New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1916-11-26
Naturalization Costs
Being Investigated


minion government is disposed to
adopt some policy of naturalization
as a permanent solution of its rail
way problem, no definite plan of put
ting such a policy into effect has yet
been devised. The financial difficulty
appears to be the most serious. To
some it seems insurmountable and
they declare that the Dominion's
heavy obligations on account of the
war preclude any adequate policy Of
naturalization.
The people Of Canada have no
adequate idea as yet of what ma
tionalization of the Grand Trunk
Pacific and the Canadian Northern
Railway would mean as a financial
proposition. The report of the spe-
Cial commission now investigating
the situation is being awaited with
much interest. II will educate the
public to the real facts of the Cana
dian railway problem and throw
light on the financial aspect Of the
question. 1t is certain that the
Grand Trunk Pacific and the Cana
dian Northern Railway will both de-
mand that any settlement by ma
tionalization should provide compen-
Sation to the companies for their en-
terprise and investment and that the
matter be settled on the basis OF ex-
pected future profits rather than on
that of present financial necessities.
The danger is that naturalization on
such basis would place the public
ownership operation of these two
transcontinental lines under a Geri-
Gus handicap and that the country
would have TO accept the certainty
of large deficits for years TO come.
l. seems likely that the matter will
be settled by negotiation, and GER
tainly the government is in a posi-
tion Of strategic advantage in such
bargaining if it only uses that adj
vantage to secure a businesslike set
Element in the interests of the Cana
dian people. The Canadian Parlia-
ment will reassemble in January.
and legislation based on the findings
of the special railway commission is
promised before the end of the ses-
sion.
In view Of the governments heavy
financial obligations, arising directly
or indirectly from the war, there
seems little likelihood that the enor-
mously powerful Canadian Pacific
Railway or even the Grand Trunk
Railway will be included in the ma
tionalization scheme for the present.
Certainly there will be political de-
mand for their inclusion. II will be
contended that these profitable lines
are necessary to make government
operation success by making pos
sible the coordination and consolida-
ton of all the railways of the Do
minion. But announcement Of the
cost Of Matchmaking these roads
will prove a strong, and probably
decisive, argument against their ac-
QUESTION at the present time. Taxa
ton in Canada will be heavy for the
next decade at least, and the people
will hesitate at proposition Of the
magnitude of that involved in gen
eral naturalization Of Canadian
railway lines. The outlook to-day is
for two strong transcontinental rail-
way systems-working in conjunc-
ton with ocean steamship lines un-
der related control-one system
owned and operated by the govern
ment and the other by the Canadian
Pacific Railway, with the Grand
Trunk Railway retaining its present
lines and competing for local traffic
In Ontario and part of Quebec.
While complete naturalization Of
the Canadian railways is probably
impossible at once, nevertheless the
war IS certain to stimulate public
ownership sentiment In the Dcmin-