Middlebury register. (Middlebury, Vt.) 1886-1937, 1901-04-12

business upon his retirement. Another
reason for the combination Is the desire
to avoid warning prices, which are the
death and not the life of trade. Another
consideration tending in the same direc-
ton is the economy of "direct distribu-
ton" enabling the trust to dispense with
the services of travelling men to
marked degree, as well MS so make pro-
nounced reduction in the amount of ad-
vertising done. A material advantage
pointed out is the Capitalization of man
agement, rendering unnecessary the
maintenance OF number of head offices.
Another gain is the establishing of
standard production by the reduction in
styles and patterns, multiplied through
competition. A great combination incurs
fewer bad debts than separate companies
competing for the trust is in position
to exercise greater discrimination In
making sales on credit The advantages
of the trust for the investor therein may
be summed up as supposedly greater
security and enlarged profits.
So far as the public Is concerned the
chief and practically the only gain from
the establishing of combination in any
/ line of interests is the alleged reduction
in price made possible through the econo-
mics instituted by the trust. This benefit
has been shown by experience to remain
largely on paper. Ii Is human nature for
men to pocket as large a per cent of profit
as possible, and trusts are the most soul
less of corporations. The public has seen
great trusts declaring enormous dividends
during the past year, while the prices of
the products of the combinations have
advanced to noticeable degree.
To offset the benefits resulting to the
public from imaginary reduction in prices
by trusts, there are various disadvant-
ages, which can be fully realized only
when carried to an extreme. The bene-
fits which MIR. Flint pointed out may be
benefits to investors in trusts, but some
of them are far from beneficial to the
public. 1t Is not an advantage for the
community to have large manufactur-
ing plant shut down and the operatives
thrown out of employment. 1t is not
beneficial to have a large proportion of
its commercial travellers deprived of
their means of livelihood. The avenues
of employment are already crowded, and
the concentration of management of vast
industries In a few hands and the central
ization of production in many important
industries must largely increase the
army of unemployed, with all which this
implies from social and economic
standpoints. Nor will it be to the adj
vantage of the public to be placed In a
position where numerous trust cor
poraiions can dictate to it in various ways.
1t is perhaps too early in the history of
the combination to speak adyisedly of the
Influences which this movement may ex-
ert in the directions indicated, but the
experiences of the decade now begun will
undoubtedly be sufficient to furnish the
necessary data. To all appearances, how
ever, the establishing of practical monop-
olles In numerous lines of industry, in
transportation and in various forms OF
investment must impart fresh impetus tC
the concentration of wealth and enable
the rich thus represented to grow richer
while the public grows poorer for theil
benefit. Whether or not the trust is &c
he permanent Institution is altogether
another question"