The San Mateo item. (San Mateo City, Putnam County, Fla) 189?-19??, 1911-04-15
POncY IS RERE TO STAY
CONTROL AND PUBLICITY FOR
SERVICE CORPORATIONS.
Favored BY President Vail o. the
Western Union and Telephone
Companies.

ought 20 have come and Il ought 20
stay That Il the fat and unequivocat
assertion Of Theodore n. Vail, prosi.
dent OF both the American Telephone
and Telegraph company and the West-
crn Union Telegraph company II
came In the form OF his annual re-
port 20 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.
pated 50 frank an ayowal OF full pub
llc rights In the shaping OF their gen
eral conduct II came consequently as
a surprise, not only because OF fits
novelty and squareness, but also on
account OF the unqualified acquies-
cence OF a board Of directors compris-
ing such eminent and conservative
flnanciers as Robert Winson, OF Kid
der, Peabody & Co, and Henry l..
Higginson OF Boston, Henry p Davi-
son Of J. p. Morgan g. Co.; Senator
w Murray Crane, George F. Baer,
r. Jefferson Coolidge, Jr., Norman w.
Harris. John L Waterbury and others.
President Wallis declaration is her
aided as the first recognition by those
IN high corporate authority of the JUS
tlce OF the demand that the public
be regarded as virtual partners
IN all matters that pertain to the COM
mon welfare. He goes directly to the
point.
Public control or regulation of pub
lie service corporations by permanent
commissions" he says, has come and
come 70 stay. Control or regulation.
to be effective. means publicity;
II means semi-public discussion and
consideration before action; Il means
everything which is the oppo-
site Of and inconsistent with effective
competition Competition-aggr
effective competition means strife.
industrial warfare; II means conten-
ton; II oftentimes means taking ad-
vantage OF or resorting to any means
that the conscience OF the contestants
or the degree OF the enforcement OF
the laws will permit.
Aggressive competition means du-
plication OF plant and investment The
ultimate object of such competition
Is the possession OF the field wholly
or partially; therefore It means eth
or ultimate combination on such
basis and with such prices as will
cover past losses. or II means loss of
.ot,,.,. -. t,,woot...ont aud axontuaI
loss OF capital. However II results,
all costs Of, aggressive, uncontrolled
competition are eventually borne.
directly or indirectly, by the public.
Competition which Is not aggressive,
presupposes cooperative action. under
standings, agreements. which result
In general uniformity or harmony of
action. which. in fact. Is not competi-
ton but Is combination. unstable. but
for the time effective. When thor
oughly understood II will be found
that control will give more OF the
benefits and public advantages. which
are expected 10 be oblSined through
such ownership, and will obtain
them without the public burden OF
either the public ofiice-k0lder or pub
lie debt or operating deficit
when through a wise and judiclopR
state control and regulation all the
advantages without any Of the disad-
Yantnges OF state ownership are Sc
cured. state ownership Is doomed"
III Mr.. Vail IL right" says
Harpors Weekly. IN a concise sum
minenp then Il seems pretty plain
that We are entered upon a new era In
both economics and politics. And II 10
high time We did n evolution 10 TO
1nDplobf revolution 40 an eficient
force IA ne development Of civiliza-
||oa."