[PeaRidge]

DiogenesLamp: “Except those many millions of dollars of Federal subsidies holding up Northern Shipping's bottom line.”

The federal government spent millions to subsidize New York City based and owned companies that took control of transoceanic trade.

The Ocean Steam Navigation Company, The United States Mail Steamship Company, The Pacific Mail Steamship Company, and the Collins Line to name a few.

[BroJoeK]

PeaRidge: "The [Southern Democrat controlled] federal government spent millions to subsidize New York City based and owned companies that took control of transoceanic trade."

Just so we're clear.

So why would Southern Democrats do such a thing?
They ran the show in Washington, could have subsidized anybody they wanted, so why just New York City shippers?

I'd be certain the answers include:

1. They had no objections to New Yorkers carrying transatlantic freight.
   
2. Other substantial "subsidies" went to their own Southern constituents based on the long established political principle of: "you scratch my back, I'll scratch yours."

So any suggestions that Southern politicians got nothing in return for their support of New York shippers beggars all credulity.

[DiogenesLamp]

The federal government spent millions to subsidize New York City based and owned companies that took control of transoceanic trade.

The Ocean Steam Navigation Company, The United States Mail Steamship Company, The Pacific Mail Steamship Company, and the Collins Line to name a few.

Somewhere I saw some numbers regarding payments to the various Northern Shipping industries. They were quite substantial for that time period.

So the short answer as to why Southern shipping couldn't compete with Northern shipping is monopoly and subsidy.