The evening times. [volume] (Grand Forks, N.D.) 1906-1914, 1911-11-07
(Washineton Post,

The creation of a national corpora.
ton commission, with power of con.
troll and regulation over large business
enterprises, trusts, corporations. sim
liar in character to that Of the inter.
state commerce commission, is earn.
estly advocated by Commissioner Lane
Of the interstate commerce commits.
sion. There is, in the opinion Of Com
missioner Lane. a marked distinction
between railroads and private cor.
porations. but at the same time Com.
missioner Lane declares that the pow.
er to control large business corpora.
lions doing interstate business should
rest with the federal government. AL.
so. he says. there should 90 with this
a right on the part of small enter.
prises to agree together as to a mini.
against a cut-throat competition thai
would be ruinous.
Commissioner Lane said further,
1T is my belief that the government
should have power to determine in the
first instance where a railroad should
run. This power other countries ex.
ercise over railroads.: as. for instance
in the country Immediately north OF
us (Canada) no railroad line can be
tanned the consent of the railroad
lcommission; in other words. they look
upon the railroad as a public high
way. and determine where It is ad.
visable that that highway should ex.
tend.
"In the very nature Of things. a rail.
road is a monopoly-it has a right OF
eminent domain granted to it by the
state. which is a states own right; 1t
has part Of power of the state given
to it SO that it may take private prop
erty under a certain prescribed pro-
cess OF law. because there Is q higher
use to which the property can be put
that is. its use as a railroad.
1.-THE fundamental right under
which the government exercises the
power of regulating rates Is that this
highway is for public use. and that
it is in its nature a monopoly. There
fore I think that 1t is only consistent
with the theory upon which we are
now proceeding that we should protect
the railroad; that Is in existence
against a competition hat may be
ruinous to it-that We should guaran-
tee in a sense Of certain territory to a
railroad whose rates and services are
under control and regulation by the
state.
Gives Two Illustrations.
without mentioning any names I
have in mind two instances which IL
iustrate the necessity Tor such prOtec-
ton: one a case in which a railroad
was built for the purpose Of holding
up a competing line to which 1t was
eventually sold; another a case in
which a territory was we'll served and
the carrier in existence preparing for
great improvements which had been
entirely stopped by reason Of its be-
ing paralleled by another line.
1T is not for the shippers interest
that any more railroads should be run
than are necessary. because IL two
roads are operated where one will do
the work. there In the nature Of
things will come an understanding be-
tween the roads for their own protec.
ton. Moreover. the road that Is poor.
est in construction-that does not
have already a settled and determined
volume of freight-will reduce rates,
because IN rate thai 1t gets is an adj
dition to its revenue. will make con.
tracts with shippers taking away large
volumes Of freight from the establish
ed line: and in the nature Of things,
as experience has proved for fifty
years. when after such a rate wal the
carriers come together rates are al
ways increased SO that two carriers
can run where ran before.
There Is no question but that
~.;reeaen,s between railroads to MAIN
tain rates came in ~ small part from