TRUSTS, COMBINES, ETC. Ill 



success, claiming, of course, all for the public benefit. 

 The formation of a trust is determined upon by the most 

 powerful of the industry. These give notice of their 

 decision to all engaged in this particular branch of busi- 

 ness. The terms and stipulations are often of very 

 objectionable character ; to the smaller concerns, very 

 unfair and oppressive. But rather than suffer the annoy- 

 ance of continuous competition by more powerful rivals, 

 they yield and become subject to it. Those who refuse 

 to enter the grand union are squeezed out of existence ; 

 witness the "frozen out " sugar refiners, oil operators, 

 meat dealers, etc. 



One of the first effects of these combinations is to 

 destroy all healthy markets for the sale of raw material. 

 Only one appears as purchaser, whereas, before the 

 union, many were appearing. The result is disastrous 

 to those who must market raw materials, unless the 

 owners of these raw materials are also in a similar 

 combination. 



The Butchers' National Convention in Philadelphia 

 recently denounced the Western beef pool at Chicago as 

 "the most infamous tyranny that ever existed in the 

 United States. . . . We think also that the worst 

 combination in the country is the beef, pork, and adul- 

 terated lard packers. The prices of cattle to the pro- 

 ducer having gone down 50 per cent., and the price to 

 the consumer having increased, every single dollar of 

 the difference has gone into the pocket of the com- 

 bination." 



An instance of the power of trusts to control the price 

 of raw products occurred at the port of New York in Feb- 

 ruary of that year (1888). A cargo of 1,200 tons of raw 

 Manilla sugar arrived, and was offered at auction — the 



