The Columbus journal., 1911-04-19

Public regulation Of public service
corporations has come to stay. 1t
ought to have come and II ought to
stay. That is the nat and unequivocal
assertion Of Theodore y. Vail, presi-
cent Of both the American Telephone
and Telegraph company and the West
ern Union Telegraph company. It
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 well understood.
nobody In financial circles had antici-
2ated so frank an avowal Of full pub
lie rights In the shaping of their gen.
sral conduct. 1t came consequently as
surprise. not only because of its
novelty and sQuareness. but also on
account Of the unqualified acquies-
cence Of a board of directors cOmpris-
ing such eminent and conservative
fnanciers as Robert Winson. of Kid
der. Peabody & Co. and Henry L.
Higsinson Of Boston, Henry p Davi-
son of J. p. Morgan & Co: Senator
W. Murray Crane. George f. Baer.
+. Jefferson Coolidge, Jr.. Norman ".
Harris. John !. Waterbury and others.
President Wallis declaration is her.
aided as the first recognition by those
in high corporate authority Of the JUS
tice of the demand that the public
be regarded as virtual partners
in all matters that pertain to the CON-
mon welfare. He goes directly to the
point.
Public control or regulation OF pub
lie service corporations by permanent
he says, has come and
come to stay. Control or regulation.
to be effective. means publicity:
il means semi-publir discussion and
before action; ii means
everything which is the Oppo-
site of and inconsistent with efYective
OBSERVATION-DISCLOSURES.
effective competition-means strife.
Industrial warfare; it means conten-
lion: II Oftentimes means taking ad-
of or resorting to any means
hat the conscience Of the contestants
Dr. the degree Of the enforcement Of
The laws will permit.
Aggressive competition means du-
plication Of plant and investment The
object of such competition
s the possession Of the field wholly
,r partially: therefore it means eth
r ultimate combination or such
basis and with such prices as will
.over past losses. or it means loss o.
'eturn on investment, and eventual
oss Of capital. However it results.
Ill costs Of aggressive. uncontrolled
are eventually borne.
iirectly or indirectly, by the public.
which is not aggressive.
cooperative action. under
agreements. which result
n general uniformity or harmony Of
Iction. which. in fact. is not cOmpeti- I,
lon but is combination, unstable. but !
or the time effective. When thor |
'ughly understood it will be found
hat control will give more OF the
'enefits and public advantages, which !
ire expected to be obtained through /,
;uch ownership. and will obtain
hem without the public burden Of |
ither the public office-holder or pub
ic debt or operating deficit
when through a wise and judicious |
tate control and regulation all the !
without any of the disad-
of state ownership are Sc |
ured. state ownership is doomed"
If Mr. Vail is right" says
Iarper's Weekly. in concise sum-
ning-up, then it seems pretty plain
hat We are entered upon a new era in
9th economics and politics. And i, is
Ugh time We did IL evolution is to
upplant revolution as an efficient
orce in the development of civi!iZa-
ion"