The Rock Island Argus and daily union. (Rock Island, Ill.) 1920-1923, 1922-06-17

suggestion of Secretary OF the
! Treasury Mellon that the American
railroads need a holiday during
which, for a period of five years or
/ more, they would be- practically
! free of government regulation, has
provoked renewed discussion OF the
whole question of railroad opera
ton.
| The swing of the pendulum back
| toward a consideration of relaxed
railroad regulation is believed to
mark one of the cycles of develop
ment peculiarly characteristic OF
| American progress. A curious CO.
incidence is that Glen Plumb, the
author of the Plumb Plan, eonstl-
| tuting the farthest swing OF the
pendulum in the direction Of radi-
ca1ism, is reported to be on his
death bed, following a prolonged
illness. MIR. PIumb's health is re-
ported to be so impaired that, even
! though he might recover from his
present illness. he could not take
up the leaders ship of transportation
reform again. His absence from
this field would remove one OF the
strongest opponents to relaxed
railroad regulation in the country
Mr.. Mellon based his suggestions
for a railroad holiday on the theory
that the carriers could work out or
their present financial difficulties
more speedily if they were free OF
interference of such bodies as the
interstate commerce commission.
Mr.. Mellon believes that if the rail-
roads were permitted to operate
independently, they would, through
the force of competition, reduce
rates to a point where the public
would derive much benefit
The secretary points out that in
the days before regulation, rates
for transportation of freight and
passenger fares were much lower
than now and that the history OF
railroad regulation in the United
States has been a history of pro
gressively increasing rates.
Mr.. MELONS suggestion has been
received with much interest, and 1t
seems likely that a whole new crop
of proposals for railroad relief Will
spring up in its wake. These may
develop into a new general investi-
cation of the transportation sftua-
ton by a congressional committee.
Opposes Too Much Regulation.
Some members of the interstate
commerce commission have shown
leanings toward the belief that too
much regulation is not good for the
railroads and not good for the pub
lie Mark Potter, member of the
commission, IN recent opinions in
cases before that body. has express
ed officially the view that the COM
mission arrogates to itself powers
too sweeping and inVades the field
of management of the railroads,
whereas, under the law, 1t should
restrict it's activities to a detached
and impersonal judging of right
and wrong in railway cases. with
in the meaning of the act to regu
late commerce.
The first dissent from the prac
tice which in recent years has
grown up of regulating the rail
roads as though they were owned
by the commission was expressed
by the late Commissioner Clements
in the second five per cent case. In
that case the railroads asked for a
rate increase, claiming that they
received higher rates. The COM
mission agreed with this view and
granted the increase, but Commits
sioner Clements dissented from the
majority opinion and declared that
If all a railroad had to do to get
rate increased was to prove that it
needed mony, the burden of proof
of why an increase should be
granted, which is placed by the
statute on the railroad, had become
light and easy to carry.
IL was the opinion of Commits
sioner Clements that the abstract
business of a specific charge for
carrying a given commodity GER
tain distance should be the meas
ure of regulation and that the COM
mission had no legal right to give
or withhold a rate increase on the
basis of whether or not the carrier