The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1908-05-12
Business Interests Opposing Al
vance in Rates.
Matter of Increasing Freight
Charges May Be Settled.
A TARIFF COMPROMISE
Arguments Which Both Sides
in Controversy Use.
Other Items of Interest in
Railway Circles.

Industrial and commercial, organiza-
lions Of all the great centers ana cit
les of the United States are preparing
to wage war against the railroads for
getting ready to increase freight rates
in the autumn and winter The Ma
tional Industrial Traffic league, of
which j. c. Lincoln commissioner of
the st. Louis Merchants Exchange
traffic bureau, is president meets m
Chicago today to outline plan Of ac-
ton.
The Missouri Manufacturers associ-
alton, with headquarters at St. Louis,
and the Illinois Manufacturers associ-
alton with headquarters at Chicago
were the first large organizations to de-
clare formally their opposition TO the
contemplated advances Mercantile
and manufacturing bodies of practi-
cally every important city n the coun-
try have, however. signified their pur-
| pose of joining in concerted move
ment to prevent the application of the
new tariffs.
At first 1t was stated that only the
eastern roads, operating as far west
as ST. Louis and Chicago would ad-
vance their rates. Subsequently it
was said the western lines would adopt
higher schedules. Now President Hara
han, of the Illinois Central. declares
that the southern roads will follow
similar policy.
The argument stated by the rail-
roads is that their expenses and
charges have become so large that the
revenue from traffic is inadequate to
meet financial demands. They explain
that they are obliged to invest heavily
in new terminals, passing track exter,-
SiOnS and various improvements; thai
the cost Of everything they use has
gone up, and that wages have in
creased. In order to bring the revenue
up to an adequate total, they say, they
must increase freight rates.
Business men contend that the larger
volume guarantees enough revenue to
met the new demands, and what the
| railroads should do, instead of In
creasing freight rates, is to work out
| the problem Of handling the additional
traffic on the most economic basis.
Business men hold also that the rail-
roads should not disturb conditions by
putting new tariffs in force, as organ
| izations of st. Louis. Chicago and other
great centers will be obliged to find
out, possibly at loss. expense and in
| jury, whether the new rates are dis
criminatory. Although the new tar1ns
| would be established. presumably on a
percentage basis, it, is regarded as
more than possible that discrimina-
lions might arise through the manipu-
lations of fractions.
| Inasmuch as the business interests
have backed up the railroads while
| agitation and strict legislation were
| going on, 1t is deemed by business men
| to be undiplomatic on the part Of the
| railroads to increase the rates at a
| time when a resumption of activity
| has begun. The pronounced opposition
of Industrial and commercial organi-
cations to increases in freight rates
may, it is believed, result in loss OF
| prestige to the carriers.
Business men are not opposed to very
slight increases, provided discrimina
ton is prohibited beyond any doubt
| and there is chance that the contro
versy will end in a compromise, where
by the tariffs will be advanced little
AS three or four eastern railroads ar
not in favor of increasing the rates
and as many business men apparent!
would consent to trifling increases IL
rates. in order to secure the best trans
nortation service, a compromise il
among the probabilities.