THE CONTROL OF TRUSTS 239
you are aware that, within the last year or two, he has carried out, in connection with the trade in which he is interested, a great social experiment, the results of which have been truly marvelous. Into a trade in which formerly everyone, whether workman or employer, was dissatisfied, he has brought content- ment. Wages, I believe, have been increased, profits have become larger, and, curious to relate, the demand and the pro- duction have increased at the same time. This experiment, I believe, is capable of great development." This plan accom- plishes in a more systematic and less speculative manner what the American trade combinations are doing. In many cases, perhaps in the long run in all, it may be necessary that competi- tion should do its perfect work by eliminating all but the strong- est ; but if the transition may be rendered less violent by the American combination or the English alliance, it is against pub- lic policy to enact laws containing the features common to all of our anti-trust legislation.
Turning now to the evils, not of coalitions, but of great industries, we find two which demand legislation and seem to suggest their own remedy. These are the opportunity to exploit the public, within limits, after the great industry has secured a practical monopoly, and the stock-jobbery which mercilessly fleeces the legitimate investor in the securities of the corpora- tion. The second of these evils attracts relatively little atten- tion, and is, perhaps, of less importance than the first, but it is serious enough to demand the attention of our lawmakers. If our capitalistic system is to continue, it is highly desirable that the ownership of our great industries should be as widely diffused as possible. Dr. Albert Shaw is of the opinion that in time small investors will hold most of the stock of the great Ameri- can corporations, as they now do in France. But at present a few promoters can secure a majority of the shares of a corpora- tion for "services rendered," and do about as they please with the capital actually paid in by the minority stockholders and bondholders. Everybody knows that since the fad for trusts began — for the hard-headed American investor is stampeded by fads as easily as the schoolgirl — a large proportion of the
