The Laurens advertiser. (Laurens, S.C.) 1885-1973, 1902-09-10

| perty is capitalized at twice its valu
the lowest capitalization known, an
the securities are foated at par, the r.
suit is that the former owners fin
themselves twice as rich as they wei
before, and at very trifing outlay {
time, money or energy, to say nothin
of future of immense possibilities
We shall not be surprised, therefore
when told that many similar Organize
tiCns are started with The deliberat
intention of swindling unsuspectin
stockholders.
The Supreme Court of the Unite'
States and several of our President
have more than once called attention
to the gravity of the situation, and W.
can not suppose that men occupying
such high positions of responsibility,
would wantonly excite public appre
hension.
There is one form of tyranny thai
governments, however instituted, car
not-at least dlrectly-exercise. Eff
forts have often been made TO control
prices by law, but never successfully
The natural laws of trade always
triumphed over the artificial laws OF
men. But whoever can control the
supply can fix his own prices, as we
see in the case of Pharaoh in Egypt.
1t was not as King that he asserted
that power, for the command of the
supply would have given it 10 him if he
had been private Individual.
President Roosevelt has said more
than once that the power of corpora
tions over prices should he subjected
to public control. The principal dinl-
Guilty pertains to the remedy. If OK
isting laws could be enforced perhaps
no new one would be needed.
a remedy sometimes proposed with
seeming confidence is that of publicity.
Publicity is good thing. Monopolies
delight in secrecy. 1t is SAID that the
absent always suffer, and the public
are not invited to participate in cor
porate meetings. Very lately corpora
tions are organizing under conditions
that do not permit oven all of the
stockholders to examine the books,
that privilege being reserved for hold
ers OF preferred stock alone. 1t may
be that persons who rely on this
remedy are misled by the laws relating
to the examination of the books of
banks, which are very easily examined.
Banks have only to do with single
one that has fixed and un-
values. The difficulty is
increased when it comes
10 like examinations Of the books of
other corporate bodies doing an OK
tensive and varied business. In such
cases it is not infrequently found that
he mysteries of modern bookkeeping
exceed those of alchemy, reminding
me of the response of railway presi-
lent to his legal adviser to question
as to what the books of the company
would show regarding a controversy
hen under consideration. WE'LL"
said the president, as foresaw long
ago that this dispute would some time
probably arise, and, not knowing ex-
actly what form it would assume, 1
Kept the books in a flexible condi-
,ion."
Flexible bookkeeping may justly
claim respectable antiquity 1t
one of the minor charges of
Cicero against Verrea; and contem-
oorary poet surmises that it was uti-
lized by the contractors that built the
pyramids. The remedy of publicity
would only serve to prolong the pres
ant situation.
Another proposed remedy is the
modification of the tariff laws as far as
hey affect prices of commodities sold
oy the trusts. This would open the
trusts TO the competition of the foreign
markets; and TO that extent 1T would
place limit on the power to raise
prices. 1t would not, of course, affect
all the trusts, and hence it would be
inadequate, though it might prove
very useful.
Another remedy suggested is an
to the Federal constitution
giving power to Congress 70 control all
corporations; a very drastic remedy,
indeed, one thatwould greatly strength
en- the lobby, one that might intro
duce an era of political corruption
unknown.
Lastly, 1t is suggested that the
Federal constitution should be so
amended as to enable Congress to
prevent by appropriate penalties the
smuggling of rivals by local underselhng,
by " factor's agreements" and by
similar devices. This would not pre-
vent the investment of large sums in
corporate hands; and corporations with
large capital would still have an ad-
vantage; but laws of that kind would
no doubt be rigidly enforced by the
juries of the country; and forced SYM
pathy in favor of new and struggling
would probably go a long
way to redress the balance.