Wood County reporter. [volume] (Grand Rapids [i.e. Wisconsin Rapids], Wis.) 1857-1923, 1874-06-04
M'HENRY ON RAILROADS.
He Defends the Wisconsin and Hi
nois Laws.

Mr.. McHenry-The Wisconsin laws are
necessity of the times, and If the roads, IN.
stead of trying to oppose these laws, would
endeavor faithfully to obey them, they would
find it very much to their own advantage.
The only mistake the Wisconsin Legislature
appears TO have made is not endeavoring TO
enforce even a lower rate for freights. All
those railways under their present tariff are
insolvent, and therefore things can't be worse
even with a lower one. They are msolvent
not for want of resources in this country, but
because of the prohibitory rates they are en-
deavoring to charge for the carriage of freight.
Consequently there is no business equal to
what the roads are capable of performing.
R,-What do you consider the limit of the
capacity Of roads:
Mr.. McH.-The volume OF business on
American roads either West or East, is linn
tied only nv the rates. These rates can be
made low enough to enable America to COM
T7ete with all the world, or high enough to en-
tirelv destroy her produce trade: The whole
business of the Erie or the New York Central
Railroad can now be done In four TO SIX hours
a day-. consequently the business of the West
ON TT6ads can he done in much less time. The
whole of the machinery, the permanent way
and the rolling stock are standing idle for at
Ieost twenty hours day. Now great part
of the capital of a railway Is locked up IN the
nermanent way, which deteriorates as rapidly
from want of use as from use. And the fact
| &c N
that believe it has never yet been proved
how low railway can carry freight ana pas
| sengers and yet make proht.
P-The railways do occasionally reduce
! their rates pretty low in spasmodlc hts OF VIZ
| tue? , = : T4 tho
RAILWAYS would only persist in moderate
| tariff sufficiently long to give confidence TO
o11r merchants in regard to the continuance OF
the rates, in order that they may make their
contracts understandngly, the roads would
soon find how much low rates Injured to their
benefit.
R.-What do you think of Commodore Van
derbiIt,s second double track that he is now
building along the line OF the New YORK
Central
Mr.. McH.- seen necessity for it at all. l
would say generally that sngle-track road
could do much larger business than any OF
| the roads now open. But double track, OF
| course. can be much more rapidly and econom-
| icalIy managed as TO time and cost, because
| the trains can be kept running without going
| upon sidings.
R-Then YOU think the railroads at present
| in existence are ample for the requirements OF
| the country? mn.
Mr.. INTELLECTUALLY; it is not additional
rails or rolling stock that is required, but
| facilities at the terminal points Tor handling
! large masses of produce. This want Is es-
peciaIlv felt in New York. Her accommoda-
| tions in this respect are unworthy OF her
! position as the leading seaport OF the country
R.-What about passengers
| Mr.. McH.-A radical change is required in
| that respect Do you know what we have
| found in England Why, that 70 per
| cent. of all the persons who travel by railway
| are those who 90 by the " thlrd-class' Trains,
| as they are called. The largest revenues,
| therefore, are derived from those passengers
who at higher rates would be excluded.
| In the United States this class OF
| passengers appears to be altogether neg
! lected and in their development there Is,
am fully convinced, a mine OF wealth. Tar sur
| passing all the present income OF the railways
| This class of passengers cannot afford to pay
| high rates. Men who earn three dollars day
| find it impossible to travel for long distances
| on the American roads at present rates OF rare.
| The dodgers in tenement-houses are by the
present system of this country expected 10
pay as much as the residents of the Filth
/ avenue palaces. The poorer classes accord
| ingly cannot travel at all. Moreover, find
! that the Fifth avenue gentleman generally
manages to get free pass for himself and
friend, while the tenement ledger remains at
| home.
R-Then there are the emigrants.
| Mr.. McH.-EXactly. The whole through
passenger traffic of the great lines of railway
scarcely equal the arrival of emigrants daily
| in New York alone This fact shows how
preposterously affairs have been managed
| Just observe the case of the Erie Railway.
| It was said that the through traffic to Chicago
was rapidly increasing. 1t appears that they
| take nine passengers a day where they for
merly took six. The increase was truly 90
per cent, but the aggregate was very Tar
from what it ought to be. Indeed, 1t was
disgraceful
R.-You think then that the Wisconsin roads
are able to run their roads protitably at the
| rates indicated?
Mr. McH.-No doubt of it. All these West
ern roads are mere gathering grounds and
feeders of the main lines, and their use is
| limited only by the inability of the trunk lines
to deliver freight economically, but still more
| limited by the constant changes in the rates
for transportation. Rates should be stable
! and fixed in order to give the merchant a
chance for creating business. After all it is
the man who creates business on whom the
railways must rely. He must know what the
carrying charges will be at least year in
advance The produce of the United States
is plentiful and cheap, but they by no means
enjoy monopoly Of everything. There is not
an article raised here that doesn't come into
competition with like produce from other
| parts of the world. Therefore the merchant
! in his creation of business must be able to re-
! ly on the rates of transportation in order to
enable him to compete with the merchants of
other countries. For instance, when Ameri-
| can corn falls in Liverpool (Which is the great
market for that article) to thirty shillings a
quarter, the demand is practically unlimited;
and as no other country but the United States
| can supply sufficient quantities at that rate
! they can enjoy an enormous business in
| the article. As soon as the price rises
above that rate, through short supplies,
| then imports commence from all parts of Eu-
rope. Therefore it is to the interest of tho
railways to keep low and steady tariff; for
| when merchants operations are once broken
up much time is lost before new set of spec
ulators and dealers can take hold of the bust
| ness and create it anew Therefore, | say,
| whether the Wisconsin laws are uncOnstitu-
| tional or not, they certainly deserve the ODE
! dience of the citizens by whose representatives
| they were made-the more especially as these
| lower rates would certainly bring them in
more profits. 1t is a great fallacy to suppose
| that high rates make increased revenue. In
| England commercial men well know that low
| and steady and fixed rates produce the largest
profits. l shall be- glad, therefore, if the bold
movement of the Wisconsin people leads to
| a reconsideration of the subject of transport
| tatiOn by the railway managers. A well-man-
| aged railroad should dry UP every canal in its
neighborhood and destroy everything like
competition by water. They should compete
boldly with water for business, ana not show
that timidity now displayed by them in regard
to water communication by rivers or canals.
R-What effect will the introduction of
steam on canals have?
Mr.. McH.-Not the slightest; for it so hap
pens that at the very time when produce is
most required by the consumer all water COM
muDication is frozen up. At the best of times
| it is irregular and dangerous, tedious and ex-
! pensive. As an illustration of the way in
| which railways compete with canals, NAV
mention the case of the most remunerative