The Owosso times. (Owosso, Mich.) 1897-1926, 1908-07-31
Taft Outlines Party Policies.
Continued from page 81

continued from page 81
charges high enough to secure q fair
income on the enterprise as a whole
The securities at market prices will
have passed into the hands of subse-
quent purchasers from the original in
vestors. Such circumstances should
properly affect the decision of the tri-
bunal engaged in determining whether
the totality of rates charged is reason
able or excessive. To ignore them
might so seriously and unjustly i'm
pair settled values as to destroy all
hope of restoring confidence and for
ever end the inducement for invest
ment in new railroad construction
which, in returning prosperous times,
is sure to be essential to our material
progress.
From what has been said, the proper
conclusions would seem to be that in
attempting to determine whether the
entire schedule of rates of a railway is
excessive, the physical valuation of the
road is relevant and important but
not necessarily controlling factor.
/ am confident that the fixing of
rates on the principles suggested above
would not materially impair the pres
ent market values of railroad securi-
ties in most cases, for 1 believe that
the normal increase in the value of
railroad properties, especially in their
terminals, will more than make up for
the possible overcapitaliZation in ear.
lier years. In some cases, doubtless.
1t will be found that overcapitalization
is made an excuse for excessive rates,
and then they should be reduced; but
The consensus of opinion seems to be
country are reasonably low.
Conclusion That There SHOULD Be
Physical Valuation.
/ have discussed this, with some de-
gree Of detail, merely to point out that
the valuation by the Interstate Com
merce Commission of the tangible
property Of railroad Is proper and
may from time to time be necessary in
settling certain issues which may come
before them, and that no evil or injus-
tice can come from valuation in such
cases, if 1t be understood that the re-
suit Is to be used for just purpose,
and the right to fair profit under all
the circumstances Of the investment is
recognized.
National Control Of Interstate Com
nieroe Corporation.
Another suggestion in respect to SUBJ
ordinate and ancillary machinery nee
essary to carry out Republican policies
is that of the incorporation under Ma
tional law or the licensing by National
license or enforced registry Of compa-
MES engaged in interstate trade. The
fact is that nearly all corporations do
ing a commercial business are engaged
In interstate commerce. and If they all
were required to take out Federal
license or a Federal charter. the bur-
den upon the interstate business Of the
country would become into&erable.
It is necessary, therefore, to devise
some means for classifying and insur-
Ing Federal supervision Of such cor
porations as have the power and temp
tation to effect restraints of interstate
trade and monopolies. Such corpora
lions constitute very small percent
age Of all engaged in interstate bust
ness.
Construction Ct Antitrust Law.
The possible operation of the anti
trust faw under existing rulings of the
Supreme Court has given rise to sug
gestions for its necessary amendment
to prevent its application to cases
which 1t is believed were never in the
contemplation Of the trainers Of the
statute. Take two instances: A mer-
chant or manufacturer engaged In a
legitimate business that covers certain
States, wishes to sell his business and
his good will, and SO in the terms Of