t would cost to duplicate
existing railways, will not be questioned by the disinterested
familiar with late reductions in the cost of construction, and that
such a valuation is excessive is manifest from the fact that it is
much more than the market value of all the railway bonds and shares in
existence.

Mr. John P. Meany, in the _Railway Review_ of February 7, 1891, says:
"It is safe to assume that the market valuation of the entire
$4,500,000,000 of railroad stock in existence, would not average more
than $30 per share, or, say $1,350,000,000 in all," and in his _Sun_
article he states that fully $500,000,000 of this stock is duplicated,
so that the "live" stock outstanding is really but $4,000,000,000,
which at $30 per share would have an aggregate value of
$1,200,000,000. Mr. Meany also states that there are duplications of
bond issues amounting to some $300,000,000 leaving the live
outstanding bonds at $4,500,000,000 and many corporations failing to
pay interest, some issues are selling as low as 12 per cent. of par,
making it safe to call the average market value of bonds 90 per cent.
of their face value, and their aggregate value would be
$4,050,000,000, to which add value of "live" capital stock,
$1,200,000,000, and the total market value of bonds and stock is,
$5,250,000,000, being at the rate of $32,800 per mile for the 160,000
miles in operation.

After many years of familiarity with the turgid and obscure statements
issued by American railway corporations, and which are usually of such
a character that the more they are studied the less the shareholder
knows of the affairs of the corporation, it is very refreshing to read
the report of the Railway Commissioners of any one of the Australasian
colonies, where every item of expenditure is made clear, and where
words are not used for the purpose of misleading.

The last Victorian report shows this new and sparsely settled country
as able to borrow money with which to build national railways, at
three and one half per cent. per annum. How many American corporations
are able to borrow money at such a rate? This saving in the interest
charge directly benefits the public, and is due to national
ownership, and a like saving will be made by the nationalization of
American railways.

This report also shows that while the country is so rugged that in
many cases the gradients are as great as one hundred and thirty feet
per mile, and the cost of labor and supplies