Evening star. [volume] (Washington, D.C.) 1854-1972, 1897-12-07
PRESENT RAILWAY SITUATION.
The Necessity of Further Interstat,
Commerce LeHislatiOn,


Commerce Legislation.
From the North American Review.
The interstate commerce law has proved
of little benefit. Though the amendments
adopted by Congress since 1t was passed
have been practically unimportant, the jul
dicial Interpretation itdhas received has
left but little effective resemblance to what
it was originally supposed ito mean. The
people will not rest stipinsIy spbiect to
these conditions Congress will not by in
action confess itself impotent to- success
fully regulate interstate transportation, nor
will investors in railway property prove ul-
timately incapable, of convincing the gen.
eral public that no righteous purpose Is
served by rendering improbable the indus
try of carrying persons and property by
rail. The legislative remedies tried during
the last three decades have been generally
based upon an assumed conflict between
the respective interests of the roads and
their patrons. Maximum rate laws, long
and short haul restrictions. not always I'M
productive of mildly beneficial conse-
quences; excessive and double taxing
schemes, anti-association and anti-pooling
legislation, the injustice and positively det-
rimental effects of which are now recogniz-
ed by all wise publicists-have all had their
origin In this supposed antagonism. They
have also been universally based upon the
be, and are likely to be. excessive and ex-
tortionate in themselves AS the only rea-
sonable criterion of charges is the relation
between the cost of supplying and operat-
ing railway facilities and the aggregate
revenue received from disposing of the ser
vices they are created to perform, there
can be no just approval or disapproval of
particular charge except in consideration of
its relation to other charges. AS injustice
cannot be predicated of any rate except
with regard to its relation to others, it is
fortunate that the equitable adjustment Of
these relations is the fundamental economic
and social problem; or in other words
that the exact amount charged in any case
Is or but little Importance while its rela-
ton to other charges Is Of paramount con-
SHERATON In the conduct. of the business
affected.
Admitting the truth Of this, the question
naturally occurs How can permanent
uniformity be maintained?"
permanent uniformity cannot be main
talned unless there be established some
system which comprehends a Substantial
incentive for adherence to agreements once
reached, and the substitution of thorough
understanding among railway managers of
the genuine identity of the interests of the
corporations they serve, for the superficial
spirit OF rivalry and conflict now too fire.
quently prevalent. While the ownership of
.ne railway system continues to be vested
IN large number of legally separate cor
poratlons, this harmoniZation Of interests
can be achieved in satisfactory degree
oniy py the division of all traffic for which
TWO or more routes are, from commercial
STANDPOINT, practically available, among
the carriers operating such routes in stipu-
iated proportions according to contracts,
the Observance of which may be enforced
py judicial process. Such division may, in
most cases. be ACCOMPLISHED either nv the
physical division of business or by the pay
ment OF money balances, supposed to rep
resent the profits on the traffic carried
IN N, excess OF the agreed proportions to the
line or lines not receivfnn,t their fuII shoro
In either case there exists what in common
parlance Is termed pools