The San Francisco call., 1904-02-13
Aborft Street Rail7eayS.
BY sERENO S. PRATT.
editor Wall Street Journal author OK The
Work Of Wall Street
~ h-rT ovrles


history as long as that OF the steam
railroad, its greatest and most rapid
development has been in the last two
decades.
The steam railroad in this country
dates back to 1929. Two years later
the first street railroad was estab-
lished. This was in New York City
and consisted of a crudely constructed
line from Prince street to the Harlem
River. II was not a success, however
and was abandoned in four years. In
1852 the lines which now constitute
the main parts of the great Metropol-
itan system were constructed, and
street. railways were thereafter soon
introduced into other cities. San
Francisco has the distinction of being
the birthplace, in 1878, Of the first
cable railroad, and Cleveland, in 1881.
of the first electric line.
To the application of electricity as
motive power the street railways owe
their rapid development in the past
twenty years. The trolley" overhead
and underground, has not only taken
possession of the city streets, but of
the suburban roads and the State
highways. Lines of electric roads now
connect New York and Philadelphia
and New York and Boston. So great
has become their competition in local
traffic with the steam railroads that
in some instances the latter have re-
duced their local service and, leav-
ing the suburban traffic more and
more 10 the electric roads. are paying
more attention to the development of
their through business.
But it is law of the transportation
business that nothing serves more to
increase travel than the increase in
the facilities for travel.
The vice president of the Paris.
Lyons and Mediterranean Railway
recently wrote that every new inven-
ton in the way of locomotives serves
only to develop the taste for travel.
AS matter of fact, bicycles, auto
mobiles and trolleys actually increase
travel beyond even the facilities they
themselves afford, so that the steam
railroads are thereby actually bene-
flied. In New York City it might al
most be said that every new line of
travel has really increased the prob
lem Of rapid transit. Statistics show
that the percentage of passengers to
population is increasing at the rate of
three 10 one. There is no doubt what
ever that the development of extern
sive systems of trolley lines is work.
ing great changes in the transpOrta-
ton business. The application of
electric motive power to the present
steam lines is a possibility Of the fu-
ture.
How immense this development has
been is shown by the statistics for
1902. the latest available for the pur-
poses Of comparison. The street rail-
way mileage was 22,5Ss, or about IL
per cent Of the steam railroad mileage
The capital stock was S1,216, 277, 9S9, or
about one-fifth of that of the steam
railroads. The funded debt was 1929
32S.6j6, or about one-seventh. The gross
earnings were s241, ,5s4 ,697, or IA per cent
OF those Of the steam lines The net
earnings were s1O2 572, ,693, or more than
IS per cent. The dividends paid aggre-
gated SIS, sos PIG.
Not counting the transfers, there
were 4,S13,466. .0O1 passengers carried on
the trOlleys, the car mileage being
1.097 ,S06, ,SS4. That was equal to So rides
for every man, woman and child in
the United States. In New York City
in the same year the passengers num-
bered 1851, 900. .000 or over 2S4 rides per
capita. Some OF the lines carry freight.
express and mail TO a limited extent,
but that is a minor part of their bust
ness. The vast investments in street
railroads are made in anticipation Of
To ha
emulation of scent pieces. The steam
railroads. whose great profits are main
ly derived from freight. carried in the
year under review only one-seventh as
many passengers as the street rail-
roads. although their mileage is so
much greater.
Il is not surprising that powerful
capitalists have been attracted by the
boundless possibilities in the accumu-
lation OF scent pieces to invest heav-
ily in the street railroad business
Commodore Vanderbilt constructed the
line through Fourth avenue, New York.
jay Gould early recognized the oppor-
tunities which this field OF enterprise
afforded and obtained control Of the
elevated railroads in that city. His
children still maintain the investment.
although the control 0f the property
has passed by lease TO the company
which is constructing and is to ope-
rate the underground railroad through
Manhattan Island, in which August
Belmont and other noted capitalists are
interested. The surface lines in New
York have been developed into a great
system by William c Whitney and
Thomas F. Ryan. with the aid of the
Wideners ana Elkinses OF PHILADELPHIA.
who, besides their control of traction
lines in that city, have been connected
with similar enterprises in Chicago and
Pittsburg- J. Pierpont Morgan. E. 81.
Hartman, Marshall Field. A. n. Brady.
r. P. Wilson. Norman 3. Ream and
II. II. VTeeland are some of the wen
known names that are connected with
street railway development in this
country.
sTchrurr Saf1 tho saorror ..