The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1908-08-25

and easily enforced remedy. AS stated
| in the platform it is:
"A license system which will, with
out abridging the right of each state
| to create corporations, or it's right to
i regulate as it will foreign corporations
doing business within its limits, make
| it necessary for a manufacturing or
\ trading corporation engaged in inter-
state commerce to take out a federal
license before it shall be permitted to
control as much as rs per cent of the
| product in which 1t deals. the license
to protect the public from watered
stock and to prohibit the control by
such corporation Of more than so per
| cent of the total amount of any
| States"
that care was taken by those who
| drew the platform to provide that
| there should be no abridgment Of the
| right OF state to create corporations.
or OF its right to regulate as it will
foreign corporations doing business
within its limits. This plan, there
fore, does not in the least infringe
upon the right of the states to protect
their own people. 1t simply provides
Tor the exercise by congress of the
state commerce. AS long as a corpor-
alton confines itself to the state in
which 1t is created, congress can not
interfere with 1t; but when the corpora
congress is the only power that can
regulate its interstate business
In proposing the exercise of this
power, the Democratic platform is not
asserting new doctrine. In January.
1896, Republican house of repre-
sentatives adopted a resolution calling
upon Hon. Judson Harmon, then at
torney general of the United States,
now the Democratic candidate for
governor of Ohio, to report what steps,
n ha
law of the United States against
trusts, com binations and conspiracies
in restraint of trade and commerce
and what further legislation was, in
his opinion. needed to protect the peo-
pie against the same. On the 8th day
OF February he submitted a reply, in
which he described the steps which
were being taken to enforce the law,
further legislation. I call special at
tention to the following words:
Harmon's Suggestion.
Congress may make it unlawful to
ship from one state to another, In
carrying out, or attempting to carry
out. the designs of such (state) or
CARNATIONS. articles produced, owned
or controlled by them or any of their
members or agents"
His recommendation embodies the
very idea which our plan now pro-
poses to carry out. We want to make
a
the instrumentalities of interstate
commerce for the carrying out of a
monopolistic purpose. Surely no par
ty can consistently clai INTO be oppos- |
ed to private monopolies which will /!
permit the interstate railroads to be |
used to carry out the designs of |
monopoly, or which will permit the |
interstate telegraph lines to be used |
to increase the power of private |
monopoly; or. to make the case |
stronger, no party can consistently |
claim to be opposed to the trusts
which will allow the mails of the Unit
ed States to be used by the trusts as
an agency for the determination of
competition. Congress has already ex-
ercised this power to exterminate lot
teries. Why not exercise it to make
private monopolies impossible?
II IL is conceded that congress has
the power to prevent the shipment of |
goods from one state to another when
such shipment is part of a conspir-
acy against trade and commerce then
the only question is as to the means
to be employed to prevent such ship
ment. The license system presents an
easy way of regulating such corpora
tions as need federal regulation. The
law can prohibit the doing of thing
and impose penalty for the violation
of the law, but experience has shown
that it is very difficult to gather up ev-
States and prosecute a great corpora
ton; so difficult is it, that although
the sherman antitrust law has been
In force for eighteen years, no trust
has been sent to the peniten-
tiary for violating the law, although in
a few cases the court has found cor
porations guilty of violation of the
law. In the enforcement of penalty,
the government must seek the defen-
dant; by the use of the license system,
the corporation is compelled to seek
the government.
Definition of a Trust
A trust can best be defined as a cor
poration which controls so large
proportion of the total quantity of any
article used in this country as to be
able to regulate the price and terms
Of sale and as the proportion controll-
ed determines the power of the trust
for harm. il has seemed best to use
control as the basis of
this plan. and twenty-five per cent
has been fixed arbitrarily as the pro-
portion at which the line should be
drawn. A corporation which controls
less than twenty-five per cent of the
product in which it deals may. In ex-
cases. exert a perceptible
influence in controlling the price of the
a rule corporation must control more
than that percentage of the total pro-
duct before 1t can exert a hurtful in
fuence on trade. Under this plan. the
small corporations are left entirely
free and unhampered. This is not a
against the larger cor
poration. but recognition of the fact
that rules are necessary in the case of
controlling a large per-
centage Of the product which are not
necessary in the case of smaller cor
porations. Probably not one per cent
Of the corporations engaged in inter
state commerce would be required to
take out a license under this plan
possibly not one-half of one per cent
and yet what a protection the remain
ing ninety-nine per cent would find in
the law reouirinR a license in the ca sc |