Dodge City times. [volume] (Dodge City, Kan.) 1876-1892, 1885-01-15

surplus from Other SectlODS- ana TIE
result would be that the movement o.
wheat from the other sections would stop
unless corresponding reductions were
made in such sections. This principle is
so well understood that, as matter OF
practice, rates could not be reduced in
Kansas without cansing similar reduc
tons in adjoining States and throughout
the great West; and if rates were re-
duced on the surplus crop in the West
word would at once be communicated
and corresponding reductions would be
made on the surplus which is to be
moved from California, from Australia,
from Russia and from India. Now the
consumption Of wheat in sections
where the surplus disappears is
at about the rate of five and
one-half bushels per capita per annum;
and this does not increase or diminish
within any known range of prices In
modern times. For example, if the rates
in Kansas were even cut in two by re-
duction CT, say five cents per bushel, the
amount it might save the English con-
sumner each year is SO small compared to
his total yearly expenses, such as rent,
fuel, clothing, groceries, ETC., that he
would not eat any more bread in conse-
quence. It is true that if an individual
farmer or shipper or township, where
there is not enough wheat to be shipped
to affect the market, could secretly get
an unjust discrimination it would benefit
such shipper; but great wheat growing
State, whose system of transportation is
| so intimately connected with the great
wheat growing area of the West, cannot
openly reduce rates without effecting re-
auctions elsewhere to an extent which
will at once equalize movements and
prices, and leave the producers and ship
pers at the starting place, with per-
manent injury to the transportation COM
panies.
As an example, the great steel rail mills
of the East are now all idle or running
short handed; but they do not press the
point of a reduction of rates on steel
rails to the West, knowing we'll that the
roads of the West are using all the rails
their necessities require, and that, at the
present low price of rails, a reduction in
rates would not increase the demand
1t seems to have been assumed as an
axiom that the price of wheat in farm
ers' hands advanced or declined as freight
rates on the same were changed. Moth
ing can be farther from the truth. If
such were the case the price of the
wheat crop of 1854 would be higher in
Kansas than ever before, for the local
rates, after the late reduction, are less
not only in Kansas than ever before, but
all along the way to Liverpool. The re-
suits make the error Of this assumption
apparent and shows that prices of grain
are affected by other considerations.
1t follows that as long as Kansas farm
ers are furnished with reasonable rates,
and such as fairly correspond with rates
ing can increase the value of grain ON
hand except an increased consumption
or diminished production. The first
condition is being gradually obtained by
an increase in population throughout
civilization, and especially in the United
States, while the latter condition is al.
most within reach, its effect even now
being felt in the markets.
EFFECT ON THE ROADS.
The effect on Kansas railroads of re-
duction Of grain rates at the present
time would be most serious. The figures
show that none of the roads are paying
dividends on Kansas earnings; those
which rely solely on kansas bus
mess are running behind and are
only kept up by assistance outside of the
A reduction in rates would cause re-
material employed in operating ex
penses, and also a stoppage of that per
manent improvement of track and road
j L. l.. II
value to the State and on account OF
which SO much complaint has been made
in some quarters.
In brief, reduction in receipts would
be followed by a cutting down of ex-
penses with railroads, the same as with
other business enterprises, and where
such expenditures constitute so large
part of the business of the
State this result would be in the
nature of public calamity. 1t is i'm
possible, as matter of practice, to put
the rates up and down whenever the
bull and bears put wheat or corn up or
down in the grain markets.
Last September, spot corn sold from
Zoe to SOC per bushel in Chicago, yet
there was no advance in corn rates,
though enormous shipments were hur-
ried to market. The roads do not ask
for high rate as prices 60 up, and they
should not be forced to accept low rate
as they go down. reasonable average
rate on average prices is all that justice
requires. A rate once regularly re-
duced over large area can
not be advanced with an advance in
prices and a grave injustice would be
% Ill
nected with them if they were driven to
adopt tariff below a reasonable one
based upon an average condition of af-
fairs. The advance in the price of spot
wheat in Kansas City since December
18th amounts to about 80 per cent. of the
total average charge for carrying the
wheat crop of Kansas to that market.
In conclusion, we submit with great
confidence to the Board of Commission.
ers:
First-That the facts and reasons here
in adduced show that the history of the
past in Kansas, the condition of the
present and the prospects of the future,
reveal condition of affairs which does
not warrant another reduction in grain
rates in this State, at this time.
Second-That such a reduction would
not, to any extent whatever, affect the
price of wheat in the hands of Kansas
farmers; and,
Third-That such reductions would 90
far toward wrecking some of the weaker
roads of the State, while they would
seriouly cripple the stronger ones.
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