The progressive farmer. [volume] (Winston, N.C.) 1886-1904, 1890-03-11

He further illustrated the erect OF
competition by other pursuits. 1t q
single merchant had a monopoly In his
right to sell in Georgia all goods made
outside that people bought 1t
might be true that that merchant
would have il within his power to re-
duce prices. He would be interested
in the development of the State, be-
cause IN proportion to the prosperity
of the State so would be the amount
of his sales. But does any one be-
lieve that this merchant would resist
the temptation to put up the price
Competition between the merchants
induces them to work for small profits
and to extend greater accommodations
to their customers. Competition
among the farmers leads them to be
careful about selling their products in
the best possible condition, and also to
sell them at a reasonable price. The
want of competition when applied to
either of these two classes would put
up prices and lessen the quality. Sup,
pose there were but a single newspaper
in Georgia, and that every man in the
State who wanted a paper was left to
the necessity of patronizing that one,
can there be a doubt that the publisher
of that paper would be inclined to in
crease the price and lessen the
amount spent to gather up telegraphic
service and news furnished to the
subscriber? AS the importance of the
railroad service raises far above that
of any other line of service in our
entire country, so the Importance of
preserving competition among our
great through lines grows in magni.
tude until it becomes absolutely neces-
sary to the success of our local in
dustries.
| < THE RAILROAD MONOPOLY.
But we are told by those who are
interested in putting in the railroad
monopoly upon our State, that a great
combination of railroads is necessary
to develop our industries; that their
expenses will be lessened- and they
will be able to deliver freight at a
cheaper rate. ~ have already
shown" said Mr.. Smith, "that the
only way to develop industries is by
lower rates. l have already shown
that railroads have charged all that
the traffic would bear. Even if they
are able to do the work for less, they
would look to their own interest and
charge more when they could. But
there is another answer to this argu'
ment. Under the policy of consolidar
ton they pay for the property which
they buy more than the cost of con
struction. They increase the fixed
charges upon which it is necessary fol
them to make a dividend, and this
largely overbalances the reduction in
the cost to them of transportation.
PAY FOR wATERED STOCK.
"Could not the Central, for in
stance, be built easily for $4,000 a
mile; yet its fixed charges upon which
upon which it is proposed to make a
dividend are about $4,000 a mile
He had seen it stated that the fixed
charges upon that road r about three
times the cost of construction.
He then took up the effect of the
railroad trust upon railroad building.
The trusts, having obtained control
of the railroads of the State would be
sure af the business, and would fee
no incentive to build additional lines
1t could wait for wagons to pull the
traffic to it for no competitor could
obtain the traffic.
JOHN INMAN's FEARS.
He called attention to the declara.
ton of the president of the Richmond
Terminal company, made in June,
before the trust began to grow, in
which he expressed the desire to form
a board Of arbitration, because he
feared railroad building would be
overdone in the South. In other
words, that it was to the interest O.
existing railroads to prevent the con
struction of other railroads. It meant
that a board of arbitration could pre-
vent it, and if a board of arbitr atior
could prevent, how much more could
an absolute consolidation of the rail
roads of this section prevent additional
railroad building?
1t Is true that up to this time the
trust has not succeeded in defeating
railroad building. The Seaboard and
Roanoke are about to build to Atlantis
through this very county, but thai
road would have been built before
now but for the work of the Richmond
and Danville trust. If it should bc
absorbed by the Terminal there could
be no hope of future railroad develop
pent towards the East. The me1
who have built the new railroads o.
Georgia, MI. Jordan and Mr.. William
son, both told you that the existence
of the trust has checked the railroad
development of this section. Judge
Tompkins, in an interview published