The Washington herald., 1919-02-07
HOLD RAILWAYS
HURT BUSINESS
Holland Says Many Lead
ing Fmanciers Blame the
Roads for Depression.


George a. Post. formerly member OF
Congress from Pennsylvania, and the
, youngest member Of the House, who
organized and has been since the be
ginning, president of the Railway
Business Association. has resigned,
talthough he retains the important po-
sition held by him as a member of the
railroad committee of the United
states Chamber Of Commerce. Mr..
Post has been so long identified with
manufacturing railway supplies and
the organization which he created and
brought to high degree OF develop
inent has been so prominently asso-
Grated with important railroad in
lerests that some wonder has been
expressed lest his resignation may
nave been due to the serious situa-
ton in which the railways of the
United States are now placed
The name of the association has
been misinterpreted by many who
have known of its influence. II is not
railroad association. Its member
ship Is composed Of manufacturers
and others whose business II is to
deal with the railroads. Railroaq
men as such Prr not members Of the
association. The members are bust
ness men and not railroad operators
They sell equipment of all kinds TO
the railroad compsnies As there are
many industries enga ged in this work.
I covering as a whole the entire United
States. the organic ton is fairly
representative body. numbering
NamonC its members industrial leaders
IN almost every state In the Union.
Annual Gatherings Notable.
The annual gatherings Cf this or
Plantation have been tie occasion
for valuable inrcrcAanr, Of opinions
rCsDec ing business throughout the
United states. and especially respect
Ing the relation Of the railroad COM
p7nies to the manufacturing interest
UPON which these companies have re-
lied for much Of their equipment.
No more brilliant or i1fiIentiIl body
o. manufacturers has gathered 1t any
ycarl~ meeting than that Of the rail-
way business association. Some Of
the leaders IN industry and in pIblic
life have m0dc important addresses
to the organization. Yet the railroad
situation was 80 peculiar and 50 lit
lie understood that it was thought
h@S' not TO hold the annual gather
ing in i@1S. The ont 7sioD of this meet
in=. followed as that action has been
by tine resignation Of Mr.. Post as
president. emphasizes the DELEGATE en-
bsra ssing and extremely foggy situa-
ton in which the railways Of the
United States now find themselves.
Many close observers wonder wheth-
er the prevailing sIuggishness in the
securities market may not be traced
in part at least to the complicated
railroad situation. There is fear that
if President Wilson should Immediate
" turn the railroads back to those
who owned and directed them before
they were taken over by the govern
ment. that action would be followed
by serious business disturbances. On
the other hand. 1t is with some in
credulity that the proposition is re-
Ceived which was made by Nr. Nc
AdOO shortly before he retired from
public life. namely. that government
rntroI be extended until 1924. or. if
that D." not done. then the railroads
BE- returned to private ownership.
Whichever decision be made. nobody
seems TO he certain whether or not it
will be followed by nationwide bJIsi-
ness embarrassment. 1t is due to Mr.
Post to report that his resignation is
not caused by the railroad situation
or by any doubt respecting the mar
ket with the railroads Of equipment
machinery and other apparatus which
is manufactured bv members OF the
RAILWAYS Business Association. but
instead is OCCasiOnPd hv the fact that
the business situation is such and the
readjustment activities are Of such
character that ii is inevitable that he
give his entire time TO his manufac-
turing interests.
Fifty years ago the late Fernando
Wood. when mayor of New York City.
proposed. in all sincerity. the estab-
1'shuont OF n new State within the
boundaries of the colony Of New York.
and later the State OF New York. His
suggestion was that New York City
as il then was. together with Long
Island and that part Of the State of
New York which lies east of the Hud-
Riv'r ard south of Troy. be divorced
from New York State and a new
State 70 be called Manhattan be Great
cd Mayor Woods argument in IA
vOr OF such action WAS based upon the
fact hat New York City and the met
lEOpOlitan district We're practically sup
LpOrrinr the State. although represent
~ in the legislature by a onsidera bic
minority.
New state Proposed,
This proposition occasioned no
little comment at the time but the
advent OF tho civil war and later
tn" great activity due to recon
StrUCti0n OF material interests in
tho United States and Of railroad,
caused the plan to be forgotten.
NV IL is again seriously pro-
poS,.d and the legislature will be
asked TO consider a project which
il adopted will create a new State
| principally within the boundaries of
New York City. for those boundaries
since Fernando Woods day have
been extended so that considerably
more than one-haIf of Long Island,
Including Brooklyn and the ocean
front. arc now included in the
boundaries.
The reasons given for this pro-
POSITION are based chiefly upon So
allied economic injustice. For in
tancc real estate in New York City
assessed ut its fun value where
Is real estate in other parts OF
New York State Is assessed for
nuch less than its real value. Not
tong ago the average assessment
flor upstate real property was
labout so per cent. This has been
PreCently increased at least in some