roperty rights than could
be countenanced now; and as already seen, it would work to the detriment
of every person in the community. We cannot go back to the stage-coach,
the workshop, and the hand-loom of our ancestors; we cannot, if we
would, undo the growth of a century in civilization; and it is well that
it is so.

But while most men see the benefit which has resulted from the
consolidations already effected, there are but few who are not opposed
to further consolidations. It is argued that the reduction in the number
of competing units results in increasing the intensity of competition,
which is assumed to be a desirable end; and that it has also worked
great benefit in the reduction in cost. Having attained this, it is
proposed to stop further consolidations and prevent the establishment of
monopoly. This is what most of the present plans for giving relief from
monopoly propose to accomplish. Certainly the task is no easy one; let
us inquire if it be even possible.

We may safely assume, in the first place, that the competitors in any
industry will always be reduced to a very small number before the public
will be sufficiently aroused to make any movement for the prevention of
consolidation. So long as a monopoly is not imminent, usually, indeed,
so long as it is not in actual operation, no one cares or notices how
far consolidation and combination goes. Now by the laws of competition,
when the number of competing units is small, competition is intense and
wasteful, and acts to so reduce the returns from industry that
combination and the establishment of a monopoly are a natural sequence.

Evidently this result can only be prevented by some interference outside
the industry itself. If we allow it to take its own course, a monopoly
is certain, sooner or later, to be formed. But the only agency which has
the right and power to interfere is government. The question then is,
can government successfully interfere to prevent intense competition
from bringing about monopoly? In order to do this it must of course keep
competition in action; but it cannot do this directly. Competition is
essentially a strife. No law was ever enacted which could force two men
to fight if they were really determined to be at peace. No law was ever
enacted which could force two manufacturers or merchants to compete with
each other in price, if they really were agreed to sell at the same
price. The common-law principle that contracts in res