The Marion daily mirror. (Marion, Ohio) 1892-1912, 1907-08-20


serving the same territory is the ac.
quisition by one company Of the stock
in another and the election Of direc-
tors to represent that stock. This pro.
cess is facilitated by the uncontrolled
power to issue securities beyond the
needs OF the company for its legltl-
mate business and would be curbed
by the restriction proposed. The evil
ought further TO be directly restrained
by making It unlawful for an inter.
state railway to acquire stock in a
competing line This is a simpler
remedy of meeting the evil than BY
recourse to the antitrust law under
the Northern Securities case. In ad.
dition to this, competing lines should
be prohibited from having common
directors or officers
Proposed Amendments Constitutional.
These suggestions of additional leg.
islation in respect to the supervisors
and control of Interstate railways have
been made by the interstate com.
merce commission and | heartily con.
cur in them. They are plainly within
| the federal Jurisdiction under the in
| terstate commerce clause. do not
think that in order to accomplish
good which the federal government
with It's greater resources and wider
geographical reach can bring about
| more quickly and efficiently, the con.
stitutional limits upon federal action
| should be blurred out or an undoubted
federal power should be expanded by
doubtful construction into a field
which really belongs to the state. But
the right of congress to take any ac-
ton, not coniiscatory, in the most
rigid control of interstate commerce
can not be denied
Objections to Government Ownership.
'T am opposed to government owner.
ship
First, because existing government
railways are not managed with either
the efficiency or economy OF privately
managed roads and the rates charged
| are not as low and therefore not as
beneficial to the public:
Second, because Il would involve an
expenditure of certainly twelve billion
of dollars to acquire the interstate
| railways and the creation of an enor.
nous national debt
Third, because II would place in the
hands of reckless executive power
of control over business and politics
that the imagination can hardly con.
ceive, and would expose our popular
institutions to danger"
Secretary Taft declared that this
program of railway regulation is not
inconsistent with individualsm and he
also said that he would favor railway
rate agreements II submitted to and
approved by the Interstate commerce
| commission. As to the suggestion that
the commission should be empowered
to make a valuation of the physical
property OF all The railroads, Mr.. Taft
| said that the commission already had
sufficient power to do that 81 do not
object to valuation" he said, "if
thought relevant to any issue but
merely reprecate the assumption that
IL is to be the chief means Of a great
reform in rates.
Continuing, Secretary Taft pointed
out that the frightful loss of life and
limb among railway employees called
for stringent regulations and he ex.
pressed his approval of the new EN-.
ployers liability law.
The Trusts.
Taking up the question OF the trusts,
Secretary Taft explained the present
antitrust law. and gave his views re.
garding unlawful monopoly He de.
clared that the mere aggregation of
all plants in a given line of industry
in one ownership does not necessarily
suppress competition, but he pointed
out the Illegal devices employed by
some great corporations, and said:
Il am inclined to the opinion that the
time is near at hand for an amendment
Of the antitrust law defining in more
detail the evils against which 1t is
aimed, making clearer the distinction
between lawful agreements reasonably
restraining trade and those which are
pernicious in their effect, and particu.
larly denounCing the various devices
for monopoi2ing trade which prosecu.
tlons and Investigations have shown
W Dt uStu III bNNhhl pldNllNt. j ne ut-
/ cisions of the courts and the expert.
ence of executive and prosecuting of.
fcers make the framing of such a
statute possible. II will have the good
effect of making much clearer to those
business men who would obey the laws
the methods to be avoided
another and perhaps the most ef.
fective method in the past for an un-
lawful trust to maintain itself has
been to secure secret rebates or other
unlawful advantage in transportation,
by threat of Withholding business from
the carrier. This is undoubtedly what |
has enabled the Standard Oil company
and the sugar trust and other great
combinations, to reap an illegal hav |
vest and to drive all competitors from |
the field II by asserting complete |
federal control over the interstate rail- |
ways OF the country, we can suppress
secret rebates and determinations Of |
other kinds, we shall have gone |
long way in the suppression of the un.
lawful trusts
Answer to Mr. Bryan's Question.