The Hardin tribune-herald. [volume] (Hardin, Mont.) 1925-1973, 1935-05-24

shipment. 1t knows where It stands,
within reason, on its entire business.
But 1t is very dificult to break the
thing down the way mathematician
would like. For It Is not a question Of
subtracting the cost Of an item from
the selling price, deducting handling
charges, and figuring the profit, as 1t
would be in a retail store.
How it Works
In fact, railroading is almost at the
other extreme from a retail store when
1t comes to figuring what should be
charged the customers. To consider
a specific case of how this long and
short haul thing works, take the three
cities Of Pittsburgh. Youngstown and
Chicago. The Baltimore and Ohio
might consider it good business to
make a rate from Chicago through to
Pittsburgh cheaper than from Chicago
to Youngstown, though its trains
from Chicago to Pittsburgh pass
through Youngstown.
II by this lower rate to Pittsburgh a
large number of cars loaded with
freight should be added to each train,
there would be no doubt about II. For
it costs very little more to haul a
train Of 100 freight car than a train
Of 80 cars. Or to haul q train of 80
cars than a train Of 40 cars. Even the
fuel cost of the trip is not raised any
thing like proportionately by the ad-
ditional cars. Whereas, the labor cost
is rarely advanced an amount worth
considering.
But the law does not take cogni.
zance Of this factor. It says that the
lower rate must be compensatory. And
the I. C. G. has been holding that this
means there must be a profit, which
can be demonstrated, at the low rate.
And this Is a hurdle which the rail-
roads have not been able to take.
Especially as the intermediate towns
from their chambers of commerce, and
bear down on their congressman to
get into the picture and do some
thing. As Youngstown probably would
in the Ease cited.
But there is a strong disposition on
the part of the administration to do
something for the railroads, compli-
Gated by the fact that it is very diff
cult to figure out what to do. It Is
that desire which makes bus and
truck regulations probable.
New Trade Treaties
Trade treaties with Sweden. the
Netherlands, Switzerland, and Spain
are almost ready. This is the answer
to the erroneous statement that the
publication Of the. sensational George
N. Peek report proved President
Roosevelt was now siding with him in
his row with Secretary Of State Cor
dell Hull. p"
As a matter of fact, on the very
date on which the Peek report was
made public the President passed on
some details with respect to the pro:
posed treaty with Sweden, indicating
his general approval of the Hull policy.
Whereas, when asked for comment
by newspaper men a few days before
the Peek report-in their hands for
release -later-was printed. the Presi-
dent smiled it off, saying that not e
the author could vouch for. all the
figures!
American match interests have been
terribly concerned over this Swedish
treaty. Again Japan, the chief tar
get Of the protesting textile interests,
agures. True, 1t is the general impress
sion that Japanese matches, like jap
anese light bulbs, are not as good as
those made in. this country, but cut
prices spell trouble for better goods,
many a time, as every merchant knows.
to his sorrow.
Now Japan would like nothing bet
ter than for the United States and
Sweden, in their negotiations for the
reciprocal trade treaty, to agree to re.
duce the American duty on matches.
For under the "most favored nation"
clause Japanese matches at once
would get just as much benefit as
Swedish matches.
America Is the promised land of
match manufacturers all over the
world. 1t is virtually the only country
where matches are not either a gov
eminent monopoly or. taxed out of all
eason It Is often said that matches
are free in America. Due to the ad-
~vertising possibilities Of the packages,
this has almost been true, though all
the Indications are that this era may
be drawing to a close, beginning with
a small federal tax on matches In the
last revenue. bin.
Match Market Limited
So rich in revenue is the match in
most foreign countries that there is a
tax on lighters. In fact 1t is sometimes
said that the only public lighter in all
France is the one in the lobby Of the
chamber Of deputies!
Obviously the match market Of the
world Is very sharply limited bv these