The Washington herald. [volume] (Washington, D.C.) 1906-1939, 1910-06-26
High Cost of Living Only
Partially Stated. :
INVESTIGATION FALLS SHORT
Committee Paints a Picture Which
Lacks Important Detaii-Raises
Questions 1t Fails TO Answer-May
Prove a Boomerang in Congress
sionaI Campaign.
~ J. CLINTON RANSOM.

be read with greater interest than that
of the special committee appointed by
the Senate to investigate the increased
cost of living. of which Senator Lodge
is chairman.
The provoking thing about the report
is that except in a few particulars II
adds nothing TO public knowledge upon
the subject. The report is well written,
well arranged with tabular statements
and is probably as fair a presentation
of the situation in regard to the ad-
vance In prices of food products. with
limiting at the causes, as has yet APP
peared. With the appended statement
OF the minority Of the committee. which
seeks TO discredit the majority report
and ascribe the cause OF high prices
principally to the tariff. it has a sort
of political smell. not altogether pleasant.
Report May Be Criticised.
It will probably be said in the coming
Congressional campaign that the major
fly report. instead of getting down TO
brass tacks in enumerating the causes OF
high prices. contented itself with pre-
senting the picture Of situation with
which everybody is familiar, giving
the facts impartially, but hiding behind
high sounding plautudes about the law
of supply and demand and the great
economic forces in operation in the coun-
try, with which il would be dangerous
for political parties to NEEDLE.
The disappointing fact is the majority
report does not land anywhere, does not
put the responsibility Of high prices any
where, and does not even hint al a rem
edy. Every intelligent citizen of the
country has had II ground into him that
prices are high, and he knows well
enough that the cost Of production and
distribution have increased out Of all
proportion to the rise Of wages and his
ability TO get the money with which
TO pay his bills. The thing looked for
in this Senate investigation was some
sort of reason why all this should be
so, and whether IL is just II is here
that the report breaks down.
The fireworks OF the minority. which
seems to seek political capital out OF
ascribing the causes Of the rise 10 the
wicked tariff and the still more wicked
trusts fostered thereby, is not much
more comforting.
" NAk
The fact of the high prices is well es-
tablIshed. and the contributing influences
which have worked out a condition we'll
nigh intolerable are just as well under
stood. The main thing was for the Sen
ate committee to find out who is guilty
of extortion along the line from produe-
ton 90 consumption, for the American
people have about made up their minds
that somebody Is. and that this some
body must be called 10 account. IL is
just here that the voters in the next
Congressional elections Will be asking
questions which probably will not be
satisfactorily answered in the report OF
the committee.
Specifically, the report fails to show
good reason why apples should be sold
for 81 TO the barrel in Washington when
thousands of bushels of them go 10
waste no further away than the State
of New York. because the price to the
producer will not pay him for the trouble
of putting them In barrels and hauling
them to the railroad. Between $125 a
barrel in the orchard and "a a barrel
in Center Market is an enormous profit
which somebody gets, and which the
average consumer of apples believes is
too great, and this investigation fails 10
locate that man and place the respon-
sibility where it belongs. In this respect
the report is particularly disappointing
and incidentally OF less value as a polit-
zeal pamphlet.
Report shows Prices.
The report sets forth the facts re-
garding increased prices as follows:
Wholesale prices in the United States
in 1903 as measured by the prices of the
PSI commodities included IN the price in
dex number Of the United States Bureau
of Labor advanced 3 per cent over 1908
and AS per cent over 1900.
The price in 1903, however, was 90 per
cent below the high point reached in
1907 Beginning with September, 1908,
wholesale prices increased month by
month without q break until March, 1910.
In March, 1910, prices were 9.1 per cent
higher than the average for the year
1900 and 1875 per cent above the price
in March, 1900.
Coming down TO the causes for the
high prices. the report may be epito-
mixed as follows:
Increased cost OF production Of farm
pAOuACl5, ny A6dSOn VI iA6llSA 1dllu Ndlu6S
and higher wages.
Increased demand from food-producing
to food-consuming occupations and To-
calities.
immigration to food-consuming locali-
ties
Reduced fertility Of land. resulting in
lower average production or in increased
expenditures for fertilization.
s., al l.,
tural localities, which enabled farmers to
hold their crops and market them 70 the
best advantage. 1t was found that this
not only steadied prices, but had a ten
dency TO raise them.
Reduced supply convenient TO trans
portation facilities of such commodities
as timber.
Cold storage plants, which result in
extreme fluctuations of prices
Of certain commodities with the seasons,
but by enabling the wholesalers to buy
and sell at the best possible advantage.
tend TO advance prices.
Increased cost of distribution.
Industrial combination.
Organizations of producers or Of deal
ers.
Advertising
Increased money supply.
Decentralization
Higher standard OF living.
Causes OF Two Classes.
Here are fifteen contributory causes as
signed by the report, to which the minor
ty statement adds several, mainly the
tariff and the trusts. The first seven
Of the causes given constitute conditions
which are every where recognized as
part of the new order of things, brought
about by the big corporate movements
Of the last twenty-five years that have
80 greatly fostered the development of
the country, especially agriculture and
the products of the SOIL They are
causes which have immeasurably bene-
nted the producer OF commodities. which
many students Of the situation believe
to be right.
Turning now to the last eight causes.
including cold storage, increased cost
Of distribution. industrial combination,
&c. what IS to be said of them? Are