Staunton vindicator and general advertiser. (Staunton, Augusta County, Va.) 1858-1860, 1858-06-12
From the aSnutb.5i
RaiIroxs Administration in the n, STATES,


From the ssSouth.,,
Railroas Administration in the q. States.
An article in another column forcibly il
illustrates the relative cost Of railway man
agcment IN Europe and the United States.
FITS statement of facts severely impeaches
the neglect and extravaganza of the Amer
can system.
Thc writer undoubtedly assigns aH' opera
tive cause for the greater economy for Eu-
ropcan railway management in comparisons
with the expenditure Of the American sys-
tenn, when he distinguishes the superior con-
struction and durability Of foreign railroads,
and averts to the necessity Of frequent re-
pair which absorbs so large a proportion of
their profits in this country. Perhaps, too,
something must be allowed for the deaser
population and more perfect developments Of
Europe, if, indeed that advantage be not
overcome BY the greater propensity to loco
motion which characteristics oar active. and
ad7eAturous people.
We take it however, chat the disparity Of
expense in the management of American
and Europeans railways, is mainly attribu-
table to other ca,sses than those developed
by the writer Of the article in another coli
umn.
1t must be acknowledged That III tile de-
tails Of administration, absolute govern
ments enjoy certain advantages which can
scarcely be attained in community where
the greatest latitude is allowed to, popular
caprice. The fact is strikingly illustrated.
in this very matter Of railway management.
In Europe railroad enterprises are very
much under the control of government, as
concerns both their origin and the admins
tration Of their affairs. Before any new
project can be Put in operation, it must
have the sanction Of "a central authority,
which IS independents Of local bias, and is
governed m its Judgment by a regard to
the general interests Of the country. And,
in the management of railway i'm
this same authority iaterferes
to correct asy abuses Of administration that
might be detrimental to the profits of the
system. Ere, result is, that, other things
being equal, European railways yield div
idend in proportion to the stringency Of sa~
pervision exercised over their administra-
ton by the central governments.
We marriage the thing differently IN this
country Each State has its peeuliar sys-
fem of internal improvement, which, so far
from being projected wisb reference to the
systems of other States, is often in direct
conflict With tfiena Nay more; very rare
y do VIC observe any consistency of plan
Of unity of interests in the internal improve
meat policy Of a particular Stale. New en-
berprises arc projected with an exclusive re-
gard to special localities, and without the
femetcst chance Of correspondence with 9TH
Of members of the State system. In fact,
It sometimes happens thas railway is char
tered for the express purpose of intercept
ing the trade a g rival caterprize- The
result is. that an Internal Improvement map
IF the United States, or Of any particular
state exhibits the incoheseacy Of design.
,nnfliet Of interest and s.tihty Of effect which
we might antieiFaee Of a system determined
BY chance or projected BY lunatics
But the evil is carried to still more mis-
,Eievous extreme. AS if it were not enough
70 have their profits diminished by the inev-
table abrasion Of rivalry, the railway enter
priscs of the United States deliberately an
nihilate their diyidesp9s by ruinous reluc-
lion in freights and charges. If we might
employ the expressive solccism Of an enthu-
siastic Hihernian, we would say they are
guilty Of nlatual suicide
Erosa tliis explanation Of Shecas1ses of the
sssproductiyeness Of AMERICAN railway en-
terpaisea, il follows that their management
needs reform IN these particulars First she
shpa1d absta;aa frem the indis-
crl1ninate charter Of new companies wibhout
refesenee to established interests ), secondly,
She Legis latures should reserve the power of
Forbidding the sacrifice of the rights of stock
holders BY a foolish persistence in an injur-
Ious competition; thirdly, boards Of admin
in railway corporations, Should work
wish a more distinct view to realization of
profitable dividends.
In its essential idea ca Internal improve
Iaent enterprise is consncrcial speculation
Ehe general convencnee-is an, Incidental cir
return Of adequate profits
on their outlay being, the main object Of those
who invest sheis meney in the undertaking,
So far as the Legislature penuture to embark
the publis means aud credit in railway pro-
jects, it assumes an obligation to protect the
rights Of the Commonwealth from. sacrifice
BY mismanagement. So far as a directors
the interests Of individual stock
holders, he contracts Oh engagement to pro-
mote them before any other object It is
violation Of faith and official duty ia the
either By its oxn act or by ao-
quiescence in the act Of another, to hazard
the security and the value Of investments
which it has made in the name of the Com
and induced for the benefit Of
1t is breach of trust in d.
rector to confiscate the dividend of a stock
holder, whether by mad persistence in ruin
Gus competition, or with the view Of concil--
iating public favor
We are authorized by tie results Of ample
experiment in Europe and the United States,
to predict that railway enterprises in this
country will prove more productive Invest
ment wten their administration is governed
by these obvious principles Of justice and
sense
4 Neu Question in Lar During. tie
Cirsuit Court novel and interesting ques-