The Birmingham age-herald., 1911-09-15
ADDRESSES OF ALDRICH AND HADLEY ON INTERSTATE RATES

sota, in a decision known as the Mn nesota rate cases.
 "A number of cases involving the req condolences. and therefore, the constitu- tonality of the acts of the several states, or orders of their boards of railroad com nissioners, fixing maximum rates for pas seneer and freight traffic. were pending before the supreme court of the United Stafes at the time this decision was rer dered In all of these cases the same contention had been made in the circuit court as was advanced and sustained by Juege Sanborn in the Minnesota rate case. Following the decision of Judge Sanborn the submission of these cases pending in the supreme court of the United States. which had already been argued and sub mitted was set aside, and they were set down again for argument at the October term of that court Whether the decision In the Minnesota rate cases was the cause of this action of the supreme court IS, of course, only a matter Of conjecture. But during the coming term Of the su- preme court there will be heard cases arising out of controversies between number of the states and the railroads doing business therein as to the consi- tutionality of maximum freight and pas sen8er rate laws, in each of which the contention will doubtless be vigorously urged that the laws of these states or
 
 commissioners are unconstitutional, be- cause by fixing rates for transportation within the states, interstate commerce is directly burdened and affected.
 Important Decision
 The importance and the far reaching ef- feet of the decision that will be rem dered upon thls point can hardly be over estimated If the right of regulation of the rates of transportation in intrastate commerce shall be denied the several states, then there will be enjoyed by the railroad companies the right to fix intra- state rates of transportation free from any supervision or regulation. And they will thus be enabled to levy a tribute upon the people of the several states, the amount of which will be limited only by their own necessities desire for gain. Further than this, the denial of the right of the several states to regu- late the rates of transportation in inra- state traffic will as an inevitable and log ical result, result in the denial of the right of the states to regulate or super wise the conduct of any business inter- state in its character If thereby the con- duct of that business In interstate com merce Is directly affected or burdened.
 That there are many difficulties in cident to the present situation. is ap- parent. To adjust the rates of the great transcontinental railroad companies to the changing conditions incident to the changes in sentiment and administration in AS states. Is indeed a difficult problem. The whole problem of railroad rate reg ulation in this country Is in confused, complex and unsatisfactory condition. No yardstick has as yet been discovered by which either to establish rates or to measure the reasonableness of rates charged.
 Government Ownership
 Some people see In the present situation such difficulties that they contend that government ownership and operation of railroads is the only practical solution. do not believe that government owner- ship and operation of railroads is either necessary or advisable solution. But it will doubtless be necessary that we should cut and dry many times before we finally determine upon the correct pol icy for dealing with this important and intricate problem. In view of the marked- ly different conditions existing in this and in other countries. the experience of oth CT nations in dealing with this question is but of limited value. We must work our own problem for oursevles, but WIG must at all times adhere to the funda mental principle that railroad company is a common carrier and a public high way; that it must be open to all upon
 
 to charge for the transportation of per sons or of property is right to tax which, in order to be defensible, must be reasonably and equally imposed.
 Most of the important present day prob lems are clearly state questions, and not national questions. The most important phase of the question of transportation. contend, is still question for the states, rather than for the national government The question of taxation, or, to speak more exactly, the reform of the many to our general property tax is primarily a state problem. The proper compensation of those injured in industrial pursuits. is, as this programme edivences. essentially state problem. The laws regulating marriage and divorce; the conduct of public service corporations and ordinary business affairs judicial procedure; laws regulating the hours of labor. improving the conditions under which it is perform ed, and protecting the health and safety of those who perform it, as well as the people as a whole, are all primarily ques- tons with which the state must deal if they are to be effectively dealt with at all The field is a broad one. and tho work is one which has in it the destnies of a people because 1t concerns their hap piness and their welfare. But this field will be narrowed and the power to dis charge this duty to humanity seriously impaired if the right of the states to regu- late transportation within their borders