The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1905-04-05

OF oily" The foreign market, satisfied
with oil Of 70 degrees Abel, the British
test; not so the American market which
demands the highest grade is the in
huential element in fixing the price of
crude at the wells Providing millions
of barrels of iron tankage at an aggre-
gate cost Of p cts. per barrel to store
the product for months greatly to its
deterioration Kansas oil depreciates in
quality more rapidly than any other
viii account amply for the difference Of
North Lima and South Neodesha
brought about the second half of the
year. These are stubborn facts and not
mere assertions or long range guesses-
The price of crude oil at the wells
does not represent the sum total Of cost
to the refiner, there are additional
charges TO be met before the crude
article reaches the still, for its collec-
ton in the field, storage and transpof-
tation. are no small items of expense
in which the first cost at the wells IS
often duplicated in the delivery to its
point of manufacture
This is not the first time that similar
charges have been made against the
Standard Oil Co., most OF them found
ed in ignorance and all inspired by
malice. uttered by persons in the posi-
ton to inform themselves as to the
facts but who neglect and decline to be
informed Those charges being true
would seem to imply that the standard
&Jl4 10. NdS CAAEeAe5CA ia q HlttA~- - ~e-H7-
ness, seeking profit at the expense OF
business morals without recognition OF
labor or compensation to the public.
With our banks full of idle capt.
tai vatnly seeking remunerative invest
ment, and the spirit OF enterprise cas-
lily stimulated into action by oppOrtun-
ity this view of the situation is ridicu-
lousy narrow
Not even the postofhce would be
spared to the exclusive use OF the C M
ted States government. except Tor the
penal laws enacted for its protection,
from competition. The Standard Oil Co. IS
not without competition in the worries
markets and plenty of it. It never has
nor viii it ever see the day when com
petitfon has entirely disappeared from
the field Of its activities. It is safe to
say there is now and always will be
enough of competition devoted to all
the departments Of commerce, the world
over, to stimulate effort and to regulate
prices.
A brief reference to the work Of the
late United States Industrial commits
sion which included in the fields Of its
inquiry all the details making toward
the cost at which four leading articles
of domestic consumption was served TO
the public may prove interesting II not
instructive. The investigation was
inspired as to Illuminating oil
by precisely the same charges
as that which the Capital unblushingly
repeats. This investigation was con-
Quoted in 1901. A review of the Stats
tics of the oil business in 1901 demon
strates the intimate connection between
the prices in the export of re-
fined and crude oil On Janu-
airy export oil was quoted
at 40 IN bulk, and on December ~
at 4:30, a decline of 40 points for the
year. The highest price of the year was
5.15 on March Is, the lowest 400, on May
Is, with 26 changes during the year,
and an average price of 4.6l- Crude
was 81 20 on January 1, $130 on March
Is, s105 on May IS and $1.16 on Decem-
Der II with 81, changes during the year
at an average price of $1.18 for the year
thus the differentiaI ratio was main
tanned the price of crude following to
Prices ranged lower both in crude and
refined in 1901 than in 1904
The Industrial Commission.
The United states Industrial commits
sion in 1901 made an exhaustive 1nves-
tigation of the local differences in prices
of four leading staples. salt, sugar, bak-
ing powder and Illuminating oil. This
commission, created by Act Of Con-
gress upon motion of Hon. Thomas W.
Phillips, heard an immense amount of
testimony. Mr.. Phillips, a bitter enemy
and aggressive competitor of the Stan
dard, no doubt included sugar, salt ana
baking powder in the list of subjects to
gloss over the real anlfnuS Inat prompt
ed him to desire a searching investiga-
ton of oil He was vice chairman of
the commission, presided at most Of its
sittingS and took an active part in eX-
aiming witnesses Notwithstanding
his zeal to convict the Standard of
wrong doing. the result was so unlike
what he expected that the commission
would not present an adverse report.
Extracts from this T~oceedings of the
commission will be especially valuable