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instance additional columns should be provided for such classifications.

Another advantage of this plan is that it brings to a focus the requirements of the different classifications as to methods of packing and as to the measure of rates attaching to that style of packing. In the illustration, for example, an aeroplane manufacturer would find that in carloads he would be required to pay, under the Official Classification, the rating of one and one-quarter times first class; under Southern Classification, first class; and under Western Classification, one and one-half times first class.

From such a survey, a manufacturer of baking powder would discover inconsistencies in the ratings on the basic ingredients of baking powder, such as argols, cream of tartar, and even on baking powder itself, altho it would seem that rates on such articles should bear some definite relation to each other.

Taking argols, for example, it is difficult to understand why, when shipped in barrels, the article should take second class in one instance, third class in another instance, and fourth class in still another instance.

Furthermore, argol is a crude form of cream of tartar. It seems manifestly unfair to charge a fourthclass rating on the article when shipped in bulk in barrels, and a third-class rating on the refined product, cream of tartar, as in the case of the Official Classification.

However, as before stated, the mere difference between classifications as to this requirement is not sufficient evidence to condemn a rate without hearing. It is, however, strong presumptive evidence that the requirement is unreasonable, and the industry is thus made aware of the discrepancies which affect its traffic.


Practically all carriers, either individually or thru rate associations, issue exception sheets to the classifications proper.

These exceptions in many cases authorize the application of other ratings and prescribe different methods of preparation for shipment.

It follows, therefore, that the exception sheets should be referred to in determining the classification applicable to the offerings between points, or to or from points, to which the exception sheet applies. The existence of a favorable exception enables the industry to select jobbing centers and to distribute either thru them or thru warehousemen.


The rules incorporated in the tariff proper and the rules appearing in the classification must be analyzed to determine their effect on the traffic of the industry. A concern specializing in the handling of articles of unusual length that require two or more cars for their transportation will find the extra length rules of the classification and of special tariffs of particular interest.

The concern shipping packages of small weight is particularly interested in the minimum charge rules which appear in the classifications and in many of the individual tariffs. The minimum charge is a vital factor in determining whether it is more advantageous to ship by express than by freight.


Among others, the following important questions have been considered by public commissions charged

with the duty of regulating the transportation cnarges of common carriers: the advantage of locations possessed by an industry or a community; additional service in the form of equipment; transit privileges and terminal service; back hauls or out-of-line movements; car-mile or train-mile revenue; various elements of competition, such as cost of service, length of haul, and equipment furnished; rates in the opposite direction; rates on manufactured versus crude articles; origin of traffic; previous rates; density of population; public interest; rates via competing carriers; risks by loss or damage; two or three line haul; value of commodity; value of service; volume or bulk of trarfic; and weight or bulk of shipment. Many of these topics are touched upon in a treatise on Grounds of Proof in Rate Cases and Procedure before the Interstate Commerce Commission, prepared by the LaSalle Extension University, Chicago, Illinois.

The senior rate clerk of the department can be intrusted with the preparation of the detail following tariff and rate studies, and should bring the discrepancies to the attention of the traffic manager. It may then be determined whether the issue is of sufficient importance to the firm to warrant the institution of a formal complaint before a public utility commission, and if so, what factors are to be relied upon to sustain the contention of the industry that the change in rating advocated has merit.



Purpose and Value of Graphs-Two-Dimension Graphs:
Method of Construction--Bar Charts-Supply and Distri.
bution Charts-Circle Charts-Regional Charts-Composite
Graphs-Rate Tabulations-Multiplying Copies--Conclu-


It is the purpose of this chapter to make clear the utility of graphs, and to illustrate the types and the method of construction by a number that have been used in industrial traffic work and in rate cases before the public utility commission. In the preparation of rate exhibits and in the analysis of statistics of traffic work and transportation charges, graphs are well-nigh indispensable. Graplis have been aptly styled "pictures of figures or conditions." Their preparation entails little difficulty or expense, and they enliven formidable arrays of figures.

In this connection an authority has said that long rows of figures must be thoroly studied in order to convert them mentally into quantities which may be compared as to size. This is a tedious task which many executives have learned to dread. The reason is a simple one--a row of figures does not tell a story of itself. A somewhat involved mental process is required to grasp and to visualize the real facts.


Since the problems of the traffic department usually involve two factors, such as earnings and time, or distance and elevation, or population and tonnage, graphs may ordinarily be constructed most clearly in two dimensions, vertical and horizontal. In preparing


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FIG. 42.-A Two-Dimension Graph

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