Evening star., 1943-10-21
Monopoly Prevents
Low Transit Rates,
Wallace Charges
By the Associated Press.

By the Associated Press.
DALLAS, Tex, Oct. 21.-Vice
President Wallace says "the day
of accounting has come" and
destructive practices in trans
portation and suppressive gov
ernmental policies under which
monopoly thrives must now yield
to the needs of the common
man."
Mr.. Wallace charged in an address
to civic and labor leaders last night
that a transportation monopoly has
cheated the public of cheap trans
portation and full industrial de-
Velopment and was seeking still
further power.
Would Restore Competition.
"a clean-cut declaration of legis-
lative policy must insure to the
newer forms of transportation an
opportunity to develop without sup
preston" he said Competition
must be restored"
He said the Interstate Commerce
Commission did not now prescribe
all transportation rates as many be-
lieved
In the name of efficiency and
economy, and under the slogan pre-
serve the enterprise system, it is
proposed that Congress permit the
creation of 'integrated transporta-
ton systems, each Of which would
control and operate all rail. motor,
water and air transportation facili-
ties Throughout large geographic
areas" the Vice President said.
IF the railroads are able to estab-
ish such regional monopolies
they will be in position to hand out
favors or penalties to every commu-
nifty in the United States. ="
Five Specific Charges.
Mr.. Wallace leveled five specific
charges:
Excessive transportation rates
burden agriculture and industry and
trade.
"Noncompetitive rates deprive ag-
riculture and industry OF the benefits
of more efficient and cheaper forms
of transportation.
Discriminatory rates are keeping
the South and the West in a Colo
nial status.
Newer forms of transportation
are being brought under monopoly
control.
'Monopolistic conditions already
present in transportation are fos-
tering monopolies in industry"
The Vice President said the peo-
pie of the entire South and West
'have experienced the effects of ex-
cessive transportation charges-the
high cost of the necessities of life
and the inability to market the
products of their labor"
"Disproportionate and high rates
have limited consumption and have
penalized the farmer for producing
abundantly," he said.
How Rates Are Fixed.
"There is widespread miscon-
ception that the Interstate
Commerce Commission prescribes
each and every rate for public trans
portation This is not the fact. In
reality, the actual transportation
charges, with few exceptions, are
made by private rate bureaus and
conferences of the carriers.
In no year during the past 10
years did the Interstate Commerce
Commission review as many as l
per cent of the tar-s filed with it;
that is, more than SO per cent of
the tariffs filed became effective
without action by the commits
sion sss
Instead of responding to the
recent expose of their cartel meth
ods by the Department of Justice
by conforming to the law of COM
petition which all business must OBJ
serve, the railroads have rushed to
Congress seeking special legislation
to permit them to continue their
illegal private rate-making prac-
tices which have been SO costly to
the entire Nation
He charged that the early prom
ise Of cheap transport ! by high
way and waterway has zen largely
nullifed.
Under the slogan of Equality of
regulation Congress was persuaded
to adopt legislation which placed
waterways and highways under the