(c) the extension of Federal control authorized under the Act of 1920.

18. What is the greatest problem now before the Commission?

REQUIRED READINGS

1. Williamson, _Readings in American Democracy_, chapter xxviii.

Or all of the following:

2. Ely, _Outlines of Economics_, chapter xxvii.

3. Fetter, _Modern Economic Problems_, chapters xxvii and x.x.x.

4. King, _Regulation of Munic.i.p.al Utilities_, chapter i.

5. Seager, _Principles of Economics_, pages 419-431, and chapter xxiv.

QUESTIONS ON THE REQUIRED READINGS

1. What is meant by Transportation Economics? (Ely, page 557.)

2. Explain clearly why public utilities are natural monopolies.

(Seager, pages 419-426.)

3. What is the origin of the right to regulate public utilities in the public interest? (King, page 4.)

4. Why must munic.i.p.al utilities be regulated or controlled? (King, pages 11-16.)

5. What is the relation of unregulated munic.i.p.al utilities to bad politics? (King, pages 17-19.)

6. What are the legal duties of corporations controlling munic.i.p.al utilities? (King, page 10.)

7. What forms may munic.i.p.al ownership take? (Fetter, pages 461-462.)

8. How does uniformity of product favor monopoly? (Fetter, page 463.)

9. Why did the railroads receive liberal help from state and Federal governments during the period of railroad development? (Fetter, page 413.)

10. Distinguish between local and personal discriminations. (Fetter, pages 416-417.)

11. Discuss the nature of the early state railroad commissions.(Fetter, pages 420-422.)

12. In what respects was the Interstate Commerce act amended by the legislation of 1903, 1906 and 1910? (Seager, pages 442-443.)

13. What was the nature of the Commerce Court? (Seager, page 444.)

14. What is the most convincing argument against the public ownership of the telegraph and the telephone? (Seager, page 445.)

TOPICS FOR INVESTIGATION AND REPORT

I

1. Make a list of the natural monopolies in your locality.

2. To what extent are the public utilities in your locality controlled by the (a) munic.i.p.ality, the (b) state, the (c) Federal government?

3. The franchise-granting power in your state.

4. The regulation of local utilities in your munic.i.p.ality.

5. Extent of munic.i.p.al ownership in your section. If possible, visit a munic.i.p.ally owned utility and report upon it.

6. Interview an official of some local utility upon the desirability of munic.i.p.al ownership of that utility.

7. The history of railroad development in your section.

8. Outline the more important laws enacted by your state legislature relative to railroads.

9. Service and rates in your locality during the period of government control, 1917-1920.

II

10. Regulation of local utilities through the franchise. (King, _Regulation of Munic.i.p.al Utilities_, part ii.)

11. Regulation of local utilities through the utility commission.

(King, _Regulation of Munic.i.p.al Utilities_, part iii.)

12. Standards of service for local utilities. (_Annals_, vol. liii, pages 292-306.)

13. The case for munic.i.p.al ownership. (King, _Regulation of Munic.i.p.al Utilities_; Thompson, _Munic.i.p.al Ownership_)

14. The case against munic.i.p.al ownership. (King, _Regulation of Munic.i.p.al Utilities_; Porter, _Dangers of Munic.i.p.al Ownership_.)

15. Early development of railroads in the United States. (Coman, _Industrial History of the United States_, pages 232-248; Bogart, _Economic History of the United States_, chapters xxiv and xxv; _Lessons in Community and National Life_, Series C, pages 217-233.)

16. Geographical distribution of railroads. (Semple, _American History and its Geographic Conditions_, chapter xvii.)

17. Combinations in the railroad industry. (_Lessons in Community and National Life_, Series A, pages 219-224; Bogart, _Economic History of the United States_, chapter xxix; Johnson, _American Railway Transportation_, chapter iii.)

18. Rate-making. (Johnson, _American Railway Transportation_, chapter xx; Bullock, _Elements of Economics_, pages 212-217.)

19. Physical valuation of the railroads. (_Annals_, vol. lxiii, pages 182-190.)

20. Railroad regulation and the courts. (Johnson, _American Railway Transportation_, chapter xxvii.)