h
corporations, if their average income is only $2,000 a year, the total
could be $500,000,000. If it is $4,000, their income would be almost a
billion dollars. On a 5 per cent. basis, the wealth of these corporations
would be nearly 20 billion dollars. It seems, on the whole, that the
wealth held by corporations is probably more than half our total wealth
rather than less.

* * * * *

The bearing of these figures on our subject is now apparent. All of this
property is disfranchised. It is, economically, to a very great extent
disfranchised; politically, it is altogether disfranchised. What I mean by
this is that the owners of this wealth, as owners, have very little to
say, and nothing to do, about its care and management. Probably more than
half of our people are directly or indirectly interested in it as owners.
They have been attracted by a desire to share, however humbly, in big and
famous enterprises, by the freedom from liability of the portion of their
estates outside the particular investments, and by the freedom at death or
withdrawal of associates from appraisals and accountings and probable
closing of the business, as is the inevitable practice in mere
partnerships. Two centuries ago people who saved money could hardly find
ways to invest it. The practice of incorporation has enormously increased
our wealth by putting a stop to hoarding without interest, stimulating
saving, and broadening industry. The number of individual owners of the
bonds and stocks of corporations is incalculable, and their holdings added
to those of savings banks, insurance companies, trust companies and other
fiduciary institutions, churches, hospitals, and colleges, make up a total
of almost fabulous extent. It is true that large sums are loaned to
persons, and on mortgages of real estate; but for most people such
investments are not desirable or convenient, and they are altogether
inadequate to absorb the vast sums that are available. In fact probably
most investments of this character are now made by corporations who gather
the savings of little depositors and premium payers; and it would cost
much more to make them in any other way.

* * * * *

Corporations, therefore, are necessary, but they necessarily separate the
ownership of wealth from its management. To invest is generally to entrust
your money to another, and those who invest in corporations, unless they
con