The Guthrie daily leader. [volume] (Guthrie, Okla.) 1893-1996, 1908-07-28

dlanapolis speech and the supreme
coura have in effect pointed out ~
value of a. railroad as d golna cen
cern includins its good VIII iue TO
efficiency Of service and many other
circumstances may be muche grs7rer
than the value of ts tangible prop'r
ty, and 80 SIS the former that mtasures
ihe infesimen on which q fair prof
must be allowed Thnn tco the Que3
tiou What Is a fair profit u on nvolv
ing not only the 81 IL of interest usu'
ally earned on normally sale invest
ments. but also q sufficient allowance
% make up for the risk of loss both
OF capital and interest in the original
outlay These clnsiderauohsi viii
have justified tho company irNiiuphs
ing charge hieh enough 20 seimrt q
fair1 ircome or the enterprise as g.
whole The securities SO market
nricds will have passe into me hands
Of subsequent purchasers from the
original nyestors such circum.
stances should properly affect the de.
cision of the iriDuna lenaaged ia dc
terminiug whether the totaliiy of rates
charep3 IS reasonable or excessive
anil uniustly impair seeded values as
10 DESTROY ali hope oftrestorlng conf
deace and forever 10 end The induce
ment for Investment in now railroad
construction which in retUrnine pros.
porous Times is sure TO De essential
TO orr mato-ial progress
The quas ion of rates and rhe treat
ment OF railways is one tnat has two
sides The shippers are certainly enc
titled to reasonable rates but less Is
M injustice to the carriers. Good
bualness for the railroads Is essential
TO aeneral prosperity lniusic ice TO
them s not alone ininstlce to stock
hollers and capitalists, whose further
Investments may be necessary for the
rood Of the whole country, but It az
recly affects and reduces the wages
OF railway employees, ana indeed may
leprlye them of their places entirely.
From what hos been saiiithe prop
ar conclusion would seem to be thai In
tempting to determine whether the
,ntire schedule of raes ofia railway
s. excessive the physical valuation Of
rates OF railway IS excessive, the
!
relevant and important but not nee
essTily n controringi factors frt
| Win Not Generally impair Securities.
ann confident hat the fixing OF
'aies on the principles suggested
above would not materially irlpair the
PRESENT market values OF railroad Sc
urites in mos cases. for believe
nat the normal increase in the Value
If railroa properties especially In
their terminals. viii more than make
ID for the possible ver-capitalization
darliee years In some cases doubt
ess. ID Will be found that Uyer-capital
za ion Is made an excuse for exces
iiva rates. ana then tney should be
reduced: but the cons ansus Of ort0iof
seems to be thai the railroad l7 :
.enerailg in .shis country. are reason
,bly low THIS IS why, doubtless thu
complaints filed with the interstate
commerce. commission against eXces
i've rates are so few as comparef
with those against unlawful discrim
lna- ion IN rates between shippers ant
letWeen places! Of course, in the de
inina,ion of the question whether
! discrimination Is unlawful not ,th'
| physical valuation OF thc whole roa,
| of littio weight
Should BE Physical raIuation
nave discussed this. with som'
| legree of detail merely to point on
hat the valuation by the interstat'
commerce commission OF the tangibh
property OF a railroad rs proper ans
nay from time o time be necessar.
IN settling certain issues which ma
come before them. and that no evi
IN Injustice can come from vaualtiol
IA such cases. 10 1T be understood
that tho result IS tn be used for a ius
purpose aud 'he -isnt 70 iSir pro
| ft under an the circumstancee OF th
| Investment Is recognized.
National Control Of Interstate Com
meree Corporations.
on the subject OF national contro
IF interstate commerce, after declai
ng that the Roosevelt policies hav
been progressive and regllatiyo, Br}
| ans destructive. Mr.. Taft said;
The combination Of capital In larg
lnlants to manufacture goods with ih
Greatest economy Is Just as necessar
as The assembling OF the parts OF
\ machine to The economical and NOR
rapid manufacture of what I'm oil
times was made by hand. The goverr
ment should not interfere with on
| any more than the other and whel
such aggregations of capital az
legitimate and are properly controllef
for they are then the natural result
OF modern enterprise and are benf
fetal to the public In the prope
operation OF competition the publi
win soon share with the manufacture
the advantage i'm economy OF operatio
and lower prices.
when, however such combination