The Kennewick courier-reporter and the White Bluffs spokesman. [volume] (Kennewick, Wash.) 1938-1939, 1938-11-17

public good VIII remains TO curse
the carriers that operate over the
steel rails.
So, there is first the need for a
national acceptance Of the good
faith which most of the railroad
arrangements now display. The
public must give credit where ere
dit is due, and the public has a
tremendous responsibility to bear
in connection with this phase.
Next, and without doubt one of
the really important phases. is the
question of continued subsidy, both
direct and indirect, that has been
given by the government to COM
petition of the rail lines, Compel
itors like the bus and the truck and
the automotive industry generally.
There can be no lodging the fact
that this subsidy exists under var
ious guises, and the great motor in
dustry which bred buses and trucks
and private automobiles by the mil
lions stands as a monument, a
marker, showing where that SUBJ
sidy was distributed. The thous-
ands of miles of hard roads, all
year roads, are part Of the SUBJ
sidy that went to competitors OF
the carriers, and who can say that
such an expenditure by government
was not one of the greatest steps
for progress?
OF course, road construction was
necessary. It was vital. The ma
tional policy for good highways can
only be praised. Yet, their very
existence is one Of the reasons why
the railroads income has fallen off,
or, more properly, the normal in
crease in receipts was not realized.
We see, therefore, great monster
Of competition set up with money
from taxpayers pockets. The rail-
roads have long been the most
heavily taxed of any industry,
which is to say they helped to pay
for creation Of competition.
There was the creation Of the in
terstate com m cree commission
some years ago as a unit Of govern
ment for the supervision of the rail
lines. It was, and is still, needed.
But its existence, too, has held down
rail earnings. This has resulted
from the control of rates. No rail-
road is permitted to charge more
than a rate approved by the LEG.
While the competitors were creep
ing forward, under governmental
blessing, the IC.C. was saying to
the rail lines: You fellows obey our
orders, or else"
Subsidies out of taxpayers pock-
cts have gone to build up another
competitor, also. refer to inland
waterways and to coastwise ship
ping. This means of transportation
has value that can hardly be
measured. It is as much a part of
our national economic life as the
highways and the attendant motor
transport. But it exists, and it is
able to operate as competitor Of
the railroads, because of paternal
government that made things easy
and gave a helping hand whenever
it could do so.
Lately, air transportation has
been expanding with remarkable
rapidity. No nation in the world
has such efficient air service, nor
as safe air service, as is to be found
in the United States. It is carry
ing increasing amounts of freight
and express; it is transporting thous
ands upon thousands of passengers.
These passengers are of the type,
generally speaking, willing and able
to pay for the luxury train service
which is profitable when the trains
are filled. These air lines are BEN
efiting from government subsidy in
several ways. The air mail doesn't
begin to pay its way; the govern
ment makes up the difference by
contracts that call for stated pay
ments. And consider the scores OF
great airfields throughout the coun-
tryl The bulk Of them are built at
public expense. True, the air lines
pay for the privileges Of the field,
but does anyone think that the ir
lines could afford to spend $4,000
600 to build such field as that
which serves metropolitan New
Funds for it came largely from
federal government grant. The same
beneficient Uncle Sam is putting
out several millions at the doorstep
of the national capital here to build
a proper airport.
There are other things that could
be taken up and set apart to show
how the government has helped
competitors Of the rail lines in most
practical fashion. Questions Of tax
alton, grade crossing construction
Of an expensive character forced
upon the carriers, requirements for
terminals of luxury-type construc-
ton and so on. I believe it is un-
necessary to recount them. Those
that have been enumerated serve
to show where the trouble is. 1t
does not show the answer, but I
believe it points the way to an ans
wer. The answer, as / have men
toned above, certainly can not be