U BRABV! .. - -- OF THE UMVERsiry of miNois. Railways AND SOCIAL (OrlDiTiorlS BY SAMUEL VAILE, of Auckland, N.Z. trie tfAILE 5TACE SVStENI AS PROPOSED FOR ADOPTION IN Great Britain, the Colonies, and similar countries. Described and Illustrated by a Diagram. Copies of this Pamphlet can be had on application to SAML. VAILE & SONS, Land & Estate Agrents, 85 Queen Street, Auckland, N.Z. I PRKE, FOIIRPENCE. AUCKLAND, N.Z.: PRINTED BY H. BRETT, SHORTLAND & FORT STREETS. 1894. INDEX. PAGE. Opinions of the Press I Opinions of Railway Experts . 8 History of Railway Reform Movement in New Zealand “ .. 9 The Railways of the World .. 16 The First Want of Society .. .. tt-y. 17 Common Roads and Railways 18 Invisible Turnpikes .. 18 The Right Use of Railways .. 19 Distant Land 20 Our Social Troubles .. 20 How it Works 22 Trade Depressions .. 23 Why the Evil FyfFects were not sooner felt .. .. .. 24 Have the Masses Facilities .. 25 Disadvantages of the Present System 25 Enforced Idleness 26 The Farmers’ Troubles (Diagram) 26 Low Prices and Poverty 27 A Complicated and Secret System .. „ .. .. 28 Scale of Fares, Rates and Charges 29 Some of its Beauties 29 How Different Districts are Treated ,. 31 Internal Trade 32 The Universal Fare .. • • H • • 33 The Basis of Rating . . Stage System on London and N.W, Line ■ . . . . 35 Financial Results .... 36 Effect on Land Values .. 36 What we really want .38 How we can get it . . 39 Diagram of Stage System (Auckland Lines) 39 Goods Classification 42 Tariff of Fares and Rates 43 Table of Stage Stations .. 44 Table of Comparative Fares .. 45 Financial Results in New Zealand 46 The Railway Officers’ Statements .48 Simplicity of New System .. .. .51 Auckland and Wellington Ports 52 Have we Sufficient Population 52 Cost of Trying the Stage System 54 The Control of Our Railways 55 Concluding Remarks .58 Mr. J. P. Maxwell’s Report .. .59 Whose Opinion should be taken 63 Miscellaneous Papers .. To the Reader Inside back cover A VAILE’S stage system — OF — RAILWAY ADMINISTRATION. NOTE.—I trust I shall not be thought egotistical for publishing the following ‘ Opinions of the Press ’ and the brief history of the Railway Reform Movement. My object is merely to show that both in and out of Parliament the country has very generally expressed a wish that the new system of railway administration should be tried. The opposition comes from those who now control our railways, and who are deeply interested in maintaining the present position, and they unfortunately have always had the support of the various Ministries. It is quite certain they are not carrying out the almost universally expressed wish of the country in this matter. I feel profoundly grateful to the gentle¬ men of the Press for their kindly words of encouragement, which have often helped to spur me on and keep me at my task. What they have done for me may encourage some of our younger fellow citizens to take up and work out other great reforms.—S.V. OPINIONS OF THE PRESS. ‘ If Mr. Vaile was in the position to put his theory to the test of practice, if he was in the place of a Vogel or some other great man, people would speak with bated breath of the boldness of conception and breadth of view in his proposal, and would call out—“ It is the voice of a God, and not a man.” But because he isn’t,’ etc.—“New Zealand Herald,” 2nd November, 1883. ‘ Mr. Samuel Vaile is of the stuff that makes true reformers. He has [ found out that the railway system of the colony is radically bad. This ■ is what many others have discovered before him, but Mr. Vaile, unlike j the rest, has set himself to find out a remedy.’—“ Waikato Times,” 15th I November, 1883. ‘ Mr. Vnile s system may not be perfect, but we venture to sav that it commends itself to the public mind as deserving of the most careful ^consideration ; and the benefits — material, social and moral — which such a reform would confer are simply beyond estimation.’—“New Zealand Herald,” i6th November, 1883. ‘ Mr. Vaile’s method of studying this great question is the correct method. . . . But it (his system) is good enough, most decidedly, to warrant a trial for a time on some given section of the railways.’ — “ Lyttelton Times,” 8th January, 1884. ‘ It will be perfectly safe to say that whatever the Government may think of his proposals, they will undoubtedly meet with the approval of the travelling public.’—“ Nelson Evening Mail,” 25th January, 1884. 2 OPINIONS OF THE PRESS. ‘ The writer makes out an exceptionally good case on behalf of his suggested reform.’—“ Hawke’s Bay Herald,” 29th January, 1884. ‘ We were aware that some classes of goods are charged extra rates on the Napier section, . . . but we frankly admit that until we read Mr. Vaile’s letter we did not know how great the injustice is.’— “ Hawke’s Bay Herald,” 30th April, 1884. ‘ He has studied the question (railway administration) so thoroughly in all its bearings, that it is safe to say there are very few in the colony who have a more intimate knowledge of this subject than Mr. Vaile. He has pressed again and again for reforms in railway management, but the official ear is deaf on this subject. The studied coldness and neglect shown to Mr. Vaile by the railway official class has been such that any man of less determination would have been long since discouraged from pursuing investigation further. In Mr. Vaile they have one to deal with to whom such obstacles only add fresh determination to sift the question to the bottom.’—” New Zealand Herald,” 25th July, 1884. ‘ Most people, we feel sure, will admit that they must now treat the problems discussed by Mr. Vaile as worthy of profound attention.’— “New Zealand Herald,” 14th October, 1884. ‘ He urged that the concessions made were not sufficient to cause increased traffic to any appreciable extent, and he proved to be right. Mr. Vaile puts forward sufficiently strong arguments to justify the experiments.’—“ Hawke’s Bay Herald,” loth March, 1885. ‘ He (Mr. Vaile) is rendering good service in promoting an active discussion on the points involved. On some of them he is clearly right.’ —“ New Zealand Times,” i8th March, 1885. ‘ The very boldness of Mr. Vaile’s scheme brings it under a shadow of suspicion. . . . If he must be called an enthusiast, he is an uncom¬ monly cool and clear-headed one, and has come before the public armed at all points, and with perfect confidence in the scheme he has taken up.’—“Southland Times.” 25th March, 1885. ‘ It argues a very enthusiastic belief in his own theories, and no slight amount of public spirit, that a private individual like Mr. Vaile should take the trouble of travelling all over the colony, at his own expense, to instruct his fellow-colonists how to reform our railway system. He must be regarded as a man sincerely desirous to benefit the colony. We will confess that we are not satisfied with our present tariff, and that there is something attractive in Mr. Vaile’s ideas.’—“ Otago Daily Times,” 30th March, 1885. ‘ This is at first sight enough to shake any ordinar}^ person’s belief in Mr. Vaile’s sanity, but a strict attention to that gentleman’s explan¬ ations soon impresses his hearers with the firm belief that, if he is mad on the subject of reduced railway fares, there is a very considerable amount of method in his madness.We cannot refrain from expressing our admiration of his earnest and painstaking efforts to throw a light on a subject of which so little is known to the bulk of the people.The people of the colony are deeply Mr. Vaile’s debtors for the pains and expenses he has been at on their behalf.’ —“Wanganui Herald,” 9th April, 1885. ‘ A new .spirit has been infused into the management, and whether the praise belongs to Mr. Vaile, or to Mr. Richardson, or to Mr. Maxwell, matters not so much to the general public.’—“ Waikato Times,” i6th April, 1885. ‘ There is no more ardent reformer in railway matters than Mr. Samuel Vaile, of Auckland. His reform is of a most radical character. He is not satisfied with little amendments here and there, but he strikes boldly into the open ocean of reform.’—“Taranaki Herald,” i8th April, 1885. ‘ To Mr. Vaile belongs the honour of reducing his theories to a OPINIONS OF THE PRESS. 3 regular system, and whatever may be its merits, he can lay claim to the gratitude of the country for the thought and labour he has devoted to the subject, and for the sturdy persistency with which he has pursued it.’— “ Waikato Times,” 12th May, 1885, ‘ Mr. Vaile’s scheme has now been before the country for some years, it has been canvassed and criticised, and the principle which underlies and sustains it has been acknowledged by manj^ men of undoubted capacity, professional and commercial, to be sound.’—“Waikato Times,” 23rd May, 1885. ‘ A trial will, we hope, be given to Mr. Vaile’s scheme, notwithstand¬ ing the fears of the Colonial Treasurer as to a great falling off in the railway receipts. What is wanted is the means of making the railways of some real service to the colony, and this Mr. Vaile’s proposals are calculated to obtain.’—“New Plymouth Daily News,” 6th July, 1885. ‘ This much must be remembered in approaching the consideration of Mr. Vaile’s suggested reform, that he deals with a question, the urgent necessity for reform in which is admitted from one end of New Zealand to the other ; that, further, although not qualified by any special train¬ ing to pass an authoritative opinion on the question, he yet possesses the important qualification of being a shrewd, keen, business man of long experience, who has for several years made the railway question in all its varying phases a subject of special study. Again, he is a man who, in the city in which he resides, is well known and highly respected, and who bears an unblemished character for integrity and uprightness. In his able and earnest efforts to improve the railway system of the colony, he has been entirely disinterested. Other than the public good he has had no purpose to serve or object to gain.’—“Wanganui Chronicle,” 5th October, 1885. ‘ He (Mr. Vaile) has devoted an immense amount of earnest and in¬ telligent attention to the matter, and many of his conclusions are sup¬ ported by figures and facts which cannot be rebutted.’—“The Ashburton Guardian,” nth March, 1886. ‘ Mr. Vaile has shown to demonstration that the existing system is absurdly intricate, eminently unfair in many respects. . . . Among the many damaging statements regarding our system of railway manage¬ ment there is not one that is not fortified by figures taken from Govern¬ ment returns.We cannot help thinking that Mr. Vaile has sounded a note in financial and economic railway management that will not be lost sight of.’—“ Grey River Argus,” lyth March, 1886. ‘ That indefatigable railway reformer (Mr. Samuel Vaile, of Auckland), undismayed by rebuffs from the highest official authorities, persists in his crusade against the existing system of railway management. No other man in the colony has ever, so far as we are aware, taken up a particular subject and pursued it for so great a length of time as Mr. Vaile has the one vmder notice.Mr. Vaile has, unaided, done much, and at considerable cost to himself. He cannot be expected to do everything.’—“ Southland News,” i8th March, 1886. ‘ Mr. Vaile has established a case for the department to answer. An experiment might be tried on some part of our railway system, say, the portion centreing in Auckland. We consider Mr. Vaile’s suggestions as valuable, and not to be pooh-poohed.’—“Dunedin Herald,” 22nd March, 1886. ‘ If any reformer ever deserved to succeed, then success ought to follow the efforts of Mr. Samuel Vaile. Few men are possessed of the courage, to say nothing of the conspicuous industry which animates Mr. Vaile, and no one can be actuated by less unselfish motives. That he should so long have continued the fight single-handed, and almost without moral support, is little short of marvellous.’—“ Waikato Times,” loth April, 1886. 4 OPINIONS OF THE PRESS. manner'-“Grey River Argus,” ist May, 1886. ^ ^ ... ?T ’ -Mr Vaile deserves the thanks of the New Zealand public '*at is really shameful that this crying ■"“t,.this question^of railway reform, should have been o?the subject than anyone r^;^^g\l.rfancTSe^PicVill^ow/^^^^ on his proposals getting fair nlav “ N.Z. Herald,” 26th June, 1886. lairpia>. Qatnuel Vaile or whether they differ H"eTcirr’y1ng‘'orh'ifearn ^”«rely at his own cost.'- “ “reiomm“t’ion“ f '^o°f ?he : wh'r, rH^ul” n have made out so good a ca , established, remarkable admissions. . . * ^the worthlessness of to the satisfaction of - of hav ng thrsuitableness of his ;;:.sr.vr» SSr.K T, SCI.” 2*. ...« ..a if,:r& pf.!.”*.;.«».«..»s ss'st • the proposed experiment receives a fair trial. ifcpsfis?! _..The Yeoman.” ^^th August successful in a crusade wwTh h;rar;urLVrwiti"a^d"stateres^ed and unflinching zea, that OPINIONS OF THE PRESS. 5 ■should command the respect, as we believe it will yet win the gratitude of the colony.’—“ Evening Bell,” 19th March, 1887. ‘ Mr. Vaile has undoubtedly done a public service by forcibly directing public attention to the fact that there exists a great need for improve¬ ment in our method of railway management.’—” New Zealand Herald,” 9th April, 1887. ‘ Mr. Vaile has proved the soundness of his position as effectually as it could be done, through the agency of pen and ink.’—‘‘Waikato Times,” 12th April, 1887. ‘ That, however, Mr. Vaile’s system has advocates among the leadirg statesmen of New Zealand will be seen from the speech of vSir George Grey, delivered on Thursday evening last.’—‘‘Waikato Times,” July I2th, 1887. ‘Amongst those who are in favour of Vaile’s system being tried are Sir George Grey, Sir William Fox, Mr. Ballance, and Major Atkinson, all men of the highest political standing.’—‘‘Waikato News,” 25th Julv, 1887. ‘ We know that he is earnest in the work he has undertaken and sincere in his desire to promote the welfare of his fellows. He has the courage of his opinions, and we have every confidence the movement, of which he is the head, will prove of incalculable benefit.’—‘‘ Feilding vStar,” 29th March, 1888. ‘ It would be well worth the while of the Government to give Mr. Vaile the management of a working section of any fifty or one hundred miles. No harm whatever could accrue.’—‘‘Southland News,” 25th June, 1888. ‘We should like to see Mr. Vaile have the management of the railway line for a month or so.’—” Woodville Examiner,” 27th July, 1888. ‘ A great deal of sympathy will be felt with the spirited proposal sub¬ mitted by Mr. Vaile to the Government for the leasing of the Auckland railways for a limited period.The proposal which Mr. Vaile has made meets the difficulty, if the difficulty is really a fear of the State suffering damage through the operation of the Vaile system in cheapening railway transit.We repeat that the repl}’' of the Government to Mr. Vaile’s proposal is mere subterfuge.’—‘‘New Zea¬ land Herald,” 2i.st August, 1888. ‘ None the less will they (the Chamber of Commerce) do valuable .service to the public by giving to Mr. Vaile every facility for the ex¬ pression of the views at which he has arrived after an amount of labour and research almo.st unexampled on the part of any private individual in the colony in the consideration of a public question.He has secured the public ear on the raihvay question, and anything coming from him will always be widely read and command due attention.’— ‘‘New Zealand Herald,” 23rd January, 1889. ‘ Mr. Vaile may take credit to himself for having strongly influenced the Railway Department in the direction of more liberal management.’ — “ Southland News,’* 25th February, 1889. ‘ It would be well worth the while of the Government to give Mr. Vaile the management of a working section of say 50 or too miles. It might happen that the result would demonstrate the expediency of trans¬ ferring to Mr. Vaile the controlling power. He has certainly developed surprising aptitude for the investigation of matters pertaining to railway management.’—‘‘ Southland News,” 25th June, 1889. ‘ We venture to say that in railway matters ex-departmental Mr. Samuel Vaile is the most popular gentleman in the colony. His followers number thousands, and generally, the public would desire to see his scheme broiightto a practical test.’—“ Railway Review,” 2nd September, 1889. 6 OPINIONS OF THE PRESS. ‘ Through the indomitable energy and patient persistence of Mr. Samuel Vaile, whose proposals for railway reform have, during the past three or four years, been frequently discussed both in and out of Parlia¬ ment, a Railway Reform League has been formed in .Auckland. We learn from the “Morning Post” of 24th July last that the very system advocated by Mr. Vaile and the Auckland Railway Reform* League is about to be put in operation in Hungary, where it is known as the “ zone system,” ’—“Ashburton Guardian,” 8th October, 1889. ‘ For years Mr. S. Vaile, of Auckland, who has made railways a special study, has been pointing out the evils of our system. His able advocacy and strong argument has gained many converts to his cause. He strongly denounced the Railway Commissioners, and he is proved to be in the right. The Commissioners are a dismal failure.’—“ Woodville Examiner,” nth October, 1889. ‘ Mr. Samuel Vaile, of New Zealand, has intelligently and persistently^ for many years past, contended for the very system now put in force on the Hungarian Railways.’—“Melbourne Evening Standard,” 14th October, 1889. ‘ Some people laugh at Mr. Samuel Vaile, but though not a politician in the ordinary sense of the word, yet he is one of our most useful public men. He is what may be called a born reformer, and he could not have chosen a more appropriate field for his exertions than our railwaj^s. . . . During all the torpor that succeeded the anti-general election excitement, Mr. Vaile never ceased to lift his voice in behalf'of the public. He saw at a glance what the unexpected development of the Railways Act meant, and he kept on trying to rouse the country to a sense of the evil that had been done,’—“ Southland Times,” 19th October, 1889. ‘ In other countries Mr. Vaile’s proposal of uniform rates on the stage system is being considered on its merits, and is likely to receive a fair trial,’—“ Yeoman,” 4th December, 1889. ‘ No terrible consequences could possibly ensue from the adoption ot the Vaile system, for even if it failed to realise the expectations of its propounder, the community as a whole would not suffer. It would simply exchange direct for indirect taxation, with the certainty that, by charging lower rates for long distances, the development of resources in the remote interior must be appreciably promoted.’—“ Southland News,” 7th February, 1890. ‘ The more Mr. Vaile’s estimates are criticised, the more reasonable do they appear.’—“ Hawke’s Bay Herald,” 29th April, 1890. ‘There is not at this moment a more notable man in New Zealand than Mr. Samuel Vaile, of Auckland. . . . The supreme object of his life, and that towards which he has been straining for many years, is, as everybody knows, the reform of our railway system. In this cause his labours have been abundant, and his zeal such as only a rooted con¬ viction in the justice of his views could inspire. Mr. Vaile is possessed of a clear head, a large grasp of intellect, enlightened patriotic senti¬ ment, and the indomitable courage of an Englishman. No man can read what he has written and refuse to endorse such an estimate of his character. He has proved his claim to these qualities by the way in which—first single-handed, and latterly as the chief actor in a great movement—he has maintained a steady resistance to the present method of railway administration, and has pressed his own remedy on the attention of the public. There are probably few men advocating a view so radical and revolutionary who, by mere theoretical argument, could have secured the position that Mr. Vaile has already attained.’— “ Southland Times,” ist August, 1890. ‘ He relies on the increase of traffic to do more than indemnify him for this heroic lowering of rates, and his calculations have been made OPINIONS OF THE PRESS. 7 with great care, and seemingl}" without extravagance. . . . The assumptions on which Mr. Vaile founds his theory are neither wild nor visionary.’—“ Southland Times,” 12th August, 1890. ‘ For our part we should be glad to see the strongest possible impetus given to the development of all the resources of the colony by the adoption of Mr. Vaile’s railway system.’ — ” Waipawa Mail,” 2nd September, 1890. ‘ Mr. Samuel Vaile’s persistency and ability have made deep impression on the public, and there is an early prospect of the railways of New Zealand being run on the stage system devised by that gentleman.’— ‘‘ Observer,” 13th September, 1890. ‘ Further, we believe that the time is not far distant when the Vaile system will be in force in New Zealand, and that out of its establishment will come great good.’—“Hawke’s Bay Herald,” 25th October, 1890. ‘ The evidence thus afforded (by Hungary) is distinctly favourable to the principles embodied in what is known as Mr. Vaile’s scheme, although it does not confirm the details of that scheme.—“ Auckland Star,” 15th December, 1890. ‘ Mr. Vaile’s scheme seems only to have practically differed from the Hungarian in being less calculated to concentrate population in any chief city.’—“ Sydney Daily Telegraph,” 2nd February, 1891. ’ Mr. Vaile's views on the subject are wide, philosophical and patriotic, while those of the Commissioners have never stretched beyond the inquiry—how much direct and immediate revenue can be extracted from the great instrument which they guide. . . . But there is no reason why Parliament, which has already been recommended by a committee to take the step, should not ordain a trial in some one district of Mr. Vaile’s system, and so set the question at rest. We hope earnestly to see such a resolution taken in the course of next session.—“ Southland Times,” 28th May, 1891. ‘ And there can be no doubt that the application of some such system (as Vaile’s) of railway changes must be made before the lands at a dis¬ tance from the ports can be cultivated to advantage.’—“Lyttelton Times,” 6th August, 1891. ‘ These (the Hungarian returns) are remarkable figures, and it is not surprising that, with all the facts that he has marshalled in support of his scheme, Mr. Vaile has converted to his views many who at one time thought him a hair-brained enthusiast.’—“ Hawke’s Bay Herald,” iith August, 1892. ‘ There are, we are sure, very few in the community who will not con¬ cur in most of what was said at the gathering of citizens yesterday to make a presentation (service of plate) to Mr. S. Vaile. That gentleman had the courage to undertake a task that might have appalled the greatest and most powerful man that ever lived.But what¬ ever opinion may be entertained as to the practicability of Mr. Vaile’s proposals there can be no difference as to the large amount of labour and energy he has devoted to the subject, with the purest and most unselfish motives. The feeling on this subject was well expressed yesterday by Sir George Grey and Mr. H. Campbell.’—“New Zealand Herald,” 17th March, 1893. ‘ Even men who differ from Mr. Vaile, touching his theory of railway management, will admit his work deserved at least recognition. We are further of opinion that his system is correct in theory, and capable of practical demonstration.’—“Thames Evening Star,” 20th March, 1893. ‘ It reflects honour both on the people of Auckland and Mr Samuel Vaile, that the latter, a few weeks ago, was publicly presented with a handsome testimonial by his fellow citizens in recognition of his earnest 8 OPINIONS OF THE PRESS. and sustained efforts in the cause of railway reform.No one who is conversant with the controversy carried on by Mr. Vaile, and especially with the Parliamentary Committee report and evidence of 1886, can help admitting the ability with which Mr. Vaile has approached the subject. Many will admit that if he has not entirely succeeded in proving his case he has fallen very little short of doing so.’—“ Christ¬ church Star,” 14th April, 1893. ‘ We tmst that Mr. Vaile and those who sympathise with him will push on in their agitation, and that Parliament will yet be induced to give the new system a fair trial.’—“Ashburton Guardian,” 6th June, 1893. OPINIONS OF RAILWAY EXPERTS. ‘ Auckland, 9th October, 1884. ‘ Memorandum for Samuel Vaile, Esq. ‘ With reference to the several discussions we have had with you upon the advisability of introducing throughout the New Zealand Railways, the low fares you have advocated, we beg to state that, after full and deep consideration, we are prepared to agree with you in respect of the following ;— ‘ That the increase in the number of passenger fares taken would be three times as many as at present, or an increase of two hundred per cent, upon the present issue. ‘ That the average fare could not sink below one shilling. ‘ That the increased passenger traffic would not perceptibly increase the working expenses, ‘ Ridley William Moodv’, ‘ T. D, Edmonds, ‘ Jas. Stodart.’* Opinion of Mr. Wii.i,iam ConyerS, C.E., formerly Commissioner South Island Railways. In a long letter to me Mr. Conyers, whom at that time I had never seen, says,—‘ I agree with Messrs. Moody. Stodart, and Edmonds in their report on your system, and you may use my name to that effect. In answer to your first query, I am of opinion that the number of passen¬ ger fares would be three times the present number—that is, an increase of 200 percent. (“I wrote you this before, never having seen their report at the time,”) 2, The average fare, which is now, including season tickets, and probably parcels, dogs, etc,, only 2s, 3d., could not sink below one shilling. 3. Three passengers could be carried as cheaply as one.’ * Mr. Moody was lor 17 years employed in various capacities on the Great Northern and other English railways. Mr. Edmonds was trained on the Great Western, England, and in this colony was chief clerk on the Hurunui-Blutf Section. Mr. Stodart was ior 21 years on the Great Western line (for a number of years in charge of the Swindon district) ; four years on the London, Chatham and Dover line, and five years on the Bombay, Baroda and Central India line. BKZEIF S:ISTOZ^■y - OF THE- I|ailway Reform jVIovement iij New Zealand. The Stage System of railway administration was invented by Samuel Vaile in 1882, and first laid before the public in a letter to the Editor in the ‘ New Zealand Herald ’ of the 3rd January, 1883. A long newspaper controversy immediately followed. On the 4th July, 1883, Mr. J. A. Tole, M.H.R., asked the Minister for Public Works if he was prepared to give Mr. Vaile’s system a fair trial. He replied that he was not pre¬ pared to do so. On 12th November Mr. Vaile read a paper on ‘Our Rail¬ way's ’ before the Auckland branch of the New Zealand Institute. This immediately commanded attention, and was reproduced in most of the leading papers of the colony. On July 29th, 1884, Mr. Vaile delivered his first lecture on Railway Reform in the Eorne Street Hall. On 9th October, 1884, Messrs. W. R. Moody (formerly of Great Northern line, England), James Stodart (of Swindon district, Great Western), and T. D. Edmonds (Great Western and Hurunui—Bluff) signed a certificate to the effect that they had carefully examined Mr. Vaile’s system, and that its adoption would lead to greatly increased traffic and revenue. At the same time, and without knowing what these gentle¬ men were doing, Mr. W. Conyers (formerly CommivSsioner South IvSland Railways) wrote from Invercargill to the same effect. On December, 1884, on the invitation of the Tamahere Farmers’ Club, Mr. Vaile went to the Waikato and lectured at Tamahere, Hamilton, Cambridge, Te Awamutu, and Alexan¬ dra. On March, 1885, Mr. Vaile left Auckland, and commencing at Napier, lectured in all the chief Southern towns as far as Invercargill, going down one coast and returning by the other. He was everywhere well received, the Mayor of the city in each case presiding. On May, 1885, the first New Zealand Railway Reform League was formed in the Waikato. On the 8th July, 1885, Mr. Samuel, M.H.R., asked the Minister of Public Works whether Mr. Samuel Vaile’s pro¬ posals had been considered by the Government. The Minister, the Hon. E. Richardson, replied that Mr. Vaile had proposed lO RAILWAYS AND SOCIAL CONDITIONS. SO many schemes that it was impossible to say if they had all been considered. As a matter of fact Mr. Vaile has never proposed any but the one scheme. In August, 1885, petitions from all parts of the colony, and signed by many thousands of citizens, were sent to Parliament, praying that a Royal Commission might be appointed to investigate and report upon Mr. Vaile’s proposals. On 28th May, 1886, a Parliamentary Committee was ap¬ pointed, consisting of Hon. Major Atkinson, ex-Premier, Hon. E. Richardson, Minister Public Works, Hon. Mr. Macandrew, ex-Minister Public Works, Hon. Mr. Ormond, ex-Minister Public Works, Hon. E. Mitchelson, ex-Minister Public Works, Mr. Gore,Mr. Hatch, Mr. Walker, Mr. O’Connor, and Mr. J. B. Whyte, M.H.R’s. This Committee commenced its sittings on the 2nd June, and concluded on the nth August. Mr. Joseph Prime Maxwell, General Manager New Zealand Railways, conducted the case on behalf of the department, and Mr. Vaile conducted it on his own side. All the chief officers of the department were examined and cross-examined, as were also the witnesses produced by Mr. Vaile. The Minister and the officers offered the most strenuous opposition, but the Committee reported that the new system ought to be tried. The minutes of evidence and report of this Committee form Parliamentary paper, i—9, 1886. During the session of 1886 numerous petitions were sent to Parliament, praying that ‘ Vaile’s system ’ might be tried. During the session of 1887 nearly every local governing body in the colony sent petitions to Parliament, praying that ‘ Vaile’s system ’ might be tried. On 23rd June, 1887, Mr. J. Aitkin Connell, Public Accoun¬ tant, wrote saying he had carefully examined Mr. Vaile’s financial calculations and found them to be sound. In 1887 Mr. Vaile contested the seat for Auckland North, but lost it by 35 votes, 36 votes having been thrown out, said to be informal. In the session of 1887 the Government Railways Bill, vesting the railways of the colony in three absolutely irresponsible Commissioners, was passed. A great effort was made to get a clause inserted in this Bill providing for a trial of the new system. The Minister (Hon. E. Mitchelson) offered a most determined opposition and carried his point. In August, 1887, the Whangarei-Kamo line being in a state of utter collapse the department applied the Stage system to it, with the result that both traffic and revenue largely and immediately increased. In August, 1888, a number of leading Auckland citizens joined Mr. Vaile in making an offer to the Government to lease the Auckland section of railways for five years, for the purpose RAILWAY reform MOVEMENT. II of trying the new system. They offered to give substantial guarantees that they would maintain the lines in good order, under the supervision of the departmental officers, pay an increased revenue to the Government, give reduced rates to the public, and after the first year hand back the lines in good order on a six months’ notice to do so. This offer was some ¬ what curtly refused. ' On 28th January, 1889, the railways of the colony were handed over to the irresponsible Board to deal with as they pleased. To readers outside the colony this will appear incredible, but it is a fact ! The Commission was composed of Mr. J. McKerrow (lately Chief Surveyor), Mr. J. P. Max¬ well and Mr. Hannay (lately General Manager and sub- Manager.) As the two latter gentlemen were the avowed and most bitter enemies of the reform movement this w^as a great blow to it. In August, 1889, the Hungarian Government commenced to work their railways on the ‘ Zone ’ S3^stem. This is sup¬ posed to be an adaptation—Mr. Vaile says a very faulty adaptation—of his stage system. It is certain that the late Baron Hubner was in New Zealand whil| Mr. Vaile was arguing his case before the Parliamentary Committee. This system has shown increasingly good results. In September, 1889, the New Zealand Railway Reform League was formed. This comprises the most influential Auckland citizens. In 1890 the Auckland Chamber of Commerce appointed a special Committee of seven—Captain W. C. Daldy, Messrs. J. Reid, N. A. Nathan, J. Russell, Gilmour, W. Lodder, and S. Vaile—to deal with railway- matters. This Committee re¬ ported to the Chamber that, in their opinion, no financial loss could result from trying the new system. In the session of 1890 further petitions, numerously signed, were presented to Parliament, pra^dng for a trial of the new system. As a result another Committee of inquiry was appointed. After a great deal of delay the Chairman (Mr. Harknes.s), took the unusual course of asking Mr. Vaile to send his evidence in writing. Mr. Vaile refused to move in the matter unless he was allowed to conduct his case in person. When this Committee presented their report Mr. T. Thompson moved: ‘ That the report be referred back to the Committee for reconsideration, and to take further evidence.’ Motion lost by 41 to 24. In the session of 1891 Mr. W. L. Rees moved : (i) ‘That seeing it is a matter of paramount importance to secure the most efficient method of administering the railways of the colony, this House is of opinion that the Vaile system should be fairly tried, prior to the expiration of the Government Railways Act of 1887.’ (2) ‘ That the said .system should be 12 raiways and sociad conditions. tried on the Auckland railways under the direct supervision of Mr. Samuel Vaile. ’ Motion lost by majority of 9 (34 to 25.) In the Public Works Statement of 1892 the Hon. Mr. Seddon stated : ‘ The returns from the working of our railways do not show at all a satisfactory condition of affairs, and the represen¬ tations of Mr. Samuel Vaile, of Auckland, as to the working of the new system, indicate that, at no distant date, possibly on the expiry of the Commissioners’ term of office, it might be as well that a trial of this system should be made on our rail¬ ways. ’ On the 16th March, 1893, Mr. Vaile was presented with a handsome service of plate, and also a fire-proof safe to keep the records in, in recognition of his services in the cause of Rail¬ way Reform. The presentation was made by Sir George Grey, K.C.B., who, with the other speakers, warmly eulogised Mr. Vaile for the ability, energy, and patriotism he had displayed. In the session of 1893 petitions were sent to Parliament asking that Mr. Vaile might be heard at the bar of the House in support of his railway scheme. The Public Petitions’ Com¬ mittee reported i^ favour, but the Government declined to call Mr. Vaile. When the Government Railwa}^ Bill of 1893 w^as in Com¬ mittee, Mr. T. Thompson moved a new clause, providing that ‘ a trial be given to Vaile’s system on the x\uckland or other section of the New Zealand Railways.’ Lost by majority of 12 ; voting, 37 to 25. In November, 1893, Vaile again contested a seat in the House, but was again defeated. THE RAILWAY PROBLEM. BY SAMUEL VAILE. INTRODUCTION TO THIRD PAMPHLET. In my former pamphlets on the Railwa}^ Problem I have dealt with the subject mainly from the financial point of view—in the present one more with regard to the indirect benefits that would be conferred upon the people if the railways of the world were worked on really sound principles. The enormous influence it would have in improving our social conditions cannot be calculated. What made you think of this thing, and why is it that amid so many discouragements you stick to it so tenaciously ? are quevStions that are frequentR asked me. As to the first: Like every other reform, a variet}' of circumstances led up to its initiation. What directly induced me to study the railway question was this : In the ordinary conduct of the business of m}^ firm* I had noticed that the value of country lands (since then city and suburban values have also declined) was decreasing. I could not quite see why this should be, and while I was searching for a sufficient reason, some gentlemen came to me with the intention of making a large purchase of land, on which they proposed to place a number of settlers. This transaction fell through owing to the high railway charges, so finding that the railway tariff was injuring my business, I determined to know all about it, and to improve the position if possible. I very soon arrived at the conclusion that it was the system of levying the railway charges that was mainly respon¬ sible for the decrease in land values. I also became convinced that the railwa}^ system was likewise responsible for the over¬ crowding of the cities. Now, the Poverty Problem has been my life study, and I have always felt an earnest desire to do something that would permanently relieve, not only the terrible sufferings of the really poor, but would also as.sist those who are somewhat above that position; in fact, to get rid not merely of poverty itself, but also of what probably causes as much misery, the Samuel Vaile & Sons, Land and Estate Agents. 14 RAILWAYS AND SOCIAL CONDITIONS. dread of poverty. When a child the sight of a beggar dis¬ tressed me, and I often asked why the poor little beggar children could not have food and clothing as I had. I could not understand then—nor can I now—why there should be so much want and misery in a world that is large enough and fruitful enough to supply all our wants many times over. It must be through defective management somewhere, and it appears to me to be a reflection on our boasted civilisation that such a state of things should exist. Having discovered what I believe to be the chief cause of poverty, I set to work to find a remedy, and having, as I believe, also done this, have spared neither labour nor money in pressing it upon the attention of the community. My conclusion is that the only remedy for the world’s troubles is to place a much larger proportion of its population on the land: and in order to do this the first requisite, is not only good roads to the land, but also right government oj these roads after they are made. This is my reason for sticking so closely to this question of railway reform. No other motive would, in my opinion, have justified me in spending the time and money on it. For now nearly twelve years I have devoted every spare moment of time to pursuing this object, and have expended of my own funds more than nine times the total amount contributed by the public through the two Railway Reform Leagues. I mention this, because if the reform move¬ ment is to be carried on to a successful issue it is necessary that the public should render more help than it hitherto has given. It means work and money, more of both than I alone am able to supply. During the twelve years mentioned many of those who took a deep interest in the movement have passed away. Among them I may mention, with feelings of gratitude and deep regret. Sir Harry Atkinson, who firmly believed in the new system, and gave me valuable support in the Parliamentary Committee of 1886, Sir Frederick Whitaker, Mr. Macandrew, Judge Bathgate, and Messrs. R. W. Moody and Jas. Stoddart, railway experts, who carefully investigated my proposals and certified to their soundness. Others, as Sir George Grey and Captain W. C. Daldy, are getting far advanced in life, and many others have left the colony. There is, therefore, urgent need for fresh blood and for younger and more active men to come in and help, if, as I have said, this work is to be carried to a successful issue. There ought to be many such, while others might assist with funds. If there are aii}^ disposed to help I shall be glad to hear from them. I gladly avail myself of this opportunity for again thanking the Press of the colony for the large amount of space placed at my disposal, and also for the kindly encouragement given me in the leaders of most, I think I may say all, the leading papers of the colony. My thanks are also due to the Chairman INTRODUCTION TO THIRD PAMPHLET. 15 {Captain W. C. Daldy) and Committee of the Railway Reform League, to Sir George Grey, those members of Parliament who have assisted me in the House, and the large number of friends who, from all parts of the colony, and from some places out of , have sent me kindly letters of encouragement and valuable information. Ma)^ I hope they will continue these favours. Samuel Vaile. Auckland, N.Z., March, 1894. RAILWAYS AND SOCIAL CONDITIONS. By Samuel Vaile, of Auckland, N.Z. Note. —The substance of the following pamphlet was—at the instance of Sir George Grey—written in 1886 for the “ Fortnightly Review.” The article was accepted and promised publication, but from some cause—probably the change of editors which at that time took place—it did not appear, nor have I been able to recover my manuscript. Six thousand millions of pounds sterling (^6,000,000,000) may now be said to represent the sum expended in construct¬ ing the railways of the world. It is not possible for the human mind to form any just conception of what this sum of money means. It is nearly ninety times the amount of the British national debt, and, as Professor Hadly has pointed out, it is three times the amount of all the gold, silver, and paper money there is at any one time in the whole world. Next to the lands of the world its railways are far and away its greatest interest. Both as regards capital value, and the influence they exercise on the commercial, social, and military condition of the world, they tower far above all other institu¬ tions. The more the mind dwells on this subject the more it feels lost, and utterly unable to grapple with the problems that open up. Such is the vast institution which during the last sixty years has grown up among us, grown up we hardly know how, and certainly without that close governmental supervision which its magnitude and importance demanded. What a marvellous amount of financial engineering and organising skill it has taken to bring the railways of the world up to their present position ; and yet how little real thought has been bestowed on the most important question connected with them. Here is this tremendous institution, which absolutely dominates our trade, commerce, and social conditions, the out¬ growth of sixt3^ years of the most progressive period of the world’s history, the expenditure of ;^‘6,000,000,000, the con¬ centrated thought of the very best brain power, in finance, engineering, and organisation, and still—I believe I am right in saying—that not one of the great writers on political economy, not one of the world’s great statesmen has ever de¬ voted one half a page to considering this question. /6’ this vast, this stupendous concern being administered in a way that benefits or injures mankind ? THE FIRST WANT OF SOCIETY. 17 How is this marvellous fact to be accounted for ? Is it because of the intricacy of the subject, and the great difficulty of procuring reliable details, or is it because it has been uni¬ versally taken for granted that railways are commercial insti¬ tutions and commercial institutions only ? Probably from both these causes. But is it a sufficient reason, and ought not more’attention to be devoted to so great a subject? Quite certain it is that railways wherever they exist, must, and do, exercise a powerful influence for good or for evil, as they are rightl}^ or wrongl}" administered. It appears to me that from the very first there was a great error committed. Railways originated in England, and there the serious mistake was made of allowing private individuals to construct them, and use them for the mere purpose of putting money into their own pockets. There was no thought but how much per cent, could be got out of them. The British Government did not even take the precaution that was taken on the Continent, of providing that after ninety-nine years they should become State property ; nor did they, as in France, cause them to be laid out as a comprehensive national system of highways. In the United Kingdom and America they were made absolutel}^ private property, and power was given to the owners to levy tolls (note the reference to the toll bar) of so much per mile^ for the conveyance of goods and passengers. Ever3'thing was, in fact, practically abandoned to the interests of the shareholders. Railways, wherever the>^ exist, are pre-eminently the great highwaj^s, and they that rule the roads rule the trade and commerce of the country. They hold it in their hands with an iron grip. THE FIRST WANT OF SOCIETY. What is the first want of society ? Food, says someone* Well, it is quite true that none can live without food ; bu how is that food to be obtained ? It can only be produced by the application of labour to land. And in order to apply that labour, what is the first thing wanted ? Is it not a road in order to allow labour to approach and get on to the land ? Therefore a road is the first want of society. In its earliest stages a foot track had to suffice, then as people multiplied and wants increased, the foot track became a bridle track, then a road for wheeled vehicles, then a rail¬ way, and as every improvement in the road takes place, the prosperity of the district increases. I therefore argue that the prosperity of anj' community will be in exact proportion to its transit facilities. If I am correct in stating that the first want of society is a road, then it follows that the transit question underlies every other social question, and that our social conditions generally 18 RAILWAYS AND SOCIAL CONDITIONS. cannot be set right until this transit question is permanently placed on a proper footing. The difference between common roads and railways consists in this : on the common roads the users provide their own means of locomotion. On the railroads, owing to the nature of their construction, the owners must do this. But so far as making mone}^ is concerned, there is no logical reason why money should not be made out of the common roads, as w^ell as out of the railways. Indeed, seeing that, as compared with railways, they are mere by-ways, it is probable that it would inflict a less injury on the community. Did, however, a Government ever exist that v/ould dare to do such a thing ? INVISIBLE TURNPIKES. Let us see how it would work. Suppose the British Govern¬ ment were to say, we want money, and we will make it out of the common roads. We will lease them to a company, and give power to place a turnpike at every mile along them, but in consideration of the fact that the users will provide their own means of locomotion we will only allow half the charge to be made that is made on the railways. What would be the effect? Suppose, again, a professional or commercial man to have his office in a city, and his residence ten miles from it, would he, could he, pass ten turnpikes coming and going—twenty turnpikes every day ; What would be the effect on the value of the land ten miles out ; what twenty, forty, one hundred miles away ! Now, absurd as this proposition may seem, it is exactly what we have on the railways of the world. These turn pikes are indeed invisible, but they are there all the same, and the tolls” are rigidly exacted /or every mile passed over, the only difference being that they are all collected in one sum at one end or other of the journey, but paid to the uttermost farthing they must be. It is very eas}^ to see what a pernicious influence a turnpike at every mile on a common road would have on all our social conditions, but it seems almost impossible to make the public see that mileage rating on a railway has precisely the same effect. The idea that the first duty of a railway is to pay dividends, and that it must be worked on what are called, or miscalled, ‘ ‘ commercial principles, ’ ’ seems to be ground into our very bones and marrow. It is this turnpike s^^stem that has absorbed all the small users of land, and rendered it when situated more than twenty or thirty miles from a large city available for grazing purposes only or for grain growing in large areas where machinery can be used. The husbandman is completely shut out. Great as the evil of mileage rating is, that is not all, it is aggravated by differential rating. It is true that since the passing of the Inter-State Commerce Bill of America, and the INVISIBLE TURNPIKES. 19 last Railways and Canals Traffic Act of Great Britain, the worst features of this vile system have been done away with in those countries, but so long as mileage rating exists, so long must differential rating in some form or other be tolerated, but as these rates are alwa3^s given in favour of the great cities, or in favour of great users, they largely aggravate the evil. The effect of this mileage and differential rating must be, and undoubtedly has been, to concentrate population in the cities. They render it quite impossible for the mass of workers to live on the land. THE RIGHT USE OF RAILWAYS. The question arises, for what purposes ought the railway’s to be used ? To pay dividends, the shareholder says. I denj- that anyone has a right to make money by the use of the high¬ ways ot the countr5L and this railroads certainly are, or ought to be. I hold that it is one of the first duties of every Govern¬ ment to keep its intercommunications open in such a manner that ever}^ inhabitant can make use of them according to his wants, on equal terms with his neighbour. This is the case on common roads, why should it not be on the railways ? Simply because we consider the first dut^’ of a railway" is to pay interest on the capital invested in it. . In my opinion the primar}^ object in constructing and work¬ ing railway's ought to be to enable the great masses of the people to live on land, and at the same time enable them to pursue their various avocations in the great cities and factories. If this were done how enormously- the wealth, general pros¬ perity, and happiness of the people would be increased. The masses would no longer have starvation staring them in the face the moment they were out of employment, for the little holdings would alway^s ydeld a certain amount of food, and so keep the wolf from the door. I hold firmh- to the belief that railways, wherever they- exist, ought to he owned and controlled by the State, and that the 'permanent way of a railroad onght no more to be expected to pay interest on the cost of its construction than a macada¬ mised road is. It must not be thought that I advocate working the railway's at the cost of the taxpayers. I do not. As the users of common roads have to pay for the conveying done, so ought the users of railways to be charged for this service, and I say that if these charges were made on a fair and intelligent basis, so as to serve the interests of the tvlcole community, that the profit would be so great that it would more than pay interest on the permanent way as well, and in all probability leave a large sum over towards the reduction of general taxation. What we want is to restore the social conditions that existed prior to the introduction of railway's, as regards the distribution of people over the land and the existence of local markets, and 20 RAILWAYS AND SOCIAL CONDITIONS. at the same time retain all the advantages of railway transit. Can this be done ? It appears to me that it can, by reversing the railway policy. No one now doubts that the railways have concentrated people in the great cities. This is because all the rating has been made in favour of those centres. If we were to temporarily make the rating in favour of the country districts we should just as naturally send the population there, and if we distribute population we must distribute wealth, and thus solve one of the greatest social problems. One of my aims is to bring about b}^ ordinary means all, and more than all, as regards the poverty problem, that General Booth, of the Salvation Army, seeks to bring about by charity. DISTANT LAND. We can only effect this great object b}^ making land situated at a distance from a great market practically as available for that market as land only ten miles from it. This can never be done under a mileage system, no matter how cheap the rate may be. For instance, a farmer 150 miles away p 3 .ys for 150 removes. The charge is piled up at every mile, so the farmer 10 miles out only pays for 10 removes It is clear the two could not compete on anything like equal terms. It is this evil which makes the land nationalisers claim the right to take the land, near the cities, for they very trul}' say that this is the only really available land ; but remove the turnpikes and work on the stage system, and this evil would be got rid of, for under it the 150 mile man would only be from six to eight removes away, and he could, if he thought proper, grow cabbages for the big city, and under the proposed stage system he would never be more than sa}^ 50 miles from at least one city of 2,000 or more inhabitants. If w’e want to get rid of this demand for taking land from those that have it, we must so alter the conditions that those who want land can obtain it under such circumstances as will enable them to profitably use it. This we can never do until we alter the transit S3^stem. OUR SOCIAL TROUBLES. Look where we will throughout the civilized world, what a seething mass of social trouble, of political unrest, meets our gaze. What tremendous and ruinous conflicts between labour and capital are taking place. Howsharpljq and more sharply', are the lines drawn between povert}* and wealth, between enormous riches and luxury on the one hand, and grinding poverty and dire misery* on the other. How the starving, and semi-starving millions multipLq how increasing!}^ keen is the competition between manufacturers and traders, how small has become the margin of profit, and how more pronounced is the discontent of the working classes becoming da}" by day, and how increasingly menacing is their attitude. Hungry OUR SOCIAU TROUBLKS. 21 men, and especially those who have hungry wives and chil¬ dren, are dangerous animals, and we shall do well to find some means of removing the universal discontent that undoubtedly exists.* We shrink with horror from the outrages of the Anarchists ; but when we consider the terrible sufferings of the poor, are they to be wondered at ? They say it is the onl}^ means they have of compelling those who have the power to take the necessary means to relieve their distress. Where does all this trouble come from ? Does it not come from the starving masses piled up in the great cities, and does it not arise from the fact that the mass of the people are cut o ff from the profitable use of the land. Cut off from the land, say my readers. Why, look at our magnificent railwa3\s, our splendid steam fleets. Quite true. We have the grandest transporting machine the world has ever seen or is ever likel}' to see ; but how do we use it ? It is curious and instructive to note, that in those countries, where the railway system has attained its highest development, that there we find the greatest social misery, the deepest povert}^ ; as for instance in England and America, and in these colonies in Victoria. In my opinion the solution of the great and terrible poverty problem is to be found in these words : Give the people access to the land, and from the land to the market. It is a very common error to suppose that because we have railways that therefore we have transit facilities. Railwa3’S have constantl}^ been worked not to give transit facilities, but to debar certain men from sending their produce to market. While railways have undoubtedly created enormous wealth, it is equally certain that they are more responsible than an}- other agency for the widespread poverty, misery, social tur¬ moil, and discontent that pervades the world. This is not owing to any defect in the railways themselves, but simpl}^ and solely to the ways in which they have been administered. Its railways, as I have said, form the most perfect transportation machine the world has ever seen, but the way in which this machine has been used and abused is a disgrace to modern civilisation. I know that these words of mine will sound strange to those who have only a superficial knowledge of the question, and *In a paper read before the Auckland Institute on the 21st September, 1885, and afterwards published in pamphlet form. I used these words ;— “Remember that railways are a new institution. It is only half a century since they were introduced, and not more than twenty years since the}' were fully developed. We have not yet felt the full effects, It is the next ten years that will try us ; and I say that during that period one of two things will happen—either a complete change in the (syvStem of administration), or commercial and social ruin such as we have never seen before.’’ This was written during a period of great prosperity. What do we see now ? 22 RAILWAYS AND SOCIAL CONDITIONS. who are accustomed to think the administration of the English and American railways perfect. If these individuals would study the Board of Trade returns, and the evidence taken by the various commissions appointed by the two Governments, they would soon alter their opinions. Mr. R. A. Cooper, one of the leaders of the railway reform movement in England, in writing to me in reference to the mismanagement in New Zea¬ land, says, ‘ Your experience is more than paralleled here.’ The report of the working of the Hungarian ‘ zone’ system, a cop3^ of which M. Gabriel de Baross, the Hungarian minister, was good enough to send me, shows how very unsatisfactory^ the sy^stem we are working proved in that country^ and the necessity which existed for a radical change. To quote General Booth ; in a recent article, he say’^s : ‘ There are three elements of national wealth—Production, Preparation, and Distribution. In the present state of civili¬ sation the last two elements have had sufficient attention, but what is the good of this if we have no production.’ Probably ninety-nine men out of every^ hundred share the General’s opinion, but is it a fact ? I fear that he and they have been dazzled. They^ have thought of the splendid mer¬ cantile navies of the world, of its vast and complicated rail¬ ways systems, its grand canals and waterway^s, and they- have said, what more perfect distributing agency can you have ? Quite true. I admit the great beauty, the grand perfection oi the instrument, but again, what shall we say of the way^ it is being used, with this fact staring us in the face—that in our own Empire, in India and other places, to say^ nothing ol Continental Europe, we have tens of thousands actually dying of starvation, and many^ millions on the verge of it, while here in New Zealand our farmers cannot get more than is. 6d. per bushel for their Indian corn, or in many cases is. iid. for their wheat. There is surely something very wrong. It appears to me that poverty and misery are not so much due to the want of production as to the want of a proper system oi conveying producers and produce to those parts of the world where they^ are most needed. I have thought long and deeply^ over this terrible problem, and the conclusion I come to is this : that the cause of the trouble is the fact that for all practical purposes the great masses of the people are cut off from access to the land. Not¬ withstanding our grand transporting agency, owing to the system on which the charges are arranged, it is not possible for the masses to make use of it. This acts alike to the disad¬ vantage of the owners of the instrument, and to those wffio would make use of it if they could. HOW IT WORKS. Why, we have spent six thousand millions to practically place a turnpike, a barrier, at every’ mile along the great high- TRADE DEPRESSIONS. 23 ways of the world ; and in this fact alone we have more than sufficient cause to account for all the trouble, miser}^, and dis¬ content that exist. Consider for a moment what they mean— how they bar the flow of trade, commerce, and social inter¬ course. Let me try and make this clear. Here is a ton of goods required to be moved 150 miles, and the charge is 2d. per ton per mile. We will say that the cost of production and taking them to the starting point on the railway was £2 per ton, and their price at the market town £2 los. When these goods have travelled 60 miles all the profit will have vanished, and on their arrival the owner will have to pay 15s. additional for railway charges alone. If the profit at the starting point were 15s. per ton, it would all be gone when 90 miles were passed over ; if 20s. per ton 120 miles of transit would consume it all ; so that on the three tons, in addition to a loss of the whole profit of 45s., the unfortunate user would have to pay 30s. more, or 75s. in all for railage charges alone. This is how thousands of people have been ruined without knowing exacth^ what it was that injured them. It matters nothing what the rate per mile is, it is the system that is wrong. If the rate were only ^d. per ton per mile, the result would be the same, for, as I have already pointed out, a man 150 miles from a market could not compete with a man only 10 miles away. TRADE DEPRESSIONS. We have all heard and read a great deal about trade depres- vsions, bank failures, and financial crises, but it does not appear to have occurred to any of the writers or speakers to note the fact that these things did not exist prior to the rail¬ way era. They have only existed during the last sixty 3^ears as regularly recurring events. During this period seven of these great waves of depression have swept over and devastated the world, and each of these as it came along has been bigger, broader, deeper, and higher than its predecessor, has lasted longer, occurred at a less interval, and has left a greater sea of desolation behind it. What is the cause of this ? There must be some great underlying cause, some great evil at the bottom. What is it? What is there in the world of sufficient magnitude to produce such a universal result ? My reply is, its railways, and that there is no other institution of sufficient magnitude to so powerfully affect its trade, commerce, and general social conditions. But if this institution, built up by the expenditure of six billions of pounds sterling, is, as I contend it is, admin¬ istered on utterly wrong principles, we have here a more than sufficient reason for all the troubles that surround us. The more I study this problem the more I am convinced that we shall never restore trade and commerce to a satisfactory con¬ dition until we reform our railway administration. 24 RAILWAYS AND SOCIAL CONDITIONS. WHY THE EVIL EFFECTS WERE NOT SOONER FELT. But I shall be asked if this system is as bad as you describe it to be, how is it that it has lasted so long ? For the follow¬ ing reasons:— Railway construction commenced in England with the Stockton and Darlington line, in 1825, or sixty-eight years ago. Let anyone examine the map of the United Kingdom at that time, and they will .see it covered with numerous and prosperous country towns and villages. Most of these towns had their own corn and w^ool markets, some their butter markets, and all a considerable local trade. In 1838 the London and Birmingham line was opened, other lines connect¬ ing the provinces with the great cit}^ rapidly followed, and then the work of concentration and absorption went on apace, and the local markets gradually but surely disappeared. But Great Britain was a thickly populated and wealthy countr3L She, too, for many years enjoyed almost a monoply of the manu¬ facture of railway material, and to her fell the lion’s share of the ^6,000,000,000 the railways of the world have cost, but now that they are for the most part constructed, and her population and trade largely concentrated in a few chief cities, she feels the strain, but it takes a long time to absorb a country so situated. When in 1831 railway construction was commenced in the United States, there existed in that country a large population on the sea coast and the shores of the great rivers, they had an immense undeveloped interior country to deal with, the pro¬ duce of which found a ready market in Europe, their enormous railway construction employed a vast number of her people, and the constant stream of immigration brought in immense wealth. Their interior is now opened up, their railway system approaches completion, immigration has greatly fallen off, and in America, too, the pinch is severely felt. The first railway in Australia was opened in 1855. The same conditions that prevailed in America also existed in Australia, but in a less degree, and consequently the evil effects of the vicious concentrating system sooner made them¬ selves felt, and we all know the state her railways and finances generally are in now. In New Zealand railway construction commenced in 1870. Here also the American conditions, but in a still less degree, prevailed. Our experience so far is a comparatively short one, and our grand coast line and splendid waterways make us less dependent on railway transit, but for all this the same evil results are rapidly manifesting themselves. In all these countries we have the machine, a ver}- perfect machine, too, but again, how about the admini.stration ? HAVE THE MASSES TRANSIT FACILITIES. 25 More than a century ago the Abbe Raynal wrote : ‘ Let us travel over all the countries of the earth, and wherever we shall find no facility of travelling from a city to a town, and from a village to a hamlet, we may pronounce the people to be barbarians; and we shall only be deceived respecting the degree of barbarism. ’ He was undoubtedly right. We, how¬ ever, need not flatter ourselves, that the mere fact of the existence of our splendid railways proves that the mass of the people enjo}^ transit facilities ; they do not. If they did, the dream of the Stephensons that ‘ the time would come when no poor man could afford to wmlk,’ would long since have been realised. Nor can it be pretended that railways are worked for the general public good. Only too often they are worked to inflict positive injury. Numerous instances might be given of the truth of this statement. For instance, there is the w^ell- known fact that, b}^ a manipulation of the railways, in ten years the value of agricultural land in the State of New York was depreciated to the extent of ^45,000,000. The same thing is going on in this country (New Zealand) at the present moment as regards Timaru, Oamaru, etc., and the British bondholder has alread}^ suffered in consequence. While this sort of thing may bring, and often does bring, some present gain to those who have the control of the railways, in the end it brings ruin to them also, for the destruction by absorption of trading centres must mean loss of transit trade. Railw^ay controllers often have it in their power to defeat the laws of the land. For instance, the Government of a country may make a large grant to improve a harbour, but the railway men can set the rates against that harbour and so make it practicallj^ useless. Liverpool was greatly injured in this way, and Oamaru and Timaru in this country are being ruined by the same means. DISADVANTAGES OF THE PRESENT SYSTEM. Nearly everyone is now convinced that the railway system is respon.sible for the tremendous overcrowding of the great cities, and for the depopulation of the countr}^ districts. Several writers have dwelt forcibly on the many and great evils resulting from this state of things, but so far as I am aware they have all failed to point out a feasible remedy This overcrowding brings troubles untold in its train. By taking population off the land, production is decreased, and consequently there is a less and less demand for labour. Great masses of people being pent up in the cities—barred in by the invisible turnpikes mentioned above—poverty is soon largely increased. City dwellers are not producers ; they are only exchangers and improvers. The turnpike system absolutely compels manufacturers to locate their factories either in or as near as possible to the city 26 RAILWAYS AND SOCIAL CONDITIONS. which is the chief market for their products, because every mile they have to move their goods adds to the cost of produc¬ tion or distribution, or to both. For the same reason the workers in factories must live in cities ; they cannot live on land, because every mile they move on a rail takes more and more from their small earnings. Now what is the natural result of this? The factories run on until there is a large amount of what is called over production. Then, what hap¬ pens ? Paying prices cannot be obtained, so an effort is made to reduce wages. Then the mills are run short time, and finally many of them are closed. What becomes of the workers ? They are reduced to a state of ENFORCED IDLENESS, compelled to live in garrets and cellars, or a very small house at the most ; they wander about the streets seeking for work, which cannot be found ; the little money saved soon goes ; the furniture, bit by bit, is sold, then the tools, and then there are starving wives and children, and angry and desperate men. The great reason of poverty is idleness, but in nine cases out of ten this idleness is enforced. The Anglo-Saxon race, as a rule, wants to work, and would work if it could ; but now to obtain work is often impossible. contention is that all this would be altered if we could enable labour to live on land. Then there would compara¬ tively be but little idleness ; for if the worker could live on, say, from one to ten acres, when work in the factor}^ ran short, he could always find employment for a time on the little homestead, and thus it would mean a transference of labour from the factory to the land, or from the land to the factory, as it was required ; and although the individual might ex¬ perience some little inconvenience, the nation would not suffer as it does now. The advantages of enabling labour to live on land are ver}" obvious. The workman’s wife and family would do a great deal towards the cultivation of the holding, and they would draw much of their food .supply from it. This would all be so much increased national wealth ; and as the worker under these circumstances would not be reduced to starvation point, he and his family would the sooner be able to become customers for the factory, and thus we should not be subject to the terrible and long periods of trade depression that we are experiencing now. THE farmers’ trouble. The same trouble that besets the city worker also assails the farmer. I shall perhaps make this more readil}^ understand¬ able by the following diagram. The starting point of this diagram represents a farm 150 miles awa}' from a market town. The ‘ husbandman ’ has 50 tons of produce to send to the market, on which when it leaves his farm there is an THE farmers’ trouble. 27 At this point = all the los. profit is gone in rail- — way charges. average profit of 15s. per ton. Say, 10 tons have a profit of los. per ton, 30 tons have a profit of 15s. per ton, and 10 tons have a profit of 20s. per ton. We will suppose the farmer’s average charge to be only 2d. per ton per mile—the illus¬ tration will be the same if it were only id.—he starts to move, and with the following result :— Miles. Farm —'— 10- 20— — 30— 40—■ 50- 60: 70— 80— At this point 90= = all the 15s. profit is gone. 100- no— — At this point 120= = all the 20s. profit is gone. 130— — 140— — Market town 150—i— On arrival at the market town the total railway charges, in¬ cluding ‘terminals,’ would be ;^66 3s. 4d. Thus, after losing his whole profit of ;^37 los., he would have to pay a further sum of ^29 3s. 4d. for transporting 50 tons 150 miles, and in addition would have to pay his town agent. Is it any wonder that people leave the country and crowd into the cities. Farmers clamour for chea}) rates. They ask that lime, manures, and produce may be carried at merely nominal charges. But is this really what they want ? Suppose it were done, what would be the result ? Would the farmer get the profit made by this reduction ? He certainly would not. For a short time he would get some share of it, but that is all. If it enabled the 2fo. loaf to be sold for 2d. instead of 2^d., for the lower price it would soon be sold. Prices always adjust themselves. While a low charge for freight is very desirable, what the farmer stands much more in need of is greater equality of treatment and more local markets. He wants to be brought near to his market, not so much by a low freight rate as by ignoring distance, that is to say, the distant farmer must be placed more on an equality with the one who is close up to the market. We must not take mere distance so much into account as we now do. Mere lowering of charges is not an unmixed good ; it all tends to cheapen production, and that has probably gone too far already, for the cheaper goods can be produced the cheaper they wdll be sold. LOW PRICES AND POVERTY are in my opinion synonymous terms. The lower the price the smaller the margin of profit, and, as a rule, after a while 28 RAILWAYS AND SOCIAL CONDITIONS. the smaller the transactions. To give an extreme example : China is a countr}^ of low prices; there it is a common thing to buy a slice of a pear. What margin of profit can there be on such transactions ? In this country many of us can remember when money was not obtainable for less than from lo to 20 per cent., when fair qualit}^ unimproved land brought from to ^5 per acre, a labourer commanded 8s. to los. per day, and an artisan from 12s. to 15s., while farm produce was three to five times the price it is now. Then we all lived in great comfort, and made and saved money. Now that we can get all these things for nearly nothing, who can save anything ? Is it any advantage to the communit}^ that the farmer should have to sell his wheat at is. iid. per bushel? belief is that with the in¬ troduction of a sound system of railway administration there would come an immediate advance in prices all round, because the alteration would enable us to make profitable use of the land, which is the source of all wealth. A COMPLICATED AND SECRET SYSTEM. Another great objection to the present S5’stem is that it is a complicated and secret system ivhich no one can understand^ except by prolonged and careful study. This complication is neither a matter of accident nor necessity. It has been care¬ fully, elaborately, and designedly built up for the purpose of confusing the public, and thus compelling the users of railways to ‘ inquire at the station for their rate,^ in order that the owners and contractors may be able to extract from the users ‘ what the traffic toill hear.'' My words may seem harsh, but they are literall}^ true, as may be seen by a reference to Mr. J. P. Maxwell’s report for 1884, the London Chamber of Commerce Journal, and the Royal Commissions of Great Britain, the American Commis¬ sions, the writings of Hudson, Ely, and numerous others. The ivhole present railway system has been cradled in fraud and reared in corruption., and there will be no real lasthig progress hi the world until it is entirely sioept away. Since the establishment of our New Zealand Railway Commissioners our local complica¬ tion has been ver}- largely increased, and the thing called a tariff has swelled from forty-two to seventy-seven pages of foolscap folio. It is now utterly impossible to follow it, so frequent and complicated are the changes. The disadvantages to trade and commerce are enormous, for if producers and manufacturers cannot tell the cost of transit, how can they estimate the cost of production. It is this that prevents many small and some large industries from being started. To show the complexity of the present ‘ abominable no system of railway, ’ as Professor R. T. Ely aptly calls it, I have only to quote our own New Zealand experience. Here is the thing which is called the SCALE OF FARES, EXC. 29 ‘scale of fares, rates, and charges on the new ZEALAND GOVERNMENT RAILWAYS.’ We have but 1,886 miles of railway, and yet this is said to be necessary to describe the charges to be made on them. It comprises seventj^-seven pages of foolscap folio. As regards passenger traffic, it has ordinary, single, and return fares, twenty different classes of season and excursion tickets, to say nothing of the different periods and classes for which these are issued. Then we have no less than one hundred and twenty special suburban fares, with a whole crowd of regula¬ tions in reference to the above. This for passenger traffic only, and we are told the charges are the same everywhere. For parcels, luggage, horses, carriages, dogs, calves, bicyles, perambulators, milk, etc., there is a bewildering variety of charges and regulations. It is almost impossible to enumerate them. For goods we have fourteen different classifications, with local rates innumerable and regulations as vexatious as possible. Then there are six hundred and sixteen prices quoted for the transit of ‘small lots.’ Local rates, that is to say, special differential rates made for various districts, as they may be favoured by the Commis¬ sioners or otherwise, cover sixteen pages of the precious docu¬ ment, and still we are told that the same charges are made in each district. To interpret this mass of inconceivable con¬ fusion we have eight hundred and twelve alphabetical refer¬ ences, and even this again cannot be understood without numerous references to interpret it. SOME OF ITS BEAUTIES. Mr. Commissioner Maxwell says cadets of sixteen years easily interpret this precious document. Will he then say how he came to pass the following (Gazette 20/5/93, page 749) :— Local rates Dunedin and Port Chalmers to Oamaru : ‘ Ship’s goods, classes A.B.C.D., 15s. per ton, minimum quantit}^ 10 tons.’ And on page 753—Dunedin and Port Chalmers to Oamaru: ‘Goods A.B.C.D., 12s. 6d. per ton, minimum charge is. qd.’ So that on the one page they say they will not take less than 10 tons at 15s., and that they must arrive by ship, and on the other page, for the same class of goods and the same distance, no matter how the}^ ariive, they will take them at 12s. 6d. per ton, and in such small quantities that the charge ma}- be only is. qd. What is the cadet to do? The object of this is to catch any unwary shipper of less than 10 tons, and say to him, ‘ Oh, yours are ship’s goods, and you must pay full rates ’ the intention being to destroy our coastal trade. The tariff abounds with regulations like these, which are differential rates, against the poor man ; Class E., grain, etc., minimum quantity tons, which means that for con¬ veying 1)4 tons of grain 100 miles the charge would be 17s.. 30 RAILWAYS AND SOCIAL CONDITIONS. 5d., but if the man had only ton to send the charge might be 17s. 5d. or 8s. 8d., or if he had a ton and quarter to send he might have to pay either 17s. 5d. or 21s. qd., I suppose on the principle that Squeers dealt with his milk, ‘ Serve him right for being so weak. ’ If he wanted two tons of ‘ brown coal ’ he would have to pay either 21s. 8d. or 34s. lod., while the man who would take not less than four tons would get the whole lot taken for the 21s. 8d., and he could not be charged any more. If the sender was a favoured man, or lived in a favoured district, he would be charged the lower rate, if the reverse, the higher one. Manifestly his wiser plan would be to fill up his weight with stones or earth, and make the rail¬ way do all he could for his money. I could multiply examples, but these will suffice to show the injustice and utter rottenness of the system. I am aware that the department says that where two prices are named the ‘ intention ’ is that the lower price shall be charged, but if this is so why is the higher price retained in the tariff ? Many of my English readers will think I am romancing when I tell them that precisely similar charges and regulations exist on nearly the whole of the British railways. Our system is merel}^ a slavish copy of the English system. A ver}^ amusing chapter might be written pointing out the many absurdities in this wonderful document, as, for instance, it provides that scoria ash, boulders, ship’s ballast, concrete blocks, etc., must be carried at owner’s risk, while the Com¬ missioners meekly take the responsibility of safely carrying bank notes, bonds (English and foreign), and other securities. They, however, make another provision that ‘ valuable docu¬ ments ’ must not onl}" be at the owner’s risk, but must also pay double rates. Why at owner’s risk? I presume we must take this as evidence that in the opinion of our Railway Com¬ missioners ‘ bank notes, bonds (English and foreign), and other securities ’ are not valuable documents, mere dross only. Perhaps they are right, at any rate, just now. Again, if biscuits are properly packed in tins or cases the owner must take the risk, but if they are in bags, so that a shower of rain would ruin them, the Commissioners take the risk. It is quite clear the whole thing wants improving off the face of the earth. All this needless confusion is made still more complicated by differential rates. This complication does not arise from trade necessities, nor is it in any way made in the interests of the public. It is done to confuse and mislead the public, and to compel them to ‘ inquire at the station for their rate, ’ so that the railway owners may extract from them ‘ what the traffic will bear. ’ The only people who benefit are the railway owners and the railway rating experts. Eet me repeat the words, rating experts. I do not refer to that HOW DIFFERKNT DISTRICTS ARE CREATED. 31 wonderful body of men the railway traffic managers. It would be impossible to speak too highly in their praise. HOW different districts are treated. A Christchurch or Dunedin merchant gets his goods of classes A.B.C. and D. carried 100 miles at an all round charge of I2S. 6d. per ton. An Auckland, Wellington, or Napier merchant has to pay for the same service 49s. 4d., 41s. 6d., 33s. yd., and 26s. 6d. respectively, and some districts are charged even more. A Canterbury farmer often gets his produce carried 31 miles for the same price that is charged an Auckland, Wellington, or Napier man for 15 miles onl}^ that is to say, the Canterbury man only pays half the rates the other men pay. Te Aroha is 115 miles from Auckland, and the charges for classes A.B.C. and D. are 25s. per ton all round. Morrinsville is only 103 miles from Auckland, or 12 miles less, and the charges for the same service are 34s., 33s. 6d., 32s. 6d., and 27s. respectively. I ask is it possible that charges like these can be made in the interests of the community as a whole ? It appears to me that they are alike a disgrace to the department that makes them and the people that submit to them. Their object is to destroy our local shipping trade. A very worthy object truly for any Government department to have before it. Such charges are now illegal in England, and in America would send a man to gaol. Lest anyone should think I am exaggerating, I quote Mr. Maxwell’s own words ; when he was called General Manager. In his report for 1884, he says :—‘ The system of rating differentially in this colony is not carried far enough, and the difficulty that stands in the way is the impatience of the public in submitting to different treatment in different cases, and the reluctance to place in the hands of the railway officers the power which would be necessary for carrying out the principle extensively. While retaining publicity by gazetting each rate, were such a principle more widely introduced, the puhlic tvould not he able to do what it now, to some extent, essays to do — read and interpret the rates generally; but the practice followed elsewhere would be necessary; the customer would appeal to the station each time he required a rate quoted.^ If the intention is to deal honestly, why object to the public reading the rates for themselves ? To show the fearful complication produced by this abomi¬ nable ‘no-system,’ I may mention that on the Midland Railway of England there are over 30,000,000 rates. This it is that gives the rating expert his power ; and it is because I seek to simplify the system that the Commissioners are .so totally opposed to me. 32 RAILWAYS AND SOCIAL CONDITIONS. The statement is constantly made that the people will not settle on the land, that they hate country life, and only value the attractions and dissipations of the cities. The fact is that they cannot live in the country, they are barred back by the invisible turnpikes, and forced to keep in the cities. I speak from very considerable experience, and I say there is an ever- increasing demand from men of small means for land to live on, but they say, ‘ we must have a place near the city where we can find a market for our products and employment for our labour.’ The question is, would the stage system supply these wants ? It appears to me that it would, and if so no one can foretell the enormous advantage that would result from its adoption. Under it labour could afford to travel 150 miles in search of employment better than it can now travel 30 miles. But what we want above all things, in order to increase the national prosperity, to put an end to social discord, and to moderate the demands of the extreme socialists, is to create a numerous body of small freeholders, and this I contend the in¬ troduction of the stage system will do for ns. It certainly would lead to a great subdivision of land say within 20 miles of all the cities, and this subdivision of the land must lead to good results. France and Switzerland are striking examples of the value of a number of small landowners to a countr}". INTERNAL TRADE. I have often thought that the British race devotes too much attention to import and export trade, and too little to internal trade. Certain it is that the United Kingdom is now much more dependent on its foreign trade than it was before the in¬ troduction of railways. These, by concentrating population in a few great cities, by destroying numerous markets in small towns and villages, by decreasing the population of maii}^ of these, and preventing the growth of others, and thus doing away with many small trading centres, have seriously injured the development of internal trade. Great as this evil is in the United Kingdom it is greater still in the colonies, where everything is sacrificed to the export trade. The great Chinese statesmen were right when they said that a nation ought to be able to live and prosper within itself, and without any import or export trade at all. I am not arguing against import or export trade, but I do think we have placed too much dependence upon it. There is probably no branch of trade that finds so much employment for the people as transit traffic. Imagine what would be the effect if three passengers were to arrive and depart at every platform in the colony for everyone that arrives or departs now. Should we not have to build more cabs, omni- busses, tramcars, handcarts, etc. What would be the effect on the demand for horses, for feed and harness for the horses, for THE UNIVERSAL FARE. 33 men to drive and take charge of them ; how the boarding¬ houses, inns, and restaurants would be filled up ; how, in short, a general impulse would be given to trade in all directions. THE UNIVERSAL FARE. Many people have thought that the only remedy for the evils of the present system of railway administration is either to make transit by railways absolutely free, or to make one universal charge—that is to say, the same price, no matter what the distance travelled over. My study of the subject leads me to conclude that neither proposal is a sound one. Free railway transit would be a great injustice to millions of people, unless the Government were prepared to provide also free transit on all the common roads of the country, and on all the streets of the cities. This idea could not be seriously entertained. As regards the universal fare, four difficulties present them¬ selves : 1. If anyone could have themselves, their goods and belongings, transported any distance for the same price, seeing that the element of time must always be against those most distant from the market, they would naturally gravitate towards the large centres, and the effect on country towns and villages would be even more disastrous than the present system. This would be especially the case in countries like this (New Zealand) where our inland towns are few and small. What is wanted is a system of temporary protection to the thinly populated districts (what I mean by this will be more particu¬ larly described when I deal with the stage system in sparsely populated countries), so as to attract and locate population there, and then a system of from point to point of population as previously described. 2. It would inflict a ruinous injustice on all users of rail¬ ways for short distances, because the average fare or rate would have to be fixed at a price they could not pay. For in¬ stance, the average passenger fare in the United Kingdom is 7^d., and the average goods rate 5s. 4d. per ton. In New Zealand the average passenger fare is is. ii)^d. per trip, and the goods rate, including deliver}^ charge. 7s. 4d. per ton. Now, it is manifest that if these charges were taken down to one-half, or even one-third, that a vast number of people could not pay them. 3. It would certainly lead to a very large loss of revenue, as, for the reasons stated above, all short distance traffic would be practically killed. As this traffic forms fully seventy per cent, of the whole, the loss of revenue would be simply ruinous. 4. It would have a most disturbing and injurious effect on land values. Owing to the fact that town residents would be 34 RAILWAYS AND SOCIAL CONDITIONS. able to make use of railways to a limited extent only, I should, after a time, expect a serious reduction in city real estate values, while country lands not served by railways would become practically valueless, and this again would tell very injuriously on the general revenue and prosperity. What the universal fare would mean would be a present o-ain to those country districts where railways exist, but as this would be at the expense of the cities and districts not served by railways, the gain could only be a temporary one The present system is very unfair to the country, and has well nigh ruined it. The cities are now feeling the effects of the wrong done to the country, but we must not rush into the other ex¬ treme, or we shall produce equally disastrous results. The idea of one universal charge is very attractive, and at first sight appears fair, but it will not bear closely looking into, and for the reasons stated I believe it ought to be carefully