The truth about socialismBenson, Allan L. (Allan Louis)
General
The truth about socialism
Benson, Allan L. (Allan Louis)
Socialism
Suppose Mr. Wilson try to enforce the criminal clause of the Sherman
Anti-Trust law and put the coal magnates into jail? Suppose he try to
compel the component parts of the Coal Trust actually to compete with
each other. What will happen?
This will happen. The component parts of the Coal Trust will refuse to
compete. The men who are at the head of the coal companies are business
associates of long standing. They know each other well, and they know
well that none of them can make any money by fighting any of the others.
So, when one gentleman announces a schedule of coal prices, none of the
others will undercut him. All of the other coal companies will announce
the same prices, because the owners of each company will also be the
owners of all the other companies.
Did you ever stop to consider what position the government will then be
in? Will not its hands be tied? Can the government go into court and
demand that the other companies cut their prices? Suppose the other
companies say they cannot cut their prices without losing money? Suppose
the other companies say nothing at all, except: “This coal belongs to
us. We have quite as much right to fix our own price upon it as has the
government to fix its own price upon postage stamps. That other coal
companies have fixed the same price we have is no more the government’s
business than it is because several grocers fix the same price upon
sugar, bacon, tea or coffee.”
It will then be up to the government to prove that the identicality of
prices is the result of conspiracy. If conspiracy cannot be proved, the
government can do nothing. In such a case, the government would never be
able to prove conspiracy. The coal operators would not conspire over the
telephone, or on the street corners. There would be little for them to
conspire about, anyway. All of them would be financially interested in
all of the companies, precisely as Mr. Rockefeller is financially
interested in all of the constituent companies of the Standard Oil
Company. The matter of price-fixing would probably be left to the
dominating personality of the group, precisely as it is now left, more
or less, to the strongest man among them. And, the prices he fixed would
speedily become the prices of all.
Thus do we perceive a peculiar feature of the human mind. Individually,
we know what we should like to do about the Coal Trust and the
railroads. We know we should like to own and operate them. But
collectively we know no such thing. We do not get together. We act as if
that which each of us believes were believed by no other than himself.
We are like butter that will not “gather” or bees that will not “hive.”
Public-domain text, read in full here on John Shaqi.
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