While the matter is one about which there is a great difference of opinion, the evidence on the whole seems to point to the conclusion that trust prices are higher than the prices which prevail under competitive conditions. This is what might reasonably be expected in so far as the trust is able to establish a monopoly. However, the mere fact that the trust charges higher prices than are charged under competition does not constitute an evil unless excessive prices are charged. It may be more economical in the long run to pay reasonable prices to the trust than to pay cutthroat prices to competitors who are selling at a loss.

A second evil in connection with the trust grows out of the secrecy with which its affairs are managed. This makes it possible for promoters and later for directors to misrepresent its financial conditions and thus to hoodwink innocent investors and stockholders. With the stock liberally watered the man who invests without inside information engages in a lottery. Again, the directors may be concealing profits when they exist or declaring dividends when they do not exist, and so manipulate the value of the stock as to injure the stockholder to their own advantage.

Especially baneful is the influence of the trusts upon competitive business. The trusts not only drive their own competitors out of business by unfair practices but they lower the tone of business generally through the fact that they stand out prominently as successful businesses whose success is often due to unfair competition. It is not to be wondered at, therefore, that the managers of smaller enterprises are often led by their admiration for that success to copy trust methods.

Finally, the political evil resulting from the trust must not be overlooked. The trusts have at stake important interests which are constantly threatened by hostile legislation. To save themselves from the danger they are practically compelled to go into politics. Thus, they are constantly seeking favors at the hands of the legislatures. They find that it is worth their while to corrupt legislators so as to accomplish their ends. The resulting harmful effects not only of the actual bribery of lawmakers but even of the widespread suspicion of bribery can hardly be overestimated.