The Minneapolis journal. [volume] (Minneapolis, Minn.) 1888-1939, 1906-12-09
CHICAGO BACKS DOWN

A month has passed since the Chi
cago board Of trade turned down, after
the second agitation, the proposition
for the repeal of the u cent commits
sion rule. Thru this period the board
has not prospered. The original work
ers for reform were still at it and had
never despaired Of carrying their point
finally. Hence when the news came this
week that the board, by decisive vote,
had returned to the old rate Of charges
for service, it was only the thing ex-
pected. This is the finish Of the effort
OF Chicago, probably the last that mar
ket will ever make, to dictate to the
world. It has ended in failure.
1t was simple proposition. Chi
cago, from loss of business, was not
producing the revenue of former years,
Its grain commission firms were com
planning. Their earnings were decreas-
ing. Along came genius with a plan
to double the charge for doing business.
1t was as easy as addition. CHICAGO
had lost about half her business. but
she would double up on charges for
DONG It and so her average would be
the same as of old. The fact that Min
neapolis had decided to continue DOING
business at the old rates Of II cent
was pointed out, and the prediction wa
here made that Chicago would fail
But IN that city such a suggestion was
! a. to scorn. Chicago had always
dictated Ia; and it was not to be presumed
that any other markets would dare hold
out. they would be whipped into line
IN. short order. This was the basis
Chicago went on. SIS: s.. .5aS. =. =
IL must have been humiliating to the
members q ito have to- acknowledge that
they could not make 1T go; that trade
declined even more and that the nres-
tlge OF Minneapolis had risen to that
point n that the outside world could g1ide
upon upon 1T and do business with it. REGARD :
less OF Chicago.&aIt: had to come to
cnls at last, and. the repeal of tbe
one-quLalrter commission rate is tho
acknoWl edgment. s$.; i. s:slE - 'n 40
Some time before the .racon+ 1,o+
x MaS '.. taken, communication went ont
70 various men Of experience in the
:laue asking them@to state what causes.
III ~! tnelr opinion, were operating against
~, Gmcago and in favor of Minneano1is
me most interesting reply came from
George W. Shepard, a member of jona
standing. Mr.. Shepard said:
"A very important cause for the de-
cline is the fact that for wears tho
on1cago board has legislated in favor
OF the seller, Ignoring the rights Of the
nuyer. The board has assumed tn SGT
the pace for values the world over r.
t Gal. two to make a bargain. and in
Chlccago the buyers rights have been
almost eliminated $500 .''oi L
Another detriment to the Chicaoo
market has been the system Of sett1;n :,
contracts by, paying differences Tbs
T TTpeasGr charges sh1aYe beer exorbitant.
market and speculation legitimate or
cumstances.'' -. ~ ~, WI 'ne elr-
e., 80 hese are excerpts from what Mr.
: wrote, and they startled the
ooard. They were effective, no donht
IN II : some degree, in bringing about 70,
form. Principally they are interesting
because If Minneapolis had said Them
IL would have appeared like business
jealousy, but when Chicago men them :
serves recognize the conditions and 90
liankly express themselves, they can
diced. ~ pieJu-
AFTER all tho, it is natural condi-
t1ons that are working against Chicaeo
manages IN commission rules and lepis-
1atlon may have their temporary effect
out When all is considered, the funda,
mental truth will remain that the ora;n
crops will be marketed where fbora
exists the best and most continnous
cash demand for them. Such a n1ace is
minneapolis in wheat, and in thu ma;ns
tanning Of active continuous demand
TOR the coarser grains it is in the lead
in some respects and is gaining everv
day. $3.50 : =