CHAPTER I.

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The Railroad Question.

THE RAILROAD QUESTION

A HISTORICAL AND PRACTICAL TREATISE ON

RAILROADS, AND REMEDIES FOR THEIR ABUSES

BY

WILLIAM LARRABEE,

LATE GOVERNOR OF IOWA.

_Salus populi suprema lex._

NINTH EDITION.

CHICAGO:

THE SCHULTE PUBLISHING COMPANY.

1898.

Copyright, 1893,

BY

WILLIAM LARRABEE.

PREFACE.

The people of the United States are engaged in the solution of the

railroad problem. The main question to be determined is: Shall the

railroads be owned and operated as public or as private property? Shall

these great arteries of commerce be owned and controlled by a few

persons for their own private use and gain, or shall they be made

highways to be kept under strict government control and to be open for

the use of all for a fixed, equal and reasonable compensation?

In a new and sparsely settled country which is rich in natural resources

there may be no great danger in pursuing a _laissez-faire_ policy in

governmental affairs, but as the population of a commonwealth becomes

denser, the quickened strife for property and the growing complexity of

social and industrial interests make an extension of the functions of

the state absolutely necessary to secure protection to property and

freedom to the individual.

The American people have shown themselves capable of solving any

political question yet presented to them, and the author has no doubt

that with full information upon the subject they will find the proper

solution of the railroad problem. The masses have an honest purpose and

a keen sense of right and wrong. With them a question is not settled

until it is settled right.

It must be conceded that of all the great inventions of modern times

none has contributed as much to the prosperity and happiness of mankind

as the railroad.

Our age is under lasting obligations to Watt and Stephenson and many

other heroes of industry who have aided in bringing the railroad to its

present state of perfection. Their genius is the product of our

civilization, and their legacies should be shared by all the people to

the greatest extent possible. An earnest desire to aid in attaining this

end has prompted this contribution to the literature on the subject.

The author is not an entire novice in railroad affairs. He has had

experience as a shipper and as a railroad promoter, owner and

stockholder, and has even had thrust upon him for a short time the

responsibility of a director, president and manager of a railroad

company. He has, moreover, had every opportunity to familiarize himself

with the various phases of the subject during his more than twenty

years' connection with active legislation.

He came to the young State of Iowa before any railroad had reached the

Mississippi. Engaging early in manufacturing, he suffered all the

inconveniences of pioneer transportation, and his experience instilled

into him liberal opinions concerning railroads and their promoters. He

extended to them from the beginning all the assistance in his power,

making not only private donations to new roads, but advocating also

public aid upon the ground that railroads are public roads.

As a member of the Iowa Senate he introduced and fathered the bill for

the act enabling townships, incorporated towns and cities to vote a five

per cent. tax in aid of railroad construction. He favored always such

legislation as would most encourage the building of railroads, believing

that with an increase of competitive lines the common law and

competition could be relied upon to correct abuses and solve the rate

problem. He has since become convinced of the falsity of this doctrine,

and now realizes the truth of Stephenson's saying that where

combination is possible competition is impossible.

It is the object of this work to show that as long as the railroads are

permitted to be managed as private property and are used by their

managers for speculative purposes or other personal gain, or as long

even as they are used with regard only for the interest of stockholders,

they are not performing their proper functions; and that they will not

serve their real purpose until they become in fact what they are in

theory, highways to be controlled by the government as thoroughly and

effectually as the common road, the turnpike and the ferry, or the

post-office and the custom-house.

This book has been written at such odd hours as the author could snatch

from his time, which is largely occupied with other business. He is

under obligations to many of our ministers and consuls abroad for

statistics and other valuable information concerning foreign railroads,

as well as to a number of personal friends for other assistance,

consisting chiefly in rendering the railroad literature of Europe

accessible to him.

WILLIAM LARRABEE.

_Clermont, Iowa, May, 1893._

CONTENTS.

I. HISTORY OF TRANSPORTATION 17

II. THE HISTORY OF RAILROADS 46

III. HISTORY OF RAILROADS IN THE UNITED STATES 76

IV. MONOPOLY IN TRANSPORTATION 90

V. RAILROAD ABUSES 124

VI. STOCK AND BOND INFLATION 163

VII. COMBINATIONS 189

VIII. RAILROADS IN POLITICS 205

IX. RAILROAD LITERATURE 231

X. RAILROAD LITERATURE--_Continued_ 273

XI. RAILROADS AND RAILROAD LEGISLATION IN IOWA 319

XII. THE INTERSTATE COMMERCE ACT 349

XIII. THE RATE QUESTION 370

XIV. REMEDIES 389

APPENDIX--TABLES AND STATISTICS 459

LIST OF AUTHORS AND WORKS CONSULTED AND QUOTED

ACWORTH, W. M. The Railways of England

ADAMS, C. F., JR. Railroads, Their Origin and Problems

ADAMS, H. C. Public Debts

ADAMS, HENRY History of the United States

ATKINSON, EDWARD The Distribution of Products

BAGEHOT, WALTER The English Constitution

BAKER, C. W. Monopolies and the People

BEACH, CHARLES F., JR. On Private Corporations

BLACKSTONE, W. Commentaries on Laws of England

BOISTED, C. A. The Interference Theory of Government

BOLLES, ALBERT S. Bankers' Magazine

BONHAM, JOHN M. Railway Secrecy and Trusts

BRYCE, JAMES The American Commonwealth

BUCKLE, H. T. History of Civilization of England

CAREY, H. C. Principles of Social Science

" " Unity of Law

CARY, M. View of System of Pennsylvania Internal

Improvements.

CLOUD, D. C. Monopolies and the People

CLEWS, HENRY Twenty-eight Years in Wall Street

COOLEY, THOMAS M. Constitutional Limitations

CONGRESSIONAL RECORD.

COMPILATION OF ENGLISH LAWS UPON RAILWAYS.

DABNEY W. D. The Public Regulation of Railways

DILLON, SIDNEY North American Review

DORN, ALEXANDER Aufgaben der Eisenbahnpolitik

DRAPER, J. W. Intellectual Development of Europe

ENCYCLOPEDIA, AMERICAN.

ENCYCLOPEDIA BRITANNICA.

ENCYCLOPAeDIE (ROeLL'S) DES EISENBAHNWESENS, 1892.

FINDLAY, GEORGE Working and Management of English Railways.

FINK, ALBERT Cost of Railroad Transportation, etc.

FISHER, G. P. Outlines of Universal History

FISK, JOHN American Political Ideas

" " Critical Period of American History

FOREIGN COMMERCE OF AMERICAN REPUBLICS AND COLONIES.

GRAHAM, WM. Socialism Old and New

GIBBON, EDWARD Decline and Fall of the Roman Empire

GREEN, JOHN K. History of English People

GILPIN, WM. The Cosmopolitan Railway

GRINNELL, J. B. Men and Events of Forty Years

GUNTON, GEORGE Wealth and Progress

GUIZOT, M. History of Civilization

HABOUR, THEODOR Geschichte des Eisenbahnwesens

HADLEY, A. T. Railway Transportation

HALL'S LIFE OF PRINCE BISMARCK.

HUDSON, J. T. The Railways and the Republic

JEANS, J. S. Railway Problems

JERVIS, JOHN B. Railway Property

JEVONS, W. S. Methods of Social Reform

KENT, JAMES Commentaries on American Law

KIRKMAN, M. M. Railway Rates and Government Control and other

works.

LECKEY, W. E. H. England in Eighteenth Century

LIEBER, FRANCIS Political Ethics

" " Civil Liberty and Self-Government

" " Miscellaneous Essays

LODGE, H. C. Life of General Washington

MARTINEAU, HARRIET History of England

MCMASTER, J. B. History of People of United States

MACAULAY, T. B. History of England

MOTLEY, J. L. The Dutch Republic

" " The United Netherlands

PAINE, CHARLES The Elements of Railroading

PATTEN, J. H. Natural Resources of the United States

PEFFER, W. A. The Farmer's Side

POOR'S RAILWAY MANUAL.

PORTER, HORACE North American Review

RAWLINSON, GEORGE Seven Great Monarchies

REDFIELD On Law of Railways

RECORDS OF CENTRAL IOWA TRAFFIC ASSOCIATION, 1886-1887.

RECORDS OF ASSOCIATION OF GENERAL FREIGHT AGENTS OF THE WEST.

RECORDS OF JOINT WESTERN CLASSIFICATION COMMITTEES.

REPORTS OF STATE BOARDS OF COMMISSIONERS.

REPORT OF HEPBURN COMMITTEE.

REPORTS OF UNITED STATES CENSUS.

REPORT OF WINDOM COMMITTEE.

REPORT OF BANKERS' ASSOCIATION, 1892.

REPORT OF CULLOM COMMITTEE.

ROEMER, JEAN Origin of English People, etc.

REUBEAUX, F. Der Weltverkehr und seine Mittel

RICHARDSON, D. N. A Girdle Round the Earth

ROGERS, JAMES E. THOROLD Economic Interpretation of History.

ROSCHER, WM. Political Economy

SCHREIBER Die Preussischen Eisenbahnen

SCHURZ, CARL Life of Henry Clay

SMITH, ADAM Wealth of Nations

SPELLING, T. CARL On Private Corporations

SPENCER, HERBERT Synthetic Philosophy

STERN, SIMON. Constitutional History and Political

Development of the United States.

STICKNEY, A. B. The Railroad Problem

STATISTIQUES DES CHEMINS DE FER DE L'EUROPE, 1882.

TAYLOR, HANNIS Origin and Growth of the English Constitution.

THE AMERICAN RAILWAY. Published by Charles Scribner's Sons.

VERSCHOYLE, REV. J. History of Ancient Civilization

VON WEBER, M. M. Privat-, Staats- und Reichs-Bahnen

" " " " Nationalitaet und Eisenbahn Politik

VON DER LEGEN, ALFRED Die Nordamerikanischen Eisenbahnen.

WALKER, ALDACE F. The Forum

WEEDEN, W. B. Economic and Social History of New England.

THE RAILROAD QUESTION.

CHAPTER I.

HISTORY of TRANSPORTATION.

While the prosperity of a country depends largely upon its

productiveness, the importance of proper facilities for the expeditious

transportation and ready exchange of its various products can scarcely

be overrated. The free circulation of commercial commodities is as

essential to the welfare of a people as is the unimpaired circulation of

the blood to the human organism.

The interest taken by man in the improvement of the roads over which he

must travel is one of the chief indications of civilization, and it

might even be said that the condition of the roads of a country shows

the degree of enlightenment which its people have reached. The trackless

though very fertile regions of Central Africa have for thousands of

years remained the seat of savages; but no nation that established a

system of public thoroughfares through its dominion ever failed to make

a distinguished figure in the theater of the world. There are some

authors who go even so far as to call the high roads of commerce the

pioneers of enlightenment and political eminence. It is true that as

roads and canals developed the commerce of Eastern Asia and Europe, the

attention of their people was turned to those objects which distinguish

cultured nations and lead to political consequence among the powers of

the world. The systems of roads and canals which we find among those

ancients who achieved an advanced state of civilization might well put

to shame the roads which disgraced not a few of the European states as

late as the eighteenth century.

Among the early nations of Asia of whose internal affairs we have any

historic knowledge are the Hindoos, the Assyrians and Babylonians, the

Phoenicians, the Persians and the Chinese.

The wealth of India was proverbial long before the Christian era. She

supplied Nineveh and Babylon, and later Greece and Rome, with steel,

zinc, pearls, precious stones, cotton, silk, sugar-cane, ivory, indigo,

pepper, cinnamon, incense and other commodities. If we accept the

testimony of the Vedas, the religious books of the ancient Hindoos, a

high degree of culture must have prevailed on the shores of the Ganges

more than three thousand years ago. Highways were constructed by the

state and connected the interior of the realm with the sea and the

countries to the northeast and northwest. For this purpose forests were

cleared, hills leveled, bridges built and tunnels dug. But the broad

statesmanship of the Hindoo did not pause here. To administer to the

convenience and comfort of the wayfaring public, and thus still more

encourage travel and the exchange of commodities, the state proceeded to

line these public roads with shade trees, to set out mile-stones, and to

establish stations provided with shady seats of repose, and wells at

which humane priests watered the thirsty beasts.

At intervals along these routes were also found commodious and

cleanly-kept inns to give shelter to the traveler at night. Buddha, the

great religious reformer of the Hindoos, commended the roads and

mountain passes of the country to the care of the pious, and the Greek

geographers speak with high praise of the excellence of the public

highways of Hindostan.

Among the Babylonians and Assyrians agriculture, trade and commerce

flourished at an almost equally remote period. The ancient inhabitants

of Mesopotamia cultivated the soil with the aid of dikes and canals, and

were experts in the manufacture of delicate fabrics, as linen, muslin

and silk. To them is attributed the invention, or at least the

perfection, of the cart, and the first use of domestic animals as beasts

of burden. Their cities had well-built and commodious streets, and the

roads which connected them with their dependencies aided to make them

the busy marts of Southeastern Asia.

During the later Babylonian Empire immense lakes were dug for retaining

the water of the Euphrates, whence a net-work of canals distributed it

over the plains to irrigate the land; and quays and breakwaters were

constructed along the Persian Gulf for the encouragement of commerce.

While highways among the Babylonians served the development of

agriculture and the exchange of industrial commodities, they were

constructed chiefly for strategic purposes by the more warlike

Assyrians, whose many wars made a system of good roads a necessity. The

Greek geographer Pausanias was shown a well-kept military road upon

which Memnon was said to have marched with an Assyrian army from Susa to

Troy to rescue King Priam. Traces of this road, called by the natives

"Itaki Atabeck," may be seen to this day.

The Phoenicians, who were the first of the great historic maritime

nations of antiquity, occupied the narrow strip of territory between the

mountains of Northern Palestine and the Mediterranean Sea. From their

situation they learned to rely upon the sea as their principal highway.

They transported to the islands of the Mediterranean as well as the

coast of Northern Africa and Southern Europe heavy cargoes consisting of

the product of their own skill and industry as well as of the manifold

exports of the east. They sailed even beyond the "Pillars of Hercules"

into the Atlantic Ocean and the North Sea. Through their hands "passed

the gold and pearls of the east and the purple of Tyre, slaves, ivory,

lion and panther skins from the interior of Africa, frankincense from

Arabia, the linen of Egypt, the pottery and fine wares of Greece, the

copper of Cyprus, the silver of Spain, tin from England, and iron from

Elba."

But while the Phoenicians for their commercial intercourse with other

nations relied chiefly upon the sea, the great highway of nature, they

neglected by no means road-building at home. They connected their great

cities, Sidon and Tyre, by a coast road, which they extended in time as

far as the Isthmus of Suez. They also established great commercial

routes by which their merchants penetrated the interior of Europe and

Asia. Caravan roads extended south to Arabia and east to Mesopotamia and

Armenia, penetrating the whole Orient as far as India, and even the

frontiers of China. The Phoenicians thus became the traders of

antiquity, Tyre being the link between the east and the west.

The Persian Empire, which under Darius stretched from east to west for a

distance of 3,000 miles and comprised no less than two million square

miles, with a population of seventy or eighty millions, had, with the

exception of the Romans, perhaps the best system of roads known to

ancient history. Indeed, it is doubtful whether without it such a vast

empire, more than half as large as modern Europe, could have been held

together. Each satrap, or prefect of a province, was obliged to make

regular reports to the king, who was also kept informed by spies of what

was taking place in every part of the empire. To aid the administration

of the government, postal communication for the exclusive use of the

king and his trusted servants connected the capital with the distant

provinces. This postal service was, four or five centuries later,

patterned after by the Romans. From Susa to Sardes led a royal road

along which were erected caravansaries at certain intervals. Over this

road, 1,700 miles long, the couriers of the king rode in six or seven

days. Under Darius the roads of the empire were surveyed and distances

marked by means of mile-stones, many of which are still found on the

road which led from Ecbatana to Babylon. These roads crossed the wildest

regions of that great monarchy. They connected the cities of Ionia with

Sardes in Lydia, with Babylon and with the royal city of Susa; they led

from Syria into Mesopotamia, from Ecbatana to Persepolis, from Armenia

into Southern Persia, and thence to Bactria and India.

The Chinese commenced road-building long before the Christian era. They

graded the roadway and then covered the whole with hewn blocks of stone,

carefully jointed and cemented together so that the entire surface

presented a perfectly smooth plane. Such roads, although very costly to

build, are almost indestructible by time. In China, as well as in

several other countries of Asia, the executive power has always charged

itself with both the construction and maintenance of roads and navigable

canals. In the instructions which are given to the governors of the

various provinces these objects, it is said, are constantly commanded to

them, and the judgment which the court forms of the conduct of each is

very much regulated by the attention which he appears to have paid to

this part of his instructions. This solicitude of the sovereign for the

internal thoroughfares is easily accounted for when it is considered

that his revenue arises almost entirely from a land-tax, or rent, which

rises and falls with the increase and decrease of the annual produce of

the land. The greatest interest of the sovereign, his revenue, is

therefore directly connected with the cultivation of the land, with the

extent of its produce and its value. But in order to render that produce

as great and as valuable as possible, it is necessary to procure for it

as extensive a market as possible, and, consequently, to establish the

freest, the easiest and the least expensive communication between all

the different parts of the country, which can be done only by means of

the best roads and the best navigable canals.

In Africa the Egyptians and Carthaginians are the only nations of

antiquity of which we have much historic knowledge. The former kept up a

very active commerce not only with the south, but also with the tribes

of Lydia on the west and with Palestine and the adjoining countries on

the east. To facilitate commerce, they constructed and maintained a

number of excellent highways leading in all directions. One of the most

important among these was the old royal road on the coast of the

Mediterranean Sea, or the "Road of the Philistines" of the Scriptures.

This road crossed the Isthmus of Suez and led through the land of the

Philistines and Samaria to Tyre and Sidon. Another road led, in a

northwesterly direction, from Rameses to Pelusium. This, however,

crossed marshes, lagoons and a whole system of canals, and was used only

by travelers without baggage, while the Pharaohs, accompanied by their

horses, chariots and troops, preferred the former road. A third road

led from Coptos, on the Nile, to Berenice, on the Red Sea. There were

between these two cities ten stations, about twenty-five miles apart

from each other, where travelers might rest with their camels each day,

after traveling all night, to avoid the heat. Still another road led

from the town of Babylon, opposite Memphis, along the east bank of the

Nile, into Nubia. Much of the commerce of Egypt in ancient times, as in

our day, was conducted on the Nile and its canals. The boatman and the

husbandman were, in fact, the founders of the gentle manners of the

people who flourished four thousand years ago in the blessed valley of

the Nile. There is one canal among the many which deserves special

mention. It flowed from the Bitter Lakes into the Red Sea near the city

of Arsinoe. It was first cut by Sesostris before the Trojan times, or,

according to other writers, by the son of Psammitichus, who only began

the work and then died. Darius I. set about to complete it, but gave up

the undertaking when it was nearly finished, influenced by the erroneous

opinion that the level of the Red Sea was higher than Egypt, and that if

the whole of the intervening isthmus were cut through, the country would

be overflowed by the sea. The Ptolemaic kings, however, did cut it

through and placed locks upon the canal.

Carthage was a Phoenician colony. The city was remarkable for its

situation. It was surrounded by a very fertile territory and had a

harbor deep enough for the anchorage of the largest vessels. Two long

piers reached out into the sea, forming a double harbor, the outer for

merchant ships and the inner for the navy. This city early became the

head of a North African empire, and her fleets plied in all navigable

waters known to antiquity. Her navy was the largest in the world, and

in the sea-fight with Regulus comprised three hundred and fifty vessels,

carrying one hundred and fifty thousand men. Though we have but meager

accounts of the internal affairs of Carthage, there can be no doubt that

much attention was given, both at home and in the colonies, to the

construction of highways, which were distinguished for their solidity.

It is said that the Romans learned from the Carthaginians the art of

paving roads.

European history began in Greece, the civilization of whose people

passed to the Romans and from them to the other Aryan nations which have

played an important role in the great historical drama of modern times.

The physical features of the Balkan Peninsula were an important factor

in the formation of the character of its inhabitants. The coast has a

large number of well-protected bays, most of which form good harbors.

Navigation and commerce were greatly stimulated in a country thus

favored by Nature. Nearly all the principal cities of Hellas could be

reached by ships, and the need of internal thoroughfares was but little

felt. Nevertheless, public highways connected all of the larger towns

with the national sanctuaries and oracles, as Olympia, the Isthmus,

Delphi and Dodona. Athens, after the Persian wars the metropolis of

Greece, was by the so-called Long Walls connected with the Piraeus, its

harbor. This highway, protected by high walls built two hundred yards

apart, was over four miles long, and enabled the Athenians, as long as

they held the command of the sea, to bring supplies to their city, even

when it was surrounded by an enemy on the land.

Rome is the connecting link between antiquity and mediaevalism. The great

empire sprang from a single city, whose power and dominion grew until

it comprised every civilized nation living upon the three continents

then known. Under the emperors, the Roman empire extended from the

Atlantic to the Euphrates, a distance of more than three thousand miles,

and from the Danube and the English Channel to the cataracts of the Nile

and the Desert of Sahara. Its population was from eighty to one hundred

and twenty millions. The empire was covered with a net-work of excellent

roads, which stimulated, together with the safety and peace which

followed the civil wars, traffic and intercourse between the different

regions united under the imperial government. More than 50,000 miles of

solidly constructed highways connected the various provinces of this

vast realm. There was one great chain of communication of 4,080 Roman

miles in length from the Wall of Antoninus in the northwest to Rome, and

thence to Jerusalem, a southeastern point of the empire. There were

several thousand miles of road in Italy alone. Rome's highways were

constructed for the purpose of facilitating military movements, but the

benefits which commerce derived from them cannot easily be

overestimated. These military roads were usually laid out in straight

lines from one station to another. Natural obstacles were frequently

passed by means of very extensive works, as excavations, bridges, and,

in some instances, long tunnels. The resources of the Roman Empire were

almost inexhaustible, and no public expenditures were larger than those

made on account of the construction of new roads. The fact that many of

these roads have borne the traffic of almost two thousand years without

material injury is abundant proof of the unsurpassed solidity of their

construction. The Roman engineers always secured a firm bottom, which

was done, when necessary, by ramming the ground with small stones, or

fragments of brick. Upon this foundation was placed a pavement of large

stones, which were firmly set in cement. These stones were sometimes

square, but more frequently irregular. They were, however, always

accurately fitted to each other. Many varieties of stone were used, but

the preference was given to basalt. Where large blocks could not be

conveniently obtained, small stones of hard quality were sometimes

cemented together with lime, forming a kind of concrete, of which masses

extending to a depth of several feet are still in existence. The

strength of the pavements is illustrated by the fact that the substrata

of some have been so completely washed away by water, without disturbing

the surface, that a man may creep under the road from side to side while

carriages pass over the pavement as over a bridge. The roads were

generally raised above the ordinary surface of the ground. They

frequently had two wagon-tracks, which were separated by a raised

foot-path in the center, and blocks of stone at intervals, to enable

travelers to mount on horseback. Furthermore, each mile was marked by a

numbered post, the distance being counted from the gate of the wall of

Servius. The mile-post was at first a roughly hewn stone, which in time

was exchanged for a monument, especially in the vicinity of Rome and

other large cities. The most celebrated road of Italy, which has always

excited the admiration of the student of antiquity, was the Via Appia,

the remains of which are still an object of wonder. It was first built

from Rome to Capua by Appius Claudius Caecus in the fourth century before

Christ, and was afterwards continued as far as Brundisium. It was broad

enough for two carriages to pass each other, and was built of solid

stone. The stones were hewn sharp and smooth, and their corners fitted

into one another without the aid of any connecting material, so that,

according to Procopius, the whole appeared to be one natural stone. Each

side of the street had a high border for foot-passengers, on which were

also placed alternately seats and mile-stones. In spite of its age and

heavy traffic parts of this road are still in a good state of

preservation. After the completion of the Via Appia similar roads were

constructed, so that under the emperors seven great highways started

from Rome, viz.: the Via Appia and Latina to the south; two, Valeria and

Salaria, to the Adriatic; two, Cassia and Aurelia, to the northwest; and

the Via AEmilia, serving for both banks of the Po.

Nor were the provinces by any means neglected. During the last Punic war

a paved road was constructed from Spain through Gaul to the Alps, and

similar roads were afterwards built in every part of Spain and Gaul,

through Illyricum, Macedonia and Thrace, to Constantinople, and along

the Danube to its mouths on the Black Sea. So, likewise, were the

islands of Sardinia, Corsica, Sicily and Great Britain crossed by them.

It has justly been said that the roads of the Roman Empire, whose strong

net-work enlaced the known world, were the architectural glory of its

people. These military roads caused in the various parts of the empire a

wonderful social and commercial revolution. They made it possible for

civilization to penetrate into the most remote retreats and to conquer

their inhabitants more completely than could Caesar at the head of his

legions.

The Romans also had an efficient postal service, which was first

instituted by Augustus and greatly improved by Hadrian. The former, as

Gibbon states in his "Decline and Fall of the Roman Empire," placed

upon all roads leading away from the golden milestone of the Forum, at

short distances, relays of young men to serve as couriers, and later

provided vehicles to hurry information from the provinces. These posts

facilitated communication through all parts of the empire, and while

they were originally established in the interest of the government, they

proved serviceable to individuals as well, for there is no doubt, that,

together with the official dispatches, every courier carried private

letters also.

The expenses of the post were largely defrayed by the cities through

which it passed, these cities being obliged to provide the stations

established within their territories with the necessary stores. At the

principal stations were found inns, where the proprietors were held

responsible for injuries suffered by travelers while in their houses.

The communication of the Roman Empire was scarcely less free and open by

sea than it was by land. Italy has by nature few safe harbors, but the

energy and industry of the Romans corrected the deficiencies of nature

by the construction of several artificial ports.

After the downfall of the Roman Empire its roads were either destroyed

by the people through whose territories they led or by the conquerors,

to render more difficult the approach of an enemy.

Civilization and commerce greatly suffered through the downfall of Rome,

and did not again revive until after the struggles of the Northern

Christian races with the Southern and Eastern nations, which had become

Mohammedan. The sixth and seventh centuries were the darkest in the

history of Europe. Charlemagne, toward the close of the eighth century,

caused many of the old Roman roads to be repaired and new ones to be

constructed. He, as well as several of his immediate successors, made

use of mounted messengers to send imperial mandates from one part of the

realm to the other. The rulers of the succeeding centuries did not

profit, however, by this example, and the roads of the empire again fell

into decay. Moreover, the public safety was greatly impaired by robbers

and feudal knights, whose depredations were so heavy a tax upon commerce

as to greatly discourage it. Trade under these circumstances would have

been entirely destroyed, had it not been for the merchants' unions which

were formed by the larger cities for the protection of their interests.

These organizations maintained the most important thoroughfares, and

even furnished armed escorts to wayfaring merchants. Commerce thus

flourished in, and commercial relations were kept up among, the cities

immediate between Venice and Genoa, as well as the cities on the Rhine

and Danube. Florence, Verona, Milan, Strasbourg, Mayence, Augsburg, Ulm,

Ratisbon, Vienna and Nuremberg were flourishing marts, and through them

flowed the currents of trade between the north and the south. Out of

these commercial unions grew in time the Hanseatic League, which from

the thirteenth to the fifteenth century controlled the commerce of the

northern part of Europe on both the water and the land. The object of

this league, which at the height of its power included eighty-five

cities, was to protect its members against the feudal lords on the land

and against pirates on the sea. Its power extended from Norway to

Belgium and from England to Russia. In all the principal towns on the

highways of commerce the flag of the Hansa floated over its counting

houses. Wherever its influence reached, its members controlled roads,

mines, agriculture and manufactures. It often dictated terms to kings,

and almost succeeded in monopolizing the trade of Europe north of

Italy.

It is characteristic of the social and political condition of this time

that the postal service was not carried on by the state, but was in the

hands of the various municipalities, convents and universities. During

the fifteenth and sixteenth centuries national power and national life

made themselves felt, and with a change in the political system the

system of communication and transportation changed also. Louis XI. of

France took the first step toward making a nation of the French when he

transferred the postal service from the cities and other feudal

authorities to the state. Two or three centuries later, France obtained

a national system of roads and canals. The idea was largely due to

Colbert, the minister of Louis XIV. It was, however, not executed in

detail until the middle of the last century. Many abuses grew up in

connection with it, but on the whole it was probably the soundest and

most efficient part of the French administration. A system of lines of

communication, radiating from Paris, was constructed by skilled

engineers, and placed under the supervision of men of talent, especially

trained for the purpose at the Ecole des Fonts et Chaussees. The whole

system was further improved by Napoleon, and has served as a basis for

the present system of railroad supervision.

The first artificial waterway constructed in France was the Languedoc

Canal, connecting the Bay of Biscay with the Mediterranean. This

gigantic work, designed by Riquet, was commenced in 1666, and completed

in 1681. The canal is 148 miles long and its summit level is 600 feet

above the sea, the works along its line embracing over one hundred locks

and fifty aqueducts. A large number of canals have since been

constructed, and France has at present over 4,000 miles of artificial

waterways, or more than any other country of Europe.

Nowhere else was the same completeness of organization possible. The

regular mail service of Germany dates back to the year of 1516, when

Emperor Maximilian established a postal route between Brussels and

Vienna and made Francis Count of Taxis Imperial Postmaster-General. The

postal service of the empire greatly improved up to the time of the

Thirty Years' War, which completely demoralized it. After the war the

individual states and free cities, usurping imperial prerogatives,

established postal routes of their own and thereby crippled the national

service. The same war also did great damage to the public thoroughfares,

and the commercial and manufacturing interests of the German empire were

until the end of the eighteenth century in a deplorable condition.

Frederick the Great, recognizing the fact that the industrial paralysis

of Germany was owing chiefly to its defective means of communication,

commenced to construct turnpikes and canals in Prussia, and the minor

German princes one by one imitated his example, until the Napoleonic

wars again put an end to internal improvements. The good work was

resumed, however, after the downfall of Napoleon, and in 1830 Germany

was intercrossed by from three to four thousand miles of turnpike.

In the Netherlands canals were constructed as early as the twelfth

century. Being particularly well adapted to the flat country of Holland,

they were rapidly extended until they connected all the cities, towns

and villages of the country, and to a large extent took the place of

roads. The largest canal of Holland is the one which connects the city

of Amsterdam with the North Sea. It was constructed between the years

of 1819 and 1825 at an expense of more than four million dollars. The

city of Amsterdam owes to this canal its present commercial prosperity.

Public roads and the state postal service are of comparatively recent

origin in Great Britain. The first public postal route was established

in 1635, during the reign of Charles I. In 1678 a public stage-coach

route was established between Edinburgh and Glasgow. The distance is

only forty-four miles, but the roads were so bad that, though the coach

was drawn by six able horses, the journey took three days. It was

considered a great improvement when in 1750 it could be completed in

half the time originally required. In 1763 a mail-coach made only

monthly trips between London and Edinburgh, eight long days being

required for the journey, which to-day is made in less than twelve

hours. The number of stage passengers between these two capitals

averaged about twenty-five a month, and rose to fifty on extraordinary

occasions. In those days coaches were very heavy and without springs,

and travelers not unfrequently cut short their journeys for want of

conveniences.

Turnpikes in Great Britain do not even date as far back as

stage-coaches. It is true the first turnpike act was passed as early as

1653, but the system was not extensively adopted until a century later.

Previous to that time the roads of England, such as they were, were

maintained by parish and statute labor. In the latter half of the last

century, under improved methods of construction, turnpike roads

multiplied rapidly. Both roads and vehicles attained, previous to the

advent of the railroads, such a degree of perfection that the

stage-coach made the journey between London and Manchester, 178 miles,

in 19 hours; between London and Liverpool, 203 miles, in less than 21

hours; and between London and Holyhead, 261 miles, in less than 27

hours.

In spite of these improved facilities, the transportation of merchandise

continued to be very expensive. Goods had to be conveyed from town to

town by heavy wagons, and the cost of land-carriage between Manchester

and Liverpool, a distance of thirty miles, was at times as high as forty

shillings per ton.

The various disadvantages of land transportation directed, toward the

middle of the last century, the attention of the British people to the

importance of a system of canals. They realized that these water

highways would open an easier and cheaper communication between distant

parts of the country, thus enabling manufacturers to collect their

materials and fuel from remote districts with less labor and expense,

and to convey their goods to a more distant and more profitable market.

It would also facilitate the conveyance of farm produce to a greater

distance and would thereby benefit both the producer and consumer. The

canal era was formally inaugurated in 1761, when the Duke of Bridgewater

presented to Parliament a petition for a bill to construct the canal

which has since borne his name. The canal was commenced in 1767 and was

completed in 1772. The next forty years were a period of great activity

in canal building, but it was left to private enterprise, with very

little aid from the government. Over a hundred canal acts were passed by

Parliament before the year 1800. The largest canal of the British Isles

is the Caledonian, extending from Inverness to Fort William, a distance

of sixty-three miles. It was commenced in 1803 and completed in 1847,

and cost L1,256,000. Other canals of importance are the Great Canal,

which connects the North Sea with the Atlantic Ocean, and the Grand

Function Canal, which is over one hundred miles long and connects most

of the water-ways of central England with the Thames River. It is

estimated that there were over 2,200 miles of navigable canals in Great

Britain before the introduction of railroads.

Canal-building in Spain dates back to the beginning of the sixteenth

century, when Charles V. built the Imperial Canal of Aragon, which is

over sixty miles long. The political and commercial decline of the

country during the seventeenth and eighteenth centuries, however,

brought the development of her highways to a standstill, and, with the

exception of Turkey, probably no European country has at the present

time more deficient transportation facilities than Spain.

The comparatively high state of civilization which existed in the

Italian cities during the middle ages, their commercial and industrial

thrift and the importance of Rome as the metropolis of the Catholic

Church combined to maintain many of the excellent ancient highways of

Italy. A number of canals were built in Northern Italy as early as the

fifteenth century, and it is claimed by some writers that locks were

first used on the Milanese canals in 1497. But while public

thoroughfares have always been well maintained in Northern Italy and

even as far south as Naples, they were during the past two or three

centuries permitted to greatly deteriorate in the southern part of the

peninsula, to the great detriment of both agriculture and commerce. The

condition of the large Italian islands is still more lamentable, Sicily

and Sardinia being almost entirely devoid of roads. She that was the

granary of ancient Rome to-day scarcely produces enough grain to supply

her own people.

Denmark and the Scandinavian peninsula had a good system of highways

long before the railroad era. Among the many excellent canals of Sweden

may be mentioned the Goeta Canal, which was commenced by Charles XII. in

the early part of the last century, but was not entirely completed until

1832. It is, inclusive of the lakes, 118 miles long, and its

construction cost $3,750,000, three-fifths of which was contributed by

the state. This canal connects the Baltic Sea with Lake Wener, as well

as, through the Goeta-Elf, with the North Sea.

Next to Turkey and Spain, no country of Europe has been as slow to

appreciate the advantages of a system of highways as Russia. At the

beginning of the nineteenth century the vast empire of the Czar had but

a few roads connecting its principal cities, and these were almost

impassable in the spring and fall. Much progress has, however, been made

since then, and at present Russia has over 75,000 miles of wagon-road

and artificial waterway, and 19,000 miles of railroad. A road has been

built through Siberia, extending from the Ural Mountains to the city of

Jakutsk on the Lena and sending out many branch roads north and south.

The development of Russia's resources has kept pace with that of her

system of highways, and the agricultural and mineral products of that

country are in the markets of the world constantly gaining ground in

their competition with the products of Western Europe and America.

Passing now to the Western Hemisphere, we find that in ancient Peru the

Incas built great roads, the remains of which still attest their

magnificence. Probably the most remarkable were the two which extended

from Quito to Cuzco, and thence on toward Chile, one passing over the

great Plateau, the other following the coast, Humboldt, in his "Aspects

of Nature," says of this mountain road: "But what above all things

relieves the severe aspect of the deserts of the Cordilleras are the

remains, as marvelous as unexpected, of a gigantic road, the work of the

Incas. In the pass of the Andes between Mausi and Loja we found on the

plain of Puttal much difficulty in making a way for the mules over a

marshy piece of ground, while for more than a German mile our sight

continually rested on the superb remains of a paved road of the Incas,

twenty feet wide, which we marked resting on its deep foundations, and

paved with well-cut, dark porphyritic stone. This road was wonderful and

does not fall behind the most imposing Roman ways which I have seen in

France, Spain and Italy. By barometrical observation I found that this

colossal work was at an elevation of 12,440 feet." The length of this

road, of which only parts remain, is variously estimated at from 1,500

to 2,000 miles. It was built of stone and was, in some parts at least,

covered with a bituminous cement, which time had made harder than the

stone itself. All the difficulties which a mountainous country presents

to the construction of roads were here overcome. Suspension bridges led

over mountain torrents, stairways cut in the rock made possible the

climbing of steep precipices, and mounds of solid masonry facilitated

the crossing of ravines. Under the rule of the Spaniards the roads of

the Incas went to ruin. In fact, throughout South America but little, if

anything, was done by the mother country to aid transportation.

North America, or at least that part of it which was settled by the

Anglo-Saxon race, fared much better in this respect. The great utility

of good roads was universally recognized even in the colonial times, but

the scarcity of capital, the great extent of territory as compared with

the population, and the want of harmonious action among the various

colonies, delayed extensive road and canal building until after the

establishment of the Union. Mistaken local interests but too often

wrecked well-advanced plans, and what road-building was done during the

colonial times was almost entirely left to individual exertion, without

any direct aid from the government.

The first American turnpike was built in Pennsylvania in 1790. From

there the system extended into New York and Southern New England. Up to

1822 more than six million dollars had been expended in Pennsylvania for

turnpikes, one-third of which sum, or over $1,000 a mile, had been

contributed by the commonwealth.

In 1800 three wagon-roads connected the Atlantic coast with the country

west of the Alleghanies, one leading from Philadelphia to Pittsburgh,

one from the Potomac to the Monongahela, and a third passed through

Virginia to Knoxville, in Tennessee. Much as was done during this period

for the improvement of the roads, stage-coach travel remained for years

comparatively slow. In 1792 Mr. Jefferson, then Secretary of State,

wrote to the Postmaster-General to know if the post, which was then

carried at the rate of fifty miles a day, could not be expedited to one

hundred. Even this latter rate was considered slow on the great

post-roads forty years later. In the year 1800 one general mail-route

was extended from Maine to Georgia, the trip being made in twenty days.

From Philadelphia a line went to Lexington in sixteen and to Nashville

in twenty-two days. The government of the United States, appreciating

the importance, for military purposes, of good roads leading to the

frontiers, commenced the construction of national, or military, roads.

A road was thus built from Baltimore through Cincinnati to St. Louis,

and another from Bangor to Houlton, in Maine. In 1807 Albert Gallatin,

Secretary of the Treasury, advocated the extensive construction of

public roads and canals by the general government. Mr. Gallatin took the

ground that the inconveniences, complaints, and perhaps dangers,

resulting from a vast extent of territory cannot otherwise be radically

removed than by opening speedy and easy communications through all its

parts; that good roads and canals would shorten distances, facilitate

commercial and personal intercourse, and unite by a still more intimate

community of interests the most remote quarters of the United States,

and that no other single operation within the power of the government

could more effectually tend to strengthen and perpetuate that union

which secured external independence, domestic peace and internal

liberty. The principal improvements recommended by Mr. Gallatin were the

following:

1. Canals opening an inland navigation from Massachusetts to North

Carolina.

2. Improvement of the navigation of the four great Atlantic rivers,

including canals parallel to them.

3. Great inland navigation by canals from the North River to Lake

Ontario.

4. Inland navigation from the North River to Lake Champlain.

5. Canal around the Falls and Rapids of Niagara.

6. A great turnpike road from Maine to Georgia, along the whole extent

of the Atlantic sea-coast.

7. Four turnpike roads from the four great Atlantic rivers across the

mountains to the four corresponding Western rivers.

8. Improvement of the roads to Detroit, St. Louis and New Orleans.

Mr. Gallatin also recommended that a sufficient number of local

improvements, consisting either of roads or canals, be undertaken so as

to do substantial justice to all parts of the country. The expenditure

necessary for these improvements was estimated at twenty million

dollars. Local jealousy and State rights prejudice practically defeated

this movement, the Cumberland road, or National Pike, being the only

result of any importance. The failure of the government to provide the

country with adequate roads left the construction of turnpike roads to

private enterprise, and these roads, before the general introduction of

railroads, often yielded much profit to capitalists. Great as were the

conveniences afforded by the turnpike, they were entirely inadequate for

the development of the resources of the interior of the country. The

products of a forest or a mine could not be transported upon them to any

great extent. The crossing of a single water-shed, owing to the

necessity for largely increased motive power, would often materially

decrease the value of the goods to be transported.

These drawbacks of land transportation directed, toward the close of the

last century, the attention of the people of the United States to the

necessity of providing for a system of canals that should bind together

the various parts of their extended country in the interest of commerce.

General Washington was among the first to urge upon his countrymen the

introduction of this great highway of interstate traffic, although but

little was done in this direction until after the War of 1812. The

people of New York had from an early period of the settlement of their

State been impressed with the importance of connecting the Hudson with

the Western lakes. In 1768 the provincial legislature discussed this

subject, but the political agitations of the times and the following

revolutionary struggle arrested further proceedings. After the war the

project was frequently brought before the legislature, but nothing was

done until 1808, when the assembly appointed a committee to investigate

the subject and to solicit the cooperation of the general government, if

the project should be found practicable. The report of the committee

concerning the practicability of the undertaking was in every respect

favorable, and in 1810 the legislature provided for a survey of the

entire route from the Hudson River to Lake Erie. The survey was made,

but, the expected aid from the national government not being

forthcoming, the matter rested until after the war with England. In 1816

a new board of commissioners was appointed, and the following year an

act was passed providing for a system of internal improvements in the

State. On the 4th day of July next the excavation of the Erie Canal was

commenced, and on the 26th of October, 1825, the first boat passed from

Lake Erie to the Hudson. The canal was 378 miles long and four feet

deep. It had a width of 40 feet at the surface and 28 feet on the

bottom, and carried boats of 76 tons burden. Owing to the rapid increase

of trade, the capacity of the canal was found inadequate within ten

years after its opening, and in 1835 measures were taken to enlarge it

to a width of 70 and 56 feet by a depth of seven feet, thus allowing the

passage of boats of 240 tons. The total length of the canal was,

however, subsequently shortened 12-1/2 miles, making its present length

365-1/2 miles. This enlargement was completed in 1862, and cost the

State over $7,000,000, making the total cost of the canal about

$50,000,000. New York has, inclusive of branches, some ten other canals

in operation, among them the Champlain Canal, extending from the head of

Lake Champlain to its junction with the Erie Canal at Waterford; the

Oswego Canal, from Lake Ontario at the city of Oswego to the Erie Canal

at Syracuse; the Black River Canal, from Rome to Lyon Falls; the Cayuga

and Seneca canals, extending from the Erie Canal to the Seneca and

Cayuga lakes. The State has expended for the construction of canals not

less than $70,000,000.

Canal-building in the State of Pennsylvania commenced about the time

that the original Erie Canal was completed in New York. In 1824 the

legislature authorized the appointment of commissioners to explore canal

routes from Philadelphia to Pittsburgh and the West. A year later

surveys were authorized to be made from Philadelphia to Pittsburgh, from

Allegheny to Erie, from Philadelphia to the northern boundary of the

State, and also south to the Potomac River. The construction of the main

lines of communication between the east and the west and the coal fields

in the north was soon commenced. Large loans were repeatedly made, and

the work was vigorously prosecuted. In 1834 Pennsylvania had 589 miles

of State canals, among them the Central Division Canal, 172 miles long,

and the Western Division Canal, 104 miles long. Public opinion strongly

favored an extended system of internal improvements, and it was believed

that these water-ways would soon become a source of revenue to the

State. These expectations might have been realized had the State carried

on enterprises on a less extensive and more economical basis. In 1840

the financial condition of the State had become such that canal-building

had to be abandoned. The amount expended by the State of Pennsylvania

for canals, including the Columbia Railroad, was about $40,000,000,

while the difference between net earnings and interest paid by the State

up to that time is estimated at $30,000,000. In 1857 and 1858 these

works were sold to the Pennsylvania Railroad Company and the Sunbury and

Erie Railway Company for $11,375,000, or about one-sixth of their cost

to the State.

In Ohio the legislature authorized the survey of a canal from Lake Erie

to the Ohio River. In 1825 an act was passed providing for the

construction of the Ohio Canal and a number of feeders. In 1831 the

canal was in operation from Cleveland to Newark, a distance of 176

miles, and the whole system was finished in 1833.

The State of Illinois completed in 1848 the Illinois and Michigan Canal,

connecting Chicago with La Salle on the Illinois River. This canal is

102 miles long, 60 feet wide and six feet deep. The construction by the

general government of the Hennepin Ship Canal, connecting the

Mississippi with Lake Michigan, has long been agitated in the Northwest.

Such a canal would be one of the most important channels of commerce in

the country, and it is to be hoped that this great project will be

completed at no distant day.

We have besides in the United States a large number of canals that were

constructed, and are still operated, by private companies, as the

Delaware and Hudson in New York and Pennsylvania, the Schuylkill, Lehigh

and Union canals in Pennsylvania, the Morris Canal in New Jersey, the

Chesapeake and Ohio and Maryland, etc. A large number of canals, some

public and others private property, have since the construction of

railroads been abandoned. Thus in New York 356 miles of canals, costing

$10,235,000; in Pennsylvania 477 miles, costing $12,745,000; in Ohio 205

miles, costing $3,000,000; in Indiana 379 miles, costing $6,325,000, are

no longer in use. All the canals that were ever built in New England

have likewise been abandoned for commercial purposes.

Nor was Canada slow in realizing the advantages which a system of canals

connecting the great lakes with the Atlantic Ocean promised to give her.

The construction of the Welland and St. Lawrence canals made it possible

for vessels to clear from Chicago direct for Liverpool, and this has to

a considerable extent diverted grain shipments to Montreal, giving the

Canadian dealers a decided advantage in this traffic.

It is a strange fact that, at least in this country, the zenith of the

canal-building era is found in the decade following the invention of the

steam railroad. For many years it was not believed that under ordinary

circumstances the iron horse could ever compete with the canal boat in

rates. The most sagacious business men had unlimited faith in the

destiny of the canal as a prime commercial factor and invested largely

in canal stocks. To many these investments proved a disappointment. The

marvelous improvements in locomotives and other rolling stock, the

unprecedented reductions in the prices of iron and steel, and above all

the fact that in our climate canal carriage is unavailable during five

months of the year, gave the railroads a decided advantage in their

competition with canal transportation. There can be no doubt, however,

that the presence of this competition was one of the chief causes of the

great reduction of railroad rates on through routes. In this respect

alone the canals have accomplished a very important mission. In the

transportation of many of the raw products of the soil and the mine

canals still compete successfully with the railroads, and it is still an

open question whether future inventions may not enable them to regain

lost ground in the carriage of other goods. It would certainly be a

short-sighted policy for our people to discourage the construction of

new canals.

For the improvement of navigable rivers, appropriations have been made

by Congress ever since the establishment of our national government, and

these appropriations now amount to millions of dollars annually. Since

the introduction of railroads the usefulness of these national highways

of commerce has ceased to depend upon the tonnage carried upon them, but

the influence which they exert upon the cost of transportation is so

great that it is not likely that the policy of making annual

appropriations for the improvement of these water ways will be abandoned

by the American people for many years to come.

There has recently been a strong agitation in some portions of the

United States in favor of extending government aid to the Nicaragua Ship

Canal, and there seem to be indeed many arguments in favor of such a

policy. President Harrison said in his annual message to Congress in

December, 1891:

"The annual report of the Maritime Canal Company of

Nicaragua shows that much costly and necessary preparatory

work has been done during the past year in the construction

of shops, railroad tracks and harbor piers and breakwaters,

and that the work of canal construction has made some

progress. I deem it to be a matter of the highest concern to

the United States that this canal, connecting the waters of

the Atlantic and Pacific oceans, and giving to us a short

water communication between our ports upon those two great

seas, should be speedily constructed, and at the smallest

practical limit of cost. The gain in freights to the people

and the direct saving to the government of the United

States in the use of its naval vessels would pay the entire

cost of the work within a short series of years. The report

of the Secretary of the Navy shows the saving in our naval

expenditures which would result. The Senator from Alabama,

Mr. Morgan, in his argument upon this subject before the

Senate of the last session, did not overestimate the

importance of the work when he said that 'The canal is the

most important subject now connected with the commercial

growth and progress of the United States.'"

And in his message of 1892 that:

"It is impossible to overestimate the value from every

standpoint of this great enterprise, and I hope that there

will be time, even in this Congress, to give it an impetus

that will insure the early completion of the canal and

secure to the United States its proper relation to it when

completed."

It is sincerely to be hoped that the people of the United States can be

convinced of the advisability of extending government aid to this

enterprise. It must be admitted that the experience of our government

with the Pacific railroads has created a strong prejudice among the

masses against such subsidies as were granted to those corporations, but

it is probable, with the people on the alert, that Congress would not

again permit great impositions to be practiced against the government.

When the great advantages to be derived by the people of the United

States from the use of this canal and the small outlay required are

considered, it would seem to be a wise policy for our government at once

to take such steps as are necessary to secure the early completion and

the future control of this great international highway.

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