many points involved, but I have faith that with further study of this subject by the American people that the facts will become plainer and they will appreciate that

Through the ages one increasing purpose runs,

And the thoughts of men are widened by the process of the suns."

STEPHEN P. CORLISS.

New York Traveling Men's Association.

The gathering in Chicago under the auspices of the Civic Federation to discuss the all-absorbing subject of "Trusts" will doubtless present nearly as many different opinions as there are delegates assembled. And while it will not be possible to formulate any controlling decision upon the subject, there will be ideas, opinions and suggestions presented which will prove to be of value in determining, per chance, a solution of the trust problem, through regulation, rather than at an attempt of absolute prohibition. The evolution in business life that has led to a legitimate combination of a number of concerns in the same industry cannot be considered as the growth of a day nor the reasons leading to its fulfillment ignored. The possibility of their creation is attributed to various causes. A number of students of the question declare that the tariff, prohibitory in many of its classifications, is the foundation upon which the so-called trusts are enabled to successfully build.

Others contend that competition is the chief factor, the primary reason for the formation of so many industries under one general head. The former methods of conducting business made necessary large expenditures of money in administration and distribution-by the smaller corporations, firms and individuals seeking a market for their productions. In the new order of affairs there is a large saving of these expenses. It is undoubtedly true that this transition will cause a number of persons to lose their positions, yet the proposition or movement must be considered from the standpoint of its effect upon the community rather than the individual. The legitimate results that should accrue from the federation of a number of manufacturers for instance, under a general management, are an improvement in their methods of business in every way, reducing waste to a minimum, producing a better article than before for the same or less money, no attempt being made to control production or output, not capitalizing in excess of their business needs. If this plan is followed, it cannot prove much of a menace to our business econ

omy. A large part of the friction that has existed between capital and labor, causing strikes, lockouts and riots, was the result, in part, of overproduction. The product was unloaded at a loss, the owners tried to recompense themselves by cutting the wages of their workmen. This evil ought now to be remedied. While It is unquestionably true that capital is more strongly entrenched than ever before, the same can be said of the labor unions, these are having greater influence than heretofore, because they are choosing more intelligent and conservative leaders, who with advanced ideas recognize the law of mutual responsibility. The new combines, honestly capitalized and honestly conducted, ought to be in a great degree fruitful of peace and harmony in the industrial life of our country.

A recent writer has stated: "That the conquests of the future are to be won by the industrial armies." It is a fact that we lead the world in labor-saving machinery and in intelligent workmen to operate it. The swift evolution in our manner of doing things in the manufacturing and mercantile economy of our land will place us far ahead of the rest of the world in this direction, as the wildest imagination can dream of. In these advanced movements it is not fair to impugn the motives of those engaged nor to declare everything as evil because it upsets or changes former methods or old directing forces. It is a matter to be closely studied, for the true thing in the new era has come to stay, and the question of the hour is, how shall the changes necessarily a result of the new environment best be made that they conserve and harmonize conflicting interests? Undoubtedly these at first will loom up mountain-like in their proportions, but will silently disappear with experience in the new life and its practical demonstration of the undeniable fact that if it shall endure the employer, employee, and consumer must be harmonious elements of its existence.

Opponents of this transformation in our industrial life naturally say that the large body of consumers will be the sufferers, that as the combinations will control products they will raise prices, and that wages will be at their mercy; facts at present and probabilities of the future, however, do not indicate this line of conduct. Those favoring industrial concentration argue that it ought to strengthen our industries and be a safeguard against financial difficulties, when compactly organized, properly conducted and honestly financed; that holding in check reckless competition will curtail unwise credits and overproduction, that it will be easier to regulate the supply to the demand, that selfinterest will best be subserved by disposing of products at fair

prices, that when this consolidating of our producing and distributing forces becomes an economic fact, instead of dwarfing individuality, it should present greater incentives and rewards for the exercise of intelligence, energy and enterprise of the individual.

So far we have been considering the phase of combinations, corporations, etc., based upon principles of integrity in conception and honesty of purpose in administration. But, there are aspects and conditions prevailing in other corporations, large and small, diametrically the opposite to the line of conduct set forth by those that may be considered in any way a benefit to our people as a whole. These so-called trusts are of every conceivable kind, capitalized at large sums far beyond any possible demands of production, issue great blocks of preferred and common stock, knowing that a dividend can never be paid upon it, but with tempting promises and smooth persuasion availing themselves of the speculative craze so rampant, to dispose of the stocks to a gullible people. Promoters and schemers are in the main responsible for this sort of a combine, relying upon the sale of stock for their pay for creating the concerns. Several of the states of our union issue charters to all corporations applying for them, without discrimination, accept the fees, require no guarantee of good faith to the public; so many gigantic unscrupulous corporations are started upon a career that can have but one ending, and that is failure. Along its track are the wrecks financially of ignorant, innocent investors, who were led to believe in the soundness of the corporation because the state sanctioned its birth, and its directors, men of reputation. Of course the illegitimate trust, corporation, combination or whatever it may be called, ought to be an exceptional thing, still there should be such safeguards thrown about and such guarantees exacted, that the creation of any will be a misdemeanor. So many industrial combinations are so largely capitalized and present such a bonded indebtedness that they will no doubt create suspicion in the minds of the employed as to the possibility of their becoming paying institutions; the sequel to suspicion is unrest, dissatisfaction, revolt; this must be avoided by regulation if possible, by control if necessary.

So much regarding the abuse of trusts. As to the remedies: First of all the subject should be kept divorced from politics. It is not at all necessary that there shall be a plank in the platforms of both parties declaiming against trusts, for the party holding the last convention will simply exceed the force of language used by the other in denunciation of them. It seems to me that the state, issuing a charter to a corporation authorizing directly or