Monopolies -- United States; Railroads and state -- United States
In treating of these different subjects, it will be our design to cite
and quote such acts of congress, of the state legislatures, and
decisions of the courts as will sustain the views presented, in order
that the reader may fully understand how these giant monopolies are in
fact aided and supported by the government; and we shall try to
demonstrate that the only way to arrest and correct these evils is by
united and persistent action on the part of the industrial and farming
communities, and that the remedy for all improper legislation for, and
governmental aid to, these monopolies is in the hands and under the
control of the people.
CHAPTER I.
A PRELIMINARY SURVEY.
Nothing in this country has contributed so much to the subversion of our
republican institutions as Land Grants made by congress to railroad
corporations, and congressional legislation in their favor. The policy
has opened a wide field for reckless speculation and corrupt
legislation. It has reversed the old rule, that "the people are
sovereign," and has given to "the favored few" the absolute control of
the nation. The reckless giving of lands to railroad corporations, by
congress, is without excuse, or even apology. When grants were first
made to states, it was pretended that railroads could not be built
without this aid. Subsequent developments exploded this idea. Take Iowa
as an example: In 1856 four leading railroads crossing the state from
east to west, received grants of lands sufficient to pay at least
one-half of the entire cost of their construction across the state, yet
they were not built until long years after the grants were made, nor
were they constructed as rapidly as roads built exclusively by private
enterprise and private capital. The effect of the grants was to retard
the settlement and development of the wealth and resources of the state,
by demanding from those who wished to settle upon the lands so granted,
an extortionate, or at least a greatly appreciated price therefor. It
does not require a great stretch of the imagination to arrive at the
conclusion that but for these grants the population and wealth of Iowa
(the taxable wealth) would be quite one-fourth greater now. The grant of
lands to certain railroad companies in Iowa reach eight thousand acres
per mile; this, at $1.25 per acre, amounts to $10,000. per mile; much
more than one-half of the actual entire cost of their construction. Yet,
as a matter-of-fact, some, if not all, of them became insolvent, and
either before, or soon after their completion, their roads were sold to
other parties--the original companies becoming bankrupt. But while the
companies became bankrupt, the officers and few stockholders who
controlled the corporation retired with immense wealth. These are the
men who, at the inception of the land grant system of building
railroads, inaugurated the theory which has since been practiced, that
all lands thus granted were to be treated as donations to the men who
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