New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1880-12-28


lection and discrimination among the candi-
dates for railroad money; since all cannot DO
supplied there will be scramble among tne"
for the available loans the weaker anu the
Oyerburdened must 20 to the wall.
Already there are symptoms OF such strug-
gle visible reminding an OnloOker OF 1S72-'o.
How will it develOpf First, there are o'o
established companies who seek by piecing
out their present systems here and there 10
make them more symmetrical, or to serve
some territory now destitute of rail transpor-
tatlon, These, as rule, will have no DIM
Guilty; they only meet a legitimate growth.
Then come the ambitious projects TO paraliei
the old established roads with new ones 1or
the PURPOSES of competition chiefly. Many OF
these are proposed and some begun. and par
tcularly beset the East and West trunk lines
in the older States. Bat even at the west De-
tween Chicago and the Missouri. rivalry
is fierce, and threatens a duplication or
roads where single lines yield a profit only
during good seasons Ii is safe to say that
only the few of this kind welded by strong
hands can ever succeed. This warfare OF
capital is not confined. however, to the thickly
settled, fertile sections of the country where'
if the population is sparse, the soil may I'D
time attract settlers and thus build up
traffic to Justify the road. The unprece-
dented ease of money following years OF
plenty and profound peace is such that 1t has
,een mistaken by many for natural ana
rmanent condition. AZ consequence the
nj 'spapcrs are crowded with schemes porn
of this over sanguine spirit of speculation,
few of which could have had any cOuntenance
for generation yet, but for the fact that IL
is possible to borrow more money on roads
yet to be built than it will cost To Oulid
them. This process is going on currently
and the unsuspecting capitalists will first be
appraised of their folly by a stoppage of in
| terest, and enormous shrinkage OF their
capital.
Take for examples. the several propositions
to build roads across that thousand mile belt
separating the Mississippi alluvial basin from
the narrow fringe of fertile soil and scanty
population on the Pacific slope. Besides the
original Pacific Road. which, after ten years
experience, finds it impossible to get return
loads for its cars, and which is more than
equal to all that can be put on it. another Is
so nearly completed that the junction OF the
eastern and western portions at the RIO
Grande is expected early in the new year.
The census SHOWS the population of Califor-
MIA to be about $4,000, and less than
200, 600 for the whole Pacific watershed.
One would suppose that with the free ocean
way, the Istlmus route and two railroads
| in operation, all the traffic would be accom-
mOdated to aud from the Pacific. Madness born
| of cheap money, proposes to buIld at least 1--WE
| more rallrOads-Onc on Canadian, two Oh
Mexican territory, and two, ut least. on our
own. The Northern Pacific, for which there
| may be some excuse in the next generation,
| has vet to encounter its most formidable dill
| entities of long snowy winters in crossing the
backbone ridge of the continent. The thirty
| fifth parallel route has even less excuse, rs
| there are the same mountain chains, with
scarcely a vestge of population, OF anything
on which to support it, That part which is
not mountainous is either deep rav;nes or dry
desert, and it is closely flanked throughout by
the thirty-second parallel, or Texas route,
now approaching completion. What rational
inducement can be found for em6arking i'll
such colossal schemes, unless, a before SAID,
| il be the facility with which the projectors
can borrow from crcdulous capitalists money
enough TO build the railroads and leave il
balance to pocket as profit (
Americans more familiar with the geography
of the region trayersed will to some
extent be able to distinguish between
the premature and the needed enter
prises between those proposed 10 fill an
existing need and those proposed as spccula-
tons, and discriminate accordingly III their
| loans of capital. But how is the European to
| choose with nothing but map and fatter-
| ing prospectus before him-as likely as not
| picturng out the stony ridges of Montana as
vineyards ard orchards, and h. sandy deserts
of Arizona and Northern Mexico as cultivated
garden-spots. But whether the capital be
| drawn from one side OF the ocean OF the other,
| the result will come all the same; the unde-
serving, swndling enterprises Will always
outpromse and outcry the more conservative,
until a general breakdown Sits as with IA whirl-
wind the dishonest and the Ill-judged from
the conservative and deserving. A word to
the wise is sufficient and our readers will
thank lis for this word of caution when the
smash comes among the new " fancy railroad
| securities,