There is also a large natural increase, altogether irrespective of the charges for transmission, which must be allowed for, before the legitimate effect of the inducements presented by cheapness, or the opportunities furnished by the multiplication of wires or increased capacity in the machinery, can be estimated. Thus, in December, 1848, which in the United States bears a fair comparison with Belgium in 1852 as to date of telegraphic introduction, at the office in Buffalo, N. Y., the receipts amounted to $330.54; while in the same month of 1867, with no decrease in the tariff, the receipts were $5,392.07,—an increase of over 1,600 per cent, and exceeding by 400 per cent that which in Belgium was caused, as claimed, by reducing the tariff from $1.02 to 17 cents, but which, in Buffalo, resulted from simple natural increase caused by the growth of the country and enlarged telegraphic facilities. The annual gross receipts of the Magnetic Telegraph Company, extending between New York and Washington, were as follows:—
| 1847, | $32,810 |
| 1848, | 52,252 |
| 1849, | 63,367 |
| 1850, | 61,383 |
| 1851, | 67,737 |
| 1852, | 103,232 |
Up to the close of 1848 the above company had a monopoly of the telegraph service between these two cities, but in March, 1849, the House Printing Line commenced operations between New York and Philadelphia, and, together with Bain’s Chemical Telegraph, was continued through to Washington in the autumn of that year, so that from 1848 to 1852 the above statement only shows the receipts of one of the three lines doing business between these places. If the receipts of the other two companies were as large, it exhibits the remarkable increase in the amount of business done, in five years, of more than 900 per cent, without any reduction in rates.
The number of messages transmitted by the Magnetic Company in 1852 was 253,857, at an average cost, according to the receipts, of forty cents each.
The average cost of the French telegrams for the same year, according to the official tables furnished by Mr. Washburne, was 11.28 francs, or $2.25 each.
For the year ending November 1, 1868, the Western Union Telegraph Company transmitted over the same territory embraced by the lines of the Magnetic Company in 1852, 1,556,004 messages, the gross receipts upon which were $546,262.05, being an average of thirty-five cents per message. There are two rival companies operating lines between New York and Washington at the present time, so that the comparison between the business for the past year and that of the previous year above given is quite complete.
The gross receipts of the New York and Boston Magnetic Telegraph Association for the year ending
| July 31, | 1848, | were | $34,835.14 |
| „ | 1853, | „ | 82,214.16 |
| „ | 1854, | „ | 79,683.73 |
| „ | 1855, | „ | 101,307.98 |
| „ | 1856, | „ | 102,151.78 |
| „ | 1857, | „ | 103,134.06 |
| „ | 1858, | „ | 98,097.73 |
| „ | 1859, | „ | 96,136.06 |
In 1848 the above company had a monopoly of the business between these places, but in 1849 two rival companies constructed lines over this route and divided the business with it.
In 1848 the tariff between New York and Boston was fifty cents for the first ten words, and three cents for each added word; and to intermediate points twenty-five cents for the first ten words, and two cents for each added word.