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PAGE TWO
INCREASE FREIGHT RATES
SAYS GOV.-ELECT BROWN
TOOK THIS POSITION IN HIS
SPEECH AT GRAND
LAST NIGHT
TO BENEFIT MASSES
Altto Believes Railroads
Should Double Track
the Trunk Lines of
the State.
In his speech, delivered Friday
evening at )<c 'lran i Opera house,
Governor-elect Joseph M. Brown took
the position that an Increase In rail
road freight rules was proper and
would result in benefit to the masses.
He favors less drastic legislative
regulation of corporate Interests, and
the double-tracking of all main line
railroads tn Georgia.
The governor-elect was greeted by
a large audience. Judge K. 11. Cal
laway introduced him, in a brief, and
eloquent dissertation on the subject
of government, the necessity thore
for, its organize Mot!, and the rdinin
istration of Its affairs.
The following gentlemen occupied
saatb on the tinge: Messrs: C. f’
Pressley, C. I. Montgomery, \V. F.
Eve, R IS Alb n R. H. Brown, W. A
Herman, C. M. Wilkerson, V/. (
Hfiglor, ,7. A. Best, .1 T. Gardner,
Charles Estes, Roy Goodwin and
Oscar Lorr.
After his preliminary remarks, Mr.
Brown spoke In part its follows;
"And, now. my fellow citizens. 1
will touch for a few minutes upon a
subject which deeply concerns every
owner of any kind of property hunt
ed In Georgia. I mean the subject of
taxntlon Taxes are an Incident to
government, or, I may say, a neees
slty of government. Taxes are a
burden. Hence the government which
Is efficiently administered with the
least imposition of this burden, styled
taxation, Is the Ideal government.
There come times when a people, by
reason of unforsnen calamity or er
rors of Judgment, must endure for a
season greater burdens than those
which are their average lot. But the
care of those Into whose hands they
eonflde their interests should he to
so work out the problems of admin
istration, as to reduce the size of
Iheae burdens und make them equal.
In olher words, economy, equality,
and efficiency should be three of the
chief links In the chain of govern
ment.
"In the application of this Idea, we
should lake for our motto, ‘Equal
rights to all, special privileges to
none, gpeelal burdens upon none,’ or
paraphrasing it, ‘See that every
specie* yl property hears it just pro
portion of taxes, and Impose no
special tax upon any.’
In the general plan- of taxation
we must hold In mind that there nit-
11l our state nuturitl persons amt nr
Hllcial persons, or: as the latter are
otherwise called, corporations. The
highest court In our republicans held
thal a corporation la a person, In
law, and as such has equal rights
with natural persons In the owner
ship of property. This being then es
tablished. let un see how the various
proport leg are divided between these
two classes of persons.
"The comptroller general’s report
shows that In 1907 the total valua
tion of properties la Ueorglu was
$(!99,53ti,879. of which $512,140,315
were owned by natural persons and
$ 187.89U.5t14 exclusive of mercantile
corporal lona, by corporations. In
other words, discarding fractions. 711
per cent of the total amount was
owned by c 111 tens in their capacity
ns natural persons and 27 per cent
h.v citizens In their capacity as ar
tificial persons, I.e. corporations.
Therefore as men and women, by con
sent and arlton of law, form them
selves into corporations. Hint they,
may by united action accomplish re
sults which, singly, they are too weak
to secure, we are brought face to face
with the fact that it Is the natural
persons who, after all are helped or
hurt by the hands of government.
And we are faced by this declaration
In the bill of rights in our state con
stitution —’protection of person and
property Is the paramount duty of
government, and shall ho impartial
and complete.’
EMPLOYEES OF
CORPORATIONS.
“I will here add the well-known
fact that the employes of corpora
tions are almost unanimously non
producers of food products, and of
other articles necessary for their
household economy. Therefore they
are dependent upon the farmers for
their food supplies and upon the shop
keeper and other salesmen for their
clothing, their coal, their furniture,
etc. And probably at least seventy
live per cent of them pay rent for the
houses they live In. Let us now see
what proportion of the population of
Georgia is dependent for its dally
food. Its clothing, lodging, etc, uimiu
the wages it receives from those of
the people who constitute, or ow«n
the corporations. Conversely these
figures will Indicate how the pros
perity of the other classes Is en
hanced by the payment of good wages
to these employes, by the owners of
the corporations, and how it Is hurt
when those wages are reduced or
when they cease with the loss of the
lobs. /
“The corporations include the own
ers of the manufacturing enterprises,
the lumber mills, the banks, street
Cgrs, telegraph lines, telephone plants,
gas. electric lighting and power plants
steamboats, railroads, dally newspap
Use it or not, as your doctor says
You could not please us belter than to ask your doctor about
Ayer’s Cherry Pectoral for coughs, colds, croup, bronchitis.
Thousands of families always keep it in the house. The approval
of their physician and the experience of many years have given
them great confidence in this cough medicine.
ers, Incorporated mercantile houses,
and the like.
"I read first the statistics of the
industrial organizations. These statis
tics are found In Bulletin 55, issued
by the Bureau of the Census, covering
the year 1905. The figures for 1900,
if compiled, would no doubt be ap
preciably sreater.
"In 1905, In Georgia, the total num
ber of officers, clerks and wage-earn
ers employed by the industrial cor
porations was 00,077, capital $115,-
852,505, total salaries and wages (ta
bles 1 and 11,) $22,274,744, cost of ma.
terial used $09,253,742, value of prod
ucts $114,970,572. To determine the
number of the members of families
dependent for sustenance upon the
employe, the usual multiple Is 5. But
considering the women and children
(about 13,000), let us make 4 the mul
tiple, and we find 204,308 of our peo
ple dependent upon the wages paid
by the owners of the industrial cor
porations In Georgia for their means
of livelihood. There were 831 of
these corporations, hence if they av
eraged only 20 stockholders (no doubt
an underestimate) to the corporation,
we find 18,020 stockholders, whicii
number, multiplied by 6 shows 93,-
100 to add to the operating force and
Its dependents. In other words, we
have a grand total of 357,408 people
dependent, wholly or In part for their
income in 1905 upon the industrial
corporations of Georgia. The num
ber In 1900 and the first half of 1907
must assuredly have been greater.
"To the foregoing figures, when wo
add the stockholders and employes
(and their families) of all other cor
porations, except the railroads, we
manifestly swell the total to 400,000
people, who must pay the farmers for
food, the storekeepers for clothing,
etc.
“But as the railroad corporations
have been very much under discus
sloti during the last three years, let
us examine them separately. First
we cannot fall to remember that It
was said upon the stump and tn a
portion of the press that five or six
men owned all the main lines In Geor
gia. But the truth Is the stockholders
of the main hue*; alone In Georgia,
Include upwards of 2,000 women, 875
estates of deceased Georgians, with
minor children, 80 such Institutions
ns the Augusta Orphan Asylum, the
Bacon Academy for the blind, Tel
ia ir Hospital for females, the Sa
nnah Needle Women’s Society, Mer
e. University, Emory College, Wes
leyan Female College, etc, besides
thousands of our other fellow citi
zens. These stockholders and their
families und the beneficiaries of the
8o Institutions In question, undoubt
edly number upwards of 30,000 of
the inhabits \s of Georgia who the
farmers must feed and the storekeep
ers clothe, etc.
RAILROAD
EMPLOYEES.
"The employes of Iho railroad cor
porations, however, constitute by far
•he hulk of the number whose weal
|or woe is fixed by the prosperity or
i adversity of this class of the corpora
iloiih. In 1906 there were 20,320 om
| I’loyos In Georgia. If we multiply
| this number by only four, to reach
; Ihe members of their families, we find
105,208 persons. Therefore (he grand
total of the stockholders, employes
and other people in Georgia recelv
! tn K the means of life from the earn
ing of the railroad corporations In
1000 was upwards of 135,000. The
number must have been fully as great
i during the first half of 1907.
| "Adding now, the 135,000 people
| who recelvo the means of sustenance
directly from the operation of the
railroads, to the 400,000 who are sup
ported through wages paid by all the
other corporations, we have upward
of 500,000 of the Inhabitants of Geor
i *la. who are dependent upon the fnr
mers for food products, upon the store
keepers for the other necessities for
the person, while fully two-thirds of
them rent their homes.
’Hence, we see the Intricacy of the
problem confronting our law makers
I In the application of the taxing pow
i ‘T- Hence the delicacy of discern
; ntent which must he exercised to pre
vent the placing of the extra burdens
upon any c.ass of our fellow-citizens.
"1 have thrown these views for
ward because, first, the trend of the
decision* of the court of last resort
have been consistently In the line
that a corporation is a person in law,
and that the rights of the owners to
make a fair return on their Invest
ment will be safeguarded; secondly,
because the events of the past three
years have Indicated that n portion
of our fellow-citlsens, In dealing with
, the corporations, have lost sight of
the fact that thousands of the worthi
est of the people of Georgia, besides
many In other states, are the owners
of these corporations; and, thirdly,
because the experience of the past fif
teen months has proven that a cru
sade, however honestly intended,
against the owners of some of the
corporations, has brought calamity
into the Homes of thousands of the
employes of those and other corpora
tions, and has disastrously affected
the .farntera. the landlords, etc.
through the Inability of the em
ployes of the corporations to purchase
or otherwise pay as of yore.
“But the perfection of Its fransitor
tation facilities is obviously one of
the main elements of our state's future
strength. As a premise In dealing
with this question, let me quote the
; Latin maxims, 'Salus pupull suprenta
est lex,’ 1. e., ’The safety of the people
Is the supreme law.’ All other laws
i must be subordinate to that Th >
protection of life, limb and health !•
I the highest duty of government.
' Let us turn our minds to evolving
i a plan which will reduce the present
Lewis Nixon to Build Airship
''■**- - tfri&S .jagi:^^'
Lewis Nixon, the famous shipbuilder, is preparing
to build a giant airship, which will carry 100 pas
sengers and is expected to he able to cross the Ocean
liability to loss of life and limb and
of property, and the consequent:
misery which follows head end collis
ions and the inconvenience caused by
waiting at meeting points for the ar
rival of delayed trains. How can
these catastrophes and annoyances
be prevented? I answer:
“By the building of double tracks
on the main lines.
“This question was brought forci
bly to tny mind some months ago
when I told a railroad presiderit that
1 hoped the time would soon corn?
when the railroad companies in Geor
gia would double track their main
lines.
" 'Mr. Brown,’ was hiß answer, ‘we
are as anxious to do that as you can
be for us to do it. But here is tho
trouble. If we were to determine to
build the double track, we would have
to go into the money market of this
country or Europe and borrow every
dollar of the necessary money. Then,
uftor it was announced that we would
begin this work, a cry would at once
be raised that we were getting so
much money out of the people by ex
orbitant freight and passengers tolls
that we were going to spend the sur
plus In building the double track and
in making other extensive and expen
sive Improvements which the double
track would necessitate. The result
would be that the railroad commis
sion would redueo our rales without
regarding (he fact that every dollar
of the money we had started to spend
was borrowed. Hence, if we were to
seek loans for building the double
track, the bankers would throw right
at us the statement: ‘if we loan you
thl# money your state authorities
will think you are getting too rich
and will cut down your Income so
that you will not only be unable to
pay our interest, but quite likely a
good share of the principle will go
with It.’
“Unfortunately the agitation in
Georgia during the past three calen
dar years has justified this belief of
the railroad president. But tne cost
ly results of that agitation have caus
ed the people to east aside the apples
of Sodom with which the agitators
were feeding them and to look for
food which would really sustain.
AGITATION
WAS COSTLY.
"Therefore, as it has been conclu
sively proven that the reduction of
$",000,000 In the Interstate rates and
In the rates between the trading cen
ters In the state In 1905 did not reach
the consumers, why should we fur
ther lessen the Income of the owners
of the railroads for the benefit of a
privileged few who comprise mainly
the manufacturers in other states? In
other words, why should we reduce
the local rates in the state? If the
farmers and the people at the local
stations were not allowed to share
the enormous reduction in the other
rates and they were not how can
we expect that they will be allowed
to share the reduction In these? olid
bear in mind another weighty fact,
vli.;
“The local rates now prevailing in
Georgia have boon in effect since
1893, The greatest era of prosperity
Georgia has ever known was during
the prevalence of those rates. Mani
festly therefore they did not handi
cap the business men of the cities or
the farmers.
"Now suppose the rotes should be
reduced and we take the average of
the maximum reduction which could
be named, let us note the results:
"Ten cents per 100 pounds' reduc
tion on hats would figure less than
two-tenths of a cent per hat. 10 cents
per 100 pounds' reduction on shoes
would figure less than one cent per
pair of shoes, 5 cents per 100 pound's
reduction on axes would figure* less
: than a cent per ax, 10 cents per 100
i pound's reduction on any kind of
cloth bought to be made into gar
ments would figure less than a cent
! per garment. 2 cents per 100 pound's
reduction on flour would figure less
than a nickel per month as the sav
ing by a large family. The fore-
I going examples are surely enough to
prove the following fact:
“The consumer could not hope to
THE AUGUSTA HERALD
got any benefit, from a reduction in
the average freight rate.
"Now, reverse the above proposi
tion. If it were guaranteed that a
stop would be put to these reduc
lions In freight rates, the railroads
could afford to employ more laborers
and pay higher wages than are paid
now. A man out of a job is not
able to buy a new hat, shoes, ax,
clothing, etc., even though he could
save, possibly, a few cents by the re
duction In the freight rate. But if
he had a job at from sl.so to $3.50
l»er day, lie could afford to pay the
freight, without any reduction and
still be the gainer. And he could
ihen afford to buy for good prices
from the farmfcr products which he
must no/ do without.
"I therefore lay down this proposi
tion:
The general business men, the
railroad train men and passengers,
and the masses of the people o!
Georgia are more interested in hav
ing the railroad companies to file
nish such tracks, train service and
other facilities as will protect life
and expedite commerce than they
are in further reducing nates for the
benefit of a few. are vitally
interested in putting a stop to freight
blockades. And, with a revival of
business, freight blockades are cer
tain to ensue If there be not a ma
terial increase in the present in
adequate terminal facilities of the
railroads.
"And 1 lay down a further proposi
tion, viz:
“The laboring men of Georgia are
more interested in securing employ
ment at remunerative wages through
the Industrial development which
would attend the double tracking of
the railroads than they are in the
reduction of freight rates.
The farmers of Georgia are more
Interested in finding increased num
hers of consumers of their products
in the thousands of men building the
double tracks of the railroads and In
the Increased numbers of employes
necessitated by the double tracks
than they are in the reduction of
freight rates of which, experience
has proven, they get not a penny.
"If the freight rates be reduced
they cannot buy a hat, a coat, a pair
of shoes, an ax, a plow, a door, a
mule, etc., one cent cheaper than
they can if the rates remain as they
are; whereas, if the railroads put
numbers of men to work, building the
(racks and otherwise operating the
enlarged property the farmers find
new consumers for their poultry, gar
den, dairy and field products They
find more buyers and better prices.
"And I lay down a further proposi
tion, viz:
WHOLESALE
MERCHANTS.
"The wholesale merchants and
their traveling salesmen, so long as
there are no unjust discriminations
in freight rates, are more Interested
in securing quicker service which is
incident to double tracks, and in se
curing the putting on of more trains
which would naturally result from
the amplified facilities and conse
quent increase in population than
they are in the reduction of freight
tales.
"With more trains per day the
traveling salesmen could make more
stations per day, thus covering a
road in less days, and thus reducing
to thv employer the amount speiu
for hoard, etc. The Increased sales
at the additional towns reached per
week would far more than cover the
amount saved by a reduction in the
freight rate.
“Now. what would he the approxi
mate amount of monev spent in
Georgia in double-tracking the rail
roads? There are about 1,650 miles
of main line on the railroads in this
state which would be double-tracked
if the work were Justlfhd. It is safe
to say that tho average cost, count
ing the enlarged terminal facilities,
the excavations, oridges, steel rails,
cross-tics, etc., would be $15,000 per
mile. This would approximate $25,-
(00,000. If it took »he railroads five
years to dc the work the average
amount spent per annum would be
$5,000,000, of which, excepting the
steel rails, by far the greater share
would go to citizens of Georgia. And
no doubt a great portion of the steed
rail would be bought in our sister
state, —Georgia’s daughter—Alabama.
We could safely say that our own
people would get two-thirds of the
$5,000,000. The laborers would get
nearly $2,000,000 of it and would
spend probably nine-tenths of t*e
amount for food, clothing, house rent,
etc. Of course, the farmers would
receive a large portion of this, be
sides being able to sell cross-tle3,
etc. There is not a trade or class
In Genreia which would fail to share
this $5,000,000.
"Ret me add that railroads are an
imperative necessity of our civiliza
tion. Besides rendering all other
properties more valuable, besides giv
ing to many other properties a value
when without it they would be worth
less, they give direct employment,
as 1 have shown, to tens of thou
sands of our people and either di
rectly or indirectly distribute money
into at least half the homes In Geor*
gia. Hence, we are interested in
seeing them furnish the best facili
ties for our convenience. Hence, the
judicious regulation of these great
public utility corporations and the in
terests of their investors should be
the care of statesmen rather than
the experimental victims of doctri
naires or the playthings of tie vici
ously reckless or the ignorant?
"The owners of these corporations
acquire no rights to oppress the other
people or to receive more than a fair
return on their investments: and,
conversely, they do not surrender the
right to equal protection of their capi
tal and to equal Income from it. Geo
graphical location, careful manage
ment, honest administration, djlli
gence and industry entitle them to
like rewards received by the owners
of other corporations and of property
held in severalty, who enjoy like faci
lities and pursue like methods.
"The scales should balance evenly
with the rights of all.
“My judgment, therefore is that,
inasmuch as the enormous reduction
in (he freight rates has failed to
reach the masses of our people—the
consumers—and as the figures show'
that any further reductions In the
freight rates would manifestly fail to
reach them, we should cease chasing
will o’ the wisps and turn our atten
tion to the accomplishment of practi
cal results which will protect the
lives of those of our people who
operate the trains and of those who
travel, promote the convenience of
passengers and shippers of goods and
ensure to the masses a share of the
money expended by the owners of
railroad property as wages and for
supplies. To this end I submit that
the legislature might authorize the
railroad commission to arrange with
the various railroad companies for
double-tracking their main lines upon
terms which would be fair to the pub
lic and to the roads.
“A plan could be worked out which
would protect the people and
lailroad companies that in which the
agitation during the past three years
has made them deficient in the mon
ey markets of the world, viz: A basis
of credit. The sword of Damocles
being withdrawal from over their
earning powers, they could assure
the money holders that their income
on railroad investments in Georgia
was practically guaranteed. I can
not. doubt that the money would then
come.
DOUBLE TRACK
RAILROADS.
“Permit me, in conclusion, to make
this declaration: I wish the railroads
double-tracked primarily for the bet
ter protection of human life. The
life of one engineer or other train
man, or of one passenger, Is worth
more to his family and to the state
than are all the profits saved to cer
tain classes by the reductions in the
freight rates Yea, Georgia, like the
mother of the Gracchi, says of all of
her children, ‘These are my jewels!’
"Again, a collision between two
trains, besides the loss of lives and
limbs, and besides the destruction
in one hour of more values to the
railroad owners than are the savings
FOR YOUR HEALTH’S SAKE
USE A
Gas Heater
"X,
The Gas Light Company
OF AUGUSTA.
in the reductions of freight rates for
months to shippers, is always at
tended by inconvenient and some
times costly delays to travelers, and
to shippers who nave to order new
goods.
"These views I submit to our peo
ple tnat they may be considering
them and conferring with their mem
bers of the genera! assembly as to
whether or not they should be en
acted as a whole or as modified. 1
have np pride of opinion on the sub
ject, but my aim if. to be honest with
the people and to confer frankly with
them upon matters affecting the pro
tection of 'heir lives and property
and the improvement in their powers
to live and prosper.
“We have reached the time where
in we should turn our ears from the
proclamation of the doctrine of dis
trust and denunciation and promul
gate the propaganda of equal rights,
of conservatism and common sense.
Let us regulate the corporations dis
cerningly, fairly and firmly, safe
guarding ever the rights of the peo
ple; but let us not ruin the corpora
tions, or unjustly impair these prop
erties, whether their owners be citi
zens of Georgia or of other states.
Let us not make, where we are cam
paigners, promises which will feel
constrained to ignore when we be
come officers. Let us not ask the
people to accept our naked assertions
when they are crossed by testimony
sworn to in tribunals established by
law. • Let us not assume to be teach
ers on subjects of which events may
prove that we really know but the
rudiments. Let us confer together
freely and amicably in the attempt to
evolve the truth from every proposi
tion which holds within it the wel
fare of our people and the good faith
and honor of our state. In short,
let us prove that we love our fellow
citizens, that we have confidence i.)
their intelligence and integrity, that
we credit them with the same patriot
ism we claim for ourselves, that we
can agree to differ on matters of
Only One **BROMO QUININE,” that Is
r-xres a Cold in One Day, Grip in ’*) Days
“LITTLE LESSONS IN PUBLICITY”-Lesson 10
“A Chain Is No Stronger —
nor is your selling plan stronger than its
weakest part. If your advertising plan is
not the best, you weaken your entire propo
sition.
Have you assured yourself that you are
using the best advertising mediums for
your needs'? Have you found any way of
reaching any desired class, in any specified
territory, large or small, so cheaply or so
quickly as Daily Newspaper advertising of
fers'?
Think it over and ask help from any Daily
Newspaper, any good Advertising Agent, or
write The Six-Point League, Tribune Build
ing, New York City.
Whittle's Epsom Lithia Water
30 GAL. BARREL. or
W. M. WILSON, Soliciting Agent Por Augusta. Ga.
SA’tURDAY, JANUARY 9
judgment without imputing dishones
ty or sinister motives to each other.
Let us unite in the assurance that
capital shall have its fair increment,
that labor shall have fair wtiges, that
each shall have an equal opportunity,
that impartial protection with watch
lui economy siiaii mark the adminis
tration of the laws of Georgia, If we
do this I cannot doubt that prosperity
will again brighten the homes and
hearts of our people.”
PILES CURED IN 6 TO 14 DAYS.
PAZO OINTMENT is guaranteed to
cure any case of Itching, Blind,
Bleeding or Protruding Piles in 6 to
14 days or money refunded. 50c.
CULBERSON’S RESOLUTION
WAS PASSED BY SENATE
WASHINGTON —The senate pass
ed Senator Culberson's resolution in
structing the committee on judiciary
to report whether the president was
authorized to permit an absorption
of the Tennessee Coal and Iron com
pany by the United States Steel cor
poration.
SAVANNAH WOMAN IS
INDIAN CHIEF’S HEIR
Mrs. Margaret A. Walston
Says She is Due Part of
the Estate of Indian
Chief.
SAVANNAH, Ga.—-Mrs. Margaret
A. Walston, of Savannah, is having
her claim to share in the property
which the government is to divide
among the heirs of Chas. Harper, a
Choctow Indian chief, investigated.
Mrs. Walston says she Is one eighth
Indian, the chief having been her
great grandfather. Judge H. D. D.
Twiggs is pushing her claim.
, on cvery
Prom Spring near Knoxville,
Tennessee.
1 It is the strongest, best and most
effective water in America for habit
ual Constipation, Torpid Liver, Kid
ney Trouble; this water can be taken
with perfect confidence as to good
results. Phone orders to The Herald