The evening world. [volume] (New York, N.Y.) 1887-1931, 1908-12-11
HIGHER COST Of
LIVING BLAMED
ON GOLD SUPPLY
Prof. Johnson Says Advance
Began as Abundant Metal
Made Borrowing Easy.
INCREASE TO GO ON.
Prices "A Per Cent. Over 1897
and viii Be so by 1918
Wages Follow Slowly.

Pretty neaNy every one knows It's a
lot more expensive to live to-day than
Il was ten years ago. The proposition
crystaliizes disquietingly, however. when
a sharp-featured man, with spectacles,
scant hair and thick-soled boots. gets
on the witness stand with an armful of
charts that look like the records OF AZ
earthquake and says. in tones as mon
otonous as a column OF figures. that II
costs Just A per cent. more TO live to-
day than 1t did a decade ago. and sup
plements 1t unofficially by saying That
ten years from now 1t will cost 50 per
cent more.
Prof. Joseph French Johnson. Harvard
rs and the occupant OF the chair OF
Political Economy at the University or
Pennsylvania, and also the Dean OF the
New York university's School of Com
merce and Finance, is the man who
goes on record as the grim official fig
urer OF the increased cost of living. He
has been testifying for the past two
days at the Standard Oil hearing as an
, economic witness"
! Through him the daddy of all the
trusts" hopes to prove that the increa Sc
in all products in the years mentioned
justified the rise in the price of oil at a
rate that will make it cost about %
cents gallon by 1918.
Prof. Johnson Is as practical as his
name. AS dry as, an August noon at
Yuma, Ariz
He "Breathes Accuracy"
Each Of his scanty gray hairs lies AS
snugly to the other as the stages OF an
equation in algebra or the layers Of
sylogism. II would surprise no one who
has listened to his testimony to learn
that he parts mis- hair with a spirit
level in an accurately charted mirror.
lie breathes the double distilled spirit
of accuracy, terseness. accuracy
J Reasonable. Mr.. kellogg. reasonable
he replied the other day to that trust
buster, who had asked him concerning
q reasonable profit What is reason
able?"
/ We'll. 1t can't be put into figures"
! laughed the lawyer.
Typical is another unmathematical,
/ Johnson. Typical has no place in the
uldtfctndtlCldu IcAlcON.
Prof. johnson was talked to by an
Evening World reporter as he left the
stand yesterday afternoon. Seen al
close range Prof. Johnson is kindly
and humorous. Get him to talk about
figures, about political economy. how
ever, and statistics flow from him like
oil from a Texas gusher.
Was No Guesswork.
THE conclusions to which l testified
on the stand We're the results of care
full compilation Of the Government re-
port for the years covered" said Prof,
johnson. u enumerated 2SS separate
articles in preparing my charts, cover
ing both crude and finished products.
My figures are absolutely accurate,
for mathematics, you know, are even
less liable than the camera to err"
VIII you tell The Evening World
what the prospects are for say the next
ten years." was asked.
Prof Johnson drew a pencil from his
pocket and marked an upward line from
horizontal line marked 1905. The YER
teal line he terminated at another hori-
zontal inc marked 1915.
In the next ten years. he said,
prices will go up as steadily and as
straight as that line. That is my be
lief. founded on political economist 5
experience. From 1897 TO 1907 ! have
shown that prices jumped A per cent.
believe that in 1913 We shall see prices
advanced To so per cent. above the rates
quoted in 1897
Giving time for this 20 soak in, Prof.
Johnson continued:
Wagee Increase Slowly.
1.-THE wages OF the workingman will
not rise in tho same proportion, That
Is law OF political economy. They will
rise, but not In proportion TO the leaps
and bounds Of prices The workman
will find himself pinched In pocket, He
will not know whom TO blame-and
probably will say It's hls wife's fault.
1T will be nobodys fault but COLDS
The tremendous increase in the world ;
supply OF gold has rendered the secur-
ing OF capital here and abroad ar
amazingly easy thing. With increased
loans interest will rise, and then ~
will go commodities,
The fact, however. that wages vii
not rise does not mean that there vii
be any lack OF employment Manufac
turers, with gold so plentiful will en-
large their plants and increase thei
forces. The army OF labor viii keeI
pace with the demand for l' and wage
will not rise with the increase u la
horers hireG-such, at least, is my con