In the matter of regulation each city may take one of two courses. It may by an ordinance, as is usually the case, set the maximum which a given system may charge for public service; or it may own and operate the system, thus securing for the city treasury any excess which under the other plan would go into the pockets of individuals. Ownership, on the whole, has been confined to water service, though many of the smaller cities and towns operate their own lighting systems, and some even operate their own gas plants. In a few of the larger cities, the public has an interest in the local street-railway system. In Chicago, for example, the city shares in the profits of carrying passengers on the surface lines.

Even those who have objected the most strenuously to the regulation of industrial corporations have expressed sympathy with the regulation of municipal service plants. This regulation, however, is beyond the discussion stage; nevertheless, as intelligent members of society we must give attention to the best methods of regulation.