Evening star., 1938-01-27
Government and Business.

Lie aye Ol Co-OpeTdClOn is upon us, IN
a newer and bigger way. If it is volun-
tary, with proper governmental super
vision, economic freedom and political
liberty in this country will survive. If
it is involuntary and imposed by strong
arm methods, then both economic free
dom and political liberty will be rele-
gated to the past.
Donald r. Richberg, former head of
the N. r. A., in an address in New York
last night discussed the relationship of
government and business. His conclu-
sions and recommendations are of real
interest and have been reached after
years OF thought on the subject. "Gov-
ernment," said Mr.. Richberg SHOULD
encourage and help private business, and
business should accept public RESPONSE
bilities." Unfortunately, selfish interests
of politicians and equally selfish inter-
ests in private business make these ends
difficult of accomplishment today.
Mr. Richberg finds pressing need
for legislation defining more helpfully
the relations between business and the
Federal Government. If there Is to be
such legislation it should be drawn care
fully and with fairness. There seems to
be also very pressing need for ces-
sation of certain policies and tendencies
of the present administration of govern
ment toward business. A definite dec
laration should accompany legislation
that the Government will not enter into
competition with private business and
will withdraw from such competition as
has been undertaken.
Three objectives of legislation defining
the relations between business and the
Federal Government were stated spe-
cifically by Mr.. Richberg. The first is q
clear definition of monopolistic and un-
fair practices by business. The second
is the selection of an administrative body
empowered to pass on the prima facie
legality Of cooperative activities of busi-
ness organizations. The third is the
retention of the right, by either private
parties or the Government, to challenge
in the courts through civil suit any al
legged illegal combination. The approval
of any agreement by the selected admin
istrative body should, however, protect
against criminal prosecution and civil
liability Of unknown dimensions for ac-
tions of undetermined illegahty."
Mr.. Richberg leaves certain elas-
ITCHY, although he proposes that as far
as possible there shall be legal restric-
tions beyond which agreements among
business men shall not 60, and listing
of business practices that should be
banned. He proposes the courts as a
balance against the determinations OF
an administrative body. This Is an
effective and wise position and in line
with the checks and balances that run
throughout the American Government
under the Constitution.
It is the firm conviction of the former
head of the N. R. A. that the Govern
ment of the United States and the busi-
ness of the country cannot live apart:
that they will either work together or
die together. If one destroys the other,
both will die. If they are to live to-
gether there must be cooperation. That
does not mean, however, cooperation
where the Government inflicts Its will
on business or business dominates gov
ernment. There must be a willingness
on both sides to compromise, If necessary.
to reach fair adjustment. The sooner
such state of mind arises, on the part
of both the present administration and
business, the better.