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piano or a talking-machine, which has a separate existence. It is useful only in proportion to the number of other telephones it reaches. AND EVERY TELEPHONE ANYWHERE ADDS VALUE TO EVERY OTHER TELEPHONE ON THE SAME SYSTEM OF WIRES. That, in a sentence, is the keynote of equitable rates. Many a telephone, for the general good, must be put where it does not earn its own living. At any time some sudden emergency may arise that will make it for the moment priceless. Especially since the advent of the automobile, there is no nook or corner from which it may not be supremely necessary, now and then, to send a message. This principle was acted upon recently in a most practical way by the Pennsylvania Railroad, which at its own expense installed five hundred and twenty-five telephones in the homes of its workmen in Altoona. In the same way, it is clearly the social duty of the telephone company to widen out its system until every point is covered, and then to distribute its gross charges as fairly as it can. The whole must carry the whole--that is the philosophy of rates which must finally be recognized by legislatures and telephone companies alike. It can never, of course, be reduced to a system or formula. It will always be a matter of opinion and compromise, requiring much skill and much patience. But there will seldom be any serious trouble when once its basic principles are understood. Like all time-saving inventions, like the railroad, the reaper, and the Bessemer converter, the telephone, in the last analysis, COSTS NOTHING; IT IS THE LACK OF IT THAT COSTS. THE NATION THAT MOST IS THE NATION WITHOUT IT. CHAPTER VIII. THE TELEPHONE IN FOREIGN COUNTRIES The telephone was nearly a year old before Europe was aware of its