The Rice belt journal. (Welsh, Calcasieu Parish, La.) 1900-19??, 1906-09-07

itors. Absolute equality OF treatment at
the hands of the railroads would go far
toward Gripping the trusts. and / rejoice
that the president has had the courage to
press the question upon congress While
the law, as it was finally distorted by the
senate, is not all that could be wished, it
deserves a fair trial.
A New Danger
Rate regulation was absolutely neces-
sary. and ii furnishes some relief from
the unbearable conditions which previous
ly existed: but we must not forget that
the Vesting of this enormous power in the
hands of the commission appointed by the
president introduces 4 new danger If an
appointive board has the rover To fix
rates. and can. by the exercise of that
power. increase or decrease by hundreds
IF millions of dollars the annual revenues
Of the railroads. will not the railroads
feel that they have a large peCuniary in
tereSt in the election of a president friend
ly TO the railroads?
Public Ownership of Railroads
Experience has demonstrated that mu-
nicipal corruption is largely traCeablc to
the fact that franchise corporations de-
sire to control the city council and thus
increase their dividends If their man
ayers adopt the same policy the senti-
ment in favor of the ownership OF the
railroads by the government is likely to
increase as rapidly throughout the coun-
try as the sentiment in favor of munich
pal ownership has increased in the cities
Railroads Must Become Public Property.
have already reached the conclusion
tlat railroads partake 50 much of the
nature OF monopoly that they must III
timateiy became public property. and be
managed by public Officials in The inter
est OF the whole community in accord
ahce Win the Wen-uetHed theory that
pubic ownership Is necessary where COM
petition is Impossible. | do not know
a NIf
change. l do not know that a majority
OF my own party favor it, but l believe
that an increasing number of members
OF all parties see in public ownership The.
sure remedy for determinations between
persons and pOllucS, and for the cytOr-
Tomato rates for the carrying of freight
and passengers. Believing, however thai
the operation OF all the railroads by the
federal government would result in A
Capitalization which would all but OBJ.
literate state lines, | prefer to see only
the trunk lines operated by the federaI
government. and the local lines by the
several state governments. Some have
opposed this dual ownership as imprar-
tlCable but investigation in Europe has
convinced me that it is entirely prac-
ticable. Nearly all the railroads of Ger
many are owned by the several states
the empire not even owning the trunk
lines. ana yet the interstate traffic is
IN no wise o5structed. In travelling from
ConStantlnople to Vienna, one passes
through Turkey, Bulgaria, Servia, Hun
gary and part Of Austria without a
change of cars, and yet each country
owns and operates its own roads. an,
dinerent languages are spoken on the
Inherent divisions of the line. Sweden
ana Norway each owns its railroads, but
they have no trouble about interstate
traffic, although their political relations
are somewhat strained. The ownership
ana operations of the local lines by the
several state governments is not only
feasible, but it suits itself to the condi-
ions existing IN its various states In
thOSe states where the people are ripe
for change, the local lines can be pur-
chased. or new lines built, at once, while
private ownership can continue in those
states in which the people still prefer
private ownership. Some states have
the watering OF stock. and in the acquir-
ing or roads each state can act according
10 the situation which it has to meet
No Doubt of Government Power.
AS 10 the right OF the governments, fed
eral and state. to own and operate rail-
roads there can be no doubt. If we can
deepen the water in the lakes, and bull
connecting canals in order to cheaper
railroad transportation during half of the
year. we can build a railroad and cheap
en- rates the whole year; if we can spenC
several hundred millions on the Panama
lIuIlSCOIlllpIldI
can build railroad from New York to
san francisco to lower both transconti-
mental and local rates. The United
States mail is increasing so rapidly that
we shall soon be aDle to pay the interest
on the cost OF trunk lines out Of the
money which we now pay to railroads for
carrying through mails. If any of you
question the propriety Of my mentioning
this subject. ! beg to remind you that
the president could not have secured the
passage OF the rate bill had he not ap-
pealed to the fear Of the more radical
remedy or government ownership, and
nothing will so restrain the railroad
magnates from attempting to capture the
interstate commerce commission as the
same fear. The highhanded manner in
which they have violated law. and ig-
nored authority, together with the cor
ruption discovered in high places, had
done more to create sentiment in favor OF
public ownership than all the speeches
and arguments Of the opponents of pri.
Vate ownership. / have referred to the
railroad question as part of the trust
question because ,.Iey are so interviewer
that 1t is difficult to consider one without
the other.
Trusts Political Development.
just q word more in regard to the trusts
Some defend them on the ground that
they are an economic development, and
mat they cannot be prevented without
This may be answered in two ways First
trusts are a political development. rather
than an economic one; and second, the
trust system cannot be permitted to con-
tinue even though it did result i'm q net
economic gain. 1t is political. because il
rests upon the corporation and the cor
poratlon rests upon a statutory fOunda-
ton. The trust, instead of being a natu-
raj development, is a form OF legalized
larceny, and can exist only so long as
the law permits to exist. That there is
an economic advantage in production on
a large scale may be admitted; but be-
cause million yards Of cloth can be pro-
duced in one factory at lower price per
yard than one hundred thousand yards
can be produced in the same factory ii
does not follow that cloth would be pro-
duced at a still lower price per yard IL
all the cloth consumed in the United
states were produced in one factory or
under one management. There is a point
beyond which the economic advantage OF
large production ceases. The moment an
industry approaches the position of a mo-
nopoly it begins to lose in economic eff
cheney, for monopoly discourages inven-
ton, invites deterioration in quality, and
destroys most potent factor in produce
ton. viz, individual ambition. But the
political objections to a trust overcome
any economic advantage which 1t can pos