New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1917-11-04
Service and Profit Are Not Antagonisdc

way. They have been allowed 10
operate to a great extent as single
system, and hang the Sherman law.
Much Of the economy has been due
to the fact that for the first time the
railroads have had the cooperation Of
shippers. The Public Service com.
missions in the various states ey.
erted powerful influence in this n.
spect and also to eliminate delays In
loading and unloading, so that many
elements have contributed, which,
under old conditions, were hostile
rather than friendly.
Of course, all this is epochal and
directly opposed to old methods and
policies. Is it going to be abandoned!
Is there going to be return to what
was called the competitive system as
soon as the exigency subsidies? Is the
world going to move backward
What is good management, efficiency,
economy and service under the pres
sure of war is not at all different in
time of peace.
The plan Of single railway sys-
tenn may have been the dream, of some
dead and gone magnate, but his pur-
poses, if possible of achievement
sprang from no motives Of altruism
or public service. II he dreamed such
things he was guided by the desire
for profit, translatable into wealth
and power. Contributions TO ef.
ficiency and economy for better ser.
vice and public gain were ineffective
arguments with the early combin-
ers, whose operations brought into
existence the Sherman law and the
supervisory and regulatory statutes
But it was learned long ago that In
combination for production there
was true economy. The first coun-
teracting desire was to suppress
monopolies, and then to regulate
them. The progress is now beyond
both. Suppression is unscientihc,
and its burden Of expense is saddled
! On the public. Regulation is re-
straint on free production, and car
ries penalties, under extreme condi'
tons, equally grave. The great
problem now is how to secure the
benefits and economies Of combina-
ton without its burdens; how to
give the public the maximum Of SER
vice at the smallest expense without
destroying incentive to work by de-
nying profits.
War conditions are pointing the
way to the solution Of this problem,
with its apparently irreconcilabls
differences--pointing the way not
only for the railroads, but for other
industrial ventures also. The knowl'
edge that railroads are practical
utilities for public service, and not
the toys Of millionaire manipulators,
is of vast Importance. II is OF
greater Importance that they are
operating mechanisms for transpor-
tation and not mere Accomplishments
Of finance. II is Of final importance
that they can be run by engineers
for the public benefit and that, in
stead Of curtailing profits, such con-
duct of them must inevitably IN
crease the returns. They are so con-
Quoted at the present time. How
their financial overseers feel about II
is a matter Of small consequence;
but the fact seems to be that they
will feel all right about it il ef-
ticiency, which they could not Sc
cure, produces the returns they
want.
There will be neither demand nor
necessity for government ownership
because government ownership finds
its only justification in proof that
every other method has failed.
The public will be satisfied, be-
cause the service and the cost will
comply with its requirements.
II the war is teaching anything It
is that the railroads should be run
as one system. under one directing
head. for one purpose. The profit will
be to the owners and the public. and
the satisfaction universal. II Is
being done now under difiicultics'
The difficulties can b easily ~
s.ovad