The Washington herald., 1918-01-03
SEES SUCCESS
FOR M'ADOO
Holland Points to Morgan,
Hartman and Other Self
Taught R. R. Managers.

4 ]. p. Morgan. head of the banking
house Of J. p. Morgan and company.
with his customary discreet and well
. itempered expressions when speaking
/ for publication, referred a day or two
ago to the Presidents action in TAX
hing over the railroads in terms which
Frnade 1t clear that he Is convinced
hat this action will bring great re-
ief to the situation. He also said
hat he is conEdent that Secretary
5cAdoo viii have the heartiest CO.
peration from every one in the great
SIX that Is now assumed
IN this brief communication Mr..
lorgan does not refer either TO the
financial point Of view associated with
DIR. McAdoo's appointment as director
general of the Federalized railroads or
TO the operating railroads managers
point Of view. In this respect he diff
yferss from some of the others in
finance and from some OF the railroad
mana gers.
In the world Of finance II was nat
ural that the appointment Of Mr.. Nc
Adoo as director general should be
considered from the point Of view Of
highly important financing which. II
Congress authorizes II. Mr.. McAdoo as
director general, win be Obliged TO
undertake. From the point Of view
Of railroad managers the chief con-
sideration seems to be the ability Of
Mr.. McAdoo so to act as director gen.
eral as to bring system. order and high
, economies out of something like
chaotic conditions which have prevail
ed and have been inevitable.
Confidence In McAdoo.
The men Of finance have referred
to Mr.. McAdoo's success in the ad-
ministration Of the Treasury De-
pertment in a time of such emer-
gency as the government has never
known. They are therefore per-
suaded that he will be able to han
die the financial end of the Fed
eralized system of railroads with
equal ability. On the other hand,
railroad managers, while express
ing recognition for Mr.. McAdoo's
ability, nevertheless seem to be of
the opinion that the wisest adminis-
tratiOn of the Federalized system
would be that which would follow
the appointment of a highly COM
petent practical railroad man. Rail-
way managers do know that Mr.,
MAdoo had some experience as a
railroad promoter and operator and
that the line which was construct
ed under his supervision cost many
millions and now carries many
hundred thousands of passengers
every year. Yet this line is purely
local Experience gained in the op-
Grafton of a local line. valuable as
far as Il goes. is. these managers
hint in private conversation, not
sthe experience which qualities a
fnan for very great, even supreme
ailroad direction. nationwide in
{its scope.
Nevertheless. there are many
precedents now on record telling
the story of the greatest successes
in railway construction and opera
tiOn which was achieved by men
HThO had no practical railroad train
hg. The first of these precedents
Twas one that was set by the late
John NJ Forbes. of Boston He had
&oeen engaged in the China trade,
and was well past 40 years of age
when he took up railroad construc-
tion-and operation and thoroughly
I kmastered 1t, as the great success
Fof the Michigan Central and of the
Burlington railroad systems dem
onstrates- -
/. After Commodore Vanderbilt had
passed his sixtieth birthday and
was worth, according to the esti-
mate at that time. about $40. .O0O, 900,
he abandoned the steamship and
steamboat business and began an
Rctive career as a railroad con-
tructor and operator. He knew
almost nothing about the railroad
FOrld and was self taught. But he
work out plans whereby the New
ork Central system and later the
AXE Shore and Michigan Central
ecame, in fact II not in name, the
ain features of the so-called Van
erbilt system
self-Taught Managers.
John NJ Forbes taught the value of
polling at a time when his Michigan
Central Railroad company and the