Evening journal., 1896-09-10
THE COAL COMBINATIONS WORK

One year ago the quoted prices OF
anthracite coal at the seaboard was
1925 a ton, and shrewd buyers found
no difficulty in making contracts as
low as 50 per ton. Within the past
twelyemonth there has been decline
in the prices of all staple commodities
wheat, cotton, corn, pig-iron, etc.
amounting according to the trade sta
tisticians, to twelve per cent. 1t would
seem not unreasonable, therefore, if
consumers OF hard coal were enabled to
procure their supplies for the coming
winter at a cheaper rate.
But this condition is by no means to
be realized. BY gradual advances since
February last the price of stove coal
per gross ton in New York harbor has
been placed at $3.50, or an increase of
so per cent. over the actual selling
price year ago. 1t has been pointed
out by trade statisticians of unQues-
toned authority that this is as high a
rate as was charged during the decade
of comparative prosperity and high
prices between 1880 and 1890. For
that period the average price of pig
iron was $20.67 per ton; of wheat, S1.O2
per bushel. Pig-iron is now $40 per
ton and wheat 64 cents; yet the cost
of coal, prime necessity of existence
in all civilized communities, has been
maintained.
There seems to be no escape from
this exaction, which has been success
fully practiced upon the coal-consum
ing public on previous occasions. The
necessities of over-capitalized coal
mining and carrying corporations,
which for years have been compelled
to issue bonds in order to meet inter
est charges on existing obligations,
have been regarded as paramount, and
the squeeze of four years ago, which
led to a Congressional investigation of
the then existing coal combination is
to be repeated in an intensified form
this year. According to the report of
the Congressional Committee of Inves-
tigation, the average rate Of extortiOn
by the anthracite coal combination
during five years, since 1888, was con
siderably more than one dollar per
ton" AS the cost of production has
not advanced since that time the ex-
cess in The current rate, which might
be properly charged to the methods. OF
monopoly, is not less than S1.50 per
ton. From this heavy tax upon the
forces of productive industry none may
hope to escape.
The value of the privilege of control
over the anthracite output which the
coal carrying corporations have so
dearly purchased, may be fairly esti-
mated at not less than 100000, 900 a
year; on the basis of an annual pro-
duction of about 100000 tons, to
which the colleries are restricted. Tn
der existing methods of dividing
profits, at least one-half Of this vast
sum, or $30OO0,OOO a year, would be
added to the incomes of the carrying
companies If the announced advance
should be permanently maintained. On
previous occasions the attempt to
maintain an exorbitant price for an
thracite has failed, either by reason Of
hostile legislation, due to aroused ad-
verse public sentiment or owing TO i'm
perfections in the machinery and
methods employed to exercise corpo-
rate control No such drawbacks are
expected this year, and, if the hopes Of
the syndicate managers should be re
allied, the exaction of a season would
become the assured revenue OF a
riveted monopoly.-From the Newark
News.