The times. [volume] (Richmond, Va.) 1890-1903, 1898-01-25

on. and we may expecs 10 see them as
badly debauched as the politics or New
Jersey or New YORK now are.
So much for rcasons OF policy why this
bin should not be passed. But IL Is All
wrong in principle. II provides that q
commission consisting OF three men,
who are 10 be elected by the
Legislature. are to fix the rates
that railroads shall charge lor
transporting passengers or freight az
what the commissioners may think to be
reasonable rates. 10 practically PAGES
these commissioners In charge OF an the
railroads in the state and provides that
they may serve them as they please
without appeal OF any Kin from "hat
they may order. for we look upon the
nominal appeal provided for as amount
ing to nothing at all IN a practical way
The theory OF this bill is that the rail-
roads are public enemies TO be caught on
sight and imprisoned ana held from that
time onward.
Now. this. we insist. IS n total miscon-
ccption Of the true relations existing be-
tween the public and the railroads. Ihey
arc friends, and If LETT entirely to them
selves. they will Just as certainly ADJUST
themselves. the one TO the other, as that
the day follows the night.
A railroad must charge living rates or
IT must perish. But 1t is not to the IN
terest Of a road 10 charge more tnah
living rates with a reasonable profit. ana
no man knowingly does what is against
his own interest. when high rates are
charged by a railroad with q view 10
eouging out OF traffic and travel the last
cent that can be obtained. traffic and
travel are discouraged and the volume
of eacn IS, therefore. abridged with the
consequent loss or revenue TO the road'
But when rates are reduced TO the lowest
point possible. tranic and travel are en-
couraged. they Increase I'm response to the
reduction Of the rates and the country
along the line Of the road is bullt up
furnishing an cver-incrcasing supply OF
what will yield tho railroad income. TINS
is n perfectly obvious principle in pohti-
cal economy, and though a railroad presi-
dent has never read a word OF polucdi
economy he would be a fool indeed if he
Cid not see that he would make more
money by reducing his rates to the low
est possible point and thereby Infinitely
Increasing the volume of his business
than by gouging all out or the business
offered him that he could get and therepy
restraining the development Of his busi-
ness into volume.
There is an idea abroad that railroads
water their stock unreasonably ana theh
| charge higher rates 20 earn DIVIDENDS
unon this watered stock. But n certain
amount Of traffic will only yield a certain
amount OF revenue. whether the road mas
watered its stock or whether it has not
II tho road charges this traffic more than
II can bear IT will not thereby increase
its revenue. 1t will diminish It. 1t viii
| cause its business to fall of and. conse-
ouentlv. its receipts TO fail off. The only
way revenue can be increased IS to de-
| crease rates and thereby build up the
business by building up tho country.
II. then. the Legislature will LET
the matter alone natural law
will inevitably reduce rates to the
lowest point that VIII prhs
the railroads a reasonable profit. ihat
is lust as certain as the results Of the
law OF sravitation. If the Legislature In
sists upon burdening the railroads with
an oppressive and %tyrannical measure
/ like Mr.. Withers' bill. friction is at once
made between the railroads and the pub
lie. and they are made enemies instead
Of friends, and the ROADS spend great
sums Of money in the wal that Is forced
on them that would go in the way OF re-
duction OF rates If they were left alone.