The new North-west. [volume] (Deer Lodge, Mont.) 1869-1897, 1870-04-01
Postal IeleOs,al0h.

We present herewith synopsis Of Mr..
Hubbard's argument in reply to President
Orton, Of the Western Union Telegraph
Company before the Senate Committee on
Postoffices. Mr. Hubbard maintained that
the telegraph was now principally used by
bankers, brokers, spectators and the Press.
He wished to bring Il within the reach of
the many. He compared the governmental
system OF Europe with the corporate system
OF America, and asserted that the invest
ment for 500, 900 miles of wire in Europe
is 81, ,0oo, 600 in gold, or ~, 900, 900 IL cur.
rency, at the present rates, while the West
ern Union Telegraph Company have 1o4,-
600 miles Of wire, with an investment of
nearly as, ,000, 600. Four miles Of wire un-
der the Government system would cost no
more than one under the corporate system.
In nineteen countries in Europe q, ,000, 600
messages arc sent for tls, ,0o0, 900 in curren-
cy, while the Western Union Telegraph
Company transmits 5000, 900 messages for
q, zoo, ,00o The average rates under the
Governmental system are forty five cents
under the corporate system seventy-one
cents. BY the Postal Telegraph Company
scheme he believed that the average reduc-
ton on rates would be about fifty per cent.
He stated that the experience Of Europe
shows that while the rates are reduced fifty
per cent. there the business increased one
hundred per cent, with an increase of ex-
penses from twenty to thirty per cent In
Switzerland the rate on tie lst Of January,
1868, were reduced from one franc to half q
franc. The business as q consequence
doubled, and the net receipts were reduced
only three thousand francs last year. When
the rates are low the pay for the increase
length Of messages nearly pays for the in
creased rate. In America, il . union Of
the telegraph to tho postofIics be made,
there will be large reduction in all the on
hcc expenses OF the telegraph without any
corresponding increase in the expenses of
the Postofilcc Department These od,cs
expenses are st least twenty five per cent
Of the present expenses of the telegraph.
If, then, the rates are reduced fifty per
cent, =, and business IL increased one hun-
dred per cent additional expenses win be
saved by the union with the Postomce De-
partInent. ..sa.s..-. - 4s v.f
Mr.. Hubbard laid considerable stress on
the fact that the wires are now occupied
but small portion Of the tima Low rates
will induce new classes of business which
do not now use the wires to use them at
times of the day when they sre mot crowd
ed with business. Only ten per cent Of the
business u now on social matters-the same
proportion that Belgium had at the high
rates. At low ntes fifty-nine per cent Of
the Belgium business IL on social masscrs
and frUm the habits and character OF our
people, It Is natural 70 suppose like rs-
suit will follow like causes. The ordinary
mercantile correspondence il now geaerally
written in Tho afternoon, and transmitted
BY tho night mails. When the telegraph
shall b made % ordinary means Of CON-
nunicasion, with reduced night rates, this
mercantile ooa1esp pondence viii b tsansmit.
ted By telegrlph. H .Ahs psopessd rsssA
twenty-five cents for message transmitted
> thossand milss = night - ~ lsw
enough to induce nereAehts 10 - -
wires, the rasss n1ss 10 reduced until
business d increased. 0Fese rsductjon n
the expense win b effected BY the rsmoyal
Of compsution. The discussion ~ lsten-
Cd 70 With gTsat interest BY The neahsn Of
To Comniltee, .ag CT. u gs sss VI sslE
LACoHIo-An Eselish iooblsnaa ~
Anas>l,es e. Rznsn tS~stA& = SSa~..aA4 ga<e.e -.