Evening star. [volume] (Washington, D.C.) 1854-1972, 1905-06-11

L
Herald.
| NEW YORK, June 10, 1905
| Railroad and financial men in New York
| nave settled down to the expectation that
| there VIII be some sort of legislation regu-
! lating rates and prohibiting rebates at the
next session Of Congress: but they do not
think 1t VIII be so severe or radical as the
| Eche-Townsend bill. They do not believe
Congress will go SO far as the President de-
| mands, but are convinced that the princi-
pie Will be recognized and the authority Of
| the government to control transportat ton
| rates established which Is the next step
! to government ownership. The recent cleo
| ton In Chicago seems to be interpreted as
| an expression Of public sentiment which
Will encourage all grades of socialism, al
| though 1t will not accomplish anything
more than making government ownership
and control political issue for the next
congressional and presidential campaigns.
railway president in discussing this
| matter, said that If Congress proposed to
! authorize the interstate commerce COM
| mission to fix the rates which railways
| might charge for the TRANSPORTATION Of
| freight and passengers, 1t should be fair
enough to authorize the same body to fix
the rates OF wages that shall be paid to
railway employees, the price OF steel rails,
construction material and other supplies
the cost of cars ana locomotives, and de-
termine what compensation shall be paid
lor rights OF way for new lines and land
for terminal facilities.
In other words. If the interstate COM
merce commission is given authority to
| regulate the revenues of the railroads. it
should regulate their expenses also.
Revision Of the Tariff.
There Is general apprehension among
| business men concerning revision of the
tariff. Nearly everybody except the ex-
treme high protectionists comedies that
the duties on many articles of import are
much higher than are needed: but very few
people believe that reduction OF these duties
will lower the prices of those articles or
of any Of the necessaries of life, notwith-
standing the demands and expectations of
the consumers out west History shows
tariff legislation does not often affect
prices. Nearly everything that Is needed
by the citizens is now produced in the
United States. except raw materials, such
as sugar, coffee, tea, rubber and other
products of the tropics which cannot be
produced in this country. The prices of
articles at home. therefore, are regulated
by the laws of supply and demand, and
| the present high rates are due to the gen
eral prosperity Of the country and the
high wages, which permit consumers gen.
orally to buy what they want. 1t Is as
serted that the tariff has nothing to do
with the prices Of American goods. and
that they Will go up as wages Increase and
the purchasing power of the people Is en-
larged. Go down wages are lowered
and as the demand dminishes.
Notwithstanding this fact, the most i'm
portant contention is that any attempt to
revise the tariff schedules will cause an
agitation and a state Of uncertainty among
both manufacturers and merchants that Will
disturb business, prevent contracts and
postpone sales. The periods of uncertainty
which always attend tariff revision do
more harm to the contry than is caused by
any other legislation. From the time that
the agitation begins until the new tariff
schedules are approved by the President,
manufacturing and trade are practically
suspended, at an enormous loss to all
classes of people engaged in both occupa-
lions. This interruption of business and
Its consequent losses are feared much
more than any reduction OF duties.
The proclamation of Secretary Taft, that
rial and supplies wherever it can get them
the cheapest. does not frighten any one
over here. and both the mercantile and
manufacturing communities admit that the
policy Is sound At the same time. they
assert that our people can underbid any
other nation on earth for any article that
may be needed, with the exception Of a
few unimportant items. II our manufactur-
ers want the contracts, and are able to
handle them, they will bid to win. II
they can make more money dealing else
where they will let the canal commission
buy their material in Europe. Nobody that
l have met. except a few ultra-high- tariff
politicians, approve the proposition to pass
a law compelling the commission to spend
all its money in the American markets.
Thht, all practical business men assert.
would be a very foolish procedure, and
place the commission in the power of the
trusts.
Proposed Duty on Coffee.
Down on the produce exchange, and
among business men generally. a small
duty on coffee is recommended as the
best means Of replenishing the treasury of