, 1876-06-04
RAILWAY PASSENGER RATES.

| RAILWAY EAaoEh IEh AAIE5.
There seems to be good deal of astonis1
ment at the great reduction Of passenge
rates from here East, growing out of the ne1
disagreement among the Eastern trunk lines
and an apprehension in some quarters tha
the railroads will kill themselves off if thi
sort Of thing keeps up. AL this comes frou
q superficial consideration Of the matter. I
is hastily concluded that, because the rail
roads have been charging $23 and S24 tt
New York, it is ruinous for them to throw
off nearly so per cent. There are several in
t1uences, however, which are not considered
at all in reaching this conclusion. The in
creased travel sure to be attracted by nota
bic difference in rates, and which can be car:
ried by the roads without any appreciab1e
difference in their running expenses, almost
entirely offsets the reduction Us rule. This
is the experience Of the past, when special
competition has led to fall in passenger
rates. A striking instance of it was afford
ed some years ago in Scotland, when q
dispute between the Edinbnrg &, Glas-
gov and the Caledonian Railways brought
about reduction of rates to nearly
one-eighth Of the regular tariff. The re-
spective fares for the three classes were 8
shillings, shinings, and 4 shillings for
o distance Of &c miles, and they were re-
duced respectively to I shilling, 9 pence,
and pence. The struggle lasted year
and half, aud the result was that the an
nual dividends were reduced only one-huzf
per cent, though the fares were only one
eighth ofwhat they had been. A new travel
| ing public had been created by the reduc-
| ton. Excursion trains were run, crowded
with people. The agricultural and laboring
classes visited the cities which they had
| never before been able to do. Men, women,
and children spent money in travelling, which
thus took the place of other cheap recreations
and amusements in which they had been in
the habit Of indulging themselves. The re-
celpts OF the roads rom travel remained as
large as before, and in some instances in
creased. notwithstanding the tremendous re-
duction Of seven-eighths, while the expenses
were comparatively but little more than be-
fore. Now to make up this half per cent
difference in dividends the railroad compa-
MES had to compel the public to.pay eight
times as much for travel. So it is fair to pre-
su1ne that the reduction on our Eastern rail
roads by less than one-haH will make scarcely
an appreciable difference in the annual
profits.
A comparison of the difference in price
which the railroads receive for passengers
and freight, even at the reduced rates of the
former, will show how ridiculously high pas
senger rates are as o rule, and how silly is
any apprehension that the railroads cannot
stand the reduction We will say that tho
average number of passengers which first
class railwaycar can carry is fifty, and, al
lowing 200 pounds for each person, includ- 1
ing baggage, the human freight is at the rate
Of S tons to the car. At the present rate of
SIS Per person from Chicago to New York,
single passenger-car may yield $3.50. But
the average freight-car carries 10 tons at the
rate Of 20 cents per 100 pounds for grain,
which yields only $40 per cur for the trip
The passenger-car, then, with 5 tons Of |
freight, earns nearly twenty times as much |
as the average feightcar with twice as much
freight. Of course the original invest |
ment in the passenger-ear is larger and |
greater; but it is also a lighter car, makes
double as many trips, and is hauled at less |
cost for fuel There is certainly no reason |
why it should need to earn twenty times as
much Us freight-car in order to be profta-
ble, or, earning at this rate, there is no like
hhood Of the roads going to pieces. # it be
said that the passenger-cars do not run full,
the answer to that is that they may always
run full if the rates are low enough, and
with a proper adjustment Of the supply to
the demand.
So fur from there being any reason to op-
prehend any serious results from the railroad
war over passenger rates, the probability is
that if the railroads reduce them low enough.
and maintain the reduction long enough, they
may increase their profits for the current
year. The Americans are naturally travel
ing people, and the Centennial Exhibition is
o special inducement for them to indulge
their fondness this year. |On the other
hand, they are largely restrained by the
hard times and the necessity felt by every
one Of spending as little money as possible.
Now, reduction of railroad fares to the East
~ NA4& IC4k FEA AAAo "oA1O LE1npk 4uuuTeC6 |
Of thousands of people to go to Phi1adelphia
who would otherwise remain away. Such
movement would do much to relieve the
present financial strain and mercantile slug
5shness. There would be considerable
revival Of trade and renewal of confidence as
he result Of the Interchange Of personal
Money would circulate
hat is now boarded, and people would look
nto the future with less suspicion On account
If the ivelier aspect that would be given to
he present condition Of thin gs. The coun-
~ would be benefited, and the railroads
would profit proportionately.
HARSEY's testimony as to the payment Of I
he 545o bribe to Speaker KERR for the ap-
continent of young GREEN is corroborated,
II at least strengthened, by ex-Congressman
dExER STRAUSS, Of Pennsylvania who was ,,
worn for the purpose of inpeaching HAn-
Tex. STRAUSS remembers distinctly tlat