The money that is made by the cheaper conditions goes into the pockets of the members of the Trust, and they often become enormously rich, through the higher price which they thus force the people to pay.
All the necessary articles of food in daily use are controlled by Trusts.
There is a Sugar Trust, which dictates the exact number of cents a pound you must pay for your sugar. A Coffee Trust, which fixes the price of coffee. It is the Coal Trust which keeps the price of coal so high in winter. There is a Gas Trust, a Salt Trust, a Wall-Paper Trust, and indeed a Trust for almost every necessary and useful article.
You notice probably that the most of the Trusts are producers of articles that we are obliged to use.
If the Coal Barons, as they are called, asked ten dollars a ton for coal, we would still be obliged to use it. We could not go without fires.
If a Meat Trust said our meat was to cost a dollar a pound, we would still have to buy it. Our sugar is another article which we cannot do without, and for which we are obliged to pay whatever price the dealers choose to ask.
Do you see now wherein Trusts are dangerous to us?
The Democrats last fall declared that if their candidate was elected President of the United States, they would make laws whereby the Government should be able to control and regulate Trusts.
The Legislature in Albany, wishing to prevent these combinations from gaining so much power that they become a menace to the public, has appointed a committee to investigate the workings of Trusts.
State Senator Lexow was made Chairman of the committee. He is that Mr. Clarence Lexow, who was chairman of the committee which looked into the way the police were doing their duty a short while ago.
Senator Lexow has come down to New York City with full power to call the officers of the Trusts before him, and make them tell him how they manage their business, how much money it costs them to produce the articles they manufacture, and how much profit they make.
When the inquiry is finished, the committee will report to the Legislature at Albany, which will then decide what action shall be taken.
The Trust Investigating Committee has found out from the Sugar Trust, that the price of sugar has been lowered since the Trust was formed. But it has also been learned that sugar has not been allowed to fall in price as much as it ought to have, and that while sugar is cheaper than it used to be, it could be much cheaper yet, and still pay well for the making.
With all the Trusts the story is the same. They have slightly cheapened the price of the goods they handle, and have then controlled the market and prevented any further reduction.
Each Trust declares that it is a positive benefit to trade, and while it is true that they do employ a vast number of men, and make the best quality of goods at apparently the lowest possible price, it must not be forgotten that the public does not benefit as much as it ought by the low cost of production, and that all small manufacturers are driven out of the business by the enormous power of the Trust.