Semi-weekly herald., 1907-12-12

NiNnNtN hHuAtNlSu WIN tue ruTt flt
National bank which went under yes
tsrday.
Washington. Dec. 9.--In the annua
report OF the secretary of commerce
and labor. delivered today to the presi
dent for transmission to congress. Sec
retary Oscar r. Straus announced sew
eral important recommendation anc
suggestions. In regard to the work pi
the bureau Of corporations in the in
vestigatiun of trusts and combines
Secretary Straus declares his belief
that ultimately the national develop
ment OF industries will force the adop
ton oil national system of regila.
tion or supervision of some such gen.
eral nature as that already applied Ia
national banks in order that the sig.
nificant facts Of corporate manage.
mont may be correctly laid before
congress and the public as the only
proper basis for just and intelligent
action thereon"
Among other matters dealt with in
the report are methods Of bringing
about closer relations between ;he
department aud the commercial inter-
rsts OF the country; immigration and
naturalization, contract labor. the ori-
entail question. women and child labor,
mediation Of labor troubles and fish
cries.
IN speaking OF the work of the hu-
reau Of corporations Secretary Strans
says
"Thc bureau of corporntious has con
tInued the work prescribed in its or
ganic act in the investigation of cor.
norations engaged in the great inter.
state Industries Since tho orgauizu-
ton Of the bureau in 1908 a number OF
important reports have been issued.
The first annual report in 1904 set
forth the policy Of the bureau, with
comment on certain questions raised
by Industrial combination. The report
on the beef industry was issued in
1905 and the report on the transpor-
tation OF petroleum IN 1906. the latter
report setting forth a large number
Of determinations in railroad rates,
upon which have been based numerous
indictments and convictions for vio-
lation Of the interstate commerce act
and it's amendments.
"ln May. 1907. the present commits.
siuner submitted to the president part
Of a report on the petroleum industry.
The bureau is occupied. as current
work, with making Investigations into
the steel. lumber and tobacco iadis.
tries, rs wen as with further work on
the petroleum industry. ana with liz
quiries connected With canals coast
wise and river navigation, cotton eN.
changes the International Harvester
company. and in making special inve s.
LEGATIONS relating TO patents held b.
government employees upon articles IN
use by the government. 1t is believed
that these Investigations will set he
fore the public number OF important
economic and financial facts and ten
denotes that viii be Of the highest
value in dealing with great Industrial
problems
at is believed that the experience Of
the bureau has slgnally Justified that
phase of the policy of the administra.
tion which has been aimed at securing
an efficient publicity in Interstate cor
porate matters by federal means
Corporate activity has become IA
tional ln it's commercial scope, but It's
legal status is suu limited almost
wholly by state statutes, a discrepan-
cy that has been the cause of many
existing evils The legal conditions
should at least be brought into some
reasonable relation to The business
facts. Corporate commerce; as carried
on by those great companies whose
operations substantially constitute the
whole problems before MS. is national
The control over them, to some extent
at least, should also be rational, by
the general government. The power
and jurisdiction OF the regUlative All
thority should be commensurate with
the field of operations OF the corpora
tions to he regulated. Capitalization
as business fact has been accomplish
ed. It only remains to be determined
whether legal conditions shall be adj
justed to the facts which they are
supposed to over
industrial combination as such, ap-
pears to be an inevitable economic
necessity. This fact must be recog.
uized in order 10 treat the matter sue
cessfuHy. The prohibition OF com
mercial power simply because it e.
suits from combination IS futile and
may be harmful. It is not the exist
ence Of such power, but its misuse,
to which attention may be directed.
Commercial success which is based
solely upon the proper use of com
mercal power. simply because IL re-
gage the time Of between 90 and 100
suits from combination is futile and
may be harmful. II is not the-existence
OF such power. but its misuse to which
attention must be directed. CONNER
cial success which is nased soleiy up