The Jeffersonian. [volume] (Atlanta, Ga.) 1907-1917, 1913-01-09

VI CuS pdIC6lS post SYSTEM
with representative of the
New York Times, Postmaster
General Hitchcock expressed the be-
lief that our experiment with the
parcels post will eventually be the
end of the big express companies.
Says the Postmaster General:
From what study l have given to
the subject of parcel post rates in
the limited time permitted, I am
satisfied that they are higher than
we shall be able to make them after
the service has been established and
has passed through the experimental
period.
"My view is that ultimately the
Government should take over the en-
tire business of the express compa-
MES. l think also that it should be
done promptly. The express compa-
MES should receive fair price for
their business and equipment and
their entire plant should be trans
ferred to government control. In a
measure, it is fortunate that the
Government is to begin its work as
an express carrier with a limited
service, for in that way we shall be
able to establish the foundation of
the tremendous task that the Gov
eminent would be called on to per-
form if it succeeded to the entire
business of the express companies.
''The establishment of the parcel
post is bound to result in a down
ward revision of express rates by
the private companies. 1t is easy
to see how this will be accomplished
ThnU have Fo6nro1 on6 OF 10Y In.
pay, and necessarily must be con-
Quoted at profit, while the Post
Office Department in it's operation of
the parcel post will not be taxed and
will not be required to earn money
for the payment of dividends. It
will be operated at cost.
''The fact that the express compa-
MES will have to lower rates will
mean, of course, that there will be a
reduction in dividends. There are
thousands of persons holding small
amounts of stock in express compa-
MES, and their holdings will become
less valuable. To prevent injury to
their interests, a fairminded and
generous policy would be to pay the
express companies for their entire
properties as they stand today, and
thereafter nave the government con-
duct all express business. This
would be both for the benefit of the
people and the owners of small
amounts of express company stock.
The benefit to the people would
come from the fact that if the Gov
eminent handled all express bust
ness it could make much lower rates
than now prevail.
"You see, in fixing the parcel post
rates which are to be operative on
January LIST, we were obliged to
apply the law of averages. Thus,
while the parcel post rate for long
haul will be extremely cheap, all
things considered, it will be proper
tionately high for short hauls. But
if the entire express business of the
country were under the control of
the Government we should be able
to make rates for short hauls that
would be lower than even the lowest
rates which will be put into effect
next Wednesday.
"Think of the benefits that will be
conferred on people living in remote
sections not touched by the express
companies!2 he said. every place
in the country big enough to have a
Post Office will have the advantage
of this service. We have estimated,
after inquiry, that no less than TO-
100000 persons who do not have
the advantage of express company