The daily phoenix. [volume] (Columbia, S.C.) 1865-1878, 1866-06-07

.: Inc Necessity IOr the Stze OF present
tariffs, showing that they have not been
Increased beyond the general advance .oi
the cost OF labor and other values.
4. The error OF assuming that a cores
pondlng increase Of business from every
reduction Of the tariff, claiming that there
is limit to the exposure by telegraph of
commercial and social correspondence, and
nearly all communication not recurring inn
mediate despatch.
S. The necessity for combinations of
lines, not only to enable companies to eco
n"mizo their expenses and preserve the
value OF tslegraphic property, but for the
out unnecessary expedition under a single
management and responsibility, thus
avoiding the chief cause Of error.
e. That these combinations are necessa-
ry as preparatory steps before tho con-
summation sum OF the great enterprises which
and which, to be successful, must be under
simple and harmonious control.
7. That the consolidation of telegraph
companies has been the result OF mutual
necessities, showing that the expenses of
maintenances, usually regarded as small
Tor two vigorous companies to contend for
business, and maintain to their properties
any commercial value.
.. That the average earnings OF the larre
companies, popularity represented az cnor-
nous, have been very small the united
during the past year.
.. That the United States Revenue Tax
has averaged over four cents on each ,nes
sage, independent of local and State assess
nlonts, which have, in some States, been
equal to four cents more. That the reve-
nue. tax on the net receipts Of tho Ameri-
can Telegraph Line, for 1865, was twenty
three per cent. If tho income tax on
dividends in the State of Texas were added
the total tax would bc about one-t third OF
the entire net receipts.
=, ~. That any attempt to found a system
like that proposed, and sustain it upon it's
own resources, must be unsuccessful It
IL claimed that the proper functions Of
Govornment are in the protection Of pri-
vate enterprises, and that Government
should neither compete with nor reprcss
1t so long as proof is attainable Of the cor
rectneSs OF the basis on which the business
ID transacted.
IL. mat under our institutions, a telc-
graph system controlled by the Govern
ment must be, in the nature of things.
Objectionable. Especially must it be so to
the press, to all actively interested in the
pontlcs OF the nation; aud that the lines
could not fail, sooner or later, to become
mere Government vehicles for espionage
and power.
~. Denies all tho public statements
made OF the cost of constructing lines as
visionary and untrue. Ii is shown that the
expenditure for the mere cable laid in the
hudson River, to connect New York and
Washington, exceeds the whole amount of
the public estimate made II the cost of an
entire line between these cities. Much
c"ilateral information is given, including
the financial results of the past six years,
and the difficulties and pecnfiarities of the
business.
1t appears from this answer that there
are over 70 telegraph Offices in Now York
city, with force Of 375 persons; that thero
and Washington, and that nearly 100 wires
leave the city of New York The American
and Western Union Companies have about
1000 Offices, with 5000 employees. The
names of 80 companies are given, with an
aggregate capital Of $50 900, 900, employing
3 WW persons