Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1911-09-28
#. MARsHALLTOWN, IOWA, THURSDAY SEPTEMBER

MkA1NOk1kA OV IN
circuit courts had heretofore had, to
consists Of five members, with the hope
that this might secure greater expedi-
tlon and greater uniformity in ruling
and prompter disposition by the SUI
preme court Of cases passed upon by
the interstate commerce commission.
Control Of the Trusts.
Second. With respect to the trusts.
I Ihave elsewhere given my. view of what
the decision OF the supreme court is,
1t in effect declares that the anti
trust statute Furnishes every combina-
ton or restraint of interstate trade that
lis intended and has the necessary ef-
feet to control prices, exclude compe-
tition, and establish partial or COM
plete monopoly OF any interstate trade
in any merchandise, and that bill OF
equity may be filed against the Offend
ing combination or corporation which
will lead to disintegration OF that com :
bination. If found unlawful, and a di-
vision Of it into a sufficient number Of
parts under separate ownership to in
sure competition and to maintain it by
the continuing force of perpetual in
Junction against the resumptionto of the
unlawful bond and purpose Of the COM
Diners. Whether 1t will be possible to
secure national Incorporation act for
the closer supervision OF those cor
porations engaged in interstate trade,
and for their greater security when
they pursue business in accordance
with law, I am unable to say, because
the constitutional view Of the present
.-4A. !, tr1S.>
sumably against the increase of the
federal function with respect to cor
poratoins. BE that as it may, the busi-
ness community now knows. or ought
to know, where it stands. The court
declines to hold that competition is I'M
possible under modern business condi-
tions. but it insists that it must be
given full opportunity for operation.
and that any combined effort affect
ing interstate trade looking to its sup
preston is contrary to law. In other
words. business must face the neces-
ity of throwing away the crutcf Of
combination against competition in its
further progress. When this rule is
recognized, when the corporations that
have offended the law are disintegrated
sufficiently to enable competition to
have full play. then there is no reason
why business should not go on unham-
pered. ~. r--7--'7 ~
The Tariff Laws.
Third. With respect to tariff laws.
The business OF the country today rests
upon the protective tariff basis. Every
one knows this. and everyone must be
aware that a change Of tariffs in such
way that those businesses that are
dependent upon protection for their ex-
istence shall lose it must injure present
conditions In all business, whether de-
pendent on the tariff or not. The
change. therefore, from protective
tariff to a tariff for revenue only is
necessarily hostile to existing business.
and must lead to business depression
and at least temporary business dis
aster But there are many, and am
among those. who believe that pro-
lection in the past has been too high.
ard that 1t is possible to lower the
tariff 50 as not to interiors with blrsl-
ness, giving a living rate of protection
to existing enterprise and yet prevent
excessive prices growing out OF exces-
siv rates. In carrying out such
policy and maintaining such an atti-
tude, it is essential that the interests
Of business should be guarded by close
Investigation into their needs as to a
protective tariff, and this emnhasizes
the Importance and vital necessity OF
the maintenance Of tariff commission
and OF it's ascertainment Of the facts
with respect to business and. the differ
ence between the cost OF production
here and the cost Of production abroad
before tariff changes are made.
Banking System Inefficient. /.
Fourth. and finally. We have a very
lame banking and currency system. The
theory Of the issue Of bank notes. based
on the deposit Of government bonds by
each national bank, Is that this will In
crease and decrease according to the
needs Of the money market; that these
national banks will deposit bonds and
noat their notes when money is needed.
and will withdraw the bonds and reduce
the circulation when the demand for
money is light Such has not been the
result, and it is due to the fact that
the bonds which were issued for the
purpose Of enabling them to be used
as deposits paid only 2 per cent a rate
which is about l per cent below the
regular market rate for government
bonds in this country, and therefore
prevents the disposition and use Of the
bonds for any other purpose than the
securing Of bank notes. This gives a
stiffness to the deposit and withdrawal
Of such bonds and a rigidity to Hhe
amount Of currepcy dependent on them
that deprives the system Of the elas-
ticity which is desired. eS
More than that. the independent ac-
tion Of each bank when money grows
tight, in reaching out for cash and in-
creasing its reserve, accentuates the
original cause for the contraction Of
the currency and doubles its force. The
control by each one Of the banks Is 4
control by none Of them. and we fnd
money famine growing. by the very
fact OF Its existence. more and more
pressing and panic producing. VI
There ought to be some central au-
thority that could take over the quick
assets OF the banks in the form Of busi-
ness paper and issue bank notes on the
faith Of 1t to meet the exisency arising
at any time in q demand for, money.
II vested in one person or set Of pee
sons. the business can be intelliEentls
done. panics avoided. and money suf-
ficient for the purpose OF business con-
stantly kept on hand. i ne T,,pTesssi:: !:
proposition Of the monetary commits
sion. which believe will be recon-