New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1905-12-06

chief, although by no means the only one is
oHercaplt ailzatlongenerally itself the result of
| dishonest promotion-because of the MYRIAD evils
IL brings in its train; for such oyerca lization
oLte ! means an imitation that invites business
panic II always concealS the true relation of the
| pront earned to the capital actually invested
ana IL creates a burden of interest payments
WLich Is fertile cause of improper reduction
IN or limitation of wages; it damages the small
investor discoprages thrift. and encourages
SaInblng and speculation; while perhaps worst
% on Is the thickness and dishonesty which it
HnpIleS-for harm to morals is worse than any
posslble harm to material interests, and the de-
pauSHely OF politics and business by great dis
honest corporations is far than any actual
material evil they do the public Until the ma
doildI government obtains, in some manner
which the wisdom OF the Congress NAV suggest
proper control over the big corporations en-
gagged in interstate commensurate is over the
great majority of the big corporations-ft will
be impossible to deal adequately with these evils.
am Wen aware of the difficulties of the legis-
lauoh tnaL am suggesting and of the need Of
temperate and cautious action In securing it.
should enphatically protest against improperly
Iaolcai or nasty action. The first thing to do
10 10 oeSi with the great corporations engaged
III the business of interstate TRANSFORMATION,
AS l said in my message Of December last
lII IlIiIeGIale and most pressing need, so far
as Legislation is concerned, is the enactment into
law OF some scheme to secure to the agents of
tue government such supervision and Tegula-
ton OF the rates charged by the railroads Of the
country engaged in interstate traffic as shall
Summarlly and effectively prevent the inposi-
ton Of unjust unreasonable rates 1t must
include putting a complete 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 moderation,
caution and sef-restraint; but it should exist
so that 1t can be effectively exercised when the
need arises.
The first consideration to be kept in mind
Is that the power should be affirmative and
should be given to some administrative body
created by the Congress If given to the pres
ent Interstate Commerce Commission or to a
reoTganlzed Interstate Commerce Commission,
such commission should be made unequivocally
administrative. do not believe the govern
mcnt interfering with private business moro
than Is necessary. I do not believe in the gov
eminent undertaking any work which can with
propTlety be left in private hands. But neither
do believe in the government finching from
overseeing any work when it becomes evident
that abuses are sure to obtain therein unless
there is governmental supervision. It is not my
province to indicate the exact terms of the law
which should be enacted; but I call the atten-
ton of the Congress to certain existing condi-
tons with which It is desirable to deal.
In my judgment the most important provision
which such law should contain is that confer
ring upon some competent administrative body
the power to decide. upon
SOMPETENT the case being brought be-
TRIBUNAL TO fore it, whether given rate
DECIDE. prescribed by railroad is
reasonable and Just and If
it is found to be unreasonable and unjust then
after full investigation of the complaint to pre-
scr1pe the ilTnlt OF rate beyond which 1t shall
not be lawful TO So--the maximum reasonable
rate, as it is commonly calIed-this decision to
go into effect within q reasonable time and to
oot.i1n fro79 thence onward, subject to review |
by the courts. It sometimes happens at present |
not that q ~ate is too high, but that favored |
shipper Is given too low rate In such case the !
commission would have the right to fix this |
already established minimum rate as the maxi |
mum; and it would need only one or two such |
decisions by the commission to cure railroad |
companies of the practice OF giving improper |
minimum rates I call your attention. to The |
fact that my proposal is not TO give the COM I
mission power TO initiate or originate rates gen
orally, but to regulate rate already fixed or |
originated by the roads, upon complaint and |
after investigation. heavy penalty should be !
exacted from any corporation which fails to |
respect an order of the commission. regard !
this power to establish maximum rate as be-,
ing essential to any scheme of real reform in |
the matter of railway regulation. The first /
necessity is to secure IT. and unless 1t is granted
to the commission there is little use in touching
the subject at all