Monopolies -- United States; Railroads and state -- United States
Whether these ends have been achieved is a matter of doubt. It is
scarcely to be hoped that the people will ever be reimbursed for the
vast extent of lands, and large amount of bonds, which have been so
recklessly lavished upon so many railroad companies. When the
proposition to grant lands to railroad companies was brought before
congress, the right to donate them to private corporations was not
admitted; the right of the states to have control of the lands was not
questioned. Recognizing this latter right, the lands were granted to the
states for the purpose of aiding in the construction of certain roads
within their borders. It was not until 1862 that congress came to the
front, created private railroad corporations, and endowed them with
lands and money. Nor did these corporations commence their wholesale
raid upon the public treasury until after congress went into the
business of creating railroad companies. Is it true that the country has
been benefited in proportion to the grants made? Are the people richer
because of these grants? Has the country, as a general rule, been more
rapidly settled and improved by this railroad legislation? We are aware
that the idea is commonly entertained that the people receive an
equivalent for these railroad grants in the increased facilities for
travel and transportation of freights. Were it true that the roads
receiving grants of land were more speedily constructed, or that
transportation over them was less expensive, then we would admit that
the benefits derived would in some degree be an equivalent for the aid
afforded them. To ascertain the facts let us see how this legislation
has affected the west, taking Iowa and Kansas as illustrations.
In the first place, for every acre of land given to railroads in these
states the people have paid $1.25; inasmuch as they are charged $2.50
for the reserved alternate sections. Taking the land granted in Iowa,
the amount charged to the people of this state is $9,009,841, or, taking
the grants already certified to, the people are charged with $4,387,303.
This sum, amounting to about $4.00 per head, has been taken from the
people of Iowa and given to railroad companies, and must be charged
against the benefits received. The construction of about eleven hundred
miles of railroad in Iowa was aided by land grants. The cost, at $30,000
per mile, would be less than $33,000,000. The amount the people are
obliged to pay into the public treasury for the _reserved sections_, in
making up the account should be charged to the land grant roads, as also
the increased price they are compelled to pay the companies for the
donated lands, which range from $5.00 to $50.00 per acre; and this, too,
of lands that under the general laws they could have entered at $1.25
per acre.
Public-domain text, read in full here on John Shaqi.
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