The Trust Problem INTRODUCTION The information here presented has been gathered during the last twelve years, chiefly from personal investigation of large corporations through contact with their officers and workmen, their opponents, dealers in their goods, and also from such printed statistical data as seemed, on the whole, to be trustworthy. The chief opportunity has been in the investigation carried on by the United States Industrial Commission during the past year, though it should be understood that the Commission is in no way responsible for opinions here expressed. It has been intended to present mainly facts, and the judgments of those who, from their intimate connection with the corporations under discussion, either as members, rivals, or otherwise, are thoroughly conversant with the facts regarding them. Besides the information so often courteously given by business men, Professors Hull and Powers of Cornell University, and the author's wife have kindly read the text and offered many most valuable sugges tions. The book is intended to be a brief compendium of industrial conditions, so far as they affect industrial combinations particularly or are affected by them, together with some opinions regarding the influences which have brought about present conditions, and the probable trend of future development. Some judgments regarding possible remedies for evils which have arisen in connection with these combinations are offered in conclusion. This study is not intended primarily for the student of economic theory. As a brief impartial statement of facts and principles, it is hoped that it will prove useful to the many busy men who have not the leisure needed to gather the material, but who, wishing to do their duty as citizens intelligently, will welcome a brief compendium which may to a certain degree serve them as a basis for judgment. It is hoped to make in the not distant future a more com plete study, which shall embody the results of European experience and which shall deal more fully with the whole problem of monopoly. Considering the nature and purpose of this book, it has not been thought best to cite authorities for many of the statements made. Whenever they are taken from the testimony before the United States Industrial Commission, Dr. Durand's admirable index to that report will be available to all who care to verify the citations. In many cases, however, information given has been confidential in its nature, though on that account no less trustworthy. Such information has dealt at times with practices that in some way have come under public condemnation, such as promoter's rewards, freight discriminations, commissions to bank officers, and stock speculations. In other instances it has concerned the business of special combinations, and has formed the basis for judgments when the facts themselves were matters of only pri vate concern. The appendix contains some documents which may prove helpful in enabling readers to make more definite and specific their ideas regarding legislation that may possibly be needed. The admirable summary of conclusions made by Judge Howe, the permanent Chairman of the Chicago Conference on Trusts, regarding certain suggested methods for the solution of the trust problem, is a noteworthy document as presenting what were in effect the opinions which could be agreed upon by substantially all the membership of that great Conference, representing so many conflicting views and interests. The Report of the United States Industrial Commission is a most carefully considered expression of opinion and recommendations by a non-partisan body of men, made after an investigation extending over a year's time. Though it does not claim to be final, nevertheless it was the result of most careful study and deliberation, and is entitled to the prominent position which has been given it by thinking men of all classes. The Proposed New York Companies' Act: 1900, drafted to carry out the suggestions made in Governor Roosevelt's message regarding Trust legislation, is the one formulation into a definite bill of the opinions of many persons who have thought it possible to separate sharply between the good and evil arising from the modern organizations of |