The citizen-Republican. (Scotland, Bon Homme County, S.D.) 1???-19??, 1911-12-07

e as,smptinE 70 eyade Or set Eslsusht
object is made plain by the decree and
whose inhibitions are set forth with q de-
Iali ana comprehensiveness unexampled
IA ths history OF equity Jurisprudence.
Voluntary Organizations.
me erect OF these two decisions has led
70 oecrees dissolving the combination OF
manufacturer OF electric lamps, q south
ern wholesale grocers' association, an in
teu.ocu Ms,ry decree against the powder
compelling dissolution. and other combi-
nations OF q similar history are now nego-
5laa5Slng with the department of justice
reorganization In accordance with law. 1t
seems possible &c bring about these feof-
carnations without general business dis
Tho Cry for Repeal.
But low that the antitrust act is seen
TO be effective for the accomplishment of
the purpose of Its enactment, we are met
py q cry from many different quarters for
It's repeal. 1t is said to be obstructive of
business progress. to be an attempt to
restore old fashioned methods of destruct-
I'VE competition between small units, and
tons of capital and the reduction of the
cost Of production that are essential to
continued prosperity and normal growth.
court makes clear that there is nothing
N the statute which condemns combina-
lions OF capital or mere bigness of plant
ton and a reduction of its cost. 1t is only
sWhen the purpose or necessary effect Of
ene organization and maintenance Of the
mense size are the sitting of competition
actua! and potential, and the enhancing
OF prices and establishing a monopoly,
that the statute is violated. Mere size is
no sin against the law. The merging of
Two or more business plants necessarily
eliminates competition between the units
c~ontravention of the statute only when
the computation Is made for purpose of
ending this particular Competition in or
prices and create q monopoly.
Lack Of Definiteness.
The complaint Is made Of tho statute
that it is not sufficiently definite in Its
description of that which is forbidden, to
enable business men to avoid its viola
have a combination of two corporations,
which may run on for years, and that
subsequently the attorney general may
conclude that it was a violation of the
statute, and that which was supposed by
the c%o1nbiners to be innocent then turns
the statute. The answer to this hypo-
thetical case Is that when men attempt to
amass such stupendous capital as will
troll prices and Establish a mopnopolY,, they
know. the purpose of their acts. Men do
not do such a thing without having it
clearly In mind. If what they do is mere
" for the purpose OF reducing the cost Of
production, without the thought of sup
pressing competition by use of the bigness
cannot be convicted at the time the
union is made, nor can they be convicted
later, unless 1t happen that later on they
take the usual methods for doing so, n
thus establish for themselves a monopoly.
they can, In such a case, hardly complain
r IN m Iva yy.fl l TIA 70
closed Is attributed by the court to the
original combination.
New Remedies Suggested.
Much is said of the repeal of thist stat
ute and of constructive legislation In
tended to accomplish the purpose and
and business men to follow. 1t may be
that such a plan will be evolved, but 1
submit that the discussions which have
been brought out in recent days by the
fear of the continued 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 hat which the SUI
preme court itself avs dow in enforcing
the statute.
Supplemental Legislation Needed.
1 see no objection-and indeed / can see
a law which shall describe and denounoe
methods of competition which are unfair
and are badges of the unlawful purpose
denounced in the antitrust law. The at
tempt and purpose to suppress q conpet-
itor by underselling him at a price so
ness, or the making of exclusive con-
tracts with customers under which thoy
are required, to give up association with
other manufacturers. and numerous kin
dred methods for sitting competition and
effecting monopoly, hould be described
with sufficient accuracy in a criminal
government to shorten its task by prose
cutting single misdemeanors Instead of an
entire conspiracy, and. on the other hand.
to serve the purpose Of pointing out
more in detail to the business commu-
nifty what must be avoided.
Federal Incorporation.
In a special message to ongress or
January Z, 1910. ! ventured to point out the
ably attend the dissolution Of these of.
fencing trusts. l said:
But such an investigation and possible
prosecution Of corporations who's pros.
perity or destruction affects the comforr
not only Of stockholders but of million!
Of wage earners, employees, and associate
turb the confidence of the business com
munity, to dry up the now flowing source.
Of capital from its places of boarding, ant
produce a halt in our present prosperit.
that will cause suffering and strained cir
cumstances among the innocent many fo
the faults of the guilty few. The question
which I wish in this message to brint
clearly to the consideration and discussion
of congress IS whether, in order to avoic
such a possible business danger, some
thing canno be done by which these bust
ness combinations nay be offered
means, without great financial disturb
ance, of changing the character, organ
i~zation, and extent of their business int
one within the lines of the law under fed
eral control and supervision. securin!
compliance with the anti-trust statute.
Generally, in the industrial conbina
tions called trusts the principal bushes
Is the sale of good in many states and il
foreign markets; in other words, the in
t%erstate and foreign business far exceed
the business done in any one state. TIL.
fact wi. Justify the federal government
in granting a federal charter to such
combination to make and sell in interstat
and foreign commerce the products o
useful manufacture under such limita
tions as will secure a compliance with tn
anti-trust law. 1t Is possible SO to fran
a statute that while it offers protection t
a federal company against harmful, vex
atious, and unnecessary invasion by tn
states, 1t shall subject it to reasonabl
taxation and control by the states wit
respect to its purely local business.
Corporations organized under this &C
should be prohibited from acquiring an
holding stock In other corporations lex
cept for special reasons, upon approval b
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