Newspaper Page Text
4
THE ATLANTA GEORGIAN AND NEWS.
•TUESDAY, DECEMnER I.
Continued from Page On?.
p rove
rally no Interstate business save
a* wax conducted by water, and
hr national government at once
••lr<i tn regulate in thorouKli(to
rn* anti effective fashion. Conditions
have now so wholly chanaed that the
interstate commerce by water la Insig
nificant compared with the amount that
tore by land, and almost all him busi
ness concerns are now encased In In
terstate commerce. As a result, It can
he but partially and Imperfectly con
trolled or regulated by tho action of
any one of the several etatos; such re-
•I ’n Inevitably tending to he either too
iroktlc or else loo laa, and In e'llior
•see Ineffective for purpooe# of Justice.
Only the national aoverntr.en: can In
horoughgolnr fashion exercise the
needed control. This does not mean
hat there ehould he any extension of
federal authority, for such authority
slreadv exists under the constitution In
amplest and most far-reaching form;
hut It does tpsan that thsre should he
an extension of Federal activity. This
Is not advocating centralization. It le
merely lor,king facte In the face, and
eallxln* that centralization In business
his already come and can not be avoid-
ed nr undone, end that iho ptihltd nt
:»r*o can only protect itself fiotn ear-
.ain evil elTectt of this business cen
tralisation by providing better methods
for the exercise of control throuih the
authority already centralized In the na
tional government by the constitution
itself. There must be no halt In t'ns
healthy constructive course of action ,
which this ration lux elected to pursue, merit 'offloYaJs'
combination, good or bad. Is noxious
where It Is not Ineffective. Combina
tion of capital, like combination of la
bor, I* a necessary element' in our
present Industrial system. It Is not
possible completely to prevent it; and
If It were possible, such complete pre
vention would do damage to the body
politic. Wbat we need Is not vainly to
try to prevent all combination, but to
aecure auch rigorous and adequate con
trol and supervision of tha combina
tions aa to prevent their Injurtn* the
public, or exlatln* In auch forms aa In.
evltably to threaten Injury. • * * It
Is unfortunate that our present laws
should forbid ail combinations Instead
of sharply discriminating between
those combinations which do cood and
those combinations which do evil.'"
Mr. Roosevelt here reviews his for
mer message on the illegal trusts and
a proper distinction between good and
bad trusts.
Make Law More Efficient.
Continuing, the president said;
"Tho anti-trust law should not be
repealed; but it should be mod* both
more efficient and more In harmony
with actual conditions. It should be so
amended as to forbid only the kind ol
combination which does harm to the
general public, such amendment to be
accompanied by, or to he an Incident of,
a grant of supervisory power to the
government over these big concerns
engaged In Interstate hualneas. This
should be accompanied by provision
for the compulsory publication of ac
counts and the subjection of booka and
papers to tile Inspection of the govern.
A beginning has al
might be analogous to that now exer-
hns steadllypnraued. during tiiet ready been made” tor such supervision
'1Zi ,h» 'r by tha establishment of the bureau of
last «'x year a an „
legislation of the congress and the ad-1 corporations
ministration of tha law br the depart-1 „ Tho ant |' no , nro _
ts^mmMetlnn wuirohetldiread* " Aa (k 11 ’**' c ' ,nr > bln » , i n n" that do no Injustice
Is In conntc.ln.i with III. raliroeds yVs | to tn# mill less those the ex-
to these. In my Judgment them should . |,tonco of which Is on the whole of
now,ha cither a national Incorporation benefit to the public. But even If this
**«• ot the law were abellihe.l thero
ties to engage Ini Interstate eemnieroa would remain ns an equally objectlon-
tipon certain-conoltlons. I able .feature the dimculty nn.l delay
Central Issue of Securities. ! new Incident to Its enforcement. Tho
•'Tbs law ahonld be «u framsd aa to j government must now submit to Irk-
glve to the Interstate commerce com
' mission power to paas upon tha future
Issue nt securities, while ample means
should be provided to enable the com
mission, whenever l;i It* Judgment It Is
necessary, to make a physical valua
tion of any railroad. As I stated In my
nisssags to the congress n year ago.
railroads should be given power to en
ter Inlb agreements, subject to these
igreeinents being made public In ml-'
note detail nnd lo the consent of the
Into relate commerce commission being
flcst obtained, tfntll the national gov
ernment nssuinss proper control of In
terstate commerce. In tho exercise of
the authority It already possesses. It
will bo impossible either to give to ot
to get from the railroads full Jiistlrr.
‘Tha railroads and all othor great
corporations will do well to recognize
that thla control must come; tho only
question Is as to what governmental
body can most wisely exercise It. The
courts will determine tho limits within
which the Federal authority can exer
cise It, and there will atlll remain am-
• pie Work within each atate for the rail-
way commission of thnt state; and the
national Interstate commerce rotnmls>
sion will work In harmony with the
several stato commissions, each within
Its own province, to achieve tile desired
end.
Sherman Anti-Trust Law.
“Moreover, In my Judgment there
should be additional legislation look
ing to the proper control of the groat
business concerns engaged In Inter
state business, this control tn he ex
ercised for their own benefit and pros
perity no lesa than for the protection
of Investors and of the general public.
As t have repeatedly said In messages
to the congress and elsewhere, expe
rience has definitely shown not merely
the unwisdom hut the futility of en
deavoring to put a stop to all business
combinations. .Modem Industrial con
ditions are auch that combination Is
not only neceaaory but Inevitable. It
la ao 111 the world of business Just as It
Is so In the world of labor, unit It Is ns
Idle to deal re to put an end to oil cor
porations, to all big combinations of
capital, as to desire to put an end to
Combinations of labor. Corporation nn.l
labor union alike have come to stay.
Each. If properly managed. Is a source
of good and nut evil. Whenever In
either there la evil. It should be prompt
ly held to account; hut It should re
ceive hearty encouragement so long
aa It.la properly managed. It la pro
foundly Immoral to put or keep on the
statute booka a law. nominally In the
Interest of public morality, that really
puts a premium upon public Immoral
ity, by undertaking to rorbld honest
men from doing what must be done un
der modem business conditions, so thut
the law Itself provides that Its own In
fraction must be the condition prece
dent upon business success. To aim
at the accomplishment of too much
usually means the accomplishment of
too little, and often the doing of posi
tive damacc. In my message to the
congress a year ago. in speaking of the
anti-trust laws, 1 said;
Anti-Trust Laws.
“ ‘The actual working of our laws
lias shown that the effort to prohibit all
some and repeated delay before obtain.
Inif a haul decision of Iho courts upon
proceedings Instituted, and even a fa
vorable decree may mean on empty
victory. Moreover, to attempt to con
trol these corporations l.y lawsuits
means lo lippose upon both, the de-
partirient of Justice and the courts an
Impossible burden: It Is not feasible
to carry on more than a limited num
ber of such suits. Such a law to be
really effective must, of rourse, be
administered by an executive body, nnd
not merely by means of lawsuits. The
design should he to prevent the abuses
Incident to tho creation of unhealthy
and Improper combinations. Instead of
waiting until they are In existence nnd
then attempting to destroy them by
civil or criminal proceedings.
Don’t Tolerate Bed Trusts.
"A combination should not be toler
ated If It abuse the power acquired by
combination to the public detriment.
No corporation or association of any
kind should be permitted to engage In
foreign or Interstnte commerce thut Is
formed for the purpose of, or whose
operations create, a monopoly or gen
eral control of tho production, sale, or
distribution of any one or more of the
prime necessities of life or articles of
general use and necessity. Such com
binations are against public policy;
they violate tile common law; " the
doors of the eourt arc closed to those
who are parties to them, nnd I believe
the congress can cloao the channels of
Interstate commerce against them for
its protection. The law should make
Its prohibitions and iiermlsslnns as
clear ami definite us isrsslble, leaving
the least possible room for arbitrary
? rtlon, nr allegation of such action, on
he part of the executive, or of diver
gent Intcrprelntlnua by the courts.
Among the points to be alined nt should
lie the prohibition of unhealthy compe
tition, such aa liy rendering service at
.n actual loss for the purpose of
rushing out competition, tho preven
tion of Inflation of rupltnl, and the
prohibition of u corporation’s making
exclusive trade with Itself a condition
of having any trade with itself. I toon-
nnble agreements between, or combi
nation* of, corporations should be per
mitted, provided they arc first submit
ted to and uiqiroveil bv some appro
print* government body.
•The congress has tlm power to char
ter corporations to enguge In Interstate
and foreign ootrfineroe, and n general
law can be enacted tinder the provis
ions of which existing corporations
could take out Federal charters and
new Federal coriHirntlons could he cre
ated. An essential provision of such a
law should lie a method of predeter
mining by some Federal board or com
mission whether tho applicant for a
Federal charter was an association or
combination within the restrictions of
the Federal law. Provision should ulso
be made for complete publicity In nil
matters affecting the public and com
plete protection to the Investing pub
lic and the shareholders In the matter
of Issuing corporate securities. If an
Incorporation law Is not deemed ad
visable, a license net for big Inter
state corporations might be enacted:
or a combination of the two might lie
tried. The supervision established
clsed over national banka. At least,
tha anti-trust act should be supple
mented by specific prohibitions of ths
methods which experience has shown
have been of most service In enabling
monopolistic combinations to crush
out competition. The real owners of
a corporation should be compelled to do
business In their own name. The
right to hold stock In other corpora
tions should hereafter be denied to In
terstate corporations, unless on ap
proval by the proper government offi
cials, and a prerequisite to such ap
proval should be the Hating with the
government of all owner* and stock
holders, both by the corporation own
ing such stock and by the corporation
tn which such, stock Is owned.
Supervise Big Concerns.
To confer upon the national gov
ernment, In connection with the
amendment I advocate In the anti-
law. power of supervision over
hi islpees concerns engaged In In
ter .te commerce, would heneflt them
as . has benefited the national banks.
In the recent business crisis It Is note
worthy that the Institutions which
failed were Institutions which were not
under the supervision and control of
the national government. Those which
were under national control stood the
teat.
“National control of the kind above
advocated would he to the benefit of
every well-managed railway. From tho
standpoint of tho public there la need
for additional tracks, additional ter
minals, and improvements In the
actual handling of the railroads, and all
this as rapidly a* possible. Ample,
safe and speedy transportation facili
ties are even more necessary than
cheap transportation. Therefore, there le
need forth* Investment of money which
will provide for all these things While
at the same time securing as far aa
Is possible better wages and shorter
hours for their employees. Therefore,
while there must be Just and reasonable
regulation iff rates, wo should bo the
first to protest against any arbitrary
and unthinking movement to cut them
down without the fullest nnd most
careful consideration of all Interest*
concerned and of ths actual needs of
tho situation. Only a sjiecbil body of
men uctlng for the national govern
ment under authority conferred upon
It by the congress Is competent to puss
Judgment on such a matter.
“Those who fear, from any reason,
the extension of Federal activity will
do well to study the history not only
of tho national hanking act, hut of the
pure food law, and notably the meat
Inspection law recently enacted. The
pure food law was opposed so violently
that Its passage whs delayed for a
decade; yet It has worked unmlxed and
Immediate good. The meat Inspection
law wa* even more violently assailed;
and the same men who now denounce
the uttltude of the national government
In seeking to oversee and control the
workings of Interstate common car
riers and business concerns then as
serted that we were 'discrediting ami
ruining a grent American Industry.’
Two years have not elapsed and al
ready It has become evident that the
greut benefit the law confers upon the
public la accompanied by an equal ben
efit to the reputable packing estab
lishments. The latter are better off
under the luw than they were without
It. The benefit to Interstate common
carriers and business concerns from
the legislation I advocate would he
equally marked.
Pure Food Law.
“Incidentally, In the passage of the
pure food law tbs action of the va
rious atate food and dairy commission
ers showed In striking fashion how
much good for the wholo people results
from the hearty co-operation of the
Federal and state officials In securing
n given reform. It Is primarily to the
action of these state commissioners
that we owe the enactment of this law,
for thay aroused the people, first to
demand the enactment nnd enforcement
of atate laws on the subject, and then
the enactment of the Federal law. with,
out which the state laws were largely
Ineffective. There must be the closest
ro-operatlon between the national nnd
state governments In administering
tie** laws.
'"In my message to the congress
year ago I spoke ns follows of the cur
rency:
Currency,
" 'I especially call your attention to
the condition of our currency laws. The
national bank act lias ably served
grent purpose In aiding the enormous
business development of the country,
and within ten years there baa been an
Increase In circulation per capita from
J3M1 to JS3.HR. For several years
evidence has been accumulating that
additional legislation la needed. The
recurrence of each crop season empha
sises the defects of the present laws.
There must soon be a revision of them,
hecause to leave them as they are
means to Incur liability of business
disaster. Sine# your .body adjourned
there ha* been a fluctuation In the In
terest on call money from 2 per cent to
3D per rent, nnd the fluctuation wnt
even greater during tha preceding six
months. Ths secretary of the treasury
Imd to step In nnd hv wise action put a
atop tn the moat v|>lcnt period of os
cillation. Even worse then such fluc
tuation is the advance In commercial
rate* and the uncertainty felt In the
sufficiency of credit even at high rates.
All commercial Interests suffer during
each crop period. Excessive rates for
call money In New York attract money
from t)ie Interior banka Into tha specu.
lattv* field. This depletes the fund
that would otherwise bo available for
commercial use*, anil commercial bor
rower* are forced to pay abnormal
rates, so that each fall a tax. In the
shape of Increased Interest charges. Is
placed on the whole commerce of the
country.
Let Banka Issue Notes.
"’Among the plans which are possi
bly feasible and which certainly should
receive your consideration la that re-
peatedly brought to your attention by
ffie present secretary of the treasury,
the essential features of w|rfch have
been approved by many prominent
bankers' and business men. According
to this plan national banks should be
permitted to Issue a specified propor
tion of their capital In notes of a given
kind, Jhe Issue to be taxed at so Ugh
a rat* aa to drlva the notes back
when not wanted In legitimate trade.
This plan would not permit the isaue
of currency to give banks additional
profits, but to meet the emergency
presented by times of stringency.
"‘I do not say that this la the right
system. I only advance It to emphasize
my belief that there Is need for the
adoption of tome system which shall
be automatic and open to all sound
banks, so as to avoid all possibility of
discrimination and favoritism.'
More Elasticity.
T again urge on the congress the
need of Immediate attention to thla
matter. We need a greater elasticity In
our currency; provided, of course, that
we recognise the even greater need of a
safe and secure currency. There must
always be the moat rigid examination
by the national authorities. Provision
should be made for an emergency cur
rency. The einnggengy Issue should, of
course, be made with an effective guar
anty, and upon condition* carefully
prescribed by the government. Such
emergency Issue must be based on ade
quate securities approved by the gov
ernment, and must be issued under a
heavy tax. This would permit currency
being Issued when the demand for It
was urgent, while securing Its retire
ment as the demand fell off. It Is worth
Investigating to determine whether of
ficers and directors of national banks
should ever be allowed to loan to
themselves. Trust companies should bo
subject to the same supervision as
banks; legislation to this effect should,
be enacted for tho District of Columbia
and the territories.
“Yet tda must also remember that
even t>5 wisest legislation on the
subject can only accomplish a certain
amount. No legislation can by any
possibility guarantee the business com
munity against the rosults of specula
tive folly any more than It can guar
antee mi Individual against the results
of his extravagance. When an Indi
vidual mortgages his house tn buy an
automobile lie Invites disaster; and
when wealthy men. or men who poae as
such, or are unscrupulously or foolishly
eager to become auch. Indulge In reck
less speculation—especially If It Is ac
companied by dishonesty—they Jeop
ardize not only their own future, but
the future of all their Innocent fellotv-
cltlsens, for they expose the whole
business community to panic and dis
tress.
Revenue.
“The Income account of the nation la j
In a moat satisfactory condition. For I
the six fiscal years ending wtlh July 1'
last, the total expenditures and reve-
nues of the national government, ex
clusive of the postal revenues and ex*-
ffssr w * re ' 1,1 round numbers,
’“• 4 S- n00 ;0J 0 . and expenditures 13,275,.
000,000. The net excess of Income over
expenditures, Including In the latter the
fifty millions expended for the Panama
™!J' "' a * on ® hundred and ninety
million dollar* for the six years, an
about 'hirty-one million* a
y«ai. Thla represent* an approxlma-
tlon between Income and outgo which
It would be hard to Improve. The eat-
jorkfn* of P rwe «t tariff
!h?. ha \i? ee . n chiefly responsible for
JJjj^xeallent showing. Neverthelexa,
constantly
y**™. I *, n » evident and
growing Tooling among our people that
the time |a rapidly approaching when
be 4?u3l ° f r#v * nu * ‘** l * la ‘l°n must
Ths Tariff.
This country Is definitely committed
to the protective system nnd eny er.
fort to uproot It could not but rails#
widespread Industrial disaster. In
other words, the principle of the piss-
ent tariff law could not with wisdom
be changed. But In a country of such
phenomenal growth as our* It Is prob
ably well that every dosen years or so
the tariff laws should bs carefully ecru,
tlnlaed so as to see that no excessive
or Improper benefits are conferred
thereby, that proper revenue Is pro.
vlded, and that nur foreign trade Is
encouraged. There mint always be aa
a minimum a tariff which w ill nut only
allow for the collection of an ample
rc 'A n V!' b “‘ which will at least make
good the difference In coat of produc
tion here and abroad; that Is, the tllf-
ft ranee In the labor cost here nnd
abroad, for the well-being of the wage-
worker must ever be a cardinal point
of American policy. The question
should be appmuehed purely from a
business standpoint; both the time nnd
the manner of the change being auch
ns tn mouse the minimum of agitation
and disturbance In the business w’orld.
. _ »nd to give The least ploy .for selfish
menf- in Coffin or nn ra f ll *'»tal motives. The sole con-
lllwiiL ili J-CLLHIg UU | alderatlon should bs to see that the
-* - aum imm of changes represents the
public good. This means that the auh.
Jc-ct can not with wisdom be dealt with
tn the year preceding a presidential
e-ecUon. because as a matter of tact
-xperlencs has conclusively shown that
-• such a time It la Impossible to get
•n to treat It from the standpoint of
_ , • Public good. In my judgment, the
...I_ ’ „I ’ • l»**c time to deal with the matter
wnicn IS COm ins |,ni! " lH,ln, * ,y * f, e> such, election.
• • | ® Income Tsx and Inhsritanc* Tax.
into universal use; hen our tsx laws are revised the
question of an income tax and an In
heritance tax should receive the care
ful attention of our legislators. In my
judgment both of these taxes should
be part of our system of Federal tax
ation. I speak diffidently about the in
come tax because one scheme for an
Income tax wa* declared unconstitu
tional by the supreme court; while In
addition It Is a difficult tax tn admlnls.
ter tn Its practical working, and gnat
care would hav* to be exercised to see
that It wa* not evaded by the very men
whom it was most desirable to have
taxed, for If so evaded IP would, of
lourse. be worse than no tax at all; as
the least desirable of all taxes Is the
tax which bears heavily upon the hon
est as compared with the dishonest
man. Nevertheless,
DR. PORTER, an Old
Railroad Surgeon,
spent several years
of study and experi
ment in getting up
the preparation
known as Df. PdltBr’S f
devised which the supreme court will
declare constitutional.
“The inheritance tax, however, is
both a far better method of taxation,
and far more Important for the pur
pose of haring the fortunee of the
country bear In proportion to their In
crease in size a corresponding In
crease and burden of taxation. The
government has the absolute right to
deride as to the terms upon which a
mah shall receive a bequest or devise
from another, and this point In the
devolution of property Is especially ap
propriate for the Imposition of a tax.
Laws imposing such taxes have re
peatedly been placed upon the national
statute books and as repeatedly declar
ed conetltutlonal by the courte; and
these laws contacted the progressive
principle, that Is. after certain
amount la reached the bequest
sift, In life or death, la Increasingly
burdened and the rate of taxation la
Increased In proportion to the remote
ness of blood ot the man receiving the
bequest.
Enforcement of the Law.
A few years ago there wa* loud com
plaint that the law could not he In
voked against wealthy offenders. There
Is no such complaint now. Ths course
ot the department of justice during the
last few years has been auch as to
make It evident that mo man stands
above the law, that no corporation i#
so wealthy that It can not be held to
ocoount. The department ot Justice
has been as prompt to proceed against
the.wealthiest malefactor whose crime
was one' of greed and cunning as t.
proceed against the agitator who In
rites to brutal violence. Everything
that can be done under the existing
law, and with the existing state of pub
lic opinion, which so profoundly Influ
ences both the courts and Juries, has
been done. Rut the laws themselves
need strengthening in more than one
Important point; they should be made
more definite, so that no honest man
can he led unwittingly to break them,
and so that the real wrongdoer can
be readily punished.
"Moreover, there must be the public
opinion back of the laws or the laws
themselves will be of no avail. At
present, while the average Juryman
undoubtedly wishes to see trusts brok
en up, nnd Is quite ready tn tine the
oqhporatlnn Itself, he Is very reluctant
to And. the facts proven beyond a reas
onable doubt when It comes to sending
to Jail a member of the business com
munity for Indulging In practices
which are profoundly unhealthy, hut
which, unfortunately, the business
community has grown to recognize ns
well nigh normal. Both the present
condition* of the law and the present
temper of Juries render It a task of
extreme difficulty to get at the real
wrongdoer in any such case, especial
ly by Imprisonment. Yet It Is from ev
ery standpoint far preferable to punish
the prime offender by Imprisonment
rather than to line the corporation,
with the attendant damage to stock
holders.
Two Great Evil*.
“The two great evils In the execu
tion of our criminal laws today are
sentimentality and technicality. For
the latter the remedy must come frost
the hands of the legislatures, the courts
and the lawyer*. The other must de
pend for Its cure upon the gradual
growth of a sound public opinion which’
shall Insist that regsrd for the law and
the demands of. reason shall control all
other Influences and emotions In the
Jury box. Both of these evils must be
removed or public discontent with the
criminal law will continue.
Inj'unctione.
“Instances of abuse In the granting
of Injunctions In labor disputes con
tlnue to occur and the resentment In
the minds of those who feel that their
rights are being Invaded and their lib
erty of action anil of speech unwar
rantably restrained continues likewise
to grow. Much of the attack on the
use of the process of Injunction I*
wholly without warrant; but I am con
strained to express the- belief that for
some of It there Is warrant. This ques
tion - Is becoming more and more one of
prime Importance, and unless the courts
will themselves deal with It in effective
manner, It ta rertatn ultimately to de
mand some form of legislative action,
it would be most unfortunate for our
social welfare If w# should permit
many honest and law-abiding cltlsena
to feel that they had Juat cause for
regarding our courte with hostility. I
earnestly commend to the attention of
the congress this matter, so that some
wav may be devised which will limit
the abuse of Injunction* and protect
those rights which from tlm* to time
it unwarrantably invade*. .Moreover,
discontent Is often expressed with the
use ot the process of Injunction by the
courts, not only In labor disputes, but
where state laws are concerned. I re
frain from diacuaalon of this question
as 1 am Informed that it will soon re
ceive the consideration of the supreme
court.
The Federal courts must of course
decide ultimately what are the respec
tive spheres of atate and nation In con
nection with any law, state or national,
and- they must deride definitely and
Anally In matters affecting Individual
cltlsens, not only as to the rights and
wrongs of labor but us to tho rlghtn
and wrongs of capital; and the nation
al government must always seo that
the decision of the court ta put Into ef
fect. The process of Injunction Is an
essential adjunct of the court'a doing
Its work well: and as preventive meas
ures are always better than remedial,
the wise use of this process Is from ev
ery standpoint commendable. But'
where It Is recklessly or unnecessar- ’
tly used, the abuse ehould be censured,
above all by the very men who are
properly anxtous to prevent any effort
to shear the courte of this necessary
power. The court’s decision must be
final; the protest la only against the
conduct of Individual Judges In need
lessly anticipating such final decision,
or In the tyrannical use of yvhat- Is
—7
nominally a temporary Injunction to
accomplish what la In fact a perma
nent decision.
“The loss of life and limb from rail
road accident* In thla country has be-- roads and their employees has. for the
■ • * ‘ ‘ first time, been subjected to serious
tests within the past year, and the wls.
dom of the experiment has been fullv
demonstrated. The creation of a board
for compulsory Investigation In curs
where mediation falls and arbitration
la rejected la the next logical .step In
n FiPncrrnm • *
come appalling. It Is a mibject of
which the national government ehould
take supervision. It might be well to
begin by providing for a Federal in
spection of Interstate railroads some
what along the lines of Federal inspec
tion of steamboats, although not going
so far; perhaps at rst all that It would be
necessary to have would be some other
officer whose duty would be to investi
gate alt accidents on Interstate rail
roads and report In detail the causes
thereof. Such an officer should make
It his business to get Into close touch
with raiiroad operating rnen so as to
become thoroughly familiar with every
side of the question, the Idea being to
work along the lines of the present
steamboat Inspection law.
Employers’ Liability.
“The national government should be
a model employer. It should demand
the highest quality of sendee from each
of Its employees and it should care for
all of them properly In return. Con
gress should adopt legislation providing
limited hut deflnlte compensation for
accidents to all workmen within the
scope of the federal power. Including
employees of navy 5*ards and arsenals.
In other words, a model employers* lia
bility act, far-reaching and thorough
going, should he enacted which should
apply to ail positions, public and pri
vate, over which the national govern
ment has jurisdiction. The number of
accidents to wage-workers, Including
those that are preventable and those
that are not, h«* become appalling in
the mechanical, manufacturing and
transportation operations of the day.
It works grim hardship to the ordinary
wage-worker and his family to have
the effect ot such an accident fall sole
ly upon him; and, on the other hand,
there are whole classes of attorneys
who exist only by Inciting men who
may or may not have been wronged to
undertake suits for negligence. As a
matter of fact, a suit for negligence is
generally nn/ Inadequate remedy for
the person Injured, while It often causes
altogether disproportionate annoyance
to tho employer. The law should he
made such that tho payment for acci
dents by the employer would be auto
matic instead of being a matter for
law suits. Workmen should receive
certain aqd deflnlte compensation for
all accidents In industry Irrespective
of negligence.
Should Take All Risk.
“The employer is the agent of the
public and on his own responsibility
and for his own profit he serves tho
public. When he starts in motion agen
cies which create risks for others, he
should take all the ordinary f and
t ra n r din m y risks Involved; und the
risk he thus at the moment assumes
will ultimately be assumed, as It ought
to be, by the general public. Only In
this way cnn#the shock of the accident
be diffused. Instead of falling upon the
creating the chairman of the Interstate
commerce commission and the commit.
sloner ot labor a board of mediation in
controversies between Interstate rail-
man or woman least able to bear it,
as is now the cose. The community
at largo should share the burdens as
well ns the benefits of Industry. By
the proposed law, employers would gain
a desirable certainty of obligation and
get rid of litigation to determine It,
while the workman and his family
would be relieved from a crushing load.
With such a policy Would come in
creased laws providing for employers*
liability on railroads engaged In Inter
state commerce and for safety ap
pliances, as well as for diminishing the
hours any employee of a railroad should
be permitted to work, should all be
Best For
The Bowels
as the most conve
nient and efficient
application obtain
able for woitnds 9
bums, sores and skin
diseases, whether slight or serious. It is a scientific combina
tion of medicinal qualities which relieves pain, antiseptically
cleanses and rapidly heals all injured or diseased parts. It
.has become a sort of “HOUSSllOld Slirg80ll. M All druggists sell it 25c annualsaleVtes millioii boxes
I < ba I ml It I* iu be hoped that on* mav t>*
PEPSIA
I IIC UUVVtJIS -
strengthened wherever In actual prac
tlco they have shown weakness; they
should he kept on the statute book* In
thoroughgoing form.
”The con*tltutlona!ity of the em
ployer*’ liability act passed by the pre
ceding congress has been carried before
the courts. In two jurisdictions the law
has been declared unconstitutional, and
In three jurisdictions Its constitution
ality has been affirmed. The question
has been carried to the supreme court,
the case ha# been heard by that tribu
nal. and a decision Is expected at an
early date. In the event that the court
should affirm the constitutionality of
the act, I urge further legislation along
the lines advocated In my message to
tha preceding congress.
Eight-Hour Law.
'The congrese should consider the
extension of the eight-hour daw. The
constitutionality of the present law lias
receutly been called Into question, and
the supreme court lias decided that the
existing legislation I* unquestionably
within the powers of congress. The
principle of the eight-hour day should
ns rapidly and ns far aa practicable be
extended to the entire work carried on
by the government; and the present
law should be amended to embrace con
tracts on those public works which the
present wording of the act has been
construed to exclude. The general In
troduction ot the eight-hour day should
be tho goal toward which we should
steadily tend, and the government
should aet the example In this respect;
Compulsory Investigation of Industrial
Disputes.
“Strike* and lockouts, with their at
tendant loss and suffering continue to
Increase. For the live years ending
December 31. 1205. the number of
strikes was greater than those In any
previous ten years nnd wa* double the
number In the preceding five years.
These figures Indicate the increasing
need of providing some machinery to
deal with this class of disturbances In
the Interest alike of the employer, the
employee and the general public. < I
renew my previous recommendation
tlmt the congress favorably consider
the matter of creating the machinery
for compulsory Investigation of such
Industrial controversies ns are of suf
ficient magnitude and of sufficient con
cern to the people of the country as a
whole to warrant the Federal govern
ment In taking action.
“The need for some provision for
such Investigation was.forcibly Illus
trated during the past summer. A
strike of telegraph operators seriously
Interfered with telegraphic communi
cation, causing great damage to busi
ness Interests and serious inconven
ience to tho general public. Appeals
* ere made to me from many parts of
le country, from city council*, from
boards of trade, front chamber* of com
merce, and from labor organizations,
urging that step* be taken to terminate
the strike. Everything that could with
any propriety be done by a representa
tive of the government wa* done, with
out avail, und for week* the public
stood by and suffered without recourse
of any ktn<L Ilad the machinery ex
isted und had there been authority for
compulsory Investigation of the dis
pute, the public would have been
placed In possession of the merits of
the controversy, and public opinion
would probably have brought about a
prompt adjustment.
“Each successive step creating ma
chinery for the adjustment of labor
difficulties mu«t be taken with caution,
but we should endeavor to make prog-
a progressive program.
Capital and Labor.
“It la certain that for some time to
come there will be a constant Increase
absolutely, and perhaps relatively, of
those among our citizens who dwell In
cltle* or town* of some #t*e and who
work for wages. Thl* means that there
will be an ever-increasing need to con
sider the problems inseparable from a
great Industrial civilization. Where
an Immense anti complex business, es
pecially In those branches relating tn
manufacture and transportation, Is
transacted by a large number of capi
talists who employ a very much laigei-
number of wage-earners, the former
tend more and more to combine into
corporations and the latter Into unions
The relations of the capitalist and
wage-worker te one another, and of
each to tho general public, are not al
ways easy to adjuat; and to put them
and keep them on a satisfactory basis
Is one of the moat Important and one
of the most delicate tasks before nur
Whole civilisation. Much of the work
for the accomplishment of this er.d
must be done by the Individuals con
cerned themtelves, whether singly or
In combination; and the one funda
mental fact that must never be lost
track of Is that the character of the
average man. whether he lie a man of
means or a man who works with his
hands, is the most Important factor In
solving the problem aright. Rut tt is
almost equally Important to remember
that without goad laws It Is also Im
possible to reach the proper solution.
It Is Idle to hold that without good law*
evils such as child labor, ns the over
working of women, as the failure to
protect employees from loss of life or
limb, can be effectively reached, am-
more than the evil* of rebates anil
stock watering can be reached without
good laws. To fall to atop these prac
tices by legislation means to force hon
est men Into them, because otherwise
the dishonest who surely will take ad
vantage of them will have everything
their own way. If the state will cor
rect these evils, well nnd good; but th*
nation must stand ready to aid them.
Important Question.
"No question growing out of our
rapid anti complex industrial develop
ment ls more Important than that of
the employment of women and chil
dren. The presence of women in in
dustry reacts with extreme directness
upon the character of the home ami
upon family • life, und the conditions
surrounding the employment of chil
dren bear a vital relation to our future
citizenship. Our legislation In those
areas under the cdnirol of the congress
Is very much behind the legislation of
our more progressive states. A thor
ough and comprehensive measure
should be ndopted nt thla session of the
congress relating'to the employment of
women and children In the District of
Columbia nnd the territories. The In
vestigation Into the condition of wom
en and children wage-earners recently
authorized nnd dlrectetl by the congres -
Is now being carried on In the various
states, and I .recommend that’the ap
propriation made lust year, for begin
ning this work be renewed. In order
that we may hav* the thorough ami
comprehensive Investigation which the
subject demands. The national gov
ernment has as an ultimate resort for
control of child labor the uae of the
Interstnte commerce clause to prevent
the products of child labor from en
tering Into Interstate commerce. But
before using this it ought certainly t.
enuct model laws on the subject for the
territories under Its own Immediate
control.
G*t All Swindlers,
it makes.not a particle of difference
whether these crimes are committed
by n capitalist or by a laborer, by a
lending banker or manufacturer or
railroad man. or by a leading represen
tative of a labor union. Swindling In
stocks, corrupting legislatures, making
fortunes by the Inflation of securities,
by wrecking railroads, by destroying
competitors through rebate*—these
forma of wrongdoing In the capitalist
are far more Infamous than any ordi
nary form of embezzlement or forgery
yet It Is n matter of extreme dUflculty
to secure the punishment of the mnn
most guilty of them, most responsible
for then). The business man who con
dones such conduct stands on a level
with the lnbor man who dellherately
supports a corrupt tl«nngogue anil agi
tator, whether head of a union or head
Continued on Next Pago.
res# In thl# direction
Nursing Mothers and
Over-burdened Women
In oil station**)! life, whose vigor and
vitality may have been undermined and
broken-down by over-work, exacting
eoolai duties, the too frequent bearing of
children, or other causes, will And In Dr.
Pierce’s Favorite Prescription the most
potent. Invigorating restorative strength-
giver ever dovlsed for their special bene
fit. Nuijlngmtothers wlRfind It especial
ly valuablo irv sustaining their strength
and proinoting\n dbundant nqurlihment
f°. r ,,th* child. T.tpbctantjnpiitfn too
will find It a prlcelcxs'tajiiJftTpjienbrc th*
system for baby’s coming and rdhdicins
tho ordeal comparatively palnlejsy_U
ran jo no hji-rn-iu snv -t.rte. nr nm.liil. :i
teThi'Aous. weak women, who
lufTer from frequent headaches, back-
»che, dragging-down distress low down
In the abdomen, or from painful or Irreg
ular monthly periods, gnawing or dis
tressed sensation In stomach, dlay or
faint spells, sec Imaginary specks or spots
Boating before eyes, have disagreeable,
pelvic catarrhal drain, prolapsus, ante-
version or retro-version or other displace
ments of womanly organs from weakness
af parts will, whether they experience
many or only a few of the above symp
toms, find relief and a permanent cure by
osfng faithfully and fairly persistently
Dr. Pierce’s Favorite Prescription.
This world-famed specific for woman's
weaknesses and peculiar ailments Is s
B ure glyceric extract of the choicest na
ve, medicinal roots without a drop of
alcohol In lu make-up. All Its ingredi
ent* printed In plain English on Its bottle-
wrapper and attested tinder oath. Dr.
Pierce thus invites the fullest Investiga
tion of hlx formula knowing that It will
ho found to contain only the best agents
known to the most ait store,1 medical
science of all the different schools of prac
tice for th* cure of woman's peculiar
lt eaknwse* and aliments.
f you want to know more about th*
r mposition and professional endorse-
r nt of the* Favorite Pre*criptlon,”send
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I., iHlo. N. Y„ for Ills free booklet treat
in': of same. «
’ou can’t afford to accept as a sttbstl
Th. provisions of th* act of 1IM <(bn ’ do IL
.e for this remedy of known composition
■nm of unknown romjsMie
a secret nostrum