Evening star., 1944-04-23

The case for the preservation ana
STRENGTHENING of small business rests
on the assumption that the public in
terest is better served by cornpettion
than by monopoly.
This assumption-or the fact that 1t
forms cardinal tenet Of the American
faith and our leaders recognize the po-
litical wisdom of acting on it--ac-
counts for the Sherman antitrust laws
and the other statutes against restraint
of trade; for the trust-busting activities
that now and then, but not consistently.
have enlivened the political scene; for
the fact that from 1888 to 1943 no fewer
than 800 bills to aid small business were
introduced in Congress; for the creation
by Congress, in 1912, of the Smaller
War Plants Corp; for much Of the
work of the Truman Senate Committee;
for the presence in both houses of Con-
gress of special committees on the needs
of small business-for hundred and
one other manifestations, past and pres
ent, of q national policy against mo-
nopoly. .tr
Two quotations, one from a business
and the other from governmental
source, will indicate how deeply rooted
in our policy and our folkways Is the
belief In free competition.
Statement by Biddle. ts
This from recent testimony of Attor-
ney General Francis Biddle before the
war Contracts Subcommittee Of the
Senate Military Affairs Committee ex-
presses the present attitude of the Gov
ernment:
"Thk Department of Justice has sub
stantial interest in the economic prob
lens of rehabilitation. That interest
arises in the first instance because it is
the duty of the department to enforce
the Sherman Act. 1t extends, however,
beyond the prosecution of violations OF
that statute. The Sherman Act en-
bodies a public policy against monopo-
listic practices and favors free COM
petitive industry. It is our hope that
this public policy will serve as guide
in the formulation and administration
of program for rehabilitation. To
carry out the broad policy of that act,
steps should be taken during the re-
conversion period to reverse the ten
dency toward concentration Of indus
trial control brought about by the war
production program, and to encourage
the existence and success Of small and
independent business, and the creation
of a truly competitive market"
The second quotation is from the re-
cent notable speech at Boston University
by Eric Johnston, president of the
United States Chamber OF Commerce.
in which he frankly admitted the sins
of management In the past and coun-
seled labor to stop falling into COM
parable error. He told of the arbitrary
refusal Of some unions to admit workers
to membership. and asked.
Hits ut Monopoly.
"How popular do you think the idea
of monopoly is with the American
people? Gentlemen of management,
you tell them. You know the answer
out of private behavior and public ex-
perience. Did you ever hear of mo-
nopolistic practices in business? Did
you ever hear of cute little schemes for
preventing new competitors from get
ting into your industry? Did you ever
hear businessman shout himself
hoarse in favor of free enterprise and
then squawk and squall just as soon as
the Antitrust Division puts him on the
fire for trying to destroy freedom in his
own industry by means Of fixing prices?
Gentlemen of management, monop-
olistic practices have helped to make us
unpopular. Monopolistic practices are
now helping to make organized labor
unpopular. Gentlemen Of labor and
gentlemen of management, when we
wash our hands. the right hand washes
the left and the left washes the right.
How about little joint hand washing
to cleanse both sets of hands of monop-
olistic practices? 1t wouldn't be bad
idea, in case you both want to get in
right with the American people"
Now what of the merits of the as
sumption that the competitive system
is better for the American people than