The morning call., 1892-01-28
NICARAGUA CANAL.

The U-qU-street Journal represents an
official Of a leading transcontinental rail
road as saying that the completion Of the
Nicaragua Canal would have a stimulating
effect upon the business of the transcOnti-
mental roads. IL would, 10 his estimation,
build up the Pacific Coast, and thus make
more business. Of which the railroads would
get share. lie is also reported as having
arrived at the conclusion that waterway
as q competitor u railroads Is a benefit
rather than an injury. The railroad man
aEer finally suggests that " it might be
good idea if all the leading nations Of the
world took certain percentage OF the
stock for the sake OF maintaining peaceful
relations between the countries" This
proposition suggests an abandonment on the
part of the American people Of any especial
right to control the canal The influence
of each nation In the management would
depend upon the amount OF stock held by
it. II the stock were allotted, it is probable
that the leading nations would be given an
equal number of snarss. The United States
would count as one, England as one. France
as one, Germany as one, and possibly Russia,
Italy and Austria as one each. There might
be seven shareholders, Of which six would
Id 10 lItCl EoLo Au oOHlt lfSpGGLS ADVERSE TO
those of the United States. We do not
think this plan would work well. The pro-
posed new waterway will connect two
oceans that bound the United States on the
east and west. 1t viii be by far the shortest
water route between our Atlantic Coast
States and the Pacific Coast States If the
canal should fall into unfriendly hands it
would be better for the United States that
f,..I
countries in time of peace. They often
make conditions which shall be OBJ
served in time Of war. But in war
times the law of self preservation
prevails. Some pretext can always be found
for breaking compact that il is incon-
yenient to keep. The United States cannot
trust any compact among nations in a
matter so vital as the neutrality Of the
shortest waterway between the two Amer
lean coasts We have in this case to guard
against the improbable as well as the prob
able. The magnitude Of the stake war
rants the most cautious play. We should
not take any chances except such as are I'M
avoidabe. The simple and easy way to
construct the canal is for the United States
Government to indorse the canal company's
bonds under conditions similar TO those
provided in the bill introduced into the last
Congress. The nation will thus acquire the
right Of control whenever it sees ft to
assert IFS right. We do not want foreign
capitalists to build it nor transcontfnental
railroad men. The canal should be main
tanned as a competing route between the
two American coasts. with tolls as light as
the nature of the service will permit. The
Nicaragua Canal is practically the only
competitor to a tran5continental railroad.
The Canadian road is always for sale to the
highest bidder and consequently no com
pettor at all. The key to the value of the
Nicaragua Canal as competing route lies
in the power TO fix the rate Of toll. The
canal will always be open to vessels of all
nations, but an excessive rate of toll would
impair its usefulness as a competing route.