The evening star and Newark advertiser. [volume] (Newark, N.J.) 1907-1908, 1907-09-16
KNAPP'S VIEWS
ON RAILROAD
QUESTION
Companies Must Violate
Sherman Law, lie Says.
Believes in Cooperation.

CHICAGO, Sept. Incorporation,
not competition. is the hope of the
future declared Martin A. Knapp,
chairman of the Interstate Commerce
Commission, yesterday as he explained
his attack on the Sherman antitrust
law at the meeting of the American
Association of Freight Traffic Officers
Saturday.
THAT law" he continued, defeats
the purpose 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 a
chaotic condition suited only for saw
agery.
"As I am optimistic, l hope to see
| either the Supreme Court of the Uni
ted States come around to my way of
thinking or Congress pass a law pro-
! viding a legal status to these traffic
associations all oyer the country. They
are absolutely necessary to h con-
duct of railroad business, If the pro-
visions of the new rate law with ref
erence to determinations are main
tanned"
Then you believe in pooling the
traffic of the great systems?" Mr..
Knapp was asked.
mot at ALL he replied. "Ten years
ago this might ave been a good thing,
cut it is no longer necessary. The
mutual interest which one common
carrier has in another ac%complishes the
same purpose with less confusion
what If one man or set of men Sc
cure control all over 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 this condition.
The small roads, which under other
conditions might have retained their
identity and separate management
have been gobbled up. 1t was the OBJ
vious result, and to complicate mat
ters the owners of two great systems
reach a tacit agreement which cannot
be discovered by the forces back of the
antitrust law. In many instances this
agreement is of such a character that
1t cannot be attacked, and 1t serves
the purpose even better.
1.-THE law was founded On the ex-
ploded belief that competition, the
~fiercer and more bitter he better, is
best for the general public. In the old
avs or stage cOacneS THIS may idNe
been 50, but the higher civilization
which has brought railroads, steam
boats, telephones, electric lights n
all these modern ~conveniences can
never thrive on hat kind of nourish-
ment. The ultimate end of such COM
petition is that one of the parties to
it must be forced to the wall. | cannot
see that this is a thing to be desired.
How much better it would be If an
agreement, not necessary as to prices,
but as to territory, could be arrived at.
This would not kill competition, the
healthy competition which says that
the man who can manufacture his
products at a less cost may undersell
his competitor. We would have, how
ever, 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 a greater believer than /.
Now, it is not socialism or government
ownership, but to my mind 1t Is far
Ebetter. 1t leaves incentive which m
with the possession Of a great BUSH
ness, and yet conserves he rights OF
the public"