New-York tribune., 1919-04-05
Wealth. Markets vestrn en- $

To a further advance in this evolu-
tionary legislation the Chamber of
Commerce of the United States was
formally committed by referendum in
the early part of 1917. The organiza-
tlons in the membership then voted
that there should be remedial legisa-
ton to permit cooperative agreements,
under Federal supervision, in indus
tries which involve primary natural
resources, on condition that the agree
ments tend to conserve the resources,
to lessen accidents and to promote the
public interest. The resources in ques-
tion are timber, the ores and deposits
OF useful metals, and deposits of min
erals which are sources of heat, light
and power. The supervision which is
advocated would be in charge of the
ederal Trade Commission.
"The proposal to which the chamber
is thus committed, with respect to
natural resources, is in harmony with
the principle which has been followed
in enactments of the last five years,
as above summarized. This principle
should now receive wider application
Such a proposal as the chamber advo-
Gates in connection with natural re-
sources should be so broadened in it's
of all of our economic resources. That
prevention of waste in industrial and
commercial activities-waste Of labor,
waste of executive direction, or waste
of materials-is in the public interest
will readily be admitted. Until recent
years, however, there has been no way
in which to afford assurances that the
public advantage in measures taken to
prevent waste would not be exceeded
by disadvantages by reason of other
effects of the means which were chosen.
This difficulty has now been eliminated
by reason Of the experience we have
had with agencies which administer
standards Of business conduct and have
before them for their guidance the
requirement of the public interest"
Applications of Standards
Respecting the recommendation that
there should be formulated standards
of general business conduct to be ad
ministered in the first instance by a
supervisory body the report gives eX
amples of the applications of standards
in way which would accord with this
regulation. 1t points out that inter-
locking of directors among corporations
which are competitive might be con-
tinued under a general prohibition, but
Win pIOVlSlou tIldL SUN lHteIfOCklIS
might lawfully exist as to instances in
which a regulatory body had made a
prior determination that there would
be nj detriment to the public interest
For exercising the supervisory func-
tions proposed the report states fur
thcr, 1.-The appropriate agency is OBJ
viously the Federal Trade Commission
so far as it's great branches Of
manufacture and MERCHANDISING are
concerned. In an earlier report we had
occasion to call attention to recent de-
partures by the commission from the
purposes Of the law that created it. That
report dealt only with the procedure
and the point of view of the commission
as at present constituted and it ended
with recommendations that existing
vacancies in the commissions mem
bership should be filled with men who
would bring to the commission a prop
er conception of it's duties and pur-
poses"
One reason why the Federal Trade
Commission should be the supervisory
body, the report declares, is that the
commission has obtained mass of in
formation about American industry and
commerce.