The Birmingham age-herald., 1911-02-24

raliroad men makes the traffic manager a statesman who controls the economic conditions of the country, setting at naught our tariff laws and artiflcially creating markets and centers of indus try
 Railroads Are Prosperous
 In considering cost of operation, includ- ing wages. materials and all else that properly may be taken into account, the opinion holds that 'the cost of the up- keep of the plant and the return upon it's value amounts to more than three fourths of the rate that is charged for transportation. Railway materials are found not to have increased, fuel has in creased slightly, and wages considerably. However. the last six months of the year of 1910. in which the new wage schedules were in effect, show for the carriers the largest operating income they have ever enjoyed in any half year"
 In concluding his opinion. which was adopted unanimously as the expression of the commission. Commissioner Lane says:
 The constitution of the United Sattes guarantees the carriers against confisca- tion of their property or the taking of the same without due process of law. With out this constitutional guaranty, which is dstinctively American-for her property rights are more properly safeguarded than in other lands of more mobile law
 
 ed from injury of any lasting character by the popular consciousness that they are essential to the industrial life of the people To harm these roads Is to in jure ourselves. Our laws do not seek to establish dominion over private capital for any other purpose than to make sure against injustice being done the public and thereby make such capital itself more secure.
 "We are dealing here with difficult problem, involving multitudinous facts and an infinite variety of modifying con- ditions. which make the establishment of principles and the framing of policies matter of slow evolution. Congress has laid down a few rules. These rules we are attempting to apply. It is not for us to say that we represent the government and may have a police of our own which in any degree runs counter to the power granted to us or the duty imposed upon US. The railroads may not look to this trbual to negative or modify the ex- pressed will of the legislature. They have laid before us the facts and the law which would make for a Justification Of their course in the increasing of rates. To our minds their justification has not been convincing"
 Southwestern Case
 In the southwestern case, the opin- ion of which was prepared by Commis- sioner Harlan. the amount of increased revenue involved in the proposed ad- yances was not so considerable as Tn either of the cases presented herewith. The increases were defended by the carriers, however. on the same grounds of insufficint revenues and inadequate returns on Investments
 Tn the general rate revision made by the carriers the first class rate from St LIouis to Texas common points was increased from S1 .37 to $1 AZ and cor responding increases were made In the other classes. The commodity rates al- so were substantially increased and the record shows that the great bulk of the Texas traffic moves under com modity rates. only about per cent moving under class rates
 The effect of the increase was to raise rates not merely from St. Louis to Texas points. but from all points east of the Mississippi river to Texas points. Commissioner Harlan finds that the car riers in the southwest have not pros pered as have many in other parts of the country, and in common with the other commissioners declines to dis turb the advance in the first class rates The opinion fixes the second class rate at s1.25 instead of $129 and orders tine old rate on the remaining classes. As the lower class rates affect con siderable volume of traffic the conten- tions of the carriers are substantially sustained. the conclusion reached be- ing a recognition by the commission that their financial condition was such as to justify an increase in their reve- nues.
 Wall Street Surprised
 New York, February 23.-The decilson, of the interstate commerce commission was complete surprise to Wall street, which had looked forward confidently to the approval of at least part of the in- creases asked in freight rates. The de- cison was not announced until after the stock market had closed. but earlier in the day it became known that final ac- tion might be expected this afternoon. Brokers offices were kept open after hours and habitues of the financial dis trict waited for the news from Washing tcn which they received in astonish- ment.
 Some nervousness as to the outcome was shown in the market early in the day. but circumstantial reports that advances would be granted were accepted so gen. erally that stocks quickly recovered Brokerage houses with international con rections began preparation as soon as the news was received to place orders in Eu- ropean markets for execution before the