The Lamar register., 1908-07-29
TAFT ACCEPTS NOMINATION
DECLARES HIS POLICIES
Makes His Notification Speech at
Cincinnati, While City Is in Gala
Attire TO Receiue Him as a Con-
quering Hero--- Text of
His Speech.

wise the ways and means by which the
high level OF business integrity and ODE
dence to law which he has established
may be maintained. and departures from
IL restrained without undue interference
with legitimate business.
Railway Traffic Agreements.
1T Is agreeable to note in this regard
that the Republican platform expressly
approve an amendment to the interstate
commerce law, by which Interstate rail
ments, IL approved by the commissions.
This has been strongly recommended by
President Roosevelt. and will make for
the benefit of the business.
7 Some of the suggestions of the Demo-
cratic platform relate really to this
subordinate and ancillary machinery to
which I have referred. Take for in
stance, the so-called physical valuation
Of, railways. 1t is clear that the sum OF
proper expenses. should be limited to
fair profit upon the reasonable value of
this measure, 1t ought TO be reduced. The
difficulty In enforcing the principle is in
ascertaining what is the reasonable value
OF the companys property, and ~ hxing
what IL "A fair profit. 1t Is clear that the
physical value OF a railroad and its plant
is an element to be given weight In de-
termining its full value: but as Presi
dent Roosevelt in his indianapolis
speech and the supreme court have point
ed out. the value of the railroad as II go
Ing concern. including its good VIII, due
TO efficiency of service, and many other
may ne much RTfdt'i
than the value of its tangible property
and 1t is the former that measures the
Investment on which a fair proht must
involving not only the rate of interes,
usually earned on normally safe invest
merits. but also a sufficient allowance to
make up for the risk of loss both OF cap
iial and interest in the original outlay
the company In imposing charges high
enough to secure fair income on the
enterprise as whole.
What Roosevelt Said.
"As Mr.. Roosevelt has said in speak
Ing of this very subject:
1.-The effect of such valuation and SUI
pervision of securities cannot be retro
active. Existing securities should be
tested by laws in existence at the time
of their issue. This nation would no
more injure securities which have be,
come an important part OF the national
wealth than 1t would consider a propo-
sition to repudiate the national debt
ment of railways is one that has two
sides; The shippers are certainly en-
titled to reasonable rates; but less is
business for the railroads Is essential
to general prosperity Injustice to
holders and capitalists. whose further
Investments may be necessary for the
good OF the whole country. but IL di-
rectly affects and reduces the wages
of railroad employees.
For what has been said. the proper
conclusion would seem TO he that IN
attempting to determine that whether
the entire schedule of rates of rail
way is excessive. the physical valua-
ton OF the road Is a relevant and i'm
portant but not necessarily control
ling factor Physical valuation proper
ly used will not generally impair Sc
Rates Are Low, He Says.
''In some cases. doubtless, it will be
found that overcapitalization Is made
| an excuse for excessive rates. and then
shnuld he reduced. but the con-
| sensus of opinion seems to be that the
railroad rates generally In this coun-
doubtless the complaints filed with the
| Interstate commerce commission
| against excessive rates are so few as
compared with those against unlawful
discrimination In rates between shippers
and between places. OF course In the de
elimination is unlawful or not, the phys
ical valuation of the whole road Is OF ut
| tie weight.
II have discussed with some degree
| of detail merely to point out that the
valuation by the interstate commerce
commission of the tangible property OF
"A railroad is proper and may from
time to time be necessary In settling
| certain of the issues which may come
| before them and that no evil or in
| Justice can come from valuation In
such cases. II it be understood that the
| result is to be used for Just pur-
| pose and the right to a fair ptoht IN
| der all circumstances of the invest
| ment is recognized. The interstate com
| merce commission has now the power
to ascertain the value of the physical
railroad property ~ h ,'i. IN rat ne
National Control of Corporations.
| Another suggestion in respect to
| subordinate and ancillary machinery
necessary to carry out Republican poll
| clos is that of the incorporation under
/ national law or the licensing by ma
| tIonal license enforced registry Of
| The fact is that nearly all corporations
doing a commercial business are On
gagged in interstate, e3m IN re- ana nn, II
federal license or federal charter
the burden upon the interstate bust
ness of the country would become In
toierabie.
yise some means for classifying and
insuring federal supervision of such
corporations as have the power and
temptation to effect restraints Of in
corpora tons constitute very small
percentage OF all engaged in inter-
state business. ..
RooseveIt's Proposed Classification.
with such Classification in view. Mr..
in the antitrust law. known as the
Hepburn bill. which provided for vol
strong motive therefore by granting
immunity from prosecutions for rea-
sonable restrictions OF Interstate
trade to all corporations which would
register and submit themselves to the
publicity regulation OF the depart
The Democratic platform suggests
requirement that corporations and
Interstate trade having control OF %
per cent. of the products in which they
deal shall take out federal license
This classification would probably In
cIude a great many small corpora
lions engaged in the manufacture of
special articles or commodities whose
total value is so inconsiderable that
they are not really within the per-
view or real evil OF the antitrust law
1t is not now necessary. however, to
n iacn g. rftatiNp merit OF such DrOD
ositions but it is enough merely to af-
firm the necessity for some method by
which greater executive supervision
cal he given to the federal government
over these businesses in which there Is
a temptation to violations of the anti
trust law. .
Construction Of Antitrust Law.
THE possible operation OF the anti