Perth Amboy evening news., 1906-12-04


great corporations which 10 not oper-
nte exclusively within the limits of
any one state. Ia some method, wheth-
er by d national license law OF iii other
fashion, we must exercise. and that at
an early date, Il Fir more complete
control than at present over these great
c0lporations-a control that will. among
other things, prevent the evils of ex-
cessive overcapitalization and that will
compel the disclosure by each big cor
pOration of its stockholders and Of its
properties and business, whether OWL
ed directly or through subsidiary or
affiliated corporations. This will tend
TO put d stop TO the securing Of inor-
dinate profits by favored individuals at
the expense whether Of the general
public, the stockholders or the wage
workers. Our effort should be not so
much to prevent consolidation as such,
but so TO supervise and control ii as
to see that 1t results in no harm to the
people.
Combination OF capital, like combina-
ton of labor, Is d necessary element OF
our present Industrial system. 1t is
not possible completely to prevent ii.
and if it We're possible such complete
prevention would do damage to the
body polite. What we need is not
valnly to try to prevent all c0mbina-
uon, but to secure such rigorous and
adequate control and supervision of
the combinations as to prevent their
injuring the public OF existing in such
form ms inevitably to threaten injury,
for the mere fact that Il combination
has secured practically complete con
troll of a necessary of life would under
any circumstances show that such
combination was to be presumed to be
adverse to the public interest. 1t is
unfortunate that our present laws
should forbid all combinations instead
of sharply discriminating between
those combinations which do good and
those combinations which do evil. Re.
bates. for instance. are as often due to
the pressure of big shippers (as was
shown in the investigation of the
Standard Oil company and as has been
shown since by the investigation of
the tobacco and sugar trusts as to the
initiative of big railroads. Often rail
roads would like to combine for the
purpose of preventing d big shipper
from maintaining improper advantages
at the expense of small shippers and
of the general public. Such a combina-
ton, instead of being forbidden by law,
should be favored. In other words, ii
should be permitted to railroads to
make agreements, provided these agree
ments We're sanctioned by the inter-
state commerce commission and were
published. With these two conditions
complied with it is impossible to see
what harm such a combination could
do to the public at large.
INHERITANCE AND INCOME TAX.
The national government has long
derived its chief revenue from Il tariff
on imports and from an internal or eX-
else tax. In addition to these, there Is
every reason why, when next our sys-
tenn of taxation is revised, the national
government should impose a graduated
Inheritance Aalx and, If possible, a grad
uated income tax.
| am well aware that such a subject
as this needs long and careful study in
order that the people may become IA
miliar with what is proposed to be
done. may clearly see the necessity of
proceeding with wisdom and self re-
straint and may make up their minds
just how far they are willing to go in
the matter, while only trained legisla-
tors can work out the project in neces-
sary detail. But feel that in the near
future our national legislators should
enact Il law providing for a graduated
inheritance tax by which a steadily in
creasing rate of duty should be put
upon all moneys or other valuables
coming by gift, bequest or devise 10
any individual or corporation. There
can be no question of the ethical pro
priety of the government thus deter
mining the conditions upon which any
gift or Inheritance should be received.
AS the law now stands it is undoubt-
edly difficult to devise Il national in
come tax which shall be constitutional.
But whether it is absolutely impossible
is another question, and if possible il
is most certainly desirable. The first
purely income tax law was passed by
the congress in 1861, but the most i'm
portant law dealing with the subject
was that of 1894. This the court held
to be unconstitutional.
The question is undoubtedly very in
tricate, delicate and troublesome. The
decision Of the court was only reached
by one majority. 1t is the law of the
land and of course is accepted rs such
and Loyalty obeyed by all good citizens.
Nevertheless the hesitation evidently
felt by the court as Il whole in coming
to a conclusion, when considered to-
gether with previous decisions on the
subject, may perhaps Indicate the pos
sibility of devising Il constitutional in
come tax law which shall substantially
accomplish the results aimed at. The
difficulty of amending the constitution
is so great that only real necessity can
Justify a resort thereto. Every effort
- - .s.,1N =. H-I... IA Ali.