The Saint Paul globe. (St. Paul, Minn.) 1896-1905, 1899-05-11
Highs Spnl
TRUSTS AND TARIFFS.

contemporary just awakening TO a
- perception that there may be a connec-
ton. having the relation of cause and eff
feet. between trust growth and the policy
of excluding foreign competition advocat-
ed by its party, seeks to avoid the dam
aging effect of that fact upon the polit-
zeal fortunes of it's party by reasserting
the statement made by Mr.. Blaine, that
t'England the land of free trade, is
honeycombed with trusts" Ergo: There
is no relation of cause and effect between
a protective tariff and trust formations.
If it were true that trusts, such as we
are familiar with, do exist in a country
where as nearly freedom in trade exists,
= probably, as will ever be in any country,
then the co-existence of trusts and pro-
tective tariffs would be merely coinci-
dence, in spite of the identity of purpose
in each. 1t is apparently impossible to
draw al our national boundary a line
that shall make of competition an evil
when on one side and a benefaction
when on the other side of the line
Persons who have accepted the state
ment that England is honeycombed with
trusts will do well to read the article in
the current Forum on Trusts in Eu-
rope" by Wilhelm Berdrow, educated,
the Forum states, in one of the oldest
gymnasia of Germany and a writer upon
political economy Native of a country
that is quite as ultra in the policy of pro-
tecting its industries as ours, his state
ment of the condition in England gets
from that circumstance additional weight.
Speaking of his own country, he says:
1T is in Germany, however that trusts
/ have spread most extensively and have
been most successful Germany has en-
deavored to open up (sic) to industry all
her natural resources and to utilize every
outlet both foreign and domestic and
her efforts have been most successful.
On the other hand, the rapid extension
in many departments has led to over pro-
duction and to that unsound system of
competition which, in Germany as in
America. has contributed so largely to
deavors to open to industry all her
natural resources and to utilize every out
let is but another way of saying that
Germany prosecutes vigorously the policy
of protection.
After considering the trust status in
other countries of Europe where the same
policy more or less vigorously pushed.
prevails, Herr Berdrow turns to England:
''As far as England is concerned, 1T must
be admitted that, notwithstanding her
great industrial activity and competi-
tive warfare not less pronounced than
that of other statesr the trust system has
as yet found but tardy acceptance in that
country. This is doubtless due in some
degree to the thorough application of the
principal of free trade; for 1t is well
known that the largest trusts are power
less unless their interests are secured bv
protective tariff, excluding from the
home market the products of foreign
countries" He regards the principal of
individual freedom, so tenaciously held
by Englishmen, as another. cause why
trusts have not gained a foothold there.
although attempts have been made to-
ward the consolidation of entire branches
of industry, of which coaI-mining. sugar
manufacturing and the automobile NAV
serve as examples"
One paper, that rarely ventures upon
these discussions, and never should until
it knows more. recently quoted this.por
ton of the article, but omitted the further
statement that Indeed. there can be no
doubt that these cases would rapidly
multiply. in the event of the adoption of
moderate tariff in lieu of the present
free trade system-a change now strongly
agitated in England Thus, from n
source that is trustworthy, comes the
support of the Democratic contention
that trusts spawn in protection, and that
the widest possible freedom of trade is
preventive and, therefore. the remedy