Bismarck daily tribune. [volume] (Bismarck, Dakota [N.D.]) 1881-1916, 1905-10-11
GOVERNMENT REGULATION
0f FREIGHT RATES

prof. Hugo r. Meyers latest book
Government Regulation Of Freight
Rates, Z was given to the public yester
day.
The book Is timely. The subject
of the regulation Of freight rates Is
likely to be discussed at the coming
session OF congress. Mr.. Meyer, who
Is assistant professor OF political
economy at the University OF Chicago
has devoted several years to the In.
vestigation OF the railroads and their
regulation. He has not confined him
self to the railroads OF this country
but has spent much time in the study
tof acondi tions Of railroads In Germany,
Great Britain, Australia and Russia.
The years Of study have caused Mr.
Meyer to reach the conclusion that
government regulation OF freight
rates would work to the disadvantage
Iof the farmers Of the northwest. One
chapter of the book is devoted to
Interstate Commerce Commission s
Demand for Power s;s,.
The following Is an extract from
this chapter: BE-. !
So far, then, as the actual working
of the act to regulate commerce Is
concerned, there have appeared no
difficulties that call for the bestowal
upuon the commission of the power
to prescribe for the future q rate to
take the place of the one that the
commission has found unlawful. 1t is
in keeping with this fact that the
commission itself has not asked simply
for the power to prescribe a rate, In
accordance with the guiding principles
laid down in the act to regulate COM
merce, as construed by the supreme
court of the United States. Nor
would the commission and those inter
ests that support the commissions re-
quest for power to fix a rate to con-
tent with that simple power. The
commission asks for power to fix a
rate under freedom from several Of
the guiding and restraining principles
that now restrict the commission s
power to condemn a rate as unlawful.
For instance, the interstate commerce
commission never has become recon
Eciled to the supreme court Is construc-
ton of the act to regulate commerce,
to the effect that 1t is not unlawful to
make lower rates on agricultural pro
duce when destined for export than
when destined for domestic consump-
tion. Ten years after the supreme
court had reversed the commission on
this point, the commission reported
that, II It had the power, 1t would for
bid the railways to discriminate per
nanentiy in favor Of agricultural pro-
dnce carried Tor export.
Again, the commission never has be-
come reconciled to the construction
which the supreme court has put upon
the words under substantially similar
circumstances and conditions Z as they
concur in the socalled long and short
haul clause OF the act to regulate
commerce. The commission holds
that this construction has .emascn.
lated the long and short haul clause,
and 1t has in It's decisions intimated
that under that construction 1t could
not conserve and promote the public
welfare
The y commission also asks FOL
power to fix a minimum rate below
which q railway may not 60. The
commission asks dor that power II
order that 1t may be able to adjust
with relation to one another the rates
made by entirely separate systems 81
railways leading from common points
OF origin to entirely different destina
lions, or from separate points 81
origin to common market or destina
tions. Under that power 1t would III
possible for the commission to adjus,
with relation to one another the rates
on grain made by the railways lead
ing respectively from Nebraska to the
Gulf ports and from Nebraska TO ths
Atlantic seabord the rates on paper
made BY the railways leading respec
lively from northern Maine to Chicagt
and from the Fox river, WIS.,, to Chi
cago: the rates on cotton from Mem
phis to the California mill points AMI