The heart of the railroad problem: The history of railway discrimination in the United States, the chief efforts at control and the remedies proposed, with hints from other countriesParsons, Frank
History
The heart of the railroad problem: The history of railway discrimination in the United States, the chief efforts at control and the remedies proposed, with hints from other countries
Parsons, Frank
Railroads -- Freight -- Rates -- United States; Railroads and state -- United States
The Illinois Glass Company at Alton, Ill., is the largest producer of
glass bottles in the United States. In 1895 certain persons in its
interest organized the Illinois Terminal Railroad Company, the principal
business of which is to handle the cars of freight that come to and from
the Glass Works. This terminal company in Alton is allowed by the
railroads a division of rates amounting to 25 percent of the Chicago
rate, and 15 percent of the rates to the Missouri River and to Eastern
destinations, or $8 to $13 per car. This is the testimony of the Glass
Works manager, but the Commission finds that as much as $17.10 has been
paid the Terminal Company on a car shipped from Alton to Kansas City, an
amount that is nearly double the 15 percent above mentioned. This $8 and
$13 or $17 is a pretty heavy payment for switching a car, a service
which the Terminal Company renders for $1.50 a car when the amount is to
be paid by the Glass Works.[257]
The St. Louis Preserving Company at Granite City, Ill., also gets large
rebates in the form of divisions of rates with a toy railroad the
company controls.[258]
Rate divisions have also been made by the railroads with boat lines[259]
belonging to or in league with large shippers, with “tap roads”
belonging to lumber companies,[260] etc., and this method of securing a
practical rebate is being rapidly adopted by large concerns all over the
country. A division of rates with a private line is not necessarily
unfair but if there is a desire to give an unfair advantage, this system
affords a cloak for it.
CHAPTER XXVI.
PRIVATE-CAR ABUSES.
Some of the worst discriminations now prevailing are connected with the
private-car system.
The private car originated in the need for special equipment for
particular purposes. It was clear that the transportation of live-stock,
fruit, vegetables, and other perishable products might be facilitated by
the use of special cars. When the inventors of improved stock cars and
refrigerator cars went to the railroad managers, they were informed that
the railroads had no money with which to make experiments in such lines,
but if cars that would do the work proposed were constructed the
railroads would be glad to hire them for a fair rental. So the cars were
built by private companies and used by the railroads on a mileage basis.
The fact that such special cars are needed in different parts of the
country at different seasons, their use in any large numbers being
confined on some roads to a few weeks in each year,[261] makes the local
ownership of such cars by the several railroads, less convenient and
economical than their ownership by car companies able to distribute the
cars to advantage throughout the country so that each section may have
the cars it needs, at the proper time, without unnecessary duplications
of equipment.[262]
Public-domain text, read in full here on John Shaqi.
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