7C HISTORY CF THE GRANGE MOVEMENT; OR, 



CHAPTER IV. 



THE CONSOLIDATION PROCESS. 



A Railroad of necessity a Monopoly George Stephenson's Views The 

 Interests of the Roads naturally Hostile to those of the People Foolish 

 Prodigality of the People Competition disastrous to the Roads Consolida- 

 tion of Railroads inaugurated to stop Competition Success of the Efforts for 

 Consolidation The Four Enemies of Free Trade Vanderbilt's Success with 

 the New York Central The Pennsylvania Company Jts History The 

 Reign of Monopoly successfully inaugurated. 



A RAILROAD is of necessity a monopoly. It is built 

 for the express purpose of monopolizing the trade of 

 the region through which it passes, and its first necessity 

 is to prevent or destroy competition. Competition 

 means cheap freights, low fares, and is in the interest 

 of the community. It deprives a corporation of its 

 power to tax the public with excessive rates, and com- 

 pels it to make only such charges as are fair and reason- 

 able. The interests of the road demand that there 

 shall be no interference with it from any quarter, that 

 its directors shall have the sole power to fix and 

 arrange the rates for the transportation of passengers 

 and freight, and that nothing shall occur to interfere 

 with the monopoly they seek to establish. 



The true nature of the railway system was plainly 

 understood and stated by its great founder and advo- 

 cate in England, George Stephenson. " He saw that a 

 line once built must impose a tax on the community, 

 if only to keep itself in existence. He also saw that if 



