The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1902-10-14
MONOP0LISTIC TRUSTS.
Claim that the Most Injurious Enjoy
the Benefits of Tariff.

the benemtS Oh Iar1us
To the Editor Of the INDIANAPOLIS Journal:
1t is now pretty generally conceded that
the great consultations of business enter
prises, known as trusts, are fraught with
evil consequences to the welfare of the pub
lie. Industrial monopolies are formed chief
ly for the purpose of crushing out compe-
tition and securing practical control of the
price and production of the commodities
to which they related. Through these
consultations the capital invested in nu-
merous factories or mines producing the
same commodity is brought together under
one management, and an amount OF wa
tered stock, equal to or greater than the
sum of the combined capital of the original
concerns, is issued and marketed. Com
petition having been eliminated by the
process of combination, the price of the
particular product is advanced through the
limitation of production and exclusive
control of the market to such a point as
will pay dividends on the watered and un-
watered stock of the new concern.
The net result of the transaction Is that
the people at large have to stand the gouge.
If the work OF the modern trust was con-
fined to few articles of consumption. the
people might, In the old phrase, simply
grin and bear it, but they cannot get of
so easily. The fact is that almost every.
thing they consume is now, or soon will
be, under trust domination If the signs or
the times point Alright. The cost or de-
comes greatly increased. OF course, the
captains of industry who have planned and
executed these mammoth INDUSTRIAL won
derS profess to see no evils In their crea-
lures, pronouncing them an actual necessity
of the times. They object to any statutory
regulations for their creations, but, II the
desire of the people TO regulate these BUS
mess affairs cannot be wholly suppressed,
then the fight will be made TO have the least
effective correctives applied.
By some federal statute, exercising linn
x-,s,a ions
engaged in interstate commerce, is thought
to be a sufficient solvent for monopolstic
evils now affecting the country. But the
power of Congress to enact such measure
and its efficiency if it were possible, are
the subject or much doubt. The probability
is that such law would lessen the evils
OF trusts, but not effectually eradicate them.
Where the people most need protection
against trusts is in their power to arbi-
trarily fix the prices of articles of prime
necessity. 1t is a conceded fact in econom-
les that competition is one of the prime fac
tors in holding down prices OF articles
of needed consumption to proper limit,
and principally to avoid this natural law or
trade was conceived this new industrial de-
velopment that is in so much need of re-
| straint. Undoubtedly the most effective
| remedy against the evils of the most Of
fensive trusts would be the judicious low
ering of tariff schedules all such arti-
| cies of manufacture as are controlled in
| this market by monopolies. Proper lower
| ing of such duties would result in health
| full competition and reasonable prices 10
hold the home market. When the manu-
poosa Of tber and arss
| the tariff as protection for their
| monopoly. it is certainly both proper
| and consistent with the Republican
| doctrine of protection to reduce the tariff
| on that particular commodity to such an
extent as will force the monopoly to be
reasonable in its exactions from the pub
| line with sound Republican doctrine when
| they declared in their recent State plat
| form that the tariff must not be used as a
shelter for monopoly.
| 1t is to be noted that the most injurious
| of our numerous monopolies are those en-
| joying the benefits of the tariff. There are
schedules, but these could be reached and
| curbed by giving additional power to the
| Interstate-commerce Commission to es-
| ablish and enforce reasonable transporta-
ton rates on interstate commerce.
| Finally the whole batch of monopolies
| would be greatly shorn of their evil ten
denotes by a rigid enforcement Of the Sher-
| man antitrust act. This law, for some
| unaccountable reason, has been to great
| extent dead letter on our national statute
book. Few attempts have been made to
| enforce its provisions.
| The arrogance and conduct of the an
thracite coal operators is a fair sample of
| what unrestrained monopoly leads to. This
/ trust has charged for years an extortionate
| price for its coal at home, selling it's sur
| plus abroad at about half the American
| price Thousands of Republicans in the
great middle West.the stronghold of the
| party-believe that the time has arrived for
| a judicious revision of the tariff by Re-
| publican Congress to meet the changed
| conditions of our industrial DEVELOPMENT
! President McKinley's last public address
| indicates very strongly that he believed
| that many of our tariff schedules had out
| lived their days of usefulness.
| One thing is certain: the coal strike. with
| all it's attendant hardships to the public
| will not have been in vain, If it becomes
as appears quite. likely. the providentiai
| instrument by which public sentiment shall
| become thoroughly aroused as to the dan
! gers and evils of the gigantic monopolies
| that have taken root in our splendid coun-
| try with the hope of absorbing all its
| blessings. The people will not tolerate a
| new species of feudalism in this country
| j. H. CLAYPOOL.
indianapolis, Oct. IL.