The Birmingham age-herald., 1923-05-28
ROAne SHOULD bE ABLE n RECOVER BY OWN EFFORTS
April Earnings Favorable And Loadings Have Never
 Been Better
Ny WALTER B. BROWN Editor New York Commercial

NEW YORK, May 27.-It is mat ter of noteworthy interest that throughout the reactionary period in the stock market the rails have held up unusually well. The reports that have been published thus far of April earnings are favorable. Freight car loadings have never been exceeded at this time of the year. The raiI- roads should be able to engineer their own recovery. financial leaders believe, and the benefits will pass on to the public in a far more sub Stantial manner than through any attempts al legislation.
 As this S being written, Senator I.aFollette and his supporters are holding a meeting in Chicago over of the railroads and their hope Of bringing about a reduction so that they can secure lower freight rates
 Their ulti nate object, 1t would seem, is government oWherShlp. Mayor Hylan of New York city, who is persistent advocate of municipal ownership of street railways, was one of the speakers. He made the state ment thtt the railroads were worth Sl3,t0o ,00o, ,00o, and that the inter- state commerce commission was about to place a valuation of S23,Q00,- poo,000 upon them.
 Source Wcuid Be Interesting.
 The government has been spend- ing millions of dollars for number of years in an effort to value the railroads and hasn't reached a con- clusion yet. It would be interesting to know where Mayor Hylan got his information from, both as 10 the ac- tual value of the railroads that ne claims. and the figure the interstate commerce commission has in mind.
 Senator Brookhart is conservative . i'd. .F t,ri1 fgp ha -n1 1ftG G the roads at something like $19,000,- G00 00o. Hence when statesmen dis agree, what is the poor public to do?
 Incidentally, the supreme court has recently rendered decision that in valuing a public utility due con sideratiou shall be given to present replacement costs. It is entirely logi- cal that the railroads should receive the benefits of increase of property values. for example, particularly as they have to pay taxes in accord ance with present day values and not upon the original purchase price.
 o o O
 Reversal Causes Speculation.
 The reversal of the trade balance for the month of March to the extent of s60, ,000.0 000 has caused consider able speculation as to whether there will in due time be an outflow of gold. It will at first depend upon whether the imports continue to ex- ceed the exports. Actual figures as to the distribution of these imports are not yet available, and until they are it will be impossible to form an intelligent opinion.
 We have to bear in mind that on one side we will have British debt payments, while on the other there is our exportation of American capital, which is steadily increa sing through the purchase of foreign bonds. Assuming, however. that we again reach the point where gold must be exported, it will mean that the exchanges as to the nations in- volved will have reached par. That is consummation devoutly to be wished, for it will mean a normal flow of trade in both directions.
 Have Too Much Gold.
 The release of some of our sur plus gold will have the effect o1 stabilizing foreign courrencles. Ir other words we have too much golt for our own good, and the distribu- ton of some of it would be extremel, beneficial.
 We seem to be taking only the most casual interest in foreign af- fairs. The Presidents proposition for world court has excited the poli- t1cians. The country itself does not seem to be botherng much about it. In our fear of getting tangled up in foreign politics and between the con trary tendencies we do not seem to be getting anywhere at all.
 There does not seem to be quite so much fear of radicalism as there was few weeks ago. The farmers