June 30, 1896; represents no dollar of honest investment by the corporations, and is an incubus on the industries of the country far more oppressive than would be an increase of the national debt in that amount.

11. That the operating expenses of the railroads in the United States are at least 15 per cent. higher than in any other country in the world that has a considerable mileage of railroads and uses late improvements.

12. That the heavy expense of operating the roads in this country is largely caused by the payment of unreasonably high salaries to an army of unnecessary railroad officials, and the support of "the many parasites on corporate management by which profits are sucked up," and that at the present time fares and freights are at least 50 per cent. higher than they should be.

13. It is shown that the rule laid down by the Federal

courts, for the guidance of State Railroad Commissions in fixing rates within the State, is manifestly unjust to the people of the State.

14. That the rule adopted by these courts for the purpose of arriving at the value of railroads is an attempt on the part of the courts to protect the property of the corporations from decreasing in value in the same or any proportion that the same kind of property belonging to private persons, the producers of the country, decreases.

15. That the Federal Courts, in their decisions, give to the corporations the right to fix rates on a basis of the prices of watered stocks and bonds made by "wash" sales in gambling stock boards. 16. It is shown that the railroad corporations pay but of one per cent. on the alleged value of the roads, and that not one cent of the railroad taxes comes from the pockets of the stock- and bondholders, but are all paid by the patrons of the roads, the burden of which falls most heavily on the farmers of the country.

17. That laws providing for the taxing of railroad "franchises" simply legalize larceny on the part of the corporations, and that all property owned by the corporations that is actually necessary to and used in the operation of the roads, should be exempt from taxation, by which means the number of railroad officers and clerks could be greatly reduced and rates on the roads materially lessened. 18. The question of United States ownership of the railroads is discussed, and reasons are advanced to prove that such a step would be dangerous to the constitutional rights of the States, the liberty of the people, and the commerce of the country.

19. The instance of the destruction of navigation on the magnificent inland waterways of the United States is cited as an example of how Government control of inland transportation can be turned into control by the corporations,

20. It is shown that either State control without ownership, or State ownership of the railroads, is the only safe alternative that can be adopted in the solution of the railroad question; and that by proper Federal and State legislation under either of these alternatives, full justice can be given to all concerned and the troubles arising out of the railroad question brought to an end.

In the following chapter, A WAY IS POINTED OUT BY

WHICH THE PRODUCERS OF THE COUNTRY CAN SECURE

FEDERAL AND STATE LEGISLATION FOR THE PROPER CONTROL OF RAILROADS.

CHAPTER 12.

Remedy for existing evils of railroad management.-Agricultural products. Security of the country is its crops.-Evils that would attend loss of trade.- Trans-Siberian Railway.-Russian competition in the grain markets of the world.- Crops of wheat in 1897 and 1898.- Producers to act for just legislation concerning railroads. The farmer vote, what it can do.- Producers should unite for railroad legislation in 1899 and 1900.-Should be the main issue in State and Federal elections.-The two leading parties can be forced to take up the issue.-A new party might become necessary.- Care to be taken in the selection of candidates. General prosperity will follow just railroad legislation.

It would be of the greatest advantage to all the producers of the country, to have the matter of railroad transportation settled on a just basis, but to no class of producers would it bring such advantages as would accrue to the farmers of the United States. There has for many years been a gradual decline in the prices of nearly all of the products of the farm. This decline has at times been temporarily arrested by the failure of crops in other countries, and the attempt on the part of speculators to corner the market; but the general course has been downward, and the result has been a decline in the value of farming lands in nearly all the grainproducing States. The farmer, while furnishing the articles of export that give us the balance of trade which secures to some extent the general welfare of the country, has himself year by year grown poorer through a gradual decline in the value of his land. It has for

many years been the boast of politicians that America feeds the world, and that this fact will always secure our national prosperity. If it be true that our prosperity comes from our agricultural exports, then it follows that the prosperity of the country depends upon the farmer, for without his labors there would be no balance of trade in our favor. A recent article in the New York World is well worth studying, for it gives some figures that are not known by all the people concerning our foreign commerce, for the year ending June 30, 1898. The World says as follows upon that subject:

"AMERICA'S CHIEF PROTECTION THE FACT THAT SHE FEEDS THE WORLD.

"The figures of our foreign commerce for the fiscal year ending June 30 are eloquent and instructive.

"Our total exports exceeded $1,200,000,000-a record-breaking figure. Of these, the products of agriculture exported amounted to $854,627,929, an increase of more than $170,000,000 over the figures of the preceding year.

"Of the total increase in our exports, which was almost wholly of agricultural products, the increase to European countries was $160,000,000. These customers of ours took altogether $973,699,289 of our prodSo much is abroad' to us!

ucts.

"In other words, we feed Europe. In spite of the hostility of Germany and France to the American hog,