Los Angeles herald., 1907-01-26

! tnlS estimate IS 'tntrlnSiCally absurd
But, however our flnanciers may set
tle this question to their own satlsfac-
tion, SO far as the public is concerned
the payment of dividends upon those
stocks differs only IN name from the
payment Of interest upon the bonds:
and the public II Is that pays both in
terest and dividends, even as II has al
ready paid for the properties them
selves besides contributing to tho
enormous fortunes OF the fnanciers
in control.
What. indeed is the preponderatinF
part of the valuable property" OF
which these stocks are 20 certificate of
title to" but the power given these
corporations to tax the public upon all
It's products. supplies and public SER
vices? This It Is that has already COM
PEELED the public not only to pay for
the properties, but also to build up the
enormous fortunes Of the exploiters Of
these corporations: and that now en-
ables these flnanciers to recapitalize
the properties at three or even FIVE
times their real worth. The some s40,-
| 100000 of these Securities" thus
constitute, in fact, first lien or "blan-
ket" mortgage upon all the property
of the nation: and not until this in
cumbrance is Gifted" can the farmer
or other citizen be said. in any true
sense, to own his farm or home; nor.
until then. can any enumeration OF
farms or homes as being "popularly
owned" be considered at all conclusive
upon this subject or as substantially
affecting my estimate of wealth con-
centration.
Nor yet can the people be said to an
appreciable extent, to be the proprie-
tors of these corporations. If the wage
Garner has invested his hard earned
and scantily spared savings in share
of corporation stock 1t is because he
has been lured as in the case of the
United States Steel corporation, into
the belief that his investment would be
safe as well as available in case of
need. And with this we'll remembered
exception and perhaps two or three
other operations of like character the
owners of these corporation stocks
will as a rule be found very safely in
cluded within the 100000 names consti-
tuting the 1 per cent of our population
designated as the so-called wealthy
class" embraced in my estimate
Nor yet can the items of savings
bank deposits and insurance policies |
eXtant be said to argue the possession |
of wealth in the body of the people. |
The few dollars deposited in the saw
ings bank usually constitutes the sole !
dependence of the toiler and his family
against sickness, the loss of employ
ment or any of the thousand and one
vicissitudes of life that beset the
hand to- mouth" existence of the
great body of our populations: and it
therefore remains and is increased as
a precious possession, even though the
debts of the depositor may exceed
many times the small pittance deposit
ed. So also insurance is again almost
the sole dependence of the toiler's
family in case of his death, and is,
therefore, taken out and the premium
paid, so long as the holder can beg or
borrow dollar and regardless of every
other obligation. The liabilities of the
depositor or insured must needs be
placed against such asset before we
can decide as to his solvency, much
less as to his wealth.
These estimates. as also the conclu-
sions drawn from them, are revolu-
tionary of accepted notions, and I ex-
pect them to be bitterly assailed. AS
here given, however they are, at least, !
what 1 intended to say and am pre-
pared to substantiate. Unfortunately |
owing to a miscarriage in the malls, |
did not receive the program of the |