The evening times. [volume] (Grand Forks, N.D.) 1906-1914, 1912-10-14
THE TRUSTS AND THE TARIFF,

III mas Oeen 50 muCU OlNue0 lntO the
peoples ears that tariff produces and
fosters trusts that our democratic
friends claim to believe 1t and many
republicans fear 1t is true; and yet
there never was a statement which
could he so ~conclusively c~ontroverted
nor an argument whose fallacy could
be SO convincingly exposed.
There are more trusts in free trade
England than there are in protected
America.
That one statement ought to be
enough to settle the question.
There are more trusts in America
in articles upon the free list than
there are in those upon the dutiable
list.
That is another statement which
ought to settle the matter.
II the tariff is the mother of trusts,
how are we to account for trusts in
England. where the tariff is for rev.
enue only?
If the tariff is the mother Of trusts,
how are We to account for the coffee
trust. for the Standard Oil trust and
for innumerable other trusts in this
country in articles which are on the
free list?
But II the facts prove that trusts
can exist independently Of the tariff.
ordinary reason and common sense
demonstrate that to reduce the tariff
or remove 1t entirely, can not posi-
bly, eliminate tho trusts. The only
purpose Of a. reduction of duty on a
given article is to introduce foreign
competition and compel its sale at a
lower price. Consider the steel in
dustry for example,: The steel trust
controls a little more than half of
the business Of this country. The re-
mainder Of 1t, nearly fifty per cent. is
in the hands Of small Independent
concerns. It is universally admitted
that the gigantic trust by reaso of
its ownership Of iron mines, railroads.
shipping lines and enormous plants.
can produce cheaper than any Of its
smaller competitors. It is the COM
p%etitors Of the steel trust, therefore,
who would first be put out Of bust
ness by the reduction Of the price
Of the goods they manufacture. If
the cutting still wen on. to an extent
that ever the trusts could not Int
facture at a profit, the result would
simply be to transfer the business to
foreign mills. involving the loss Of
employment in this country to a MILL
lon men or more. together with the
universal disaster which would fol-
low the shutting down Of Of the
country's greatest industries, and the
cutting of Of the market for North
Dakota wheat which those people eat.
But ven then we would not be rid
Of the steel trust. We would simply be
dealing with a foreign organization
instead of one that is subject to our
WI laws and regulations. And a
similar demonstration might be made
in the matter of any other industry
which Is depending upon the tariff for
its prosperity. 1t is the small indie
Pendent factories that would go to the
wall first. leaving the great trusts in
possession Of the market and there
fore in position to advance its prices
to any figure that 1t thought the busi-
ness would bear.
Neither by facts nor by arguments.
therefore. can it be shown that the
tariff is in any way responsible for
the trusts or that its removal would
eliminate trusts. The trust problem
has to be solved through the enact
ment and enforcement Of laws provid-
ing for that degree Of regulation
which will ensure competition and
prevent monopoly. and not through
the destruction Of a revenue system
under which the country has enjoyed
period Of prosperity unmatched in
its history.