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AMY MAM'S SUIT 1 OVERCOAT
President Taft's Message
gress On Railroads
to the
a'nd
Con-Trusts
(Contlnurd from I'age Eleven.)
than one year from the date of their Issue),
without th previous or simultaneous pay
fr.ent 'o such corporation of not less than
the par value Of such bonds, or other obli
gations, or. If Issued at less than their
par value, then not without such payment
of the reasonable market value of such
bond or obligations as ascertained by the
Interstate Commerce commission ; and that
r.b property, services, or other thing than
money, shall be taken In payment to such
(Jarfler corporation, of the par or other re
quited price of such stock, bond, or other
obligation, except at the fair value of such
i'foperty, ervlcesor other thing as ascer
tained by the commission; and that such
act , shall also contain provision to pre
vent the us by the Improvident or Improper
trtfcua of notes maturing at a period not
exceeding twelve months from date. In such
manner as to commit the commission to
dr bonds In order to retire such notes than
. abould legitimately have been required.
1 Approval of Stock Iaea.
."This act should also provide for the Ap
proval by the Interstate Commerce commis
sion of the amount of stock and bonds to
- hi issued by any railroad company subject
t this act Upon any reorganization, pur
' .tiant to judicial sale or other legal pro
ceedings, In order to prevent the Issue of
stocks and bonds to an amount In excess
f the fair value of the property which is
the subject of such reorganization.
"I believe these suggested modifications
In and amendments to the Interstate com
merce act would make It a complete and
fl'Ctlve measure for securing reasonable
ness of rates and. fairness oi' practices in
tb"i operation of Interstate railroad lines,
without undue preference to any Individual
tt class over any others; and would pr
nt the recurrence of many of the prac
tices, which have given rise in the past to
o much public inconvenience and loss,
i'J'tty my direction the attorney general
Has drafted a bill to carry out the.-,o
feoommendallons, which will be furnislud
tipon request to the appropriate comm'luce
fiicnever .lt may be desired.
'v' . Sitfety Appliance on Cars.
'".'In addition to tne foregoing amend
ments of tho interstate commerce law, the
Interstate Commerce commission should be
given the power,, after a hearing, to de
termine upon the uniform construction of
those appliances such aa sill steps, lad
ders, roof handholds, running boards and
handbrakes on freight cars engaged In
Interstate commerce used by the trainmen
fn the operation of trains, the defects and
lack of uniformity in which are apt to
produce accidents and injuries to railway
trainmen. The wonderful reforms effected
in the number of switchmen and trainmen
(njurcd by coupling accidents, due to the
enforced Introduction of safety couplers,
la a demonstration of what can -be done
It' railroads are compelled to adopt propor
saf'jjy appliances. .
'. Salts lades Liability Act.
."The question has arisen in tho opera
tion of the interstate commerce employer's
liability act , as to whether suit cii be
brought against the employer company In
any- place other than that of lta home
office. - The right to bring the suit unuer
this act should be as eaBy ol enforcement
aa the right of a private person not in the
uympuiix.'s ainploy. to sue on an ordinary
cluini, and proems In such suits should be
turflciHi.ily served If upon the station
agent of the company upon whom service
la authorized to bu made to bind the om-
psny in ordinary actions arieing under the
ltdte laws, 'iilils for both the foregoing
pin posts have been considered by the house
Of representatives and huve been passed
and are now before the interstate com
uTce committee of the senate. I .jarnesliy
Uifcu that they he ei acted Into law.
. banters In Anti-Trust l,aw.
methods of securing a trade monopoly, con
demned In th sconcl section.
legal ana Illegal Methods.
"It Is possible for the owner of busi
ness of manufacturing and snlltnr useful
articles of merchandist'o to oonduct their
business as not to violate the inhibitions
of the anti-trust law and yet to secure to
themselves the benefits of the economics
of management and of production due to
the concentration under one control of
large cnpital and many plants. If they use
no other Inducement than the constant
low price of their product and Its good
Quality to Attract custom and their busi
ness Is a profitable one, they violate no
law. If their actual competitors Hre small
In comparison with the total capltAl In
vested the prospect of new Investments of
capital by other In such a profitable busi
ness Is sufficiently near and potential to
restrain them In the prices at which they
sell their products. But If they attempt by
a use of their preponderating capital and
by a sale of their goods temporarily at
unduly low prices to drive out of business
their competitors, ' or If they attempt, by
exclusive contract with their patrons and
threats of non-dealing except upon such
contracts or by other methods of a similar
character, to use the largeness of their
resouroe and the extent of their output
compared with the total output as a means
of compelllrg custom an frightening off
of competition, then they disclose a purpose
to restrain trade and to establish a mo
nopoly and violate the act,
"The object of the anti-trust law was to
suppress the abuses of business of the kind
described.
No Attack. Jn lirge Capital.
"It was not to Interfere with a great
voluma of capital which, concentrated under
one organization, reduced the cost of pro
duction and made Its profit thereby, and
took no advantage of its size by methods
akin to duress to stifle competition with It.
I wish to make this distinction a em-
"There has been a inurked tendency in
but'lneua in this country for forty years
Ut past toward Combination of capital
tiu plunt in inaiiutacmie, saic and Uanx
yortaiion. Thu moving cause have been
neveial:
' "VU at, It has reuUeied . possible great
rcoiiomles.
"Second, 'by a union of former competi
tors. It ha reduced the probability of ex
cessive competition; und,
"Third, .if the combination has been ex
tensive enough, and certain methods In the
ti'ttmenl of competitors and customers
have been adopted, the combiners have hi
ouied a monopoly und complete control of
prices or rate.
"A combination successful In achieving
Complete control over a particular line of
manufacture has frequently been called 'a
UUst,' I presume that the derivation it
the. word I to be explained by the fact
that the usual method of carrying out the
plan of the combination has been to put
the capital and plants of various Individu
als, firm or corporations engaged In the
s)ne business under the control of trus
tee. Blauens o a Crime.
"The increase lu the capital of a business
for tho purpose of reducing the cost of pro
duction and effecting economy in the man
agement has become us essential in modern
progress a the change from the hand tool
to the maculne. When, therefore, we corue
to Construe the object of congress In adopt
ing the so-called 'Sherman anti-trust' act
in IX'M, whereby in the first sec
tion every -contract combination lu the
form of a truBt or otherwise or conspiracy
In restraint of Interstate or foreign trade
or commerce Is condemned as unlawful and
made subject to Indictment and restraint
by Injunction; and whereby in the second
section every monopoly, or attempt to mo
nopollze, and every combination or conspir
acy with other person to monopolize any
part of interstate trade or commerce. Is
denounced as Illegal and made subject to
similar punishment or restraint, we must
infer that the evil aimed at wus not the
mere blgneps of the enterprise, but It was
the aggregation of capital and plants with
the express or Implied Intent to restrain
' Interstate or foreign oontmerce, or to mo
nopolise It in whole or In part.
Test Is Trade llestrnint.
"Slonopoly destroy competition utterly,
and the restraint of the full and free oper
ation of competition has a tendency to re
strain commerce and trad. A combina
tion of persona, formerly tugaged in trade
a partnership er corporations or other
wise, of course eliminate the competition
that .-existed between u.cm; but the Inci
dental ending of that competition Is nut to
be regarded a necessarily a direct restial.i'.
of trade, -unless of such an embracing
character that the Intention and effect tj
i M train trade are apparent from the clr
" enmstances, or are expressly declared to
be, the object of the combination. A 4iiere
Incidental restraint of trade and competi
tion 1 not within the Inhibition of the act,
tnli it I where the combination or con
spiracy or contract Is Inevitably and di
rectly a substantial restraint of competi
tion, and o a restraint of trade, that the
statute la violated.
"The second section of the act 1 a sun
' pUment of the first. A direct restraint of
trade, uch a Is conden nod in the first
ctlont U successful and useii to suppress
sutr.jK tl'.lon, i on of ti.e cjm.i.on st
lunatic as possible, because I conceive that
4 nothing Could hannen mnrn rioatrnnHv
the property of this country than the loss
of that great economy In production which
has been and will be effected In all manu
facturing lines by the employment of large
capital under one management. I do not
mean to say that there I not a limit be
yond which the economy of managemen'
by the enlargement of plant ceases; and
where this happen and combination con
tinue beyond ' thja point, the very fact
shows intent to monopolize and not to
economize.
"The original purpose of many combln
tlons of capital In tMs country was n"
confined to the legitimate and proper, ob
ject of reducing the cost of production. O"
the contrary, the history of most trade-
will show at times a feverish desire to unite
by purchase, combination or otherwise all
the plants In the country engaged in the
manufacture of a particular kind of goods.
The Idea was rife that thereby a monopol,
could be effected and control of prices
brought about which would insure the profit
of those engaged In the combination. The
path of commerce I strewn with failures
of such combinations. Their projectors
found- that the union of all of the plants
dl i not prevent competition, especially
where proper economy had not been pur
sued In the purchase and in tha conduct
of the business after the aggregation was
complete. There-were enough, however, of
such successful combinations to arouse the
tear of good, patriotic men as to the re
sult ot a continuance of this, movement to
ward the concentration in the hands of a
tew qf the absolute control of the prices
of all ikanufactuied products.
agar Trost Decision.
"The - anti-trust statute wus passed In
18WJ and prosecution were soon oeguu un
der li. in tne ease o the L'niuu stait
L.kuih:t Knight, Known as the 'eiugar iru&t
case' ut cause ot tne narrow scupd of ti.e
pleadings, m combination aougnt to ti
eujoinou was neiu not to Ue inciuued wulun
me piohiuuiuii ot die act, because tile
atellueiu uiu HOI no e,eouu tne meie ac
quisition ol manuiacluriug plant for the
ivliiuug ot sugai, anu uiu nt incuua thai
ot a uiiecl aim nueiiueu resliaiui uon
.laUc unu commerce 111 the saie una uu
.neiy oi sufeui- ucroos si me Uoanuanes lu
loitifcii tiaue. 'itie result of tne bug
.l'us,. case uas not happy. In mat it gav
omcT companies ana combinations sees.ni,
- i. miar meuioo. oi inaauib piotit by c
.aoiibiiing' an ausoiuto conuui ana monopi)
.u a pui'liuuiar tine ot manutaciuio u
uui'ce oi immunity against piusecutiOub
.ii uie leueial JuiisuiuUoii, anu Wnera tua.
jyiiisuiciiun i bulled lu rasped to a bus.
Aos wuicii IS necessarily commensurate
., iui Ola boundaries ot Uio couuny no
iiu.o picsecuiiou is ubie to supp.y tne
.lueUe-u mucuiiiery lor adequate restrain.
.t pUlllSlllllelll.
roi. owing tne eiugar trust decision, how-
-i, iiiere nvu t.u,uj a b.ow uu. ceriani
course ot juuicl. oihposiiion case ni-
iug a cuu.n.1 ueiion oi tne anii-lruol
ouilUie anu Us uppiicailou uiuil iiovv me
oiu 10 euioiucu eVeiy puase of lna. m
..men can .acueany oo pieueiiluu lo tne
Aiutntaii puu.ic ui.u lu me government
aciieii. xuey snow uiai Hie ami-lrusi
ad lias a Wluo scope unu tipile to many
woutbii.anuiis hi autuai operation, rendenug
biiein uiwatviui kiiu HUujece io iiiaicliueiu
anu re'sei'ailiL.
'iltiuuiwuic" livstrutut Sot in l.uiv.
' H.e sui.reiuu eoaii In bcVciai oi ilo uu-
cisiuns Ua ueciuieu to leaa lluu tne siaiu
uie HiriU 'Ulire-atf aliuo.e' ulOl tt 'Itfa) i Hill J
w( Uaue' On Ilia fclunu uiai llle jrtuu
applies lo an I caimans aim doe no i.i
.viiu iO leave iu me court tne uiscreuon to
aeicriuiiie vwittt la a reasonable rebiiaint o.
ii.ue. inu expi'iSbloii resiruiiu oi trauc
KJllicS tlUill Vila COllllllOfl laW, ttllU 111 COlll-
tein .aw meiu wo.e eel lain covenants uv
;,u.ii.a. to n.e tMliuia out oi many o
i.iniii iilhiMbia v. nlcu eie said to
o cwteiiuiik lu put nal lesnailii ul traua,
..u vvcie i.eiu io uu eiuurcibw uccuUoe
,L.uji.u.y auapieu lo viia performance
oi ui mauy or prmeiai coiu.ac.s. am,
uhuo.' liu eiieia language usea oy tne
wUolemo court in buveiai cases ii wou.u
a.u.ii that eteti sucn niciueiuai covenauib
.i lcsiiauil oi in.eibtaie tiuue were Wiiuiti
.no iiiiiioiuoii ui tne siaiuie auu must u
ciiuiiiuieu. in eraer lo avert sucn a re
sult I uav tuougnt auu saiu tnae ii uniu
uu Wen lo aiueliu Hie slaiuies ot tne siuU
lu exciuue sucn covenant trom it con
ueiiiuatioli. a ciuse exa ml nation of tne
idler uecision of me couil, however, allow
quae ciear.y in case pieseiuing tne exact
question mat suen inciileiiiai restraints ot
eraue are tieiu not to be witmu.the law
slid aie excluded oy in general statement
.iiai u b within the siatut tne erieci
uii4i tne nad ot ihe reairaiut must be 01-
tci auu nut niereiy Inciaenial or indirect,
iuu iieceasity, therefore, for an amendment
oi ii.e siaiui so a lo exclude these Incl
..eiuul and beuvflclal coveiiams In restraint
e( tiaau heid at ciftnmon law to be rca
..,iu., uim not exist.
Trivial Case Uarladed.
"In some of the opinion of the federal
Judge liter have been Intimations, hav
ing the effect, if sound, to weaken the
force ot the statute by including within
it absurdly unimportant combination and
arrangements and auggeatlng, therefore,
th wisdom of changing it language by
or control prices. A reading of the opin
ions of the supreme court, however, makfs
the change unnecessary, for they exclude
from the operation Of the act contracts
affecting Interstate trade In but a email
and Incidental way and apply the statute
only to the real evil aimed at by congress.
"The statute has been on the statute
book now for two decades, and the su
preme court in more than a dozen opin
ion has construed It In application to va
rious phases of business combinations and
In reference to various subjects ' matter.
It has applied It to the union under one
control of two competing Interstate rail
roads, to Joint traffic arrangements be
tween several Interstate railroads, to pri
vate manufacturers engaged In a plain at
tempt to control prices and suppress com
petition In a part of the country, includ
ing a dozen states, and to many other
combinations affecting interstate trade.
The value of a statute which Is rendered
more and more certain in Its meaning by
a series of decisions of the supreme court
furnishes a strong reason for leaving the
act as It is to accomplish Its useful pur
pose even though. If It were being newly
enacted, useful suggestions as to change
of phrase might be made.
Duty of lb vest I nation
"It Is the duty and the purposa of the
executive to direct an Investigation by the
Department of Justice through tho grand
Jury or otherwise, Into the history, organ
izatlon and purposes of all the Industrial
companies witli respect to which there Is
any reaxonable ground for suspicion that
they huve been organized for a purpose
and are conducting business on a plan
which Is in violation of th anti-trust low.
The work Is a heavy one, but it Is not
beyond the power of the Department of
Justice, If sufficient fund are furnished,
to carry on the Investigations and to pay
the counsel engaged in the work. But
such an Investigation and possible prose
cution of corporations whose prosperity or
destruction affects the comfort not only
of stockholders, but of millions of wage1
earners, employes and associated trades
men must necessarily tend to disturb the
confidence of the business community, to
dry up the now flowing sources of capital
from Its places of hoarding and produce a
halt In our present prosperity that will
cause suffering and strained circumstances
among the Innocent many tor the faults
of the guilty few.
Plea for Federal Charter.
The question which I wish. In this mes
sage, to bring clearly to the consideration
and discussion of congress is whether, to
avoid such a possible business danger,
something cannot be done by which these
business combinations may be offered a
means, without great financial disturbance,
of changing the character, organization
and extent of their business Into one within
the line of the law under federal control
and supervision, securing compliance with
the anti-trust statute.
"Generally .In the industrial combinations
called 'trusts' the principal business 1 the
sale of goods In many states and in foreign
markets; In other words, the Interstate
and foreign business far exceed the busl
ness done in any one state. This fact will
Justify the federal government in grant
ing a federal charter to such a combina
tion to make and sell In Interstate and for
eign countries the product of useful manu
facture and such limitation as will secure
a compliance with the anti-trust law. It Is
possible so to frame a statute that while
It offers protection to a federal company
against harmful, vexatious and unneces
sary Invasion by the states, it shall subject
it to reasonable taxation and control by
the states, with respect to It purely local
business.
Cannot Recognise "Good" Trust.
"Many people conducting great businesses
have cherished a hope and a belief that In
Borne way or other a line may be drawn
between 'good trusts' and 'bad trusts,' and
that It Is possible by amendment to the
anti-trust law to make a distinction under
which good combinations may be permitted
to organize, suppress competition, control
prices and do It all legally If only they do
not abuse the power by taking two great
profit out of the business. They point with
force to certain notorious trusts as having
grown into power through criminal meth
ods, by the use of Illegal rebates and plain
cheating, and by various acts utterly In
violation of business honesty and morality,
and urge the establishment of some legal
line V' separation by which 'criminal
trusts of this kind can be punished, and
they, on the other hand, be permitted under
the law, to carry on their business.
Now the public and especially the busi
ness public ought to rid themselves of the
Idea that such a distinction Is practicable
or can be Introduced Into the statute. Cer
tainly under the present anti-trust law no
such distinction exists. It has been pro
posed, however, that the word 'reasonable'
should bo made a part of the statute and
then It should be left to the court to say
what 1b a reasonablo restraint of trade,
what Is a reasonable suppression of com
petition, what Is a' reasonable monopoly.
I venture to think that thl Is to put into
the hand of the (he court a power Im
possible to exercise on any consistent prin
ciple which will Insure the uniformity of
decision essential to Just Judgment, it Is
to thrust upon the courts. a burden that
they have no precedents to enable them
to carry, and to give them a power
approchlng the arbittary, the use of which
might invol 'e our whole Judlclul system in
disaster.
Methods Formerly Lewal.
"In considering violation of the anti
trust law, wa eught, of course, not to
forget that thai law makes unlawful
methods of carrying on business which
netore its passage was regarded a
evidence of business, of sagacity and
success, and that they were de
nounced In this act. not because of their
lntrlnslo morality, but because of the dan
gerous result toward which they tended,
the concentration of Industrial power In
thilr hands, leading to oppression and In
justice. In dealing, therefore with many
of the men who have used the methods
condemne-l by the statute for the purpose
of maintaining a profitable business we
may well facilitate change by them In
the method of doing business and enable
ineui io ormg u back into the ion of
lawfulness without losing to the country
the economy of management by which In
our domestic trade the cost of production
has been materially lessened and In com
petition with foreign manufacturers our
foreign trade has been greatly Increased.
inrougn an ou consideration of thl
giav question, however, w must Insist
that the- suppression of competition, the
controlling of prices, and the monopoly
or attempt to monopolise in interstate com
merce and business are not only unlawful.
but contrary to the publio gocd, and that
they must be restrained and punished until
ended.
Law for Federal Corpora tloaa.
"I therefor recommend the enactment
by congress of a general law providing for
the formation of corporations to engage in
trade and commerce among the state aiid
with foreign nation, protecting Diem from
undu interference by th stales and regu
In Our Entire Stock
Suits worth from $20 up to
$37.50 blues, blacks, fancies,
for dress or business wear, all
choice fabrics, styles & patterns
j
In Our Entire Stock
Auto Coats, Dress Coats,
Rain Coats, Top Coats that
sold from $20 to $40 no bet
ter garments ever produced.
All are highest class fabrics and tailoring, all are garments bought for our regular fall and winter trade rind which we
guarantee in every respect.
1,000 Men's Suits and 850 Men's Overcoats-
that sold regularly to $18.50;
pnoh &a
Youth's Suits
at Half
1,500 Boys' Suits In all sizes from 6 to 16
years, and worth up to $0.50 fp
on sale in one lot M
iit. . ' GeaB'
Don't miss this sale Saturday, the greatest real clothing bargain event of the season. Not a garment offered but is of abso
lutely dependable quality and strictly up-to-date styles and colorings.
Come Early
Fornglt Try mjayden's First
it
Pays Seem
Come Early
those abuses which have arisen under sta.e
control. Such a law should provide for th?
issue of stock of such corporation to un
amount equal only to the cash paid in on
the stock; and If the stock De issuea
property, then at a fair valuation, ascer
tained under approval and' supervision of
federal authority. a(ter a full and compile
disclosure of all the fact pertaining to :he
value of uch property and" tne inier,
therein of the persons to whom it Is pro
posed to issue stock In payment of such
property. It should subject the real and
personal property only of each corporation
to the same taxation a is Imposed by the
gute within which It may b B'tuntd
upon other similar property located therein,
and It should require uch corporations to
file full and complete report of their -P
eratlon with the Department of -om-merce
and Labor at regular Merv.
'Corporation, organized under this i
should be prohibited from acquiring n.
holding stock In other corporation, ex. pt
for special reasons, upon approval by h.
proper federal authority, thu. avoiding the
creation under national auspices of the
holding company with sut,oru..mv "
ations In different states, which Ha. been
such an effective agency In tho creation of
the great trust and monopolies.
N,c.llr for national Control.
If the prohibition of the antl-lrust et
mhint(on In rt.tralnt of trate
. iu ..nlil
is to be effectively enioicvu. - ----
that the national government shall provide
or the creation of national corporation,
to carry on a legitimate business throtuh
out the United States. -he conflict tng aw
of the different states oi uo
respect to foreign corporations make It
dtmcult. If not impossible, for one corpor
' ,.. i.i their requirements o
anon to coiui'u .
hn. lies in a u""11
us to carry u
different state
"To the uggetion
that this proposal of
. tn.lnutr'.nl mm-
fedfral Incorporation . --
XnSn: "continue .nutria,
ables under federal protection, it should
he .aid that the measure contemplated
ue euiu or.ii. trust law
not repeal tn. on--"-"" m
not to be framea .
the wmns which
law to prevent, nm m
and advance ot
does
and Is
thm'.nf: of
nurnose of that
. . .. ...... onntlnuance
U l"l" wri..ir.r wllhOUt
highest , Industrial b"-!
the
...i.. i.,riiNtrtp.l abuse.
pBr'" " . ....! incorporation law
will
limi'Uytis application to aeriou combl- j lat.ng th' lr activity , .i a lo prevent l
naliu:. with Intent to a. ruin coinpetltio.i mcuricnce, under national auspice, of
be Z PoA T t y those who believe that
Should be completely broken up and
their property d-.troyed. 'It wm ne oo
posod second, by those who doubt the
cPonBm.t.ona,.ty of ...ch Tu
tlon aV even If it I valid, object to
lu tort great federel centralisation. 1 will
b. oed. third, by those Who will Insist
that a mere voluntary Incorporation I ke
th" will not attract to It. acceptance the
worst of the offender, again.! the anti
Trust .tatute. and who will therefore pro
. instead of It a yt-m of compul-orv
licenses for all federal corporation, en
gaged In interstate business.
Answer to Objector.
It u. con.ider these objection. In their
order. The government I. now trying to
dlolve some of these combination, and
it Is not th Intention of the government
to desi.t in the least degree in It. effort
to end those combinations which are today
monopolisms tho commerce of th a country;
that where it appears that the acquisition
and concentration of property go to the
extent of creating a monopoly or of sub
stantially and direotly restraining inter
state commerce it Is not the Intention of
the government to permit this monopoly
to exist under federal incorporation or to
transfer tothe protection of the federal
government of the state corporations now
violating the Sherman act. But it s not.
and should not be, the policy of the gov
ernment to prevent reasonablo concentra
tion of capital which is necessary to the
economic development of manufacture,
trade and commerce. This country has
rhown a power of economical production
that has astonished the world, and has
enabled us to compete with foreign manu
facturers In many markets. It should he
the care of the government to permit such
concentration of capital, while keeping open
the . avenues of Individual enterprise and
the opportunity for a man or corporation
with reasonable capital to engage In busi
ness. If we would maintain our present
business Kiiprjmacy we should give to in
dustrial cor.ocrn an opportunity to recog
nize and t4 concentrate their legitimate
capital In a federal corporation and to
carry on their large business within the
lines of the law.
Constitutionality of Act.
'"Second There are those who doubt the
constitutionality of such federal Incorpora
tion. The regulation of interstate and
foreign commerce Is certainly conferred in
the fullest measure upon congress, and if
fur the purposi of securing In the most
thorough manner that kind of regulation,
congress ahull Insist that 1( may provide
and uulhorlze certain agencies to carry on
that commerce, it would seem to be within
Its po r. This has been distinctly affirmed
with respect lo railroad companies deliig
an Interstate business and. Interstate
i bridges. The power of Incorporation has
been exercised by congress and upheld by
th supreme court In this regard. Why
then, with respect to any other form of
Interstate commerce like the sale of goods
act oss state boundaries and into foreign
commerce, may the same power not be
asserted-' Indeed, It Is the very fact that
they carry on Interstate commerce that
makes these ureat Industrial concerns sub
ject 10 federal prosecution and control.
How far as Incidental to the carrying on of
that commerce It nay be within the power
of the federal government to authorize the
tnanutai tui c of goods. Is perhaps open to
dlscvsslon, though a recent decision of the
supreme court would stein to answer that
question In the affirmative.
Concentration of I'ower.
"Even those who are willing to concede
that the supreme court may sustain such
federal Incorporation are inclined to oppose
it on Ihe ground of It tendency to the en
largement of the federal power at the ex
pense of the power of the state. 'It Is a
sufficient answer to this argument to say
trat no other method ran be suggested
which oflers federal protection on the one
hand and close federal supervision on t lie
otl.er hand ot these great organization,
that are in fact federal because they are as
wide a the country, are entirely unlimited
in their business by state lines. .Nor Is the
centralization of federal power under tills
act likely to bo excessive. Only thu largest
corporations would avail themselves of
suih a luw, because the burden of complete
ftdeial supervision and control that must
certainly be imposed to accomplish the pur
pose of the Incorporation would not be ac
cepted by an ordinary business concern.
The third objection that the worst of
fenders will not accept the federal incor
porations, Is easily answered. The decrees
of Injunction recently adopted In prosecu
tions under tho anti-trust law are so
thorough and sweeping that the corpora
tions affected by them have but three be
fore them.
Tnree tonnes Open.
"First they must resolve themselves
Into their component parts in the different
states, with a consequent loss to them
selves of capital and effecting organisa
tions and to the country of concentrated
energy and enterprise, or,
"Second In defiance of law and under
some secret trust they must attempt to
continue their business In violation of the
federal statute ind thus Incur the penal
ties of contempt and bring on an inevitable
criminal prosecution of th Individuals
named In the decree and their associates: or
"Third They must reorganize and accept
In good faith the federal charter I suggest,
"A federal compulsory license luw,
urged a a substitute for a federal Incor
poration law, , Is unnecessary except to
reach' that kind of corporation which, by
virtue of the considerations already ad
vanced, will take advantage voluntarily
of an Incorporation law, while the other
state corporations doing an Interstate busi
ness do not need the supervision or the
regulation of a federal license and would
only be unnecessarily burdened thereby.
"The attorney general, at my suggestion,
has drafted a federal tncoi poratlon bill,
embodying the views I have attempted to
set forth, and It will be at the disposition
of the appropriate committees of the con
gress. "WILLIAM It. TAFT,
"The White House, January 7, 1910."
tlcncss, "I use it to screen my eyes from
the vulvar gaze of the strap hangers."
You may also recall the "I-useU-to-know-you-when"
friend.
Taking your delicate hand In his wres
tler grip, he tries to wrench your urm off
at the root, meanwhile murmuring fer
vently: "Why, are you here now?"
It hurts, but be polite, riay:
"Oh, no. This Is my uncle her now. I
am at present in Singapore,"
But sweeter far than each, than most,
than all of theso is the past midnight
derelict. He storms upon the porch and
rings you out of bed at 2:15 a. m. You
break your knees shivering, stub your Joint
toes on eleven chairs, and finally reach
the door, where you note with some satis
faction that the Illuminated door number
Is working. Wondering whether lta the po
lice or a telegram, you open.
"Is this 4499?" he says. Innocently, while
the ten below wind breaks off your teeth,
lie civil. Say:
"Deur, no, but 1 can't blame you
the mistake, Beeing that my number
3215. Won't you come In and get
Good morning." Kansas City Star.
Don't be afraid to give Chamberlain'.
Cough Remedy to your children. It is per
fectly safe.
I'nder Hiamlnsllun,
"Do you-know tiie prisoner well?" asked
the attorney.
"Never knew him 111," replied the witness.
"Did vou ever see the prisoner at the
bar?"
Took many a drink with me," was th
reply.
now long have you known this man?"
"From two feet up to rive reel ten. ,
Stand down! yelled the lawyer in ai
said he. "IT; ait down!
rust.
lur' Af II
stand up."
Officer, remove llitti. man.
And he did. litlsbui g Chronic!
JUST NATURALLY DROP IN
Some of the Dally' Visitor 'Whose
Want l'roroke Incidental
Iteinarka.
Speaking of pests, there' the visitor who
calls on you at the office, stands around
your desk, making conversation on unim
portant topic, while you wait, with your
hand on the telephone, for him to go, and
asks: "Are you busy?"
The proper answer Is:
"Oh no! I am not busy. They Just have
me here because I nm ornamental and
have such an engaging personality. I draw
a salary for entertaining acquaintance at
the office."
Also the friendly soul who approach
you when you are leading and engage you
In conversation. "Maybe I am Interrupting
you?" he suggests, noticing that you are
using one finger for a book mark, while
you keep up un Indifferent pretense of ln
terest. And if you are a polite as you
should be you respond:
"C'ertiilnly not. I am Just holding the
nlhce for a friend who has been called out
of town for a few days."
One iiilnht also rote the long-necked per
son who slis behind you on the car, cran
ing his neck to see your paper. When he
finally obstructs your view if the new.,
juu look a little peevish, and ho says:
"Do you read the Baioo?" A
"Oh no," you answer, with much fen-
7
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