Vilas County news. [volume] (Eagle River, Vilas County, Wis.) 1896-1927, 1910-02-23
FEDERAL CONTROL
Of CORPORATE
NO DOUBT OF POWER OF MA
TIoNAL GOVERNMENT SAYS
SECRETARY NAGEL.
TROUBLE ARlESE FROM CON
FLicTiNG LAWS BY IN
DIviDUAL STATES.
MONOPOLY is GREATEST EVIL
AND NATIONAL LAW WOULD
PROVE CORRECTIVE.

Chicago, Feb. 1S.-Fedefal cOHtrOi
of corporations is necessary to the
commercial preservation of the coun.
try declared Charles Nagel, secretary
of commerce and labor, of the United
States, in an address before the In
Gustrial club here last night.
AS to the power of the national gov
eminent to authorize the organization
of federal corporations, Mr.. Nagei
said there could be no question. The
existing system Of clashing state laws
"a system on ali sides at war with
ITSELF he regards as intolerable, and
he assured his hearers that the con.
sequorCe oil federal corporation
low such as President Taft had pro
posed could make for nothing but tn
general good.
The purpose of the government L
regulate the corporations, in the
opinion of the secretary could not be
considered as an attempt to encroach
upon state authority, but as a deter
mination to employ old authority for
the solution of new problems"
change of attitude regarding the rela.
ton of national to state authority he
believed, had come over the country
with the development of problems toe
big for the states individually to meet
Among the more important prob
lems,' said Secretary Nagel, appears
to be the question whether or not thu
national government may and shout
authorize and regulate the organiza
ton and conduct of federal corpora
lions. Only few years ago the bar,
suggestion of such an idea filled the
public with disnay. The authority
was denied and the policy was ques
toned. Today, the irreconcilable con
ficts to which ordinary business oil
CARNATIONS are subjected in our states
have forced general recognition
that something must be done to re
lieve the situation.
The idea is not limited to any par
ticular locality of our country or tt
any special class. From all parts
east and west, north and south, cit.
and country, come the suggestion
that some relief upon these lines mus
be worked out. The proposition he
now been squarely put before the
ountry The president of the United
States has made distinct recommeu
cation in a message, cal ing a,,entio'
to the needs, and submitting for con
sideration a form to which legislator.
and constituents may give their at
tention'
In considering the proposition
Secretary Nagel stated, that three
points must be determined; first, The
question of the governments author
| ity; second, the conditions which
make advisable such legislation, ant
third, the consequence of such legis
| lation
1T has seemed to me from the yer!
start" said the secretary on the ques
ton, that no one could subject thi:
| question to a thoughtful consideration
without arriving at the conclusion
that the federal congress must I'm
doubtedly have the authority.
! From the earliest case in which
| the exclusive rights of congress t.
| regulate interstate commerce wa,
considered, it was made apparent tina
| the authority to provide for the OF
ganlzatlon of business corporation
was a necessary incident to the exer
else of that authority, and again ant
again the supreme court has said tina
congress has this power"
Secretary Nagel recited the develop
iGent OF business enterprises in the
C hafry. showing the graiual growtl
+. The big corporati,l end the at
tempts of the states to legislate and
the resultant trouble because of the
varying laws, and he pointed partic
ularly to one result of conditions as
they existed.
Not only is commerce subjected
to inconsistent conflicting and often
destructive regulations he said
but the inevitable effect of such ac.
tivity is to create false competition
between the states at the expense of
that commerce. The state of lowest
standards forces the hand of all the
rest. Attempts at progressive legisla.
uon are paralyzed just as one unfair
competitor always lowers standards
everywhere. Nor will the efforts of the
several states to promote unity of
legislation meet this difficulty. These
efforts are most praiseworthy with re-
spect to all subjects which rest within
the exclusive control of the several
states; as to national subjects they
are worse than useless.
All cooperation in matters polite
al means government, and why resort
TO more understandings without bind
ing force among the states. when We
have common government to deal