Newspaper Page Text
Reports on Hearings Held in 1921 Union Representatives
Say State Bureau Was Influenced by One year and a half after hearing evidence in the strike of St. Paul and Minneapolis Typographical unions for the 44-hour work week the state industrial commission of Minnesota has this week filed its report in which it declares that the unions were justified in expecting *he shorter work- week on account of the agreement made by the national organizations of employing printers and the printing trades unions, which was repudiated by Minnesota em ploying printers. Urges Industrial Court. The state commission regrets 'that it has not the power or authority to enforce its awards and suggests that "stipulations and agreements result ing from collective bargainings -.should be construed and enforced by some impartial agency, when ever a dispute arises relating there to." James Fullerton, business agent of Local No. 20 of the Pressmen's union of Minneapolis, declared that the commission had purposely held up the report until after the election in the interest of the Republican ad ministration. He said that the re lease of the report on the eve of the meeting of the legislature, with a recommendation for an "impartial agency" to enforce decisions was for the purpose of creating "propagan da" for the enactment of a law in Minnesota similar to the Kansas in dustrial court law. The report of the commission con sumes 10 typewritten pages, in which the events leading up to the strike lire reviewed. Considerable space is devoted to answering criticism di rected at the commission for its fail ure to make formal findings of the facta disclosed at the hearings with its conclusions and recommenda tions. "In. view of the fact hat there is no power vested in the commission to enforce any judgment or conclu* sion with reference to the relative rights of the parties, in a controversy of this character," the report de clares, "it will seldom, if ever, serve any useful purpose for the commis sion to aggravate the local condi tions resulting from a national move men! Involving employers and em ployes in. tiy particular Industry." The first move for a hearing, ac cording to the report, was wide by the commission on July 11, 1921, when, representatives of nil parties in the controversy were invited to a,n informal conference. The meeting was. continued until July 13 because some of those present did riot feel that they were authorized to act for the various interests involved. At the second meeting persons repre senting the employerg stated they were satisfied with the situation and did not desire to enter into any ne gotiations with .the organization# representing the employes on any basis whatever. Upon petition of the Minneapolis Typographical union No. 42, Min neapolis Pressmen's union -No. 20( Minneapolis Press Assistants* union No. 6, Twin City Book Binders' union No. 12, and similar organiza tions in St. Paul, the commission adopted a resolution and seryed it upon all of the employing printers of thejj Twin Cities calling for a pub lic "hearing -to be hel| in St. Paul starting Aug. 1,-1921. The St. Paul Typothetae appeared at this hearing and .-filed a petition restating the position of the employ ers that there was at that time noth ing to arbitrate and objecting to a public hearing on the grounds that the striking printers had not com piled with the law by seeking media tion of the industrial commission before the calling of the strike on June 1. 1921. The Minneapolis Ty pothetae representative appeared but afterwards withdrew from partici- Jon in the'hearing. Origin of .Wage Dispute. "The outstanding facts disclosed the investigation," the report de clares, "are that for more than 15 years prior to 1920 there had been a system 6f collective bargaining be tween the employing printers of the Twin Cities and the various print ing crafts, and during that time har monious relations existed, but on account of the rapidly advancing cost of living, as well as the general increase in wage scales in all activi ties existing in the beginning of 1920, the wage scale that had been. agreed upon in the contracts entered Into in 1919 became inadequate, and certain actions were taken during the winter cf 1919 and 1920 on the pjyrt of the employes to bring about modification of the wage sched ules embodied In the agreements commencing June 1# 1919, for" a two year period. VWhlle these ..negotiations were pending a large portion of tho men -whor sesemed to be dissatisfied on account of what they regarded as undue delay on-the part of tlie. wn-, ployer, left their employment as »n diyiduals on April 20, 1920. It'does, npt ..appear that this was the result Of any, formal act of the union or he'direction of th|£ officers, but the ftteti was the same as a formally authorised strike. On account of the economic conditions existing at- that" time, the employers were obliged tograntan increase in the ejflSittig wage schedule. ,r "The -cjnpioyes contend tl\at this 5 if c» in pa 2 STANDARD GETS FINAL LEASE IN WYOMING FIELD Secreary Fall Signs Contract Granting Concessions. By International Iiabor News Servicc. Washington, D. C., Dec. 28.—Vir tual control of the Wyoming .oil field by the Standard Oil group was acquired on Dec. 20 through a con tract which Secretary Fall of the interior department awarded to the Sinclair Crude Oil Purchasing com pany, a five-year dea} covering: the purchase of all royalty oil accruing to ^he government from the Salt Creek field. This contract is an inevitable se quence to the Teapot Dome deal which, it is charged, Secretary Fall and Secretary Denby of. the navy department, negotiated in secret with the Sinclair interests and which is now under investigation by congress. The Standard Oil group, already having the contract for taking the oil of the Wyoming field, is in a favored position with reference to taking over that part of tho oil which accrues to the government as royalty. Th# procedure in the. latter .con tractus in direct contrast t? th$ Tea-*' pot Jjojne negotiations.,/jn'the Tea- nies had no opportunity to bid and the public was not informed that the deal had been made. The gov ernment even denied the existence of a contract until forced by con gressional pressure to admit it. In the last deal a carefully prepared statement had been issued. by the secretary showing that thirteen firms competed for the contract for the purchase of royalty oil. It is expected that, congress rti!l include this contract in its investi gations of the oil industry, which is now pending in the senate. G.N. LISTJUMPS IIP Killed and Injured For October Higher Than Last Year. St. Paul, Dec. 28.-rrThe number of employes killed or injured on the Great Northern railway com pany's lines during the month of October, 1922, *was 96 ?er cent greater than October, 1921, accord ing to a report of C. L. LaFountaine, general safety supervisor of the Great Northern, made public today. The same report indicates thfit, the number of employes' filled ."or injured in October of the present year was 28 per cent greater than the same month in 1920, and 84 per cent greater than that of October, 1919. For the 10 months ending Oct. 31, the report shows that number of employes killed or jured was 1,727, as against 1,270\ for the same period last year. The report also shows that 321 persons, including employes, were killed or injured during the month of Octo ber, 1922, as against 167 during October, 1921 248 during October, 1920, and 185 during October, 1910. the in- Laid to Equipment. R. A. Henning, manager of the shopmens' strike for. the northwest, in commenting upon this report der clares .that the increase.in .thepunx ber of persons killed and injured is due to the unrepaired and poorly repaired equipment, as a result of the company's refusal to settle t-he strike. "Our investigation shows that practically every wreck since July 1 has been the result of either •un repaired or poorly repaired equip ment," Mr. Henning said. "We have contended' right aiding that the so called replacement men, employed by the road which have refused to settle, are' incompetent. Ap the re sult of their poor work, the wrecks have occujrr.-d." PLUMBING LAW ILLEGAL. County Judge Dunn of Littleton, Col., has declared illegal the state law. which delegates7 to the state boaai of plumbing Inspectors the powft to .license and withhold' IK censes from plumber®.'*- i ri- Holds Only Well Paid Workers are Good Buyers. Washington, D. C., Dec. 28.—Jul ius H. Barnes of Dulyth, president of the. Chamber of Commerce jot the United States, stands'for 'fc. program 9f higher wage^, according to a speech m9.de here last week, intelli gent merchandisers throughout the country 'have long-admitted labor's contention that higher wages mean more buying of commodities, neces sitating increased, and more eftlclent production, which in turn makes pos sible the payment of still higher wages.- Mr. Barnes said he was "sub mitting-his statement "for the con* sider'ation of those who. Relieve that wages and salaries must return to the standards of 1918." jie said? "This ability to produce more and more things with fewe,r and fewer employes and. therefore, lower cos^s, can not help but by the very pres* sure of this ever-:increasing industrial production press into more and more homes. The very* industrial produc tion itself and its increase assures us of a'wide distribution of the buying power of our people. That produc tion can no^ be secured or main talned by the expenditures of the concentration of wealth in the hands of a few. It can only c.om'e from a very widely disseminated earning and spending power of 'our people gen erally. "As the ability of each worker to produce more by the-fiid ofmechan ical processes increases' the" earning capacity and the earning value of that worker Increases. That is a very serious statement and I submit it for the consideration of those who believe that wages and salaries must return to the "Standards of 1913.rTh® earning power of a man today, bet ter equipped, better educated, more productive, because of mechanical aids, does not have to return to the standards of 1913 to establish a nor mal balance, of earning and produc tive power. That thi$ is not the ten dency is shown by every measure which you can apply. Between 191'4 and- 1920 the scaled of thlf country* %jn six hourly W$pes"!pn,£ -'hijpj$^v *1^ average family in^oilisi ^n. States in 191® Was Il,470. 1n l9l9, jfr^TOO. These are not inflation. in stances.hey are, the evidences, ex aggerated, if you please,: and sub ject- to some setback,' bytthe evi dences of a distinct -.and-'iound Eco nomic tendency in buying." formed era Timber Bosses Slumbers. The timber bosses' company "union" is traveling, the inevitable road to oblivion. This "union" is known as the. loyal, legion of loggers and lumbermen* At the meeting of its' board, of directors in Portland, Oj*M the president reported that "the greatest difficulty" the past six months was the number of employ ers who have deserted the "uiiion," they "have felt no immediate need of protection against industrial radicalism." Officers of the bona fide union of timber workers remind workers of tlie claim by trade unionists, that the employers would throw over the loyal legion when it served their pur*, pose to prevent organization. "These' employers are hot con cerned' with the I. W.' W. They are assured from another source that the I. W. W. will be 'taken care. of.' ^These employers have used the loyal legion as a tool. It is now worn out and. they discard it." The issuance of stools dividends Is the best proG^ that the. fruits of in dustry are Deling divided unequally, and that wage workers' claims, aie justified. Stock' dividends is another name for• oapkalizing profits/ v'-v Th^ f^eason for stoclf. dividends is to avOid the income tat a fear that congress will tax undivided profits, and'a* desire to extend profits over a larger issuance of itock' *o tlie p%b#l,attetibh will not be- attract ed JHBtxcessive profits. __ Of these profits they ai*^turned into "capital account" (pnt back'into the business) and ad ditional common* stock' td that amount: issued and divided among the stockholdera This stock Is called "stodk di^idepd8,,k although| it is an extra issue, of "the .ordinary variety of common atock.. jz'i 6tock, dividends., indicate ia* prof^l that is above and beyond a ,f profit on, an investment, Work sti^iggle for a living Wage, but -thfe dolltCr is always guaruiteed a lixdlf interest rate. This: interest rate it charge on industry, as is salaries, Discriminate Against -'•'By taternatiohal Lrf^\New» 'Service. Washington, D. C., Dec.. 28.*r--The constitutionality of the ship subsidy bill be&rethe U. 5. iL 1 floor of the senate'shoTtly in a of the elaborate preparations ma measure to put'it over. The basis foi* the attack is ^he fol lowing. provision of the -U. S. Con stitution: "No preference shall be glfcen by any regulation of commerce or rev enue to the-ports of one state over those of another." One of the striking features, of the ship subsidy bill is the great num ber of provisions for preference to ports of one state over those* of An other by regulations of ^commerce or revenue.- A greater evil, considering the spirit of the Constitution,' is the fact that congress by this bill would dele gate to' the U. S. shipping board the power to .make almost any .discrim inations it chose in favor of one port against another. The bill,1 as i\lUstrated by the fol lowing clause, admits that discrim inations will result and purposes to remedy the ^vil by empowering tho Ui S. shipping board to establish new preferences: ."Whenever the board -and the com mission are. both of opinion, and certify, that puttinjr into esffept. or keeping in effect the provisions of this section will result inunjusf £is crimination between ports of the United States, on commerce accus tomed to move through such potts, or materially changing the chan nels of. transportation within tlie United States, or'in unduly congest ing one or more of the'ports#of the United States, the commission shall by order, suspend the operation of said provisions until such/time as it and the board reach a, Contrary conclusion in the premises, where- PeiftsytYMi^ KHfw Ca*e-lRlaw to Be ConfUcatwif. The United States' Supreme court has set aside the Pennsylvania law which prohibited the mining of an thraclte coal in .a manner tliat would endanger the Ilvei cr injure -the property, of .. persons---occupyiriS' houses situated on the surface soil, justice Brandels -dissented. The court held, that Jjjp law. de prived coal owners of valuable prop erty rights without compensation. Under the declsiori, coal owners can mine coal without any regard for cave-ins that endanger lives aiid property, unless the' coal that is necessary, for props is. paid for... In his/ dissenting opinion, Justice Brandeis 'said: "If by mining anthracite coal the o^ner would necessarily unloosj poir sonous gases', I suppose no one Swould doubt the power of the state to pireventv the mining without? buying his coal field^ And' why ^imay rioti the state, likewise, witho^ paying compensation, prohibit :troi& digging so- deep or excavating 89 near the siirface as to Cxpose the comlnunity to like dangers? In the latter case, as in the fornier, carry in us in lic nuisance.'' .- i" the cost'of raw material, taxes a.nd wages ." After these and other charges are paid, profit is considered. When this profit is inordinate, the stocks divi dend- is used to conceal excessive in come. The.. stock. dividend is prOof that the people are being gouged. lt also indicates, the enormous values others have created and which are no^cen tered jn the thahds of those wm r« fuse workers a living wage and tlie ri'ght^to or^anise.^. :j .• £to^ dlvideiids are an anikwer to ttte- continuous whi^e by the defen Setfjftt'' reactioft ijtd privilege that alplreid :high wages/ arf drag. ion industry. TheVstock dividend is evi dence that andspjrofite^r ire making ,1}^. records ^Icnd that va«e earners %re not beinjt justly Compensated. Z. r% i*he stock ditiderid doSS.^Ot tell full .stoi^lp^corpora^^tofita fcind these princely, salaries numtoit^ ^NM|l8and holdlsn^ dan ridt%* tthiAngl^d or under stodd save by_one acqtiaint^l with the intricacies^Of a The" trickery of ons in on Floor of Senate Will of Various States. i6natef will be attacked on the Jer that will make shortshrif by the proponents of the the standpoin^bf the commerce because tlie U. S. shipping is given power to pay subsidy PS sailing a certain rout# frOm port and not to ships sailing same route from another .j^qri. also assert that the i*ieasur$ is .unconstitutional from tffe- stand point of the revenue clause for. two reasons firsft, because of the income taxiexemption and second, because of ,10 per cent reduction of duties on Jbargoes allowed to vessels oper atliig from -ports favored by the U. S. feliipping board. No prudent business man would risk making a subsidy contract with the£u. S. shipping board knowing that & suit to annul the subsidy was inevitable. "»hat is. the .Constitution among frieMS?" lias long, been a maxim of b% ||usineSs. Somebody has made the.'^iistake of taking that literally Mar acts passed by congress would" prbl |bly be declared^ unconstitutional if ^erred to the U. S. Supreme coui jf.' Nobody .bothers to raise the.' tan* :in. many instances. For instance, nob ay has yet had nerve to ques tion the. constitutionality of the Mai White Slave law although law yen twill admit readier that a good caeflpould be -built up attacking it. .Notf'so ^vrtth the ':Ship Subsidy bill. The, question will arise That-Is not the point, however- It will bo inter esting to know how many senators will Ignore the Constitution in their desicfe to sprve proponents of tho Ship ^ttbsldy bill. tlf^aiil JBbils. is a pertinent ques ti^n-^nXiiQi^ers -of the hbuse and sen upon such suspension .shall, by, or- have walt&l until thjis late day by^the. commis^r v^thotit raising such. an ob^ous dfr» be terinlnated sipn uppn to days' notice as herein before provided for the^'termination ot their' to tii^3unopnttttfr •tiinai qiijestion about the constitdtlonaUty of the meastirp, how ^kn^ ijf jthem Understand ev^ a ltttlfc'qf ithje '^raml ficatio^s^of^ thfr thousand and oite ^jher ^riojis provisions pf the .UH|?' JKansas Governor Backs Down and Court OBSIS Case* Judge JIarris'of the district court at Emporia, Kan.,-has. dismissed the state's case against William Allen White, wh"o was charged by Gover nor AUen with violating £he "can't strike? laW when he posted a sign professing "49 per cent sympathy" with striking railroad shop men. "This Case was- commenced reck lessly or maliciously, without inves tigation .of the facts to ascertain whether the prosecution was justi fied," aaid the, ^burt William A)ien White jested his sign a short, time after the shop mer^s strike started The governor claimed this was sympathizing with an unlawful act, and was a viola tion of the law.- The governor se cured enough publicity over the case for half a dozen lectures and then paid no more attention to it. The accused insisted' he~ was denied' the right of free expression of opinion. On three occasions^ he' appeared for a IS THIS A LIVING WAGE? The bureau Of census reports that the average wage last year tor. 7,816 workers in the leather gloves and mittens industry was $14.80 a week. STOCK DIVIDENDS IS SIFFICIENT OF LOW W*0E$^ AND EXCESSIVE NOFITl concealing profits is. indicated by. the recent account of how a well-known 5-and-10-cent store corporation "lost" profits:aggregating $20,000,000 This coincern was carrying on its 'good wll^" as an asset, which it vilued at $50,00^,000. Aflde from somp leaseholds, this asset was in tanflble and pure guesswork. The rj|ofation- had profits: of $20,000,r 00 spiled uft'and .to dispose of these proms it voted to reduce the $50,-' 000,000 "good will" asset to $00, 000,000. 1*| mother words,-' th'e ^corporation took $20,000,000 from on^. pocket and-: piit i£ in another :pocet. By this jugAery ^$20,000,000 in profits were wipe|i outi. with/the money remain ing in "the -hknds jof the corporation. TAis tricky bcokkee|ing 4s .useful If the government -^ould call fOr .'a recced ^of profits that have been "sweated". from Immature girls and iittl^ eKUd^n. SIpTck/ dividends- and other forms of epncealed r.prpflts& are found in evb^r lndifttrial' and commere^tl group, ^veh railroads, makers of the |irt of -telitng hard-luck stories, anneunce stock dividend^ while carti State Hgencles Assessed to There are well founded rumors in Su Paul and Minneapolis, according to the,-Minnesota Star,, that the .agencies for the big stock liability insurance companies doing- business in'Minnesota- have just levied a ohe per cent assessment1 on state pre miums' artd a 2 per cent assess ment on all agencies within the state for the purposed of raising a, fund to fight any proposed legislation in the 'form' of a state insurance law. The assessment, it is declared, will raise'between $100,000 and $125,000 which: is" to be used in a campaign of advertising, principally iir the country papers,- to show the people that a state Insurance- law would be against- the interests of the working people. It is well known thaf'the. insur ance interests have succeeded in kill ing. every attempt that .' has been made in.Minnesota to pass a so called state insurance law. The Minnesota State Federation of Labor many years, ago declared for the state fund plan for administer ing the.-work^ngmedi's compensation act. The iawVcr^atifig. the. present state'industrial commission was en-, acted, in the hope thi&t it would put a quietui^^on state Insurance. It has not succeeded. The state fund.pla$.has succeeded admirably: ia Washlhgtoil~ stnd- OhiO. In the tM^erestate' many inillions of dqllars bitive.been saved to employ ers and Ahe injured workers were actually eompensated, Whereas in Minnesota the compensation is but a pittance. -The employers' liability companies Jiave-tfrig|itened-.ihe other .insurance people into believing that the state, fund'systent of administering work inginen's compensation is but an en* tering)fr0dge' for .-state socialism eunid unless the jplanr.Ws^"Rilled nojv' it would^not be long before the stat'i wouid be dpihg a general insurance 'business. Of cours^^here is: nothing tb isucR argumen t. There are reasons Why c9mpa.nsation.law. which in? .'.ihy jthifc' laborife '^Itii'.iesire jfori pretty ^iD^^ted^^th^fco^r' ing: iitessibn jof: the legislature.- S Real Trade UnHHiisii) Fine Victory on Coast. The International .Union of Tim ber Workers has won its eight-hour fight at Weed, Cal„ and at Klamath Falls,- Or. These movements have been on during the entire year. The Klamath Fails timber bosses were ungracious enough-to publicly state that they "voluntarily restored- the eight-hour, day,".- despite the fact that they were'soundly licked in an attempt to establish the long work day.' "The winning of this strike means or to or northwest thsui immediate gains to those directly involved." union .offi cials declare. "The lumber lords cannot -success-, fully defeat workers who are prop erly organized. It also means that workers have again been- impressed with the fact that. complete and proper organisation is the only safe guard for the present their only hope fer: the. future.", ytivid^nds ih excess^df the: regulation ,5 per cent,^, are quite, common/ ^'.Orily reCehtiy^on the' floor of: the senate Mr.. Capper, Of Kansas charg ed the railroads w|th concealing trpfit^ yet' th^ public is continually warned that the roads "are facing bankruptcy, while the railroad labot board rejects the. shop men's living wig« demand. 2 fj&J :./'v The textile industry which has att^mitedj to reduce wages and Is respohsiblO for a loiig' strtke.^ tke past: summer, is now declaring Stock dlvid*rids.: Issues of. 50,' 100, f^nd 200 p4°r cent, to oppress thelr employes are common. The jsiwificance ofv stdck divi dends ahd tKer"profit' concealments is not. discussed by our "molders of public OplniOh.'* Vff .'j Those who have tho ^ublicity ma chinery to enllgbteB the peoplej on this" subject are,' In' tha stock'^vl' i. ^hey. too, are their dead It ai^sl^lr'puroose to keep alive the fiction of%h" wagds &nd tnef pauperisation o^f ind^stc^ a'hd cotti: ^*e*«e« Will Stmt ianltt Cwer Opiw slllon Wltli Jii Biz Propagan da Attempt to Cblw,ot orm Pabtk) to Sleep. By CHESTER M. WRIGHT The redrafted bill 'is" now in the 'hands of Giorge F. Russell, superirt. tendent df public utilities, who will •giyii a writteA report on* Its nifeHtS ifrprn jthe' point -of view of hls. de jpartment. It provides for a 5-c«nt caSfe^'fareVor for1 the sale of four ftokens for 26 cents, transfers being allowed, only on^ token fares or from a few specified "feeder^ lines. The National City Ban^of New York and the New Yorl: Trust, company are among banking concerns which publish periodical reviews of important economic financial and political events It appear* to be the intention to give these reviews the appearance of impartiality andtocreatethe imprMsion that they speak as die," final word of authority. Presumably they are distributed among stockholders and depositors but they find a growing circulation butinde of these ranks and they may be had by* anyone who will inquire for them. Under the three^rides-for-a-quar has, beebme more, ^neowsary than feasible, .-Seattle's city counclL is de termitied:' to slower appreciably the 8 i-3 cents cost of a trolley ride and let the -question: of practicability, be settled as best it may. under* the three-ride»-for-a-suar tef system, Seattle's municipal rail way: has been just about "breaking eyen" in paying off the $15,000,000 purchase price and interest thereon. Presumably the increase in patronage under a- lower' faite would enable the lines to continue to "break even/' Or perhaps, some other source qf rev-? enUe can be found for paying Off obligations.. These -. are side isuestions. is that Seattle's street .railway hiust serve a (greater, mitnber of Seattle persons ahd this* cianhot be"/done without a cut rin .. Jl. jV'v. ••:K "®^-^tS^d5of cutting ic^^ie^q^ for a cash «ductldrt. Mfr Carroll is which Several met^^hr^ arevrbelng-diflT cihnsed ribfflci^r.:nh^«n!«lft imi^' tant Of^ which gerald 5-cent fare bill, wiich th^ corporation counsel's office has just redrafted for tKe, council's official consideration some time 'this we^jc. Under t»e bill sclhobl .children's ratei are" to remain at -3 cents for' icasli fare, two child^eii ifor 5 cents, or tickets .good 'for" 10 rides for 25 cents, transfers being allowed either on cash or ticket fare for school children.'. .. Wiscoisin ConiressmanMik- Congressman Fretar of Wiscon sin has. renewed his. attack on Sec retary .of thf ^Treasury Mellbn for permitting great Vwealth to escape a a Under the. law the secretary-*caii levy a penalty.- of 2 5 per cent where hie. .believes !cbrp'bration's .hold 'sur- phises to evade payment *f -income ta^es^by individuals. .These .corpqr-, ations are now dividing their sur plaees throuth stbck dividends. Con gressman Frear says upwardsr of $2,000,0(^0,000 in surpluses^ arev es caping penalties and individual sur taxes because Cecretary Mellon re fuses to enforce the law. On 'the floor of the house Con gressman Frear^submitted a list of questions to the treuury official "Is it true," he s^ed, "that due to legal evasior.s possible under \exlst7 ing law, disclosed by the Secret=r«i cords of your bfflc?, tlj«t. Mr.-^ORlj efeller, Mr. -Kprgan, Mr. Mellon and Mothers of great wealth-,are not VtT iing-one-flfth -of-the. income tax they are poputerly supposed to P*^- vn* der the law based' on. their wealth,: ^lue to investments *n tax-free se curities, stock divldends, tru^ stock and bond exebanges andf other forms Jfo tax avoidance? I gather la so from your Official re)wC •These are matters ,that congress permitted to remain secret for il YeasonrKpparently, send I am hq^jtiif your answers will be speclfic, sorihat the. nidesstty Zpr- full putk llcity can be detfermined by Publishes Review. yThe Clevelandv Trust company also publishes such a review and the re view 'published bythat company is probably one' of the best in the field. What a. great many -persons un»' doubtedly do not realize is that these reviews in time of need serve as pro-v paganda agencies for high "finance and that their dignity and-seeming/ authority makes them the more ef fectiyc when a real, need arises. Tlie discriminating" reader, will, find much of interest and value in the. .pages: of these peflodicals, but thos«» who dO. not discriminate are likeS^ to be broughit to false conclusions on most important'matters. .' The publication issued by the Na-_ tional Cltybaj^k is Issued monthly' and averages about sixteen pages. The National City bank represents speculative finance just as Morcrap & company represents induutrlal nance. The National City bank, bin* ter than any other institution, typi fies Wall Street. .Nothing, has so disturbed the Na tional City bank as the recent elec tion in which progressives hostile .to' railroad profiteering and to plunder ing in general were so uniformly sue cessful if we aTe. to-believe the De cember issue1 .of jthe publication if-' sued by that^bank. ,j Finance Is Worried. It wlll be interesting to know why high finance lboks upon the pro ^tessive Victory as. such a menace. Theexplattation is* in the^following fliiotation/: fironithe Nktion^i Ciiy ban^: pubUcationVr "Notwi^hSttodihg the evidence that the ot ^j^gricuittiral pice«: 'ha».vJ»«n difeb'tly related to, tha posed in t|iu name relief for fttfolttl^. Whi'ch '^hecfc the Improvement a|^lcui|^s*i cbpdi^ns which is d^(wiyi-and thrQw the ciuntry back '^?S«?sfiite of dlsorduUsl^ton.. W& $nd'. conxiiisiQn. I ,^i|«jsfbck market,. whlch:4s-qul^fc to sense developments unfavorablela orderlyHusiness progress, has sko#ii declded weakness since the election, railroad shares leading', in. the de-: cline. Although tlie country evident ly is suffering from the inadequacy bf railroad facilities, due to the fact thit railrpad investments no longer commihd'the confidence of the pub lic,- oni Of the objects .of the revived Sulfation fe the repeal of the trans portatipn act defining what in the opinion of the legis!ative authority, is a fair, return upqn railroad pron erty ,-v ','#/• Nothing more would bie required^ to rnii^# flier railroad situation -hop^-k less. Railroad -service cannot be hai 1" without the facilities, and these Can not be had unless the inventing pub-: He is- assured of a return correspond- S ing to what can. b'e had )h other fields bf investment. View -commonly held at the sources of this -agitatlon" seems tc that the railroads *re. bwned by a few .rich bankers w-ho^ are -able to Rjit their hands in their.fe pockets^ for all the money .needed to provide the necessary expansion .qfv. service.".'.'"-.* "The' railroads, however*' are-nbt: owned by barikers -. the ownership is ^^5 widely: distributed and will respond .with additional- capital only ~as it be lieves the -investment to" be The strongest companies are able to. bor row, by- giving mortgages or stock, but this is just li*e putting a second mortgage .on a farm. This, process cannot" be carrled^Indefjnitfely^ be cause the margin "of safety, grows smaller. Proper financing of the. railroads requifes that' approximately one-half of the -capital-shall be ^presented by»capital stock in othi^ir- weirds, that proportion should be proprie- tary. capital,- in order to. obtain fa-1~, vbrable terms upon: borrowed money.f Very -little new capital has been raised fpr railroads by that means recently.^ .Expenditures for rolling*. Stock ^re financed mainly by,meansv Of equipment trusts,'the new equIpi^-.^ ,s£ ment being mortgaged for about 75 per cent of its cost." It, whl be noted that the stocky market is set up as an indicator^ .whlcli quickly detects un$pund^ d«-4jT :pai^tur^8.^!^ltpit Is really, the case Is, that the stock market quickly de* .^g tects^ develppiiients unfavorable. to speculative interests. The stock mar .k'^t^lSi'tto. indicator at. all?as to* -thf rMl, soiindnMs.. ot sconomic .• proj-. pOSalS. iv-v. .FJorgcta Gqod .Management. The liTattonal Gity bank assumes^ that we have an -*1na«eqn«cy ofr i| railroad ftusilities" because •iraflWakAk^t investments no Mnigirr command tbepu confidenee'.of'the'^ublic." Upon lhIS^| ther bank bases a.plea for retaining^. jthe EschCuipidhM law. It Is all vc" clever, but-' It- is also all vfcry Mf?!