New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1917-07-09

largement Of facilities is not required
merely to meet the exigencies growing
out of the war, but to keep our transpor-
tation facilities up to the measure of
the country's growing volume Of bust
ness. A foundation should be
laid without delay for a definite plan
for the development and building up Of
our transportation system. Our
population and commerce have largely
expanded, but there has been no expan-
sion, relatively speaking, in our trans
portation facilities. The record,
in my judgment, demonstrates propo-
sition that has long been clear to me,
namely, that rate is public question,
and that existing rates, aside from any
interest that the o10ners of oar railroads
may hare IN the matter, could aCeH be
advanced in the public interest, IN order
that assurance may be thus gtren for
the early enlargement Of our trdf1sporta-
ton facilities. 1t is clear to me
that so long as we look to private IN
terests to furnish a transportation SER
vice for the country we must see to 1t
that the rewards are sufficient to attract
capital for its further development.
Under present conditions this appears
not to be the case"
That is the theory to which the COM
mission must eventually come. It's de-
cision Of June 20 last was encouraging,
compared with earlier decisions. But 1t
ran too much along the old lines. The
again refused to shoulder re-
sponsibilities which it must shoulder If it
is to become an efficient governmental
agency.
Under the status quo antedating the
passage Of the Adamson law the railroads
were certainly not enjoying any undue
prosperity. Congress abruptly ordered
them to increase wages. They submitted
and increased wages. 1t 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 to be granted.
But the commission has now ignored that
moral obligation to compensate the roads.
1t has, refused TO allow fiat increase IN
rates because that increase would apply
to the temporarily more prosperous car
riers of the South and West, as well as to
the harder hit carriers of the East. Yet
the Adamson law made no distinction of
this sort. 1t decreed a uniform wage in
crease for all roads, East, West and South,
the relatively more prosperous as well as
the relatively less prosperous.
The commission split hairs when it had
an opportunity to do something really sig
nifcant and constructive. 1t disregarded
even the friendly urgings of commercial
bodies and shippers associations that the
full fiat rate increase of 10 per cent be
granted. 1t went out of its way to create
further distrust and resentment on the
part of perhaps the largest and most SUBJ
stantial body of investors in the United
States.
That was a deplorable error of judg-
ment-more damaging now than in ordi-
nary times. Railroad stock and bond hold
ers must be depended on in large part to
subscribe to new government loans. The
government expects them to be patriotic.
Undoubtedly they will be. But the exhibit
ton of patriotism should not be all on
their side It was maladroit of the COM
mission to reopen old wounds by denying
them fair treatment-by refusing to dis
charge the specific obligation to them
which the government assumed when Con-
gress passed and President Wilson signed
the Adamson act.
1t is time to ring down the curtain on
mistakes of that sort. We feel confident
that President Wilson does not sympathize
with the old-fashioned, narrow gauge
theory Of regulation. All his public utter
ances have given the opposite impression.
One of the many lessons which the war
has taught is that we must have a
broader gagged Interstate Commerce
Commission, with broader gagged policy
of regulation. Congress should pass at
once the act charging the commissions
membership. Then the remedy for an I'M
fortunate situation would be in the Presi-
Jan+'c bapdc