Railroads: Rates and RegulationsRipley, William Zebina
History
Railroads: Rates and Regulations
Ripley, William Zebina
Railroads -- Freight -- Rates -- United States; Railroads and state -- United States
Having stated the theory of these economic wastes, we may now proceed
to consider them as they arise in practice. Concrete illustration of
the effect of disregard of distance naturally falls into two distinct
groups. Of these the first concerns the circuitous carriage of goods;
the second, their transportation for excessive distances. Both alike
involve economic wastes, in some degree perhaps inevitable, but
none the less deserving of evaluation. And both practices, even if
defensible at times, are exposed to constant danger of excess. It will
be convenient also to differentiate sharply the all-rail carriage from
the combined rail and water transportation. For as between railroads
and waterways, the difference in cost of service is so uncertain and
fluctuating that comparisons on the basis of mere distance have little
value.
Recent instances of wasteful and circuitous all-rail transportation are
abundant. A few typical ones will suffice to show how common the evil
is. President Ramsay of the Wabash has testified as to the roundabout
competition with the Pennsylvania Railroad between Philadelphia and
Pittsburg by which sometimes as much as fifty-seven per cent. of
traffic between those two points may be diverted from the direct route.
"They haul freight 700 miles around sometimes to meet a point in
competition 200 miles away."[251] Chicago and New Orleans are 912 miles
apart, and about equally distant--2,500 miles--from San Francisco.
The traffic manager of the Illinois Central states that that company
"engages in San Francisco business directly _via_ New Orleans from the
Chicago territory, and there is a large amount of that business, and we
engage in it right along."[252] Wool from Idaho and Wyoming may move
west 800 miles, to San Francisco; and thence _via_ New Orleans over the
Southern Pacific route to Boston.[253] This case, therefore, represents
a superfluous lateral haul of nearly a thousand miles between two
points 2,500 miles apart. The Canadian Pacific used to take business
for San Francisco, all rail, from points as far south as Tennessee and
Arkansas, diverting it from the direct way _via_ Kansas City.[254]
Public-domain text, read in full here on John Shaqi.
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