Abstract
The year 1965 was a year of progress for the railroad industry in many important respects. The advances made by the industry were associated with a high-level economy that set new records in production and incomes. It marked a continuation of an upward trend over the past four years in which the railroad industry has shared in the continuing growth of the nationfs economy, and it would almost seem that the time of crisis faced by the industry from the middle 1950's through 1961 has passed. However, there is still a very real fear that the recent successes and the present improved outlook may bring back once again the complacence which the industry has been fighting so hard to shed. Despite the recent upward trend, some very great and serious problems remain in the railroad industry. Railroad profits remain low, compared with other industries. In fact, the entire U.S. railroad industry earns less in a year than either General Motors or AT&T.