Bryan morning eagle. [volume] (Bryan, Tex.) 1898-1909, 1908-08-02

| justified the company m imposing
charges high enough 10 becure fair
income on the enterprise as a whole.
The securities at market prices viii
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 I'm 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 10 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 a relevant and important but
not necessarily controlling factor.
l 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 | 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.
It Will be found that overcapitalizatiou
is made an excuse for excessive rates,
and then they should he reduced; but
the consensus Of opinion seems to be
that the railroad rates generally in this
country are reasonably low
Conclusion That There Should Be
Physical Valuation.
have discussed this, witt sale de
gree Of detail, merely TO poiu .gt that
the valuation by the lnters arc Com
merce Commission of the tangible
property of n railroad is proper and
may from time TO time be necessary In
settling certain issues which may come
before them, aud that no evil or injus-
tice can come from valuation In such
cases, IL It 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
meree Corporation.
Another suggestion In respect TO sub.
ordinate and ancillary machinery nee
essary to carry out Republican policies
Is that of the incorporation under Ma
tiona 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 commercial business are engaged
in interstate commerce, and II they all
were required TO take out Federal
license or Federal charter, the bur
den upon the interstate business Of the
country would become lntolerable.
II is necessary. therefore, to devise
some means for classifying and insur.
Ing Federal supervision Of such cor
poratlons as have the power and temp
tatlon to effect restraints OF interstate
trade and monopolies. Such corpora.
tons constitute very small percent
age Of all engaged in interstate bust.
ness.
Construction Of Anti. Trust Law.
The possible operation of the anti
trust law 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 |
of the trainers of the /
statute. Take two Instances. 4 mcr- |
chant or manufacturer engaged In |
legitimate business that covers certain /
States, wishes TO sell his business and /.
his good will, and SO In the terms Of .
the sale obligatcs himself TO the pur.
chaser not TO go into the same bust.
ness in those States, such a restraint
Of trade has always been enforced at
common law. Again the employees of
m interstate railway combine ana en-
ter upon a pcaceablc aud lawful strike
to secure better wages. At common
aw this was not a restraint of trade
pr commerce or violation of the
rights of the company or of the public
Neither case ought 10 be made a viola
ion Of the antitrust law. My own
is that the Supreme Court
would hold that neither Of these in
stances is within its inhibition, but, II
hey are to be SO regarded general leg
Station amending the law Is necessary
The proposal TO compel every cor
,oration to sell its commodities at the
ame price the country over, allowing
or transportation, is utterly imprac-
iCable. If 1t can be shown that In or
Ter to drive out competition, corpo-
alton owning large part Of the plant
producing an article Is selling in one
,art of the country, where It has com
'ettors, at low and Improbable |
rice, and In another part Of the coun-
ry, where II has none, at an eXorbl.
ant price, this Is evidence that II Il at.
cmptlng an unlawful monopoly, ana
ustihes conviction under the antitrust
NV; but the proposal to supervise the
usiness Of corporations in such a way
S to fix the price Of commodities and
ompel the sale at such price is as alb
urd and socialistic plank as was
yer inserted in n Democratic political