The record-union., 1893-05-10
MR. HUNTINGTON,S VIEWS ON
MANUFACTURES IN CALIFORNIA
AND OF INDUSTRIAL DEVEL-
OPMENT.


AND OF INDUSTRIAL DEVEL-
OPMENT.
In another column we print a most
interesting letter from President C. P.
Huntington of the Southern Pacific Com
pany upon the question of the develop
lnent of the State, in which he treats
Iucidly of manufacturing possibilities for
California, and therein of the question of
competition between home and Eastern
manufactures, as affected by transporta-
ton facilities and rates.
The letter should be read in full and
With the thought in mind that while
what is said relative to manufacturing is
specially directed to San Francisco's ad-
vantage and duty, it will very largely
apply to Sacramento and to any other
city in the State endowed by nature and
by commerce with advantages essential
to success in maintaining manufacturing
centers.
Inc letter is strong, clear business
IKE document from man whose oppor-
tunities for feeling the commercial pulse
are unsurpassed, whose far-seeing and
sound judgment are confessed through
out the country. His long experience in
business, his intimate relation to great
industrial enterprises and the attention
he has given to the study of State and ma
tional development, and the needs and
conditions and factors involved in the
growth OF States and communities, have
qualified him in the highest degree to ad-
wise, and giveto his judgment weight and
value of first importance. No one who
reads this straightforward and lucid let
ter can fail to be impressed with the fact
that its author is sincere friend of Cali
fornia and desires her highest good.
While we would not by any synoptical
statement forestall that full and deliber-
ate reading which Mr.. Huntington's
letter ought to have, it would seem to be
proper to here indicate for special atten-
tion some of its salient features that at
this time especially address the vital in
terests of the whole people of California.
At no time, perhaps, in the history of
this State has there been such general
and serious thought concerning State
needs. In the face of the fear that our
advance in development has been checked.
there has been unusual consideration of
questions of inquiry, and more than or
dinary debate of means to improve the
local situation. In this debate the cues
ton of enlarging industrial interests has
nlled large place, and in this COM
munity, just at this hour, it is the subject
not only of animated discussion and seri-
Gus concern, but of active work in the
face of much Encouragement due to "a
failure to comprehend the truth.
This, we take it, must be conceded to
be the truth-the truth that neither DEM
agogic assaults upon transportation in
terests nor the vaporings of theorists and
agitators upon transportation rate ques-
tlons can obscure or make esecondary-to
wit, that Mr.. Huntingtou's position is
vindicated by the stubborn face of fact.
that rate wars will tend, MOTTO upbuild.
but to depopulate this State; that the sal
walton of California is to be found in the
direction of building up manufactures;
that there is an introactive relation be-
tween population and employment. and
that what California needs most of all is
employment; provide that, and desirable
population with all following beneficence
will come-that, indeed, is the central
thought and the keynote of Mr.. Hunt
ington's letter.
The mistaken notion that by crippling
transportation interests and opening
wider, through ruinously low rates of
carriage, the California door to Eastern
manufactures, this State is to be benefited.
is being now rapidly dissipated. A few
months ago we took occasion to say that
the real interest of California might lie
in having rates for incoming products of
manufacture which we can produce. so
high that their Importation would be un-
remunerative, while for all outgoing
products of California, rates should be as
low as it is possible to have them and in
sure movement. At the time the express
sion excited no little comment and con-
siderable antagonism, but it was made
upon the basis of justifiable California
selfishness, and as analogous to the pro-
tective theory, and especially to illustrate
the difficulties under which California
labors in competing with manufacturers
of the East, where capital invested is
very large, where unlimited markets are
ut hand, labor cheap, materials readily
obtainable and the volume of business
such that the narrowest possible margin
of profit represents in the aggregate enor-
nous gains and almost immeasurable
business activity.
The statement of Mr.. Huntington. that
California cities can never grow to great
ness by merely trading In outside COM
modities, is an invulnerable syllogism in
sentence. AS he says, San Francisco
and the State must have manufactures
giving employment to our people. This
is, as he holds, possible-there are MANY
lines upon which we can proceed more
economically than any competitors, since
we have, besides materials, climatic ad-