The Idaho Springs siftings-news., 1908-08-01
Makes His Notification Speech al
Cincinnati, While City Is in Gala
Attire to Receive Him as a Con-
quering Hero--- Text of
His Speech.

dience TO law which he has established
u be maintained, and departures from
II restrained without undue interference
with legitimate business.
Railway Traffic Agreements.
1T is agreeable to note in this regard
that the Republican platform expressly
ana the Democratic platform implicitly
approve an amendment to the Interstate
commerce law. by which interstate rail-
ROADS may make useful traffic agree
1nents, II approved by the commissions
rms mas been strongly recommended by
president Roosevelt. and will make for
the he, benefit Of the business.
some on me suggestions OF the Demo
subordinate and ancillary machinery to
which l have referred. Take for in
stance. the so-called physical valuation
Of railways. 1t is clear that the sum of
all rates or receipts of railway, less
proper expenses. should be limited to a
It's property. and that If the sum exceeds
TINS ms measure. it ought to be reduced. The
difficulty in enforcing the principle is in
ascertaining what is the reasonable value
OF the company's property, and in txin
what is fair profit. 1t is clear that the
physical value of railroad and its plant
is an element to be given weight in de-
termning its full value: but as Presi-
dent Roosevelt in his indianapolis
ed out, the value of the railroad as a go
ing concern. including its good will, due
10 eficieney of service. and many other
and it is the former that measures the
l he a11emed on Which hn fair profit must
ton what is a fair profit is one
involving not only the rate of interest
merits. but also sufficient allowance to
make up for the risk of loss both of cap
ltal and interest in the original outlay
These considerations will have justified
the company in imposing charges high
enough to secure fair income on the
enterprise as whole.
What Roosevelt Said.
las Mr.; Roosevelt has said in speak
ing 90, Of this very subject:
pervision of securities cannot be retro
active. Existing securities should be
Of Their issues rss natien al Would .ne
more injure securities which have be-
come an important part of the national
sition to repudiate the national debt
The question of rates and treat
ment of railways Ia one that has two
sides; The shippers are certainly en-
titled to reasonable rates; but less is
an Injustice to the carriers. Good
business for the railroads is essential
to general prosperity. Injustice to
them is not alone Injustice to stock
holders and capitalists, whose further
good of the whole country. but it di-
rectly affects and reduces the wages
of railroad employee
For what has been said, the proper
conclusion would seem to be that in
attempting to determine that whether
the entire schedule of rates of rail-
ton of the road is a relevant and i'm
portant but not necessarily. a control
ly used will not generally impair Sc
curities
Rates Are Low, He Says.
TN some cases. doubtless. il will be
found that overcapitalization is made
an excuse for excessive rates. and then
they should be reduced, but the con-
sepsus 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-
termination OF the question whether dis
elimination is unlawful or not, the phys
ical valuation OF the whole road Is OF lit
tie weight.
of detail merely to point out that the
valuation by the interstate commerce
commission Of the tangible property of
time to time be necessary in setting
certain of the issues which may come
before them and that no evil or in
such cases. IL 1t be understood that the
result is to be used for just pur-
pose. and the right to fair profit IN
ment Is recognized. The interstate COM
merce commission has now the power
to ascertain the value of the physical
termining the reasonableness OF rates.
National Control Of Corporations.
Another suggestion in respect to
subordinate and ancillary machinery
necessary to carry out Republican poll
cies is that of the incorporation under
national law or the licensing by ma.
tional license or enforced registry OF
The fact Is that nearly all corporations
doing a commercial business are en-.
Eaged IN IN fase a aS
federal license or a federal charter,
the burden upon the interstate bust
ness of the country would become In
TT is necessary. therefore, to de;
wise some means for classifying and
insuring federal supervision of such
corporations have the power and
temptation to effect restraints Of In
terstate trade and monopolies. Such
corporations constitute a very small
percentage of all engaged In inter-
state business.
RooseveIt's Proposed Classification.
with such classification in view. Mr..
Roosevelt recommended an amendment
untary classification. and created a
wof fro ny foa
trade to ali corporations which would
register and submit themselves to the
publicity regulation of the depart
ment of commerce and labor.
1.-The Democratic platform suggests
requirement that corporations and
Interstate trade having control Of 25
per cent of the products in which they
deal shall take out a federal license.
This classification would probably in
cfude great many small corpora
lions engaged in the manufacture of
special articles or commodities whose
total value is SO inconsiderable that
thew are not really within the per-
view or real evil of the antitrust law.
1t is not now necessary, however, to
discuss the relative merit of such prop
ositions but 1t is enough merely to af-
firm the necessity for some method by
can be 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.
1.-THE possible operation of the anti