Lancaster daily intelligencer. [volume] (Lancaster, Pa.) 1864-1928, 1881-07-28
Ndll,dsirl tmtfll.geltrer.
THuRsDAY EVENING, JULY %, 1881.
What the Reason NAY BE.

What the Reason May BE.
As there is generally found to be rea'
son in the apparent madness of corpora
tions who are excessively liberal to tn
public at the cost of their stockholders,
people who see the railroad companies
carrying passengers and freight for yer,
low pffces are wondering what the rea
son is; no one has yet suggested thai
the motive is philanthropic one, or thai
it is inspired by desire to promote the
public welfare. 1t is taken for granted
that, while it is not likely to be a crazy
performance, it is certainly selfish ore
The corporations themselves maintain
that it is quite senseless busi
ness and that they only do it because
the others do it. Through the compul-
sion of circumstances each one is forced
to folly. That is a very good sort of a
story to tell the marines /; but less cred
ulous people do not accept it. Most
persons probably incline to the opinion
that there is stock -jobbing scheme con-
cealed like little nigger in the wood
pile. We are SO accustomed to find rail.
road managers manage their property
to benefit their speculations in its stock,
that none will refuse this explanation
because of the improbability that officers
of corporations would he so wicked as to
deliberately conspire TO depreciate the
value of the stock of their employers.
Not one of the great Jranscontinental
lines that is engaged in the present ap-
parent conflict is so Oilicered as to assure
the public that the contest is not cor
ruptly cOnspired. Even Mr.. Vanderbilt,
with hundred or two of millions to keep
him out of want, is not free from suspicion
of an intention to help along his swell
. ing pile with little sharp practice. Still,
the general suspicion Of the inspiration
o. the present railroad battle may be
wrong. There is a good deal in the
general situation of the great East and
West railways to challenge the high
prices at which their stock has been SELL
ing. The Western crops are not going
to he rs plenteous as usual while the
European crops will be more than an
average. Here is Il loss of carriage for
the railroads but still, rs it is prOspec-
tive, the trouble between them from this
cause wOuld;:seem to bepremature. Then
the Mississippi river threatens to become
formidable rival in the grain carry
ing trade, the transportation by btrges
on its waters TO the ocean transports at
New Orleans being very cheaply done.
But the chief cause of anxiety which
the railways have is in the stimulation
given by their prosperity to tine building
of rival railroads; and it is sus-
pectcd that the reduction Of rates
S resOrted to more for the pur-
pose OF intimidating capital against
enlisting in such rival work than for any
other reason. The present roads are
capitalized ut very much greater figures
than new ones can he built for and the
threatened competition may make some
of them very sick. The Erie railroad,
just out Of bankruptcy and heavily load
ed, is not in very stout case to en-
counter young and light weighted rivals.
Nor is the heavily watered New York
Central. The Pennsylvania and Balti-
more and Ohio are probably without
much to make them afraid, rs their
stocks are not watered, except as the
Pennsylvania has been weakened 10y the
liberal stealing which has been permitted
to its officers.
There is no doubt that new railroads
may be very cheaply built in comparison
to the cost of those existing, and that
there is plenty of capital to build them.
But they wont put the old lines to the
sword yet awhile; some day, when
steel rails will lie bought at half their
present price and a railroad equipment
at proportionate reduction, there may
be trouble for the present corporations
and meanwhile capital may blackmail
and worry them but if they are prudent
and lay 10y good share of nuts for the
winter Of their discomfort a glorious
will dawn for them again. Their
present rate-cutting is hardly inspired
by any such far-sighted policy as the fear
Of further rivalry would be; its cause
is rs yet their own secret. Perhaps there
is sharp purpose to get all the peo-
pie from the east into the west,
to visit their cousins and their
aunts, 50 as to catch their full fares
on the homeward fly; on the principle
upon which "empties" are carried west
free to get toll on the full return load, a
rush of passengers might proftably be
stimulated from the East in the sum-
mer to catch their cash in the fall. The
run of shad Oceanward is not disturbed
by the fisherman, who knows that they |
will be back in the spring multiplied a |
hundred fold and just so all these |
Eastern visitors to the West must come |
back, and after them or with them all |
;he Western relations, to enjoy their re-
turn hospitality.
But maybe the railroad combination
hat was SO tight but lately, and now is
70 seemingly shattered, has no such base
lesign upon the folks they are hurrying
from their homes in this hot holiday
lime. We don't know how it is we
,nly know that they are most likely
playing possum with the people
n some shape or other, and doing
')me very tall lying to cloak
lesign not creditable enough to boast