Image provided by: University of Oregon Libraries; Eugene, OR
About Daily capital journal. (Salem, Or.) 1903-1919 | View Entire Issue (Dec. 6, 1911)
DAO CAPITAL JOrPYAL. fa AT. KM. OREGON. WEDNESDAY, DECEMBER 6, 1911. PMESHDENT DISCUSS s SHERMAN AW MESSAGE OF THE PRESIDENT Mr. Taft Champions the Anti trust Statute. KEW REMEDIES SUGGESTED. Not Repsal or Amendment, but Sup plemental Legislation Needed The Tobacco Trust Decision an Effective One Federal Incorporation Recom mended and a Federal Corporation Commission Proposed The Teet of "Reasonableness" To the Senate and House of Repre sentatives: This message Is the first of several which I shall send to congress during the interval between the opening of lis regular session and Its adjourn ment for the Christmas holidays. The amount of Information to be commu nlcated as to the operations of the government, the number of Important subjects calling for comment by the executive and the transmission to con gress of exhaustive reports of special commissions make It Impossible to In elude In one message of a reasonable length a discussion of the topics that ountit to he brought to the attention of the national legislature at Its first regular session. The Anti -trust Law The Court Decisions. Supreme In Mar last the supreme court hand ed down decisions In the suits In equi ty brought by the Lulled States to en Jopi the further mi'lnlemince of the Standard Oil trust nnd of the Ameri can Tobacco trust and to secure their dissolution. The decisions are epoch ro-.Uing nnd serve to advise the busi ness world nuthorltatlvely of the m-i-pe nnd operation of the anti-trust act of 1SII0. The decisions do not de part in nuy substantial way from the previous decisions of the court In con struing and applying this important statute, but they clarify those deci sions by further defining the already admitted exceptions to the literal con struction of the net. Ity the decrees they f'liiiis-h a useful precedent as to the proper method of dealing with the cnnltnl mid property of Illegal trusts. These decisions suggest the need and wisdom of additional or supplemental legislation to make It easier for the entire business community to square with the rule of action and legality thus finally established and to pre serve the benelll. freedom nnd spur of reasonable competition without loss of real elTi' leney or progress. No Chango In the Rule of Decision, Merely In Its Form of Expression. The statute in Its first section 'de clares to be Illegal "every contract, combination lu the form of trust or otherwlv or conspiracy In restraint of trade or commerce among the sev eral -Xf.'vti i.i' with foreign nations" anil In the so 'end declares guilty of a i::I dome n- r every person who shal! iimnopnMw or attempt (o monopolize or combine or conspire with any other IH- voi) to monopolize any part of tho trade or commerce of the several states or with foreign nations." In two early cases, where the statute was hvuked to enjoin a transporta tion rate' agreement between inter state railroad companies, it was hold that it was no defense to siiow that the agreement as to rates complained of was reasonable at common law. be cause It was said that tho statute was directed against all contracts nnd com binations in restraint of trade, whether reasonable at common law or not. It was plain from the record, however, that the contracts complained of In those eases would not have been deem ed reasonable at common law. In sub Bcpi -ut cases the court said that the Mutine should be given a reasonable construction nnd refused to Include within Its inhibition certain contrac tual restraints of trado which It de nominated as Incidental or ns Indirect. These cases of rest rant of trade that the court excepted from the operation of the statute were instances which at common law would have been call cl reasonable. In the Standard Oil nnd tobacco cases, therefore, the court laerely adopted the tests of the eoin luoti law nnd In defining exceptions to the literal application of the statute un!v substituted for the test of being in -Mental or indirect that of being reasonable, nnd this without varying J'l I lie slightest the actual scope and effect of the statute. In other words, nil the cases under the statute which have now been decided would have leivi decided the same way If the nnrt had originally accepted In its construction the rule nt common law. It has been said thnt the court by In troducing into the construction of the s'nt common law distinctions hns emasculated It. This Is obviously un true. Ity Its Judgment every contract end "omblnntlon in restraint of Inter I ite trade made with the purpose or neiessa-v effect of controlling prices bv sfli"ri'j competition or of establish ing in whole or In part a monopoly of such trade Is condemned by tho stat ute. The most extreme critics cannot Instance a case that ought to be con demned under the statute which Is hot brought within Its terms ns thus cou nt -nod. The suggestion Is also made thnt t!ie wrtreme court hv Its decision la the last two cases has committed to the court the undefined and unlimited dis cretion to determine whether a case of rc.-t;a;i!' of trade Is within the terms of the tatute. This U wholly untrue, A reasonable restraint of trade at com' mon law is well understood and is clearly defined. It does not rest In the discretion of the court. It must be limited to accomplish the purpose of a lawful main contract to which In order that it shall be enforceable at all It must be Incidental. If it exceed the needs of that contract It Is void. The test of reasonableness was never applied by the court at comman law to contracts or combinations or con spiracies in restraint of trade whose purpose was or whose necessary effect would be to stifle competition, to con trol prices or establish monopolies. The courts never assumed power to ay that such contracts or combina tions or conspiracies might be lawful if the parties to them were only mod erate in the use of the power thus se cured and did not exact from the pub lic too greut and exorbitant prices. It Is true that many theorists and others engaged In business violating the stat ute have hoped that some such line could be drawn by courts, but no court of authority has ever attempted It. Certainly there Is nothing lu the deci sions of the latest two cases from which such u dangerous theory of Ju dlclal discretion in enforcing this stat ute can derive the slightest sanction. Force and Effectiveness of Statute Matter of Growth. We have been twenty -one years mak ing this statute effective for the pur poses for which it was enucted. The Knight ense wus discouraging nnd seemed to remit to the states the whole available power to attack and suppress the evils of the trusts. Slowly, howev er, the error of that Judgment was cor rected, and only in the last three or four years lias the heavy hand of the law been laid upon the great illegal combinations that have exercised such an absolute dominion over many of our industries. Criminal prosecutions have been brought, and a number are pend lug, but juries have felt averse to con victing for Jail sentences nnd Judges have been most reluctant to Impose such sentences on men of respectnble standing in society whose offense has been regarded as merely statutory. Still, as the offense becomes better un derstood and the committing of it par takes more of studied and deliberate defiance of the law we can be conll dent that Juries will convict individu als nnd thnt Jail sentences will be im posed. The Remedy In Equity by Dissolution, In the Standard Oil case the supreme and circuit c(irts found the combina tion to be a monopoly of the interstate business of refining, transporting and marketing petroleum nnd Its products. effected and maintnltied through thirty-seven different corporations, the stock of which was hold bv a New Jer sey company. It In effect commanded the dissolution of this combination, di rected the transfer nnd pro rata distri bution by the Xew Jersey company of the stock hold by it In the thirty-seven corporations to nnd among its stock holders, and the corporations and indi vidual defendants were enjoined from conspiring or combining to restore such monopoly, and nil agreements be tween the subsidiary corporations tend ing to produce or bring about further violations of the act were enjoined. In the tobacco case the court found that the individual defendants, tweu-ty-nino lu number, laid been engaged u u successful effort to acquire com plete dominion over the nianufacture. sale nnd distribution of tobacco In this country and abroad and that tills had been done by combinations made with a purpose nnd effect to stifle competi tion, control prices nnd establish a monopoly, not only in the nianufacture of tobacco, but also of tin foil nud lic orice used in its manufacture and of its products of cigars, cigarettes nnd snuffs. The tobacco suit presented a fur morn complicated and difficult case than tho Standard Oil suit for a decree which would effectuate the will of the court and end the violation of the stat ute. There wns here no single hold ing company, as In the case of the Standard Oil trust. The main company was the American Tobacco company, a manufacturing, selling nnd holding company. The plan adopted to de stroy the combination and restore com petition Involved the mlivlsion of the capital and plants of the whole trust between some of the companies con stituting the trust mid new companies organized for the purposes of the de cree and made parties to it and num bering, new and old. fourteen. Situation After Readjustment. The American Tobacco company (old), readjusted capital $02.(0.000: the Liggett & Meyers Tobacco company (new), capital $;7.i)uo.oim; the P. I.orll lard company mewi. capital S47.0VO, 000. nnd the It. J. Reynolds Tobacco company (eldi, capital ST.oi.'.'i.Oim, are chiefly engaged in the manufacture and sale of chewing and smoking to bacco nnd cigars. The former one tin foil company Is divided Into two, one of SSlWOOO capital nnd the other of JtOO.ttOO. The one snuff company Is divided Into three companies, one with a capital of Ji.'.ooo.txx). nmv'.ior with n capital of $$.000,000 and a third with a capital of $S,O0O.00O. The licorice companies are two, one with a capital rf $.".7.VS.3(iO nnd anothr with a capi tal of $2,000,000. Th're Is nlso the nrltish-Amerlcnn To'acco company, a ltrltish corporation, doing business abroad with a capital of fV.,OiXl,000, the Porto Itlctm Tobacco company, with a capital of $l.Kti.00o. and the corporation of I'nlted Cigar Stores. with a capital of $).ooo.o0o. I'nder this arrangement each of the different kinds of business will be dls trlbuted between two or more compa nies with a division of the prominent brands in the same tobacco products, so as to make competition not onlv possible, but necessary. Thus tho smoking tobacco business of the coun try Is divide so that the prseut in dependent companies have 21.39 pet cent, while the Amerirnn Tobacco com pany will have 33.08 per cent, the Lig gett & Meyers 20.03 per cent, the Lorll lard company 22. W per cent and the Reynolds company 200 per cent. The stock of the other thirteen companies. both preferred nnd common, has been taken from the defendant American Tobacco company aud bas been dis tributed anions ir stockholders. All covenants restrict i ng competition have been declared null und further per formance of them bas been eujoined. The preferred stock of the different companies hiu now been given voting power which was Ceuied it under the old organization. The rutio of the pre ferred stock tu Ihe common was us 7S to 40. This constitutes u very decided change in the character of the owner ship and control of each company. In the original suit there were twenty-nine defendants), who were churged with being the conspirators through whom the illegal combination acquired and exercised Its unlawful dominion Under tho decree these defendants will hold amounts uf stuck in the various distributee companies ranging from '41 per cent as a minimum to 'JS',, per cent as a minimum, except In the case of one small company, the Porto Itlcan Tobacco company. In which the' will hold 45 per cent. The twenty-nine in dividual defendant.- are enjoined for three years from buying any stock ex cept from each other, uad the group is thus prevented from extending its con trol during that period. All parties to the suit und the new companies who are made parties are enjoined perpet ually from in any wny effecting any combination between any of the com panies In violation tof the statute by way of resumption of the old trust. Each of the fourteen companies Is en Joined from acquiring stock in any of the others. All these companies ore enjoined from having common direc tors or officers, or common buvincr or soiling agents, or common offices, or lending money to each other. Size of New Companies. Objection was made by certain in dependent tobacco companies thnt this settlement wns unjust because it left companies with very large capital in active business and that the settle ment thnt would he effective to put nil on an equality would be a division of the capital nud plant of the trust into small fractious In aaiount more near ly equal to thnt of each of the Inde pendent companies. This contention results from a misunderstanding of the nntl-trust law and its purpose. It is not intended thereby to prevent the accumulation of large capital in busi ness enterprises In which such a com bination can secure reduced cost of production, snle nnd distribution. It Is directed against such an aggrega tlon of capital only when its purpose Is that of stifling competition, enhanc ing or controlling prices and estnblish ing a monopoly. If we shall hnve by the decree defeated these purposes nnd restored competition between the large units Into whHi the capital nnd plant have been divided we shall have accomplished the useful purpose of the statute. Confiscation Not the Purpose of the Statute. It Is not the purpose of the statute to confiscate t lie property nnd cnpital of the offending trusts. Methods of punishment by fine or imprisonment of the individual offenders, by fine of the corporation or by forfeiture of its goods in transportation nre provided, but the proceeding In equity Is n spe cific remedy to slap the operation of the trust by Injunction nnd prevent uie future use of the plitnt und capital in violation or the statute. Effectiveness of Decree, t venture to say that not In the his tory of American law lias a decree more effective for such a purpose been entered by a court than that against fi,.. . . . oMim-t-o irosr. as tircult Judge Noyes said in his Judgment unnrovlni? uie decree: "The extent to which it has beeu necessary to tear apart this combina tion nnd force it Into new forms with the attendant burdens miKht to demon strate that the federalanti-trust statute Is a drastic statute which accomplishes effective results, which so long ns It stnuds on the statute books must be obeyed nnd which cannot be disobey ed without incurring fur reaching pen alties. And, on the other hand, the successful reconstruction of this or ganization should teach thnt the effect of enforcing this statute Is not to de stroy, but to reconstruct; not to de molish, but to recreate in accordance with the conditions which the congress hns declared shall exist among the people of the I'nlted Slates." Comrron Stock Ownership. It has been assumed that the pres ent pro rata and common ownership in nil these companies by former stock holders of the trust would Insure a continuance of the same old single con trol of nil the companies into which the trust lias by decree been disinte grated. This is erroneous and is based upon the assumed inefflcacy and inuoc uousness of Judicial Injunctions. The companies are enjoined from co-opera- non or combination; they have differ int managers, directors, purchnsinc f.nd sales agents. If all or many of the numerous stockholders, reacbine Into the thousands, attempt to secure concerted action of the companies with a view to the coutrol of the market their number is so large that such an attempt could not well be concealed, and Its prime movers and all Its partic 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- port unity for continued co-operation must disappear. Those critics who speak of this disintegration in the trust as 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 inhibitions are set forth with a detail and comprehensiveness unexampled in the history of equity Jurisprudence. Voluntary Reorganizations of Other Trusts at Hand. Toe effect of these two decisions has led to decrees dissolving the comblna tlon of manufacturers of electric lamps, a southern wholesale grocers' association, aa interlocutory decree against the powder trust, with direc tions by tho circuit court compelling dissolution, nnd other combinations of a similar history are now negotiating with the department of justice looking to a disintegration by deree and re organization in accordance with law It seems possible to bring about these reorganizations without general busl 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 un attempt to restore old fash loued methods of destructive competl tlon between small units and to make Impossible those useful combinations of capital nnd the reduction of the cost of production that are essential to con tinued prosperity and uormnl growth. In the recent decisions the supreme court makes clear that there is noth lng In the statute which condemns combinations of capital or mere big ness of plant organized to secure econ omy In production and n 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 nud potential, and the enhancing of prices aud 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 ly eliminates competition between the units thus combined, but this elimina tlon is in contravention of the statute only when the combination Is made for purpose of ending this particular com petition lu order to secure control of and enhance prices und create a mo nopoly. Lack of Definiteneta 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 nud thnt subsequently the at torney general mny conclude thnt 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 lu violation of the statute. The answer to this hypothetical case is thnt when men attempt to amass such stupendous capital ns will enable them to suppress competition, control prices nnd establish a monopoly they know the purpose of their nets. Men do not dOvsnch n thing without hnving It clearly In mind. If wlmt 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 nre creating, then they cannot be convicted nt the time the union is made, nor can they be convicted later unless It happen thnt 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 orlglunl combination. New Remedies Suggested. Much is said of the repeal of this statute aud of constructive legislation intended to accomplish the purpose aud blaze a clear path for honest mer chants and business men to follow., It may be that such n plan will be evolved, but I submit that the dlscus slous 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 und have offered no Hue of distinction or rule of action ns defi nite and ns 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 I can see decided advantages. In the enact ment of n law which shall describe and denounce methods of competition which nre unfair and are badges of the unlawful purpose denounced In the anti-trust law. The .attempt nnd pur pose to suppress a competitor by un derselling hint at a price so unprofita ble as to drive him out of business or 'e making of exclusive contracts wiUi customers under which thev are re quired to give up association with oth er manufacturer and numerous kin dred methods for stifling competition and effecting monopoly should be de scribed with sufficient accuracy in a crlmlnnl statute on the one hand to enable the government to shorten Its task by prosecuting single mlsdemean rs instead of an entire conspiracy and on the other hand to serve the purpose of pointing out more In detail to the business community what must be avoided. Federal Incorporation Recommended. T n , - "i""-"" i njusresw on Jan. 7, 1910. I ventured to point out the disturbance to business that would probably attend the dissolution of these offending trusts. I said: "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 confidence of the business community, to dry up the now flowing sources of cnpital from Its places of hoarding and pro duce a halt In our present prosperity that will cause suffering and strained circumstances ninong the Innocent many for the faults of the gollty few The question which I wish in this message to bring clearly to the con sideration and discussion of congress is whether, in order to avoid such n possible business danger, something cannot be done by which these busl ness combinations may lie offered a means, without greut financial dls turbance. of changing (he ebarncter. organization nnd extent of their busi ness Into one wltblu the lines of the law under federal control und super vision, securing rompllunce with the nntl-trust statute. "Generally in the Industrial combina tions called 'trusts' Ihe principal busl ness is the sale of goods lu many states and In foreign markets in other words, the interstate and foreign business far exceeds the business done In nny one state. This fact will Justify the fed eral government in granting a federal charter to such a combination to make and sell In Interstate and foreign com merce the products of useful munufnc turn under such limitations as will se cure a compliance with the unti-trust law. It Is possible so to frame a stat ute that, while it offers protection to a federal company against harmful, vex atlous and unnecessary Invasion by the states, it shall subject It to reasons ble taxation and control by the states witli respect to Its purely local busl ness. "Corporations orgauized under this act Should be prohibited from ncqulr lug and holding stock lu other corpo' rations (except for special reasons, upon approval by the proper federal authority), thus nvolding the creation under national niisplces of the holding company with subordinate corporations In different states, which , has been such un effective agency in the cren tlon of the great trusts and monopo lies. "If the prohibition of the anti-trust act against combinations In restraint of trade Is to be effectively enforced It Is essential that the national govern ment shall provide for the creation of national corporations to carry on a le gltlmate business throughout the Unit ed States. Tho conflicting laws of the different states of the Union with re spect to foreign corporations make it difficult, if not Impossible, for one cor poration to comply with their require ments so as to carry on business in a number of different states." I renew the recommendation of the enactment of a general law providing for the voluntary formation of cor porations to engage in trade and com merce nmong the states and with for elgn nations. Every argument which wus then advanced for such a law and every explanation which wns nt that time offered to possible objections hns been confirmed by our experience since the enforcement of the anti-trust stut ute has resulted in the actual dissolu tion of active commercial organiza tions. It Is even more manifest now than it wns then that the denunciation of conspiracies In restraint of trade should not nnd does not mean the de ninl or organizations large enough to be intrusted with our Interstate and foreign trade. It has been made more clear now than it was then that a purely negative statute like the anti trust law may well be supplemented by specific provisions for the building up aud regulation of legitimate na tional and foreign commerce. Government Administrative Experts Needed to Aid Courts In Trust Dissolutions. The drafting of the decrees In the dissolution of the present trusts, with a view to their reorganization into le gitimate corporations,, has made It es pecially apparent that the courts are not provided with the administrative machinery to make the necessary in quiries preparatory to reorganization or to pursue such inquiries, and they should be empowered to Invoke the aid of the bureau of corporations in determining the sultnble reorganiza tion of the disintegrated parts. The circuit court nnd the attorney general were greatly aided In framing the de cree in the tobacco trust dissolution by an expert from the bureau of corpora- tlons. Federal Corporation Commission Pro posed. I do not set forth in detail the term and sections of a statute which might supply the constructive legislation per mitting and aiding the formation of combinations of cnpital Into federal corporations. They should be subject to rigid rules as to their organization and procedure. Including effective pub licity, nnd to the closest supervision as l the Issue of stock aud lionds by an executive bureau or commission in the department of commerce and labor, to which In tines of dmiht they might well submit llieir proposed plans for future business. It must be distinctly understood that incorporation under a federal law could not exempt the com pany thus formed and Its incorporators and-managers from prosecution under the anti-trust law for subsequent Il legal conduct, but the publicity of Its procedure and the opportunity for fre- qnent consultation with the bureau or commission in charge of the Incorpora tion as to th lpiritlrrmto '4VCTT7 vi Jin transactions would offer it as great se- curlty against successfrl proaecutioM for violations of the law ns would be practical or wise. Such a bureau or commlssicu might well be invested also with the duty already referred to of aiding courts In the dissolution and recreation of trusts within the law. It should be an executive tribunal oi the dignity and power of the comptroller of the cur rency or the lnterstnte commerce com mission, which now exercises supervis ory power over important classes of sorporations under federal regulation. The drafting of such a federal in corporation law would offer ample op portunity to preveut mnny manifest evils in corporate management today, including irresponsibility of control in the bands of the few who are not the real owners Incorporation Voluntary. I recommend that the federal char ters thus to be granted shall be volun tary, at least until experience justifies mandatory provisions The benefit to be derived from the operation of great businesses under the protection of such a charter would attract all who are anxious to keep within the lines of the law. Other large combinations that fall to take advantage of the federal Incorporation will not hnve a right to complain if their failure Is ascribed to unwillingness to submit their transac tions to the careful official scrutiny competent supervision nnd publicity atteuduut iiikiii the enjoyment of such a charter. Only Supplemental Legislation Needed The opportunity thus suggested for federal incorporation, it seems to me, is suitable constructive legislation needed to facilitate the squaring of great Industrial enterprises to the rule of action luld down by the anti-trust law. This statute as coustrued by the supreme court must continue to be the line of distinction for legitimate bus! ness. It must be enforced unless we are to banish individualism from nil business und reduce it to one common system of regulation or control of prices like that which now prevails with respect to public utilities and which when applied to- all business would be n long step toward state so cialism Importance of the Anti-trust Act. The nntl-trust act Is the expression of the effort of a freedom loving peo ple to preserve equality of opportunity. It Is the result of the confident deter mination of such a pejplc to maintain their future growth by preserving un controlled and unrestricted the enter prise of tlio individual, his industry. Ills Ingenult , his Intelligence and his independent rountge I-'or twen'i. 'years or more this stat ute has !- i upon the statute book. All knew lt: general purpose and ap proved Many of its violators were cynical over Its assumed Impotence. It seemed impossible of enforcement. Slowly the mills of the courts ground, and only gradually did the majesty of the law assert Itself. Mnny of Its stntesmen-nuthors died before It be en me a living force, and they nnd oth ers saw the evil grow which they had hoped to destroy. Now Its efficacy Is seen; now its power Is heavy; now Its object Is near achievement. N'ow we hear tho call for its repeal on the plea that It Interferes with business pros perity, nnd we nre advised In most general terms how by some other stat ute and In some other way the evil we are Just stamping out can be cured If we only nbandon tills work of twen ty years and try another experiment for nnother term of years. It is said thnt the not has not done good. Can this be said lu the face of the effect of the Northern Securities decree? That decree was lu no way so drastic or inhlhltive In detail us ei ther the Standard Oil decree or the tobacco decree. Rut did it not stop for all time the then powerful move ment toward the control of all the railroads of tho country lu a single hand? Such a one mini power could not have been a healthful influence in the republic, even though exercised under the general supervision of an Interstate commission. Do we desire to make such ruthless combinations nnd monopolies lawful? When nil energies are directed, not to ward the reduction of the cost of pro duction for the public benefit by a healthful competition, but towurd iiew ways and means for making perma nent In a few hands the absolute con trol of the conditions and prices pre vailing iu the whole field of Industry, then Individual enterprise aud effort will lie paralyzed and the spirit of commercial freedom will be dead. WM. II. TAFT. The White House, Dec. 5, 1011. Got a Free Lecture. The agent for a handsomely nius ... , i i , . uuit-u own, to ne sola on long time credit a feast to the intellect aud an adornment to nny Hbrarv-leuned against the side of the house cau-ut his breath, clinched his fist and looked sRjwaru. hats the matter?" asked police- uiau. i e met me meanest man," be an swered. "I've henrd of him. nud I've ieaU uoout mm in the papers, but I never expected to meet blm face to face." "Where is he?" "Up in that building." "How do you know he's the meanest man?" "By the way he acted. I showed him this work of art. lectured on It for half an hour, poiuted out the en gravings, and when I hinted it would be a good thing- to order what do you think he said?" "I don't know." J!?,'', fJLd he neTer DO tight books. D,. ? - De Just ft " wnt to come along and tell him all that was In 'em and turn over the leaves while he looked at the pictures. Nice, isn't !tr-Ep-worto Herald. Our Way of Laundering Is different 'from otheri U Is the result of years of ex perience. Our method ot washing is easy on goods. Our method 0f starching places the 8tarch only where It belongs. Our method of Ironing or pre,,. Ing la easy on the goods be cause It Is done wholly without friction or wear. We'd like to have you see" our work. Let us call for a trial package. You know we guarantee It to please. 1 Salem Laundry Co. 136-166 S. Liberty St. Telephone Main 25 A Dreadful Wound from a knife, gun, tin can, rusty nail fireworks, or of any other nature del mands prompt treatment with Buck len's Arnica Salve to prevent blood poison or gangrene. It's the quickest surest healer for all such wounds as also for burns, bolls, sores, skin erup tions, eczema, chapped hands, com or piles. 25ce at J. C. Perry. o Life is, and it is well worth living well. All patent medicines or medicines ad vertised In this paper are for eale at DR. STONE'S Drug Store Salem, Oregon Also Dr. Stone's IIEAVE BEOPS For the cure of Ileaves afflicting the horse. A liquid medicine, given on the feed, which the moat fastidious horse will not refuse to eat. From one to six bottles given as directed will cure the most stubborn case. Price, $1.00 per bottle or six bot tles for J5.00. Great Chinese Doctor L. M. Hum Haa medicine which will cure any known disease. He makes a special ty of and guarantees to cure catarrh, asthma, lung, throat, rheumatism, debility, stomach, liver, kidney troubles, also any blackened or swollen soreness, broken limbs; smallpox epidemic; all kinds of Dolls, lost manhood, female weak ness, hernia troubles and paralysis. Consultation free. Care of Yick Se Tong Co., Chinese drugs and herbs. umce nours from 10 to 12 a. m. ana 1 to 7 p. m. Office open Sundays, 153 High street, upstairs, Salem. I MdWrHJtfri i ..'HtWfHHHtHW ? til, . .--r; tMvi,:!'...t Celebrated Lennoi Furnace. The Best Heatsr It will save you money every day you own 1L I will sell and Install the best Let me give you figures. See Me About an Individual lighting plant for your home. The best thing in the market for cooking and lighting. A. L Fraser Pkeaa 1J. ttS State Street I- S
