1. “There would be little or no classification of freights.
Grain, lumber, coal, iron, shoes, dry goods, groceries, drugs and
chemicals, would all have to pay near about the same rate per 100
pounds per mile, and that rate would have to be something like an
average of the present rates charged upon the different classes of
freight. The higher classes of freight would be a good deal lowered,
and the lower classes would be materially raised. The result would
be that cheap and heavy products could be no longer transported over
the distances that are now carried.
2. “The rates on through freight would have to be proportioned very
nearly to the distance hauled. The rate from Chicago to Boston for
instance, would be materially higher, and the rate from Chicago to
Baltimore materially lower than the rates from Chicago to New York.
3. “Roads having the lowest grades, and most favourable alignment
would have lower rates than their competitors, and would monopolise
the business, to the entire exclusion of those lines which traverse
more difficult and expensive territory, and upon which the cost
of transportation was greater. And the tide once turned, the evil
would multiply itself; for the rates would decrease rapidly on the
favoured roads, with the increase of business, and would increase
on the unfortunately located roads, with the decrease in volume of
their freight, until the latter would be left with nothing but their
local business to support them, which would then have to be advanced
to the highest figures possible.”--_Railroad Transportation, by E.
P. Alexander, Vice-President of the Louisville and Nashville Railway
Company._
Some advocates of the theory of mileage rates may concede that
their adoption would entail loss on certain districts and to
some individuals, but deny that the community as a whole would
suffer.[13] Is this a reasonable view? Even if the home trade were
not injured, the result of equal mileage rates must be to increase
the cost of production of many articles manufactured at a distance
from ports of shipment. Would not this make competition with foreign
countries more difficult than it is? And must it not reduce the
demand for labour?
[13] Very recently the fishermen in the North of Scotland have been
asking that the same gross rates shall be charged from Wick to large
towns in the South as are charged from the fishing ports, such as
Grimsby, on the East Coast of England. What would they, or most
consumers of fish, say to equal mileage rates?
Public-domain text, read in full here on John Shaqi.
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