Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1908-07-29

When however, such combinations
are not based on any economic prin-
ciple but are made merely for the pur-
pose of controlling the market, to
maintain or raise prices, restrict out
put and drive out competitors, the pub
lie derives no benefit and we nave u
monopoly There must be some use by
the company of the comparatively
great size Of it's capital and plant ana
extent of it's output, either to coefce
| persons to buy OF it rather than OF
some competitor or to cOcrcc those
who would compete with it to give up
| their business. There must usually, m
other words, be shown an element OF
| duress in the conduct Of it's business
| toward the customers in the trade ana
| it's competitors before mere aggrcga-
| ton Of capital or plant. becomes an I'M
| lawful monopoly. 1t is perfectly con-
| ceivable that in the interest of economy
| OF production Il great number of plants
NAV be legitimatcly assembled under
| the ownership of one corporation. IL
is important, therefore. that such large
aggregations of capital and combina-
| ton should be controlled so that the
public may have the advantage of rea-
| enterprise may be kept open to the in
dividual and the smaller corporation
| wishing to engage in business.
Mere Aggregation Of Capital Not a
Violation of Anti-Tr Law.
In a country like this, where, in good
| times, there is an enormous noatlng
capital awaiting Investment, the period
| before which effective competition, by
| construction of new plants, can pc IN
| troduced into any business, is compare
| lively short, rarely exceeding q year,
| and is usually even less than that. En-
| istcnce of actual plant is not, there
| fore, necessary to potential competitor.
| Many enterprises have been organized
| on the theory that mere aggregation OF
| all, or nearly all, existing plants III Il
| line Of manufacture, without regard TO
| economy of production, destroys COM
| petition. They have, most of them,
| gone into bankruptcy. Competitor i'll a
| profitable business will not be affected
| by the mere aggregation of many ex-
| listing plants under one company, unless
| the company thereby effects great
| economy, the benefit of which 1t shares
with the public, or takes some illegal
method to avoid competition and to
perpctuate a hold on the business.
Proper Treatment of Trusts.
Unlawful trusts should be restrained
| with all the efficiency of injunctiVe
process, and the persons engaged in
maintaining them should be punished
with all the severity of criminal prose
cution, in order that the methods pur-
sued in the opera ton of their business
shall be brought within the law. To
destroy them and to eliminate the
wealth they represent from the produc-
ing capital of the country would entail
enormous loss, and would throw out Of
employment myriads of Workingmcn
and workingwomcn. Such result is
wholly unnecessary to the accomplish
ment of the needed reform, and will
inttict upon the innocent far greater
punishment than upon the guilty.
Destructive Policy Of Democratic
Platform.
The Democratic platform does not
propose to destroy the plants of the
trusts physically, but it proposes to do
the same thing in a different way The
business ot this country is largely de-
pendent on a protective system of tar
|
so called trusts" is protected with the
other businesses of the country. The
Democratic platform proposes to take
off the tariff ir all articles coming into
competition with those produced by the
so called trusts and to put them on
the free list. If such a course would
be utterly destructive of their business
as is intended, it would not only de-
stroy the trusts, but all of their smaller
competitors The ruthless and imprac-
ticable character of the proposition
grows palmer as its effects upon the
whole community are realized.
Effect of Democratic Plans on
| Business.
To take the course suggested by the
Democratic platform in these matters Is
to involve the entire community, inno-
cent as i is, in the punishment of the
guilty, while our policy is to stamp
out the specific evil. This difference
between the policies of the two great
parties is of especial Importance In
view of the present condition of busi-
ness. After ten years of the most re
| markab!e material development and
prosperity, there came financial Strin-
gency, panic and an industrtl de-
preston. This was brought about not
only by the enormous expansion OF
business plants and business invest
mcnts which could not be readily con-
verified but also by the waste of capital
in extravaganza of living, in wars and
other catastrophies. The free converti-
bile capital was exhausted. In addition
to this. the confidence of the lending
public in Europe and in this country
had been affected by the revcltions Of
irreguarity. breaches of trust, over
issues of stock, violations of law, and
lack of rigid State or national supcrvi-
sion in the management of our largest
corporations. Investors withheld what
loanable capital remained available. II
became impossible for the soundcs,
railroads and other enterprises to Dor
row money enough for new conStruc-
ton or reconstruction.
Will Delay Restoration Of Prosperity
4 Gradually business is acquiring q
healthier tone Gradually all wealth