Los Angeles daily herald. [microfilm reel] (Los Angeles [Calif.]) 1884-1890, 1886-03-26
GREAT Rnd Lasting Benefit 10 cal
ilnrnln.

4aFEnt mAu
ifornia.
The low rates Of freights and fares
which have prevailed on the several
transcontinental railways that con
meet with California have had several
unexpected results. In the first place
they have enabled multitudes OF peo-
pIo who have not been East for years
TO reach their old homes at an outlay
which scarcely amounts to bagatelle
as compared with the old passenger
schedules. This privilege has been
awaited of 10 an extent which almost
rivals in volume tho immigration
which is reaching California from the
same cause. The second noticeable
feature Of this animated railway con
tention has been the immense busl-
ness which has grown up as eonse-
quence between California and the
states OF the East, South and North
west. This has not only taken the
shape OF tremendous importations OF
The commercial staples in principal
demand on this Coast but it has also,
by reciprocal movement, nearly
emptied California OF her surplus
products OF all kinds. Prodigious
quantities OF wines and brandics have
been shipped from Southern Caliior-
mia particularly. The unprecedent-
eddy low rates OF freight have acted
simply as premium to the vineyard
lists. Following upon the lowest prices
paid for grapes for years the man who
was unable to make his own wines
and brandies, and was thus Obliged
TO sacrifice his grapes, has been COM
PEELED to submit to the modification
OF seeing the wine merchants ad-
vance the price of the manufactured
product of the vineyard fully twenty
per cent. To this great additional
profit has been added the low rates.
Never has more impressive lesson
been given to the producer than this.
II shows him, with the force OF dem
onstration, that the only way to real
ize the full pro6toi his vineyard is by
providing facilities for crushing his
grapes. The man who takes the pains
to learn how to make sound wine,
and who can store and grade it, need
not Look for less than from $3.50 TO
$3.50 an acre profit from fully ma
tured vineyard, taking one year with
another. With continuance of the
present rates of freight he may con-
fidently expect the higher of these
figures.
The third and most important effect
OF this war of railway giants ought
not to be overlooked, as it contains a
pregnant lesson that should be
needed in the future. Strange as it
may seem, the transportation COM
panies have actually made money by
the change. Instead of hauling
minimum OF passengers and freight
every line leading to California has
in both directions been loaded with
travel and traffic. The fact has been
established that low passenger and
freight rates create business in an
almost incommensurable ratio. In
view OF this important development,
which is in the line of theories often
npheld in the HRRALD, we may safely
predict that although the present low
schedules will not be maintained rates
will never be restored to their old
figures. II has been demonstrated
that there is more money in carrying
five passengers at $40 piece than
one passenger at fifty dollars, because
the lower rate will crowd the cars.
Take il for all in all, nothing in the
later history of California. is com
parable to this railway war in benefi-
cial effects to our people. 1t is the
beginning OF new era, in which the
railway magnates will aim to achieve
a great business by wholesome com
petition, thus pl icing their affairs on
the basis of the merchant who looks
for his success to small profits and
quick returns.