The Washington herald. [volume] (Washington, D.C.) 1906-1939, 1907-04-21

Authoritative announcement Is made Eor
the first time that William Jennings
Bryan believes that governmental con-
troi OF railroads. tried under the most
favorable conditions. will prove failure,
and that the United States viii ultimately
be confronted with the direct question of
governmental ownership.
The following statement, prepared from
notes taken during a talk with him on
his recent visit III Washington. is given
with the approval of Mr.. Bryan as ac-
curately presenting his views on the rail-
road question. but with the understand
ing that il should not be printed as an
interview:
Government control should be tried
under the most favorable conditions. il
should be attempted eonsaentloasly and
should exhaust every possibility II
should not be invoked by any one vino
makss the wish the father Of the thought
that control will fail and that owner
ship eventually must come 10 pass. TO
whomever Is iutr1isted the task Of exc
cutting laws FOR such control. he owes IL
to his nation 20 throw himself vigorously
and with honest eadeavor INTO the move
ment- Control is much more desirable
than ownership. and. II it viii accomplish
needed reforms. 1t Is the ultimate most
to be desired,
Fixing of Rates.
Rates should be based on the value of
the properties of the common carriers.
This valuation should be. not the market
value of the shares and bonds on the
stock exchange. because these are sold in
view Of the possibility OF producing reve-
nue.. rather than Of the actual investment
which has been laid in building the sys-
tens Appraisal should not legitimize at
par valuation existing fotations which
contain a certain proportion OF water: but
existing stocks and bonds should be dealt
with exactly according to their real in
trinsic value. and the water should be
squeezed therefrom.
"The law should then prevent further
watering OF stocks. so that rates may be
determined 10 permit a reasonable return
on actual investment
Further EIueidates Views.
Mr. Bryan further eIucidates his views
by saying that he doubts that government
control would prove to he adequate. He
believes that it viii be necessary 20 give
the people honest attempts to solve the
transportation problems through govern
ment control. because they are disposed
to believe that control will eventually
prove to be adequate To put into effect
a system of government ownership before
control had been honestly tried. would be
to invest the government with distrust in
the minds Of the people. and any admin
istration which were to do this would fail.
Honestly tried. thoroughly administered,
intelligently wrought-out government con
troll. therefore. is Mr.. Bryan's present pro-
gramme.
when. however. as Bfr. Bryan believes
viii prove true control has been demon
strated 10 be inenectuaI, then it viii be
necessary to go to federal government
ownership of trunk lines.
| Private Ownership Iucompa sibIe
MIR. Bryan is disposed to believe that
as in tue aast, so in the future. private
( ownership of railways will cause a con
stant corruDting Of the body polite. He
holds that. even under rigid control, the
| incentive for the private owner or mana
ger TO befoul the political system win re
main, and that such befouling will con
tinue in greater or lesser degree as IL
the past. rendering private ownership in
compatible with the interests of thi
masses.
Mr. Bryan has never to this day de
olared for the present Inauguration o
| government ownership. but Insists, an,
has insisted every time he has spoken
that control should be honestly tried, an,
| TN no half-hearted manner
seeks Ultimate Solution.
in proclaiming this doctrine of gov
ernment relationship 20 railroads. Air
BRYAN realizes that he is running counte
70 millions Of people in this country. ane
that many of the Democrats are dis
posed to take issue with him.
His wish, however. IS not to populariz
himself with the people but TO reach tn
ultimate solution of the problems which
vex the nation now; first. to cure evil
flowing from overcapitalization: second
20 compel that rates shall be lowered 4
CONTINUED on THIRD PAGE.
Dressed Plekets. square, 81 per 100.