Railroads: Rates and RegulationsRipley, William Zebina
History
Railroads: Rates and Regulations
Ripley, William Zebina
Railroads -- Freight -- Rates -- United States; Railroads and state -- United States
fixed after a long process of compromise among conflicting interests.
Another point of special interest is that these rates are adjusted on
the basis strictly of the long and short haul principle, namely, that
all intermediate points enjoy a somewhat lower rate than the terminal
points, although the percentage may not be exactly upon a mileage
basis. Consideration of the distribution of these percentages points
to many apparent inequalities in the adjustment; but, as a matter of
fact, it will be found that the existence of competing routes, of water
transportation or of other factors, offers a partial explanation in
most instances.
[Illustration]
Such being the general character of this comprehensive trunk line
system, the relation of it to the tariffs described heretofore is not
difficult to demonstrate. Each separate railway having developed a
well-ordered rate schedule, they have all met and agreed upon a unified
scheme; which as far as possible harmonizes all conflicting interests.
The gradation of rates rising with increasing distance from New York
on each separate road, is adjusted to the corresponding gradation of
rates of its neighbors on either side. The result is a series of rate
zones, lying more or less concentrically about the terminal point.
These zones are highly irregular in width and area, but possess one
feature in common. Each remoter zone is one stage higher in rates than
its predecessor. This relationship is indicated by the cross section
diagram herewith. This cross section, of course, differs from the
diagrams heretofore shown. It is purely geographical, being taken, not
along one single railway but as the crow flies--straight across the
whole trunk line territory. But in order to appreciate the significance
of this elaborate scheme, one should imagine a whole series of such
progressively rising rates, radiating out along the different lines
of railway. Connecting the corresponding levels or stages upon each
one with those of its neighbors, the concentric zones are immediately
outlined. The advantage of such a broad scheme is that it generalizes
the single line tariff; taking into view every place, no matter how
small and irrespective of its location whether upon a through line or
merely a local transverse one. Every town, no matter how insignificant,
is assigned a place in a logically evolved plan. Such would seem to
be the ideal of rate construction, toward which all traffic managers
should strive.
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