The times dispatch. [volume] (Richmond, Va.) 1903-1914, 1910-06-03

-
I nicrcial development of the great re-
gion OF country now supposed
| TO be iniuriously threatened by a re-
| adjustment of tho rates.
| A tree is Judged by its fruits. In the
| second place, the railroads must live
| on their business or gro to smash. The
rates they have been charging are as
| low as, or lower than, the rates for
| like service as the rates in any
other country in the world. Their SER
| vice has been better than in any other
country. The cost of operation has
steadily increased. The increased
rates which they have proposed to
make are not in excess OF the in
creased cost of living in the region
of country served by them. The old
lieve. when the country was not so
prosperous as it is now. Everything
has gone up; why should not there
be a reimbursement of the railroad
charges for service which is costing
the railroads more than 1t has ever
cost before?
The president Of an important rail-
road which does not run into the
South said in a recent letter to the
editor of The sDispatch:
"Torty- two cents out OF every dollar
earned by the railroads, or collected
by them from the public for services
performed, are paid out directly for
labor, and that item has Just been
materially increased on nearly all OF
the railroads by recent wage adj
vances.
Further. it is we'll known that the
prices of practically all materials
which are used by the railroads. are
much higher to-day than they were
ten, five, or three years ago. while
the rates received by tie railroads for
services performed are generally
lower than they were at the periods
mentioned, or at any former time. 1t
will be recalled that in many of the
States, laws have been passed in the
last few years limiting passenger fares
and reducing freight rates, both of
which were intended to reduce, and aid
reduce the income of the railroads, and
service conditions have also been es-
tablished, (which have increased, and
were intended to do so, the operating
cost of the railroads; IN short. SO FAR
as | am able to discern, the railroad
is the only single instance of large
undertaking, which is expected to be
able in some manner Ono one as yet
having explained in what manner), to
sustain large increase In Its cost
| of operation and at the same time
| reduce its selling charges, OF in other
| words. its rates. No other undertake
| ing, or individual has been able to
accomplish that result and escape
bankruptcy, and 1 must confess j am
unable to see how the railroad Is
going to escape what seems to be
the general law concerning such mat
ters
1.-THE American railroad and the
| service it performs is so Intimately
connected with all phases of our IN
dustrial and economic conditions, tha'
It is hard to see how the railroad car
| he made to suffer, and be made I'M
profitable, without seriously affecting
other conditions a s We'll
Nov that the railroads are all re-
uuired to keep their accounts In &C
cordance with the uniform system pre-
scribed by the Interstate Commerce
| Commission, and now that such &C
| counts are published monthly, there
| is no longer reason to talk about cS-
cessive, or concealed, profits
| .sIf the railroads are to develop pro-
nortionately with the rest of the coun.
try. &c they are to provide reasonable
and satisfactory transportation facili'
ties in the future, it will be necessary
| for them to raise, in some manner anc
spend very large sums OF money fol
additional facilities. 1t is quite GER
tain they will not be able under
existing conditions to provide the
money needed out of their surplus
earnings. and when surplus earnings
4 disappear, credit declines also, and 1t
4 will follow that the railroads not hav-
| ing the money at hand from earnings,
and not being able to borrow upon
satisfact Dry conditions, will refrain
from doing the things they ought
properly to do, in order to provide for
the growing transportation needs of
the country, and in the end, the whole
country is bound to suffer as tho re-
| suit of such a course
We cannot guess how the case
| against the Western traffic associa-
ton will turn out; but the time has
come, we thlnR "leH fcasoHapie
degree of common sense should be
employed in determining all questions
of this sort unembarrassed by special
interests and political necessities. The
railroads ought to be regulated, of
course, for the protection OF the public:
but they are business institutions and
should be dealt with in plain. bus
| iness-like way. 1t is the cxactions of
the protective tariff and not the
freight rates charged by the railroads
| that are hurting tho country. If Mr.
Taft had vetoed the Aldrich tariff bill
instead of directing Wickersham tc
l prosecute the railroads for doing what
the Government has permitted them tc
do all these years, not only without
protest but with tacit approval, he
would have done a really substantial