The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1907-10-25
CHANGING CONDITIONS.

| Some eastern reader of the State
Journal sends US a copy of the New
York Sun of recent date, and in its
financial column is this paragraph,
carefully marked with ink, with a
marginal note recommending it to the
prayerfuI consideration OF Kansas
people:
| 1t is of course unfortunate that
the ownership of the railways in the
| western and southern sections of the
| land is not vested in the people who
! live along the lines of the roads to
! the same extent as it is in the New
/ England and the Middle States, for
there is little doubt that if reverse
| conditions existed and the people of
| the south and west We're interested in
| the railway companies local to them
! there would be much less meddling
than there is now with the affairs of
| the railway companies by the south
! ern and western state legislatures
And it is a little CALLING for people in
! this neighborhood, to whose money
| invested in railway enterprises in the
| agricultural districts in past years the
wealth of these sections is mainly due,
to read in the newspapers daily glow
| ing accounts of western prosperity,
stories of western banks oVerftoWing
| with deposits and of demands there
| that the railways shall be rebuilt and
| extended SO as to accommodate the
| increased traffic that offers and to see
at the same time these same western
| and southern people hound1ng the
railway companies with impossible re-
strictions, ordering sweeping reduc-
lions in railway freight and passenger
rates and acting generally as II OBJ
Sessed with a mania of unreasonlng
! hate and passion against the railway
lines that are bearing riches to their
| doors The slow moving but even
hand of natural law will nevertheless
redress the balance in due time, and
| there are wise people in the west VINO
are fully aware of 1t.
| There is great deal of truth in this
paragra ph-with a little of error mix
ed in-and the State Journal returns
thanks to its unknown friend for call
| ing attention to it.
| In the first place, this paper agrees
that it is unfortunate the people of the
west and south do not own the rail-
ways in those sections, not only to the
extent that eastern and central state
lines are owned by the people along
them, but to a degree of absolute con-
troll If this were the case, Mr.. Har-
rinan and his fellow financiers on Wall
street would not use these western
roads for stock-jobbing and bonding
purposes They would be utilized ex-
cIusively for transportation purposes
and not as stakes for safeguarding
More than that, if the people of the
west and south owned their own rail-
roads, they would certainly see that
their officials should not take part of
the profits of the business and give
! them to favored shippers in the shape
of rebates Also they would insist on
a strict accountability of securities is
sued so that investors should have due
protection.
ut is a little CALLING goes on the
lsSun, for people in this neighborhood,
to whose money invested in railway
enterprises in the agricultural districts
in past years the wealth of these sec
tions is mainly due, to read in the
newspapers daily glowing accounts of
western prosperity, and TO
see at the same time these same west
ern and southern people bounding the
railway companies with impossible re-
strictions," etc.
1t is true that eastern money-for the
consideration of a bonus in bonds or
government lands-fnanced many west
ern railroads. 1t is also true that west
ern grit, and muscle, and brain, and
untold hardships and suffering are
largely responsible for western pros
perity. Eastern capital would not have
accomplished much had not western
people given their lives to developing
this western country. And now that
prosperity has come, the west believes
the hardships it's people endured are
entitled to due rewards just as much
as is eastern capital Moreover, east
ern capital that was wisely invested in
the west has been getting pretty good
returns, and the recent railroad reports
do not show any falling off in dividends,
Notwithstanding the fear expressed by
such persons as the financial writer of
the New York Sun. Passenger earnings
are keeping up well, even under a two
cent fare. Whether there will be any
falling off because of reductions in the
freight rates has not yet been proven.
1t is undoubtedly true that things
will be balanced in time. Some eastern
railroad magnates are asserting that
no more railroads can be built if the
people of the west are going to insist
on such strict regulation. They say it
destroys confidence" But the rail-
roads will be built in due time. Just
the same. The west cannot expect east
ern people to build it's railroads unless
the east can make more money by SO
doing than in other lines of investment.
If the east can get better returns by
investing its capital elsewhere, the
west has no right to ask it to build
railroads out here. The west will want
to build its own railroads not many
years hence. It has been only three or
four years since western municipal
bonds were sent east for buyers. Now
they are all gobbled up right here. In
the same way, railway stocks and bonds
will soon be taken by western capital.
The time will come when 1t will be a
privilege TO bI1ild railroads throl1ph