The Cairo bulletin., 1908-07-20

more profitable one for the railroads
than even 1907. Should these plan
be successful 1t is evident that tn,
Railroad business would be placed OF
"A much more profitable basis than
heretofore. that dividends woul,
Quickly recover from recent losses
and that this advance would be uti
LIED as the basis o. a huge specula
tior. Such result would be wei
coined by the speculative elements
ibut would be exceedingly distastefu
to the more conservative classes ii
both business and financial circles. II
cannot be ignored that higher rates
would depress and not stimulate
traffic; and the effect of such action
upon public opinion might prove dan
gerous in the extreme, especially in
! face of political campaign. If the
roads temporarily advanced rates
say, per cent instead of 10 per cent
tfCl the purpose OF helping them out
of purely temporary difficulties. ana
IaGreed to return to the old level as
soon as conditions permitted, there
would be little complaint Our rail
road magnates are not yet phlan-
thropists; and though general large.
minded. far-sighted and very able
men, there are few among them who
.cCuld be depended upon to resist tile
temptation of such a great speculative
opportunity. A movement that con
templates putting railroad property
on an even more profitable basis than
existed before the panic, is accom-
panied by an unparalleled accumuia
ton of idle funds carries with it n
speculative opprtunity of the most
dangerous sort It's very POSSIBLE
ties make it highly inimcal to public
welfare; and political opinion viii
surely be strongly aroused against he
railroads, stirring up another wave
of hostile legislation still more radic1l
than the one now subsiding. 1t is tc
be hoped the railroads will carefully
consider the effects of their present
movement which has been planned
with more earnestness and care than
is generally supposed. Railroad man
ayers are by no means a unit on the
and they Will certainly dc
we'll to prudently consider the con
sequences they will bring down upol
themselves by inviting a fierce specu.
latiVe debauch, not to mention an.
other outbreak of public hostility that
could only end in injurious legislation
dehile for government, ownership. Thu
differences of opinion between the
various roads are Suggestive; eS
pecially between the New York Cen |
trail, which leads in the movement fol |
advanced rates, and it's chief rival |
Pennsylvania which opposes It, The
relative financial standing of the two
and the intense rivalry |
between them for New York traffic |
may easily become a factor of i'm
Dortance in the rate question.
The money marker continued very
easy and undisturbed by either gov.
1rGment operations or gold exports
|
of the latter on a moderate
scale was somewha. of a surprise
we have plenty of gold
o spare; and the fact that our for
ign Indebtedness is small and tina
We shall soon be shipping grain AM
cotton more freely at good prices.
enders any important efflux of gold
mprbabe. We still retain fully one
ialf of the $100,000,000 gold imported
fter the panic. The outlook for the
eLerai market is favorable. A bet
e. investment demand is in sight
specially for good bonds, which AZ
resent level and in view of the low
ates for money. would seem to be
desirable as investments to institu-
ions and wealthy buyers. Stocks
ave already had dig rise and are
exposed to sharp reactions from real
ling; but ere long as the market Is
rec from crop and political scares
he efforts to lift prices will con
niue Those in control of the market
re rich and powerful men who have
OF yet succeeded in materially dis
their load, the public for
arious reasons having refused to IN
est.
HENRY CIEWS