Standard Oil Company; Trusts, Industrial -- United States
As to the effect on the working-man, the demand for labor declined,
wages went down, and the number of unemployed increased.
When there was competition in Cleveland the great company could not
afford to have its skilled workmen idle, because they would seek
employment with the other refineries; but now, having the refining
business all in its own hands, when it was temporarily to its advantage
to refine oil in Pittsburg, Oil City, or other points, in preference
to Cleveland, it could with impunity let its hands remain idle in
Cleveland, knowing that when it wanted them it could easily secure
them, as there are no other refineries in Cleveland to employ them, and
"that has been a very serious injury to working-men."[101]
There was no pretence that the design of this contract was not to make
oil scarce--_i.e._, dear.
In the affidavit which was made in support of the injunction the
principal reconciler showed that his company had restricted itself
as much as it restricted these competitors. He urged as the reason
why the contract had been made and why the courts should sustain it,
that "the capacity of all the refineries in the United States is
more than sufficient to supply the markets of the world, and if all
the refineries were run to their full capacity they would refine at
least twice as much oil as the markets of the world require; that
this difference between the capacity of refineries and the demands of
the market has existed for at least seven years past, and during that
period the refineries" of his company "have not been run to ... exceed
one-half of their capacity."
When these surviving independents of Cleveland were forced into this
adventure, in 1876, the source of the power which could compel "free"
citizens in this age of individualism to execute such a bond was not
known. The appalling mortality among the independents showed that
something was seriously wrong. There was something, however, in this
"Agreement for an Adventure" which pointed straight to it. That was
a clause which guaranteed those who became vassals that they should
have the same freight rates and get back the same rebates as the
monopoly.[102] "Had the monopoly the power," said the Hon. Stanley
Matthews, "to procure freights on better and more advantageous terms
than the rest of the public engaged in the same business?... And
if they had such power, how did it get it?... If this or any other
corporation is allowed to exalt itself in this way and by these means
above competition, it is also exalted above the law."
Public-domain text, read in full here on John Shaqi.
Reviews
Reviews
No reviews yet
Be the first to share your thoughts on this work.
Join the Discussion
Join the discussion
Sign in to leave a comment or review.
Sign InorCreate an account