Montana labor news., 1932-12-29
GOVERNMENT INTERFERENCE WITH BUSHES


GOVERNMENT INTERFERENCE WITH BUSINESS
Spokesman for some of the groups who have controlled
industry so efficiently that an army of 100000 is
pounding the pavement without jobs are engaged in a
nationwide ballyhoo with the slogan that the Govern
ment should stop interfering with business.
Among the loudest of these shouters are those who con-
troll the public utilities. They are especially bitter against
the U. S. Federal Trade Commission for its uncovering
Of policies practiced by the utility magnates which are
clearly against the welfare of the people.
The Commissions latest revelation concerns the Penn
sylvania Electric Company, a subholding company of the
Associated Gas and Electric Company.
Charles P. NOdder, examiner for the Commission, tes-
titled that up to the close of 1929 the "write-up'' Of in
tangible values in the books Of the Pennsylvania concern
amounted to at least S17,2 1853.
"Write-ups" are arbitrary increases in the value of cor
poratiOns made by the officials for the purpose of using
the inflated value as a justification for increased rates
which the consumers must pay for public utility services,
and which are used as the basis for selling larger amounts
of securities to investors than would be possible without
the arbitrary valuation increases.
Concerns using untrue publicity in newspapers and
periodicals to persuade consumers to purchase their wares
constitute another group firmly opposed to Government
interference with business and %vehemently denunciatory
of the 'meddling' activities of the Federal Trade Com
mission. fra basrs asmra "a Ha e.
The reason for the anger of this group is clear. In its
annual report the Commission states that during the year
it interfered with this sort of business by eliminating
100000 misleading advertisements from public print. One
of the concerns spotted by the Commission advertied a
wrinkle removing lotion which contained nothing but cas-
tor oil and a bit OF perfume.
Still another group insists that the construction and
fabrication of vessels and materials for national defense
in Government navy yards without commercial profit, a
policy endorsed by the American Federation of Labor,
is an extremely vicious form of Government interference
with business.
Usually when corporation officials and their journal
istic and legislative ballyhooers demand less Government
interference with business they mean that the people
should not use their Government to protect themselves
against the powers that prey on the citizens of the repub-
lie by engaging in activities which are definitely against
the public interest.
Every seller of spurious goods, every bank wrecker,
and every Kreuger and insult promoter sings the same
song-there must be no Government interference with the
activities Of business men.
In fact, the most outstanding crusader against Govern
ment interference in business was Samuel insult, whose
Middle West Utilities Company house of cards caused
hundreds of millions of dollars of losses to the thrifty
masses of the United States and whom the United States
Government is now seeking to have brought back to this
country from his hiding place in Greece to face charges
of embezzlement.
Serious-minded people who sincerely believe that the
Government should not engage in the manufacture Of
commodities in general are entitled to the fullest respect
for their views.
But Thoughtful and progressive people can have nothing
but contempt for reactionaries who, with mo Govern
ment in business" as their slogan, embark in a campaign
against the continuance of those governmental services
and functions which patriotic citizens recognize as fun
damentally concerned with the public welfare.