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Railroads: Rates and Regulations

Chapter 34: FOOTNOTES:
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About This Book

A comprehensive examination of American railroad economics and public regulation, combining empirical evidence with legal and financial analysis. It surveys construction finance, capitalization, securities and market behavior including speculation and stock-watering, and discusses state regulation of security issuance. It develops methods for determining reasonable freight rates through accounting, physical valuation, and case studies of receivership and reorganization. The work also analyzes intercorporate relations and system combinations, regional consolidation patterns, antitrust dissolution, pooling agreements, and the role of governmental authority in shaping transportation policy and pricing practices.

FOOTNOTES:

[585] Exhaustively described in volume II.

[586] Chapter XII, supra, and chap. XVIII, infra.

[587] Journal of Political Economy, VI, 1898, pp. 457-475.

[588] Central Yellow Pine Association, etc., 10 I.C.C. Rep., 505 and 549; 206 U. S., 428. Other cases dating from this time are given in chap. XVI as they reached the Supreme Court.

[589] Cf. data on concentration of railway control in the United States App. VI, Digest of Hearings before Senate (Elkins) Committee on Interstate Commerce, 1905, pp. 1-56.

[590] 12 I.C.C. Rep., 1.

[591] Chapter VI gives details as to these events.

[592] The evidence is in vols. IV and IX. Our final report on the subject is in vol. XIX.

[593] B. H. Meyer, Railway Legislation in the United States, 1903, is best on this period.

[594] Fully discussed in Haines, Restrictive Railroad Legislation, 1905, p. 265 et seq.

[595] Hearings before the Committee on Interstate Commerce, Senate of the United States, Dec. 16, 1904 to May 23, 1905; 5 vols., appendices, digests, etc.; commonly known as the Elkins Committee.

[596] The Chicago Tribune and the Record-Herald effectively exposed the affair. Cf. Colliers Weekly, May 4, 1907, for a good résumé.

[597] Senator La Follette in his Autobiography, American Magazine, June, 1912, p. 185, avers that the president's main insistence at first was upon discriminations, not absolutely unreasonable charges; but the consumer is mainly interested in the latter point. The claim is made that the suggestion of thorough going control came from this personal source. La Follette's three-day speech on April 19-21 was certainly the ablest presentation made of the progressive policy of regulation.

[598] Chapter II, pp. 62 and 80, supra.

[599] Chapter VI, p. 199, supra.

[600] P. 195, supra.

[601] Munsey's Magazine for March, 1912, has a good review of the Congressional battle; with details of the defeat of the Aldrich-Cannon contingent.

[602] The best references on the Hepburn Act are as follows: Dixon, F. H., Quarterly Journal of Economics, XXI, 1906, pp. 22-51; Smalley, H. S., Annals American Academy of Political Science, 1907, pp. 292-309. The course of events is currently well reported in the file of the Railway Age Gazette. Cf. also, Review of Reviews, May and July, 1906; and the magazine references in the Bibliography on Railroads of the Library of Congress.

[603] Compare this with the plans proposed by W. C. Noyes, American Railroad Rates, 1905, p. 255; and A. N. Merritt, Federal Regulation of Railway Rates, 1907, p. 193.

[604] Chapter XIV, p. 468, supra.

[605] Hearings, Senate Committee on Interstate Commerce, 1905, II, pp. 1662-1674. Cf. also Digest, pp. 84-87; and Review of Reviews, May, 1906.

[606] Amendment of Section 15 of the law of 1887; see p. 453, supra.

[607] Professor Dixon in the Quarterly Journal of Economics, XXI, 1906, p. 544, has succinctly reviewed this. Cf. American Political Science Review, IV, 1910, p. 547.

[608] By Amendment of Section 16; see p. 453, supra. The attempt to insert the words "fairly remunerative" in place of "reasonable" so as to invoke new judicial tests is discussed by Smalley, op. cit., 1906, p. 59.

[609] Annals, American Academy of Political Science, March, 1907, p. 302, deals with this point. Also, the able discussion by Professor Smalley, reprinted in our Railway Problems, chapter XXIV.

[610] This procedure has been actually adopted in several cases, Ann. Rep., I.C.C., 1908, 61.

[611] 17 I.C.C. Rep., 317, is a case in point where cotton-oil mills refused to protect an advance in rates.

[612] Cf. 13 Int. Com. Com. Rep., 668; 190 Fed. Rep. 659; and U. S. Commerce Court, 1911, 193 Fed. Rep., 667.

[613] Cf. conditions under the old law; p. 461, supra.

[614] See pp. 195 and 213, supra.

[615] Cf. p. 199, supra.

[616] 200 U. S., 613: 20th Ann. Rep. I.C.C., p. 42.

[617] Cf. 10 I.C.C. Rep., 473 and p. 640; 11 Idem Rep., 538; 13 Idem Rep., p. 70; 19 Idem Rep., 356.

[618] An excellent account of the debates and early litigation is in the Journal of Political Economy, vol. XVII, 1909, pp. 448-460.

[619] Fully described in Quarterly Journal of Economics, vol. XXII, 1908, pp. 364-383. For comparison with foreign countries; ibid., vol. XXIV, 1910, pp. 471-500.

[620] 197 U. S., 536.

[621] Munsey's Magazine, March, 1912, well outlines it.

[622] Cf. Scientific Management in Railroad Operation; Quarterly Journal of Economics, vol. XXV, 1911, pp. 539-562. Our second volume, it is hoped, will afford some idea of this comparative method.

[623] Quarterly Journal of Economics, 1912, p. 536, outlines the new law.

[624] The Meeker case in 1911, concerning the cost of transporting coal to tidewater by the Lehigh Valley, is a good illustration. 21 I.C.C. Rep., 144.

[625] Cf. Bulletin U. S. Bureau of Labor, No. 98, 1912.

[626] Cf. Standardization of Wages of Railroad Trainmen; Quarterly Journal of Economics, XXV, 1910, pp. 139-160.

[627] Munsey's Magazine, March, 1912, p. 7, outlines the attempt in 1908 to defeat this provision by withholding appropriations.

[628] The affirmance of these powers by the Supreme Court in 1912 is described at p. 586, infra.