Albuquerque morning journal. [volume] (Albuquerque, N.M.) 1903-1926, 1916-12-05
War Demand, Crop and Car
Shortage Labor Scarcity
and Gold Increase Are Rea-
sons Assigned,
GOVERNMENT CONTROL
OF MARKETING POSSIBLE
Is Made That Fed
eraI Authorities Be Empow-
cred by Congress to Take
Drastic Action

VI QOllG NSuOli
tspretAL eoHHEsroHotrcE 70 9oPHlHa JOURNAL
Washington, Dec, While he OPP
noses an embargo on shipment OF
foodstuffs or other American pro-
ducts to Europe. President wilson
recognizes the seriousness of the do
mestice market situation and ia bend
ing every agency at his command TO
find relief for it, tour of the gov
ornment departments has disclosed
Either in the form of an omnibus oill
covering all phases Of the whole situ-
alton. or in a number Of measures
COUGHING each phase Of the SITUATION
a constructive legislation program
designed to reduce prices ana combat
the embargo agitation, viii he offered
soon after congress convenes.
The department of Justice by both
its bureau of investigation and its lo-
cal experts. is already preparing 10
strike at the men who are using the
war excuse to exact eXorbitant prices.
The federal trade commission has III
progress the most sweeping investlga-
ton Of the food situation It has ap-
plied to any subject since its creation.
The federal reserve board Is attempt
ing to relieve the banking condition
brought about by the abnormal inn
portations of gold,
There rs a marked tendency on the
part of the federal officials to dispute
the idea that the present high prices
are due entirely or even in major de-
gree TO the quantity Of goods sent
abroad. other conditions. such as
the shortage OF labor and huge ae-
| cumulaton of gold are largely an out
growth of the war, but these an em-
barge on shipment Of goods would not
relieve.
Seven Causes Seen.
The causes of high prices mention
ed by the officials are:
FTrA-The war demand for goods.
Second-A 40 per cent decline in
the crop Of grains and cotton tins
wear as compared with 1915.
Third-A similar decline in produc-
tion Of livestock. which has continued
for several years in the face of an
ever increasing consumption Of meats
Scarcity Of labor and the
consequent unprecedented wage
scales.
Fifth-A railroad car shortage,
which has prevented moving pro-
ducts in a manner to best meet the
demand.
sixth--A net gain In the gold sup
plv of the country since the war be-
gan. Of approximately 100000, ,OO0'
tending to cheaper money and in
crease the price Of commodities.
scventh-The psychological effect
Of high prices, producing speculative
monopolies.
or these conditions it is manifest
that The crop shortage, the diminish
ing production Of livestock and me
scarcity Of labor are not susceptible
Of governmental relief.
Car shortage Relief Expected
The car shortage, officials believe,
is now on the road toward working
itself out This shortage has most
keenly affected the coal market and
federal trade experts declare that the
scarcity Of coal cars right now is
largely due to an abnormal movement
of coal 10 Great Lakes ports for trans
shipment to the northwest, Inability
to secure ships earlier has compelled
the coal companies to exert them
selves to the utmost to fill orders be-
tore navigation closes.
The end of navigation early I'm De
cember will release thousands OF coal
,ors nou, handling lake business.
Railroads Of tho country placed or
dors for $50 600 600 worth Of new
lo,i,rnont durinp the first three
weeks Of November alone and this
will roIieVe the car shortage as fast
ne II can bo delivered.
Tho tbrce remaining causes, the de-
,,ond far goods i'm Europe, the huge
infI,w Of gold and tho tendency Of
nroducors and middlemon to hold
LacL goods i'm an effort 10 still fur
tbe, increaso priccs and enhance their
avn nroft are the conditions which