9. Equalization of Railroad Earnings

Chapters in this book

1. Frontmatter I
2. Foreword VII
3. Preface XIII
4. Contents XVII
5. 1. Introduction 1
6. Part I. The Basis of Return
7. 2. Fair Value for Rate-Making Purposes 12
8. 3. Original Cost and Cost of Reproduction 28
9. 4. Depreciation, Intangible Values, and the Future Rate Base 46
10. Part II. The Rate of Return
11. 5. Economic Analysis of Fair Return 61
12. 6. Criteria of a Fair Rate of Return 81
13. 7. The Statutory Rate of Return for Steam Railroads 101
14. Part III. Related Problems
15. 8. Recapture of Excess Income 119
16. 9. Equalization of Railroad Earnings 143
17. 10. Railroad Financial Return since 1920 165
18. 11. Summary and Conclusions 188
19. Appendix A: Excerpts from the O’ Fallon Decision 197
20. Appendix B: Selected statistics: railway property investment, net railway operating income and accrued depreciation 207
21. Appendix C: List of carriers which made payments of one-half of their excess income as tentatively reported for the recapture periods 1920-1928, showing the amount paid by each carrier up to October 31, 1929 210
22. Bibliography 213
23. Index 224