The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1914-10-22
CONSIDER STEEL.


Food for meditation upon our In
what really ails American railroads
and. probably. other industries. Is fur
nished in the days reports of the suit
for the dissolution Of the United
States Steel corporation now in prog
ress In the federal court at Philadel-
phia. The Newspaper reader who
neglects that report Is missing some
thing he ought to know about as a
citizen Of this country. One interest
ing point should be noted.
In 1911, when the suit for dissolu-
ton of the Steel corporation was
started, some of the steel directors
were directors in 62 railroad corpora
tons operating fifty per cent of the
mileage OF the country, according to
the declarations of Jacob NJ. Dickin-
son, counsel for the government.
The news report continues:
THE interlocking Of directors, Mr..
Dickinson added. in respect to the
leading Manufacturers. is significant
in connection with the fact that the
price of rails has remained uniform
since shortly after the formation OF
the corporation"
Mr.. Dickinson states as a fact that
directors of the Steel corporation
have been directors in $40 different
companies and corporations exclu-
sive of the Steel corporation and its
subsidiaries. This interlocking of di-
rectorates extends to banks and trust
companies and into all lines of bust
ness where the power Of either of the
metals. steel or gold. may be particu-
larly lucrative.
There, you have the case. A high
tariff prevents competition with
American made steel which is manu-
featured by one set II friends. This
same set of friends controls the des-
TIMES of most Of the railroads and
sells them steel rails, which cost
about $11 a ton, at a price ranging
around $25. Railroads, compelled to
pay double value for immense guam
titles of steel, complain that they
can't make money and ask for more
freight rate income.
Interesting at this time is the rec
ommendation by B. F. Yoakum. who.
whether or not he holds any Steel
railroad operator and builder, that
the government should actually take
an interest in the ownership and
management of the railroads of the
country.
American methods of getting at in
dustrial reforms are, to speak plainly.
sloppy" Instead of turning the
spigot to shut of national wastes we
try holding our hands over the end of
the pipe and are squirted in the eyes
while cropping for the sane remedy.
AS a matter of fact, the cause of the
trouble should be set down to ignor-
ance and carelessness on the part of
most of the people who. when such
defects in our economic system are
pointed out. are prone to howl with
rage instead of setting about calmly to-
remedy the difficulty.
z II. "a restricted number of steel
manufacturers are making more
money, than they. need by controlling
the market where they obtain most of
the profits, at the ultimate expense of:
the entire country, it is an economic
folly. The remedy is probably not to
be found in the mere dissolution of
the Steel corporation.
The real remedy for this nd for all
the rest of the long train Of similar
evils that from time to time are point
ed out will result from a stiff course
of self education on the part Of the
American people in the subject of
practical government.