The Lost Promise of the American Railroad

nicky9499

SSoTW Bot
TRAINLG.JPG


If you have a half hour to spare and it's a long day at the office, this is just the thing for you.

A heartbreaking tale of American passenger railroading, it's overwhelming success straight out of the Great Depression, it's heyday and agonizing, tragic and permanent fall from grace.

If you've only got a couple minutes while waiting for the bus, here are some noteworthy excerpts, also a nice summary.



Between 1896 and 1916, railway passenger traffic tripled, while journeys on added-fare Pullman sleepers increased fivefold. The high-water mark was reached in 1920, when 1.2 billion passengers boarded 9,000 daily intercity trains and rode a total of 47 billion passenger-miles.

By the end of 1935, revenues were twice what they had been when steam trains ran on the line, while operating costs had been reduced from 65 to 35 cents per mile. Although the initial $250,000 cost of the Zephyr was approximately double that of a steam train, the lower operating costs more than compensated. The bottom line showed $95,000 in profits in the Zephyr's first year of service.

On routes where trains had loped along at an average of 35-40 mph since World War I, the new streamliners quickened the overall pace to 55 mph or higher, shrinking the running times between most terminals by about one-third. The quantum leap in train speed is made vividly evident by industry reports. In 1928 there were only two trains scheduled at 60 mph or more; by 1936 there were 644. The new trains covered a distance of 40,205 miles, of which 29,301 were scheduled daily. By 1939, total mile-a-minute mileage jumped to more than 65,000--and the 10 fastest trains in the world were all U.S. streamliners.

Streamliners commonly ran 100 mph to meet their schedules; one Midwest train was scheduled at 108 mph between stops in Kansas.

While it was widely believed that airlines would eventually dominate long-distance trips of 600 miles or more and that cars and buses would eat into the short-haul business, nobody gazing into a crystal ball in 1946 could have predicted what happened next. Railroads then handled two-thirds of the nation's commercial passenger traffic, and the New York Central alone carried more people than the entire U.S. airline industry. Who could have imagined that railroad passenger volume would plunge from 790 million riders in 1946 to 298 million by 1965; that such legendary streamliners as the Liberty Limited, Royal Blue, 400's, and Orange Blossom Special would be discontinued or turned into locals, shorn of dining and sleeping cars; or that the U.S. government itself, in the form of a 1958 report by the ICC, would complacently assert that the passenger train was rolling down the track to oblivion and would in all probability "take its place in the transportation museum along with the stagecoach, the sidewheeler, and the steam locomotive"?

In retrospect, the passenger train did not succumb because the jet turbine was more efficient than the diesel engine, or because Americans owned 60 million cars, or because railroad managers implemented fewer and fewer new ideas after 1950. Behind these effects lay a more profound cause: a change in the very ground rules of transportation. After World War II, government became the railroads' biggest competitor, as first Congress and then the White House jumped into the transportation business. Released from the stringencies of the Depression and the discipline of war, federal expenditures for airports and highways rocketed to dizzying heights, driven by the politics of the Cold War and the pork barrel.

The unprecedented legislative and financial support marshaled on behalf of interstate highways completed the transformation of the railroads from a proven national resource to a rusty relic. Ralph Budd and other executives had seen the industry make more significant changes in a decade than in the whole half-century before, but in the public's eyes, railroads were run by whiners or plunderers. Eleven years after V-J Day, the train was no longer considered essential to the nation's transportation needs or even to its defense.

"When the president signed the bill, I told him he had just signed the death warrant of American passenger service," Howard E. Simpson, president of the B·&·O Railroad, recalled in an interview. An apparently indifferent Eisenhower replied, "We'll see."

Simpson was right. The impact of interstates would be little short of shattering. Between 1956 and 1969, a total of 28,800 miles of interstate highways were opened to traffic. In the same period, 59,400 miles of railroad were taken out of passenger service. General Motors, like many other manufacturers, bailed out of the passenger-train business in the 1950s, although it continued to make diesel freight locomotives at its plant in La Grange, Illinois. America's rail-passenger service dwindled from 2,500 intercity (noncommuter) trains operated in 1954 to fewer than 500 in 1969.

The success of high-speed trains abroad raises serious questions about the direction and wisdom of America's transportation choices. Despite the hundreds of billions of dollars poured into highways and airports, America has less mobility today than it did 40 years ago. The average speed of traffic in an urban area is 7 mph, "the same speed that a camel caravan traveled 2,000 years ago," according to James Costantino, director of the Intelligent Vehicle-Highway Society. With both urban and suburban highways clogged with traffic and many airports reaching the saturation point, much transportation is getting worse instead of better. The U.S. Department of Transportation estimates that $100 billion is needed to end airport congestion and flight delays that cost billions of dollars in extra fuel and wages. Up to $600 billion is the price tag for rebuilding America's interstate highways, with their cracked pavements and worn-out bridges.

It was a bittersweet moment, for the Zephyr renewed but ultimately failed to save America's private-sector passenger train. By the time of the streamliner's retirement, the industry had declined so precipitously that no technology, no matter how efficient, could rescue it. The business was beyond the therapy of traction power. After Murphy spoke, he handed the brass throttle to Lenox Lohr, president of the museum. The diesel engine was started one last time and the wail of its horn flooded the museum grounds as Lohr yanked on the whistle cord four times. Then the diesel was turned off and a small group of admirers climbed a platform that flanked the cars and filed slowly past the still-gleaming silver streak.
 
Last edited:
I will definitely have to read this.

You see, most people/corporations/societies do not have any respect, have any fascination, enjoy any memorabilia, nor have any admiration of RR's in the least ... they just cast RR's off as an un-needed outdated means of transportation ... and they purposely set out with an illegal conspiracy, to have RR's, passenger trains, and Trolley Systems demolished, and they conspired to purposely buy up the stock so as to purposely sabotage and bankrupt the RR's and public transit systems ... in lieu of the construction of the interstate roadways, ie: Eisenhhower and his paid cronies: Ford, GM, Mellon Carnegie, Oil and Gas companies ... etc ... They purposely conspired, and set out to sabotage the RR's and public transit companies ... The worst blatent outright conspiracy, of sabotage, and monopoly in US history, since Disney secretly bought up large tracts of land in FL ... and no one cared !

There used to be a trolley track running up and down every other street in most cities and town ... Today we have none !

Outright criminal, illegal corporate conspiracy, and sabotage on the rival RR's, and public transit systems ... I can fully understand why other Countries, hate this Country.

What they did was outright criminal ... and that was a totally acceptable practice of the day.

There were several presidential assassinations in US history ... and Eisenhower truly deserved "it" ... It's funny how corporate power and conspiracy stopped a bullet
 
Last edited:
Tush, you make it sound like other countries didn't have a run down of their railway systems. The difference being is that some countries have begun to re-invest in railways as part of the transport system.
 
Good morning, Nicky,

I am extremely upset with you and your thread. Rather than accomplishing all of my to-dos this morning it riveted me and consumed all of my Trainz-time budget reading it, researching, and thinking about it. Shame on you. :hehe: I expect to go back and reread that article several times. A couple of impressions and thoughts first, though.

First a thought. The notion that the interstate highway system was a brainchild of the '50s is quite correct, but it wasn't during the 1950s. Rather, it was proposed as early as the 1850s or maybe before that, if my memory, of history, I wasn't there, serves correctly. If the US was to become a continental power a highway net was a natural idea and based on the lesson of the Roman Empire. Public highways are not a villain, they are essential to security and prosperity.

Second, an impression. Considering the piece was published in 1994 the author's analysis is spot on. Chiefly, his argument that the strangulation of passenger service was not accomplished by airlines and highways, but by politicians. Transportation decisions, made by politicians, were political, aimed at construction of monuments to their enlightened reign, an impulse that goes back at least to the Pharaohs and probably before. What does that say about a renaissance of intercity and local rail service presided over by politicians? I'm not sure of the answer, but have my own suspicions.

Third, a personal conclusion. When reading the parts about the effect of air and road travel on rail in the interwar and postwar periods I started to get the feeling I was reading about the effect of the Internet on rail, air, and road travel. Why does a company pack three quarters of a ton of executives on an airliner to fly a couple thousand miles to a half-hour meeting and back, to close a deal for the sale of a few hundred thousand plastic garbage cans? The answer is: To try to tempt an additional ten cents per unit out of the buyer's pocket and to ink the contract. The Internet is obsoleting that sort of travel. Business travel of that kind is already down and will probably almost disappear soon, although there will be some left. My last project before full retirement involved weekly meetings with honchos of a company in Colorado. I resided in Los Gatos, California. I walked two miles to the meetings, as I walked to the office every day, and as many as four of us spent hours face-to-face with the aid of mics, cameras, and monitors. Documents were passed and agreements were signed electronically with the exact same legal effect as if they had been done with pen and ink on dead trees. It was all done with petty cash. Oh, the folks in Colorado did fly out once, on vacation. This, I think, is the true nature of the competition source of business for profitable rail travel, as well as passenger travel of all kinds. The travelling executive will be an extreme rarity, rising on rare occasions as a sort of Lazarus Taxon as long as the IRS continues to permit deductions for business travel, mostly as a ploy the true motivation for which is to take interesting trips.

I think that travel as soon as a true recovery gets under way will be more than 99 per cent for personal or pleasure reasons. This has a massive impact on the kind of transportation system we want to build. Rebuilding what existed before will be a waste of resources. Capturing what the airlines and buses have in order to put people on rail is a profitless exercise. Providing a pleasant trip to recreational sites or for visits to family or friends may be the key to the future. If you want a resurgence of rail, don't go after business travel; make the trip fun. Considering what air and bus travel has become that shouldn't be too hard.

Thanks for the article.

Bernie
 
Last edited:
I will definitely have to read this.

You see, most people/corporations/societies do not have any respect, have any fascination, enjoy any memorabilia, nor have any admiration of RR's in the least ... they just cast RR's off as an un-needed outdated means of transportation ... and they purposely set out with an illegal conspiracy, to have RR's, passenger trains, and Trolley Systems demolished, and they conspired to purposely buy up the stock so as to purposely sabotage and bankrupt the RR's and public transit systems ... in lieu of the construction of the interstate roadways, ie: Eisenhhower and his paid cronies: Ford, GM, Mellon Carnegie, Oil and Gas companies ... etc ... They purposely conspired, and set out to sabotage the RR's and public transit companies ... The worst blatent outright conspiracy, of sabotage, and monopoly in US history, since Disney secretly bought up large tracts of land in FL ... and no one cared !

There used to be a trolley track running up and down every other street in most cities and town ... Today we have none !

Outright criminal, illegal corporate conspiracy, and sabotage on the rival RR's, and public transit systems ... I can fully understand why other Countries, hate this Country.

What they did was outright criminal ... and that was a totally acceptable practice of the day.

There were several presidential assassinations in US history ... and Eisenhower truly deserved "it" ... It's funny how corporate power and conspiracy stopped a bullet[/QUOT

Normally I'd refrain from involving myself in a discussion taken to the level you have presented. Your points are shallow and not well thought out. And your rhetoric borders on inflammatory. Oh yeah! Your off-topic, too.
There probably has been no greater instance in American economic history than the corruption, rape and power mongering which brought the American railroads to their height in the post Civil War US. I can think of no greater show of outright thievery fostered upon the American people. Not even the recent 2008 Wall Street meltdowns, match in scale, the rape of public wealth (in relative terms) than that of the eastern railroads, and especially the newly formed western trans-continentals.
I would refer to a book....Railroaded - the Trancontinentals and the Making of Modern America. I recommend it as background material to understanding how railroads got to be what they are in the US.
Corporate survival demands a predatory approach to opposing interests. And history has shown that the railroads not only devoured their rivals' young, but their own as well.
While we basque in the romance of the railroads, truth is.....................they were not nice guys.
And let's get something straitened out here and now........................the railroads, by and large, were not built so you can visit your auntie Mabel in St. Louis. They were built to carry freight and serve corporate interests.
And how "Ike" got involved in your argument is beyond me.....................apparently you forgot that it was he that issued a warning against the rising 'Military-Industrial Complex'! He proposed a modern highway system, true....but not so much to nix the railroads, but to provide reliable routes to serve industry, the populace, and also facilitate the quick movement of military assets in defense of the continental US...................remember the 'Cold War?
My apologies to Nicky 9499, don't mean to jump your thread. Most of us older Trainzers, here in the US, can well remember the railroads of post WWII America with a warm fondness, fostered in the eyes of youthful memories. But it will take more than a simple can of Brasso to restore that luster, if ever there was any.
 
Last edited:
To illustrate an example of what Mike (Steamboateng) is talking about, we need to look back maybe just 100 years ago. In the early to mid 1910s, or thereabouts, JP Morgan gained control of the famous New Haven Railroad. His plan was to leverage the railroad and use its monies to purchase other railroads in the region, and build a little empire in and out of New England and into the lucrative New York City region. The New Haven was one of the first railroads to electrify and did so with the help of Edison and General Electric. They did this so they could gain access to downtown New York City, which by this time forbade steam-powered trains from its downtown due to pollution. With their new Hells Gate Bridge, they also had a direct connection, without needing to use the New York Central or ferries to cross the Harlem and Bronx Rivers into the city. With the electric power and prosperous routes, JP Morgan thought he could expand the empire. One of his first acquisitions was the little Boston and Maine, which by this time had a good hunk of New England under its control already, and had sights set on the Maine Central. With the B&M in its clutches, they were set for further expansion, but that didn't happen. The only good thing that came of this was the electrification of the Hoosac Tunnel, and the quad-tracking of the Eastern Division, former Eastern Railroad in and about Lynn, MA. By 1916 JP Morgan's empire collapsed quite far enough to land him in hot water and the New Haven into bankruptcy along with the B&M in 1920.

This isn't the only time the old New Haven became a pawn. Much later during the post war 1950s and into the 1960s, Patrick McGuiness gained control of the NH using a stock buyout. He stripped the railroad down, "to save costs and boost profits", to a point where the once record breaking trains were derailing and locomotives were falling apart. Granted, the NH, like other railroads in the regions, was facing stiff competition from the trucks on the local Connecticut Turnpike, and New England Thruway, which paralleled the New Haven up to Providence. Then again with him cutting the power plant the way he did, he forced the shippers to choose a much faster and economic route which was the parallel highway. How could they compete if the goods never made it to their destination on time? Once he destroyed the New Haven, he then went on to ruin the Boston and Maine by doing many of the same things such as scrapping good equipment, payoffs, insider trading, and stock manipulation. In the end he ended up in prison for this after he sold off the new Talgo train, that had been purchased during his era, to a scrap dealer.

If we ever want to see how a railroad could shoot its self in the foot, take a look at the Milwaukee Road. They were a relatively new latecomer to the western railroad scene. They were mostly a granger railroad that served their respective market in and out of Chicago, their namesake city, and St. Paul. They then built their famous electrified line across the great Rocky Mountains and Cascades to serve the western cities and did so at a great expense. People thought, even some of the so-called experts have said, that this great expansion hurt the railroad as they never recovered enough of their costs on the build, and there wasn't enough online business to sustain the route. Having traveled along US12, which parallels this route from Forsythe, MT to Rondout, MT, I can see why people thought this.

Well here's the kick. In the 1970s as the rest of their system was imploding, they hired an inexperienced twit to run the show. He went into a lease-back program with the rolling stock which put the railroad at a loss immediately because they could never keep enough good cars in circulation due to the lease cost. In the end they were using bad order cars to deliver goods which caused delays due to breakdowns. This in turn spiraled the system down more. They deferred maintenance on the tracks and locomotives which then again caused more bad orders and delays. and then due to poor maintenance on the aging electrics another idea came up...as they felt it was best to scrap the electric system. Now keep in mind that this was during the energy crisis. The hair brained plan was to scrap the copper and raise capital to purchase new locomotives. As much as the system was failing, they had offers from General Electric and Westinghouse to build new locomotives and rebuild the electric system for a very low cost. Imagine someone coming along and offering you a brand new Porsche 938 Turbo for $100 a month.... Nope! They didn't bother and scrapped the electric system, which never paid off because the copper never returned the money they hoped, and the new diesels, SD40s I believe, were gas guzzlers and the energy crisis caused fuel shortages and higher prices.

In the early 1980s they scrapped the Pacific connection completely. People once thought this was a very unprofitable segment because of the lack of online business, but the truth is this was the money-maker for the system. This was by far the fastest route west over the Rockies and up to Seattle. This shot them completely in the foot this time, and after the scrapping of this portion, they filed bankruptcy and were purchased by the SOO line and now part of the Canadian Pacific Railroad system.

So it wasn't just the highways that killed the railroads. As Mike pointed out a big part of it was corporate greed and much of it right from the middle of the corporation. Granted, the highways and airplanes took away the passenger service, but the railroads ran the varnish because they had to. Passengers are expensive to transit, more so than even the most expensive freight, because they are a needy bunch as they need extra special handling.

John
 
Back
Top