We have shown how fallacious is the claim that the increase of business is dependent upon the tariff, by the statistics of our own and foreign countries, by which it appears that business has sometimes largely increased at an advanced rate. We do not desire to be understood, however, as saying that low tariffs, under similar circumstances, will not bring more business than high ones. But we do say that it is susceptible of proof, that the minimum rate is undoubtedly much higher than most of those who theorize upon this subject are willing to believe. Take the case of the Atlantic Cable as an illustration. During the three months at which the tariff was $100, and the daily average of messages 29, the receipts per day were £505. During the thirteen months, at the average of 64 messages daily, the receipts were £579. During the nine months, at the average of 131 messages per day, the receipts were £635. And for the two months since the rates were reduced to $16, the daily average has been 201 messages, and the average receipts £596.
Now it happens, fortunately for the Cable Company, that the present volume of business is considerably less than the capacity of their cables; so that the increase of that business has been attended with but a very slight additional expense, the cost to operate being the same at offices open day and night, whether operators are occupied all or only a part of the time. But suppose, for illustration, that the limit of the capacities of the cables will be reached when the average number of messages per day is 250. To undertake to transmit any number beyond this without further facilities would result in crowding and confusing the business to an extent which would inevitably produce dissatisfaction. On the other hand, to provide an additional cable would cost a sum of money which it might be exceedingly difficult to raise. It seems proper, therefore, that the profits from this business should always be considerably more than enough to yield a proper return for the capital invested, so that greater facilities may be provided out of surplus profits; and, as facilities are increased, rates may be gradually reduced, until, by judiciously pursuing this course, the charges for telegraphing may be materially diminished, without endangering the revenues to which owners of telegraph property are justly entitled.