The sun. [volume] (New York [N.Y.]) 1833-1916, 1914-01-12

II means that while there may he legls-
lat'on extending the regulating authority
or Government over the financial opera
lions Of the railroads. there will be gov
erninental admission Of the concrete ext
gencies OF railroad management which
call for early relief Of tho kind sought
In the application for Increased freight
rates on the Eastern lines IL means
political senstiveness to the reasonable
Significance OF the Union Pacifc's pro-
posed distribution Of Its Baltimore and
Ohio shares to its stockholders, a dis
tribution which is>certainly In line with
sound public policy as 1t has defined IT.
self OF late years. 1t means a more
steadfast adherence to a constructive pur-
pose than Ia denoted by the Federal At.
torney Generals whimsical termination OF
negotiations with the American Sugar
HefninE Company. In which the company
mad offered to restore trade conditions
less favorable to itself than those of
twenty years ago. It means something
more than mere letup In the agitation
FOR political overturn Of the economic
organization. something more than a
mere suspension Of political hostiiities
against business.
The proposition has been made In vari-
Gus quarters that Congress should devote
tho balance OF the session distinctly TO
routine In order to afford the manufac-
turing. commercial and financial interests
OF the country respite from political
excitement; but while such relief would
be grateful. II would be helpful only In
that. during tho interval. a real change
In political attitudes might be developed
or disclosed. a real change II what is
needed. not temporary suppression OF
radicals who have no other ticket for
public ONCE than that provided by their
propa gandas OF subversion. Politically
= n 10 VS~ ~ L.. a.
yet In the new circumstances which have
already been created. The effects of tariff
revision have not been discoyerable be-
cause business IL In a state of decline
The new income tax law Is as botchy as
II IL negotiable. and the country has not
had time to become accustomed to its
workings. TO say nothing OF becoming
reconciled TO its vicious pervetsion OF a
Legitimate method of raising public rev.
epues. The new banking and currency
system has still to be organized and set
In operation. Here, In all conscience IL
enough experiment to impose on the eco
nomic structure without celebrations that
cannot fail TO add TO the strain.
Assuming that the Administration IL
committed TO new legislation dealing with
the relations OF trading and Industrial
corporations TO the Government the under
taking Is likely to prove most valuable
In the opportunity which u will supply
for demonstration OF the .tdministrn-
TONS appreciation Of the whole situation
stated in terms OF contracted business VOL
umes and depressed values. OF shrunken
forward orders and OF increasingly idle
labor with which 1t IL confronted. Ac-
cordnE TO figures Just compiled side
tracked freight equipment on the Amerl-
can railroads increased by almost 1900
earn last month. which In a striking meas
ure OF the exten; and pace OF the indus
trial reaction. especially as almost 20 per
cent OF the additional surplus OF cars
accumulated in the second half OF the
month. Capital Is waiting for a political
sign and Washington will be considered
with painful regard in the next few DAYS
for the signs which may be given by the
Presidents declaration OF policy in the
field of the law hitherto held rather ex-
clusively by the sherman act and by the
manifestation OF intentions toward the
railroads. 1t Ii more than doubtful II the
Eastern railroad rate case can AFFORD to
wait or the country can afford to have Il
wait upon Congressional approaches to
new legislation governing the compost
ton OF corporate directo' ates or the issu-
ance OF corporate securities
In negative way also. assurance
which might 40 far toward strengthen
ing business confidence could be con-
veyed by Indications that there was no
favor for Secretary Burlesons Govern
ment ownership schemes. for Secretary
McAdoo's notions OF Treasury despotism.
for Secretary Wilson's conception OF pri-
vate property as u very shaky and fugi-
tive right, for Secretary Redheld's rest
less desire TO push inquisitorial probes in
every direction through the economic
body. for Secretary Daniels's idea that
business men and bankers have been SUI
ferng from "hysteria" and for Secre-
tary Bryan's general quackery as we'll
az no favor for tn. decisions OF financial
and business conspiracy against the pub
lie interest with which Congress has been
afflicted as a whole while sanctioning
conspiracies OF labor and of farmers
unions. Politics which knows nothing hut
radicallsm has. as the Wall street say
ing goes. overstayed Its market. but the
important thing TO know now IL whether
or not Washington is sufficiently aware
OF the fact so that Congress will in turn
to the constitution OF peace"
which President Wilson has proclaimed
for acceptance by all right thinking busi-
ness men
So far as business Is concerned there
In danger that II may be ready to ac-
cept anything from Government, TO make
n mush of concession to Government II
only IL can discern IL promise OF reviving
activity and strengthening prices This
Is natural, for In "a workaday world so
excessively Industrial as ours has become
a good deal OF buying and selling is re-
quired In order TO support population. and
business men are tempted all the time by
necessity to let politics do whatever 1t
wants in order to let trade and industry
have peace to pursue their ways. That
the business community Is responsive TO
new ideas II evinced by the response that
has been making TO all manner of pub
lie demands. and an extreme Illustration
Of the lengths TO which business may 40
-. oil gh ~ -
plan Just announced by the Ford Motor
Company
1t Is hard 10 tell whether this Is an
experiment In economics or In pure phi
lanthropy. Its proponent Is n rich man
who seems content with the fortune that
he has amassed, and 1t In quite clear that
there are few Industrial establishments
which could initiate his manner OF shar-
Ing profits with labor in advance Of their
accumulation or on the basis of $1,000 n
year wages for every employee who merely
sweeps a factory floor. Indeed 1t is more
likely than not that the Ford fashion Of
profit sharing will make the troubled re-
lations of capital and labor generally
worse rather than better. but II is signif-
rant of the turn of thought on the part
Of employers TO profit sharing as n solu-
ton OF more than one economic problem.
For one thing profit sharing will prob
ably conduce to a great efficiency of
labor and such efficiency must be very
largely the reason for increase In labor's
wage In the Ford case II IL possible
that philanthropy is combined with the