is returned tenfold in the intense activity of men, in multiplied interest, broadened intelligence, new inventions, new industries, increased trade, increased consumption, cheapened processes. This is what active rivalry between our railroads has brought us. The future holds out equal promises, but conditioned upon our allowing the capital invested in railroads to manage its own affairs in its own way, conformably, as heretofore, to the greatest good to the greatest number.

The relatively small profits that carriers realize on competitive traffic (discriminating business, socalled), is thus measurably offset by its stimulating effect. The smallness of these profits is explained by the fact that they must be shared with the shipper. Mutuality of interest is present here, as it is everywhere else. Its operation is as unchangeable as cause and effect. While the fruits of competition are wholesome, its processes are curious, oftentimes apparently absurd.*

Wise saws and instances, actual and hypothetical,

* Thus, Mr. Hudson thinks it extremely ridiculous that iron should be shipped from Pittsburgh to New York, to be there re-shipped through Pittsburgh to points in Texas, the object in shipping to New York being to get the benefit of the competitive rate by water from there to the Texas coast. Just as if the shipper in Pittsburgh could expect to get the benefit of the New York rate unless he is on the ground! Can sophistry or legislation put Pittsburgh on the same footing with New York, so far as the advantages that the latter enjoys from transportation by water along the coast are concerned? Manifestly not. The advantage is a natural, indisputable, inalienable one, and one that can not be corrected by extra neous action without endangering the whole commercial ediûce.

have not been wanting to demonstrate how oppressive and unjust railroads are. They are, however, generally fallacious. The methods of railroads, if not interfered with, are wise, far-seeing, and such as to build up the internal commerce of a country. Instances of venal, arbitrary, and foolish acts upon the part of particular men prove nothing. We might, with equal wisdom, condemn civil liberty because public servants are sometimes venal.*

An effective means of crippling railroads is to deny them power to protect their interests and the interests of those who look to them for transportation. The author quoted above would not permit them to do business, unless the rate they received therefor was uniform in every instance. Thus, industries (among them farming remote from market), that could not afford to pay the highest rate would die out. The carrier now keeps them alive by assuming a portion of their burdens. Millions of industries are thus carried on. It is, however, discrimination. That baleful word! That scarecrow of theorists and knaves!

Where a producer can not pay the maximum rate, the carrier aids him if he can. The effect is to stimulate competitive markets; to cheapen the cost of the necessaries of life. Countries are thus built up and enriched. Each industry pays what it can, without reference to what other industries pay.

*Moreover, is it probable that the servants of the government would be more honest, more impartial, more efficient than railway managers are? Nothing in the history of the world warrants such belief.

Nor is it a valid objection to a special rate that it is not generally known; that it is secured by a particular merchant. The fault is not the carrier's, and if, by aiding his customer, he creates a new industry, both he and the community are benefited. Railways can not make men equal. The shrewd, experienced, and energetic business man must not be handicapped because his dull and plodding brother possesses neither ingenuity nor foresight. Nor can his methods justly be made common property, to be heralded broadcast for the benefit of others less capable. I do not consider worthy of notice the statements and innuendoes that carriers have been in collusion with shippers in connection with the use of special rates. There undoubtedly have been instances of that character, but they are unworthy of notice, except to brand as dishonest those who have been guilty. To change our system of commercial practice, because of such instances, is as foolish as to deprecate rain, because the crops of individuals here and there have been ruined thereby. Trade of every kind abounds in special instances. It is creative. It is built up of wise discriminations. Railways are not an exception. Uniformity, here as elsewhere, is the shield of mediocrity, the refuge of the ignorant, stupid, and lazy.

It would be impossible to enumerate the instances that call for the special intervention of carriers. They come into play wherever a mutual benefit may be derived therefrom. The business of railroads is dependent upon the patron being benefited.

Thus it is self-corrective. The occasions of special rates are infinite. Thus a special rate may be given by a railroad in consideration of the shipper forwarding nothing by water; of giving it his whole business. Such an arrangement is natural and legitimate; of general utility. It has been instanced as oppressive. It is directly the reverse. It adds to the business and the profits of the carrier, and incidentally redounds to the benefit of other patrons. It is also sometimes expedient to reduce rates, in order to move a crop, or the traffic of a place or district, at a particular time, just as a prudent mer. chant reduces the price of his goods for a few days to clear his shelves. It is impossible to enumerate the instances that call for special intervention. They will occur to the reader. They are as countless as the incidents of trade. The enemies of railroads refer to them to strengthen their case. They, however, prove nothing. If attentively examined, they will be found to be based on good business usage, and to be, on the whole, beneficial. It does not strengthen the arguments of unfriendly critics, that instances are not wanting where railway managers have been ignorant, dishonest, and foolish; where they have made a dishonest use of special rates. The acts of railroad managers, as a whole, have been wise and salutary, in harmony with those about them, answering the wants of the country, fostering and extending its trade.

The making of a low rate never has the effect to raise another rate. Each is independent and co-existent; a unit of the service. The act of rais

ing or lowering is the result of cause; of commercial necessity, not of chance or caprice. A rate can not be raised without cause any more than we can break a link in a chain without ruining its strength.

Public opinion has never made a rate either higher or lower, any more than it has changed the price of potatoes. The reason is because it is based on natural laws. Many traffic managers may, it is possible, believe that they are potent in such matters. But this only shows how ignorant a man may be, and still perform a duty creditably. Fublic opinion is useful in enlightening the minds of such men; but to assume that it attracts or diverts trade, or lightens its physical burdens, is absurd.

Wherever commerce is remunerative and men are fres, it will be carried on. When greatly extended, it requires the coöperation of many, among others, carriers. This means a division of the profits. Each gets his share. The division is the result of compromise mutual adjustment. It is the duty of the government to protect all the parties in interest. To except the carrier is to cripple his usefulness. If left free, he will perform his part; otherwise not.

It is a great mistake to suppose the country has been benefited, or will be benefited, by laws restricting the freedom of railways. The people may think so, just as they used to think the burning of our grandmothers at Salem benefited them. The task of disabusing their minds from such delusions. is a laborious and thankless one. As soon may we