The Paducah evening sun. [volume] (Paducah, Ky.) 1906-1929, 1908-07-21
THE SHIPPERS VIEW.

increase in freight rates. His COM
pany uses annually 100000 cars,
and he will feel the increase. His
words are in reply to a speech of w.
G. Brown, of the New York Central.
Mr.. Barber's conclusion Is that
manipulating railroad stock does not
promote prosperity and intimates
that some such project is behind this
attempt to increase earnings. He
suggests that railroads take their
medicine along with other industries.
and instead Of using surplus earnings
TO promote the interests of the specu-
lators, who control them; part OF the
earning be spent in double tracking.
|abollshing grade crossings and add
ing to equipment; so that when the
full dawn OF prosperity is upon them.
they will be able to handle the bust
mess and facilitate transactions be-
tween manufacturer and consumer at
reduced rates, which is Itself a stimu-
lator OF trade.
The opening quotations we're in
reply to statement by Mr.. Brown
to the effect that "our prosperity
came with the prosperity of the rail-
roads. II declined when adversely
|struck the railroads. We do not be-
lieve that we can have full measure
OF prosperity again until the railroads
are prosperous.
Let us analyze," suggests Mr..
Barber, what the prosperity of the
railroads truly is to the people. It
does not mean prosperity to the
masses of the people when the rail-
roads, by their manipulations. aug
ment the values OF the stocks OF such
companies, thereby creating great
wealth for the manipulators at tire
general public.
Regarding the relation between
prosperity and some railroad history
Mr.. Barber says:
1T was not prosperity, except to a
few, that. by the manipulation of the
Northern Pacific railroad. shares were
doomed from $40 to 5000 per share,
at which price they were turned In TO
the Northern Securities company.
which company's shares were in turn
manipulated to a selling price OF
l$340 per share, and then the general
public was asked to pay such rates
of freight as would pay dividends on
these inflated values. This was not
true prosperity, although seeming
prosperity may have been quickened
lspeculatiyely by such transactions.
at was not true prosperity that
caused increasing earnings of rail
roads each succeeding month over
the corresponding month of the pre-
ceding year. continued over a period
|of several years, as anyone familiar
with the situation must know was
existent and culminative in 1907. 1t
was not true prosperity TO the people
of the country that the said increased
learnings were used to buy other rail-
roads. as was done by the New York
Central railroad when they purchased
lall the traction lines between New
York and Buffalo that in no legiti.
mate way could have an effect on the
earnings and value of the New York
Central lines, of which Mr.. Brown Is
senior icspresident. This is not
only applicable to the New York Cen
trail railroad, but to all other trunk
lines, and II did not extend solely to
Traction lines, as instance the Union
Pacific holdings OF other corporate
lines that they wished to control that
they might augment their own wealth
land rob the people by undue charges.
Had these earnings been utilized
to improve the physical condition OF
the roads from which they had made
such vast returns, there would have
been no shortage OF transportation
or of the rapidly increasing business
OF the country. Had the latter course
been pursued, there would have been
no cause for advance of freight rates
or railroad charges, but the great in
crease the railroads would rave re-
ceived from their increased business
would have enabled them, without
further increase of capital or further
watering Of stocks, to have reduced
their rates OF freight and given better
Service to all concerned"
Mr.. Barber insists that the rail-
roads have violated the laws of politi-
cal economy and OF compensation,
which are immutable.
He exclaims: Let the increased
values go toward the reduction from
time to time Of freight rates. as un-
doubtedly would be accomplished,
thereby quickening all commerce and
production and making life easier TO
mankind. Such a condition would
make the selling value OF these
stocks in the market, guaranteed BY
the government, very. much above
par. and thereby do no violence to
the holders thereof. This Is not gov
|ernment ownership, simply govern
ment supervision, that no excuses
might be committed ON the public. +"