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Ui'i I TUESDAY, FEBRUARY 26,1907. University Speakers in the In ter State Debate at Bismarck Did Good Work. WOULD BE UIMLE TO EI THE On a Business Basis—Federal Govern* ment Conld Not Get Men to Do the Work on Acconut of the Manner In Which Advances Are Made—North west Situation Argued as Point Against Government Ownership. The victory of North Dakota over Montana in the deflate at Bismarck last week has been the cause for much joy at the institution for the last few days. The members of the team, Messrs. Brennan, Husband and Cooper are receiving the congratulations of their many admirers, and there is nothing too good for them. The ad dresses made by the North Dakota de baters are Interesting, and were as follows: Transportation difficulties in the United. States are much greater than in any foreign countries. Our poli tical and business conditions make our railroad problem vastly more difficult than that of any older nation of Eu rope. Therefore, before we entrust to a new system the great railroad Industry upon which the very welfare of the nation depends, we must not only know that evils in the present system is safe and will be successful. It must be more than an alluring the ory. It must be a practical, working remedy for American conditions. It must successfully meet the two great problems of America, a problem of development as well as of service. This is the tremendous burden of proof which the opposition must meet. If they fail to do this they will have failed to establish their case for gov ernment ownership. Are a Factor. Take the conditions In the United States. Under the present system have proposed and the railroads have been a most important factor in our prosperity. Our service compares well with that of any foreign nation. It is true we have evils. No system cotild develop so rapidly and be free from evils. The main cause lies in the fact that until the past year the government has not exercised its pow er of regulation. But all necessary power to regulate resides in the gov ernment, and when that power is exercised we find abuses remedied. The American people are going to see that power exercised. Public opinion is aroused. With Theodore Roosevelt leading the light, backed by men of all parties, the people feel that the railroads can be regulated, that abus es can be remedied. Once exercise the full power of control, back it with the entire strength of our gov ernmen and no corporation, railroad or otherwise, can defy the law. When the meat business or the adulterated food business was exposed did the government attempt ownership? No, it applied the power of regulation and those corporations are now glad to obey the law. My colleague will take up government control in detail and will show how present evils, whether of rates or service, can be remedied, to the end that the American system of private enterprise can be pre served. la Vnsulted* We want no European paternalism. Our system was found to give free dom to the private citizen. It is not adapted to carry on the private citi zen's business. Our administration is unwieldy and full of log rolling and corporation. Thus, government own ership is utterly unsuited to the prin ciples and purposes of American gov ernment. Moreover, aside from the political difficulties of such a step there are grave business dangers. In the coming years must come the great est increase in mileage and equipment we have ever seen. And, already, the railroads employ a million and a half of men. They have fifteen billions of capital. The railroad is the most im portant industry we have, requiring the highest ability and strictest econo my in its management It must be run on business principles alone or unparalleled failure will result. Inability Shown. In the light of these facts, ladies and gentlemen, this is our case against government ownership. Government ownership cannot meet the railroad problem in America because of our condition. First, because of political difficulties and second because of busi ness difficulties. My colleagues will discuss the question in regard to its business side. It is my purpose to deal with it from the political stand point. First, take the machinery of our government. Let' me contrast it with that of Germany's legislation is dictated by her military ruler. In her railroad Improvements, military expediency is the deciding factor. Moreover, Germany is confronted by no problem of building new lines, but merely of maintaining an old estab lished system. How different are con ditions in the United States. Congress would have to handle the problem un der government ownership and con gress is dominated by sectional in fluences. Appropriations must be voted by men from all sections of the HOLLISIER'S Rocky Mountain Tea Nuggets A Buiy MidldM lor Bviy Ptopte, Brian MM Hnlth and Renewed Viftr. A ipeelflo for Oonntlmtlon, Inattention, l,lvei and Kidney troubles. Pimples, Eozems, Impure Blood. Baa Brwth. Slunrlxh Bowel*. HeadMbe ut Baeksehe. Its Roofer Mountain Tea in tab let form. IB cents a bos. Genuine made to HaLLiana DBUO COMPANY, iiadison, WLX QOLDEN NUGGETS FOR SALLOW PEOPLE T4n': country. We have more freedom un der this system but unfortunately, in getting federal Improvements, politic al pull is far more effective than the just needs of any section or any state. We all know the trading and log roll ing of congress. Federal^bulldlngs result from the polltlcan needs of con gressmen instead of from the actual needs of business. River and harbor improvements sometimes go where bulness needs them but more often where the next election needs them. Ninety millions are spent annually in federal improvements. It is estimated that one half thiB entire amount serv es no other purpose than to fix the fences of our shaky legislators. The best men we have in congress who are honest In voting for general legisla tion, when It comes to getting money for their constituents, are compelled to grab It from the public purse. When congress deals out money each section bids for the largest amount. The larg est amount goes to the section having the greatest political power. The country east of the Mississippi holds seventy per cent of our population. Seventy-five per cent of all appropria tions go to that section. Undei' gov ernment ownership the country east of the Mississippi would demand the greatest part of railroad improvement The country west of the Mississippi, with its sparse population would se cure but a fraction of the new mileage which it must have. In our own his tory there is a forceful illustration of the working of this system of appro priations. When the government built federal wagon roads the older settled sections got the appropriations and the new west went without Let the gentlemen theorize to suit themselves, but under government ownership con gress would apportion railroads im provements as other improvements are apportioned among the states. Con gress must vote every dollar expend ed for every mile of new road and every bed of new equipment and sec tional jealousy will shape legislation In this as in all other such matters. Shall we place the future development of the country under such a system? Take an example here.at home, If Burleigh county in the west needed millions to develop her railroads and Cass county in the east held the bal ance of power, would Burleign will ingly place herself under the power of Cass and make her prosperity de pend upon the liberality of a rival? In the next ten years we in North Da kota need five thousand miles of new road. More than will be built in New York, Pennsylvania, Ohio and Illinois combined. Under government owner ship we would have to go to the politi cian of those states for every exten sion of new lines and every increase of equipment. Would you trust our future development to those sltatea who now grab seventy-five per cent of federal Improvements? Give to the east the power to dictate our develop ment compel North Dakota to ask New York for the railroads she needs place western prosperity under the power of eastern politics and you will stunt western development and crip ple every western state. In this vital point government ownership will fail in America. It will not meet our prob lem of develbpment. Corrupted Graft. The opposition have made much of the fact that under private ownership our railrqad service and our public servants are corrupted by graft. Can you think of any step that will mor* completely demoralize our nation? politics than placing the great army of railway employees under govern ment officials? A million and a half of men would be under the power of corrupt politicians. You may talk of civil service, but place railway em ployees under the administration and every railway superintendent will be a politician. Every station agent a party worker, just as every post mast er is at present. Federal employees would be numerous enough to decide every presidential election and they are bound to be used for political pur poses. They would mean so many henchmen for a great federal machine, so much more power for the corrupt official, one more step toward perpet uating graft and debauching our na tional politics. Will Be Bought. We have corruption today because our office holders can be bought. Un der government ownership our office holders can still be bought and they will be bought. They will be dishon est then as they are now and their increased opportunities for graft would make our system infinitely worse than it is today. If our office holders ar» dishonest now, will, rail road operation stagger them with its vast revenues, its fat contracts, its political patronage waiting for the grafter? Under the present system they are corrupted by contract with the single railroad corporation. Un der government ownership they would be bought in contact with every cor poration that now does business with the railroads. With corporations like the steel trust and the American car building company whose capital is many times that of the railroads and who are just as anxious to secure favors. The idea of remedying cor ruption by removing the private rail road is fundamentally wrong. Where the railroad corporation now causes corruption of a dozen corporations wotvld bribe our officials under gov ernment ownership. Is this going to purify our political system? Is this removing the cause of corruption? It is simply increasing its opportunity. Our opponents would say to the cor rupt official, "Thou wicked and un faithful servant, thou hast been un faithful in a few things, therefore be hold, I will make thee ruler over many things enter thou into the joys of unlimited graft" Would Be Failure. Ladies and gentlemen, these great W -. .:• rf '$$Zi 'i'-'-v'-1 ft •is difficulties in our political system would make government ownership a failure In America. Not only would sectional jealousy prevent develop ment where it is most needed but cor ruption, bad as it may be today, would be immeasurably increased. The gentleman of the opposition has pict ured evils of the present system, evils which we will show can be rem edied by government control. He has failed to meet the difficulties in the way of government ownership. And let me again call your attention to the tremendous burden of proof which rests upon the opposition. Unless they meet these difficulties which I have shown and others which my colleague will present they will have failed to establish their case for government ownership. Harry H. Cooper. The first speaker has made plain our policy of private ownership with adequate control. He' has shown the evils that must come with govern ment ownership and operation of our Immense railroad system. Evils com pared with which the transfer of private ownership sink into insignifi cance. It is my purpose to show the utter impracticability of this policy from a business standpoint. The sys tem which we need and must have here in the United States is the sys tem which can best fill the needs o^ a rapidly developing country. We must have the system that Is more progres sive, the system that is run on busi ness principle and will give the best service, quantity and quality consid ered. Government ownership is im practicable here in the United States because it cannot meet these require ments. First, it cannot fill the needs of a rapidly developing country. Not a Reason. The opposition have this evening urged the present inadequacy of rail road service in the northwest as reason for government ownership) but closer analysis shows this to be one of the strongest arguments against such a policy. The apparent inade quacy in the northwest is due to two things, the almost uninterrupted bliz zards of the past month and second, to the wonderful development and un paralleled prosperity of the country. Of the difficulties railway men have had to meet this winter little need be said. We all know that the fight against snow and weather has been an up hill one.' It has exhausted the skill and energy of skilled railroad men. Men whose interest are personal, laborers who are under the eye of capable njanagers. The affirmative propose to put in their places men who get their positions not through effi ciency but by political pull. They pro pose to inaugurate a system where there is no responsibility. A system where the only pocket-book touched is that of the government. New Population. But the important reason for the inadequacy is the wonderful develop ment of the country with a cor responding enormous increase of freight and passenger traffic. More new population has entered the five states from Minnesota to the Pacific than any other part of the country. The wheat yield of these states has Increased In the last five years 100, 000,000 bushels or 100 per cent. Though not a manufacturing district these products have increased twenty five per cent. In short, the added de mand on the Great Northern and Nor thern Pacific in five years equals the demand on the other roads of the county in ten. This is the problem which maintain government owner ship can never cope with. What Companies Have Done. Let us see what the two railway systems of the northwest have done to meet this second difficulty of in creased traffic and development. In the last five years ending June 1906 the motive power had been increased ninty per cent or nearly doubled. And when the management saw trouble ahead neither time nor money was spared. Since last June these two systems have added 120 locomotives to their equipment, an increase of nin teen per cent a year. Now as to freight cars, although during the last five years ten thousand cars have been added to the equipment of the Great Northern since last June, 3,772 have been received. This is an increase in tonnage capacity of 15.6 per cent or thirty per cent a year.. During the last three years the Northern Pacific has ordered 17,850 cars and actually received In 1906, 4,440. These fig ures are more effective proof than any arguments of the alertness and energy of private management. Woulu the government at Washington, with overy other section of the country crying for cars dominated by the east as my colleague has shown, do as much 'for these western states? In the place of this progressive and tried system the gentlemen propose to put a cumbersome centralized ma chine devoid of initiative and dep3nd ing on the whims of congress and the party in power. I have shown the im mense growth of the countrs* and how private management is endeavoring and will ultimately succeed in meet ing the needs. How will government ownership and operation cope with these difficulties? We must have more than a visionary theory, we must have a practical working proposition. You may appoint railroad commission ers if you will but there is only one 'body that can make internal improve ments and that body is congress, a congress already overloaded with work. Here then Is the system which the gentlemen propose—an unweildy, unprogressive machine with congress at its head congress, a busy political body with Its sectional influences, red tape and log-rolling. This Is the sys tem which the gentlemen propose. Put this system in practice in the United States and what would be the result? SIMPLY INDUSTRIAL STAGNATION. ii» 1 THE EVENING TXME8, GRAND FORKS, N. D. 6 Eddy -3/ State Tuition Fund Is Grand Forks County Will Get $5,102.32—Total Sum is $74, 077.48—State Superintendent Stockwell. Announces the Figures. Bismarck, Feb. 26—The following apportionment of the state tuition fund haa just been made by the state superintendent of public instruction. The rate per capita from the total state tuition fund is 92 cents, divided between a rate per capita from the interest and income fund of 90 cents and the rate per capita from tines, taxes, etc., amounting to 2 cents: 51 lis Is 5- a 2 a, COUNTY. 3 S| 2 3 2 8 Q. 1 Barnes 2,549 $2,294.10 2 Benson 1,672 1,504.80 3 Billings 206 185.40 4 Bottineau 2,572 2,314.80 5 Burleigh .., 1,658 1,492.20 Cass 6,098 5,488.20 7 Cavalier 8 Dickey 9 3,137 8 r,2 10 Emmons 844 759.60 11 Foster 833 839.70 12 Grand Forks 5,546 4,991.40 13 Griggs 1,020 918.00 14 Kidder 45c 410.40 15 LaMoure 1,416 1,274.40 16 Logan 403 362.70 17 McHenry 2,862 2,575.80 18 Mcintosh 835 751.50 19 McLean 2,166 1,949.40 20 Mercer 269 242.10 21 Morton 2,177 1,959.30 22 Nelson 1,634 1,470.60 23 Oliver 259 233.10 24 Pembina 3,533 3,179.70 25 Pierce 1,159 1,043.10 26 Ramsey 2,288 2,059.20 27 Ransom 1,656 1,490.40 28 Richland 4,146 3,731.40 29 Rolette 1,676 1,508.40 30 Sargent 1,600 1,440.00 31 Stark 1,575 1,417.50 32 Steele 1,127 1,014.30 33 Stutsman 2,533 2,279.70 34 Towner 2,024 1,821.60 35 Traill 2,721 2,448.90 36 Walsih 4,245 3,820.50 37 Ward 6,142 5,527.80 38 Wells 1,653 1,487.70 39 Williams 1,380 1,242.00 40 McKenzie 155 139.50 No Inducements* My second proposition is that the government cannot run a business oa business principles. In the first place we must have capable managers. It is true that in the highest government positions—the highest positions mind you, honor is a sufficient inducement to draw good men. To get such men the government must offer the same or better inducements than private capi tal. This it cannot do. The chances of promotion are less and it Is a fact that skilled government employees are notoriously underpaid while un skilled labor is overpaid. Matter of Men. No man is competent to run rail roads unless he can make money for himself. And if he can inalce money for himself you will not find him ac cepting a poorly paid government office, where a man's money is invest ed there you will find him doing his best work, where man's treasure is there will his heart be also." If then a man has no personal interest in an undertaking, if when the business runs behind his own pocket-book is safe Iaxiness carelessness and waste fulness are the cnevitable results. Would such men as Casset, McCrea or Hill act as government railway em ployees? Certainly not And yet to make a success of the business we must have men of that calibre. How does the government get Its' men? Look at our government Industries and see for yourself. Graft not ability, political influence not efficiency dicate the offices. It is very plain that the best ability of the country is not in the employ of the government. And what else can you expect. Here is a poorly paid job with an opportunity for graft. Who wants such a job? The grafter. How then do you ex 766 80 Total 80,519 $72,467.10 True, Belgium has with fair success operated her roads but Belgium is 1-6 the sizze of North Dakota. Germany has been partially successful in oper ating her roads, but in Germany the roads are built by the states the larg est of which is smaller than Montana and every interest is made subservient to the military one. But in those coun tries where government ownership has had to meet the test of development, in those countries where the govern ment has had to build roads, what has been the result? Everywhere this policy has proven disastrous. Politics and not business instince has directed the building of railways. Fat con tracts have been let through, political influence. Official incompetence and governmental waste have united in the disaster. And yet the development in these countries is as nothing compared to the problem in the United States. Suppose for Instance North Dakota needs a railroad, how Is she to get it? Do you suppose for a moment that the congressmen from the east and south where the balance of power rests would allow such a measure to pass? Certainly not. And past his tory bears out this answer. But granting for the sake of argument that the bill was passed, the next question is when would the road be built? The slowness of government Is proverbial. As an example, the appropriation for the federal building in Chicago was signed by President Cleveland some twelve years ago, yet is only within the last three months that Secretary Shaw signed the draft for the last payment. Again I ask how is such a system to meet present American needs? Therefore, in view of the act ual conditions in this country, In view of the immense problem of develop ment this policy is impracticable. ools *3 t? I!® 2 to *3 S: 3 O O I* a S A P. S a. B. f- 33 $ 50.98 33.44 4.12 51.44 33.16 121.96 62.74 26.84 17.04 16.88 18.66 110.92 20.40 9.12 28.32 8.06 57.24 16.70 43.32 5.38 43.54 32.68 5.18 70.66 23.18 45.76 33.12 82.92 33.52 32.00 31.50 22.54 50.66 40.48 54.42 84.90 122.84 33.06 27.60 3.10 2,823.30 1,342 1,207.80 $2,345.08 1,538.24 189.52 2,366.24 1,525.36 5,610.16 2,886.04 1,234.64 783.84 776.48 858.36 5,102.32 938.40 419.52 1,302.72 370.76 2,633.04 768.20 1.992.72 247.48 2,002.84 1,503.28 238.28 3,250.36 1,066.28 2,104.96 1,523.52 3,814.32 1,541.92 1,472.00 1,449.00 1.036.S4 2,330.30 1,862.08 2,503.32 3,905.40 5,650.64 1,520.76 1.269.60 142.60 $1,610.38 $74,077.48 pect results? How do you expect progress? How do you expect initia tive and enterprise? But we need efficient labor as well as capable managers. With such managers as I have shown you the government gets hiring the men in efficient labor is the result. The abili ty of an employee under government ownership would depend upon political pull instead of business push and energy. But even outside of this poll tlcal influence the Iaxiness and in competency of government employees is a standing joke. Secretary Shaw, the financial authority of the United States, in speaking of the work of his department said that although the 20,000 people in his service were as gcod as government employees go he believed that a private corporation could do the same amount of work with one-third the number of labor ers. Extravagance. Having shown you the kind of man agers and men the government get my last proposition naturally follows: That the government cannot run a business on business principles be cause of its extravagance and waste fulness. In other words, the govern ment does not heed those economies of business on which success depends. With such managers and labor as the government gets, how can it? How can a manager whose influence is poli tical, who has no special preparation for the business be expected to at tend to that business, to save in re pairs and to utilize by products. The government printing office is a good example of the way in which a gov ernment- business is managed. Here we have an immense plant worth ten million dollars expending yearly seven million dollars. Investigation by a committee has shown that this plant is turning out inferior work at from one and one half to ten times the price charged by private companies. Extravagance and lack of business management are given as the reasons. Big wages are paid the compositors but the man who directs this enorm ous expenditure receives only $4,500, probably the poorest pay for such work in the United States. On the first of this month the business of printing the stamips was turned over to the American Bank Note company, .1 private corporation, for the reason that the work could be done by them enough cheaper to warrant such a change. Put this kind of business methods in an enormous industry like the railroads and the disastrous result can easily be foretold. Something Saner. Instead of taking this rash step let us rather resort to the saner expedi ent, that of government regulation. Control has not yet been tried to any great extent in the United States. The railways have grown up unregu lated and the people have just awak ened to the fact that something must be done. What has been done has proven successful as my colleague will show. If, then, government owner ship and operation is so fraught with political dangers, if it is utterly Im practicable because of its very nature, if the government cannot run this business on business priclples, and, finally, if this policy cannot meet the Immense problem of development we maintain that the federal government should not own and operate the rail roads. William C. Hpsband. Mr. Chairman, Ladies and Gentle* men: Before venturing any further on the waves of this discussion let "1 "•*'^Fr COST'S FAMOUS CANDIES ICECREAM delivered anywhere at any time. Both Phones 60-L forget a 50c Brick of Grist's Famous Ice Cream for Next Sunday's Dinner, us briefly summarize the main issues of the debate. We have stood tonight for the preservation of the private ownership of our railway lines under adequate control, a distinctly Ameri can institution, one under which we have prospered and developed so rapidly that our commercial and in dustrial supremacy astonishes the world. What do the gentlement of the affirmative stand for? They stand for the abolition of that institution which has of late years become a posi tive necessity, and the substitution of another altogether untried under Am erican conditions, and altogether for eign to our principles of government and business methods. What argu ment Is made to support their conten tion? They say we have evils in our railroad system. But the first speak er for the negative showed that these evils were of a transitory nature and that they were as nothing compared with the evils that would arise under government ownership. And before I am through I will endeavor to show how these evils are being eliminated by remedial legislaion. But granting for the sake of argument that these evils are grave granting for the sake of argument that the evils are con stantly growing greater, will that make the argument of the affirmative valid? They say that government ownership is successful abroad. Th^t Germany, for instance has govern ment ownership and has no evils, and therefore we should have government ownership in our country. I contend that this conclusion is false for three reasons: First, the system as used in Germany is not the system as advo cated by the affirmative. Germany has state ownership. Each state owns and operates its own lines, referring to the central government for gener al supervision. But the affirmative advocate a system in which the great common carriers of our country are to be owned and operated by the cen tral gwernment at Washington, hence there can be no analogy. For Military Reasons. The second reason is that Germany owns her railroad lines for military reasons and military reasons alone. She is driven to this policy by reason of her geographical position. She knows the excitable temperament of the French on the west, the revolu tionary spear of the Slav and Magyar on the south. She has had experience with the rebellious Poles on the east, and hence she has a broad border to protect. How does she do it? Take down your map and ycu will find that the principal railroad lines of Ger many radiate in all directions from the capital, Berlin. These lines inter sect the border at almost equal dis tances. What is the reason? Here is plainly tiisiplayed the hand of Bis marck and of Von Moltke. It is to trans-port troops and provisions along these lines with the greatest facility in time of war. But In America we have no such military plan. We have no such military reason to own our railroads. We are at peace and amity with our friends on the north and our neighbors on the south, hence, the conclusion fails again. Third Reason. There is a third reason and it is fundamental in this debate. Germany is an old and developed country. Lit tle money is expended in the building of new lines but more in the mainten ance of those already in operation, while in America we have a young and developing country. Large sums PAGE THRU h'H Don't of money are expended every year for the building of new lines. Last year in North Dakota there were more miles of railroad built than there were in all of Germany. Last year there were more miles of railroad built in three western states than there were in all of Germany in the last four years. The fallacy of comparing Switzerland or Belgium with the United States is too apparent to need mention. The railroad system of Bel gium or Switzerland compared with the railroad system of the United States is a mere merry-go-round. What has been done by the negative to sustain their contention? The first speaker showed the impracticability of government ownership in this country from a political standpoint. He showed that sectional jealousy would prevent railroad building in the district where it was most needed. It would clog the wheels of railroad progress, and owing to our form of government would1 bring upon us a carnival of crime and corruption. The second speaker for the negative show ed the impracticability of government ownership for this country from an industrial and economic standpoint. He showed that the great guestdon^e fore the American people was a ques tion of the further development of our national resources—a question of the winning of the west for civilization. It is a question of giving new homes to the great number of people who come to our borders from foreign lands. He showed that thus far the railroad had been the great factor in the solution of that problem and that ultimately It would be the fac tor in its solution. And he showed the utter folly of allowing the solution of this problem to depend on govern mental waste and official incompet ence. Would Mean Panic. These are practical objections to government ownership, but there are others still more practical to the in terests of American people. Here the question of nationalization pre sents Itself. How are the railroads to be obtained? What is to be the effect on industry, oh our credit dur ing the time it takes to naturalize? These are questions so practical and with answers so obvious that the American people seem to have laid aside the question of even seriously considering the proposition of nation alizing our railroads. There is one thing certain, however, and that Is that the railroads cannot be confis cated. There is a fundamental law in our constitution which says "No person shall be deprived of life, lib erty or property without due process of law." Hence condemnation pro ceedings must be brought in the same manner as the right of eminent do main is enforced. Then we would have a legal snarl. Then we would begin the greatest legal battle of his tory. Litigation involving in the total upwards of 20 billions of dollars. Think of the effect—panic! A woman in Boston makes a busi ness of taking inventories of houses which are rented furnished. She comes to the house and makes complete lists In triplicate of every article, with a description of its condition. When the house Is given up she comes again and checks over the household goods appraises the loss or damage. She has been so successful in this kind of work that her service are much In demand. "V: JAS. A. DINNIE A. S. DINNIE Domestic and Portland Cement DINNIE BROS. Gener'l Contractors and Builders iEN'L OFFICE: 314 INTERNATIONAL AVE GRAND FORKS, N. DAK. White and Brown Lime Fire Brick and Clay Hair, Sand, Plaster Mortar Color Manufacturers of Brick We Manufacture and Lay Cement Walks Yonr Business Solicited. Estimates Famished Upon Application