Wausau pilot. [volume] (Wausau, Wis.) 1896-1940, 1905-12-12

The Department of Justice has for the
last four years devoted more attention to
the enforcement Of the antitrust legisla-
ton than to anything else Much has
been accomplished; particularly marked
has been the moral effect of the prose-
BUTTONS; but it is increasingly evident
that there will be a very insufficient
beneficial result in the way of economic
change The successful prosecution of
one device to evade the law Immediately
develops another device to accomplish
the same purpose. What is needed is not
sweeping prohibition of every arrange
ment. good or bad, which may tend to
restrict competition. but such adequate
supervision and regulation as will pre-
vent any restriction of competition from
being to the detriment of the public
as well as such supervision and regula-
ton as will prevent other abuses in no
way connected with restriction of COM
petition. OF these abuses, perhaps, the
chief, although by no means the only one.
is aliZation-generally itself the
result of dishonest observation-disclosures
of the myriad evils it brings in its train
for such apitalization often means
an imitation that invites business pane;
it always cOnceals the true relation of
the profit earned to the capital actually
invested, and it creates a burden of in
tereSt payments which is n fertile cause
of improper reduction in or limitation of
wages; it damages the small investor,
discOurages thrift, and encourages gam
bling and speculation; while perhaps
worst of all is the thickness and dishon-
esty which it implies-for harm to NOR
ais is worse than any possible harm to
material interests, and the debauchery
of politics and business by great dishOn-
est corporations is far worse than any
actual material evil they do the public.
Until the national government obtains,
in some manner which the wisdom of the
Congress may suggest, proper control
over the big corporations engaged in in
terstate commerce-that is, over the
great majority Of the big corporations
it will be impossible to deal adequately
with these evils.
Railroad Rate Regulation.
The first thing to do is to deal with
the great corporations engaged in the
business of interstate transportation. The
immediate and most pressing need. so
far as legislation is concerned, is the en-
actment into law of some scheme to
secure to the agents of the government
such supervision and regulation of the
rates charged by the railroads of the
country engaged in interstate traffic as
shall summarly and effectively prevent
the imposition Of unjust or unreasonable
rates. 1t must include putting a com
plete stop TO rebates in every shape and
form. This power to regulate rates, like
all similar powers over the, business
world, should be exercised with modera-
ton, caution and self-reStraint: but it
should exist. so that it can be effectively
exercised when the need arises. The
first consideration to be kept in mind is
tbat fbe oh bo Hmm, n
should be given to some administrative
body created by the Congress. If given
to the present interstate commerce COM
mission or to a reOrganiZed interstate
commerce commission. such commission
should be made unequivocally admins
trative. | do not believe in the govern
ment interfering with private business
more than is necessary. | do not believe
IN the government undertaking any work
which can with propriety be left in pri-
waite hands. But neither do | believe in
the government hinching from overseeing
any work when it becomes evident that
abuses are sure to obtain therein unless
there Is governmental supervision. 1t
Is not my province to Indicate the exact
terms of the law which should be en-
acted; but l call the attention of the
congress to certain existing conditions
with which it is desirable 10 deal. In
my Judgment the most important pro-
vision which such law should contain is
that comforting upon some competent ad-
illustrative body the power to decide,
upon the case being brought before it.
whether given rate prescribed by a
railroad is reasonable and lust. and if
It is found to be unreasonable and I'M
Just then, aftet full investigation of
the complaint, to prescribe the limit of
rate beyond which it shall not be lawful
to gO-the maximum reasonable rate. as
il is commonly called-this decision TO 90
into effect within n reasonable time and
to obtain from thence onward. subject
to review by the corTts. A heavy pen
atty should be eXacted from any corpora
ton which fails to respect an order or
the commission.
Illegal transactions often occur under
the forms of law, Ii has often occurred
that Il shipper has been told by a traffic
officer TO buy large quantity of some
commodity and then after it has been
bought an open reduction is made in the
rate to take effect Immediately. the ar
rangement resulting to the profit of the
one shipper and the one railroad and to
the damage of all their competitors; for
it must not be forgotten that the big
shippers are at least as much to blame
as any railroad in the matter of rebates.
Tie law should make it clear so that no.
body can fail to understand that any
kind Of commission paid on freight ship
mentS. whether in this form or in the
form of fictitious DANA yes. or of n con
cession. a free pass reduced passenger
rate, or payment of brokerage. is illegal
1t is worth while considering whether
II would not be wise to confer on the
government the right of civil action
against the beneficiary of rebate for
at least twice the value of the rebate;
this would help stop what is really black