The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1856-12-11
Rs,lroads. All Over the World.

The success OF M. Periere and his associates in
obtaining the concession Of the Russian railways
is not apparently thought 20 much Of in England
az on the Continent of Europe. TIE London
press regard the Russian railways as mere mill
tary roads and laugh at the idea Of the Emperor
Of Russia asking these very people to build them
against whom they will be used. Still, il seems
certain that the Barings have undertaken to dis
pose OF th: eesixteenths Of the stock in England;
il will be question between the power of the
press and the covetousness Of capitalists. The
Czar guarantees five per cent net on the money
actually laid out, and admits the iron aud all
other materials free Of duty. Notwithstanding
which. the Times has poor opinion of the stock
ne an investment. and warns its readers against
purchasing It.
The T,nes refers to British experience OF rail-
ways. We published the article yesterday, but
the allusons 10 the past cannot be so well under
stood in this country as they were abroad. 1t
may be said briefly here that the English, ten
years ago, were all mad on railways; that scores
Of companies were chartered every year, and
hundreds Of miles opened; that some OF the lines
pretended to earn. and actually paid dividends Of
eight and ten per cent; that in 1876, Al, '48 and
40, all these roads or the greater part of ther
exploded, and the persons who had put their
money in them on the strength Of the large
dividends lost II all aud that now, it Is well
understood that, populous as England is aud
prosperous her people. English railways cannot
earn the legal rate Of interest on their cost.
With such a lesson the English may well be
cautioned against dabbling in Russian securities.
On the Continent Of Europe, railways have
had q somewhat different career. In Franc I
Belgium, Prussia, Austria, and Piedmont the
government has always been more or less
directly concerned in them. Ii was a case in
which the peculiar advantages Of despotism "
were a particular utility. For instance, no
foosh routes were allowed to be built. Com
petng lines were contraband. The rates Of
travel were fixed by law, on careful examina-
ton Of the cost Of working roada All the power
of the government was called 10 to assist the
railway in carrying out it, police, and its regula
tons. In some cases, the government guaran-
teed minimum of interest: in others IL was itself
a large stakeholder; others obtained from it
remission Of duties and taxes. Under this sys-
tenn certain railways Of the Continent have paid
their way Many, especially in Germany, are at
present insovent; but the Belgian roads-which
are as a system the most admirable In the
world-are believed TO earn fair profit. Some
of the French roads paid eight, ten and fifteen
per cent carrying passengers at two cents per
mile. OF course there is a swindle here, which
viii come to light on that approaching day,
when all the French bubbles burst.
The popularity Of oil these Continental roads
has been that they have been intended as mere
technical improvements on the old stage and dill
rence routes and that in most cases the profit
Of the line as an enterpfise-has been the prime
object sought.
Now, in the United States we have pursued
very different plan. We have built rather more
than twice as many miles as they have in all the
rest Of the world: and by the tine the Russian
roads are built we shall have three times a. many
miles Of railway in operation as all the rest Of the
world. But with us the profit OF the liae as an
enterprise, has been The last consideration, the
opening Of new fields Of agriculture and produc-