ortant, but both require attention. By reason of its special
connection with producers' monopolies does the function of the common
carrier have much to do in deciding the question whether an economic
revolution is or is not impending. It is safe to say that it is
imminent as a possibility and will become probable if the favoritism
shown by carriers to great shippers is not effectually repressed.

_How the Consolidation of Railroads makes the Repression of Favoritism
Easy._--It is also safe to say that such repression will be easy if
the consolidation of railroads themselves shall actually go to the
utmost possible length. With all lines under one central control and
earnings entirely pooled, there would be no motive for granting
special favors to any shipper except as it might come through a
corrupt relation between the shipper and some officials of the
railroads. To the carrying corporation the giving of a rebate would
merely mean a surrendering of some possible profits. With railroads
consolidated the threat of the great shipper to divert his freight
from one line to another would lose all its effectiveness, and the
interests of the stockholders in the general carrying company would
demand high rates from all. The law forbidding rebates and all other
forms of favoritism would assist the railroad company in carrying out
its own policy, and would be obeyed with the readiness with which an
order to pocket an increased gain is naturally complied with.

_A Danger which becomes greater as Discriminations become
Fewer._--This reveals the fact that the consolidation which makes the
suppressing of discriminations easy will make an all-round advance of
rates possible, in so far as merely economic influences are concerned.
Nothing but the power of the state itself can prevent this; and while
the consolidation that would be perfect enough to stop discriminations
has not yet taken place, enough of consolidation has been secured to
cause some advance in the general scale of freight charges and to
threaten much more. It already rests with the government to avert this
second evil. Monopolies extending throughout the field of production
would mean a demand for socialism which could hardly be resisted; and
even a few monopolies in industry assisted by a great one in
transportation would mean much the same thing.

_General Economic Principles governing Transportation._--With a view
to determining the bearing which transportation has o