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 long and short haul clause is still broken by the railroads as well
as by the Supreme Court, especially in the West and in the South, where
the basing-point system causes such grievous discriminations. For
example, with a rate of 48 cents from New York to Atlanta and a local
rate of 38 cents from Atlanta to Suwanee, the rate from New York to
Suwanee is 86 cents, although Suwanee is 31 miles nearer New York than
Atlanta. This system is not confined to places that have water
competition. A considerable number of towns on the Southern Railway and
on the Louisville and Nashville have been made basing-points, though
they have no water competition.[301]
Jacksonville is the main basing-point in Florida, and rates to other
destinations are the rate of Jacksonville plus the local rate from
Jacksonville to destination, even though the destination is nearer the
point of shipment than Jacksonville.[302]
From New Orleans to the “Virginia Cities,” Richmond, Lynchburg, and
Norfolk, is about 800 miles. Charlotte, at the southern border of North
Carolina, is about half way. Yet the rates to Charlotte on a number of
articles are double the rates to the Virginia cities, twice the
distance. The Southern Railway and the Seaboard Air Line reach the city,
but there is no competition. Water competition must be met in Virginia,
but if the Virginia ton-mile rate will pay a profit, is not the fourfold
ton-mile rate to Charlotte an exorbitant charge?[303]
Danville is an excellent example of the evils of place discrimination.
Prior to 1886 Danville enjoyed equal freight rates with Lynchburg and
Richmond through the competition of the Virginia Midland Railroad and
the Southern Railway, but in that year the Southern road (then known as
the Richmond and Danville) bought the Virginia Midland and deprived
Danville of its equal rates. In 1890 Danville subscribed $100,000
towards the construction of another competing road, which was built, but
after a few years it too was purchased by the Southern Railway, and the
rates were made strongly adverse to Danville. The matter went to the
Commission and the courts, but the city has not been able to carry on
the litigation with the roads.[304]
Public-domain text, read in full here on John Shaqi.
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