Grand Forks herald. [volume] (Grand Forks, N.D.) 1916-1955, 1921-04-22
REDUCING FREIGHT RATES.

1t is proposed that congress order a. reduction Of
freight rates. AS only a few OF us receive any Of the in
come that is derived from freight rates, and all of US have
to pay them, it seems that such a proposal ought to strike
a responsive cord. All OF us would like to see q reduction
in the prices which We have to pay. All of lis would pre-
fer not to have any reduction in the incomes which we
receive. In that respect we are pretty much all alike.
There are comparatively few prices over which the
government has anything like direct control. Within GER
tain limits it has control OF railway rates. Therefore, let
congress so to it and reduce freight rates because it has
the power to do sc.
If congress had authority to fix the cost Of shoes we
should have a demand for legislative action in that direc-
ton, for most of us wear shoes, and shoe prices are more
than we like to pay. Congress, if it had authority, might
order that the price of shoes be reduced to a dollar a pair.
and the prospect of buying shoes at a dollar would be very
attractive. But, unless congress had authority in another
direction. such a step would be futile. because there
would presently be no shoes for sale. The manufactur-
es being confronted with the necessity for selling a pro-
duct at considerably less than it cost would simply shut
up shop and let the world go barefooted.
To make the shoe law effective. further power would
have to be conferred on congress. That body would need
authority. to require the manufacture and sale Of shoes to
continue. Then We should have som ething like a parallel
to the railway situation. In that case. provided the law
tinue just as long as the capital of the shoe manufacturers
lasted, which would be about twenty minutes. Receiving
not enough money with which to buy material and pay la
Dor. the industry would die automatically. A business
can be conducted at a loss only so long as its capital lasts,
When the money was all gone it would be necessary for
the government to provide more by bonus or subsidy. to
| i SSGiuu LIS IVOi oI ~ Le pSOple 80 WITHOUT SnOeS.
A government order to perform an impossibilty does not
get things done. ~ .&. 4+"A
The railroads are required by law to perform service
requiring outlay for material and labor. They are permit.
ted to charge for this service enough to pay these costs
and to yield fair interest on the invested capital. That IL
the theory Of the law. Conditions Of service have been
fixed. Rates of remuneration have been fixed. And the
railroads are running behind. If rates are lowered they
must run behind still more unless other changes are made
which will reduce their costs. They can run behind just
80 lorg, and then they must quit. Neither the railroads
nor anybody else can take rabbits out Of an empty hat
The magicians who seem to do so have taken care to pro
vide the rabbits beforehand. & t
lower rates are possible only through reduced costs
and the possibilities for these lie in two directions, less ex
penditure for labor and economies which will lessen waste
There is.a strong belief that much may be accomplished
in the latter direction, and the subject 10 certainly one
which demands Investigation. =
In the ballotins for delegates from Chicago to thu
Detroit convention Of the National socialist party. thu
Moscow Third Internationale was endorsed, radical dele
gates were elected, and 4 committee was appointed t.
spread the propaganda Of the Internationale. IL It an,
wonder that decent Americans are Withdrawing from tn.
Socialist party?
gency tariff bill has been loaded up with enough subsi
diary stuff to kill 1t.
30 many regular drinking places in New York hav,
been closed that It has become necessasy to open dispen.
lAftess in several hundreA private homes.
Il GEHH- --EJ. M..L l.. E2El. Nt EE2EF4y sNEG ~ ~