The Birmingham age-herald., 1914-01-01
All Branches of Government
Activity Feel Effects of
Notable Events
DEMOCRATIC POWER
STRONGLY EVIDENCED
Political, Economic and Financial
Branches of Government Undergo
Important Changes-Review
of the Year

washington. December a1.-Twelve
months of 1918 wrought changes in the
American government, political, economic
and financial, probably more far-reach-
Ing than any other year of the last quar-
ter century.
This was apparent today in a backward
glance over memorable events of the past
rear in all branches of governmental ac.
.ivity
A democratic administration in national
affairs came to power in this twelve
month with democratic President and a
ieinoeratic Congress at his back for the
irst time since Grover Cleveland occu-
pied the presidential seat.
The first constitutional amendments
since 1870 were perfected providing two
'adical changes in the fundamentals Of
organic government. This was an income
AK and the direct election of United
States senators.
The national bank and currency sys-
lem devised to float the debt of the civil
war and which has operated ever since,
was reorganized into a federal reserve
system in which the central bank lock
plan, the dominant system of Europe,
was rejected and a vast fabric of finan-
,ial reorganization perfected
Comprehensive Tariff Bill
A democratic tariff law became effec-
i've the first since the Wilson Dill of
S93 and one OF the most comprehensive
ariff measures ever enacted.
A parcels post system was brought in,o
uccessful operation and some OF its rates
ater We're reduced while certain limita-
ions were extended.
The interstate commerce commission
,egan physical valuation OF railways.
project which will cost millions and
AXE years to complete, but which is
expected to ultimately provide a basis
rates.
Meanwhile the 90 great eastern rail
Fay systems renewed application for a
per cent general increase in freight
htes md tie commission directed reduc-
ions In express rates which are expect
ID to save the public approximately $780,
10000 year.
Last steps in building the Panama ca
ial were taken with the probability that
he greatest engineering feat of the ag
will be in operation in the new year.
Practical control of the Philippine gov
.rnment was delivered to the natives OF
he islands by President Wilson's ap-
,ointment of native majority on the
Philippine commission.
What promised new era in relations
,f the government with great corporations
h the enforcement of the Sherman anti
rust law, was brought about by the
bloodless' dissolution of the American
Telephone and Telegraph company's rela=
ions with the Western Union. President
Wilson'S open declaration that the ad-
ministration desired to cooperate with.
big business in a peaceful administra-
tion of the law was received In business
and financial circles with evidences of
optimism.
Important Decision
The supreme court laid down several
decisions of deep rooted Importance Il
decided that owners of copyrights and
patents may not control the price at
which retail dealers resell their products
o the consumer. 1t sustained the validity
f the Sherman law as a criminal meas.
ire for the first time in the ''turpentire
rust case. In the cotton corner case.
i laid down the principle that a corner"
IN any commodity is a violation of the
ANTITRUST laws. In the state rate cases
1t decided that states through their rail-
read commissions have control over tie
rates of lines within their borders. ire.
spective OF the interstate commerce COM
mission
/ In foreign relations. affairs of the year
hardly were less eventful. Secretary Bry-
ans plan for International peace was ae-
cepted in principle by more than 30 ma
lions and treaties with the United States
bctually were signed by the Netherlands
and Nicaragua.
i The most important pronouncements of
the administration foreign policy Were
made by President Wilson when he with
drew the support of the United States
from the bankers In the so-called six-
power Chinese loan in his Latin-Amer-
lean statement. in which he proclaimed
the intention of the United States to rec
lcgnize on the western hemisphere only
those governments founded on law ;.zsd
order" and in his now noted Mobile
speech, in which he pointed out the men,
ace of foreign concessions to the peace
Continued ON Page Ten)