The Birmingham age-herald., 1905-12-17
President of Alabama ConSoli-
 dated States His Views
POINTS OUT FALLACIES
Work of Development Done by Rail- ways in the South-Comment on Freight Rate Reform Cam
 paign In Alabama.

pie, Is the subject or an article recent ly prepared by Col T. G. Bush pres ident of the Alabama Consolidated Coal and Iron, and issued in pamphlet form
 In the course of his discussion of the subject, Colonel Bush says in part:
 It would appear from the spirit in which the question of railroad rates has been discussed by the politicians for the past twelve months, that they are op- pressive, and consequently have retard- ed the progress of the country. But what are we to think. when consider the marvellous increases in every form of business-agrcu industrial, mer- cantile. banking. etc, which has taken place within the last half century,-each decade seemingly vieing one with the other as to which would show the great est increase in the growth of the coun- try? Take these two items. for instance coal and iron-the latter. at least if not both, being considered a barometer of the trade of the country. In 1860 the total output of bituminous coal in the United States was 5.775O1 tons. This has in creased to 2S0,0O0000 tons. The iron trade has doubled about every ten years. In 1860 the entire country made SS4,474 tons of pig iron At this time we are mak- ing at the rate of g, 900 tons per an mum. The total production of wheat for the past year was 6S3,o0000o bushels; corn, 2,70S, 900 900 bushels. And so we might go through the entire list of com- modities, showing corresponding increase. The banking capital of the country has grown to the enormous amount of S1,487,- 652, S61 until we have more money, per capita than has ever been known in the history of the country. With only a twentieth of the worlds inha bitants. the United States. 1t is claimed, has two thirds s14,O00, GOO 000 of the worlds bank ing power Capital. surplus. deposits and circulationD Since 1880 the worlds bank ing strength has grown 105 per cent, while that of the United States has ex- banded ITO per cent. Along with this stupendous growth of the whole country with the vast expansion in agriculture, manufacturing and mining-there has been built up a railway system-which comprises two-ffths of the entire earth that, in cooperation with developing capital, has increased the country's wealth from $500,000,000 in Washington time, to s11O,0Oo, 100000, at the present time.
 Increase in Next Ten Years.
 Let us see for a moment what the probable increase will be in agricultural and other products in the next ten years and the demands that will necessarily be made for transportation for same and consequently the need of ability of the railroads to meet these demands. We may expect an increase in population or about 15,O00.000 in the next ten years. Compared with 1890, we have an increase in agricultural products of more than 8. GOO. 900 900 In ten years; of mining and manufactured products, s5,000,OoV,O00. Ten years ago agricultural values were S,- O00 coo O00-now 5000, 100000; mining and manufacturing values were $1OOOO,0 00O,OO0 now S15 900 GOO OOO These two interests are now $70OO O00.0OO more per annum than in 1890. Unquestionably more railroad fla cilities will be necessary to handle this increased production-such as extension of lines doubling of track, increased sldings and enlargement of terminals. The same is true as to new equipment.
 The increased number of locomotives and cars for ten years was about 40 per cent; increase In volume of freight l53 per cent Comparing 1897 with 1904, the increase in seven years would give 3OO'- O00 900 GOO mileage-tons as against 1700O0,- 00O000 mileage-tons as now exists-which would require nearly double the carry ing capacity to move the additional ton mage. The output of bituminous coal is now 2S00OO, 900 tons. In ten years 1t will likely grow to 800 GOO. 900 tons or more. The present output of iron is 23OOO,OO0 tons per year In ten years it will likely increase to 4O00o,000 How will the transportation companies be able to provide equipment to move this tonnage if they are not per mitted to manage their business and ob- tain q reasonable profit as to make the necessary Improvements. or to have A credit by which they can borrow what their surplus does not furnish? If the railroad companies are not prosperous they can neither sell their securities for Improvements, nor provide for them out of their revenue. How can they be pros porous if rates are to be fixed arbitrarily by outside parties, or commissions-or at least by commissions which are not able. on account of lack of experience and training in railroad work, to make rates that are just and fair?
 Nearer Home.
 Now, let us come a little nearer home an see what has taken place in the south in the way of material growth, and see what part the railroads played in this wonderful development.
 The assessed value of property in the south has increased from $4,5oo,O0O,NO, in 1890 to $6, 800 GOO at the present time or an increase of 50 per cent in fifteen years Would this growth and increase in products and values have been possible without the great developing power Of the transportation companies? And IS It not fact that the returns from these great enterprises and Investments in the south have been far greater to investors In same than to those who have invested their money in railroad properties? Let us come still nearer home and make some comparisons with reference to our own state (Alabama) where there Is some what of a frenzied campaign being con ducted on the subject of railroad rates and where the people, l think. are un- duly exercised, so far as any danger or having their interests materially affected by railroad rates which exist now, or may exist hereafter. According to the census report. have the following values as to farms, farm products, ton mage of coal and iron, and assessment values, viz:
 1SSO 1904
 Farms in Alabama. .sl0653 ,307 S1l9, ,S99 SS2 Farm products oos'2,994 9l,5s' 4Vs Iron dons) .......-... fi'l9o l'4oo'oIo Coal (tonS) ........... o2S,ga2 H,loSis4 Total assessed value 139,0T32S 24.l24,SiS
 Of course. it is an admitted fact that the assessment values, on an average in this state do not exceed 30 per cent of the actual values. What is considered one of the most remarkable cases of de- velopment is that experienced in Jefferson county. Alabama-whic produces almost tue entire output of iron in Alabama, and nearly all of the coal The assessments in this county have increased from sS,- 4a5 N0 in 1880. to s50,99i2 20S in 1904. show ing that the county is now paying about 1-s of inc taxes of the state of Alabama. for three million dollars more than the
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