298 THE POPULAR SCIENCE MONTHLY. 



paratively similar organizations concerned in the manufacture of 

 each particular product into a decreasing number of organizations 

 characterized by increased centralization of control and the exten- 

 sion of their operations in a widening field. This tendency is in 

 exact accord with the law of evolution as defined by Herbert 

 Spencer, and the heterogeneous aspect presented by the different 

 coexistent degrees of combination in the industrial field analogous 

 to the heterogeneous aspect presented by the various coexistent 

 stages of development in each sphere of evolution throughout the 

 universe, all phenomena of which are now believed by the deepest 

 thinkers to proceed in accordance with that law. 



It is true, however, that in the processes of this industrial de- 

 velopment are phases affecting adversely the fortunes of classes 

 and individuals, although working to the benefit of the commu- 

 nity as a whole, and there have been phases entailing actual 

 oppression without other attendant good than the bestowal of 

 experience. 



The displacement of human labor by machinery and improved 

 economical methods has been the cause of much outcry from 

 those whose earnings have been immediately affected ; but that 

 readjustment to meet the advanced conditions can not but be 

 beneficial to "society as a whole perhaps needs at this time no 

 extended defense, and likewise with the displacement of labor 

 caused by the cessation of industries at particular places under 

 stress of competition of more favored localities. 



In the first reaction from the unremunerative prices forced by 

 competition, a combination sufficiently powerful to do so often 

 raises prices of a product to a point as unreasonably high as 

 previous prices were unreasonably low, and this is the basis for 

 one of the apparently potent arguments against the toleration 

 of trusts that they are oppressive to consumers. But there is 

 the reply, first, that the desire to obtain the increased profits 

 consequent upon an extending sale of the products will cause the 

 most enlightened managers to keep their selling prices at the 

 lowest point that consistent with profitable production will to 

 the greatest extent increase consumption. When, however, this 

 consideration does not prevail, there is a further check upon the 

 maintenance of exorbitant prices in that capital, which tends to 

 flow into the field in which greatest profits can be made, reduces 

 prices by engendering new competition. Delay in the action of 

 this corrective frequently has been caused by the fact that the 

 making of enormous profits for a time is kept secret oftentimes 

 by a combination engaged in an industry requiring a plant for its 

 operations so extensive that great capital and experienced mana- 

 gers are necessary to establish successful competition ; and the de- 



