The Tipton advertiser. [volume] (Tipton, Cedar Co., Iowa) 1856-1962, 1873-03-06
Upton. IOWA. MARCII6 6, 1878

= oo
that will cover the ease. The Western
railroads are saddled with the odiun
of exorbitant rates, but In fact 1t Is th,
eastern outlets which are alone
amendable to this charge. We an
depositing grain to-day in Chicago
hauled distance of 500 miles for IA
cents per bushel. while the same grain
Is taxed 35 cts. between Chicago and
New York, a distance Of only 936
miles. Now, AS have before shown,
grain can be hauled at a less rate per
ton per mile over long distance than
over short; and grain. the roads Lead
ing eastward have the advantage OF .
vastly greater tariff than pertains to
the Western roads; and as have pre-
viously demonstrated as fundamen-
tai point in this discussion, the
greater the amount of traffic, the lees
the expense per pound, aud the greater
the profit on each separate pound.
Hence, by reason of both these advan-
tages, the Eastern roads should carry
sor less rather than for more, than the
Western. But unfortunately they
have the question in their own hands.
They have more than they can do ut
their present rates. In other words,
the outlets to the sea are not sufficient
to accommodate the produce that seek
them. Common sense teaches, then,
that 30 long rs the supply of transpor-
tation facilities is not equal to the
demand, high prices must prevail.
Common sense further teaches, that
one Of the first things to be done Is to
open up new channels ofcommunica.
ton. The necessity for this was ev-
idenced by the experience of last
summer, which will be repeated the
incoming season. So heavy was the
DRAFT upon all transporting facilities
consequent upon the glut Of the Chic
ago market in the spriug, that lake
freights, which are source OF fair
profit At eight cents. were ia anxious
demsnd at from Is to II cents, the
difference, Of course, going to the ac.
count Of loss to the producer Now,
experiences teaches that on the rail-
roads: cont ton per mile Is y fair,
paying recompense for transportation.
Were that the prevailing rate to-day
between Chicago and New York, the
tariff, instead of SO cents as now,
would be q cents. That amount Of
difference upon the tariff OF the whole
year would save to the farmers several
millions of dollars per snnum, ani
would go long way towards making
them easy. and maintaining the equil-
ibrum of the country's profits One
thing which will contribute largely to
help the farmers out, then, is the
multiplication Of routes to the sea-
board. The Western road, deliver
more grain to Chicago than the East
ern roads can forward. Make the sup
ply Of transportation equal to the
demand, aud rates will come down
accordingly.
No CONCESSION AT HOME.
9 n.i.s.ss>.-RAtI I@..e shos IN your
plans for . reduction Of rates, your own
road cuts no figure.
Mr.. Hdrris-No, have already iu-
dicated that our road pays but ten
per cent dividends ut present rates.
Wese we to charge less, we must ither
reduce our dividends. which are now
less than the bare profits for the ordi-
nary use Of money, or permit our road
to fall into dilapida:ion for lack Of
repairs, which, Of course, is not to be
thought Of.
NO CORRECTION.
Reporter-But the Legislature says
you shalt be governed by the tarifthey
have fixed for you. Do You persist in
defying their decree?
Mr.. Harris-In 80 far as their decree
conflicts with our chartered rights yes.
Our contract with the State confers
upon our Board Of Directors the privi.
lege of fixing the rates by which we
shall be governed.
Reporter-True; but in accordance
with common law those rates must be
reasonable" or your charter will con-
stitute no defense.
Mr.. Harris-Certainly; but my talk
has availed nothing If have not made
it plain that ten per cent. profit Is no
more than reasonable; and this we
have no doubts the courts will hold.
Reporter-Are you Of the opinion,
then, that the courts will bear you out
in the policy Of discrimination by
which you are constantly governed?
Mr.. Harris-Certainly. For the rea
sons have given, that very discrimi.
nation is source OF profit to the pro-
ducers as we'll as to the road, and judges
OF courts. who in most cases have good
common sense rs well as good legal
knowledge, will so decide.
Reporter-It is your purpose. then,
to fight the action Of the Legislature
in the courts, and make no concession
to the popular demand?
Mr.. Harris--U Undoubtedly. To do
otherwise would destroy our stock
Were we to make our rates uniform,
we must either conform them To the
same rates by which we are enabled to
compete with rival lines, or we must
conform them to the rates Of interme-
diate points, by which we should lose
great proportion Of our business. In
either case our stock would pay no
dividends, aud would be rendered
worthless. Tie stock of the &. b. 4
c., unlike that of y majority of roads,
is staple, unvarying stock, never the
shuttlecock Of speculators, and hence
q favorits investment by widows. or
phans and oil that large class Of people
with moderate fortunes who depend
upon their little revenue from this
source for their daily bread. TO arbi-
trarily ruin this property, and TO take
from them their dependence, would
bring hardship, would Il not, to classes
OF people equally worthy with the
com plainants in this case? II would be
robbing Peter to pay Paul with ven-
geance.