The independent. [volume] (Lincoln, Neb.) 1902-1907, 1905-04-06
RAILROAD COMPETITION
The Thing Is impossible and There Is
No Pretense That There Is
Among Railroad Men
FREIGHT ASSOCIATIONS RULE
A High Rate and Made Equal to All Is
Better Than Constantly Changing
Lower Rates With Rebates

On interstate business, or rather, on
business going over two or more rail-
way lines, which business we might
properly term .sinter-line" business,
there is an agreement between such
lines for division of revenue. These
agreements are published, but not as
tariffs are, for general distribution,
and are known as joint percentage
divisions.
Suppose ton of freight originates
at Canton, Ohio, destined for Fergus
Falls, MINI. It can start over the
Cleveland Terminal & Valley railway,
or over the Pennsylvania company, or
over the Wheeling & Lake Erie rail-
road. Those lines being the separate
roads at Canton, and all in an agree
ment with identical rates to common
territory. If the freight is first class,
the rate will be 81 cents per 100
pounds plus the local rate, st cents,
west from St. Paul. The expense bill
or freight will be $500 plus $ll.2o or
$29.4O for the through haul. The
initial road at Canton will get 43 per
cent of $500, as it's portion for de-
livery at Chicago to any Of the roads
leading to st. Paul and such receiving
road will get 81 per cent of the $500
and the Great Northern road at ST.
Paul will get it's local rate OF, $11.2O
for carrying to destination, Fergus
Falls.
In other words, the haul, Canton to
Chicago, will be 1888, which is 43
per cent of the through haul on the
defined territory under agreement.
The road northwest from Chicago, will
get $10.37, which is the remaining
So per cent of the $500, and the Great
Northern road will collect the total bill
of $29.40 on the ton Of first class
freight and retain the local rate,
s11.2O, as it's portion, paying in it's
adjustment Of accounts through the
railway clearing house, with the other
roads, their respective portion. There
are railway associations that have
jurisdiction under traffic agreements
with every portion of the United
States. The two associations which
govern the business above quoted, are
known as the Western Trunk Line
committee, the chairman of which is
Mr.. James v. Mahoney and the other,
the Central Freight association, whose
chairman is Mr.. J. F. Tucker There is
nothing on the tariff sheets to indicate
where the office of such committee is
located, and like Topsey in Uncle
Toms Cabin, they "just growed." :"
This is no doubt weak effort on
their part to lose identification, be-
cause of our foolish laws which are
dead letter against railway pooling.
We have laws against public braWls
and street fights, and then again we
make laws, the purport of which is to
cause natural monopolies, as are rail
ways, to become competitors and fight.
We just as well enact law that two
cats if tied by the tail and strung over
a line shall not fight, as to enact a
law that two roads shall not pool
when we undertake to regulate their
rates, and they know we must ship
over one or the other, or let our
freight rot Every portion of the
United States is governed as to traffic
to and from any point on all commod-
tiles by one form or another of rate
making associations, for division and
maintaining of revenue. There is alb
solutely no competition among rail
ways in the United States other than
"hot air" struggle among freight So
licitors who make an effort at certain
points to keep up their percentage Of
tonnage so that the percentage divi-
siOns may remain as agreed upon in
renewal of agreements. The rule of
the czar is not more absolute over
Russia, than is the rule of the freight
association over the respective terri.
tories they have apportioned among
themselves in the United States.
Wherever there is an exception to
this, there is a momentary fight which
is among railways, as defined by Gen.
eral Sherman among nations, in it's
effect on the railway. The writer does
not complain of rate committees, be-
cause in choosing between monarchy
with stable rates and anarchy with
Auctuating rates, he would promptly