The Columbian. [volume] (Bloomsburg, Pa.) 1866-1910, 1901-04-25
What Trusts May be Ex peCted to Accom-
plish Here.


In Germany and the United States
the trust principle in business and
industry prevails to greater extent
than i'll any other countries of the
world. We know how it is in the
United States, but it is we'll to re-
call what has been done in the trust
line i'll Germany. Two years ago
our consul general at Berlin report
ed that every chimney is smoking
and every wheel is turning" aud
explaining the causes as he saw
them of such industrial prosperity
he declared in this official report to
the State Department: The 200
trusts and syndicates which were in
existence in Germany at the beginn-
ing of 1890 are increasing in num-
Der day by day until there is scarce
ly single important product of
manufacture of which the output,
price and conditions of sale are not
governed by combination or under
standing between producers.
The belief was general that these
trusts and syndicates were establish
ing permanent conditions in Ger
man industry, and everything look
ed bright for the future. 1t was
promised there would be no periods
of over production, panic and de-
preston, and that the trusts en-
bodied panacea for industrial de-
preston.
How is it now The United
States is fairly booming on the high
tide of prosperity, but Germany is
in the slough ofdespond. The break
down which commenced a year ago
still continues, and even in an ag-
gravated form. The ByLiner Zage-
6laH of the last week describes in
dustrial conditions as so bad that
charitable efforts are powerless to
cope with the situation. Cases of
reduced production and dismissals
of working people are 50 numerous
as no longer TO attract notice. 1t is
safe to say, says an Associated Press
dispatch from Berlin, that IS per
cent. of the working people are
either idle or insufficiently employ
ed; prices in many industries are so
depressed that there is difficulty in
meeting the bare cost OF operation:
'mauy factories have closed, and in
others the hours Of labor have been
reduced, while workers crowd to
the gates of the factories seeking
employment. Another dispatch
from the same point says that the
great Krupp iron and steel works
have already dismissed 1000 EN-
ployees, and are about to discharge
5000 more, and it is added: The
industrial depression continues
According to a recent estimate, one
fourth of the workers in Berlin are
very insufficiently employed or
totally idle. The distress of many
is acute. There is no prospect OF
improvement.
Yet two years ago it was the Ger
man boast that the industrial COM
binations were the salvation of busi-
ness, and guard against industrial
depression. 1t appears in reality
that they have stimulated matters
to the overproduction point, with
results that recall what happened in
the United States in 1878 and 1898
We do not believe these great CON-
binations III manufacturers and busi-
ness can produce permanent condi-
tions Of prosperity and solid indus
trial growth in any country. They
antagonize the fundamental princi-
pies, throw conservatism to the
winds and seek by combination and
eXtortion to filch dividends on vast
volumes Of securities in which there
is more wind and water than reality.
Germany's two last years proves it.
-Pittsburg Pest