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221 Annals Am. Acad. Pol. & Soc. Sci. vii (1942)

handle is hein.cow/anamacp0221 and id is 1 raw text is: FOREWORD

SEEING every day new things which
the state ought to do, the next thing is
to see clearly how it ought to do them.
So wrote Woodrow Wilson in 1887, the
year in which the Interstate Commerce
Commission was created. The reason
for this volume could not be better
epitomized. Nor, from the viewpoint
of the present context, could Wilson's
observation have been made at a more
apt moment, for with the establishment
of the Interstate Commerce Commission
-prototype of the modern regulatory
agency-government by commission was
inaugurated in national administration.
The event thus marks the most signifi-
cant early stage of a development whose
modern manifestations are so far reach-
ing that they can be caught up only in
sweeping phrases: the administrative
state; administrative absolutism; the
managerial revolution; the administra-
tive process. Time. need not be spent
in probing the precision of such coinage.
It at least is symptomatic of a real con-
dition: the locus of power in organized
government is on the move, and the
direction of the shift is unmistakably
toward administrative agencies.
The prime functions of government,
viewed as a process, are to determine
policy and to apply it in individual in-
stances, including those that are contro-
versial. Administrative agencies have
become ascendant because they have
been virtually constituted as micro-
governments within their spheres of
operation, exercising the totality of gov-
erning functions without the hindrance
of the doctrine of separation of powers.
Great segments of policy control have
passed from legislative into administra-
tive hands. The development of admin-
istrative legislation has been paralleled
by the growth of administrative adjudi-
cation. The result is that an adminis-
trative organ fashions, within only the
vii

broadest limits, the policy of regulation,
administers it in uncontested cases, and
adjudicates the incident controversies.
Further, its actions tend to be final, sta-
tistically if not legally, since the great
number of administrative determina-
tions go unquestioned. This is the
modus operandi of modern regulation,
ever more widely employed in the states
as well as in the Federal Government.
Since 1887, the new things under-
taken by the state are legion. It is a
commonplace of contemporary observa-
tion that private enterprise is widely
encompassed by regulatory control. In-
creasingly, the extent of this control
amounts to public management. The
potentialities of this development heav-
ily underscore the need to see clearly
how the state's control should be exer-
cised.
The war heightens the force of this
conclusion. The complete mobilization
of the Nation's powers means, of course,
direction of the entire economy by the
government. In the postwar era, it is
probable that the tide of control will
not recede as far as it has risen.
Wartime urgencies, furthermore, are
sharply accentuating the trend toward
administrative ascendancy. While there
can be little doubt that the method of
administrative regulation is here to stay,
it is equally certain that we have not
yet seen clearly how it is to be perfected.
Basically, the problem is to effect a so-
cially desirable balance between efficient
regulation in the public interest, and a
fair regard for the rights of those whose
activities are controlled.
Search for a solution has already en-
gendered a considerable and controver-
sial literature. The issues have recently
received much public attention, culmi-
nating in Congressional action upon
the Administration's reorganization pro-
gram and Congressional approval of the

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