Monopolies -- United States; Railroads and state -- United States
Has the country been more rapidly settled and improved by reason of this
special legislation? The leading idea advanced in favor of grants to
railroad companies has been their necessity in developing the new states
and territories. We are pointed to the new states of Iowa, Minnesota,
Nebraska, Kansas, and Nevada, and the territories of Colorado, Utah, and
Wyoming, and referred to the fact that these states have a population of
2,874,000, and 9,000 miles of railroad; and from this exhibit an
argument is deduced in favor of these grants. The theory is that the
population has followed the roads. Is this theory correct? In 1850 Iowa
had a population of 676,913, and in 1870 a population of 1,191,729. In
1860 there were 655 miles of railroad, about three-fourths of which had
received grants of land. In 1870 the number of miles of railroad had
increased to 2,668. Of this increase not more than one-third was aided
by land grants, private enterprise having constructed at least
two-thirds of it; and the same kind of enterprise is still at work, and
since 1870 has increased the number of miles to 3,250. The land grants
were nearly all made to Iowa in 1856, yet the energetic and rapid
building of roads was not shown until after the close of the war, nor
until the people had advanced beyond the roads, and their necessities
demanded them. Kansas in 1860 had a population of 107,209; In 1870 it
had increased to 364,400. Prior to 1864 it had no railroads. In 1870 it
had 1,501 miles, all of which, save forty miles, was built in four
years. Nearly all of the Kansas roads were aided by grants, and some of
them by subsidy bonds. In 1870 there was one mile of railroad in Kansas
for every 242 inhabitants. To construct these roads in Kansas, counties,
cities, and towns have taxed themselves by vote to the amount of
$4,400,000, or about $9.00 to each inhabitant. This debt must be charged
to the railroad account, and a similarly voted indebtedness in Iowa to
the amount of about $6,000,000. The valuation of property in Iowa in
1860 was $205,166,000, and in 1870 $302,515,000. Thus while the
population of the state had nearly doubled, and the lines of railroad
had more than quadrupled, the valuation had increased less than fifty
per cent, and at least one-half of this increase was in the value of
railroads. Deducting from the increased valuation of property in Kansas
the value of railroads there, and about the same state of facts appears.
The figures in these two states will show, that so far from the
donations of land and money adding to their wealth the reverse is true.
And this position is supported by the exhibit of other states. In
Pennsylvania the population has increased since 1860, 600,000. The
mileage of railroads has nearly doubled in this time, and the valuation
of property has increased from $719,253,000 to $1,318,236,000. In that
state, where no government aid has been voted to railroads, the wealth
Public-domain text, read in full here on John Shaqi.
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