“In other countries, the rates are reduced with the growth of
business, and are never raised. In this country, they are reduced by
competition, followed by consolidation of the competing companies,
and subsequent increase of rates, without regard to the growth of
the business.”
The rates are unquestionably often reduced by competition, sometimes
below the cost of doing the business, and this will always be the case
as long as men will listen to the plausible schemes of speculative
enthusiasts, and invest their money in new lines in the hope of
realizing profits which are never earned. The assertion, however, that
consolidation is followed by an increase of rates, without regard to the
growth of the business, is not warranted by the facts.
ERRONEOUS ASSERTION THAT A LARGE PROPORTION OF THE OFFICES ARE AT
RAILROAD STATIONS.