Kansas City journal. [volume] (Kansas City, Mo.) 1897-1928, 1899-09-17

Society is interested in the independence
of every citizen.
Society is interested in this because, If
a man dies and leaves no provisions for
his wife and children, the burden falls
upon society.
oily finds its inspiration in the desire OF
men to secure by monopoly what they
cannot secure in the open field of competa-
tion.
has aided monopoly is a high tariff. No
body can dispute that tariff law, an i'm
port duty, enables trust to charge for its
product the price of a similar foreign
product, plus the tariff.
The Tariff and Trusts.
Now. some have suggested that to put
everything on the free list that trusts
make would destroy the trusts. 1 do not
agree with this statement, as it is made so
broadly. believe that the high tariff has
aided the trust to collect more than the
trust otherwise could collect. But I do
not believe that you could destroy all
trusts by putting all trust made articles on
the free list. Why? Because, if an arti-
Gle can be produced in this country as
cheaply as it can be produced abroad, then
the trust could exist without the benefit of
any tariff at all, although it could not ex-
tort SO much as IL could with the tariff,
and while some relief may come from
notifications of the tariff. we cannot de-
SlIuy IHOUbpOlf uNlll we lay the dS Al me
root of the tree and make monopoly i'm
possible by law
1T has been suggested that discrimina-
ton by railroads has aided the trusts.
There is no question that discrimina-
tion, favoritisrn, secured by one corpora
tion against another producer and rival
a desired monopoly to become practically
a complete monopoly. Now that can be
remedied by laws that will prevent this
Discrimination, and when we prevent the
discrimination still monopoly may exist
The remedy must be complete enough to
prevent the organization of a monopoly.
Now what can be done to prevent this?
Double Control Suggested.
I'VE have a state government and a
federal government, and, while this dual
form of government has its advantages,
yet both state and nation should have con-
current remedies. In the first place every
state has or should have the right to Gre
ate any private corporation which, in the
judgment of the people of the state, is
conducive to the welfare of the people of
that state. l believe that we can safely
enuust TO the people of q state the set
tlement of a question which concerns them
If they create q corporation and II becomes
destructive of their best interests they can
destroy that corporation, and we can safely
trust them both to create and to annihilate
IL conditions make annihilations necessary.
IN The second place the state has or
snouid have the right to prohibit any for
eisn corporation from doing business in the
state and II ought to have or has the right
70 impose such restrictions and limitations
as the people of the state may think neces-
sary upon any foreign corporation doing
business in the state.
Il believe, in addition TO a state remedy,
there must be federal remedy, and / be-
heHe that congress has, or should have, the
power to place such restrictions and limita-
tions, even TO the point of prohibition, upon
any corporation organized in one state that
wants to do business outside of the state
NOW, L believe that these concurrent
remedies Will reach the difficulty, that the
peopie OF every state shall first decide
whether they want to create corpora
u9n, that they shall, secondly, decide
Whether they want any outside corpora
1on 10 90 business In the statee and, IL So
upon what conditions; and, thirdly, that
congress shall exercise the right to place
upon every corporation doing business out
SIDE OF the state in which 1t is organized
such limitations and restrictions as may
Pc necessary for the protection of the pub
Colonel Bryan at this point read the IA
nous circular letter advertising the incor-
poration laws of Delaware. He commented
the letter.
A person in the audience-"Delaware and
New Jersey are both Democratic states.
are are they not?" to which Mr.. Bryan replied:
Ihey were not in 1896"
He continued: 81 have read this letter
in order to show you that where a state
can gain an advantage from the incorpora-
ton of these great aggregations of wealth
It is not safe to place the people of other
states at the tender mercies of the people
OF such state as may desire to secure
It's running expenses from the taxation of
corporations organized to prey upon people
outside.
How to Annihilnte Trusts.
"one method for the annihilation. of
trusts has occurred to me, and it seems
complete method. 1t may not commend
Itself to you. 1t is this:
That congress should pass a law pro-
Vlding that no corporation organized in
any state should do business outside of the
state In which 1t is organized until 1t re-
ceives from some power created by con-
gress a license authorizing it to do business
outside of its own state (Applause.) Now
II the corporation must come to this body
created by congress to secure permission
TO do business outside the state then that
license can be granted upon conditions
which Will, In the first place, prevent the
watering OF stock; in the second place
prevent monopoly in any branch of busi,
ness; and, third, provide for publicity as
70 all of the transactions and business of
the corporation.
If it is unconstitutional and so declared
by the supreme court, am in favor of an
amendment TO the constitution that will
give TO congress power to destroy every
trust IN the country The first condition
which l suggested was that no water
should be allowed in the stock / do not
peleVe that any state should permit the
organization of any corporation with a
single drop of water in the stock of that
corporation. Why should the Corporation
be permitted to put cut stock that repre-
sents no real value?
No man can defend stock that does not
represent money invested, and only In the
case OF a monopoly can you secure divi-
dends upon stock that does not represent
money Invested.
we had a case in Nebraska where we
tried TO regulate railroad rates. and one
fallroad In our state was capitalized and
booked for more than five times what II
would cost to IuDlipafa tho
the Judge held that, in fixing rates We had
TO consider the watered stock as wei, q c
the actual value Of that road When tbe
case went to the supreme court a decision
was rendered which was in substanre
mat in determining what was a reason,
able rate, we had TO take into considera-
tlon number of things beside the present
NaIue OF that road, measured by the STOCK
of reproduction, and you viii find that if
the watering of stock is permitted then
the cry of the innocent purchaser is
raised and you will be told that Won rnust
protect the man who bought this stool,
My judgment is that no man can stand in
the position of an innocent purchaser ,,-bn
buys stock in a corporation IF tb.t Ill. " ~
IS not represented by actual money inyesfN
ed, because he can find out what the stool,
STANDS Tor IL he will only investigate
Publicity a Great Safeguard.
'If this license is granted. then the fret
conditions can be that any corporatio, de-
string to do business outside of The s+a,a
IN which IL is organized shall bring IN ,i,at :
board or body proof that stock is ho,,a :
Jae ana that there is no water in II In
my judgment. when you take from -poron
oily the power to issue stock not ,on,.o
senteq by money YOU will go more 1bar
mar the way towards DESTROYING rnononni,,