO deliver.
Enough has been said to show that it was
wise to refer 10 the abest lawyers proposition
charged with such possibilities Of mischief, both
TO the Treasury and to all industries. But II
may fairly he added that the Venue bill is not
the place for such legislation. II any provision
Is desirable. respecting duties On imported goods
which may compete with products controlled by
combinations, 1t should form part of other care
full and thorough legislation, TO determine what
combinations are Injurious 10 the public vel
fare and under what circumstances: how the
fact Is to be ascertalned and by what author
ity and what remedies are to be applied apart
from any possible change Of duties. For In
vast majority Of cases a combination could be