Contemporary American History, 1877-1913Beard, Charles A. (Charles Austin)
History
Contemporary American History, 1877-1913
Beard, Charles A. (Charles Austin)
United States -- History -- 1865-1921
The tendency of manufacturers to centralize was accompanied, as has been
pointed out above, by a similar centralization in railways. At the close
of the nineteenth century, the Vanderbilt system operated "some 20,000
miles reaching from New York City to Casper, Wyoming, and covering the
lake states and the area of the upper Mississippi; the Pennsylvania
system with 14,000 miles covers a portion of the same territory,
centering particularly in Ohio and Indiana; the Morgan system,
operating 12,000 miles, covers the Atlantic seaboard and the interior of
the Southern States from New York to New Orleans; the Morgan-Hill system
operates 20,000 miles from Chicago and St. Louis to the state of
Washington; the Harriman system with 19,000 miles runs from Chicago
southward to the Gulf and westward to San Francisco, including a
Southern route from New Orleans to Los Angeles; the Gould system with
14,000 miles operates chiefly in the center of the middle west extending
southward to the Gulf; in addition to these great systems are a group of
minor combinations such as the Atchinson with 7,500 or the Boston and
Maine with 3,300 miles of road."
Corresponding to this centralization in industries and railways there
was, as we have pointed out, a centralization in the control of capital,
particularly in two large groups, the Standard Oil and the Morgan
interests. As an expert financier, Mr. Moody wrote in 1904: "Viewed as a
whole, we find the dominating influences in the trusts to be made up of
an intricate network of large and small groups of capitalists, many
allied to one another by ties of more or less importance, but all being
appendages to, or parties of the greater groups which are themselves
dependent on and allied with the two mammoth or Rockefeller and Morgan
groups."
* * * * *
Facing this centralized national economy was a Federal system made for
wholly different conditions--a national system of manufacturing,
transportation, capital, and organized labor, with a national government
empowered, expressly, at least, to regulate only one of those
interests, transportation--the other fundamental national interests
being referred to the mercy of forty-six separate and independent state
legislatures. But it is to be noted, these several legislatures were by
no means free to work out their own program of legislation; all of them
were, at every point, subjected to Federal judicial control under the
general phrases of the Fourteenth Amendment relative to due process of
law and the equal protection of the laws.[77] To state it in another
way, the national government was powerless to act freely with regard to
nearly all of the great national interests, but it was all powerful
through its judiciary in striking down state legislation.
Public-domain text, read in full here on John Shaqi.
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