The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1912-02-06

eentage fairly represented the average
increase in the business.
Watching the Figures.
Recently. the reports that have come
from the insurance department of the
state have been closely scanned SO that it
might be discovered what effect the new
law had upon the great insurance COM
panles Of the country with respect to new
Nearly all OF them showed gains. One
or Two of them were able to report gains
IN 1911 which, if maintained in the pres
ent year, will bring their newly written
policies back to the high water mark
which was established by these COM
panles before the limiting legislation was
adopted.
No longer is there heard any criticism
OF the manner in which the great insur-
ance corporations are securing large buSi-
ness Under most effective state super
vision and legislation and with the laws
so written that the insurance companies
cannot participate in underwriting prOpo-
sitions or enter the markets to buy any
kind OF securities excepting those that
are of the highest credit, chiefly bonds,
the community has learned that there is
not the slightest danger from the mag
n1tude of the business which the insur-
ance companies may do. The supervising
ana regulating authority of this state
serves as a perfect check upon any i'm
proper utilization of the great resources
and the power contained in them.
1t is an interesting fact that as long ago
as 1899 and at the time of Roosevelts
first service as an elected officer chosen
by popular vote he already was advocat-
ing the principle of governm entail super
nesses which operate under state char
ters- He then believed, and has since be-
heved, that big business may be ade-
quately restrained, thoroughly well regu-
lated while at the same time it is per-
mitted to conduct it's affairs along lines
of the greatest possible prosperity. There
are some things which justify the infer
ence that much of the popular agitation
which has the nomination of Colonel
Roosevelt at Chicago for president in
June is traceable to the conviction OF
men of large affairs that Roosevelts
economic philosophy respecting big BUSH
ness undertakings is wiser philosophy
than that which is agitated by President
Taft and by his attorney general, Mr..
Wickersham. Roosevelt is regarded rs
in favor of encouraging any business IN
dertaklng the fundamental principle or
which is economy of production, the en-
ployment of highly paid skilled artisans
and which so conducts its business as to
secure a very large volume of trade, pro-
vided businesses of this kind are rigidly,
constantly and adequately supersived and
controlled by the government
On the other hand the philosophy of
President Taft, which is SO unacceptable
to many of our leading business men, is
based upon the idea that combinations
competition and that they must be for
hidden by law.
The Recent Dissolution.
There has recently been much comment
at washington over the immaculate ana
probable ultimate effect of the dissolu-
ton disintegration of the Standard Oil
and the American Tobacco companies. 1t
is beginning to be understood at Wash
ington that in this dissolution turks a
great power for the accumulation of
wealth by the men who are the real d.
recting force both of the Standard Oil
and of the American Tobacco company.
1t has been pointed out to some of the
members of congress that the situation
now is there seems to be nothing to pre-
vent Mr.. Rockefeller or Mr.. Archbold or
the great forces in the American Tobacco
company from buying the stock of the
independent companies which are really
lie have the others. Mr.. Archbold, for
instance, knows which oneof the thirty-two
new corporations into which the Stand
ard Oil company has been disintegrated
has very great value and which ones
have, relatively speaking, little value
Knowing these things, If he be so dis
posed the opportunity Is open to him 10
make a great deal of money. 1t Is under
stood to be the view of the adm1n1Stra-
ton at Washington, however, that IL
would be possible to prosecute the in
siders criminally if they do these things
So, also, members of congress have been
told that the creation of the independent
companies does not insure competition;
but there is an impression at Wash1ng-
ton that If 1t Is discovered after aWhlle
that these independent companies DO not
compete the government will find way
to prosecute on the ground that the fail
ure to compete of itself is prina facie
proof of an agreement which is unlawful
under the Sherman antitrust law
HOLLAND.