The news=record. [volume] (Enterprise, Wallowa County, Oregon) 1907-1910, 1908-06-04
The COgltY'S Heed Of More Railroads.

lManuiacturer's Record, Dec 26, 1907
The country's need OF more railroads
OF the douhe.tracking of present lines,
OF more rolling stock, is in no wise
changed by pre-, ent financial conditions.
Even If there should be slight let-up
III traffic, this would not change the
fact that our transportation facilities
are waolly inadequate to the volume OF
our trade and that the country is rapid
ly growing while the railroads are not.
l e ate Sc ator Gormar of Maryland,
10 or 10y ars ago, very wisely said that
'the greatest problem before the peo-
pie of America is that of d stribUtion."
Distribution, OF course, implies transport
tation. Every day since then has EN-
| phasi2ed the correctness of Senator
Corn ans Judgment. Under such
conditions the cost of trar sportation is
OF far less Importance than the question
of securing the facilities needed. We
already have by far tie cheapest rail
road freight rates in the world-rates
that are the marvel of the people of
European counties. What we need
now is not low rates, freight or passen-
ger, but va t increase in facilities for
handling business. OF all the absurd
movements OF the last u months in the
railroad and political worlds nothing
tlse quite equals the efforts to force
down railroad rates. 1t Is almost
puerile in its shortsightedness 1t has
cost our country billions of dollars with
ont redeeming thing to the credit
side. Money for railroad expansion
cannot possibly be had under present
conditions. Infinitely better would it
be for the whole country if the people
would recognize that, instead OF re-
ducing rates, the raj roads must be
given full authority to make general
advance in rates commensurate with
the increased cost OF doing business.
The railroad business must be given an
opportunity to make profits large
enough to tempt capital from every
where to seek investment in railroad
securities. Men are not going to put
their morey into such enterprises sub
ject to the dangers Of legislation-and
they would be foolish if they did So
unless the profit is great enough to
justify such risks. To attempt to limit
l,n, To
! er cent, or to any fixed amount, is
not only absurd, but economically false,
for any attempt to limit the earnings
OF |, gitimate business undertakings
viii inevitably react and cost the
county far mere than the ditfere ce
between Il fixed income and the profit
hch might otherwise be made Their
own preservation would necessarily ie-
quire of the railroads as favorable rates
as could be given with safety for them
selves and their futnr'.
OF recent years the public seems to
have come to the conclusion mtn
with bulgng bank accounts are waiting
eagerly for an opportunity to put
money into railroad securities, though
the control OF the railroads is taken
from them, and though other people
who have no interest in them are given
authority to fix the rates at which they
can do business. The idea is very
fallacious. The capital needed for rail
road expansion is not going to seek
railroad Investment, hut railroad men
must seek the capital with diligence.
1t must be presented in such way as
to Indicate profits large enough to
Justify the risk, or otherwise those who
keep their money themselves or else
put il IN securities over which they do
nave some control. As field for in
vestment the railroad is no longer an
attractive proposition, and this, too,
comes at time when never in our
| history do We so much need money for
railroad expansion. Ii is quite within
bounds to say that during the reXt five
or six years Ihis country ought to spend
81 SOC, 100000 year in the enlarge
ment OF railroad facilities. We ought
within the next five or ten years to pat
one-h half as much money into the en-
largc OF railroad facilities as the
total amount now r. presented in all
| the stocks and bonds of the railroads Of