The Mitchell capital. (Mitchell, Dakota [S.D.]) 1879-1918, 1907-06-07

the roads more important by far
than the physical valuations; aud the
physical valuation of the road in o3e
reSion may have an entirely different
relation to the real value OF the road
than in another region where tbs
conditions are utterly different. There
fore the physical valuation can never
be more than one OF many clements to
be considered; but it is element
and at times may be q very important
element, when taken in connection
with The earning power, franchises, or
igin@l cost, character of management.
location, and business possibilities, in
reaching an estimate on the property
ana rights OF . corporation as a going
concern.
The effect OF such valuation and
supervision Of securities can not he
Retroactive. Exissing securities Should
De tested by The ltgs in existence at
the time OF their issue. This nation
noald no more iniure securities which
ave bccolnc an Important part of the
national wealth. than it would consider
Il proposition to ~repudiate the public
debt. But the pubic interest requires
guaranty against improper m~ultiplica-
ton Of securities in the future. Rea-
sollable regulations for their issuance
should be provided, 50 as to secure as
far as may be that the proceeds there
OF shall be devoted to legitimate bGsi-
ness purposes.
tiarn no E.cncst Person.
In providing against overcapitaliza-
ten VIC shall harm no human being Who
IS honest; ana We shall benefit many.
for DISQUALIFICATION often means an
imitation that invites business panic:
1t always oonCeals The truc relation OF
the prottt arm to the capital in
vested, creating a burden OF interest
payments Which may rebound to the
EfGcc c1i1Sn of taa2 IE1 ca carmen and tho
general public, which is concerned in
tie rates paid by shippers; it damages
the small investor. G~iseouraGas thrift,
and puts a premium or gambling and
bEsiness tricl.ery.
Taere is an essential differences be-
tween psisatc and quasi-public prop
crty and which justifies setting
somewhere a limit beyond which he
accommodating value in quasi public
properties. dUe to the necessity of a
growing community, shall rot be cap
One of the most important features of
the Hepburn act is its having given the
commission a%boslute control over the ac-
just issued ar order TO the effect that on
July / next all tho railways of the coun-
try subject to the Jurisdiction Of the COM
methods, and the commission is ROW or
ganiZing Il bureau of special examiners.
whose duty It Will be, among other things,
10 see lial lfle BOOKS OF the carriers are
kept in conformity With the rules la;l
Gown b" the commission. Thus the mean t;
are ai:eedN ct hand and the machinery
already created which. when perfected.
win put the pubic in position TO know
the facts, so tat the small investor can
exercise an intelligent judgment wien en-
great railway enterprises. We hope as
oae Of the chief means for betterment Of
conditions to secure as complete pub
ilcltE IN the affairs OF railroads as now
obtains with regard to natioiial banks.
No Detrisnent 20 lnvcctors.
There need be no fear on the part of
investors That this movement tor llationa,
Supervision and control over RAILWAYS WAL
be tor their detrilneii,. IL they doubt this.
let them study the history of the railway
coiltrol movement In Such a state as Iowa.
1t would be hard to find anywhere a more
prosperous or more intelligent community:
4 community of thriving farmers and
thriving ~towaSpeople. Iowa did It's share
ill the work Of building railroads when
The business was one tnat demanded me3
OF the utmost daring and resourceiulness,
lnen ike that gallant soldier and real cap
tain OF lnolstry. Grenv!lie NJ. Dodge; men
VINO ran risks and performed teats for
Whlch 1T WAS GiiTtcElt 20 make the re-
Ward too high: men who st,ked every-
thing on the chances of a business which
tcda3 happily involves no such hazards.
Iowa was at length forced to unGertake
tine WORK OF regulating the railways with
IN Ae; borders. There was great cutlery
against IT. 1t was proclaimed that such
eiort wcG-d ruin roads already built, and