The silver messenger. (Challis, Idaho) 1890-1912, 1911-06-06
FOR PUBLIC CONTROL
VAIL FOR REGULATION AS WELL
As PUBLICITY.
SAYS BOTH HERE TO STAY
Frank Recognition Of Public Rights
BY the President Of Western
Union and Telephone
Companies.

Public regulation Of public service
corporations has come to stay. 1t
ought to have come and 1t ought to
stay. That is the nat and unequivocal
assertion of Theodore N. Vail. presi-
dent Of both tho American Telephone
and Telegraph company and the
Western Union Telegraph company.
1t came in the form of his annual re-
port to the seventy thousand stock
holders of the two great corporations
Although Mr.. Wallis advocacy Of full
publicity in connection with the affairs
Of such concerns was we'll under
stood, nobody in financial circles had
anticipated 30 frank an avowal Of
full public rights in the shaping Of
their general conduct. 1t came conse-
quently A. = surprise, not only be-
cause Of its novelty and squareness,
but also on account Of the unqualified
comprising such eminent and conserv-
ative hnanciers as Robert Winson Of
Kidder, Peabody 4 Co., and Henry L..
Higginson of Boston, Henry P. Davi-
son Of ]. p. Morgan & Co.: Senator
w. Murray Crane, George F. Baer, T.
Jefferson Coolidge Jr., Norman w.
Harris, John l. Waterbury and others.
President Wallis declaration is her
aided a. tho FIRST recognition by those
in high corporate authority of the JUS
tice Of tho demand that the public
be regarded as virtual partners In all
matters that pertain to the common
welfare. He goes directly to the
point.
Public control or regulation OF
public service corporations by perma
mont commissions" no says, has
come and como to stay. Control, OF
regulation, to be effective means pub
licity; 1t means semi-public discus
sion and consideration before action
It means everything which Is tho op
posite Of and inconsistent with effec
tive competition. Competition-ag
gressive effective means
strife, industrial warfare; 1t means
contention; It oftentimes means tax
ing advantage Of or resorting to an,
means that the conscience of the con
testants or the degree of the enforce
ment Of the laws will permit.
Aggressive competition mean
duplication Of plant and investment
The ultimate object Of such competi
ton II the possession of the fell
wholly or partially; therefore
means either ultimate combination Of
} such basis and with such prices a
J will cover past losses, or 1t mean
loss of return on investment. an
eventual loss Of capital. However
results. all costs Of aggressive, ur
: controlled competition are eventuall
borne, directly or indirectly, by tn
} public. Competition which Is not al
J gressive. presupposes cooperative az
ton. understandings, agreements
which result in general uniformity O
! harmony Of action, which. in fact.
: not competition but is combination
unstable. but for the time effective
, When thoroughly understood it wi
be found that control" will Civ
more Of the dement's and public az
vantages. which are expected to
obtained through such ownership, an
, will obtain them without the publ
} burden Of either the public offic'
holder or public debt or operatin
deficit.
: when through q wise and jud
} cious state control and regulation a
: the advantages without any Of tn
Disadvantages Of state ownershi
: are secured. state ownership
doomed"
III Mr.. Vail Is right" says Harper
, Weekly. In . concise summing-u
then It seems pretty plain that "
Q are entered upon a new era in bot
economics and politics. And 1t is his
time we did II evolution Is to su
plant revolution as an efficient fore
J. In tho develODment If civilization I"