The Raymer enterprise., 1913-06-05
PROFITS OF THE MIDDLEMAN
Should Be Regulated by Government
Laws Same as Freight Rates Are
lis Public Servant.

The railroads are under the control
OF the national interstate commerce
commission empowered to regulate
passenger and freight rates. The Su-
preme court has declared that the
government rightfully possesses this
authority. This Is. believe. upon the
theory that the roads are public sery-
ants. writes Louis c. Kill in the Den.
yer Field and Farm. Upon the same
theory why Is the middleman not
public servant and why should not
the distribution Of our food products
be placed under government regu-
lation? The government regulates
freight rates and why should the gov.
ernment not regulate the profits Of
the middleman? Why should not the
government step in and help the mid
dleman by eliminating some OF the
evil practices now prevailing, like
unnecessary delivery costs. unsound
credits and the like, which evils the
retail dealer now has to put up with
because 1t Is common practice?
The retailer under existing condi-
tions Is not permitted to try to reg
ulate under the fear that he will be
construed under the law as combining
to break the antitrust laws. Why
should not the government aid this
poor. helpless business man when the
laws OF the government forbid that he
should help himself? Possibly the reg.
ulation Of the middleman, the middle
mans profits and the middleman's
methods by the government might not
be permissible under our present con-
stitu'ion: II SO. why not amend It?
The national government should not,
OF course. do the regulating. because
the retail business is not In the main
interstate business. but the national
government could empower the differ.
ent states with the right, II the states
have not already that right, and 1t
could be done by constitutional amend.
ment or otherwise.
The regulation should guarantee to
the retail dealer reasonable profit
on everything he sells. should protect
him against the unreasonable demands
OF consumers. and should make it i'm.
perative that he blacklist the dead
beat who has stuck one OF his com.
petitors, providing credit is extend
ul trn,,lI ha haitian 10 tho urhnIa
system were placed on cash basis.
and then II would not be necessary
for the retail man to put up his prices
to those who pay their debts in order
to recover from the losses now sus-
tanned from trusting those who do
not make 1t practice OF paying at
all. The different states could han.
die this given power. heavy penalties
could be provided for those dealers
who break the laws, and thus the
dealer who now wishes to do business
on fair margin OF profit could exer.
else the desire TO his hearts content.
What wholesome effect 1t would
have on the trade II dealer who
charged 100 per cent. or 200 per
cent profit now would run the chances
OF having his license to do business
taken away from him and also run the
risk Of fine and imprisonment.
Why not? What help such
regulation would be to the legitimate
dealer who wants to do an honest
business at only living profit. Tn.
der proper regulations the retail deal.
er could make more money than he
does now. and he could reduce his
price to the consumer from 25 per
cent. to 200 per cent There is no
justice In the retailer selling flour at
cost, and II is wrong for him to have
to do so in order to meet competi.
ton, since II Is a foregone conclu.
sion that he must add the profit that
he should have obtained for -four to
his selling price on other products.
such as fruit and vegetables. II un.
der existing conditions he is not al.
lowed to ask profit on everything
shells, why not fix II by law so that
he can? And In that way every tub will
have to stand on its own bottom.
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