The Yale expositor., 1907-12-06
Investing Public should
he Amply Snfeguarded.

1.-THE congress has the power to charter
corporations to engage in interstate and
foreign commerce, and a general law can
be enacted under the provisions of which
existing corporations could take out fed
eral charters and new federal corpora
tons could be created. An essential pro-
vision OF such a law should be a method
of predetermining by some federal board
or commission whether the applicant for
a federal charter was an association or
combination within the restrictions of the
federal law. Provision should also be
made for complete publicity In all matters
affecting the public and complete protec-
ton to the investing public and the share
holders in the matter of issuing corporate
securities. II an incorporation law is not
deemed advisable, a license act for big
interstate corporations might be enacted:
or a combination OF the two might be
tried. The supervision established might
be analogous to that now exercised over
national banks At least the antitrust
act should be supplemented by specific
prohibitions of the methods which ex-
perience has shown have been of most
service in enabling monopolistic combina-
tons TO crush out competition. The real
owners of a corporation should be com
PEELED TO do business i'm their own name.
The right to hold stock in other corpora
tons should hereafter be denied to inter-
state corporations, unless on approval by
the proper government officials, and a
prerequisite TO such approval should be
the listing with the government of all
owners and stockholders. both by the
corporation owning such stock and by
the corporations in which such stock is
owned.
ITO confer upon the national govern
ment, I'm connection with the amendment
] advocate in the antitrust law. power OF
supervision over big business concerns
-
benefit them as II has benefited the ma
tional banks. In the recent business
crisis II Is noteworthy that the institu-
lions which failed were institutions
which were not under the supervision and
control OF the national government
Those which were under national con-
troll stood the test.
National control Of the kind above adj
vocated would be TO the benefit OF every
well-managed railway. From the stand
point of the public there is need for adj
dtional tracks. additional terminals and
improvements in the actual handling of
the railroads, and all this as rapidly as
possible. Ample, safe, and speedy trans
portation facilities are even more neces-
sary than cheap transportation. There
fore there is need for the investment OF
money which will provide for all these
things while at the same time securing as
fas as is possible better wages and
shorter hours for their employees There
fore. while there must be just and rea-
sonable regulation of rates. we should be
the first to protest against any arbitrary
and unthinking movement 20 cut them
down without the fullest and most care
full consideration OF all interests con-
cerned and OF the actual needs OF the
situation. Only n special body OF men
acting for the national government un-
der authority conferred upon Il by the
congress is competent to pass judgment
on such a matter.
Greater Elasticity In
Currency IL Urged.
The president Quotes extensively from
his last message In dealing with the d.