The enormous and increasing values and profits represented by American business corporations have attracted general attention to corporate activities. The problem of corporation regulation is perhaps the leading issue of the day. Each of the leading political parties is committed to programs of corporation control, particularly in the field of public-service corporations. Many laws have been passed to supervise the activities of corporations, to control the administration of corporate income and expenses, and to limit capitalization. One of the most important elements of our economic life, the business corporation, is being taken under the direct supervision of the Government.

As yet, however, this control, regulation, and direction has proceeded with only a partial understanding on the part of legislators and administrators of the constitution and operations of the institution with which they are dealing. The best and most recent evidence of the inadequacy of knowledge upon the subject of the financial methods of corporations is the authorization by Congress of a commission to inquire into the circumstances connected with the issue of securities by American railroad companies. It is the task and duty of the American college and university to do its part in disseminating among our people, through the students who pass under its direction, correct and comprehensive information concerning all phases of our economic life. To assist this work in the field of Finance this book has been prepared.

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