Final answer:
The Interstate Commerce Act of 1887 required railroads to establish standard fares and publish these rates. This law aimed to prevent discriminatory pricing practices against small farmers who had limited options when it came to shipping their grain to the market.
Step-by-step explanation:
The Interstate Commerce Act of 1887 required railroads to establish standard fares and publish these rates. This law aimed to prevent discriminatory pricing practices against small farmers who had limited options when it came to shipping their grain to the market. The act also created the Interstate Commerce Commission to regulate railroad business practices and ensure fair rates for both passengers and cargo.
The Interstate Commerce Act of 1887 required railroads to establish standard fares and publish these rates, ensuring equality in shipping rates and preventing discriminatory pricing against small farmers. It also created the Interstate Commerce Commission to enforce these regulations.
The Interstate Commerce Act of 1887
The Interstate Commerce Act of 1887 was a significant piece of legislation that sought to address issues related to railroad pricing and practices. This law was a response to farmers' demands, as they were often subject to discriminatory pricing by the railroads. Instead of increasing services to farming areas or public ownership of railroads, the act required railroads to establish standard fares and publish these rates, ensuring equality in shipping rates charged by railroads. It targeted unfair practices like charging different rates to different customers and raised rates during harvest times, which disproportionately affected small farmers.
Additionally, it created the Interstate Commerce Commission (ICC) to regulate and oversee these new rules, making rates not only public but also deemed to be 'reasonable and just.' This was the federal government's initial step in regulating commerce across state lines and helping to prevent monopolistic practices that were common during the period of rapid industrialization.