New-York tribune., 1918-12-13
Government Railroads by In.
adyertence
advertence

Adroit and persuasive in a high degree
is Mr.. McAdoos letter to Congress urg-
ing five years of Federal railroad opera
ton. That it will have wide repercus-
sion over the country and give vogue and
strength to large body of public senti-
ment more or less favoring this general
view there can be no question. But it is
just as we'll to face squarely what Mr..
McAdoo's proposal means.
Like the President, the present Direct
or of Railways declares that he is not
committed to the principle of govern
ment ownership of the roads. He pleads
merely for prolonged test of govern
mental operation. He processes to be-
lieve that this would not necessarily
mean government ownership. But, what
ever Mr. McAdoo thinks, or thinks he
thinks, that is precisely what it would
mean. If after only few months it is
so difficult to work out plan whereby
the roads may be fairly restored to their
owners, what would it be after five
years?
McAdoo's assumptions present a very
curious view. In effect, he says that
either a Democratic Congress must en-
act the fve-year proposal Immediately
or the roads will be returned by the
President, for Mr.. McAdoo declares that
under the present law their successful
operation is impossible. That q Repub-
lican Congress might work out a simple
and feasible plan for the return Of the
roads and that this might be accom-
plished proftably to the nation and with
out injustice to the owners of the rail-
of his vision.
To our view such a solution, so far
from being weird puzzlement, is simple
and attainable. The principle was clearly
set forth at the recent meeting of the
investment bankers at Atlantic City, and
has been many times stated before. This
is, very simply, recognition that control
must carry with it responsibility for the
welfare of what is controlled, which is
to say that control of the railroads must
ultimately mean clear recognition of the
governments moral responsibility for the
financial and economic welfare of the
properties whose business it has under
taken to regulate, and, in large degree
to restrict.
This principle has never had more than
a pro forr,a recognition at the hands of
Congress or the Interstate Commerce
Commission. 1t must come now, or
eventually government ownership will be
inevitable.
There is nothing the matter with our
railroads now except that they need
money and the freedom of opportunity
to develop with the business needs of the
nation. Government regulation had be-
come so onerous that funds were not Oh
tainable, SO that adequate development
became impossible Since the year be-
fore the war there has been practically
no increase III the number Of locomotives
and cars and only a very small increase
in the tractjve power or car capacity.
Yet the total increase in freight handled,
the ton mileage, has been over 40 per
cent. This is magnificent record. 1t
was not due to Mr.. McAdoc or the rail
way administration. 1t was achieved in
1917. and has been but little exceeded
since.
This means that, save for the exigen-
cies of war, which brought sudden and
unescapable congestion of few lines
leading to the Atlantic seaboard, there is
not, and never has been, any justifica-
ton for the idea that our transportation
system was inadequate or inefficient On
the contrary, it is beyond question the
most highly developed railway system In
the world.
1t is very notable that Mr.. McAdoo in
his letter does not point to great econo-
mics that have been achieved by unified
or governmental operation. On the con-
trary he now declares that successful
operation Of the railroads is unattain-
able under the present law This is
tantamount to a confession that no very
wonderful economies have been achieved
We doubt very much if Mr.. McAdoo's
proposal can be enacted into law. We dc
not believe that even a Democratic Con.
gress can be brought to pass such a
measure This was probably equally
clear to Mr. McAdoo We interpret his
letter, then, as a red herring drawn
across the present discussion to distract
attention from one fact which will prob.
ably become clear enough when the re-
turns are in-namely, that even under