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fecting corporations, we must be prepared for some sharply contested litigation in the beginning. The railways will insist on their own construction of it; the people upon theirs. But the cool, determined administration of the law in a few test cases settling pivotal points will change the whole aspect of affairs, will bring order out of chaos. The railways will alter their management to conform to the decisions, and the benefits of the law will soon be secured without further strife or opposition. The judicial functions of the commission will cease to be arduous, and will become chiefly supervisory and executory.

Mr. Speaker, I know little of railway management, but I think it is no injustice to suppose that some of the fear and alarm expressed in railway circles concerning this bill is but the exaggerated apprehension with which conservative men always regard any radical change in the method of conducting their business. The prosperity of this country and of railways are interdependent. Any measure that would permanently injure railways, that would cripple their usefulness, would certainly be against public interests. But this legislation has been under consideration many years. All sides have had a hearing. It is no hasty expedient adopted to meet some sudden emergency or popular demand of the hour. It pursues no short-sighted, suicidal policy. And all railways that are sincerely anxious to put their business upon a firm and stable, an honest and enduring basis will share the benefits of this law equally with the public.

It is urged in vindication of these discriminations as to different kinds of traffic that they are the result of custom and that railways are not to blame for the practice. If railways maintain incongruous rates upon dry goods and groceries simply because dealers in the one insist upon a long-established low tariff while transporters of another submit to a relatively exorbitant rate because of long usage, if managers dare not make new classifications because of the responsibility that the consequent strife and contention and business disturbance would place upon them; if this is true-and it is the reasoning of men who ought to know-then in this instance the law will surely be a great benefaction to railways. They will secure the benefit of a reasonable and just standard of classification without being in any degree made answerable for any of the unfortunate consequences that may result from the change. If the enforcement of the provision that all rates must be just and reasonable should necessitate a readjustment of the charges on different kinds of traffic, surely no one could complain nor hold the railways answerable for any temporary business unsettlement

that might occur, because the classification would be made in accordance with express law.

So if discriminations in favor of places are, as is claimed, necessary under existing conditions of competition, and if the provisions of this law, operating as they do upon all railways alike, relieve them from the pressure of that necessity, they will profit accordingly. If the publication of rates, the obligation to give notice of any advance in them, together with the restraint of the long and the short-haul clause, operate to make their business certain and stable, railways are as much the gainers as the public. While it may cut off a few sources of large profit, it acts as a preventive of great losses.

And so, sir, while it may be difficult for men of the present school of railway management to adapt themselves to the new conditions; while it may be impossible for them to understand how any other practices than those which have been long established can succeed, still I believe the time will come when even they will recognize the wisdom, from a business standpoint, of the principles of this law; when they will wonder how a management ever flourished which permitted such disproportional rates and acts of favoritism involving so many conflicting ideas.

And, sir, the time will come when it will be a marvel how such abuses ever arose and why they were so long tolerated; when all parties alike will wonder how the just and simple provisions of this initiatory measure ever created such bitter and uncompromising opposition.

It may take years of supplemental legislation to accomplish it, but I believe the time will surely come, and I hope it is not far off, when railways will be limited to their legitimate sphere as common carriers; when they will conduct their business upon the same principles of impartiality toward persons, places, and things as govern the United States mail service; when they will have but one standard of regulating rates, the cost of transportation; when they will seek but one object, perfect service to the public and fair profits upon the great capital actually invested.

CHAPTER XI

FEDERAL CONTROL OVER RAILROADS

[THE CHICAGO STRIKE]

"Coxey's Army"-Coal Strike; Government Protects Railways-Pullman Strike; Government Troops Suppress It-William A. Peffer [Kan.] Introduces in the Senate a Resolution Endorsing Federal Control of Railways, Coal Mines, and Money-Debate: In Favor, Sen. Peffer; Opposed, Gen. Joseph R. Hawley [Ct.], Cushman K. Davis [Minn.], Gen. John B. Gordon [Ga.]-John W. Daniel [Va.] Offers Substitute for Sen. Peffer's Resolution; It Endorses the President's Actions in the Strike-Debate: Sen. Daniel, Joseph M. Carey [Wyo.], Joseph N. Dolph [Ore.], Orville H. Platt [Ct.]; Substitute Is Passed-James B. McCreary [Ky.] Introduces Resolution in the House Endorsing President Cleveland-Debate: Opposed, Lafe Pence [Col.], Richard P. Bland [Mo.], Thomas C. Catchings [Miss.]; It Is Passed.

D

URING the winter of 1893-4, while Congress was in session, "armies of the unemployed" were organized in various parts of the country which proceeded to march toward the national capital, there to demand aid of the Government. Instead of gathering forces as they advanced, as was expected, the armies disintegrated on the way, and only one of them, that headed by "General" Jacob Coxey [0.], a well-to-do manufacturer who had espoused their cause, entered Washington, and this was reduced to 350 men. only result of this demonstration was to afford Congressmen an illustration to enforce their opposing claims, the Democrats declaring that the poverty and lack of employment in the country were due to the McKinley tariff, and the Republicans replying that these were produced by manufacturers limiting production and even shutting down their factories in view of the passage of the Wilson bill.

The

In April, 1894, a general strike of the coal miners

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occurred. In five of the States, extending from Pennsylvania to Illinois, the militia were called out to sup

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press violence. The Government employed Federal marshals and troops to protect the railways, finding justification for such intervention in the claim that the Government's business of carrying the mails was inter

fered with. In May the employees of the Pullman Company of Chicago struck against a reduction of wages, and in their support the American Railway Union, of which Eugene V. Debs was president, ordered a boycott of all Pullman cars (sleeping coaches). As these coaches were used generally by the railroad companies throughout the country the prospect was most alarming. The first effect of the boycott was to interfere seriously with the railway traffic between Chicago (the great point of departure from the East) and the Far West. In this interference rioting took place, occasioning destruction of railway property and even loss of life. Against the protest of John P. Altgeld [Dem.], Governor of Illinois, who declared the State troops were sufficient to restore and maintain order, President Cleveland, on the ground that the mails were interfered with, sent Federal troops to assist the militia, and proclaimed a state of insurrection, first in Illinois, and subsequently in railroad districts further west. By these energetic measures the strike was brought to an end on August 3. The President's action was discussed in Congress, and endorsed by both chambers.

FEDERAL CONTROL OF RAILROADS

SENATE, JULY 10, 1894

On July 10 William A. Peffer [Kan.], a Populist, offered the following resolution in the Senate:

In view of existing social and business conditions and by way of suggesting subjects for remedial legislation

Be it resolved by the Senate of the United StatesFirst. That all public functions ought to be exercised by and through public agencies.

Second. That all railroads employed in interstate commerce ought to be brought into one organization under control and supervision of public officers; that charges for transportation of persons and property ought to be uniform throughout the country; that wages of employees ought to be regulated by law and paid promptly in money.

Third. That all coal beds ought to be owned and worked

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