The New York herald., 1878-08-24
LACK OF LABOR.

USES AND ABUSES OF THE RAILROAD SYSTEM.
The Labor Investigating Com mites, Represented by
Messrs Hewitt, Rice ana Tho npson held another
session at the Post Once yesterday. The two m-
portant witnesses were Messrs. Horace white and
Charles Francs Adams, Jr.
While waiting Tor the witnesses OF the day MT
w. Goodwin Moody wished to present some labor
statistics. He had prepared statement sounded on
the report OF the State OF Massachusetts, for
the year 1875 which considerably dncrent In ts
results from those arrived at by Mr. Wright whose
calculations based the same report, but Who
figured a total unemployed number OF men aud
women IN that State Of rs, 900 The statement Was
added 10 the testimony OF the witness ON previous
occasion.
Mr Horace White, a journalist, for many years
connected with the Chicago Tribune, then intro.
duced He said he had gwen good deal Of study 10
the staguson OF labor and the alleged insufciency
OF remuneration TO the laboring classes He thought
the present commercial crisis ouy OF a series
OF similar crises that had been experienced by the
com mercis world within q period OF $50 years. He
could name at least dozen within that time In
almost every instance these periods preceded
by periods OF extraordinary speculation.
RAILROAD BUILDING.
II was SO With the crisls which began In 1873 and
which ho thought was directly traccsble rail- DAD
building on a prodigous scale. He found that pre-
vous TO 1869 the average increase OF Hallway mileage
was less than 5000 miles In 1869 u was 5000 miles
IN 1870 5000; 1871, 1000; 1872 between 4, 900
ana 1000; in 1878, between 5000 aua 900 miles
This great railway mileage was accompanied at The
same time by huge land speculation all over the
country md prices OF real estate we're piled
an absurd ngute approximately, he believed, this
the cause OF The present crisis.'
In reply 70 questions from Mr. Hewitt Mr.. White
said he think The state OF the currency had
much to do with tho stagDation 0l business. The
tne0ry Of economists as to wnat produced periods Of
speculation that during this time ot improve.
neuts in macnlncry more was produced each year
tnan consumed. The consequence was gra0ual
dImnishmcnt IN the prohts OF capital, and owners OF
capital sought new fields aud untried experiments lor
the Investment OF their surplus cash. Engands great
OF ISIS preceded by vasl increase OF her
commerce. with South America and Mexico and
large amount OF capital was exp0i ted Speculative
periuds the uit oil accu uated capital acting
on ga uue tc m rulnv nts Wuness thought there
Was diminuiion oil capital caused by the civil
During the war only about one se"tn OF the national
abroad AIter The war was over and iorelgu
capals found the nation Intended to pay its debt
they wanted 10 purchase more OF lis bonds aud did
O. You think are now going through process
OF curcf A. Yes, sir.
Q Gould we hasten the cure by imitation. or an in
creased issue Of gresnbacks? A. Tnat would Work
great injury 10 the country and 1t would puzzle.
my OPINION, either The wsest most foolish heads
Congress to dom; know OF only one way to accom-
pIis It, and that would be by Congress undertaking
great national works and paying out new grcenbacks
tor 1t
Private and national bankruptcy.
TARIFF.
The question oi an irrcdeemabie currency was then
discusse In tho course Of which Mr.. Hewitt said
the Chinese had attempted 10 circulate such a cur
rency times within period oil 600 years, ana
each time 1t failed. In speaking Of the tariff Mr..
White said he believed protection could alter the
ton oI the community. The usual tendency OF
the protective tarf Was 10 Temporarily uate GER
tain paths OF INDUSTRY, Throwing excessive capital
into Ih.m, eventually reading 70 Bankruptcy. The
witness would not advocate sweeping removal OF the
Antia m n ho hslta 10 cht
gradually 10 be done. Like Professor sumner the
witness Of the previous day, Mr.. White did think
dollar to-day would purchase much a dollar iu
1870: he though IL would purchase as much as In
the OF labor, tor that would be ut
OF the rights OF some citizens Neither did ne believe
Ia the scheme OF government coiJnization. In con-
ciusion said that any interference with the prog
ress towards specie payments would, In his opIuion
prove disastrous, and there would be better and
more permanent employment Tor the working
classes under the free trade system than under
protective system.
MANAGEMENT OF RAILWAYS
Mr.. Charles \. ADAMS, Jr., chairman OF the Board
OF Railroad commissioners Of the stale ot Massachu-
setts then introduceu apQ spoke with regard to
the general effects OF railroad management on the
present Crisis Witness SAID there were two distinct
things In rairoads-viz, construction ana manage
mcnt; what Mr. White mad SAID OF railroad coustruc
he believed 10 be true but railroad
lie tbough had nothing TO do with The s;agnation
business; railroad management kept up pioy In
better than any other class OF enlepriso ~ be sure
rairoads reduced wages but they never stopped run
ning he did not think legislation could effect apy
provement that the present system OF railroad
agement woula not eventually effect; tho abuses in
cident TO the railroad system were mostly duc, he
thought, 10 too much legislation; there were two
difficulties In the present state vi railroad compe-
ttion--discriminatisn against certain locations and
vioisnL fluctuations resulting from mucl compe.
tition; the remedy, he thought, should be super
vision OF the system and u gradual approach to an
equitable system and an easy low OF trade; The pre-.
vious difficulty III tue way Of legislation Tor railroads
consisted In looking Tor remedy before The disease
WI uuderS OOd.
rRDERAL SUPERVISION.
The question oil federal legislation or the regulation
OF Interstate Transportation and commerce dis
cussed between Mr. Adams anu Mr. Hewitt The
ior thought good might be accomplished by Cou.
gress giviug It's atenton to this question provided
sucn supervision was made graaua. He thought the
Englisn course OF legislation IN tins respect was
worthy oil Imitation. He advocated uil publicuy aud
general discussion OF railroad subJectA The benefits
OF railroad composition could not be had wIhout its
or course ths might called ten
dency 70 monopoly, and so II was DuI tne means 10
nteract he evils OF monopoIy wsre nro,er snner
vision US before suggested.
Mr.. Adams believed federal supervision would be
timely and result In great go0a He no danger
practically In tue consooation OF tue great corpora
lions unaer the management OF "A lew persons. He
thought that all danger neutralized by the ical-
oil tue several corporations. witness believed
tue Committee on Labor might probably report TO
Congress IN Lvor oi Inc sstablishme OF commis-
sion for supervising aud arbitrating as 1t were be-
tween conflicting railroad interests; 1t might not
have any immediate elect the condition OF
ally; he advocated the appiicstion OF tne
aDauctive method TO railways; he did not
think The government could proniably buy ana run
the railroads. Bavaria owned all her railroads and
ran them we'll Prussia had considered H., anu Bel
gum had aons II with apparent succesa But ne
believed II would be opposed 10 what vaguely
termed the political genus OF the people, In other
countries The profits oil invention rather more Tor
tho general good than ior individuals, as they are
here.
OTHER WITNESSES.
MT. Charles Frederick Adams (uot OF usctts)
addressed the committee al some length He sad no
was lawyer, had been an enthusiastic student OF
political nomy lie enlisted Ia iavor o seme
sort OF mutual assurance, which, he argued would
relieve the present condition OF unemployed Labor
Ar. Charles h. WiDgasc, an editor, was the next
witness, ana testified with regard to the Of
in New York city. He thought tne num-
Der OF destitute people here had 0eeu greatly cxag-
gerated. lie had hcsrd ~ stated That over hun
dred thousand persons wore IN destitute circum-
stances In this metropolis last winter, but vou-
turcd 10 say that not more than twenty
persons had been renewed by the charitable societies
In that period
The persons who continuously out OF employ.
ment Tor period OF more tnan a month wore very
few. AZ the present time he thought scarcely any
one that wantoJ u was out oil employment Witness
nlen lvs hatt here