Evening star. [volume] (Washington, D.C.) 1854-1972, 1911-02-05
Senator Cummins Predicts
New Form of Government.
PEOPLE NEED Initiative
Iowan Lauds Interstate Commerce
Commission in Speech.
FLAYS DISHONEST MAGNATES
So1on Believes Congress Has Not
Completed Task Of Regulating
Railroad Rates.

| NEW YORK, February 4.-In speech
| remarkable for frankness and directness.
Senator Albert B. Cumlnins of Iowa. a
| member of the Senate committee on in
| terstate commerce, told the Republican
! Club here today what an important work
/ the Interstate commerce commission is
performing for the people, and how the
| manner and the trend of that perform
ance are bound to make themselves deep
! ly felt in the structure OF our future
government and the artculate expression
| of the national conscience.
AS he spoke +. d. Underwood, presi-
dent of the Erie railroad, and B. F.
1oakum, chairman of the Chicago, Rock
| Island and Pacific Railway Company,
| listened with attention.
| The senator reviewed the earlier prob
lem of production. with which the COM
panon problem Of distribution, he said,
| had kept such lasgard pace that the fore
most concern of every man, woman and
| child had now become to see how he or
she may get fair share of the product
OF his Or her work.
Tells of Struggle.
He summarized the struggle of the peo-
pie. acting through Congress. 10 gain
control of one phase of distribution-that
part assigned to the railroads. The slow
and painful progress Of that struggle he
thought a forceful argument for the in
itiative.
Does any one believe" he asked, that
if the people had possessed the initiative
they would not have obtained what they
wanted in less than nine years? That
is the reason I foreSee such change
in our form OF government
Regarding physical valuation, capital
ization of the rates charged by the rail-
roads. the senator declared:
Il do not say that the capitalization
value of the property. but l do say
that it represents millions more than
the capital invested. Possibly the COM
mission may enter on this almost con-
tinuous work Of supervision and resula-
ton.
"One thing to do, and that immedi-
ately, is to extend the federal power
over all railroad capital engaged In the
business of common carriers, SO that
there shall be no dollar that does not
represent either honest investment in
old property or enlargement and better
ment.
II insist that capitalization has some
thing to do with rates. capitalization
as a whole determines rates. 1t is idle
to assert otherwise. l believe valua-
ton Of railroad property will be made,
but it is a work Of long duration, and IN
the meantime the government should
impose restrictions upon any further
dishonest capitalization.
Regulation of Rates.
The regulation of rates, continued the
speaker, was the regulation OF competi-
ton, a task which Congress had also
shouIdered in passing the Sherman act,
which. he added, has not accomplished
it's end
In place of competition, for which the
people had declared, had been substl-
tuted selfish cooperation between
classes, unions syndicates; cooperation
to increase the wealth of those engaged
In the particular enterprises.
co-operation in the hands OF altru1sts,
thought the senator. might be goon
thing, but suppose 1T should eVentuate IN
prices that the consumer refused 10 pay
..That being true he deduced. some
government tribunal must be intrusted to
Ak prices and then we shall be COM
pelled to restore full competition, or
allot a price for all commodities and
every mans time If We do this latter.
we shall have entered into the ante-roOm
of complete socialism.
People Against Monopoly.
II do not believe we can SO change the
government OF our fathers as to confer
upon it tho power to Ak prices. But one
of these things must be accepted. and 1t
seems to me that, face to face with this
situation, the people will accept socialism
before they accept monopoly"
The senator closed with an assurance