Wood County reporter. [volume] (Grand Rapids [i.e. Wisconsin Rapids], Wis.) 1857-1923, 1901-12-05

,'lic purpose ratified by a distinct pub
| lie demand. So the law adds the pro-
viso that nothing in its terms shall
be so construed as to admit to the
second-class rate regular publications
designed primarily for advertising
purposes or for free circulation or for
CIRCULATION at nominal rates"
These provisions taken together
plainly show the design of the law.
Had they been strictly administered
from the beginning admissions to the
second-class rate would have been re-
stricted to legitimate publications
complying with the prescribed con-
ditions, and there would be no such
question as is now presented. But
the administration has been in many
hands. The applications for admis-
sion have gradually broadened.
Every new case has made its special
representation, and taken singly has
| pleaded no harm and no burden. Lit
tie by little the limitations have been
relaxed, and every transgression has
| been made the preteXt and precedent
for another. Many of the publications
once entered have changed their char
acter since admission, and, if at first
| entitled to the pound rate, have by
this departure forfeited their original
right. In these various ways thou
sands of publications have come to en-
joy the privilege which are not within
either the spirit or the letter Of the
law, and the volume of second-class
mail has been immensely swollen by
| a vast and questionable mass Of
printed matter which was not intend
! ed or foreseen when congress, in the
educational interest Of the people,
provided that the government should
practically pay the cost of transmits
sion.
inducements for Evasion.
The production of legitimate news
| papers and periodicals involves costly
news service, large editorial stats, ex-
| pensive corps Of contributors, and all
| the elaborate machinery of a complete
i intellectual and business organiZa
| ton. But the manufacture of the
kind of papers and periodicals, which
| do not come within the terms of the
law costs very little. The chief items
are white paper and distribution. In
! 1885 the postage rate on second-cIass
matter was reduced from 2 cents
| pound to / cent. The price of white
paperat that time was nearly cents a
| pound. Since then it has gradually
declined to 2 cents pound or less,
and with this great and concurrent
reduction in the cost both of raw ma
terial and distribution, there is direct
and immense premium on these lille
Ultimate outgrowths. The result is
the uprising of thousands of so-called
periodicals which are established pri-
! marily for advertising purposes. They
have few or no legitimate subscrib-
ers; they make up lists either by pro-
curing names and sending the papers
to them for nothing, or by offering
premiums substantially equal in value
to the Inscription price, and so cir
| cluate at nominal rate, thus being
outside of the law at every point.
They obtain advertising on the basis
of this illegitimate circulation, and it
makes a profitable business, for the
chief cost to the publisher is the
white paper, and the chief expense of
the undertaking falls on the govern
ment.
The extent of the completely of the
government in these purely private
enterprises is not generally realized.
The statement will probably be sur
prising that in the case of hundreds
of such publications, wherever the
publisher spends $1,000 in his venture
the government spends not less than
$4,000 in carrying on that publishers
business, and wherever he puts
in 100000 into it's running
expenses the government puts
in not less than 100000.
Astonishing as is this statement, it is
easily made plain. AS already indi-
Gated, the kind Of publication in ques-
ton involves very little of the cost
Of the legitimate newspaper or peri
odcal It has no news service. It's
editirial staff consists of a single hand
for scissors and paste pot. The COM
position and presswork, reduced to a
single copy or pound, are infnitesima.
The only material expense is the cost
of white paper, which runs about
cents a pound. That is the pub
fishers side ofsthe account.
The government side comprises
two items. The first is transporta-
ton. The entire circulation of these
papers is through the mails, and the
government pays for carrying them
not less than 5 cents a pound, on
which it gets back 1 cent. The second
item is handling. 1t has already been
shown that this cost is at least cents
a pound. It results then that for
every cents the publisher pays to-
ward the cost of the business the gov
eminent pays cents, and for every
$1,000 contributed by the publisher
the government contributes not less
than $4,000 In other words, the gov.
eminent is the senior partner on the
debit side of the business. It fur
nishes the larger part of the capital
and while it pays about three-fourths
of the expenses, all of the receipts go
to the private partner.
Growth of Second Class Matter.
Under this stimulus Of cheap ma
terial and government partnership
the volume Of second-class matter has
grown to immense proportions. With
in ten years it has more than doubled