A large part of the commerce of the United States today does concern
more than a single state. The great railroads traverse several states,
sometimes a dozen or more of them. Goods sent from New York to Los
Angeles pass through ten or twelve states on their journey. Even street
car lines sometimes cross the state boundaries. To the trader a state
boundary means nothing; it is only a mark on the map. Trade moves
wherever the chance of profit appears. It pays no attention to political
divisions within the country.
[Sidenote: What interstate commerce includes.]
Interstate commerce, then, includes all agencies of trade among the
states: steamships, sailing vessels, railroads, street railways, motor
trucks, telegraphs, telephone systems, oil pipelines, power lines, and
all passengers, goods, messages, or anything else carried by them. All
persons who have to do with such things are engaged in interstate
commerce. But interstate commerce does not include the manufacture of
goods in any state, even though they be intended for sale in other
states. Commerce does not begin until the product is finished and
started on its way. Once started on their way, with a destination in
another state, the goods pass under the supervision of the national
government. Passengers traveling from Chicago to St. Louis, or goods
shipped from one of these cities to the other, or messages exchanged
between them by telegraph, for example, are under the supervision of the
national government from start to finish. Illinois and Missouri have
nothing to do with them.
[Sidenote: Railroads and steamships were at first not regulated.]
=How Interstate Commerce is Regulated.=—For many years after the
constitution was adopted there was no need for the regulation of
interstate commerce because so little of it was carried on. Not until
the era of steamships and railroads did commerce develop to a point
where any strict regulation was necessary. The earliest railroads,
moreover, were short lines constructed and operated wholly within single
states. They were built by corporations under charters granted by the
states. Frequently these charters were given for an indefinite term, and
they placed no limits upon the rates which the railroad might charge for
the transportation of passengers and goods. The chief concern of the
people in those days was to get railroads built. As time went on,
however, the state authorities became more strict in granting charters
for the construction of railroads and, finally, most of them established
commissions to protect passengers and shippers from unreasonable rates.
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