The Detroit times. [volume] (Detroit, Mich.) 1903-1920, 1908-10-21


given the trusts and other large manu-
featuring interests and the severe com
petition it has fostered here"
while both parties call for revis
ion, they disagree In the object ant
principle of the revision" continued
Mr.. Clews. ANY sudden and radica
changes In the tariff would be serious
ly disturbing to our Industrial ant
general business interests.
THE Republican party will propose
a readjustment Of protective rates;
the Democratic party will work for the
overthrow of the policy Of protection
Lowering the cost Of imported
merchandise to the people, increasing
the purchasing power Of wages, viii
lessen the discomfort OF labor.
Under present conditions, the exist
ing tariff strongly favors and protects
wholesale monopoly and political cor
ruption by giving enormous preference
to few at the expense Of the people
Trusts Here TO Stay.
I'm revising the tariff, congress
should make no discrimination against
the industrial trusts, for they are q
modern development OF business and
are here to stay.
II sec on objection, however. to the
trusts that do an Interstate business
being required to take out federal
license and to- make quarterly reports
OF their production and financial con
dition to the government, as we'll RS
being placed under its supervision
The object Of this would be to regu
late. not to destroy or impair the use
fulness OF the trusts.
Unjust and unlawful discrimination
should be. punished without fear OF
favor, not by fines. which fall upon the
stockholders, but by imprisonment OF
the delinquents. whether they be pre-
6atory millionaires or subordinate of
fcers. Many pernicious abuses ant
much chicanery In corporate manage
ment have not yet been exposed. and
probably never will be. But we are
on rising tide of business morality
with care and. vigor, combinations
In restraint OF trade could and should
be destroyed or prevented, for monop
oily Is blighting to all but the monopo-
lists, This iniquity should be stopped
by the strict enforcement of the law
against such combinations in restraint
of trade, which is becoming dead
letter.
Turning to current trade condi.
tons and the signs of recovery from
the prolonged depression, find the re.
ports and opinions OF the east and
west widely divergent; the west is on.
timistic, the east is comparatively
pessimistic. This difference in sent
ment is owing to the west having felt
much less the shock OF last year Q
panic than the east, due partly to the
large preponderance OF investments in
stocks and bonds held by the east and
the heavy depreciation those under.
went. but more to the exhaustion of
capital In an overboomed stock market
that had finally collapsed.
Stocks Due to Dip.
Stocks have since recovered IN
market price, on the average about all
they had lost. But their recovery has
not perceptibly stimulated trade, and
II has taken place In the face OF very
largely reduced earnings. This rise in
stocks will invite a downward reaction
after the bull leaders sell out.
Never before had the railways
earned SO little as in the first six
months OF this year.
Recovery in both prices and activ-
ity was confined to the stock exchange,
and the fuel that fed the fire there was
the glut of cheap money and conf.
dence in the gradual return Of pros
perity.
The bond market has told the story,
not only OF cheap money, but OF grow.
ing confidence among investors. This
Is nearly always the precursor or &C.
compartment of improving trade con.
ditions.
THE sales OF stocks In the first
eight months OF the year we're 10000.
900 shares short OF the. total for thu,
same time in 1907 The bond sales
were s315.000,000 In amount larger.
The glut of money explains It,"
Mr.. Clews then took up the emigra.
ton OF foreign laborers showing that
emigration had exceeded immigration
by about half million persons In the
first eight months OF the year, thus re.
ducing the ranks OF the unemployed.
The harvesting OF the western and
southern crops will give trade a great
impetus, he. predicted. Turning 10
banking problems, he said:
Banks are the safety valves OF the
vast business structure which rests
upon them; good management and the
confidence Of. their depositors are
necessary both to their own success
and their usefulness to the peopleV
The speaker reviewed the panic OF
last fall growing out OF the failure Of
the knickerbocKer Trust Co. and the
runs Non other financial institutions.
There was 40 distrust of national
bank notes at any time" he saia
This was the mos. rcassuring feature
OF the situation. In our last panic A
hundred millions OF clearing house
certificates were taken out by tbe
banks. The same boarding and scar
city OF currency prevailed from Maine
10 San Francisco. This situation
which happily Is now ancient history
involved partial paralysis or the
banks. They were no more able tc