The Wheeling intelligencer. [volume] (Wheeling, W. Va.) 1903-1961, 1912-08-03

means p1se. we're naintainsc. output
tion sunei- and trafs rsstrainsc. suss
A. certainly and last scsetiveiy and
ina Shs.r ,A snls s,.ss :" I'd ssen Soas
Representative Me6mieuaay. IN,
studied The labor condition in tas steel
opposed to organized labor and pre-
"a Tss r.ss't- he says -fs TIA. abess
an the steel and iron business are for
eign-fs OF these classesL With the
eenent Of SKILLED American foreman
such a crew can work out results IN
enskllled labor production. The pronts
OF this system OF labor employment 90
10 the Steel Corporation. hns the die
about as best he could"
railroad ownsrship.
IN discussing the ownership OF rail-
road ana steamship lines by the Steel
Corporation. the report SAYS:
There 10 no question but that the
public interest requires q segregation
OF railroads and the Steel Corporation.
by an industrial corporation carries
with IL. in addition TO the advantages
which this record discloses. POSSIBLE
ties OF even greater abuses"
The part that United States Steel,
the absorption OF the Tennessee coat
and Iron railroad company. President
played in the panic OF 1907. are COW
cred IN the report. and the instnuation
Il made that the panic was artificial.
ana Tor the beneht OF the Steel Corpor-
alton
In its comment. the committee says:
=, How "A panic which had persistent
~ resisted the combined efforts of the
ederal Government and John ID.
htockefeller and the J. l.. Morgan Co.
ana remained in undated fury after
MoTsan and Rockefeller had turned
Treasury s25.Oco. oec more should sud
1.niy De stlied by this manipulation OF
Grant IL; Schley's loans. has not been
by other witnesses Yet II Is urgently
maintained that the panic continued
prior To this magical scoop OF securi-
poration acquired the Tennessee Coal
q Iron company's stock 1t subsided in
Taft Congratulated.
l., III committee reports that on Octo-
Der rs. 1897. President Roosevelt issued
q statement eongratulatins Secretary
headed off the panic. The committee
says OF this:
Up until the tim Of this interview
the steel Corporation owed its success
and It's permancy to the power and tie
skill of the financiers who had created
ana the iron masters who had directed
It's operations. Since that time its DOM
onance has been due in no small meas
ure 10 the sudden. ill-considered. and
arbltrary fiat of the Chief Executive.
me Presidents refusal to interfere
was an absolute warrant to proceed. A
suggestion fom rhim to the attorney
general was equivalent 20 A command;
ana upon "A refusal Of the attorney gem
eral TO act. the corporation was i'm
mune. This IS admitted hy col. Roose-
Welt. aud eh unhesitatingly assumes fun
responsibility In the matter"
The report occupies more than zoe
pages and much OF IL is criticism OF the
methods of the trusts. Andrew Car
: n4ENg steel making FHaFhnNu M 80
desire to extend his business are held
out a. the. motives which compelled J.
Plerpont MORGAN n MS associates to
o organize the steel Trust.
Sterling Talks.
Representative sterling. OF Illinois. a
/ Republican member OF the house COM
| mittec Of inquiry into me T-niefJ Statss
steel Corporation disagreed with his coll
leaGues on the committee and submitted
tho follow ng 60 the house.
4 heartily favor governmental reEu-
laton OF corporations engaged IN inter-
state commerce. The first step IN this
direction j. legislation providing for
federal Incorporation such Legislation
should Limit the capitalization TO the
actua! value OF the corporate property.
and thus eliminate from the commerce
OF the country hat abomina5le fiction
stock"
The extent 90 which fictitious values
have been created by decentralization
or corporate property mas shaken pub
lir confidence in corporate securities and
AANat A-f NNaAAN' AANaNA flAEAA AEAlA OK
large business enterprises.
such legislation should provide for
"a system Of reports. to a commission or
other government agency. giving full
publicity 70 the manner and purpose of
the organization, its methds OF doing
business and its profits. II SHOULD pro-
vide FOR rieid supervision Of all issues
Of securities and prohibit one corpora
ZION from holding stock in another and
limit the extent TO which two or more
Operations may have common director
ates.
u 10 not concur in tho views ~ the
minority that the true remedy for in
dustrial evils does not lie tn the dis
/ solution of Industrial trusts. am
az the opinion that tho dissolution ~
the great Industrial combinations into
their integral parts would do much 20
restore trade Co "a natural and healthy
Z condition and inspire confidence OF tho
the people in the business situation and
revive comtnercial prosperity.
The proposition that The govern
ment shall recognize and permit 10
exist. trusts. mouoTpli"s and cOmbina-
lions IN restraint of trade ana tn-l
regulate them by legislation. is ons
calculated 20 suppress individual en-
tcrprise md destroy competition. 1:
- conceded that such "a policy would
result necessarily IN the hxiug 81 tins
Irices Of the products or such combi-
nations. by Law. II tho government
fixes the price m the finished product
must ~ not also fix the price ~ the
raw material and the labor that con-
o. Ika|A tIHt luTEH Industrial
combinations can produce more cheap
is than small ones This BE- "a flndl-
mental fsliacy. from which proceeds
tho ~paternultstic doctrine that ihe SOW
eminent shall recognize and permit
i~non"iolistc combination. and tx the
price Of their product
The Federal Government. hv r-o,l-
Or legislation can resolve great combl-
Iti"nr lrf" their integral parts and
then by wise and JUST regulation ~
cor .fHte powers. maintain "a raturrqi
anu healthy condition % trade. IL a.
ILlLnIN ~. dun. IL Lu -.