The Denison review. [volume] (Denison, Iowa) 1867-current, 1911-12-06

the motive which subsequently is CHS
closed is attributed by the court to the
original combination.
New Remedies Suggested.
Much is said of the repeal Of this
statute and of constructive legislation
intended to accomplish the purpose
and blaze clear path for honest mer-
chants and business men to follow. 1t
may be that such a plan will be
evolved. but I. submit that the discus
sions which have been brought out in
recent days by the fear Of the con-
tinued execution Of the antitrust law
have produced nothing but glittering
generalities and have offered no line
Of distinction or rule Of action as def
mite and as clear as that which the SUI
preme court itself lays down in en-
forcing the statute.
Supplemental Legislation Needed. Not
Repeal or Amendment.
see no objection. and indeed can
see decided advantages. in the enact
ment of q law which shall describe
and denounce methods Of competition
which are unfair and are badges Of the
unlawful purpose denounced in the
antitrust law. The attempt and pur-
pose to suppress competitor by un-
derselling him at price so unprofita-
BILE as to drive him out Of business or
the making of exclusive contracts with
customers under which they are re-
quired to give up association with 9TH
er manufacturers and numerous kin
dred methods for sitting competition
and effecting monopoly should be de-
scribed with sufficient accuracy in "a
criminal statute on the one hand to
enable the government to shorten Its
task by prosecuting single misdemean-
ors instead Of an entire conspiracy and
on the other hand to serve the purpose
Of pointing ont more in detail to
the business community what must be
avoided.
Federal incorporation Recommended.
In special message to congress on
Jan. Z. 1910. I ventured to point out
the disturbance to business that wooad
probably attend the dissolution Of these
Offending trusts. said:
But such an investigation and pos.
sible prosecution Of corpora tons whose
prosperity or destruction affects the
comfort not only lof stockholders. but
Of millions Of wage earners. employees
and associated tradesmen. must neces-
sarily tend to disturb the confidence
of the business community. to dry up
the now flowing sources of capital
from its places Of boarding and pro-
duce halt in our present prosperity
that will cause suffering and strained
circumstances among the innocent
many for the faults Of the guilty few.
The question which I wish in this
message to bring clearly to the con-
sideration and discussion Of congress
Is whether. in order to avoid such a
possible business danger. something
cannot be done by which these bust.
ness combinations may be offered q
means. without great financial dis
turbance. Of changing the character.
organization and extent Of their bust
ness into one within the lines Of the
law under federal control and super
vision. securing compliance with the
antitrust statute.
Generally in the industrial combina-
tons called trusts the principal bust
ness is the sale of goods in many states
and in foreign markets-in other words,
the interstate and foreign business far
exceeds the business done In any one
state. This fact will justify the fed
eral government in granting federal
charter to such a combination TO make
and sell in interstate and foreign com
MERGE the products Of useful manufac-
ture under such limitations as will Sc
cure compliance with the antitrust
law. 1t is possible so to frame stat
ute that. while it offers protection to o
federal company against harmful. vex-
;ltious and unnecessary invasion by the
states. it shall subject it to reasona-
ole taxation and control by the states
with respect to its purely local bust
ness.
Corporations organized under this
act should be prohibited from acquir-
ing and holding stock in other corpo.
rations except for special reasons,
upon approval by the proper federal
authority. thus avoiding the creation
under national auspices of the holding
company with subordinate corporations
in different states. which has been
such an effective agency in the crea'
ton Of the great trusts and monopo'
lies.
IF the prohibition of the antitrust
act against combinations in restraint
Of trade il to be effectively enforced
it is essential that the national govern,
ment shall provide for the crea ton OF
national corporations to carry on le'
ultimate business throughout the Unit
ed States The conflicting laws Of the
different states of the Union with re.
spect to foreign corporations make ii
Il itficult. If not impossible. for one cor
poration to comply with their require