Evening star. [volume] (Washington, D.C.) 1854-1972, 1931-03-13
UTILITY OPERATION
BY u S. IS OPPOSED
Economist Says Progressive
Opinion Is Against Ma
tionalization Plans.
BY JOHN F. SINCLAIR.

Ok JUN f. SANCLAAhs
Special Dispatch to The STAR
NEW YORK, March lS.-Prof
Charles A. Beard of New York, vel
known American historian and econo-
mist, has answered the IA questions
Senator Watson asked the Progressives
AS the power issue is likely to loom
large in the campaign Of 1892, Prof
Boards reply is worth noting.
Senator Watson asked, Should the
Government take over and operate the
electrical power business Of the coun-
try?"
Prof. Beard replied: Progressive
opinion is against any such wholesale
naturalization. It demands, first, that
the Federal Government and the State
governments shall insist on principles
of prudent investment in capitalization,
the elimination of stock juggling inf1a-
ton, clearing the fog of judicial deci-
sionS respecting fair returns and COM
petent commissions to enforce these
rules; second, that the people in cities,
counties, districts and States shall have
the right to engage In the production
of electric power by their own determi-
nation in orderly procedure at the polls;
third, the elimination of corruption and
undercover propaganda by the utility
interests and a return to fair and open
dealing with the public. Unless the
National and State governments can do
this, public ownership may be forced
upon the country against the will OF
the major portion of the Progressives. +"
Senator Watson also asked this ques-
ton, Should the country adopt the
dole system?"
Prof. Beard gave this answer:
eff by that trick question the hon.
orable Senator means system OF UNI
,aVNlN Insurance the
answer Is that progressive opinion ia
vors 1t: at least, it favors o dole sys-
tenn no less invidious than Is now pro-
vided for too many inefficient manu-
facturers under the tariff"
It is not at all impossible that the
issues discussed at the Progressive Con-
ference in washington will largely de-
termine those around which the cam
paign Of 1882 will be fought.
BOrah's Plea for Bounty.
At the Progressive Conference Sen
ator Borah estimated that per cent
Of the American people own 30 per cent
Of its wealth.
Should the owners of this great
wealth be left to do as they please
without Government restriction? Should
tn Sherman antitrust laws be liber-
allied to allow big business concentra-
ton to be expedited still more?
Senator Borah diSsents. He does not
ask that the wealth owned by individ-
uals be conflscated. But he does object
to laying more emphasis on the prob
lens involved in maintaining the status
quo with reference to the 4 per cent,
who have the wealth, than to the eco
nomic problems Of the SO per cent, who
have little or no capital.
The Idaho Senator's plea is for
farm County, IL the farmer is not to be
reduced to q peasant class.
There's no difference in principle
between the protective tariff for manu-
featured goods and the debenture for
the American farmer" the Senator said.
If farmer ships wheat abroad, the
Senator commended, he should receive
credit of a certain amount over and
above what the European pays, and
added that Alexander Hamilton, the
father Of the protective tariff system,
recognized the fact that the producer Of
agricultural products being sold in the
foreign markets was producing them at
disadvantage under the protective
tariff system. Hamilton proposed, as q
remedy, to equalize the burden TO the
known as the bounty or debenture,
Farmers tell me that they don't
want q bounty and admire their
pride" said Senator Borah But Mr.
Farmer, you are living under a bounty
system. The protective tariff Is a
bounty"
The debenture issue again viii be
fought over In the next Congress.
Opposes Sugar Plan.
Earl D. Babst, chairman Of the board
Of the American Sugar Refining Co.,
has come out against the Chadbourne
plan for stabilizing the world sugar
situation. This well known sugar COM
pany executive Is against any artificial
interference of any kind.
This is the first important opposi-
ton raised in the United States
against the Chadbourne plan of re-
stricting sugar production. Thomas
Chadbourne, the author, is in Europe
at the present time, drawing up formal
papers to put his plan into execution.
Col. Arthur Woods, chairman Of
President Hooyer's Committee on Un-
employment, thinks that public work
must be handled so as to be eliminated
largely during times Of prosperity and
then pushed with vigor during times
Of depression.
The colonel goes further and says
that If the principle is sound. in so far
as National Government activities are
concerned, the plan should be followed
also by every State, county and mu-
nicipal government.
But little has been done about 1t,
probably because the technical investi-
cation has never been undertaken to
show what steps are necessary to take
before it can be applied 'as remedy
when symptoms Of depression make
themselves apparent"
Prosperity Program.
Francis H. Sisson, vice president Of
the Guaranty Trust Co., suggests that
the coordination of production, distr1-
button and demand Is the only method
that will go far in 'odsetting at least
some Of the more disagreeable featufes
of the business depression. The ups
and downs of business we're essentially
caused by a nalad t1stfnent Of these
three factors" suggests this New York
banker. ''''''.'t
And the next question facing Mr..
Sisson is the one Of just how to CO.
ordinate these three factors. Should 1t
be done by the Government or by the
bushes world working through various
industrial groups '''.' ".'t'.' .''.
No problem Is SO important as this
one-that is. II prosperity is TO be any
thing but a fieeting dream.
(copyriGht, 1881. by North American News
paper Aniancet '-
S-S-4-Aa-E-a--4-
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