Deseret evening news. [volume] (Great Salt Lake City [Utah]) 1867-1920, 1910-08-22
THE RAILROAD SIDE.

Astronomers tell us. and some people
are broad minded enough to believe 1t,
that even the moon has two sides.
though no one has ever seen more than
one side of Il. In like manner. we sus
pect that the question Of railroad
freight rates may have more than one
aspect. though the general public rare
~ secs more than one side Of this in
teresting question.
Mr. Plalsted OF the oregon Short
Line railroad has undertaken 20 show
to the public the railroad point OF view
as To- the how and why of freight rates.
He maintains FIRST OF all, that rail
road rate making Is as much science
as other rate-making: not an exact
science like mathematics, but "a pro-
gressive. scientific experiment. never
attaining. but always approa ching per-
lection The advocate of a strictly
cost basis OF freight rates has In
deed. a plausible case on the surface.
and the argument that distance alone
should be the measure of freight
charges seems reasonable enough at
first glance. hut this striking fact Is
vouched for by the writer quoted; that
no other price making in the world
Is based rigldly on cost. why. then, he
asks. should railroad frelghts be made
an exception by law?
The general situation is thus an
alyzed;
with it's Invoices posted, as II we're
a.. n 40 ~ GRr af
Of publicity: It's terms. It's discounts
It's variations. all its details, analyzel
| and criticized by the uniformed and
| half-informed and misinformed. some
times fairly, sometimes unfairly, some
ties disiuterestedly, sometimes selfish
| ly. It's errors and imperfectons magni-
| Ned Its merits minimzed or forgotten;
| made the football of politics, regulated
by power without responsibility. eX-
| plotted ny theorists and advocates OF
| social panaceas. the right OF those who
| understand II 10 defend II denied, or
their motives challenged and their de-
| tense discounted in advance: what
/ other line Of price making in the world
would have weathered such u storm
even as well as ours has weathered
| t?"
There is much force IN Mr. Plaisteds
argument He shows that the Ameh.
! can pan OF UNlNk ItNfNt winch nus
| grown naturally out Of the require
ments Of developing a new country. Is
necessarily different from the method
employed in the densely populated
countries 81 Europe. where tho gone
plan" is followed; that, namely, OF fix.
ing the price by the distance-so many
miles so much money
Accordingly on the European plan
low grade freight cannot be transport
ed at all to certain terminals. that
plan Is to charge what IL would actu-
ally cost plus a fair proht. and often
precludes hauling such cars OF mer-
chandise as cement, salt, scrap or mer-
chant bar iron. low grade ore, and simi-
lar heavy materials The following
coloquy elucidates this point:
Qucstion-"whst 30 they do with low
grade. cheap commodities which have
To move long distances 10 market
thcre?"
Answer-"Well. they use the rivers.
where there are rivers; OF where thers
are not. they dig canals II they can:
where they can't they don't move such
commodities n you wish 10 learn all
about that sort OF railroad policy and
its disastrous effect on the cnuntrv's
Industry YOU should read 'Governme at
Regulation OF Railway Rates. by Prof
Hugo Richard Meyer, published by the
Macmillan Co. New York. He went 10
Europe under tho conviction that 'Cost