The Washington herald., 1915-10-17

Editor of The Washington Herald:
The American railway pays the high
est wages in the world, out of the
lowest rates In the world. after having
set down TO capital account the lowest
capitalization per mile of all the great
countries of the world"
| The above quotation. taken from
James ]. Hills book Highways OF
| Progress. IS referred for the consider
alton of Mr.. VI. J. Francis
| Several times Mr.. Francis has re-
ferred to my views in defense of the
roads as biased What does he think
of the views of President Wilson, The
article which resulted in this discus
sion was largely devoted to an exposI-
| ton OF the stand of Mr.. Wilson on the
| railway question. The President in
one of the most important letters writ
Item during his administration. laid
stress on the needs of the American
| railways. And if Mr.. Francis j. not
an admirer of President Wilson We
may refer to the directly opposite tvpe
of statesman. Col. Roosevelt.
1t must be cardinal principle"
says Mr.. Roosevelt. in dealing with
honestly built and wisely managed rail-
ways that the investor. the <harehold-
er. Is just as much entitled to protec-
ton as Is the wageworker the ship
per. or the representatives. of the gem
that he is to get fair return on his
money he will not invest. and in such
case not only will no new railways he
built. but existing railways will not be
able to repair the waste the wear and
tear to which they are subject, and
will not be able to make needed i'm
provements. All governmental action.
whether by the legislature or the
executive. should be conditioned upon
keeping in view this fact The
commission is no true servant of the
PUBIC unless it unheSitatingly raise
the rates when justice in the public
interest requires such action"
Railway commissions are an innovation.
innovation has been defined as Some
thing new and contrary TO established
customs. So new are the commissions,
and so contrary to established customs,
that the opinion that they are a neces-
sary part of railway operation is by no
means unanimous. If there were no reg
ulation at all, and the railroads were
absolutely unfettered by competition il
would still charge reasonab BIZ. rates be-
cause an extortiOnate rate would kill the
business ii is trying to create. Mr.. Fran
els will hardly accuse the Hon. Martin A.
Knapp of having views slanting in favor
of railways. and ! am therefore quoting
the following from an address delivered
by Judge Knapp on November - 1910.
while Chairman of the Interstate Com
merce Commission:
''I am not sure that the policy Of reg
ulation has passed the stage of expert
ment. for ! can see in the present srt-
alton many elements Of doubt and rr1t
a few of positive danger. With the In
tense friction of commercial rivalry and
sectional antagonism, that is. the ersi-
less controversy over relative rates: wiIh
the Federal CONGRESS- J,
hundred state legislatures in vigorous
activity every year: with more than two
score state commissions acting under
laws and carrying out policies which
range all the way from ultra a-conserva-
tism-which does nothing and helps no
body. with the disturbing possibility Of
business paralysis at any time and in
any quarter. and with the sinister
shadow over all of political influences and
party ambition. no man. think can he
sure that ou- efforts at regulation will
prove an assured and permanent sue
cess
Mr. Francis citing of the Rock Island
and New Haven cases as proof that the
roads do not get justice beCause they
do not arpsar in court with clean
IA nis'' is unfair The guilt of til ese two
roads does not justify the conddmna tion
II whole railroad industry any more than
tn" occasional transgressiOns of n like
'haraCter in other lines of business
merit the Censure of the whole. and il is
is unfair to place all OF the roads in the
'ategory Of the Rock Island and New
Haven as to condemn certain professions
" Callings because one or nsTe mem
,ers strayed from the path of rectitude.
In conclusion let me- say that the C0un-
~ will not experience fuH return of
prosperity until some administration at
boldly and unfiinchinEly ad
locates a change from whaz have
,Ccn suffering from during the past dee
idr-a chang" that will silnaliZe the
paning of the greatest opportunities for
ne captains OF industry. the encourage
nent of big business. square deal
or the railroads and fair play for capital
nd labor all around. Ard tn" next
election will h. decided on
he single issue of American prosperity.
With which the railway pEoo5lem is in
eparably attached.
FRANCIS De. SAILS RYAN.