The Elbert County tribune., 1910-01-13


under this act should be prohibited from
acquiring and holding stock In other cor
porations tcxcept for special reasons upon
approval by the proper federal author
ity). thus avoiding the creation. under
national auspices. of tho holding COM
pany with subordinate corporations In
different states which has been such An
effective agency In the creation OF the
great trusts and monopolies.
II the prohibition OF the antitrust act
against combinations in restraint OF
trade II TO be effectively enforced. II n
essential that the national government
shall provide for the creation OF national
corporations to carry on legitimate
business throughout the United States.
The conflicting laws of the different
states OF the union with rcspect TO FOR
eign corporations make II difficut. II NOT
impossible. for ono corporation to comply
with their requirements so as to carry
on business in a number OF different
states.
To the suggestion that this proposal of
federal Incorporation for Industrial COM
binations Ia Intended to furnish them =
refuge In which to continue industrfal
business under federal protection IL
should be said that the measure contem-
plated does not repeal the sherman anti
trust law and is not to be framed 20 rs
to permit tho doing of the wrongs whicn
II is the purpose of that law to prevent
but only to foster continuance and ad-
vance OF the highest Industrial emciency
without permitting Industrial abuses
sure to Meet OpposltIon.
Such national incorporation law win
bc opposed. frst. by those who beiievs
that trusts should be completely broken
up and their property destroyed. ~ WI.
be opposed, second. by those VINO douot
the constitutionaiity of such federal IN
corporation and even II Il is valid. object
to II as TOO great federal centraiization.
It will be- opposed. third. by those VINO
will insist that mere voluntary moor
poration like this will not attract to It's
assistance the worst OF the offenders
against tho antitrust statute and wne
will therefore propose Instead OF u sys-
tenn OF compulsory licenses for all fed-
eral corporations engaged In interstats
business.
Tat N. consider these objections in thelr
order The government is now trying 70
dissolve some OF these combinations ana
Il Is not the Intention OF the governmont
to desist in the least degree In its cnors
To end these combinations which are to-
day monopollzing the commerce OF TINS
country: that where II appears that the
acquisition and concentration OF properly
go to the extent of creating monopoly
of substantially and directly restraining
Interstate commerce, It Is not the inten-
ton of the government to permit this
monopoly to exist under federal incor-
porntion or to transfer to the protecting
wing of the federal government of
man act. But II is not. and should NOS
be- the policy of the government to pre-
vent reasonable concentration OF capital
which is necessary to the economic devci-
opment of manufacture, trade and COM
merce This country has shown powes
of economic production that has aston
ished tho world. and has enabled US t.
| compete with foreign manufacturers In
many markets. It should be the caro- pf
| the government to permit such concen-
| tration of capital while keeping open the
avenues OF individual enterprise. and ths
| opportunity for n man OF corporation
with reasonable capital to engage In
business. II wa would maintain oul
| present business supremacy. we should
| give to Industrial concerns an oppor-
| tunity to organize OF to concentrate theis
| legitimate capital In a federal corpora
| ton and to carry on their large busnegx
| within the lines of the law.
| May Doubt constltutionaIity.
second-rhere are those who doubt thu
| constitutionality of such federal incorpor-
alton. The. regulation of Interstate and
| foreign commerce IL certainly conferred
| in the fullest measure upon congress-, and
| IL for the purpose of securing In the most
| thorough manner that kind of regulation,
| congress shall insist that II may provide
and authorize agencies to carry on thai
| commerce. II would seem to be within itn
| power. this has been distinctly affirmed
| with respect to railroad companies doing
| an interstate business and Interstate
bridges. The power of Incorporation has
been exercised by congress- and uphsll
| by the supreme court in this regard.
| Why, then. with respect to any other
| form of interstate commerce like the sale
| of goods across state boundaries and int
| foreign countries. may the same powex
| not be asserted Indeed, II Ia the very
| fact that they carry on Interstate COM
| merce that makes these great Industrial
concerns subject to federal prosecution
and control. How far as incidental to
| the carrying on Of that commerce II may
| be within the power of the federal gov
| ernment to authorize the manufacturer Of
| goods. is perhaps more open to discus
sion. though a recent decision OF the su-
| preme court would seem to answer that
| question In the affirmative.
| Even those who are willing to concsds
| that the supreme court may sustain such
| federal Incorporation are inclined to op-
| pose 1t on the ground of Its tendency t.
| the enlargement of the federal power at
| the expense of the power of tho state
| 1t is a suf1cient answer to this argument
/ to say that other method can be suw-
/ gested which offers federal protection on
/ the one hand and close federal supervf-
sion on the other of these great organi-
zations that are in fact federal because
| they are as wide as the country and nru
| entirely unlimited in their business by
state lines. Nor Is the Capitalization Of
federal power under this act likely to be
excessive. Ohiy the iarkeht corporations
/ would avail themselves of such a law, be-
| cause the burden of complete federal su-
| pervision and control that must certainly
be imposed to accomplish tho purpose Of
| the Incorporation would not be accepted
| by an ordinary business concern. The
/ third objection. that the worst offenders
| will not accept federal Incorporation. u
easily answered. The DEGREES Of lnjuno-
ton recently adopted in prosecutions un-
der the antitrust law are SO thorouRn
and sweeping that the corporations AZ
fected Iy them have but three courses
before them:
First. they must resolve themselves