The morning journal-courier., 1908-05-22

bua IHHlpdly tltHtI OWLS OulllBHl VI
controls through the ownership Of a
majority OF the stock not only all the
gas but all the electric companies oper-
ating In the boroughs OF Manhattan
and the Bronx WITH few unlmportant
exceptions, This same company.
through the subordinate companies
which II owns, controls all the under
ground duets In Manhattan and thus
has strong grip upon the telegraph
and telephone situation. Prior to the
recent appointment Of receivers, all
the subways, surface ana elevated rail-
roads were controlled by one company,
and the only other transportation lines
running into Manhattan were the
steam railroads which do practically
no passenger business within the city.
THE trend towards monopoly Is al
most universal, The experience OF New
York Is the experience OF scores Of
cities, and those which have not reach
ed the same stage are bound In the
same direction, the only difference be-
ing that they are going at lower rate
OF speed, Yet we have chung to the
competitive theory tenaclously ANY
proposal to interfere with It has been
received askance, and various expedi-
ents have been tried to prevent the
elimination of competition. Laws have
been passed prohibiting monopolies and
severe penalties imposed. When COM
panles have combined, new companies
have been formed and granted fran
chlses. The ownership of stock OF one
company by another has been forbid
den, at cetera. But laws have been
evaded the new companies have been
bought off; and by one means or an
other, combination has been affected.
THE inevitable tendency of public
utilities towards monopoly and the flu
tllity of competition are now quite gem
orally recognized, There are also fun
damental reasons why the present
trend will continue. Competition
means economic waste. The multiple
cation OF pipes wires, tracks, and 9TH
err fixtures In the streets means an in
creased financial outlay upon which in
/ terest and dividends must be earned.
one company can supply an area with
given service at almost one-nfth OF
the expense for distribution that five
companies must charge. The saving at
the works is not 50 large, but there will
always he some saving and often It
will be considerable especially In the
case Of water supply. The expenses of
administration are reduced; experiment
tatlon Is stimulated; and the brainiest
men are attracted by the size OF the
undertaking and by the large salaries.
Competition also means inconveni-
ence and injury to the public. The
streets are being continually torn up
! for the laying of new mains and the
repairing of old mains. Transfers are
not given or accepted by independent
street car lines Competing telephone
companies will not exchange service,
and even II one does have connections
with all companies, II Is much more in
convenient than where there Is only
one system City officials are import
uned and often bribed to give one com
pany an advantage over the others, and
the interests of the community are of.
ten subordinated to the schemes OF
some public service corporation which
Is aiming to thwart a rival. our ex-
perence clearly shows that monopoly
control Of a public utility is almost GER
tain to be very beneficial to the com.
pany.
But you may ask how do these facts
. | ~ &C., ,,1,t H.
regulation and control They prove
the necessity because experience has
shown that a monopoly tends TO appro.
pirate to itself all the gains accruine
from unified control, to disregard the
welfare of the puolic and TO become
Indifferent to progress and the devel
opment of new processes. Let no on,
misunderstand me- All monopoles are
not equally inclined 10 be selfish ant
slothful. There are instances of pro
gressve, liberal and efficient manage
ment, but tho usual trend Is distinctly
In the opposite direction. How can 4
be otherwise with human nature as 4
is? Everyone strives 10 acquire wealth
at as high figure upon his services O,
his product ms he can Our statut,
books are full OF laws delimlting. di
lecting, restricting and regulating indl
vidual action, because experience ha,
clearly demonstrated that the ndivid
ual cannot be safely left to his own In
clinations. Why should one expec
that a corporation having a monopoly
which Is not, therefore, restrained b,
the great force of competition which
restraints all others, will not attempt I,
fix It's rates at high figure. What |,
true of the individual is still more tru,
OF the monopolistic corporation wher,
personal responsibility is reduced anc
where the service supplied must b,
taken at almost any price
I'm view Of the well recognized tend
ency towards monopoly, in view of tn,
inadequacy of competition adeouatel,
to protect the interests Of the public
the question naturally arises how ar,
our public utilities to be controlled? II
competitive business II one Is not sat
isfed with the service and prices of thu
butcher, the baker or the candlesticl
maker who has been serving him, h
ceases to buy his commodities Of tina
person and goes elsewhere. This fac
acts as a restraining influence upoi
those in ordinary commercial pursuit
and stimulates them to give the bes
service possible at a low price. !
there happens to be for the moment N
competitor, the one person who occu
pies the field Is Induced to treat hi
customers fairly because Of the fear o
competition But the public servic
corporation is not restrained by an,
such force. II you are not satisfied
with the gas supplied, theoretically 20,
may use tallow candles or kerosen
lamps but practically you will do no
thing Of the sort; you will use the ga
Al lNItt J,A