Industry’s Growth | f in Interior Real Canal Rate Issue Railroads Must Be> Able to Compete or Inland Cities Will Lose Manufacturing Plants. Industrial development in the middle treat U vitally affected by low ocean rates and low rates through the Panama canal. These rates give a preference to Indus tries located in coast and newr-coast cities. Present high railroad rates are largely made necessary by the loss of revenue freight which now goes through the Pan ama canal. The coast interests are send ing out propaganda of n subtle character for the purpose of diverting attention from the real Issue. Because of the fact that this Issue will come up for consideration In congress. The Omaha Bee hus arranged for tha publication of the facts as seen by mld dlcwestcrn industrial and business Inter ests. The following article Is the second of a series by Will M. Muupin. ARTICLE NO. 2 tty WILL M. MAI P1N. The writer of the propa ganda seeking to convince the people that the railroads are conspiring to destroy the j Panama canal closes his first f article by the astonishing statement that “the larger issue is the survival of the canal as a coast-to-coast waterway. The absurdity of that state ment is instantly apparent when the real truth is known —that the larger issue is to maintain and develop interior industries, to provide interior transportation at reasonable rates, and prevent the build ing up of the two coasts at the expense of the interior. Waterways Not Consprred Against. This subtle propagandist cites a few instances wherein railroads made rates lower than interior waterway rates, and after ruining the water transportation companies immediate ly raised their rail rates higher than ever. Upon this premise ho bases his charge that the railroads have pre vented the development of interior waterways and are now conspiring to put the Panama canal out of busi ness. The first portion of the charge may have been true as to the old days before the interstate commerce commission was created and given power to make regulations and fix jr rates. It can not be true now, nor jp has it been possible for the last gen <-w* eration. Yet inland waterways have not developed. This has not been be cause the railroads have conspired or connived, but simply because they have provided a more acceptable service. "The Panama canal, now beginning to fulfill its main commercial purpose, is a new world to conquer. That is the true purpose of the recent appli cation of the transcontinental lines for relief from section 4," says the propagandist seeking to hold up the ~r~ ‘ *'*-anal as something too sacred to touch. Hoads Not Seeking Relief. The railroads are not seeking relief from section 4, as charged. The charge has as little foundation in truth as the charge that the rail loads are conspiring to close the Pan ama canal. The railroads are resisting the ef forts of Senator Gooding and his sup porters to so amend the Interstate commerce act as to prevent the com mission, upon application and proper showing, from granting the railroads permission to make a lower through rate than the combined rales to inter mediate points, in order that they may compete with the Panama canal. It does not appear that Senator Good f ing's intent is to promote traffic through the canal. He wants to com pel the railroads to make short haul rates proportionate to the long haul rate between the two coasts. But the real effect of the Gooding amend ment will be to deprive the railroads of any opportunity to compete with the canal in transcontinental rates, rthus forcing them to suffer a loss nf revenue that must be made up by an increase in rates between Interior points. It is this phase of the question that vitally effects the Interior. Gooding Hill Would Kuin Interior. Depriving the railroads of an op portunity to compete with the Pana ma canal for traffic between the ^ coasts means that the growing Indus ^*3 . tries of the interior must either lan I1- gulsh and die, or move to one or the other of the coasts, in order to escape the increased rates that must of neces sity follow the loss of revenue derived by the railroads from transcontinen tal traffic. The Intent of the Good ing* amendment is right enough. In practice Omaha has much to can plain about. In effect It will be ruinous to the Interior sections of the country. One needs hut study the tremend ous Increase in canal traffic to gain . an adequate Idea of the effect the • canal has had upon railroad revenues. ’ June, 1924, completed the 10th fiscal year of operation of the Pnnnma canal. The subjoined table Includes only commercial vessels, no account being made of government vessels and cargoes. Of this total tonnage approximately 68 per cent Is coaat-to coast tonnage, carried in competition with transcontinental railroads. Fiscs I Tear Kindles No of Ton* of June HO Transients Tolls Carso 7 91ft .1,075 $ 4.387.57*0 4.848,464 1916 . 75K 2,406,099 3.094.114 J917 .1,803 6,627.463 7.068,563 1916 .2,069 6.439,653 7.532,031 ]9I9 ...2.024 6,172.823 6,916.621 1920 .2.478 8,613,933 9,374.439 192! .2,992 1 1,276,889 11,499,21 4 1922 .2.736 1 1.197.832 10.894,910 1923 ..3.967 17,609,414 19.667,876 1924 . 6.230 24.290,963 26,994,710 ('anal Gains as Itoads I .one. The Panama canal was opened to traffic on August 15, 1914. The low number of transits during S918 was due to the closing of the canal for icven months due to slides. Despite the construction of section 4 of the Interstate commerce net, permitting the railroads to make rates for transcontinental traffic com petition In some measure with ttie rates via the canal, the railroads have constantly lost tonnage, and there fore lost revenue, while the canal has g gained Immensely In both. Manifestly 9 it is impossible for tjie railroads to compete with the coast-to-coast water wav In rates, even were they so dis posed. Their contention Is that they should be allowed to make rates that will, with service and time as ele ments, enable them to retain a fair share of this coast-to-coast traffic. One factor in the problem so far overlooked by the propagandists for the coast Interests is that while the; Interstate Commerce commission Is empowered to regulate railroads and fix railroad rates, It has no power over the Upnamu canal. On the coast-to-coast waterway the rates are determined by the shipping com panies and include canal toll fixed by the government, which is approxi mately 11.04 per displacement ton of each vessel passing through the canal.* This amounts virtually to from 60 to 80 cents per cargo ton. Government Hears Canal Expense. Now get these facts. In mind, for they each have a direct bearing upon the interior industries and develop ment^ The’ government bears all the Ex pense of dredging harbors, building wharves, maintaining breakwaters, buoying the channels and maintain ing lighthouse service. This, of course, is provided by taxing all Un people. Rut the railroads are com pelled to build their own lines, main tain their own terminal facilities, provide Ihtir own switch and signal tower lights and maintain their own depots, freight houses and yards and hear the expense of maintenance of roadway. This expense borne by the railroads and not borne by the users of the waterway, must be reflected in rates that will compensate for the outlay. The next article will discuss the matter of controlling Panama canal rates. Dad and Son Banquet Held. Tecumseh. N’eb., Dec. 14.—The Te cumseh Hl-Y held a father and eon banquet at the Methodist church last evening. One hundred and thirty men and boys attended. The princi pal speaker w«is L. C. Oberlies of Lincoln, who delivered an address upon the subject "Who? Me? Owe That Jones Boy Anything?" | Houston Riotors Freed. Leavenworth, Kan., Dec. 14.—Four of the f>7 Houston rioters originally sentenced to life imprisonment were released from the federal prison yes terday upon receipt of certificates of parole from the Department of Jus tice. The Daily Cross Word Puzzle . _ ■■ ■ ...... .J ~ ' wu rr j» . To sink dowfi. 27. To bend the head. 30. A read cedar. 31. Stamping device. 33. Religious abbreviation. 34. Soft cushion. 35. Fernlike. 37. Rain and snow. 38. Year (Latin). 40. To hinder. 41. Abounding with rain. 43. Medicine. 44. A wrap. 60. To move. 52. Word of denial. The solution will appear tomorrow. Solution of yesterday’s puzzle. b i WEST INDIES MERCHANT HOME Special l>i«pnt< h to The Omaha Bee. Wymore* Neb. Dec. 14.—Denzil Noll. Wymore High a-hool graduate of the class of 1908, now a merchant at St. Thomas. Virgin Islands, West Indies, has arrived in Wymore, being called hack by the serious illness of his mother, Mrs. Dave Noll, pioneer resident of Wymore. Mr. Noll was formerly in the United States Consul lor service in Porto Rico, and for a time was United States district at torney there and at St. Thomas. Agricultural Club Elects. Special I’l-pap h to The Omaha Bee. Tecumaeh, Neb., Dec. 14.—The Johnson County Agricultural and Me chanical association. In annual meet ing here westerday, re-elected the fol low.ng officers: President, J. F. Kuhlman: vice president, J. H. Mil ler; secretary, Carl H. Brock; treus urer, J. V. Johnson, members board ojf directors: T. K. Roberta, H. C. I.lntz ami W. A. Kelley. It was dc elded to hold the 1825 county,fair tlie week after the state fatr, which will he September 7 to 11, Inclusive. ' 140,000 wortom brkllko a mo dkrimko rom GROSS-WORD PUZZLES THI FUNK * WAQNALLS •Practical Standard I ‘5.001 Dictionary I ‘6-oo I f Whether it be a word of four loiter* mean-1 Inf “intellectual” a or a word of twelve | I letters meaning “way"—whatever your1 problem may be, this volume la yoor great est aidt Famed*wherever English la apoken aa, the dictionary that "answers a million! questions.” Defines 140 000 term*; fives 1 fi.OtlO proper names, 12,000 lines of aynony ink treatments;d)009 antonyms,2,SOOiHostra tionsj 1,900 foreign phrases, and has a ho«t of other outstanding feature*. LarfMl and UtMt Abridgad Dlotlonary It* special and exclusive features of pronounced valu# bo those interested In Cros*Word Punka (and who isn't M ire that it* entire vocabulary ia in ONh j ALPHABETICAL ORDER and that thousand* of aynonym* and antonyms i] ar* given. Bible Paper Edition, with thumb- j notch in Jib. Cloth, colored edget. $*00. Fabrikoid, marbled edges, $6.00. Foot age 24c extra. | i if Don't A coopt Out-of-Dmto Bobot/tutoo I AT Ail IOOMIUIM. OH IT MAM. MKIM T*« MLlAMBMt I runh 4 WaqneHs Company, Put lit Dtp!., SB4-SS0 fourth Avanae, Now York, W.Y. I rDrr Pamphlet containing "3.500 Word# Every Peeale Solver Should Know." • I r KLL Addrraa tbe Publishers a Post card request brings It to you post paid,_ RADIANT COAL Smokeless Semi-Anthracite Lump $13.50 Mine Run $11.50 Mill $8.50 Phone WA-lnut0300 UPDIKE W See Samples of This Coal at Hayden’s Grocery Dept. Favorable Signs Continue Bright in Business Sky Retail Merchants Will Have Lower Stocks at Inventory Time Than Year Ago, Canvass Shows. By RICHARD 8PILLANK, Inlvernnl Service Finunelul Krtltor. New York, Dec. 14.—All signs In the business sky continue bright. A.-> a straw shows how the wind blows, so one example sometimes suffices to Illustrate very Important condi tion In relations to trade. Here It is: Information gathered by the Rice Stix Dry Goods company of St. Louis, a concern that does a nationwide bust ness, indicates that retail merchants will have lower stocks at inventory time than they had a year ago. Stock market operations continue on a big scale but not so big as just after election. Money remains cheap. Reports of railroad traffic are uniformly good. Some railroad executives predict 1925 will be the greatest In transportation history. What a tremendous increase there has been in values within the. last 12 months is indicated by the fact that in 12 of the 20 most active securities dealt In on the New Y'ork stock ex change last week, the advance in price had been In exoess of 20 points In some instances—Southern Rail way, for example, it went more than 40 points. Better report* come from the tex tile Industry Construction work the nation over averages 7 per cent gfeater than at this time last year. News from agricultural quarters is excellent. Grains are at the highest price since war days. Cotton grow ers have a pretty fair return. Farm suppliers from the sewing machine seller and the radio manufacturers up to the International Harvester pee pie are sharing the prosperity with the man with the hoe. All the metals seem to be destined for the large demand and higher prices. Zinc, silver and copper are leading the way. The oil people are making headway, not perhaps s" rapidly as they would like, but head way nevertheless. News from abroad is cheerful. FIRE DAMAGES LEGION QUARTERS Humboldt. Neb., Dee. 14— Quick work or. the part of the firemen of this city, today. In the use of chemi cal apparatus, saved the Home 8tate bank, and an entire block of business houses from destruction by fire to day. . The fire originated near a stove in the American Legion hall, a build ing formerly used as a theater. The f.re was discovered when It broke through the floor to the lower part of the building. Aside from smoke the damage was not heavy on building or contents. The building is owned Jointly by the American Legion Post No. 268 and N. C. Campbell. Baby Upsets Hot Water, Is Severely Scalded Special Dispatch to The Omaha Bee. Columbus, Neb., Dec. 14—Ralph Borer. 2. eon of Phillip Borer. Lind say, Neb., suffered severe burns on his amis and the entire lower half of his body when Mrs. Borer, carry ing a kettle of boiling water, sllj ed on the kitchen floor, the vessel s v. n tents hurling over the child. Big Grain Movement. Special Dispatch to The Omaha Bee. Beatrice, Neb., Dec. 14—Since the price of corn jumped to It 05 s bushel, a few farmers are marketing their grain here. The road* are im proving since the Btorm of last week, and if prices keep going skyward a big movement of grain ts looked for within the next few weeks. [a WIFE'S CONFESSIONAL Adele Garrison's !Seiv Phase of Revelations ot a Wife Copyright, lf24, by Newspaper Feature Service. Inc. V._/ The Amazing Cr.v that Was Wrung from Mother Graham. My little lad's face was turned up to mine trustfully, and I bent to him with a reassuring smile. "That's a good boy not to hurt Granzie," I said, and then with a sudden anathema at my own absent mindedness. I realized that I bad not secured .Juniors silence concerning Lee Chow. “There's something else you must not tell Granzie now while she Is sick,” I said impressively. “What?” Junior queried, his eyes alight with the determination to keep all discomfort from the old lady he adored. “She doesn't like Chinese people very well,” I answered, “so you must n't say any thing before her now about seeing Lee Chow at the beach. Don't speak of him at all.” “But I like Lee Chow lots," he re plied in an aggrieved tone. He's ter rible nice.” “Of course he is,” I assented hast ily smothering an itching impulse to correct his atrocious diction, “and you may like hint all you please. But you mustn't tell Granzie about him until she gets well and strong again. Then you may tell her all about him. and liow nice he is, and perhaps she’ll like him too. But today, re member, not a word Tibout him.” Junior nodded his head gravely. "I'll remember," he said, but I led the way into his grandmother's room with the apprehension that some where in Dicky's parlance, “the len tils would be tipped over,” Marion Helps Junior. My fears were not justified, how ever. Junior rushed into her arms with such precipitancy that at first she had no chance to sec his face so hurled was It in the hollow of her shoulder as he clung to her in childish ecstacy. Aand when she did get a glimpse of the red marks, she herself opened the loophole of eva sion for us all. "Mercy on us child!" she exclaimed. "Where did you get those mosquito bites? On that beach picnic, of course," she answered her own ques-| tlon with withering intonation. i "Haven't you put anything on them?” she demanded, turning to me. "Oh, yes,!" I answered hasteily. “I bathed them with a lotion—one of Dr. Pettit's prescriptions. They aren't as bad as they were." "I'm glad I didn't see them when they were bad," she said ucidly, and 1 heartily echoed her thankfulness. Marion dashed to the rescue with a directness and assurance which are her mother's gift to her. “Oh, Grandma Graham!" she ex-1 claimed, "If you had been with us on the picnic you wouldn't have minded the mosquitoes. We didn't, a bit. We had the most splendiferous time, and I lighted the fire with one ma tch." Mother turned nn interested face upon Lillian's winsome daughter who Is very dear to her. “To Think That I—” "Tell me about it,” she command ed, and Marion, nothing loath, launched into a glowing account of our beautiful excursion, interrupted every few seconds by Junior, patent ! Iy ambitious also to be araeonteur. I held my breath for fear there would be some inadvertent reference I to Lee Chow of the mysterous poison ! which had affected Junior's face but I marvelously neither child gave the I slightest hint of anything held back in their story. Mother Graham was a most atten tive listener at first, but after awhile I sew her attention was not given to the story, but was fixed instead in far different fashion upon Junior. She was contemplating him with the saddest expression I ever had seen her wear, and when she suddenly, looked up and saw me watching her, in troubled amazement, she burst' Into sudden tears, and motioned for Marlon to take him away from »he room. At her unexpected outburst of tears, and her gesture of dismissal, Junior gave a loud frightened wall, and for a second or two there ap peared to be a contest between them for the championship in vehement crying. "And the waters came down at Indore," I murmured to myself as I went toward my small son, who was clinging to his grandmother with his arms and legs. She dried her I own tears quickly as she saw his fright and spoke to him soothingly. "There, there, Danzie's sweetheart. Danzie's all right now, but she wants your mama to bathe her poor head. Please go away with Marlon and get your breakfast, and then you can come up to see Dansie again." It took our combiner] persuasion for several minutes to get the small Iw>y quieted and out of the room, for he evidently believed his grand mother to be in some danger which he could avert. When he had gone. I turned to my mother-in-law In the belief that I had an ordinary hyster ical fit to deal with, but to my hor rified amazement, she moaned hope lessly: . “Oh! Margaret, to ’ think that I should bring disgrace upon that in nocent child!” MEN FORM B. I. L.’S, P. 0. E. AUXILIARY Special DUpatrh (o The Omaha Bee. Cozad, Neb.. Dec. 14.—The P. E. O. Sisterhood entertained their husbands at a dinner last night. The men formed an auxilary whleh is known as the B. l.'s. Several new members were initialed at the meeting last night. The dinner was served at the home of Mr. and Mrs. W. B. Pierce. All the decorations fitted the Christ mas season. After the ceremonies of! confering the degrees the company! was entertained with radio. Stations; were heard from Winnepeg to East Philadelphia. Dniepist Sells Store. Special DUpatrh to The Omuha Bee. Beatrice, Neb , Dec. 14.—Fred Pen tier, who recently disposed of his in terest in his drug store here to his brother. Will, has purchased a store j | at Falls City. Neb., and will soon, move there with his family. Fluctuations in Bond Prices Seen During Last Week Uncertainly Over Policy of Federal Reserve Bank Causes General Reaction Early in Week. By Associated Press.' ! New York, Pec. 14.—Undue appre i Pension over a possible Increase In the local federal reserve bank's re discount rate contributed to the er ratic fluctuations of bond prices last week. Uncertainty over the reserve hank's present policy, combined with the Arming tendency of money quo tations. caused a general reaction early in the week, but the market later made irregular recovery In re sponse to maintenance of the 3 per cent rediscount rate. Trading continued on an unusually active scale despite the absence of any sensational price movements. Pally transactions at one time exceeded 125,000,000 the heaviest single day e volume of business since early In Au gust. Large dealings In Liberty bonds, which reAected the uneasiness over the money and bank rate situa tions, accounted for a large part of the total. The trhnd of the govern ment's issues throughout the week w-as lower. Merger Deadlock Broken. Breaking of the deadlock in the “Nickel Plate" railroad merger nego tiations through the acceptance of the lease terms by the Erie railroad encouraged a brisk rally late in the week in the bonds of the companies involved. Chesapeake ft Ohio con vertible 5s soared to a record high price and Hens of the Erie and “Nickel Plate" roads scored impres sive gains. Various other railroad obligations responded to constructive merger and dividend developments. Approval of the Missouri Pacific consolidation and Indications that the directors of the Missouri, Kansas ft Texas railway would Inaugurate dividends on the preferred stock this week enabled these bonds to continue their upward movement. rtility Issues Dead. A contraction in the volume of new financing brought the total for the week down to about $56,000,000, con- | trasted with more than $90,000,000 and , $137,000,000 In the two preceding weeks. Public utility Issues led the list of new offerings. With negotiations for several for eign loans nearing completion there was indications during the week the total of more than $1,000,000,000 In foreign financing so far this year would be swelled considerable before ; the close of 1924. The first portion of a projected Belgian loan, ranging be tween $25,000,000 and $50,000,000, it was reported, might be floated this I month. Offering of the American tfnumteZ&rZ 9Z, &Z 9»g Pfi | Give F ur niture for Christmas ■MStiigita-z&^-i4k&*s*tsi*s*r'Zi*rM&tzafi : 1! ^lAn appreciated giji^i aVacationJn \jlorida Someone near and dear would appreciate such a Christmas gift —a glorious winter vacation in the land of perennial summer. Finest and fastest to Florida. Through to Miami daily. Observation, club and dining cars; drawing-room, compartment — single or en suite—and open section sleeping cars serving St Augustine, Palm Beach, Miami, St Petersburg, Tampa and Sarasota. Pullman passen gers only. Valet maid, manicure. Leave Chicago 12:25 p. m. St Louis 3:50 p. m. Dependable all-year train to Florida, with an enviable record of on-time arrivals. Leaves Chicago 910 p. m, St Louis 932 p. rru, daily. Connections for all Florida resorts. Through sleeping can to Sarasota via Tampa; Miami, effective December 28th, and Savannah, Georgia. Observation car, dining car and coaches. Our baaigtffcl boehlat "Plortla" tmalu nil rahiabla iwluin- urS, fur k F'W rrrrrmhVuu, torn anrl tUrmftw ftnnSfcf. mi CMt Tlrkat oar*. Ill Aaulk mb Strut. Pb*r. Atlantic MM C. Mardork. Pl.Ulan Puungu A rant, Illtnata Caul,>1 Kuhaad III Cltjr National Bank BM, . litfc and Haxnrr St* Phan. JArkun 1114. Omaha. Nah. Illinois Central THE ROAD OF TRAVEL LUXURY portion of a Oreck loan, totaling $11,000,000, la expected this week. The Dutch Hirst Indies and Stio Paulo also have figured In loan dis cussions. .. _ - ELECTION RESULT TO BE CONTESTED gperlal Dispatch «o The Omaha Bee. Wayne, Neb., Dec. 14.Contest proceedings having been Hied by Thomas R. Sundahl, democratic can didate at the late election for county commissioner of the second district in Wayne county, through his attorney, C. W. Peaslnger of Randolph, against Henry Rethwisch, republican, who was declared elected by a majority of four votes, a hearing will be held here before Judge J. H. Cherry, De cember 29, when the ballots will he Inspected in court and evidence sub mitted. The petition claims that , while, according to the canvassing board, Sundahl received 1,598 votes and Rethwisch 1,(102, sufficient errors were made by the election boards In counting some votes and throwing out others to have elected Sundahl. Mr. Rethwisch is the present county commissioner of the second district, having served several terms In this office. STORM DAMAGE REACHES $200,000 Special HUpntrh to The OmnhA Her. Beatrice, Neb.. Dec. 14.—Telephone, telegraph and electric wires which have been out of commission most of the time since the sleet and wind storm of 10-days ago, are almost har k to normal, although linemen are still replacing broken poles and making other repairs. It is estimated that the damage to lines in this section ('f the state as a result of the storm will reach $200,000 or more. EASTERN STAR ELECTS OFFICER Blue Springs, Neb., Dee. 14.—The Eastern Star chapter of Blue Springs elected the following officers for the coming year: Pearl Sandritter, wor thy matron: Gilbert Sandritter, wor thy patron; Mae Stephenson, associ ate matron. Anne Craig, secretary. Dora Harpster. treasurer; Clara Rosenfelilt. conductress; Laura Cran nell. associate conductress. S If You Are Seeking HEALTH | Inveitigate Chiropractic No matter what your disease may be, you can tns-estieate with safety, as no qualified practitioner will accept a ease • he cannot help. Hours, 9 A. M. to 8 P. M. Member) “Omaha Atlas Club** I «§» IBi Are You A Woman Who Gives or A Woman Who Takes1 Both live and love in Wallace Irwin’s latest novel THE GOLDEN BED an amazing story of success and marriage to appear serially in this paper starting • Tuesday, December 16