The Railway Library, 1909: A Collection of Noteworthy Chapters, Addresses, and Papers Relating to Railways, Mostly Published During the Year
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The Railway Library, 1909: A Collection of Noteworthy Chapters, Addresses, and Papers Relating to Railways, Mostly Published During the Year
Railroads -- United States -- Periodicals
Rates which can be considered alone are comparatively few in number.
In the large majority of cases they are interrelated with other
rates, and frequently this interrelation exists as between areas
widely separated. The rates upon iron and steel from mills within 50
to 100 miles of New York, Philadelphia and Baltimore, whose relations
to each other are established by long custom and usage, are based
primarily upon the necessity of preserving a fair comparative charge
between the different shipping points and destinations. Rates upon
coal from central Pennsylvania to tide water have close relations
with the rates upon coal from West Virginia to tide water, competing
as such coal does, in the same markets. The rates upon lumber from
the Michigan markets must bear some relation to the rates on lumber
from Louisiana and Georgia to the same market of distribution,
although separated by hundreds of miles.
The rates upon grain from western farms to eastern points bear
a relation to the other, and upon export grain the rates to the
Atlantic seaboard bear a close relation to the rates to the Gulf.
The rates upon fruit and vegetable traffic from the various shipping
districts, as California on the West and Florida on the South,
must be considered in the making of rates. The structure of rates
between the territory east of the Mississippi and north of the Ohio
River, and the territory east of Pittsburg and Buffalo, including
New England, is closely interrelated; as an example, the rates
between Chicago and New York take a percentage of the Chicago rate
from all points west of Pittsburg and Buffalo. The principle of
the interrelation of rates has frequently been recognized in the
decisions of the Interstate Commerce Commission.
In the interest of the manufacturer there is a very important
relationship between rates upon different products entering into
the manufacture of a given article. In the great steel-producing
districts of the Shenango and Mahoning valleys and Pittsburg for many
years the rates upon raw material to the furnaces for the production
of pig iron have been adjusted upon a basis, so far as possible, of
making the freight cost of assembling the raw materials that enter
into this product the same to each furnace. In the one case the rate
upon coke may be higher and the rate upon ore or limestone lower; in
other cases the reverse. The adjustment of rates upon these different
raw materials is so made that when assembled at the different
furnaces the aggregate cost is relatively the same. This illustrates
the contention that such rates cannot be considered separately, but
must be taken as a whole.
Public-domain text, read in full here on John Shaqi.
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