The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1901-09-05
Trusts AND THE GOVERNMENT.

Tho editor of Gunton's Magazine. whose
views of economic questions are entitled to
attention. takes exception to the quite prev
alent opinion that large combinations of
capital will seek TO control the government
through Congress by seeking and obtain
ing legislation that viii be beneficial TO
them and harmful TO the public. He says
that industry has most needed protection
when concerns were the smallest, but as
corporations have grown and superior
methods been introduced. political aid has
become less and less necessary. Many in
dustries have outgrown the need of pro-
lection, the most notable Of which is the
production of iron. Years ago the life of
the iron industry in this country depended
upon protection. That industry made
strenuous Efforts to obtain the aid of the
government. and iron-makers went to Con-
gress for protective legislation. Mr.. Gun
ton cites the attitude of the iron interest
in recent years toward tariff legislation.
When the German bill was before Con-
gress, In 1894. Mr.. Carnegie. who had been
the earnest champion of protection when
his iron interests were at stake, told the
German that he was practically
willing to accept free trade in iron and
steel. He did this because his plant was in
a position which made political assistance
unnecessary. Proceeding, Mr.. GuntOn in
quires what a billion-dollar corporation has
TO ask of Congress. Nothing; it can do.
through the control it has acquired of suf-
fcient sources of ore, the process of manu-
f~acture, methods OF transportation and
marketing all the things a protective tariff
could not do when plants were weak. This
corporation cares nothing for protection on
its main products, because it does not fear
competition.
Replying to the question, how does it
come that corporations exercise so much
influence over legislation? Mr.. Gunton
says that the interests that beset Congress
are in an undeveIoped state. He does not
cite instances, but the ship-building indus
try and the beet-sugar industry might be
named as OF the class that beset Congress
for protection at the present time. In this
connection Mr.. Gunton says is the organ
lied lobby about Congress, and, he might
/ ndAG uAtu sDNdGC = NhcN
appears to be the representative of corpora
lions. These Hobbies are not there because
corporations need their assistance, but they
pay them blood money to prevent them
from injuring their interests. Lobbies Sc
cure the introduction of bills which. If they
should be enacted or if assaults should be
made upon them. would harm corporations;
so corporations have learned that it is
cheaper and less troublesome to pay black
mail than to fight the blackmailers. Speak
ing as the result Of investigation, Mr.. Gun
ton says 90 per cent. of the corporations
which are blackmailed in this way would
freed from entangling relations with gov
crnment. 1t is a matter that can be
demonstrated by ample evidence that IL
several States lobbyists introduce bills
designed to impose burdens upon railroad
corporations and that the companies either
buy these professionals off or fight then
with Hobbies Of their own. In one scheme
before the last Indiana Legislature the
companies gave notice that they would
fight rather than be blackmailed.
These suggestions of Mr.. Gunton are
worthy of careful attention in connection
with consideration of the questions relating
to the advantages and disadvantages of the
combination of a considerable number o
manufacturing interests into one Nhmenst
corporation.