member was national in its scope and ripe for consideration, while the decision of the question itself should in all cases be left to a vote of the constituent members, i. e., the local chambers of commerce, boards of trade, and national associations that compose the organization membership of the National Chamber. The advocates of the latter course won and the by-laws were passed accordingly. Thus originated the Thus originated the well-known referenda of the National Chamber on national issues that affect business, by which the business sentiment of the country on these issues is sounded and expressed.

REFERENDA ON NATIONAL QUESTIONS

It has been a constant study of the Board of Directors of the Chamber and of its officers to make these referenda, containing the cases to be submitted with the ballots to be cast, draw forth the true opinion of the rank and file of the various organizations to which they are sent. It is a matter of education. In the first place, the board learns from each referendum something which enables it to make some improvement in the succeeding one.

A committee is carefully selected to make an investigation of the question and to prepare a report of its findings on the subject submitted to it. The Board of Directors then has the ballots prepared, and incorporates in the referendum not only the conclusions reached by the committee but also the best arguments obtainable adverse to those conclusions. The organizations are urged to study the questions upon their merits and to regard the report of the committee only as the opinions of the individuals composing it, based, however, on their careful investigation of the subject.

With each additional referendum there is a growing interest manifested by the organization members. We have, in fact, reached a point where we can feel assured that the replies represent the business sentiments of communities in which the organizations are located, or, in the case of national organizations, the sentiments of the members composing them. Each organization has its own ideas as to how such sentiment may best be reached, and the

Chamber of Commerce of the United States of America has not as yet thought it well to make any suggestions along this line. It is studying that question, however, just as it is studying the form and substance of the referendum itself, with a view of trying to reach the enlightened opinion of the rank and file of every organization on every subject submitted. It must be an enlightened opinion, however; that is, every individual who votes upon a question in his organization must be given some explanation of it, and be made acquainted with the reasons for and against it. In some cases special committees are put to work upon these referenda. They report the results of their deliberations either to boards of directors or to the organization's membership at large. This has generally been found very satisfactory. In other cases abstracts of the arguments are made, attached to the ballots, and mailed to the members. The replies are tabulated and recorded. The idea is gaining a stronger and stronger hold upon the members as it is becoming more and more realized that these opinions mean something.

A VAST MEMBERSHIP

Of course there are many more chambers of commerce, boards of trade, and national organizations than the 711 which constitute our membership to-day, but these represent nearly 400,000 individuals, firms, and corporations; and it is remarkable that so many have been secured in so short a time. A systematic effort to enlist the remaining organizations whose coöperation is desirable will be inaugurated during the present year.

One of the most difficult tasks of the Board is to select the subjects to be submitted to referenda. Of course, numerous questions are being propounded at all times by our organization members. Unless the subjects are of wide interest, however, and are at the time occupying the public attention, referenda upon them will not receive proper consideration from the associations to which they are sent. Up to the present time only twelve referenda have been issued. These are on the following subjects: (1) National Budget; (2) Tariff Commission; (3) Class Legislation; (4)

Banking and Currency; (5) Department of Commerce; (6) Legislative Reference and Bill Drafting Bureaus; (7) Federal Trade Commission; (8) Unfair Business Practices; (9) Merchant Marine; (10) Department of Commerce; (11) International Peace; and (12) the Seamen's Act.

GETTING AN INFORMED OPINION

The vote has not always followed the recommendations of the committee, which goes to show that the subjects have been studied and voted upon intelligently. There is probably no other organization in the world which attempts to submit the whole question to its constituent members as does the National Chamber. There is There is probably no other organization that undertakes to inform its constituent members so thoroughly and completely as to the merits of the questions submitted for decision. Its educational character in that respect is of inestimable value. What other opportunity has a small community in the interior of the country, for instance, to understand the significance of the Ship Purchase Bill or the Seamen's Act? And yet, each of these seriously affects the price of its wheat or corn or other products and has a direct bearing upon its prosperity. Every community should know the merits of the case on both sides and should give independent thought to it.

The Chamber wants this thought; the President and Congress' want this thought. How much better it would be for the country if legislation on industrial and commercial matters could be founded on opinions based upon such information and study! With each referendum there has been a distinct advance. The high purpose in view and the wonderful progress which has been made toward its attainment is seizing upon the imagination of the business world and carrying the organization forward to greater influence and achievement.

The referenda taken upon the activities of the Department of Commerce need explanation. The Department of Agriculture is doing magnificent work for the farmer. It is equally important that the Department of Commerce shall perform a similar service for the merchant, the manufacturer, the jobber, the banker-in short,

the business man. Such service is particularly important to the smaller business houses that have not the means to make investigations and researches which are essential for the development and expansion of our commerce, both domestic and foreign. A more thorough investigation of opportunities for the extension of our foreign trade is particularly desirable, as is also better training for our representatives abroad in the knowledge of our own resources and of the best methods of adapting them to the various foreign demands. An improvement of our consular service which, under the jurisdiction of the State Department, is a most important element in our commercial expansion-is equally essential.

The sentiment of the membership of the National Chamber on the extension of these services to the business men of the country was practically unanimous, and it has been very gratifying to note the progress already made in that direction. Much, however, remains to be done, and it is hoped that Congress will afford every opportunity for further extension of the service, especially abroad, at this time when the field is so inviting.

The work of the Chamber on the subjects submitted to referenda only begins with these documents. When the vote comes in it is carefully tabulated and sent to the President and his Cabinet, to members of Congress, or to whomsoever it ought to go in order to make effective the decisions of the Chamber as expressed in the referenda. Committees are appointed to follow these matters up in such manner as may be found most advisable. The activity of the committee on a non-partisan tariff board is illustrative of what can be accomplished if properly done.

A BETTER UNDERSTANDING OF THE LAW

The Chamber appointed a Committee on Federal Trade Relations after the passage of the Federal Trade Commission law for the purpose of keeping in touch with the activities of that Commission and with the Attorney General's office. It hoped to bring about a better understanding between them and business men who wanted to go ahead in accordance with the law, but who,

in its confused state, due to recent reversals of old decisions and conflicts in the decisions of lower courts, were unable or unwilling to do so in the face of possible prosecution, even criminal prosecution, for a misinterpretation of the law. The recent published interview between the Attorney General and that committee has cleared away much misunderstanding, and the business man who has an honest purpose and an honest desire to keep within the law can go ahead with the assurance that if he is mistaken or ill advised he may be stopped but he will not be punished for his mistake; whereas the deliberate lawbreaker will be prosecuted with all the more vigor.

The Chamber has recently opened a bureau for the study of local chamber work the country over, with a view of collecting data as to methods which have been found most successful. It wishes to stimulate coöperative community work in the commercial field, and to do this it must study the question itself from the experience of successful local organizations. We have only just begun to understand the great value of coöperative community work when based upon the principle of contributive service upon the thought of how much one can give to the common cause and not how much one is to get out of it. Every community of any size ought to have a chamber in which should be considered all matters which affect its welfare in the effort by common counsel and common endeavor to secure for the benefit of all whatever may make for their happiness and contentment. It is the purpose of the Chamber of Commerce of the United States to lend its aid to that end. Its bureau, organized to look after the interests of its individual members, has already done. splendid work. It is always at the service

of these members, and a letter or a visit will reveal the resources at its command.

The work of our Committee on Statistics and Standards is of inestimable value. Some of it has been appearing in our bulletins and in the Nation's Business. Its helpfulness in the Departments has also been frequently acknowledged.

The weekly bulletins on the proceedings of Congress and on commercial matters are becoming more and more valuable to

those who are directly interested in them. They are carefully prepared, succinct, and arranged so as to inform the reader at a glance whether any subject in which he is interested is referred to.

The Nation's Business-the monthly publication of the Chamber which every organization and individual member receives is an exceedingly attractive magazine. Its form and substance have both elicited much commendation, and it has begun to find a substantial circulation outside of the membership of the organization.

HOW THE CHAMBER IS FINANCED

To maintain the service which the Chamber has been giving both its membership and the country, it was found necessary to supplement its revenue from annual dues with an organization fund. This fund has been generously contributed by many who have become deeply interested in the work and have realized that it could not be properly conducted upon its income from membership dues for some years at least.

Its dues from organization memberships are one half of one per cent. of the annual fees of such organizations, with a minimum of $10 and a maximum of $700. They aggregate now about $30,000. The individual membership-the annual dues of which are $25-is limited in the constitution to 5,000, of which about 3,000 have thus far been secured.

The magnitude of the work cannot be realized at all without a visit to headquarters. The staff must be composed of the ablest men in their line obtainable, and no better staff is to be found anywhere.

The manner in which the organization is seizing upon the imagination of the business men of the country is amazing. The confidence it is inspiring by reason of its fair, impartial methods, its high ideals, and its broad, patriotic purposes is exceedingly gratifying to those charged with its affairs. That it is destined to grow to far greater proportions and to assume a larger place in the Nation cannot be doubted.

The recent Fourth Annual Convention of the Chamber was a busy and an inspiring scene. Question after question of great national importance was presented and pressed for action; but it has always been

the policy of the Chamber to act with deliberation and as far as practicable through referenda. Most of the questions were, therefore, referred to the Board of Directors for such action as it may think best, or with instructions to send them to referenda.

The Committee on National Defense strained every nerve to have its report in such shape as to enable the board to issue a referendum on that subject with as little delay as possible.

Other subjects, such as the maintenance of retail prices and the power of the President to veto items in the appropriation bills, will be sent to referendum later.

The present shipping bill, in some important respects, differs from that upon which the Chamber expressed itself last summer. The convention received as information the report of its committee reiterating its views on the question of the proper method of permanently upbuilding an adequate merchant marine and recommending that the board follow the course of the present bill, which appears to contemplate meeting a temporary emergency, but which at present is somewhat confusing, with a view of sending out a referendum upon it if at any time it may seem advisable to do so. The board has had this

matter under consideration.

Based on information given the convention that there was impending a breach between the railroad corporations of the country and certain of their employees

which might tie up traffic and travel over a wide area, the Chamber charged the board with the duty of instituting an inquiry into the facts and of taking such steps as might be found advisable to avert what threatens to become a national calamity. This the board intrusted to a committee, which was carefully selected with a view of inspiring the confidence of the public, and, as far as possible, of the contending parties. It is of the utmost importance that differences arising between men engaged in public service as are both the officers and the men elected and employed by the railroad corporations should be settled in some manner that does not seriously injure the public which they serve. The shippers and the public generally have ultimately to pay all losses resulting from interruptions. Surely the public has the right to insist upon a settlement of all questions arising among those engaged in its service in some manner which will not interrupt that service.

How this can best be done is the task set before the committee.

The purpose of this brief sketch of the Chamber of Commerce of the United States of America and its activities is to give some idea of the magnitude of the work upon which it is engaged, and some insight into its methods of operation. Its success has grown out of its firm adherence to the principles upon which it is founded; and its future will depend largely upon how faithfully it continues to pursue this course.