Manchester Democrat. [volume] (Manchester, Iowa) 1875-1930, 1915-01-27
realms Of merchanA sing.
CONDITIONS MUST BE FACED.

states during the last few years
means that, with the ever-increas1ne
cost Of operation, the railroads OF
the country are facing a condition
which means that they can neither
give adequate service to the public
or make such a showing upon their
properties as will enable them to Dor
row the millions necessary for future
betterments and improvements. III
conclusion, he says it is a situation
which must be faced. not trlfled
with"
= Once more we wish to impress UP
on the reader that the railroads
should not be confused with private
enterprises which are able to- ad
raucv. tAelr prices, 70 meet inc eA'
agencies OF tue nour. me rallroaus
arc bOunu hana ana foot ana can
charge no more tnan the law says
suppose that through some statute
lne' state OF Iowa should say 10 the
4~rMer, that regaruleSs OF me cost
or PRODUCTION or the vOllnne OF ylelu,
ne snall sell his corn at not to ex'
ceen % cents per bushel: Or sup
pose that through some similar NAH
..a,e IL should say to Iowa grocers
mat they shall sell 70 pounds OF
granulated sugar tor one collar. vi
course these supposllons are radlca
and yet, is THIS not in substance
what the state OF Iowa is, forcing up
on her railroads when it names the
rates they may charge without taking
me increased cost OF labor, fuel,
.axes, etc., into consideration? Is 1T
not equally as unfair! Is there any
ching about a railroad which places
1t ABOVE the inexorable law OF cause
and effect: Well might they exclalm
with Shylock in his pathetic defense
Ut the Jew, If you prick US, do. we
not bleed? IT you tickle us, do we
not laugh? IT you poison us, 60 we
not die!"
In this connection, we wish to d.
gress for a moment to quote some
Statistics which should have had a
place in a former article. 1t costs
an average OF 7 mills per mile TO
haul a ton Of freight in the United
States, whereas in England it costs
2.33 cents,in Germany 1.42 cents, and
in France 1.41 cents. In the United
States the average wages paid to
railroad employees are $2.23 per day,
in England $1.l5,. and in Germany
an6 France not over 81 per day. The
English railroads are capitalized at
1865, 900 per mile, in France at $751;
900 per mile, in Germany at STA, 1855.
while in the United States the stock
and bond capitalization averages only
S65 900 per mile. In view Of this re-
markable compariso do American
railroads deserve the wholesale de-
which has been heaped
upon them?
FACING GRAVE PROBLEMS.
Unquestionably we are facing some
of the gravest problems that ever
us as a Nation-and these
problems grow largely out OF a war
which is without precedent in his
tory. True, with rapidly increasing
cost Of operation on the one hand
and reduced rates on the other, it
was merely matter Of time until
the railroad ques ton was bound to
become pressing-but the great trag-
edy across the seas has suddenly re-
solved into an acute crisis a prob
lem which might otherwise have been
solved gradually and without any far
reaching industrial disturbances
The United States is a heavy debt
or Nation. During the average year
our balance of trade against the rest
Of the world amounts to approximate
ly $5O0,0OO,OOO, but ON top of this we
always owe approximately another
$500. OOO. 900 which heretofore we
have been a0le to stand off by SELL
ing Europe industrial securities to
that amount. Now, however, the
great warning countries have served
notice that they not only expect us
to pay our debts above our trade
balances in gold, but that in addi-
ton they look to us to buy back from
them hundreds of millions of dollars
worth of American securities which
are now held abroad. 1t was to de-
liver this grim message that Sir
George Paish, Of the English Elk
chequer, paid his recent visit to the
United States, and when he got
through making his statement to
group Of big New York bankers, an
DID veteran financier who has surviv-
ed many a financial storm remarked
70 his profoundly silent auditors,
1.-THE sheriff, with a writ, is on the
loorstep."
In the present instance, the rail-
road crisis is of tremendous import
ance because in it is involved the
still greater problem of the integrity
an5 safety of the whole superstruc7
.ure of Am erican business. That we
shove it aside by broaaside
# demagogic platitudes or minimize
It by employing the strategy OF an
ostrich is apparent to every man who
IS seriously concerned in his own and
ais tcountry's future welfare.
UP TO PEOPLE OF IOWA.
In few other states have the rail-
'oads had a larger share in progress
and development than in Iowa -
state which stands without peer
>griculturally and which has within
is borders a great diversified per
capita wealth and less of poverty
han any other state in the Union.
Surely such a great commonwealth,
he broadmindedneSS of whose peo-
Die is a byword throughout the Ma
ion, cannot afford to treat unfairly
he millions of outside capital which
AVE been invested in her network
# railroads and without which her
position among the sisterhood OF
states would have been impossible?
Splendid as has been. our progress
n the past, Iowa still stands merely
Upon the threshold Of her true posi-
1llities, and during the next twenty
i've years our farm and industrial
wealth should be increased by many
hundreds of millions Of dollars. That
We, however, still need millions OF
outside capital and that these mill
ons will not be forthcoming unless
we treat fairly every dollar that has
oeen honestly invested in our indus
,ries should be apparent to every
thoughtful citizen.
In the end, all the people and the
Industries of state, great or small,
must rise or fall together-for In
The final analysis we are all depend
emit upon each other. Thus, the well
fare OF the town and it's surrounding
farms depend upon a spirit OF kind
" cooperation between those who
i've in town and those who live up