Staunton vindicator and general advertiser. (Staunton, Augusta County, Va.) 1858-1860, 1858-03-13

fr I've Dollars Ia Advance,
NUMBER IL.

I least tell which would be found sufficient q,
drive the commodity altoscthsr to some ri
~;tl -so'll, or compel rcsort FIR its supply
alfogelsc. t. s9uie. rissai market
This proAl|,.so..3 charge fixes another
limit for each article ami each position,
which it is apparent must never he trans
cendet', .ar even approached IL the adjnst
mens IF tie taf;3E
TO ind this prollibitory charge, even APP
proximately, in anticipation of the opening
Of the road, involves many doubtful ques-
tons and much careful Investigation. But
on road which has been several years in
active use, under an established tariff, it
presents no difficulty whatever, even tho
that tariff may have been established, az
most tag;ds ere, BY very random ggessts.
On such read there are simple processes
which it is unnecessary now to discuss,
which VIII always enable the constructor Of
the tariff TO ascertain with great prCc sion.
from the facts resulting from tie toll actu-
ally charged, just what toll would, on any
comnoity, be equivalent to its prohibition
fron, the line
ElaEipg employed these .naterals, we
sAe'sit' next construct tt talIf' IF proAtIHs-
~ CHARGES
". TIE trae charge for eqeh article aud
each position, ii a&ust 1e appareat, H;U be
.fonad son,ewhere Jetieeca tie oct,ua cost Of
transportation AID the prottJttory chorge.
In fact, It can be demonstrated that, ;f
VIC add together, for each article and each
position, the actual cost Of transportation
and the prohibitory charge, and take the a.
rithmeticai mean beiseen tie tvo, Ne -s}4ssil
have, in most cases, very nearly that charge
which will Yield the maximum nett rereauc.
in addition, we may know-for it can be
delaonstrated-that the proper and most j.
dicious charge can never be above, but
must always be somewhat below, he arith-
metical mean thQs obtained
Y. The next step in the construction of
tolL.shect should then be to form thnd Ia
riff, by adding together for each article
and for each position, the cost Of transpor-
iation and the prohibitory charge, and tax
ing half their sum as a near approximation
70 that charge which will yield.the greatest
nett revenue.
A company proceeding this way-irst,
constructing tariff of expenses; then the
tariff Of prohibitory charges; and, thirdly,
an average tariff, representing the charges
which, if applied, would yield the maximum
nett reyenue-would have obtained the la
sis OF an advantageous tariff, and safe test
of the charges which they would propose to
aaoat
The work, thus far, shoald be performed
by competent engineer, or other officer
properly qualified, as the solution OF pur,-
j. scientific problem This party should
have no discretionary power. His province
sa4ol2ac' be simply and exclusively to con
stract a tariff, ~ tnis process, which will
produce the greatest possible nett revenue.
lie should keep clear journal Of the steps
By which he arrived at the cost of transport
tation, and by which he determined the pro-
hibit2ry charges for cash article and posi-
ton.
vi. The duty Of the board Of directors
to The stockholders and to the public is mex.
to be discharged.
There are questions sog policy, beyond tie
mere attainment of the present maximum
nett revenue, which may properly exercise
some influence upon the course Of a ccmpa-
ny u the establishment Of its tariff. Tbere
&c often admissible determinations TO be
made. There are sometimes present sacri-
fees which may be incurred with Q view TO
prospective advantages. Bat, whatever
may be the practice, these arc net questions
foi the executive or subordinate officers .ss
the company to decide The Responsibilities
is too serious. The consequences of an a.
buse or q lcose exercise Of so great poger,
are too momentogs. 81 is for the board Of
directors alone to determine when, %i4sre,
and TO what extent to permit these special
coRcessiong il favor Of peculiar interests or
with a view to prospective gains. But the
dlrqotozs cannot perform their duty in this
respect safely, and with q knowledge Of
what they are really doing, nnloss they have
preliminary tariff, showing the charges
wllica will yield the maximum nett revenue
lcr each article and each position before
them. Tie charges which they propose to
adopt mast be tested, item bg ZEN, bg this
preliminary scale.
VII. The tariff which has thus been
framed and exported to the board fur thei,
gen .ral guidance must be accompanied With
estimates for each article and position, CT
thessq4aatities Of freight which will be fur
nishsd, under the charges which it is esi.-
mated Will produce the maximum nett rev
.sare. This schedule Of quantities will fur
nish tbs board q safe guide 20 the consc-
quences to the revenue, Of aQy concessions
which they may propose to make ip fayqr +
special interests,
| know that this viii be regarded as a il-
borious method Of doing that which is usu.
ally performed in quick ofF-hand was- q
will be objected that BY this SYSTEM tic for-
nation of a tariff is work Of great labor,
and requires an intimate knowledge Of thr
trade to be accommodated. the influence Of
rival works, and the effect Of the charges
upon the tonnage Of the road; and that, -
carry out the plan upon son2e lines, woull
require the cutiyc time Of sssl intelligent Off
Ger, who could really do little else than
study the traffic and circumstances Of the
road, asar So tributaries and rivals, With
their neVer-caaSing changes
That i, quite true. But, let mc ask ii.
reply, what subject can be presented to q
baa.d Of lail road di;es tors e greater i'm
portance Ct moro worthy 81 labar and study
thar the preparation Of its tariff Of charge +?
4'e expenses o. the company are met or
ought to bc Aet. by the revenues derived
frntu IL t,riG M ;,.or1t l., u ~,