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"For the first time the railroads are having the constructive help of the government in their problems," said Mr. Walker D. Hines in his lecture last evening in Emerson Hall on the transportation problem with reference to operating and other expenses.
He lauded the Transportation Act which he spoke of as "one of the most constructive pieces of railroad legislation we have ever had." He went on to show the part the inter-state commerce commission is playing in solving the railroad problem.
The main emphasis was laid on the ways and means by which the railroads do use and might use to raise capital. As an innovation he advocated the change which would permit railroads to sell their new stock below par when necessary to float new issues.
"Instability of rates", said Mr. Hines, "is a public menace. In fact eight percent of the population is directly concerned with what the railroads pay for labor. When it is realized that the railroads spend about four and one-half billion dollars yearly, it is apparent what an enormous influence the industry exerts on the country."
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