REVIEWS 125
positive benefit to society, and says (p. 196) : "Large-scale production adds to human comfort and well-being through increased production of material wealth. Large-scale production increases the margin between the human race and bare subsistence, or even starvation." The real significance of the trust movement, apart from natural mono- polies and special favors secured from these sources, is " nothing else than this general tendency toward increased size of the business unit" (p. 212).
The concluding chapter treats of evils and remedies. In so far as concentration has been attended with monopoly, Professor Ely dis- approves of the movement. Monopoly usually, though not necessa- rily, makes for higher prices ; and the existence of a class of favored persons is an important factor in the struggle for survival (pp. 217-25). It also may result in deterioration of the quality of the service or com- modity, when the stimulus of competition is removed (p. 226). More- over, monopolies are likely to exert a grievous pressure upon producers of raw materials (pp. 226-8). In any event, monopoly means despot- ism, and is likely to occasion the insolence and oppression to which despotic control is always prone. Human nature has not changed radically, and future experience is not likely to differ from the experi- ence of the past (pp. 229-31). Finally, monopoly excercises an undesirable influence upon the distribution of wealth, and produces a concentration of wealth which is a dangerous thing in a republic like ours (pp. 238-40).
Touching upon remedies, the author shows the futility of direct prohibition, the method which we have been inclined to follow in the past, and favors more indirect methods (pp. 240-45). He does not favor a refusal to incorporate large enterprises, but does desire a reform of corporation laws (pp. 245-8, 267-72). The reform of unequal taxation is good, so far as it goes (p. 249). Potential competition can be relied upon only when monopoly is not based upon favoritism of any kind (pp. 252, 253). Education, both general and special, can do something to equalize opportunities (pp. 255, 256). A reform of the tariff and of our patent laws, and the suitable regulation of inheritance and bequest, can do much (pp. 264-7). Even more can be accom- plished by a proper control of natural monopolies, which would abolish the special privileges and favors that many industrial combinations now enjoy (pp. 256-64). Here the author favors, upon the whole, the policy of public ownership ; and emphasizes the fact that his views upon this subject must now be regarded as conservative, since a change
