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February, 1912 The common-sense view of the facts as these have ap- peared in the press appears to be plain:--In fine weather, in broad daylight, and, in a calm sea, the Olympic (the largest ship in the world), full of valuable lives, was being carefully navigated through the comparatively narrow-channelled South- ampton waters, when H. M. Hawke was espied a considerable way off, but apparently coming fast towards the Olympic. The Hawke apparently rapidly came up to or opposite the Olympic, but instead of slowing down or stopping until the Olympic had successfully got round the turn in front of her, the Hawke came careering on and ultimately rammed the Olympic while she was making the turn in the channel which she had toxmake; and, so far as the man in the street under- stands, that appears to be the whole story. When: it is borne in mind that the Olympic was engaged on. its regular service like an express train with the H. M. mails on board; whereas the Hawke was only out as it were for the day and at play comparatively, and had apparently only to spend a certain number of hours out in speed trials. Surely the:Hawke could easily have been stopped or slowed down long before ever she got near the Olympic or until the Olympic had passed the danger zone' in front. The Admiralty Court has decided, however, that it was some mythical "suction" from the Olympic which drew the bow of the Hawke in towards the Olympic; and that the Olympic was by the "law of the sea" the "overtaking" vessel and solely to blame for the collision, because apparently the Olympic, forsooth, seeing the Hawke making for her full tilt, increased her speed for the moment to get away from her charger, and (according to the court) took "too wide a sweep" to get round the corner. It appears to me that the correspondent "Vortex" in the Times has sufficiently knocked on the head the "stiction" theory or myth; as, if such a thing was admitted as a prac- tical reality, there ought to be nothing almost but perpetual collisions in such rivers say as the Thames, the Mersey, the Tyne, the Medway, and the Tay. If ever--in the public interest--there was a case for appeal before a higher or more impartial tribunal, this surely would appear to be that case. The amusing thing about the Stanley investigation into the organization of the Steel Corporation is that not a single new fact has been developed--not one that has not been public property and well known to the trade for the past ten years. Settling by Arbitration. Two leading lake shipping companies, M. A. Hanna & Co. and the Cleveland-Cliffs Iron Co., recently set an example which, if followed by all vessel owners, would save both time and money and serve to clear the dockets of the admiralty courts. The steamer Michigan, owned by the Cleveland-Cliffs Iron Co., and the steamer L. C. Hanna, owned by M. A. Hanna & Co., were in collision near the entrance to Duluth | harbor last season and both vessels were damaged. Both companies resolved to settle the case by arbitra- tion and selected Harvey D. Goulder as arbitrator. Neither company inquired into the cause of the acci- dent nor the merits of its own case, but left the mat- ter absolutely without bias to the arbitrator, Mr. - Goulder virtually tried the case in his own office with his associates as advocates. He rendered his decision according to the facts, holding the Hanna wholly to blame and. the decision is satisfactory to both sides. It is evident from the examination of the evidence that both concrete and abstract justice has been at- tained. The example set by these two companies has already been followed. The steamer Harvey H. Brown, owned by the Northwestern Transportation Co., of Detroit, and the steamer D. R. Hanna, of the Pioneer Steamship Co., of Cleveland, were in collision in the St. Clair river. C. E. Kremer, of Chicago, was _ appointed arbitrator with Mr. Goulder as counsel for the Brown Co., and Hermon A. Kelley as counsel for saving will be about $2,000 per annum. THE MARINE REVIEW 61 the Hanna. Mr. Kremer has just rendered a deci- sion exonerating the Brown and holding the Hanna wholly to -blame. Isn't this the sensible course to pursue, for do not all parties to the issue get the concentrated wisdom of minds most capable by training to pass upon its merits ? The United States has built the Panama canal with its own money and without the aid of any nation. It should be free to American vessels. That is the least that congress can do for the American ship. Ship Yard Census _ The general summary for private ship yards, as issued by the Bureau of the Census, shows a decline in the industry, as measured with the census for 1904. The number of establishments has increased 23 per cent, capital invested 4 per cent, number of salaried officials and clerks 20 per cent, amount paid in salaries 21 per cent, and miscellaneous expenses 33 per cent. The value of work done, however, during the year has decreased 11 per cent, cost of material 17 per cent, value added by manufacture 7 per cent, average num- ber of wage earners employed during the year 20 per cent, and amount of wages 14 per cent. There were 1,353 establishments engaged in the industry in 1909, and 1,907 in 1904, an increase of 23 per cent. The capital invested, as reported in 1909, was $126,118,000, a gain of $4,494,000 or 4 per cent over 1904. The average capital per establishment was approximately $93,000 in 1909, and $111,000 in 1904. The value of work done in private yards during the year 1909 was $73,360,000, and $82,769,000 in 1904, a decreasé of 11 per cent. The average per establish- ment was $54,000 in 1909, and $75,000 in 1904. This decrease in value is in part accounted for by the dis- mantling of the Eastern Shipbuilding Co.'s yard at Connecticut: after the completion of the Great North- ern liners, Minnesota and Dakota, as well as to the © reduction of output which the Pacific coast has suf- fered owing to labor troubles. The great American crime is to display foresight in the organization of a big business and to take advantage of natural opportunities for economic pro- duction and distribution, The Importance of Detail The great railway systems of the United States are all of them emphasizing the importance of economy in small things. For instance, the Rock Island System figures that it uses about 325,000 pen- cils per year at a cost of about $6,000 or nearly 2 cents per pencil. It is estimated that not more than one-half the pencil is used before it is discarded. The company suggests that if each employe uses another inch of each pencil before he throws it away, the net It has even suggested that chief clerks follow the rule laid down for the issuance of tools and that for each pencil issued the stub of the old one should be turned in. The bigger the system is, the more important attention to detail becomes. The Commission on Economy and Efficiency has recommended the abolition of the United States Reve- nue Cutter Service. What next?