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CHAPTER VI.


RAILROADS.


AMERICAN RAILWAYS.

    The American Railway System is the marvel of the age, and the most significant expression of American enterprise. To epitomize the subject, it is like the arterial currents of the human body, and no less important for the development of commercial life, than the blood for the complete growth of man. From an abstract theorem it has become the complex machinery that weaves all interests and productions into a commercial and social web. It may be termed the revolutionary agency of the Nineteenth Century, and yet, the strongest conservative power in the nation.

     To trace the history of the railway system from the first crude experiment to the completed lines now in operation, extending a distance of eighty-two thousand, nine hundred and sixty-eight miles in every section of this country, would require immense labor and research, hence, for the purpose of this Chapter, to generalize the subject will afford greater interest, leaving the more specific and detailed aspect of the subject, to be referred to under the heads of particular railways.

     Although steam as a motive power bad been discovered and used in propelling vessels, and although in 1784 the first locomotive engine was patented by Watts, the first railway was not constructed until 1825, extending from Stockton to Darlington, and operated with a stationary engine. Four years after the opening of the Stockton and Darlington road, George Stephenson built a locomotive called the "Rocket," and in 1829 it dashed along the track of the Liverpool and Manchester road at the rate of twelve miles an hour.

     The first American locomotive was built by the Kimble engineers in New York, in 1830, and was used upon the South Carolina Railway, which, in 1833, was the longest road in the world, extending a distance of 136 miles.


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JOHNSON'S HISTORY OF NEBRASKA

     In 1830 the Mohawk and Hudson Railway was commenced, and in 1831 the construction of the Harlem road and the Camden and Amboy road began.

     The Baltimore and Ohio road was the first passenger railway projected in this country, and up to the fall of 1831 was operated by horse-power. In that year it was completed sixty-one miles, and operated with an engine of American make. At the present time -- 1879 -- it operates a line of 1,489 miles and notwithstanding it had to construct thirteen tunnels -- one of which is one mile in length, in passing the Cumberland Mountains -- its cost per mile has been less than any other road in the United States, having a uniform gauge.

     In 1830, a little less than fifty years ago, there was only twenty-three miles of railway in this country, which was increased to 1,273 miles in 1836, and to 4,026 miles in 1842. From 1842 to 1849 the increase per annum was a little over three hundred miles. Since that date, however, the increase has been about 2,050 miles per annum.

     The following statement shows the total miles of road operated with the annual increase, from 1830 to 1879, commencing with twenty-three miles, and ending on the 31st of July, 1879, with 82,968 miles:

YEAR.

Miles in operation

Annual increase of miles.

YEAR.

Miles in operation

Annual increase of miles.

YEAR.

Miles in operation

Annual increase of miles.

1830

23

........

1846

4930

297

1862

32120

834

1831

95

72

1847

5598

668

1863

33170

1050

1832

229

134

1848

5996

398

1864

33908

738

1833

380

151

1849

7365

1369

1865

35085

1177

1834

633

253

1850

9021

1656

1866

36801

1742

1835

1098

465

1851

10982

1961

1867

39250

2449

1836

1273

175

1852

12908

1926

1868

42229

2979

1837

1497

224

1853

15360

2452

1869

46844

4615

1838

1913

416

1854

16720

1360

1870

52914

6070

1839

2302

389

18,55

18374

1654

1871

60283

7379

1840

2818

516

1856

22016

3647

1872

66171

5878

1841

3535

717

1857

24503

2647

1873

70278

4107

1842

4026

491

1858

26968

2465

1874

72383

2105

1843

4185

159

1859

28789

1821

1875

74098

1712

1844

4377

192

1860

30635

1846

1876

76808

2712

1845

4033

256

1861

31286

651

1877

79147

2339

1878

81841

2694

Total number of miles on July 30th 1879

82968

1127


JOHNSON'S HISTORY OF NEBRASKA

109

     The following statement shows the number of miles of railway operated from 1871 to 1879, their capital and funded debt, gross earnings, and net earnings:

YEAR.

MILES OPERATED.
CAPITAL AND FUNDED DEBT.
GROSS EARNINGS.
NET EARNINGS.

1878

81,841

$4,580,048,793

$490,103,361

$187,515,177

1877

79,147

5,568,597,248

472,909,272

170,976,697

1876

76,808

4,468,591,935

497,257,059

116,452,752

1875

74,094

4,415,631,630

503,065,505

185,506,438

1874

72,383

4,221,763,594

520,466,016

189,570,958

1873

70,278

3,784,543,034

526,419,935

183,810,562

1872

66,171

3,159,423,057

465,241,055

165,764,373

1871

60,283

2,664,627,645

403,329,208

141,746,404

     The following table shows the marvelous development of the railway system in the States and Territories named, taken in periods of ten years, commencing in 1841, and ending July 31st, 1879.

STATES & TERRITORIES.

1841.

1851.

1861.

1871.

1879.

New England States.

Maine

11

293

472

871

989

Vermont

413

562

675

873

Massachusetts

373

1,038

1,264

1,606

1,872

Rhode Island

50

68

108

136

208

Connecticut

102

451

630

820

922

New Hampshire

53

537

661

790

10,18 1/2

Middle States

New York

538

1,623

2,700

4,470

5,884 1/2

New Jersey

186

303

587

1,265

1,663

Pennsylvania

74

1,297

2,802

5,113

6,023 1/4

Delaware

39

39

127

227

280

Maryland

259

274

386

820

962

West Virginia

61

159

361

480

669

Ohio

36

588

2,974

3,740

5,180

Indiana

........

558

2,175

3,529

4,234 1/2

Michigan

138

379

810

2,235

3,621

Southern States

Virginia

223

520

1,379

1,490

1,646

North Carolina

87

283

937

1,190

1,445

South Carolina

204

378

973

1,201

1,419

Georgia

271

795

1,420

2,108

2,428

Florida

........

21

402

466

487


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JOHNSON'S HISTORY OF NEBRASKA

STATES & TERRITORIES.

1841.

1851.

1861.

1871.

1879.

Southern States- Contin'd.

Alabama

46

183

743

1,671

1,839

Mississippi

14

75

862

990

1,126

Louisiana

40

80

335

539

500

Texas

........

........

392

865

2,502

Kentucky

.28

44

549

1,123

1,600

Tennessee

........

112

1,253

1,520

1,681

Arkansas

........

.........

38

258

786

Western States.

Illinois

22

271

2,917

5,904

7,506

Wisconsin

........

50

933

1,725

2,850

Minnesota

........

.........

........

1,612

2,536 1/2

Iowa

........

.........

701

3,160

4,324

Kansas

........

.........

........

1,760

2,513

Nebraska

........

.........

........

1,129

1,384 1/2

Missouri

........

.........

838

2,580

3,420

Colorado

........

.........

........

392

1,215

Pacific States & Territories.

California

........

.........

23

208

2,149

Oregon

........

.........

........

248

283

Nevada

........

.........

........

627

627

Washington

........

.........

........

197

212

Dakota

........

........

62

290

320

Wyoming

........

........

........

465

472

Utah

........

........

........

506

580

Arizona

........

........

........

........

152

Idaho

........

........

........

........

127

New Mexico

........

........

........

........

124

Indian Territory

........

........

........

275

275

GRAND TOTAL

3,538

10,982

31,286

60,283

82,968

     That all of this stupendous work has been accomplished in less than fifty years at an expenditure on an average of $43,476 per mile, swelling the grand total outlay to something over four billion dollars, must convince the world, that the American railway system is indeed the marvel of the age, and excels that of the remainder of the world combined, both in the number of miles of road in operation, as also in the general equipment.

     In the four billions mentioned above, no account is made of what is known as "watered stock," nor fictitious valuations, but is approximately as close to the actual cost of all our railway lines as can be obtained, after the most rigid investigation.


JOHNSON'S HISTORY OF NEBRASKA

111

     The average dividends of roads for a series of years were nearly, as follows: New England roads, 6 21-100 per cent.; roads in the Middle States, 5 71-100 per cent.; Pacific States, 3 92-100, and Southern States 50- 100 per cent. Thus it will be seen, through the magnificent railway system of our country, in less than fifty years the great problem of transportation has been solved, and the distance across the continent has been abridged in time from three months to six days, and a territory more extensive than all civilized Europe has been opened up to cultivation and to the arts and sciences of a vigorous life. It is the American railway system that has brought under successful husbandry over 4,627,860 square miles of fertile lands which are now exclusively devoted to the production of corn, and 15,9436,40 [sic] square miles of wheat fields. This only in part shows the magnitude of the result, and affords a satisfactory estimate of the value of roads, even if every dollar of their original cost were a total loss to the stockholders.

     From the most reliable returns, we find that the product of grain in the western states for 1840 was about 100,000,000 bushels. In 1850 this product was increased to 250,000,000 bushels, in 1875 to 1,250,000,000, in 1877 to 1,400,000,000, and in 1879 to 1,600, 000,000, while the future, under the large flow of immigration to the fruitful fields of the west, warrants the prediction that the increase in productions for the next decade, will largely exceed that of the past ten years.

     Before the construction of railways it cost 20 cents per ton per mile to transport grain, which absorbed the full value of corn at a distance of 125 miles, while wheat would bear transportation only 250 miles. Hence the area of a corn producing circle being 49,087 square miles, determined the limited extent of territory that could be profitably cultivated. What a change! We now see over 40,000 miles of railways traversing the Western and Middle States, and the rates of transportation such as to enable the producer to ship his cereal crop a distance of from 1,000 to 4,000 miles to the Atlantic seaboard, leaving him a fair compensation for the products of his fields. Nor is this the only benefit derived from railways. They bring to the very door of the western farmer, at a nominal cost, all the manufactured articles of the east, supplying his want of agricultural implements and his domestic comforts


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JOHNSON'S HISTORY OF NEBRASKA

with all he may need or require. Those who have given this subject a careful and exhaustive study, estimate the actual benefit of railways to the the country at not less than $90,000 to each mile of road in operation. Yet, in the face of all these facts, notwithstanding the reduction in transportation, from 20 cents per ton per mile to one cent per ton, there is ample room for a still further reduction and yet leave the railways a comparatively larger margin for their services than is realized by the producer for his products. Hence, while urging the great benefits that flow directly from our system of railways, and which has given a new birth to the commerce of this country during the past forty years, there is much to be written relative to their mismanagement. This opens a wide field for suggestion and criticism, which it would be entirely vain to attempt to traverse in these pages. Eminent publicists and statesmen have given much time and study to the general management of railroads, and while some are advocates of consolidating the management of long lines, others can only see monopoly and extortion in such a policy.

     The real remedy, however, can only be reached through a healthy competition. That inevitable law of supply and demand which regulates commercial values throughout the world, will in time regulate railway transportation, and cure whatever extortion and abuses there may exist in the present system. For it must be conceded that when railways are operated with the same honesty, prudence and economy which characterize the management of private business affairs, and the integrity that is demanded in mercantile circles, there will be less to complain of on the part of the public, and stockholders would receive larger dividends.

     The future of our railway system is what now engages public attention, and the revival of the work of railway building, which a. few years ago was almost at a standstill, is a matter of universal comment throughout the nation. The country having safely emerged from all financial dangers, the contemplated Southern and Northern routes to the Pacific, a considerable portion of both of which lines are now in operation, and the full completion of which the commercial prosperity of the country imperatively demands, will in all probability be rapidly pushed forward.

     Then the vast trade this country enjoyed with China and Japan


JOHNSON'S HISTORY OF NEBRASKA

113

previous to the rebellion, through a healthy competition in transportation to and from the Pacific Coast, will be retrieved and advanced to an importance that will make the cities of the Pacific the rivals of the great cities upon the Atlantic. And to our progressive railway system, with all its magnificent equipment, and grand lines of steel rail, the means will be secured to reconstruct and rebuild our commercial marine until it shall again whiten every sea, and trade in every port in the world.

     Having said this much upon railways in general, it seems eminently proper to devote a chapter to a review of some of the more prominent lines of the country, and to that end the Nebraska lines will claim our attention.

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