The Mankato free press. [volume] (Mankato, Blue Earth County, Minn.) 1879-1924, 1907-07-05
Senatar KnOXDefines Them
Before Yale Students.
IT IS AN ABLE DOCUMENT
Development of Ferderal Power To
Regulate Commerce; Students
Enlightened.
From Thursdays Daily.

eHHS.N lNdHld, Hldue all duuTeSS Delole
the graduating classes of the law school
of Yale University in which he discuss
ed the development of federal power to
regulate commerce.
There are no questions before the
American people today of greater impor-
tance than those relating to the federal
control over commerce." said he. THAT
power was granted chiefly as safe
guard against commercial hOstilities and
reprisals between the states. 1t remained
practically dormant until comparatively
recent years. 1t is now clearly recognized
as great affirmative and constructive
power, not limited to composing differ
ences, between state laws and systems,
but constitutionally capable of effective
and fruitful development in a region all
its own. In some respects it may be said
to be the greatest power lodged in the
general government, and the possibilities
of its application are co-eXtensive with
the possibilities of the expansion of the
vast subject to which it applies.
Nothing, therefore, is of more conse-
qaence in our government affairs than
an accurate understanding of the scope
of the national and state powers in re-
spect to commerce and the activities re-
lated to commerce, for no effective reg
ulation is possible in either sovereignty
if the power of the one could be usurped
OF INSTRUCTED by the other. This will be
understood and conceded, except by
those who appear to think the federal
government can constitutionally accom-
plish everything that seems good for the
people and are constantly raising expec-
tations upon this line which cannot pos
sibly be fulfilled.
..The fact that the state governments
are supreme in state affairs, and the ma
tional government supreme in national
affairs does not result in the deduction
that there are any affairs which may es-
cape government control.
"While the constitutional powers of
the nation and the reserved powers of
the states remain ever the same, the
question as to when an act or transac-
tion is exclusively state affair, subject
to state control, or national matter
subject to national control, is one of
fact, as well as law, and it can be read
ily understood that the facts differ at
different periods of our development and
under different circumstances relating to
the subject.
"The necessity to exercise the national
power over commerce arises largely out
of the failure of the states to regulate
wisely great corporations created by and
under the dominion of the states and en-
gagged in interstate commerce. That
failure has led to well-known abuses
which affect interstate commerce, and
thereby created the necessity for the ex-
ercise of federal regulation to prevent
the abuse.
"The necessity for the exercise of fed
eral regulation almost always springs
from causes the states could have pre-
vented.
"The national power of regulation
should only be invoked when necessary
for regulation exists. Normally and
honestly conducted commerce requires
but little, if any, governmental regula-
ton, and the failure by congress to reg
ulate interstate commerce is equivalent
to legislative declaration that it shall
be free. Abnormal conditions in COM
mercial intercourse caused by monopo-
lies, preferential service, rebates and the
like, destroy the normal operations of
commerce and create the demand for
federal regulation to restore the rule
of freedom and equity.
"The pressure of the accumulated
evils and abuses of many years OF in
adequately regulated commerce in this
country eliminated some few years ago
~ action RI
test the adequacy of existing laws to
meet the situation, and the enactment
of such additional ones as should prove
to be necessary to restore and preserve
freedom and equity in interstate and
foreign commerce.
'The combinations to control the pro-
duction, distribution and sale of COM
modities which were to be subjects of
interstate commerce; the combinations
between and the mergers of interstate
railroads, designed to bring under one
control the transportation business of
large areas of the country; the unjust
determinations to favored shippers and
localities, both in the carrying service
and the rates charged therefor; the sec
recy surrounding the operations of cor
porations rendering service to the public
had utterly destroyed in many localities
the ability of other persons and concerns
to engage in commercial competition
with the favored ones who enjoyed such
unfair and illegal advantages.
"Over this subject of commerce among
the states and with foreign nations, and
its instrumentalities, the power of Con-
gress is plenary. 1t may be exercised,
in the most general or minute way. For
this purpose Congress possesses all pow
ers which existed in the states before
the adoption of the national constitu-
ton, and it's power when subject is ma
tional is, or may be made exclusive. The
constitution, laws, corporations and cit
liens of the states are subject to this
paramount authority. Congress can reg
, ulate anything, everything, any and ev-
cry person, natural or artificial, in the
sense that it can prohibit or prevent
any use or act that will interfere with
congressional control over interstate
commerce, or that will injuriously affect
such commerce. Congress may likewise