Missouri Valley times. [volume] (Missouri Valley, Iowa) 1874-1931, 1903-12-17

II N the December number of Worlds
Work, Serene S. Pratt, associate
Il editor OF the Wall Street Journal
and writer on financial topics
with Whom the readers of the Sunday
World-Herald have become more or less
familiar, has contributed an interesting
article on who Owns the United States?'
Mr. Pratt discusses the movement to-
ward consolidation and shows that a
handful OF men absolutely control the
country, financially speaking, the thou
sands and thousands of stockholders in
large enterprises being mere puppets in
their hands. Extracts from Mr.. Pratt'.,
article follows
"One-twelfth of the estimated wealth
OF the United States Is represented at
1He meeting of the board of directors of
me United States Steel corporation when
Ihey are. all present. The twenty-four di-
John D. RockefellerJ Pierpont Morgan.
MaTShall Field. H. H. Rogers.
y; II, Gary. George w. Perkins.
". H. Moore N Norman 3. Ream.
45enry z. Frick. Charles NJ Schwab.
e; II. Peabody. Daniel e. Reid.
Charles Steele. 81 d. Rocl,efeier ir
e. A. y. Widener. Afford Clifford
lanes II, Reid. Robert Bacon.
Mlnlam. Edenborn. Nathaniel Thayer
u. y. converse. James Gayley.
more than 200 other companies. These
companies operate nearly one-half of the
railroad mileage of the United States
Ihey are the great miners and carriers
OF coal Among these companies are such
1naustflai trusts as the Standard Oil the
International Harvester, the Pullman, the
General Electric, the International Mer-
eaa can Marine, the United States Realty
ana CONSTRUCTION and the American Lin
traction lines Of New York Of Philad lei
pni d OF ,pI,i,ttsburg, of Buffalo, of Chicago
md pf
N the board. This group includes sei also
two of WHICH have assets of 100000, 900.
In the steel board are men who speak
Tor i've banks and ten trust companies
National the National City and the Bank
of Commerce, the three greatest banks
IN lt the country and the head of important
Philadelphia for two banks and two V,
trust companies in Chicago; for bank
ana an. two trust companies in Boston, and
Tor ona bank and one trust company in
Pittsburg, besides banking institutions
IN smaller cities. Telephone, electric, real
are represented there and our greatest
merchant sits at the board table.
ii t. the e 1nd Nv wealth Of these
the point to estimate. but one Of them,
Mr.: John D; Rockefeller is generally
the world. But it is not the personal,
but the representative wath of these
men that makes the group extraordinary
cations aggregate more than s9.OOoJoo,O0o
AN amount Qf the capitalizations arc
real values equal to about the combined
public debts of Great Britain, France and
the United States.
Ownership Not Necessary.
Concentration of wealth does not mean
merely the amassing of vast fortunes by
individuals. 1t is doubtful if these are
TODD tr,, <,,,N;x
to the total resources of the county than
they We're fifty years ago man worth
$5.O00,0O0 today is no richer, as related to
the aggregate wealth of the United States.
than a man worth $4,000 in 1850 More
over concentration of wealth does not
necessarily RI mean mean. actual ownership by
are owned outright, or even majority
Of their stock by individuals or by attili-
ated interests Concentration means
rather the control by direction or ineu-
ence of great aggregations of capital
For instance it is not essential for the
control of the steel corporation that the
directors themselves should own a ma
jority of the shares. Moreover, 1t should
not be taken for granted that because
company they are closely affiliated in all
their interests On the contrary, in some
INSTANCES they hey. are probably in direct an,
Mr.. Morgan meet together in the steel
board and in other things may often join
forces, they are recognized as the heads
of influence In American finance. But
taking into account these distinctions and
limitations, it is proper to speak of this
group Of capitalists in the worlds. big
gest company as a notable example of
what we mean by concentration of wealth,
which in its largest significance Is
community of interest between indvid-
uals and corporate capital, commonly
working together for the attainment OF
certain ends in finance and commerce.
Starting, then, from this point, it is
important to consider how far this con-
centration has gone. In short the ques-
ton is. Who owns the United States
the 76,000,000 people who inhabit it or a
small group of men, rich themselves but
mainly powerful by reason of the wealth
they repres ant, controlling the railroads.
the supplies of fueL the output of iron
and the principal trusts. able in no small
measure to sway the markets, build or de-
stroy business activity. advance or lower
prices and even dictate the policies of
parties and mold legislation?
BY the Diffusion Of Wealth.
ssThis. concentration of wealth goes on,
hand in hand with wide diffusion of
wealth. A simple illustration will show
what Is meant. There were at the time
Of the last stateme mt. 69,955 stockholders
In the steel corporation. This is diffusion
Of wealth. The vast majority Of these
holders Of stock would have been unable
to buy any interest in the iron business
but for the modern invention of the
stock company, which by dividing the
capital into small shares makes It pos
oible for persons Of limited means to own
go