Combination Not Competition Of Railroads

Author : Blewett Lee
Publisher :
ISBN 13 : 9781331722151
Total Pages : 32 pages
Book Rating : 4.7/5 (221 download)

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Download or read book Combination, Not Competition of Railroads (Classic Reprint) written by Blewett Lee and published by . This book was released on 2015-07-18 with total page 32 pages. Available in PDF, EPUB and Kindle. Book excerpt: Excerpt from Combination, Not Competition of Railroads In the course of the taking of evidence before what is generally called the Newlands Committee, appointed by Congress to investigate conditions relating to interstate and foreign commerce, it was very interesting to observe the personality of the different members of the Committee, as indicated by the questions which they asked of the various expert witnesses who were brought before them. The keen intellect of the Senior Senator from Iowa has continually played about the problem, how the revenues of the weak lines can be increased without at the same time increasing those of the strong ones. Assuming that some of the lines are already earning enough, but some are not, how shall the poor lines be made prosperous without increasing the earnings of their strong competitors? Shall the Government guarantee the earnings of the weak lines? If so, how will it ever get its money back? Can the strong lines be made to shoulder the weak ones, so to speak, or dilute their own prosperity by spreading it over the adversity of their weaker brethren? On more than one occasion the Senator has declared this problem to be insoluble. What is to be done? It may be remarked at the outset that the idea that the earnings of the strong lines must be kept down at all events, is far from comforting to people who have invested their money in the railroad business, and most discouraging to those who are invited to invest new money in it. In one of the recent Treasury Decisions, Honorable David A. Gates had occasion to remark that unless a public utility like a railroad company earned eight per cent upon its investment, its stock could not be kept at par - a conclusion which was reached from an examination of many income tax schedules. In an investigation made in connection with the Fifteen Per Cent. Rate Case, the Illinois Central Railroad Company discovered that in the unusually prosperous year ending June 30, 1916, it had in fact received a return on its investment in road and equipment of only 4.3%. About the Publisher Forgotten Books publishes hundreds of thousands of rare and classic books. Find more at www.forgottenbooks.com This book is a reproduction of an important historical work. Forgotten Books uses state-of-the-art technology to digitally reconstruct the work, preserving the original format whilst repairing imperfections present in the aged copy. In rare cases, an imperfection in the original, such as a blemish or missing page, may be replicated in our edition. We do, however, repair the vast majority of imperfections successfully; any imperfections that remain are intentionally left to preserve the state of such historical works.