The national Republican. [volume] (Washington City [D.C.]) 1866-1870, 1869-03-26
W MURTAGH ~: Editor and Proprietor
CHEAP TREIeHr RAILWAY.

senator Nye, Of Nevada, introduced q bill
several days ago into the Senate providing
for the construction Of the Galveston, Kan
sas and Little Rock railway. This bill is
drawn In conformity with the phn recon-
mendcd and advocated by the Cheap Freight
Railway Lcagne, and IL intended to secure
the largest possible advantage attainablc.
The lcadlng features Of this hill are these:
/. The road is required to be constructed with
cash, bonds and mortgages being interdlcted,
and the directors Of the company are made
personally liable In case they contract debt
or obligation without money In the treasury
Of the company, Its stock alone being made
to represent the road.
,, The rate Of speed for all trains is to be
moderate and uniform, and to be prescribed
with reference to economy in acquiring
freight and power, and in the preservation
Of the road and rolling stock.
3. The road is to have double track,
open and free to competition aad transport;
IL not being designed that the company
owning the road-bed and stationary appur.
tcuances should engage in running cars, but
to leave the details Of transportation 10
carriers who would furnish their own rolling
stock.
4. The road would embrace about $50
miles of common track, running from For
Gibson, In the Indian Territory, and Little
Rock, forming a junction at Tyler, in the
State Of Texas, and from thence to GalveE-
ton by common route, which when COM
pleted would drain the commerce of a sec
ton about five times the area OF New York.
o. From an experiment substantially on
this plan made in Texas in lsj9-'6O, mainly
under the guidance of Mr.. Sherwood, author
OF the cheap freight scheme, It is estimated
that this $50 miles can he laid down at
$4,000 per mile, computing the cost Of
labor and material at double the prices OF
1850 This Is regarded by the protector as
IN outside price for a hrst-cass road, the
route being q very level one. This estimate
woul bring the cost Of the road TO S24 ,0OO,-
900. The false capitalization or "watered
stock In railways in the United States and
Great Britain is about flfty per cent. of their
assumed cost. IT Ia now maintained by lead
Ing public economists in both countries that
the railways could he duplicated for fifty pei
cent. of their schedule cost as exhibited In
the railroad Journals In both countries.
In proof Of this VIC aludc to an article in
late number OF the North American Rc"itw,
by Charles Francis Adams, of Massachu-
sets. In this article, Mr.. Adams from ac-
tual data computes the amount of fiction on
unpaid stock, which he calls imitation Of
railway capital, on the route between Boston
and Chicago al s45, lO5,G73. This fiction II
put into cash would construct double track
railway OF the character of the road en-
brnced In Senator Nye's bill, from Boston to
Chicago, at $4,000 per mile. The amount
paid to swell the income on dividends over
this route, may I've set down to the extent Of
about one-half as dipidsnls on fiction. Such
Is the outlook Of our industrial population
when contemplating the construction ant
management OF the railway system of thi
country anu EuB Iauu. ~ vas 80. , .....-.
by United States Senator in u letter to the
Secretary of the National League. He saws
"ln your reform and efforts to this end yo
shall have my hearty cooperation; and gen
erations 10 come, when We are dead and for
gotten, will bless the men who saved then
from taxation upon fictitious capital never
really expended upon these roads. Build a
road upon the plan and basis you propose
and you will have done more than to have
founded au empire-you will have been a
blessing TO mankind"
The projectors of the Galveston, Kansas
and Little Rock enterprise ask no subsidies,
loans or assistance from the Government
they rely upon their plan TO construct the
road economically, the fertility and vast re
sources Of the country to be accommodates
by IT. Its immense freight power and abllt,
to command patronage. The section to be
accommodated Is as yet untracked by rail.
ways. In case Senator Nyc's bill is passed
we make no question that the road will be
rapidly constructed.
II Is known that Seuutor I'VE was educated
politically in the old Dc Witt Clinton school
of statesmanship, and evidently he has mol
forgotten his early political education, MOI
the principles Of the school in which he wa
educated. This will be apparent from tn,
following quotation from his letter to tn,
secretary OF the National League. Mr.. Nye
says; "Our country now, more than at any
other time In It's political history, requires
al! the aid and stimulus possible to be given
TO invigorate the productive energies Of the
people, and to create new values Of property.
Our true economy lies In the pathway OF
Increased productions aud the cheap freight
railway system, on the principles and plan
advocated by your organization. stands In