Mexico weekly ledger. (Mexico, Mo.) 1855-1956, 1898-01-20
PROF. MILLIONS BOOK.
Review Of the Same by an Eminent
Authority in the Chicago
Evening Post"


giving useful Information regarding
state activity In connection with rail-
roads. The book 10 entitled estate
Aid to Railways In Missouri" but 1t is
not limited to the experience OF Mis-
souri, alone. The author, Prof. Mil
lion, justly observes in his introduce
tion that, while state aid and state
control are doubtless distinct and
separate things, there is close re-
lation between them. State aid nec-
essarily involves the possibility OF
state control and operation, since in
aiding railways the state must main
tam certain effectual checks on the
corporations aided, and these checks,
In the form OF mortgage, voice in
management and the like, may rem
der 1t needful or expedient for the
state to assume active control. The
truth of this we now see strikingly IL
lustrated in the Pacific lines. The
difficulty of effecting q settlementju just
to the government has caused wide
spread agitation for government
operation Of the roads. We shall
probably escape that alternative, but
the government has had to face it and
entertain the suggestion very serious
ly. Clearly, of all methods of bring
ing about government ownership that
Of drifting into it through failure of
state aid schemes Is the worst. But
be this 1t may, the results of state aid
cannot fail to throw welcome light
upon the larger problem OF govern
ment naturalization" of Industrial
enterprises. What, then, have been
the lessons OF our experienced
illinois, experience may be irst re-
called. In the words of Professor
Million, "of ali states that launched
out upon the sea of internal improve
ments prior to 1s40, Indiana, Illinois
and Michigan had the most canvas
spread and the least ballast; and of
these Illinois drew the least water"
In 1887 the legislature passed an act
for the construction of 1,341 miles Of
railway. The roads were to be state
works exclusively. OF the roads char
tered by this act only one was ever
completed. In less than three years
work was abandoned upon all the
roads excepting the one referred to,
known as the Northern Gross Road.
The line, completed at cost of s1,-
o0o, 900, failed to pay expenses, and was
sold few years later for only $780,
600. The chief cause for the collapse
of the scheme was the neglect of the
legislature to regulate taxation and
expenditure with intelligent reference
to the resources and wealth of the
state. At one session the legislature
actually appropriated for internal
improvements alone sums equal te
more than one-sixth of the entire
wealth of the state.
Passing over several other early
experiments, all of which ended ir
loss and failure, we find an exhaus.
tive study of the Missouri experiment
regarded by the author as most i'm.
portant, because it was on greater
scale and involved the state in larg.
er debt than any other. The account
shows that 'no small amount of In.
competency crept in and a style o.
political corruption was developed
which made that OF other states pals
into insignificance." The state found
that 1t would not complete the rail
ways projected, because the railway
debt had already reached more thar
$50, 600 900, the constitutional limit fol
such purposes. The only course lef
open was to dispose of the roads b,
releasing the state liens. Were fay
orable terms secured for the state
No; it's interests were ruthlessly sac
rificed by corrupt and incompeten
men. Six million dollars were sacri
feed on the Pacific railroad alone,
road upon which the Hen should no
have been released at all, because /
was completed and earning handsome
dividends. The release OF the lien
meaning direct gifts to private com
panies Of the states interest In thu
roads, naturaily tempted and invited
bribery and fraud, and we are tol,
that the transaction involved corrup.
tion OF the most disreputabIe sort.
l xra ~an that kha naxoA 60 sh.
failure of the various state expert
nnents were incompetency, Ignorance
and dishonesty. At the very outse
the Legislature neglected to keep il
mind proper relation between liza
bilities and resources, and such a
overnight 10 clearly giaring evidenc
of unfitness. Professor Million assert
that success for the industrial At
tempts was out Of the question, owini
to the nature OF railway manage
ment and the qualification Of stat
officials for meeting the require
ments. The managing of railway
requires special training In scores @
different ways, peculiar business in
eight, knowledge Of markets, and o
on. Such skill the government Is un
able to command. After the fail
ures in Illinois, Indiana, Ohio an
other states, private enterprise set {
work and built roads that soon prov
sd to be profitable investments. /
some states, where there was rivalr
between private and public enter
prise, the later was early left far be
hind the former.
i We are, indeed, frequently referre
to the success OF government raj
roads and telegraphs in Europea
countries, but on this point Professe
Million observes very justly that b<
tween Europe and the United stats
there In divergence In these ma
,, ters a. wide a. the east 10 from tt
, west. Centralized government
traditional and hxed In Europe, an
/, under its political conditions indui
!. trial functions are managed on his
rarchical principles. There Ia iitt
corruption, because there is rigi
discipline and subjection. In tn
United States these conditions do NJ
obtain. We thrive best under q sys