Newark evening star and Newark advertiser. [volume] (Newark, N.J.) 1909-1916, 1913-09-12


A study of the systems of government
| ownership of railroads abroad--supportet
and reinforced by personal experience II
/ travel thereon-convinees me that theil
rates are no lower and their service NJ
| better than We have in this country witt
! the possible exception of Switzerland.
No, the apostles of government owner
ship and operation must make out "a
stronger case before the people will take
| the plunge. 1t is a case where extremists
rush in where progressives fear to tread
Applies to All PupbIic Utilities.
This same principle we would apply to
telephone and telegraph companies ana
sonally / am at present opposed 10
municipal ownership of public utilities;
first. because the best experts in the
world and the most thorough students
of the question are unwilling to go on
4 record with a general Endorsement OF the
| plan, and. second, because my own study
| of the problem has convinced me that
"regulation"-th plan we have adopted
| In this State--can do everything, IL not
more things than public, ownership can
do for the public, at as low cost and at
favor a law that will give the people the
opportunity of Initiating" their own
| legislation on this question, so that II a
majority so decide the Legislature shall
PASS a law giving every municipality the
right to take over any public utility IT
may care to own and operate.
The next topic l want to take up Is the
regulation of the trusts In the discus
| sion of this subject / think there has
| been some exaggergtion of merit on both
| sides of the controyersy-between those
who believe in regulation and those VINO
| believe in dissolution. Those VINO peleVe
| in regulation have overemphasized the
! advantages to be gained In efficiency and
economy by large business combinations
| and those who believe in dissolution have
| been too much afraid of mere size. DO
not believe that any trust controlllng p
or 30 per cent. of business increases In
| efficiency after that percentage is reached.
| | do not believe that trusts controlling
more than that percentage OF the ousl-
ness in which they are engaged are neces-
sary to enable us to meet competition III
foreign markets: nor do / believe that a
trust controlling %, 80 or 30 per cent. OF
business is a menace
/ Beyond that point and, Of course course the the
percentage will vary In dlnerent IN
| dustries, / believe that ineficieney sets IN
and an unfair monopoly is acquired. This
was made clear in the cordage leather
and print paper trusts, and Is SHOWN, l
believe in the present condition OF the
steel trust. But in my opinion, II all
methods of unfair competition are pro-
hibited. such as improper stock water
ing, selling below cost in certain sections
to destroy competition, refusing to sell
TO customers who trade with competitors,
making combinations to control prices,
limiting output and dividing territory,
no trusts of harmful size would be or
ganized, and those that are now doing
business would contract or be dissolved
Refers to SEVEN Sisters"
The Seven Sisters" which President
Wilson had placed upon our statute
books are admirably drawn to prevent
they should be kept there and only
amended to be made stronger and more
effective. To enforce all laws, however.
enacted to destroy injurious and unfair
methods of competition in interstate
commerce. 1 would have Congress create
a strong Federal commission to maintain
active supervision over all Industrial
corporations engaged in interstate busi-
ness. Such a commission must enforce
complete publicity, prevent false capital
iEation and the granting Of special priv
ileges.
words about the question of taxa
ton of land values. The general phil
osophy of tax on land values is this:
All men are born with equal right TO life,
and since no one can live without access
to land, all men have an equal right to
the use thereof. But land cannot be
equally divided, and. therefore, the only
way 10 secure to all men this right IN
land is to make the one who occupies the
land pay into the public treasury the
ground rent of the land he uses in the
form of tax, the amount of which de-
pending upon the rental value OF the
land. which is created by the community
and not by the one who occupies 1t.
The speaker then quoted Gladstone
in 1879, John Morley, of the House OF
Commons, 1890, and Adam Smith to
support his argument.
But what is the practical object TO be
gained by a tax on land values, and how
are we going to levy 1t? | have In mind
one remote and three immediate OBJECTS.
The remote object is to take a direct
step in the solution of the problem of
undeserved poverty. The basis of pros
perity is. always has been and always
nomic surplus is obtained by applying
human labor to land. When land is held
out of use and unimproved 1t prevents
the application of labor to 1t and upon
1t. decreasing thereby the economic sur
plus of the community. tax on land
values will compel owners of unimproveo
land either to build or sell to one who
will improve. This will force into the
is now being held for future speculative
prices. In this way, l believe, the prob
lem of the unemployed will be greatly
Ny Immediate objects are to cure the
evils of congestion in our large cities,
to lower rents and to decrease the tax on
small homes. The cause of congestion
in cities is largely due to the high cost
of land Taxing land values will reduce
the price of land and encourage the
building of tenements. Rents are high
because there are too few houses; so
landlords can charge what they please,
and there are too few houses because
buildings are taxed at the same rate Is
land. New tenements cost about twice
as much as the land upon which they
are built so pay twice as much taxes Is
the land The heavy tax on buildings
discOurages their construction so that the
small home not only pays much greater
tax than the vacant lot next door, but
pays higher tax because Of the vacant
lot next door.
How can we change all this and reduce
the rents in tenements, relieve congestion
and lower the. taxes on small homes ?
BY reducing the tax rate on buildings
and increasing the tax rate on lands.
To this end l favor the passage Of a law
that will give every municipality the
right to reduce the tax rate on buildings
to one-half the tax rate on land.
In just the few minutes / have left in
which to speak let me reafflrm my be-
lief In the initiative and referendum and
the recall of judicial decisions. l do
not like to claim the virtue of prophet,
but in view of the statements that have
been made that I am pussy footing" on
the vital tenets of the Progressive faith,
to the fact that I began preaching the
doctrine Of the initiative and referendum
year before the organization of the
Progressive party and have been doing
so ever since.
talked the recall of judicial decisions
throughout the last campaign and have
at eli times stood square footed on the
National Progressive platform with the
one exception of the recall of elective
officers, which study of reform move
ments conyinees me will work against
the successful operation of radical and
progressive legislation. AS to the recall
Of Judges I am in favor of the Massa-
chusetts plan. Under our law n Judge
cannot be impeached unless guilty Of
criminal offense. In Massachusetts the
Legislature may remove a Judge at any
time for any cause II such removal is
deemed in the interests of the public.
Mr.. Colby declared also for the follow
ing propositions, Home rule short bal
tuition, pure food regulations, no in
junction in strike cases without investi-
CATION, improved health service and the
adontion of n scientific method of making