The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1902-04-05
TRUSTS HERE TO STAY
ADDRESS BY MARTIN 4 KNAPP ON
COMBINATIONS.
Growth of ~MonopoIies Certain To Con
~tinue-Othcr Topics Discussed
10y Political Economists.

PHILADELPHIA, April 4-The sixth an
nual meeting of the American Academy OF
Political and Social Science began here to-
day and will end tomorrow. There is a
good attendance of members of the acad-
envy. The general topic for discussion at
this meeting is social legislation and social
activity. The first session was held this
afternoon, at which Frank Leske. of this
city, presided. The principal meeting was
held tonight when the annual address was
delivered by Hon. Martin A. Knapp, chair
man of the Commits
sion, who took for his subject Equality of
Opportunity in the Use of Transportation
Facilities" He said in part:
"Our grandparents obtained their sup
plies mainly in the communities where they
resided and only a few persons were con-
cerned in their production. To-day IL may
safely be said that 5000. 900 of people and
$500, of capital are directly or indi-
rectly employed in furnishing an ordinary
dinner. When merchandise of every de-
scription is carried by the ton from one
end of the land to the other at an average
cost of less than t~hree-quarters Of a cent
per mile, as is now the case, the expense of
transport is but a trifing impeachment TO
the widest distribution
"As the means by which industrial prod
ucts are distributed become more conven-
lent, quicker in action and less expensive,
the area of distribution rapidly enlarges,
and as the area of distribution enlarges
the competition of industrial forces In
creases in something like geometrical ratio.
The movement of property by rail In the
United States alone already exceeds 2,00,-
600 tons every twenty-four hours.
To-day the great enterprises of the
world are I'm the hands of corporations,
and the time is fast approaching when they
will absorb all important undertakings.
Why? Because the railroad and the steam
ship, ever widening the area of profitable
distribution, furnish the opportunity: other
wise lacking. for the employment of larger
and still larger capital. This opportunity
permits and encourages the concentration
of financial resources; so that, within limits
not yet ascertained, the larger the business
the greater its possibilities of gain. But
the legitimate. the inevitable offspring or
corporations is monopoly. Why? Because
the operation of these massive forces. i'm
plnglng and grinding upon each other IN
every market. begets an extremity of mu-
tual danger which always invites and often
compels a common agreement as 10 prices
and production; that is, a trust.
THUS the potent agencies by which dis
tribution is now so rapidly and SO cheaply
effected. which so combine and intensity
the forces of production, are fast altering
the conditions and changing the charac-
ter of industrial development. And the end
is not yet. WHAT will be the ultimate eff
feet of these methods of conveyance when
brought TO higher perfection and employed
with still greater efficiency? When these
agencies of m are Increased in num-
Der and capacity, as they will be; when
cost is still further and greatly reduced,
as il will be; when speed is doubled, as IL
will be, and quadrupled, as il may be; when
the whole United States shall have reached
the density of population now existing in
Great Britain how can industrial competi-
ton possibly survive?
I'm the measureless and Transforming
effects of modern transportation and the
ends 10 which IL resistlessly tends L ind
the primary cause of the economic revolu-
ton upon which We have entered.
eff ii be true in the long run that where
combination is possible competition is i'm
possible, is it not equally true that combi-
nation becomes possible just in proportion
and cheaper? So the opportunity, If not
the necessity, for combination has already
come in many lines of activity, and will
certainly come in many more. The cir
cumstances that permit competition, its
sine qua non, are mainly differences of con-
ditions. Practically speaking, these differ
ences have been chiefly found in the means
of distribution. AS those differences disap-
pear, with the constantly diminishing time
and cost of transport, the ability to COM
bine will enlarge and the inducement 10 do
me the obvious tendency of industrial and
social development to-day, and that ten
dency, 1 predict, will be more and more
marked as time goes on.
This, then. is the question: Shall we
continue TO enforce with precept and pen
atty the ne rule rule Of m e0m pet bimse Whos oz e sb11i
the worlds great industries be hereafter
conducted on a more humane and fraternal
principle? That Is TO say, Is society, after
all, only a mass Of struggling brutes fight
ing for the best places and the biggest
bones, and is government simply an armed
referee, standing by to see that every dog
has fair play? If the outcome OF ii all is
forever to be every man for himself then
progress seems to me almost a misfortune,
and the highest civilization the greatest
catastrophe. l am not terrified by the cry
of paternalism nor dismayed by unreason-
ing clamor here in money, labor, In produc-
ton and in distribution. They came with
the railroad and the steamship, and they
nave come to stay"
Prior to Mr.. Knapp's address the chair
man OF the meeting, Prof. r. r. johnson,
sion, introduced Prof. l.. S. Rowe, president
of the academy, who reviewed the work of
the organization for the year. Professor
Rowe dwelt upon the extension of the work
of the academy, both in its publications and
meetings. The former, he said. nave be-
come one of the important factors in the
formation of intelligent opinion on great
social and political questions, while the
latter attract the leading authorities in the
social and economic sciences.
The subject at the afternoon session was
THE Child Labor Problem" Addresses
were made by Il. NJ. Brewer. of this city. or
Child Labor in the Department Store
Henry White, general secretary of the
United Garment Workers of America. OF
New York, on Machinery and Labor" and
Hayes Robbins. dean of the Institute of
Social Economics, Of New York, on THE
New South's Rare Opportunity"
Papers repaired by Or. Edgar Gardner
Murphy, of Montgomery, on Child Labor.
with Special Reference to Industrial Condi-
tions in the South" and Mrs. Florence
Kelley, general secretary of the National
Consumers League, Of New York. on Leg
islatiOn and Public Sentiment in Their Re
lation to the Child Labor Problem" were
read during the afternoon session. A re-
ception followed to-night's session