The Leon reporter. (Leon, Iowa) 1887-1930, 1915-01-07
WHY The COST OF OP-
GRATING RAILROADS
HAS Been INCREASED
STRUGGLING AGAINST INCREASED COST
OF LABOR, SUPPLIES, ETC., ON ONE
HAND REDUCED RATES ON
THE OTHER

)THER
! such temptation for power in the
hands of those who rise and fall in
the field of politics. furthermore,
should the time ever come when the
government takes over the railroads,
it means that the people will have to
forego the millions of taxes which
they now pay and which help to sup
port the public schools, public high
ways and other public expenses-and
that henceforth these millions of
revenue will have to come out OF the
pockets of the people.
Many other things could be said
upon this phase of the question, but
space forbids. For some time, the
government through the Interstate
Commerce Commission, has been en-
gagged in making physical valuation
of all our railroads as matter of
guidance for future rate adjustments.
Again, we repeat, since the people
absolutely control and regulate the
railroads, is that not enough? Will
it not be better to let we'll enough
alone-to cling to that which is good
and eliminate that which is bad in
the present system, which with all
that has been said against it, furnish
es the best and cheapest transporta-
ton service in the world?
INCREASED COST OF OPERATION.
We now wish to refer briefly to an
other phase of the problem. For a
number of years the cry of the high
cost of living has been everywhere
abroad in the land. Time was, not so
many years ago, when the farmer
sold his corn at 25 cents per bushel.
Now it brings from so to Is cents.
So, too, he sold hogs at cents per
pound, which now readily bring from
Z to 10 cents-while good steer
calf, which used to bring from $50 to
$12, now sells for from $40 to $25.
Nobody who knows anything about
present land values or the farmers
cost of production will contend that
he is not entitled to these increased
prices. AS matter of fact, unless
he is an exceedingly good manager
and utilizes the best of modern agri-
cultural thought he is by no means
getting rich at present prices-high
as they may seem to people in the
cities who do not understand the cost
attached to present day EARNING. To
20 back to the old prices he used to
receive would bankrupt, in little
while, every farmer in the country
and the tendency of the future will
be for the prices of farm products to
20 still higher rather than lower. Ag-
griculture is the nations greatest
fundamental industry and society
must make the farm today and the
farmer boy of the future to stay by
the plow. Much has been said re-
Gently about the facts that the farm
err does not receive enough for what
he produces-that there is too big
waste in the channels through which
his products pass before they reach
the consumer, and that he has some
cause for complaint in this respect is
undoubtedly true. However, the
railroads can face such an inquiry
with a clear conscience-for an ex
haustive investigation conducted by
the Lehigh Valley Railroad some
time ago shows that the farmer gets
5Oh cents out of the average dollars
worth of products he sells; the pack
er, local shippers, distributors and re-
tailers get 44h cents between them;
while the railroads receive only 5
cents, or one-twentieth of the dollar,
for the transportation services they
render.
So, too, there has been steady
advance in practically the entire
realm Of merchandise and manufac-
tured products, whatever their ma.
ture. and the ever increasing toll in
the cost of labor, steel products, lum-
Der. cars, locomotives, and other sup.
plies has levied tribute of untold
millions upon the railroads, which
have not only been forbidden to in
crease their rates, but, on the con-
trary, in many instances. compelled
to lower them.
BIG INCREASED COST OF LABOR.
To give the reader an exact idea of
how the cost Of labor has advanced
in the operation Of railroads in the
daily wage from 1900 to 1914a
period Of only 4 years: In the case
of engineers 1T increased from 1858.
. - n y =