sastrous change in that generally honest and progressive system of
industry which has evolved under the spur of private enterprise.

_Two Modes of Approaching a Monopolistic Condition._--The approach to
monopoly may be extensive or intensive. A fairly complete monopoly may
be established in some part of the industrial field, and the area of
its operations may then be extended. Smelters of iron and steel,
after attaining an exclusive possession of their original fields of
production, may become carriers, producers of ore, makers of wire,
plate, and structural steel, and builders of ships, bridges, etc.

On the other hand, a great corporation may have, at the outset, but
little monopolistic power, and it may then acquire more and more of it
within the original field of its operations. It may at first make
competition difficult and crush a few of its rivals, and then, as its
power increases, it may make competition nearly impossible in the
greater part of its field and drive away nearly all the rivals who
remain. It is necessary to form a more accurate idea than the one
which is commonly prevalent of what actual monopolies are, of what
they really do, of what they would do if they were quite free to work
their will, and of what they will do, on the other hand, if they are
effectively controlled by the sovereign state. Regulation of
monopolies we must have; that is not a debatable question. The
sovereignty of the state will be preserved in industry and elsewhere,
and it is perfectly safe to assert that only by new and untried modes
of asserting that sovereignty can industry hereafter be in any sense
natural, rewarding labor as it should, insuring progress, and holding
before the eyes of all classes the prospect of a bright and assured
future. We are dependent on action by the state for results and
prospects which we formerly secured without it; but though we are
forced to ride roughshod over _laissez-faire_ theories, we do so in
order to gain the end which those theories had in view, namely, a
system actuated by the vivifying power of competition, with all that
that signifies of present and future good.

_The Nature of a True Monopoly._--The exclusive privilege of making
and selling a product is a monopoly in its completest form. This
means, not only that there is only one establishment which is actually
creating the product, but there is only one which is able to do so.
This one can produce as much or as little as it ple