Second, where the work is so large that it is difficult to get private enterprise to take it over without grants of privileges that would be exorbitant and, perhaps, scandalous. The building of the Panama Canal proved too great a task for a French private company. This does not say that an American company could not have completed it, but to get money for a doubtful or uncertain proposition is not easy. The great Sault Ste. Marie locks under Government control are very satisfactory, probably more so than if they were operated by private capital for private profit.
Third, public ownership is advisable where private lines of transportation fail to accommodate the public. Numerous applications are being made nowadays by railroads for the privilege of discontinuing trains on branch lines. In some cases these have been allowed by railway commissions, in others refused. But if they are not paying, the public will not indefinitely force the railways to maintain them. Then it will be proper for the Government to take them over, finance and operate them, even at a loss if necessary, providing the same work can not be done by private highway transport lines.
Likewise, street-car lines are complaining bitterly at the inroads of the automobile upon their business. But street-car lines are necessary to the social and business functions of a city. It cannot very well get along without them. The streets are hardly wide enough to accommodate the passenger and commercial traffic as it is. With the street cars off that would be doubled with very much increased congestion and loss of time and a correspondingly greater number of accidents.
The street cars in every considerable municipality must be kept going. The Des Moines strike of 1921 proved that conclusively. It may be necessary for the city governments to take them over and pay any deficit from public taxation. But even that will be money well expended.
The same arguments apply to those lines of railroad whose traffic consists largely of short haul and comparatively small lots. If they cannot be made to pay it may be necessary for the public to take them over and keep them running on their longer hauls even at a loss in order to prevent the congestion that would ensue to the public roads should all the traffic be forced to the truck. Also, trucks and buses are not altogether dependable in spells of bad weather, and there may be other conditions that would make the steam train the better and more economical transportion agent, as it always is where large quantities are to be transported. It would be better to try to regulate all transport service that each might be made into a paying proposition. If it cannot be done by regulation the powerful long arm of government will have to take charge.
SELECTED REFERENCES
Blanchard, A. H., “Elements of Highway Engineering,” Chapter II, John Wiley & Sons, New York.
Blanchard, A. H. and Drowne, H. B., “Text-book on Highway Engineering,” Chap. XXVII, John Wiley & Sons, New York.
Bradt, S. E., “Financing Permanent Roads,” Proceedings National Conference on Concrete Road Building, 1914, p. 26, Chicago.
Chatburn, G. R., “Highway Engineering,” pp. 335 et seq. John Wiley & Sons, New York.