Bemidji Daily Pioneer Newspaper, December 6, 1911, Page 7

A} e MESSAGE OF THE PRESIDEN (Continued from Page 6.) continuance of the same old single con- trol of all the companies into which the trust has by decree been disinte- grated. This is erroneous and is based upon the assumed inefficacy and innoc- uousness of judicial injunctions. The companies are enjoined from co-opera- tion or combination: they have differ- ent managers. directors, purchasing and sales agents. If all or many of the numerous stockholders. reaching into the thousands. attempt to secure concerted acticn of the companies with a view to the control of the market their number is so large that such an attempt could not well be concealed. and its prime movers and all its partie- ipants would be at once subject to con- tempt proceedings and imprisonment of a summary character. The immedi- ate result of the present situation will necessarily be activity by all the com- panies under different managers. and | then competition must follow or there | will be activity by one company and stagnation by another. Only a short time will inevitably lead to a change in ownership of the stock, as all op- portunity for continued co-operation must disappear. Those critics who speak of this disintegration in the trust 8s a mere change of garments have not given consideration to the inevitable working of the decree and understand | little the personal danger of attempt- ing to evade or set at naught the sol- emn injunction of a court whose object is made plain by the decree and whose fnhibitions are set forth with a detail end comprehensiveness unexampled in the history of equity jurisprudence. Voluntary Reorganizations of Other Trusts at Hand. The effect of these two decisions has led to decrees dissolving the combina- tion of manufacturers of electric lamps, a southern wholesale grocers' association, an interlocutory decree against the powder trust, with direc- | tions by the circuit court compelling dissolution. and other combinations of a similar history are now negotiating ‘with the department of justice looking to a disintegration by decree and re- organization in accordance with law. It seems possible to bring about these reorganizations without general busi- ness disturbance. Movement For Repeal of the Anti- trust Law. But now that the anti-trust act is seen to be effective for the accomplish- ment of the purpose of its enactment we are met by a cry from many differ- ent quarters for its repeal. It is said to be obstructive of business progress. to be an attempt to restore old fash- ioned methods of destructive competi- tion between small units and to make impossible those useful combinations of capital and the reduction of the cost of production that are essential to con- tinued prosperity and normal growth. In the recent decisions the supreme court makes clear that there is noth- ing in the statute which condemns combinations of capital or mere big- ness of plant organized to secure econ- omy in production and a reduction of its cost. It is only when the purpose or necessary effect of the organization and maintenance of the combination or the aggregation of immense size are the stifling of competition, actual and potential, and the enhancing of prices and establishing a monopoly that the statute is violated. Mere size is no sin against the law. The merging of two or more business plants necessari- 1y eliminates competition between the units thus combined, but this elimina- tion is in contravention of the statute only when the combination is made for purpose of ending this particular com- petition in order to secure control of and enhance prices and create a mo- nopoly. Lack of Definiteness In the Statute. The complaint is made of the stat- ute that it is not sufficiently definite in its description of that which is for- bidden to enable business men to avoid its violation. The suggestion is that we may have a combination of two corporations which may run on for years and that subsequently the at- torney general may conclude that it was a violation of the statute and that which was supposed by the combiners to be innocent then turns out to be a combination in violation of the statute. The answer to this hypothetical case is that when men attempt to amass such stupendous capital as will enable them to suppress competition, control prices and establish a monopoly they know the purpose of their acts. Men do not do such a thing without baving it clearly in mind. If what they do is merely for the purpose of reducing the cost of production, without the thought of suppressing competition by use of the bigness of the plant they are creating, then they cannot be convicted at the time the union is made, nor can they be convicted later unless it happen that later on they conclude to sup- press competition and take the usual methods for doing so and thus estab- lish for themselves a monopoly. They can in such a case hardly complain if the motive which subsequently is dis- closed is attributed by the court to the | original combination. New Remedies Suggested. Much is said of the repeal of this statute and of constructive legislation intended to accomplish the purpose and blaze a clear path for honest mer- chants and business men to follow. It may be that such a plan will be evolved, but I submit that the discus- sions which have been brought out in recent days by the fear of the con- tinued execution of the anti-trust law have produced nothing but glittering generalities and have offered no line of distinetion or rule of action as defl ' nite and as clear as that which the su- preme court itself lays down in en- forcing the statute. Supplemental Legislation Needed, Not Repeal or Amendment. I see no objection, and indeed T can see decided advantages, in the enact- ment of a law which shall describe and denounce methods of competition which are unfair and are badges of the unlawful purpose denounced in the anti-trust law. The attempt and pur- pose to suppress a competitor by un- derselling him at a price so unprofita ble as to drive him out of business or the making of exclusive contracts with customers under which they are re- quired to give up association with oth er manufacturers and numerous kin- dred methods for stifliing competition and effecting monopoly should be de seribed with sufficient accuracy in a criminal statute on the one.hand to enable the government to shorten its’ task by - mtine single misdemean- ors inst =1 ¢” - ac:tire conspiracy and $25.00 Suits......... 20.00 1650 20.00 B 18.00 B 16.50 “ Boys Overcoats One lot Boys Coats, values to $10.00. Choice David Adler & Sons Suits Fall 1911 Styles ..... e 918,50 David Adler & Sons Overcoats $25.00 Overcoats PLUSH LINED COATS $20.00 Plush Lined, Fur Collar Coats $14.75 on the other hand fo qer&e' the pu of pointing out more in ' detajl the business community what must te avoided. Federal Incorporation Recommended. In a special message to congress on Jan. 7. 1910, 1 ventured to point out the disturbance to business that would probably attend the dissolution of these offending trusts. I saigd: “But such an investigation and pos- sible prosecution of corporations whose prosperity or destruction affects the comfort not only of stockholders. but of millions of wage earners. employees and associated tradesmen. must neces- sarily tend to disturb.the confiderce of the business community. to dry up the now flowing sources of capital from its places of hoarding and pro- duce a halt in our present prosperity that will cause suffering and strained circumstances amoeng the innocent many for the faults of the guilty few. The question which 1 wish in this message to bring clearly to the con- sideration and discussion of congress 14.95 . 12.05 o $16.05 14.95 her. in order to aveid such v, a | possilile business danger. sonjething cannot be done by ‘which these husi- | ness. combinations may be offered a Ineans, without great financial dis- turbance. of changing the character. organization and extent of their busi- ness into one within the lines of the vision, securing compliance with the anti-trust statute. (Continued * tomorrow). F. JOSLYN, . frAxiERMIST i Office at Reed's Studio | Bemidji = * Minnesota T. BEAUDETTE Merchant Tailor Ladies' and Gents' Suits to Order. French Dry Cleaning, Pressing and Reparring s Specialty. 315 Beltrami Avenue Suits Made to Order Our customers in thefuturecan have their suits the price of ready=made. law under federal contrql and super- It not let us build you one on monthly” payments or we will pay off your old mortgage-in the same way. ; ~l ; : . Beltrami Co. Saving J. P. LAHR, Pres. Offices, Rooms 5 and 6, O’Leary.BOwser Block and Building Association W. C. KLEIN, Secy. Subscribe for The Pioneer Closing Out Sale! Of Mens and Boys Suits and Overcoats We are going out of the READY MADE suit and overcoat business, the crowded condition of our store makes this move necessary. Commencing THURSDAY MORNING, DEC. 7th, at 8 a. m. Our splendid stock of this season’s suits and coats will be placed on sale at a price to move Not a suit or coat will be reserved. Every Garment will be sold with our Usual Guar- antee. Each and every garment from our own stock which is the cleanest up-to-date stock of clothing in Bemidji. David M. Pfalzer & Co’s. Young Men and Boys Suits Young men’s $18.00 suits $13.95 Young men’s $1500 suits $11.05 Young men’s $12.00 suits $9.05 Young men’s $8.00 suits $5.05 BOYS KNEE PANT SUITS $10.00 Suits........... g5 el $6.05 800 6.00 “ ... . 500 400 - 3.00- e 220 This lot con- tains about one dozen left over suits. Values to $25. Choice $9.95 = =