The times. [volume] (Washington [D.C.]) 1897-1901, 1900-05-30
WEDNESDAY. MAY 30, 1900.
The Unconscious Bcncvo1cncc of
Trusts.


The New York Evening Post" has come
10 the front in an elaborate attempt to
show that the main object of business
activity is to crush competition and
The benefcent aspects of the trust move
ment are fully appreciated the public will
realize how it has been trying to cruelty
Its economic savior. 1T is said" sagely
remarks the Evening Post" that even
those newspaper monsters of iniquity, the
Standard Oil magnates, make 1t rule to
offer to buy out their competitors. and
only crush them when they are obdurate-
ly .-1a~endent. And when the frantic
denunciation OF combinations subsidies. it
will be seen that such a rule is all that
benevolence can suggest"
Truly the view of the subject taken by
our contemporary is novel enough to be
interesting. The very life of trade" it
urges, lis competition, and competition
means that A gets the better of B; or, to
put it bluntly, that is beaten and
crushed by the superior resources or abil-
ity Of A" Admitting the truth of this
proposition, it is as plain as pikestaff
that combinations like the Standard Oil
concern represent competition in its freest
and most original form, and that 1t Is those
who denounce trusts and attempt to OBJ
struct the operation of their benevolent
methods. and not the trusts themselves,
who are acting in restraint of trade.
"
erative. line of thought pursued by the
Evening Post" affords US an idea of the
law OF competition which had not before
occurred to US. and which We do not find
formulated in any of the ordinary text
books on political economy. This is prob
ably because writers of previous authority
have failed to consider competition as an
incident to the benevolent evolution OF
monopoly which brushes rivals who are
''obdurately independent and will not sell
out on the terms of the other party. The
new principle unquestionably is an i'm
portant addition to the philosophy and
science of the subject. Properly applied.
II sheds a shining light upon a branch Of
competition which has been much in evil
dence for a decade or so. but which ap-
pears to have been lamentably misunder-
stood Accepting 1t at the Evening Posts
value, 1t demonstrates the benevolence ex-
hibited by a great monopoly in threaten
ing ruin TO financial institution, IL the
latter dared to lend money to a competing
producer, in order that it might meet its
current obligations and so avoid bank
ruptcy. and absorption by the first men,
toned concern. Such a ruse de guerre
is of course moral and allowable under
the rule that ito put it bluntly. is
beaten and crushed by the superior re-
sources or ability of A.
Heretofore We have had doubts concern
ing the regularity of such proceedings as
the destruction Of corporation books of
account. the object being to conceal the
an action OF discovery. and thereby to
permit perjury by the corporate officials
without the risks to them OF detection and
the penitentiary. But this also comes
under the rule of superior ability" So
We may also conclude, the benevolent al
lars as bride to an attorney general, as
an inducement to him to refrain from
further inimical action. is referable to the
same rule. under the head of superior
resources"
The final and clinching argument of the
Evening Post" as of all unpreiudiced
Journals and authors who recognize the
smeliorating and Outstanding effects Of
trusts and monopolies upon society, is that
they serve to bring commodities down to
the minimum of cost to the consumer and
hence necessarily become the agents of
Providence in doing the greatest good to
the greatest number. A doctrine like this
is something in the way of departure from
ancient concepts, and. hence, may not be
accepted by the uninstructed multitude off
hand and without salt. When a monopoly,
natural, legal, or Industrial, is complete,
there is nothing TO prevent IL from fixing
what prices it pleases for its service OR
wares barring restrictive laws honestly
equally. and vigorously executed To be
sure the entire extinction OF consumers
might make a difference. As to these con-
eiOeTdllOnS. economists are
aware of the fact that, in the United States
at least and under Republican rule, the
law is made for the benefit of the trusts
and monopoles. In exceptional cases where
IL happens to bear hardly upon their prac-
tees or interests 1t is a dead letter, until
amended or repealed in their behalf
Archaic thinkers have not reached the ad-
vanced ground Of the Evening Post"
and do not. like 1t, see that all this is as
IL should be. On the contrary, in the I'M
developed condition of their mental pro-
cesses, in common with a majority OF
Americans. they adhere to the theory that.
when the bulk of people have been thrown
out Of business o: employment and re-
duced TO AFFECT poverty and despair by the
trusts, they are no longer In a condition
to buy commodities at any price. Fence,
they cannot enjoy the undoubted benefits
49,: h--s .,.st,
them. by depressing the market value of
comforts or necessities which they cannot
consume. because they have ceased TO be
consumers. and are now only paupers. All
ouch reasoning. doubtless, is wrong and
irrcligious. 1t must be. because the as
sociates and agents OF the trust magnates
tell us SO In executive ut;erances. in
speeches In tho Senate and House, and in
an influential section Of the press Prob
ably We shall all ultimately come to pin