Evening journal., 1917-07-10

Judgment. demonstrates a proposition
that has long been clear TO me, name
w. that rate is a public question
and that existing rates, aside from any
interest that the owners Of our rail-
roads may have in the matter, could
we'll he advanced in the public inter
est in order that assurance may be
Tins given for the early enlargement
of our transportation facilities.
/ II is clear TO me that so long as we
/ ioot IN private interests to furnish
/ RECOMMENDATION service for the country
MO must see TO It that the rewards are
! e,,mciont 10 attract capital for it's
further development. Under present
conditions this appears not to be the
case
,,,ssion must eventually come. It's
decision of June % last was encour-
aeing. compared with earlier deci-
sions But 70 ran too much along the
did lines. The commission again re-
fused TO shoulder responsibilities
which e. must shoulder II it is to be-
come an efficient governmental
Under the status quo antedating the
massage of the Adamson law the rail
roads we're certainly not enjoying any
undue prosperity. Congress abruptly
ordered them to increase wages. They
submitted and increased wages. It
was admitted in both houses when the
Adamson law was under consideration
that an application for an increase in
rates covering the fiat increase in
wages. ought 10 be granted. But the
commission has now ignored that
moral obligation to compensate the
roads II has refused TO allow a fiat
increase in rates because that increase
would apply to the temporarily more
prosperous carriers of the South and
West as we'll as 20 the harder hit
carriers Of the East. Yet the Adamson
law made no distinction OF this sort.
10 decreed uniform wage increase
for all roads, East West and South,
the relatively more prosperous as well
as the relatively less prosperous.
The commission split hairs when 10
had an opportunity TO do something
really significant and constructive. it
disregardcd even the friendly urgings
of commercial bodies and shippers
associations that the full fat rate in
crease Of 10 per cent. be granted. il
went out OF its way 20 create further
distrust and resentment on the part OF
perhaps the largest and most substan
tial body OF investors in the United
States.
That was a deplorable error OF
/ Judgment more damaging now than
/ in ordinary times. Railroad stock and
bond holders must he depended on In
large part 10 subscribe to new govern.
mcnt loans The government expects
them TO be patriotic. Undoubtedly they
will be- hui the exhibition of patriot
ism should not be all on their side. l
was maladrOit OF the commission e
reopen old wounds by denying then
/ fair treatment--by refusing 10 dis
charge the specific obligation TO then
which the government assumed whel
| Congress passed and President Wilson
signed the Adamson act.
lt.is time to ring down the curtai
on mistakes of that sort, We feel cor
fident that President Wilson does no
/. sympathize with the old-fashioneC
narrow gauge theory Of regulation. A
his public utterances have given ia
opposite impression. One of the man
lessons which the war has taught
that we must have a broader gauge
Interstate Commerce Commission
with n broader gaugoi policy OF reg
? lation. Congress should pass at ono
the act enlarg.ng the commission
membership. Then the remedy for a
unfortunate situation would be in tn
Presidents hands.