Railroads: Rates and RegulationsRipley, William Zebina
History
Railroads: Rates and Regulations
Ripley, William Zebina
Railroads -- Freight -- Rates -- United States; Railroads and state -- United States
Cost _v._ value of service, 166.--Relative merits
of each, 167.-- Charging what the traffic will
bear, 169.--Unduly high and low rates, 171.--Dynamic
force in value of service, 177.--Cost of service in
classification, 179.--Wisconsin paper case, 181.--Cost
and value of service equally important, checking one
another, 184.
Not only must rates of all sorts be delicately adjusted to suit the
immediate exigencies of trade; they must be constantly modified
in order to keep pace with its ever changing conditions. This is
peculiarly true of a rapidly growing country like the United States.
An admirable instance is afforded by the complaint of the Lincoln
Commercial Club before the Interstate Commerce Commission.[119]
Lincoln, Nebraska, lies about fifty-five miles southwest of Omaha.
Originally all its supplies came from the East, as both cities were
for a time outposts of civilization. The coal supply came from Iowa
and Illinois, and the salt from Michigan. On these and most other
commodities the rates to Lincoln were made up of a through rate from
the East to the Missouri river, plus the local rate on to destination.
The city of Lincoln thus paid considerably more than Omaha for all of
its supplies. Gradually conditions have changed; until in 1907 it
appeared that over half the soft coal consumed in Lincoln was brought
from Kansas and Missouri; four-fifths of the lumber from the South and
nearly all the rest from the Pacific coast; glass and salt from the gas
belt and salt beds of Kansas; and a great deal of beet sugar from the
western fields. For a large proportion of these and other supplies,
Lincoln was actually as near or nearer the point of production than
Omaha, and yet the difficulties of effecting an adjustment between
rival carriers had prevented any modification of rates corresponding
to these changes in economic conditions. On every one of these
commodities the rate to Lincoln remained steadily higher than to Omaha,
regardless of the source of supply. Unanimous consent was necessary
for readjustment. So long as any single road refused assent, a general
rate disturbance might be precipitated by any independent action. The
beneficent effect of the exercise of governmental authority, powerful
enough over all interested parties to compel acquiescence, has been
clearly apparent in affording relief.
Public-domain text, read in full here on John Shaqi.
Reviews
Reviews
No reviews yet
Be the first to share your thoughts on this work.
Elsewhere in the archive
Join the Discussion
Join the discussion
Sign in to leave a comment or review.
Sign InorCreate an account