The Birmingham age-herald., 1918-03-06

| cured. He argued that for the entire dis tance between New York and Chica go l the grades were very low, there being
 no mountains to onrcome as is the case
 Wlth the Erie, the Pennsylvania and the Baltimore and Ohio There were stretches
 of many miles of almost prairie-like | flatness between Albany and Chicago. and the Hudson River line is constructed I Tor the entire distance between New 1 York and Albany upon the banks of the | river.
 Immense volumes of freight were daily offered at Chicago and other points in the west for transportation to the great eastern market The commodore believed that with the low grades and the long tangents his system could carry this traffic, even wheat, at so low a cost as to give the Vanderbilt lines suprem- acy. There were many who doubted whether he could compete with the ves- sells of the Great Lakes and the Erie canal, so far as the transportation of wheat was concerned But he did dem onstrate that 1t could be successfully done and that wheat could be removed from Chicago or lake ports to New York over the Vanderbilt lines at a cost per ton mile so small that the canal boats and the vessels upon the Great Lakes would find it impossible to match the freight charges.
 That was one and probably the chief reason why the Erie canal grad,iarry lost business and why the state of New York at last was willing to appropriate ] s15o, 100000 for such enlargement of the
 Erie canal as would permit steam driven barges of 1000-ton capacity to navigate
 that canal from Buffalo to the Hudson
 TIME OF DIFFERENTIALS
 It was chiefly because Vanderbilt lines
 by reason of low grade and long tangents could transport freight at less cost than any Of the mountain crossing trunk lines that the question of dfferentials in favor of these other lines was earnestly ad- vocated and at last in somo measures adopted
 Yet, notwithstanding the advantages possessed by the Vanderbilt lines for transporting traffic. it seems probable that Director General McAdoo for reasons which appear good to him, will direct that all passenger traffic between Chicago and the east be concentrated upon the New York Central lines, all freight traf- fic upon the Pennsylvania lines, while the cars that are returned empty are to be transported over the Baltimore and Ohio Were this plan to be adopted, the capac- ity of the Pennsylvania system as a freight carrier will be taxed to it's ut most Some of the railway managers believe that it will be impossible for the Pennsylvania, no matter how great it's facilities are for handling freight to transport much the greater part of freigh between Chicago and the mid west to destination at the eastern mar ket
 The situation, however, is such as to compel speedy action, perhaps drastic, by Director General McAdoo.
 There is confidence in railroad circles McAdoo will finally reach will he the McAdoo wil finally reach will be the best possible solution of the problem. The Wall Street Journal reports that, in general, railroad officials feel that the traffic problems of the country, enor. mcus as they are. have been placed ia highly competent hands and that MT. McAdoo has surrounded himself as di- rector general of the railroads with an able staff of advisors.
 He certainly has secured the advice and service of men who stand pre-emi- rent as managers and operators of rail road systems. This is notably true in the case of the president of the New York Central, A. H. Smith. upon whom Mr McAdco has placed the responsibility for handling the traffice situation in much the greater part ce the trunk line terri tory,