The Elbert County tribune., 1919-08-16
STRIKES THREATENING
BUSINESS MEN OF NATION FAVOR
PRIVATE OWNERSHIP OF RAILS.
CLERKS AND FREIGHT HAND
LERs ISSUE DEMANDS FOR
HIGHER WAGES.
w..t.rn Newspaper Union News Service.

Western Newspaper Union News Service.
Washington, Aug. 6.-The railroad
problem is engrossing the attention OF
both the executive and legislative
branches of the government.
Meanwhile threats of hundreds OF
thousands of railroad employees to go
on strike to force higher wages to
meet the high cost of living were re-
lternted.
Demands also are being made by
100000 clerks, freight handlers and
station employees.
business men of the country, as rep
resented In the Chamber of Commerce.
Of the United States. favor private
ownership of the railroads.
Based on referendum OF the
chambers 6T000o members, this an
nouncemcnt was made following pub
licntlon of the demands of organized
labor for elimination of private capital
from railroad ownership and opera
dion.
Announcement of the vote of 90 per
cent of the business men against gov
ernment ownership was accompanied
by the following explanation of the
reasons actuating the decision:
Il Under government ownership
the development of railroad facilities
would depend upon congressional APP
preparations and would prevent the
anticipation of the transportation
needs of the country. Appropriations
would not be made in the amount and
ut the time needed TO insure adequate
development of the railroad. Political
considerations might also control the
amount of appropriations and the OBJ
liccts for which they We're made.
50 10 acquire the railroads the
government would have to pledge its
credit for eighteen to twenty billions
af dollars at time when other large
financeering must he done. 1t would
he difficult fer the government to dis
pose of the securities required to pur-
chase the railroads, and 1t would be
necessary for the government to Sc
cure from five hundred million to one
billion dollars of new capital each
year.
II the government were to assume
The burden of Financing the railroads
Mt the present time when the war debt
= so large, its interest rate would
necessarily be as high as, IL not higher
tlinn, the rate at which corporations
ould secure capital.
80 Government operation is sell
dom, IL ever, as efficient as corporate
management. Competition. the incen-
tive TO efficiency and progress in pri-
vntc enterprises. Is absent from the
government administration of affairs.
Individual initiative is less, bureau
cratic methods are more character
istic, and the services rendered are
less progressively efficient.
~. While the government would
presumably select officers and EN-
ployes by means of efficiency tests,
political influences would almost GER
tainly be given weight in selecting
men for official positions.
IS. Unless the government adopted
the policy of fixing low rates and
fares with the intention that any re-
sulting deficit from operations should
be placed as an increased burden of
taxes upon the general public, rates
and fares would be higher under gov
eminent than under private operation.
Under government operation expenses
rise In relation to income and the
charges imposed by the government,
II a deficit Is to be avoided, must be
higher than those which 1t would be
necessary to permit railroad corpora
tions TO make.
&C. The political effect of govern
ment ownership and operation of rail-
roads in the United States might be
serious. There are now about 100000
:lvil employees of the government The
..ddition to the public services of
100000 railroad employees, the major
ity of whom are voters. would consti-
tute force of about 2,50O,OOO govern
ment employees interested in control
ling the policy of the government as
regards wages, hours and condition of
service. Such body of employees
might easily exercise controlling in
flnanre