The Manitowoc pilot. [volume] (Manitowoc, Wis.) 1859-1932, 1908-02-06
PUBLIC OPINION
BUSINESS CURE
HERBERT KNOX SMITH POINTS OUT
REMEDY FOR CORPORATION
EVILS.
HE WOULD EXTEND SYSTEM.
For Federal License Law or Power to
Investigate Books of All Inter-
state Industrial Firms.
SEES NO CONFLICT WITH STATES.

WASHINGTON, ID. c., Feb. g.
Public opinion has been prompt and
efficient in the correction of commercial
evils when those evils are stated spe-
I citically. This is one of the conclusions
reached by Herbert Knox Smith, com
missioner of corporations, and expressed
/ in the annual report of the operations of
/ the bureau of corporations, made public
! today. Naturally, under present cOndl-
tons, the real power of public opinion
reaches only such cases rs may be "spe-
! cltcally stated
Thus" says Commissioner Saith,
the experience of the bureau seems To
point logically to the need for al extern
/ sion of such results 10y the creation OF n
/ general administrative system OF super
vision of interstate corporations winch
/ shall give, i'll substantially the same
/ form as is furnished now for few cor
/ pora tons. the essential facts relating to
1 all the great interstate corporations.
! Whether the system rake the form OF "A
/ federal license plan or simple require,
ment that interstate corporations shdll
| make reports and submit Their books to
/ a federal bureau is of little consequence
so long as the information necessary tor
! publicity is obtained. The thing that is
important is to arrive ut system.
/ Time Rife for System.
II
! for such system. The bureau has had
increasingly the volunteer cooperation
and assistance of most of the large cor
! porationS involved in the subject matter
OF the bureaus Investigations. This as
sstancc given by the leaders of industry
has been very encouraging, especially III
its Indications of the attitude of many
of the abest men of the country and
the attitude of the public at large To-
ward the fundamental objects for winch
this bureau was created.
There is no need that such federal
supervision should derogate from the
proper powers of the states. The bust
neSSes of today are contracted under con
ditiuns which, from commercial stand
point. are purely national. with no refer
/ ence to state lines but the legal status
of these businesses is still delimitcd al
most wholly by state statutes, Il dis
crepancy which has been the cause OF
many existing evils. Corporate com
merce as carried on by those great com
panicS whose operations substantially
constitute the whole problem before Us
is national, and has been deliberately
made national; the control over them
should. to some extent at least be also
national
Corporate combination, as such ap-
pears to be not only an economic neces-
sity, but also largely an accomplished
/
trial power, but rather its misuse, that
is the real problem. The government
should direct its attention toward pre-
venting unfair methods, and toward
keeping open the opportunities for com
petition in industry"
Investigations Still On.
Commissioner smith says he is contin-
uing the Investigations already began
into the industries of petroleum, tobacco
and steel. Under resolutions adopted ny
the last Congress, the bureau also is
making Investigations into the operations
of the international Harvester company
into the cause of the high price Of lum.
Der with view to developing any com
bination that may exist; into the causes
of fluctuations and differences in thu
price of cotton, and into patents granted
to officers and employees of the United
States. An inquiry also is being con
Quoted into water transportation. boti
coast wise and internal.