The morning call., 1893-04-27
= DANCE OF DEATH.

Mr.. Huntington commenced Tuesday his
great scheme for the development Of the
commerce Of California. IL will be noted
as somewhat strange that he should make
reductions when nobody cares fig whsther
he did or not Another circumstance of a
singular nature is THAT his plan of develop
ment runs only in streaks. Trade between
San Francisco and New York is to be pro-
NOTED by low rates. But Boston, Phila-
delpbia and Baltimore are TO be left out in
the cold. Just at the moment Mr.. Hunt
ingtOn is Of the opinion that the only trade
that is good for us is that which comes from
the great metropolis. But if our merchants
should extend their ansportatiOn enterprise
so as to take in the first named cities the
railroad monopoly would at once come to
the conclusion that commercial Intercourse
with them should be fostered. Nrbody Of
the least Intelligence will have any difficulty
IN reaching the true meaning of what Is going
on. Mr.. Huntington may suppose that his
freight reductions will be accepted as a
genuine effort on his part to help along the
State which he has so long harried. But his
method OF proceeding is as old as the hills.
1t Is as well known as if be had
made public proclamation Of the fact, that
il the present opposition can be taken up a
return will forthwith be made to the old
practice of taking out Of the traffic all that
it will bear. The calculation is that all that
is necessary to secure complete control
once more Of all our commerce is to give
our merchants q few nibbles ut low rates.
1t is supposed that in the qualification they
are likely 10 find in them the fact will be
wholly lost sight of that once they have
succumbed the old condition OF things W i'll
be restored. with prospect of still further
exactions, for the money that the railroad
monopoly has already lost must be made
up.
If Mr.. Huntington was dealing with
community of blind moles, he could not
be more absurdly transparent. His hope of
success is based on the contempt which he
feels for his antagonists. But on one point
he seems to have slipped up badly. II there
IS no fight with him no vict0ry is within his
grasp. If our merchants continue their
efforts to 90 their own transportation, the
running Of Mr.. HuDtington's cars and
steamers will not have the least effect on
the situation" The only novelty will be
that these cars and steamers will be run
ming for the most part empty. The Ques-
tion for the mercantile community to de-
termine is as to how reasonably can the
exchange of products with the East be carried
on. That problem having been settled. it
will stick TO its own enterprise. 1t has
nothing whatever to do with MIR. Hunting
ton. 1t does not make the least matter
whether his rates are higher or lower than
those at which the merchants themselves
can 10 the work.
The reduction in rates is an announce
ment On the part of the Southern Pacific
Company that it proposes 10 spend a few
miilion dollars 10 Kill competition. Whether
this policy shah be considered courageous
or reckless depends entirely upon our mer-
chants representing the people of Califor-
MIA. The means of victory are in our
hands. The question is if our shippers shall
consider victory worth what il may cost.
The Southern Pacific is Ill prepared to enter
upon a conflict with the State to maintain
Its monopoly. The company is loaded
down with bonds bearing a high rate of
interest. That the bonds are in excess OF
the value OF the road is quite generally be-
Heyed. natural effect OF this excess of
bonds will be depreciation In the market
value Of bonds as soon as the earning ca
paeity OF the road is impaired. There is
another consideration which should not be
ignored. The North American Company
has the cheapest route In q war of rates
IL VIII pay expenses while the Southern
faclhc IS losing money. But there is
broader view to take of the conflict There
are tens CT millions for our people in the
establishment of competition on an endur-
Ing BASIS The dance of death" may be
uea'h TO Inc monopoly. but ii is life to Cali
foTnia.