Evening star. [volume] (Washington, D.C.) 1854-1972, 1902-12-27

mediate relief. which, 0u only safely ana
properly be given trSngh the summary
process Of court. II !: quite probable.
In dealing with monopoly in other branches
portation.
Mr.. HfneLLa Remarks.
Commissioner Pnoaty was followed by
Mr.. Hines. who spoke, in part. az follows:
The agitation by ting Interstate commerce.
commission for the ,6sts making power be-
gan in 1897. when the Supreme Court de-
cided the maximunO late case. In that
case the commission had fixed rates which,
II enforced, would have materially reduced
the Mississippi river. The Supreme Court
showed clearly that C0ngress had not given
the commission -thf1a necessarily unlimited
ana extremely important power. but 1t
pointed out that the commission did have
important functions designed to secure
both reasonableness and equality OF rates
The commission criticised the Supreme
Court, denied the courts statements and
has made the erroneous impressions that
1t is now powerless and also that the rate
making power would prevent secret rate
cutting. The proposed power would neces-
sanly be free. from any substantial judicial
review and would be a complete abandon
ment Of the method of regulation proyid-
ed by Congress, which, despite all asser-
lions to the contrary, has never been prov
ed insufficient Any dissatisfaction is due
to shortcomings of the commission rather
than to defects In the law. 49,
Inc Interstate commerce commission is
neither an expert nor an impartial tribunal
as is proved by its decisions and the action
OF the courts upon Them 1t ia unneces-
sary, unwise and unjust to give such a
tribunal practically final power over the
private capital invested in railroads. At
present. the mistakes of the railroads can
De adequately CORE cted in the courts; under
me fhn x,,9o
commission could not be corrected any
where.
Railroad Earnings Decreasing.
The claim that low rates are due to rail-
road competition and that as such com
petition is disappearing the power to re-
duce rates should be given to the commits
sion Is fallacious because the generally
low basis of rates is due to the competition
between markets and between products
and to the fact that economical railroad
management necessitates constantly in
creasing the volume of traffic and these
conditions are bound to continue
Some members of the commission argue
that rates ought to be reduced, but they
have not exercised thesaut hority they have
to put that view into effect. However, de-
spite the increase in volume Of traffic and
In efficiency of machinery, railroad net
earnings are diminishing and the cost per
ton per mile is increasing. Although traf-
fic conditions are not likely to, permit In
creased returns. still as an abstract propo-
sitton the railroads undoubtedly have the
right to share in the general prosperity
when all other services and commodities
increase in price
The railroads of this country are largely
responsible for its Industrial and CONNER
ctal supremacy. Self-interest will undoubt-
eddy prompt them to do everything in their
power to maintain that supremacy. Ger
tainly the material welfare of the country
has not depended in the past upon rate
making by the commission, and it cannot
be promoted thereby In the future
The discussion was participated in by
Prof Emery Johnson; University Of Penn.
sylvana. -