New-York tribune., 1910-08-20
SCHURMAN ON TRUSTS
Tells Grange Competitor Is Eco
nomic Savior Of Consumer.

Newark " Y. Aug. 19-Taking Pro
gressive Democracy as his text, President
]. G. schurman. of Cornell University, to-
day addressed the farmers of Wayne
County, here for the Pomona Grange re-
union, on the trust problem and the grow
ing conflict between public and private in
terests
Justice" said President Sherman. is the
supreme object of government New varie-
ties of injustice spring up with the ever
expanding life of society The just ar
rangement of yesterday is to-day rank in
justice. Railway practices, once tolerated
If not legal. have been prohibited by recent
legislation inspired by the modern concep-
ton Of railways as public carriers And
the railways whose domination aroused re-
sentiment in many states have now been
rendered by Congress the docile and obe-
dent servants Of the people
Continuing. the speaker said:
Tariffs which once protected infant IN
dustries had become favors 10 monopoltst1c
trusts. The most significant feature Of the
new tariff law, however, was the creatlon
of a board OF experts for the determination
of Just tariff rates in the future. II tariff
making hereafter can be turned over TO a
board Of economic and commercial experts
We shall get far juster schedules than poll
ticians with their Iogrolling can ever
evolve
New legislation is needed to supplement
and mana cement of the capital and produc-
tive agencies and inStrumentalitieS OF the
country we shall be ready when the n1lllen-
mum comes, but not sooner. 1ndivldUal1suC
system of production Of other days has
largely given place to production on a large
scale by means OF consolidated capital and
under corporate management and control
These colossal enterprises are the com Oined
result OF science, invention, accumulated
capital and the genius for business organi-
zauon by which Americans are especially
distinguished. For the American consumer
these consolidated undertakings have
greatly multiplied and cf1eapened COM
nodities; for the American merchant they
have made it possible 10 compete with sue
cess in the markets of the world, and for
the American 'aborer they have vastly en-
larged and increased the wages Of employ
ment.
But these industrial trusts have draw
backs also. Many of them have ruthIessly
ably a few of them have raised prices, some
Of them at any rate have appropriated to
themselves exorbitant profits
To have a federal commission vested with
authority to regulate the prices of all COM
modities which cross state lines or start
for foreign countries would be species of
governmental regulation so vast, so all
embracing. so inqUisitorial. and withal SO
futile, that no statesman could contemplate
it with hopefulness or no business man
without despair.
Combinations have not necessarily elm
mated competition. but they have enlarged
the spheres between which competition
takes place. No doubt that very circun1-
stance makes it easier TO suppress COM
petition. The means generally used apart
from railway rebates, now, it is to be
hoped. a thing OF the pasO are the tenn
porary cutting of prices in a rivals ter
ritory for the sake of driving him out OF
business and the making OF exclusive con
tracts with factors or agents 70 handle
only the products of the trust. Now. II
you declare these and other unfair prac-
tices Illegal and then vigorously enforce
the laws. il will not be possible for the
trust to exterminate able and efficient COM
petitors. especially if they personally man
age their own business, even though they
have far less capital than the trust. and
in protecting the competitor against exter-
rnination you at the same time protect the
public against monopoly and oppression
The competitor, actual or potential, is
the economic savior OF the consuming pub
lie To defend that competitor where he
still holds the field and TO re-estab blish him
where monopoly by unfair methods has
driven him out is, as 7 conceive II, the
object of all antitrust legislation