Evening star., 1933-11-16

Great variety in the benefits to be
conferred through the allotment OF
S135, 900, 900 from the Public Works Ad-
ministration to the railroads Of the
country is anticipated. The leading
beneficiary, the Pennsylvania Railroad,
is expected to take greater place In
providing efficient service through vast
changes, and all the roads concerned, 1t
is estimated, will increase labor in the
industries that serve their needs.
Earlier efforts to stimulate purchases
by the railways" according to the New
York Times, have met with reluctance
on the part of the carriers to run fur
ther into debt to the Government. But
the terms Of the present plan, the re-
cent reduction Of steel prices and the
fact that investment In more modern
equipment would to considerable ex-
tent be self-sustaining may start q
large program Of new buying and give
a much-needed flllip to the revival OF
activity in the heavy industries" The
Times notes that "the railways are
demonstrably in need Of new equipment
not to increase capacity. which Is
ample for present needs, but to make
up deferred maintenance, to effect
economies in operation and to meet
competition under new conditions. Lack
of revenues has permitted the carriers to
spend relatively little for these purposes
during the depression. Last years
purchases Of freight cars. for example.
numbered less than one-fiftieth of
those in 1929" asserts that paper.
"The roads are preparing TO return
to the transportation field with new
verve and vigor," states the Charlotte
Observer, with recognition Of the fact
that they have been hard hit and
of motor truck development" but that
they have not quit. neither do their
executives show indications of believ-
ing that these systems will eventually
become obsolete" The Cleveland News
holds that 'the impetus to be given
railroad development through this
liberal Federal aid policy should start
new work all over the country" and
that paper makes the further COM
ment: THE Government believes that
work can be spread more quickly and
velopment than through almost any
other means. And. inasmuch as the
rail and equipment purchases win help
the durable industries group as well as
put the railroad industry, which en-
ploys more than / 1000 900 men, back
on its feet. the stretching of a point
in this instance seems justifiable," de-
spite the fact that, strictly speaking.
these activities are not public but pri-
vate enterprises"
Quoting a statement by joseph E.
Eastman. co-ordinator for transporta-
ton. before the National Industrial
Traffic League. the Chicago Daily News
offers the judgment: He put into
words what he has been practicing
since last June. He assured his au-
dlence that he was no dictator, that
ne was acting as a clearing house for
railroad attempts at self-help, and that
he favored the elimination of red tape
from the procedure of the Interstate
Commerce Commission. That policy,
proposed by a member OF the Slow
moving regulatory body, is a promise
OF broader opportunities for real initia-
tive in the railroad world. II embodied
In the railroad act which, 1t Is expected.
will follow the present one-year law, Mr.,
Eastmans program should strike from
the railroad systems many of the bu-
reaucratic shackles which have ham
pered them in their struggle against
motorized competition"
The depression, which has been at
tackled in any number of sectors" says
the Greensboro News, hangs on most
tenaciously In the realm Of heavy in