Railroads: Rates and RegulationsRipley, William Zebina
History
Railroads: Rates and Regulations
Ripley, William Zebina
Railroads -- Freight -- Rates -- United States; Railroads and state -- United States
The foregoing description of the development of a mileage tariff is
applicable to only a part of the traffic. A very large volume of
tonnage,--said to be not less than seventy-five per cent. in America,
sixty-three per cent. in Prussia and fifty per cent. in the United
Kingdom,--moves under special rates made in quite another way in
response to the exigencies of commercial competition. The making of
these freight rates in practice is an extremely complicated matter.
No single road is independent of rates made by its rivals--rates
applicable not only to competing commodities and markets, but also as
affected by apparently the most remote and disconnected contingencies.
Thus railway rates, as has well been said, are not a set of independent
threads; they form a fabric. They are so interwoven everywhere that if
one thread be shortened, it will cause a kink in the fabric that may
run almost anywhere. In order to understand this it will be necessary
to describe somewhat in detail the nature of competition as applied
to transportation; and then to show by a few concrete illustrations,
the various factors which actively enter into the determination of
specific rates. Laymen and legislators do not sufficiently appreciate
the extremely delicate nature of the work. Much discussion relative
to railway competition seems to be based upon the assumption that it
consists in the main of the competition of railway lines more or less
parallel or else operating under substantially like conditions. As a
matter of fact competition in transportation is to a large degree far
more complex.
Public-domain text, read in full here on John Shaqi.
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