The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1886-01-19

rates. and the evils which result from
secret concessions made to particular
individuals or communities. The board
| thinks as violent fluctuations OF rates,
consequently on rate wars, result usually
In benefits to the few at the ultimate
expense of the many contracts or argu-
ments between rival companies to carry
on Interstate traffic should be submit
ted to a commission established
by Congress, whose judgment as
to the reasonablenesS of the proposed
rates should be necessary to the
validity OF contracts, which contract
should then be invested with a legal
status and be enforcible in the courts.
The board also discusses the subject of
strikes and suggests that national
commission might be entrusted with
the power to arbitrate and settle dis
putes arlsiG5 between companies and
their employees.
Mr.. Chase Perkins, president of the
Chicago, Burlington & Quincy railroad
company, contributes an interesting
paper, setting forth what may perhaps
be assumed to be the railroads side of
the question. He assumes that it is the
settled policy of most of the States to
permit railroad construction to be free.
and also that English common law doc
trines relative to common carriers are
not now open to discussion; many of
them are mere relics of an age of
horse power and water craft. He thinks
the best method of preventing extor-
ton or unjust discrimination is by an
appeal to the courts, but he says that
very little if any exto-tion or unjust
discrimination is practiced, in evidence
of which he points to the fact that few
cases are taken to the court or made
public, and that the records of the State
railroad commissioners show very few
complaints, and still fewer decisions
by the commissioners against the roads.
Through rates, he says, are generally
lower than local rates, because through
business is wholesale business, larger in
amount and therefore less expensive 10
transact, and for additional reasons that
competition for it is more severe,
and that through rates are more
generally affected by direct water route
competition, but it Is obviously in
eXpedlent to require railroads to reduce
local rates, because of the commercial
influence OF large aggregate traffic and
the competition of other railroads, water
routes or rival markets, which influences
are not felt at local points, may make
through business on very small margin
of profit. If all traders were compelled
to sell everything on the bBsis of the
lowest margin of profit, which they
might find it necessary to take on some
one thing, the effect would be the same
over wider field, as the effect of re-
qulring railroads, either to give up
through business or reduce their local |
rates correspondingly. 1t is no more |
for the interest of the public to make |
railroads improbable than to make |
business generally improbable. Per-
haps the best evidence that local rates |
OF railroads throughout the country are |
reasonable is to be found in the pros |
perity of local points all over the coun-
try, and by comparison with railroad |
charges elsewhere in the world. 1t has
been assumed that COMPETE
ton does not exist at what are called
local points, but this is not true. The
desire of a railroad to increase the
volume of business must always de-
pend for It's support, as against some
lines quite far distant regions served by
other railroads, tributary to the same,
)r competing markets constitute active
competition. Rates between local points
m line of railroad in northern or
Central Iowa and the markets of Chicago
and st. Louis, influence rates between
ocal points on road in Southern Iowa
nd those markets and vice versa.
again, between two railroads, even if
hey are considerable distance apart,
here is about halfway, belt of country
he inhabitants of which can gener-
lily go either road and the con-
est between-the railroads to secure the
uslness of that belt, influences the
rlces OF transportation, not only on
nat particular traffic, but also on other
usiness which is transacted at the
anne stations on the respective roads.
railroads must remain in the :
)untry where they are, whatever hap
ems and their punishment for excessive
larges, while it would be less slow in
'mlng than that of the individual
erchant, would be far more certain
Id severe, because their business would
ruined or the other road would be
lllt as permanent competition. New :
theless, 1t is true and will remain true.
long as railroads are conducted on
lslness principles, that trade Centres
Ill be able to obtain lower rates of
ansportation than local points for
eclSely the same reason that such q.
aces are able to obtain many convent
wv oA-N A0Ah4ACS hDlCu lOCdl
not and cannot enjoy. Those who
sire water and gas in their houses, or q
any and cheap amusements, or the q
vest rates of freight, mustgo to where
ere are enough other persons who de-
e the same to make it profitable to
pply them. This is not because rail
ads wish it to be so, but because in
nature of things it must be so. 1t
manifestly not for the interest of any
lroads to arbitrarily drive business '.
ay from a local point, where it
'ries all there is, to point =
ere the traffic must be
ided with other roads. 1t has been a.
d that railroads make trade centres. y
such is not the fact. The tendency
railroads is to put different trade =
tires OF population and trade than do =
1er manufacturers or traders who
k such points for their own profit
st if not all cases of alleged unreason-
eness in railroad charges will. upon
eful investigation, be found to be T
, to misapprehension or misunder- l..
1ding of the facts. The experience
tate commissioners shows this to be
e. To require absolute publicity of
IS, and that changes should not be
lie without public notice would be a Eos
II Inconvenience to the h1siDass of - -