Morning journal and courier., 1886-12-23
Thursday, December 2s, 1886.
THE INTERSTATE BILL.

The postponement of action on the Inter State commerce bill has been used to strengthen the stock market. This of course 1 amounts to nothing except as an indication | of what some of the sharpest men in the | country think concerning the effect of the passage of the bill upon the prosperity of the railroads.
 The bill is an attempt to remedy some wrongs and inconveniences which have long existed, and which have become very plain. | The matter has been before Congress in va rious shapes for years, but it has been found so difficult to deal with that nothing has
 been done. Perhaps nothing will be done this time, though many are afraid that something will be. If the bill passes in it's present shape it will not meet the approval of those who krow the most about the mat ters with which it attempts to deal. The bill prohibits pooling" which the railroad managers believe in. Senator Platt of this State does not hesitate to declare that the opposition to pooling is not well founded. He points out that the railroad pool is estab- lished to get uniform and reasonable rates between certain points under similar circum- sGoASOS OA AoCo1UJ, ouPp4J ouu ouS1AeSS, OuG this is of course not always gained. He says there are broken agreements, but they are the exceptions, and the people want just what pooling aims to- establish Without combinations there would be reckless rate war, and while low rates would perhaps at
 first operate for the benefit of the producer the result would be disastrous to him in the end. He says that rate wars are invariably followed by periods of business depression, and it is only with properly regulated com- petition that uniform, certain and steady business can be counted upon.
 The short haul provision of the bill is also considered radically unsound by those we'll acquainted with the railroad business. At first sight such provision seems reasonable, but it looks different when it is remembered that the short haul would represent local business and the long haul through business, and it is well known principle of railroad operations that the latter must always be carried for less relatively than the former, and sometimes absolutely less. If the provi- sion in question should be adopted this would be changed hereafter, and in effect through and local business alike would have to be carried at local rates. This follows from the fact that the profits of a railroad come from the local or way traffic, the through traffic being taken at 8 very trihing margin of profit, and often at no profit at all, and hence the local rate would have to be main tained and made the basis of all rates
 Then there is the provision for the ap- pointment of commission. The bill pro- vides for the appointment of five commis- sioners by the President. No person em- ployed by common carrier subject to the act, or owning stock or bonds in the roads, or who is pecuniarily interested therein, can be commissioner, and not more than three of the commissioners can be appointed from the same political party. That is, perhaps, as far as the law can go to insure impartiali- ty in and of the commissioners. The Presi- dent is responsible for the appointment of able and honorable men as commissioners. But there will be, if party nominations are made, and partisan purposes indulged in, simply a commission of three. If other than party ends are sought, then there may be only commission of one.
 These are some of the difficulties in the way of the bill. In spite of the popular clamor it would probably be wise to wait un- til more is known about the subject, and un- til more intelligent action can be taken.