The times-news. [volume] (Hendersonville, N.C.) 1927-current, 1938-05-05
NEWSPAPERS OPINIONS
BRIDES FOR MoNoPoLIsTS


Of the Presidents message on "monopohes" IL
can be said that it illustrates the basic ahtit'oieS
that lie in:the whole question, according as one o'
other of the interests involved is emphasized.
For instance, let us take the consumers position
in system of free and unrestricted competi''o".
This competition results in a continually lowered
price of product, and generally IN cohtihuans
improved quality, both of which rebound to MS
advantage The motor industry is a good example
of this process. So far as he is concerned the
benefits are obvious But the result of this COM
petition is to eliminate the less efficient producers
and to concentrate the industry in continually
decreasing number of units, each of which grows
larger as its rivals pan out of the picture Finally
there left but few very large concerns
which, however, continue to compete vigorously
and to offer to consumers continually cheaper
and better product-as does the motor industry.
Up to this point the public as consumer, is clearly
the gamer. ,n. .... .. 70.
But then another problem arises which concerns
the public not as consumer but in quite another
aspect, namely, that of the concentration of eco
nomic power"-the power to hire and fire, for ex-
ample-in few hands, and the transformation OF
those who were eliminated as independent produc-
together with their employees into mere parts
of huge machine in the operation of which they
have little or voice. The mere size of the lew
units which the competitive process has generated
becomes, is deemed to become, danger IN IT.
self, even though the consumer of the products
continues to enjoy the benefits arising from the
continued sharp competition of these units In a
word, the very existence of very large private cor
porations is deemed to be danger to our demo-
cratic institutions.
Consequently, we find ourselves in a position
where We have to contemplate the restoration OF
competition in its original form, that is competitive
production. by a relatively large number OF inde-
pendent producers, thus reversing the process
which resulted in their elimination, and restoring
the conditions existing before that elimination took
place. In word, start to re-atomize industry
in the interest of the small producer.
This, however, manifestly is not in the interest
of the consumer, for he will be compelled to pay
relatively higher prices and probably accept rela-
lively slower rate of Improvement in the product.
There thus appears the producer-consumer anti
mony which runs through the whole economic pro-
cess, together with the equally neradlcable con-
flict between freedom and compulsion, which is at
the root of the whole problem of civil society and
government. In democratically conscious society
such as ours both impulses are perpetualy active
and subject of acute controversy. emphasis
swings continually from one side to the other OF
the conflicting forces-at one time consumer-em-
phasis, at another emphasis upon the producer.
The history of the New Deal is in large measure
the history of such shifts. =, .-- ...... y,
All this, of course, is quite apart from the mat
ter of real monopoly with consequent exploitation
of the consumer 1t is size plus competition that is
the inmediate problem for true monopolstic ex-
plotaton by means of price is not noticeable ele-
ment in our situation Pure monopoly is quite an
other and much more simple problem .
~ Now the one thing certain is this: Industry con-
centrated in relatively few large units, other
things being equal tends to make large production
at low prices Atomized industry, other things be-
ing equal, tends in contrary direction. We cannot
have a system which will combine the best fea-
lures of BOTH The most that we can do is to find
the place where the best compromise is reached.
To find that place is a case for experiment, but
experiment conducted with high intelligence and
mutual tolerance.
r We need all we can secure Of both these quail
ties in the conduct of our public affairs, if we are
not to lose either our liberties our more abun-
dant life in the attempt to solve our problem
Wall Street Journal. ...., a,.
r... - "a =,
STRANGE ~.