The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1907-09-16
KNAPP EXPLAINS.
chairman of the Interstate
Commerce Commission
Talks of His Attack on the
Sherman Law.
COOPERATION NEEDED
More Than Competition in Rail-
reading, He Declares.
Companies Must Violate the
Law or Be Ruined.
COOPERATION NEEDED

Chicago, SEPT. 16.-"Co-operation
not competition, is the hope of the
future" declared Martin a. Knapp.
chairman OF the Interstate commerce
commission. as he explained his at
tack on the Sherman antitrust law at
the meeting of the American associa-
ton OF freight traffic officials Satur-
day
That law" he continued, defeats
the purposes for which it was passed
and If the railroads Of the country did
not violate it as Interpreted by the
supreme court. we would have
chaotic condition suited only for saw
agery.
AS 1 am optimistic. 1 hope to see
either the supreme court OF the
United States come around to my way
of thinking or congress pass law
providing a legal status for these
traffic associations all over the coun-
try. They are absolutely necessary to
the conduct of railroad business, II
the provisions of the new rate law
with reference to Determinations are
maintained.
Then you believe in pooling the
traffic of the great systems?' Mr..
Knapp was asked
Not at all he replied. Ten years
ago this might have been a good
thing. but it is no longer necessary.
The mutual interest which one COM
mon carrier has in another accom-
piishes the same purpose with less
confusion
What if one man or set of men Sc
cure control over all the roads,?
1T is not far from that now, and it
is my humble belief that the sherman
antitrust law has been one of the
AGENCIES which caused the condition.
The small roads which under other
conditions might have retained their
Identity and separate management
have been gobbled up. 1t was the
obvious result, and to cOmplicate mat
tiers the owners of two great systems
reach a tacit agreement which cannot
be discovered by the forces back of
th2 antitrust law. In many instances
this agreement is of such character
that 1t cannot be attacked and it
serves the purpose even better
Founded on Exploded Belief.
The !aw was founded on the ex-
lloded belief that competition the
fercer and more bitter the better, is
best for the general public. In the
old days Of stage coaches this may
have been so, but the higher civiliza-
ton which has brought railroads,
steamboats, telephones. electric light.
and all these modern conveniences
can never thrive on that kind of
nourishrnent The ultimate end Of
such competition is that one of the
parties to it must be forced to the
wall. I cannot see that this is a thing
TO be desired.
How rnuch better il would be If an
agreement, not necessarily as to
prices. but as to territory, could be ar
ranged. This would not kill COMPETE
ton, the healthy competition which
says the man who can manufacture
his product at a less cost may under
sell his competitor. We would have,
however, more of cooperation. more
of help. and less of this fierce desire to
down the other fellow"
What about supervision? Mr..
Knapp was asked.
Certainly, that is an essential and
no one is greater believer in it than
I. Now. this is not socialism or gov
eminent ownership, but to my mind 1t
is far better 1t leaves incentive,
which comes with the possession Of a
great business. and yet conserves the
rights OF the public"
What Mfr. Knapp Said.
ITO my mind the most mischievous
and mistaken legislation in the his
tory of our country is the Sherman
antitrust law, because it recognizes
and is based on the exploded econo-
mical theory that competition Is the
life Of trade
This statement was made by Martin