The St. Mary banner. (Franklin, Parish of St. Mary, La.) 1889-1931, 1911-05-13
ORPUBL|C CONTROL
VAIL FOR REGULATION AS WE'LL
AS PUBLICITY.
SAYS BOTH HERE TO STAY
Frank Recognition Of Public Rights
by the president Of Western
Union and Telephone
Companies.

corporations has come to stay. II
ought to have come and It ought to
stay That is the fiat and unequivocal
assertion of Theodore N Vail. presi-
dent of both the American Telephone
and Telegraph company and the
Western Union Telegraph company.
It came in the form of his annual re-
port to the seventy thousand stock
holders Of tho two great corporations.
Although Mr.. Wallis advocacy Of full
publicity in connection with tho affairs
Of such concerns was we'll under
stood. nobody in financial circles had
anticipated 20 frank An avowal Of
their general conduct. It came conse-
Quently as Q surprise, not only be-
cause of its novelty and squareness,
but also on account Of the unqualified
acquiescence OF a board OF directors
comprising such eminent and conserv.
alive financiers as Robert Winson OF
Kidder. Pea body & Co.. and Henry L.
Higginson of Boston. Henry P. Davi,
son Of j. P. Morgan & Co.; Senator
W. Murray Crane, George F. Baer, T.
Jefferson Coolidge Jr,, Norman W.
Harris. John l. Waterbury and others.
President Vail's 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 common
welfare. He goes directly to the
point.
Public control or regulation OF
public service corporations by perma
nent commissions" he says, has
come and come to stay Control, or
regulation, to be effective means pub.
licity; it means semi-public discus
sion and consideration before action;
1t means everything which IS the op-
posite Of and inconsistent with effec-
tive competition. Competition-ag
gressive, effective competition-means
strife, industrial warfare: it means
contention; it oftentimes means TAX
ing advantage Of or resorting to any
means that the conscience Of the con
testants or the degree Of the enforce
ment of the laws will permit.
aggressive competition means
duplication Of plant and investment
The ultimate object Of such competi-
ton Is the possession Of the field
wholly or partially; therefore 1t
means either ultimate combination on
such basis and with such prices as
will cover past losses, or it means
loss of return on investment, and
eventual loss of capital However It
results, all costs of aggressive, IN
controlled competition are eventually
borne. directly or indirectly. by the
public. Competition which Is not ag-
gressive. presupposes cooperative &C
ton. UNDERSTANDINGS, agreements, |
which result in general uniformity or
harmony of action. which, in fact Is |
not competition but is combination, |
unstable, but for the time effective |
When thoroughly understood It will |
be found that control" will give |
more Of the benefits and public ad- |
vantages. which are expected to be
obtained through such ownership, and |
will obtain them without the public
burden Of either the public Office
holder or public debt or operating
deficit.
when through a wise and Judi
,ious state control and regulation al
he advantages without any of the
of state ownership
ire secured. state ownership is
doomed"
IF Mr.. Vail is right" says Harpers
Weekly, in a concise summing-up,
then it seems pretty plain that we
Ire entered upon a new era in both
and politics And 1t is high
ime we did If evolution Is to sup
liant revolution as an efficient force
n the development of civilization"