Weekly journal-miner. [volume] (Prescott, Ariz.) 1908-1929, 1911-12-13

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and innocuousness OF judicial injunc.
tons. The companies are enjoined
fpom cooperation or combination
they have different managers, direc.
] tors, purchasing and sales agents. II
all or many Of the numerous stock.
holders, reaching into the thousands
attempt TO secure concerted action OF
the companies with view to the
control Of the market, their number
Is so large that such an attempt
could not well be concealed, and lie
prime movers and all its participant.
would be at once subject 20 contempt
proceedings and imprisonment OF a
summary character. The immediate
result Of the present situation will
necessarily be activity by all the
companies under different managers,
and then competition must follow, or
there will be activity by one company
and stagnation by another. Only a
short time will inevitably lead TO n
change in ownership Of the stock,
rs all opportunity for continued co.
operation must disappear. Those
critics who speak Of this disintegra.
tion in the trust as a mere change of
garments have not given considern.
tion to the inevitable working OF the
decree and understand little the per.
sonal danger Of attempting to evadc
or set AZ naught the solemn iniunc.
tion Of court whose object is made
plain by the decree and whose inhi.
billions are set forth with a detail
and comprehensivenes unexampled In
the history Of equity Jurisprudence.
Voluntary Reorg anizations of Other
Trusts at Hand.
The effect of these two decisions
has led 10 DEGREES dissolving the com.
bination Of manufacturer of electric
lamps, southern Wholesale groccrs
association, an interlocutory decree
against the Powder Trust with dircc.
tions by the circuit court compelling
dissolution, and other combinations
Of similar history are now negotia.
ting with the Department Of Justice
looking TO n disintegration by decree
and reorganization in accordance with
law. II seems possible 10 bring about
these congratulations without general
business disturbance.
Movement for Repeal Of the
Anti Trust Law.
But now that the antitrust act is
seen TO be effective for the accom-.
plishment Of the purpose OF its enact.
ment, we are met by n cry from many
different quarters for it's repeal. II
IL said 20 be obstructive OF business
progress, 10 be an attempt 10 restore
Old fashioned methods Of destructive
competition between small units. and
10 make impossible those useful com.
binations OF capital and the reduc.
ton Of the cost Of production that
are essential 20 continued prosperity
and normal growth.
/, In the recent decisions the supreme
court makes clear that there il moth.
ing ia the statute which condemns com.
binations of capital or mere bigness
OF plant organized 10 secure economy
in production and reduction OF its
cost. II IL only when the purpose or
necessary effect Of the organization
and maintenance Of the combination
or the aggregation OF immense sizS
are sitting Of competition, actual and
potential, and the enhancing of prices
and establishing q monopoly, that the
statute il violated. Mere size is no
sin against the law. The merging
o ftwo or more business plants neces
sarily eliminates competition between
the units thus combined, but this
elimination is in contraveption Of the
statute only when the combination is
made for purpose of ending this par.
tieular competition in order 10 secure
control Of and enhance, prices and
create monopoly.
Lack Of Definitcneas In the Statute.
The complaint il made Of the stat.
ute that IL IL not sufficiently definite
in its description Of that which il for
hidden, to enable business men TO
avoid it's violation. The suggestion
Is, that we may have combination
Of two corporations, which may run
on for years, and that subsequently,
the attorney general may conclude
that IL was violation OF the statute,
and that which was supposed by the
eombiners 20 be innocent then turns
out 10 be n combination In violation
OF the statute. The answer 10 this
hypothetical ease is that when men
attempt to amass such studendous
capital as will enable them TO sup.
press competition, control prices and
establish monopoly, they know the
purpose of their acts. Men do not d.
sneh thing without having IL clear.
ly in mind. II they do is merely
for the purpose of reducing the cost
OF production, without the thought OF
suppressing competition by use Of the
bigness Of the plant they are creating
then they can not be convicted nj the
time the union is made, nor can they
he convicted later, unless IL happen
that later on they conclude to sup.
press competition and take the usual
methods for doing 40, and thus es-
tablish for themselves monopoly
They can, In such a case, hardly com.
plain IL the motive which subsequent.
ly Is disclosed IL attributed by the
court 20 the original combination.
New Remedies Suggested.
Much Is said Of the repeal Of this
statute and Of constructive legisla.
ton intended 10 accomplish the pur
pose and blaze n clear path for hon.
est merchants and business men 10
follow IA NAV ha tina. sneh a t.lan