The morning call., 1893-04-18
RESTRAINING THE RAILROADS.

Mexico, in its management of railroads,
asserts the wisdom of letting the dog wag
the tail instead OF the tail the dcg-a prac-
tical philosophy which Dundreary was
won't to s0liloquize upon. Provided a new
law which has come into operation is en-
forced, the railroads OF the adjoining re-
public viii be pretty tightly held in check
by the Government as to the manner in
which they deal with the public. The Gov
ernment does not own all tie railroads. 1t
has. as an exception, possession Of the one
across the Isthmus of Tehuantepec But
Il IS unnecessary 10 own them, as far as JUS
tice 10 the public is involved, provided The
regulations now legally sanctioned are ap-
piled with firmness and impartiality. Rates
must he made that the Government will
approve. This Will carry the power Of
revision from time TO time, if not sum-
marilY. Rebates and discrimination IN any
shape are Illegal, as they ought to be in the
interest of community, these special
fayors being little more than bribes TO
enable them TO practice eXtorton on the
general body OF traders. Combinations
among tie railroads for the purpose Of
forming pools or fixing contracts are Illegal,
and the ticket-Scalper may find il difficult
to carry on his vocation, although it is far
from harmful when The railroads are Op-
pressiveiy managed. With the necessary
provision of heavy fines and penalties for
violations of the law, it may possibly re-
suit that the Government will retain the
upper hand of the compan es but ex peri
enhe of the working of the law is necessary
before forming a conclusive judgment.
Railway companies are familiar with the
arts OF formal compliance and practical
evasion, and if the requirements of the new
law are unpalatable they Will not hesitate
to devise loopbOies of escape.
The regulations indicated would give the
people as much control of the railroads,
through the Government as if the State
owned them. Such supervision is, in GER
tain respects, preferable to State ownership,
because it al least allows energetic individ-
ual initiative to have its opportunity In
the United States very drastic powers are
needed to control the railway system and
put down abuses. The best control comes
from genuine competition and plenty of it.
resulting in trade being left to follow
natural channels. The Eastern, Middle and
Western States are favored with many rail-
roads, and there ought to be vigorous com
petition and fair dealing with the public.
Yet it Is common TO find the benefits which
should be obtained neutralized or set aside
by combination agreements among the
companies. for which the sanction of the
Federal or State government is not needed
1t is working bargains of this kind that
often render railway arrangements odious,
because over vast districts of country there
may be many railroads and very little real
competition. The Vanderbilts, Goulds and
HuntngtOns may map out 1be country
| under treaties with which there is no right
of interfer ence unless discrimination is
proved. Rates may be fixed at exorbitant
figures, or may be lowered with ths one
| malicious design of destroying a rival in
Mexico, apparently. these abuses will not
be possible. The Government has the last
word about tariffs. and can protect the weak
against the strong, as we'll as the public
against all railroads. VIII the Government
exercise its powerP