Ottumwa semi-weekly courier. [volume] (Ottumwa, Iowa) 1916-1918, 1916-11-28
The Shortage in Coal
BY Frederic Y. Haskin


facing shortage in their coal supply
This shortage is not merely local, al
though it has made itself most felt in
certain cities on the Atlantic seaboarG
1t is however national matter, extend
ing from coast to coast 1t is mat.
ter which, if really serious at all. is
serious for everybody.
A clear understanding of the situa-
ton might help toward satisfactory
solution. There are number of fac
tors in it, number of different human
elements, and each of them is blaming
! the other. The producers are blam-
ing the railroads, the railroads are
blaming the government, the consum-
ers are blaming the middlemen and tho
middlemen are blaming the consumers.
There is not even an agreement as to
whether or not shortage of coal ex-
lists. Some men only see a shortage
in transportation facilities, and others
would call the difficulty purely psyche
logical, sort of mental coal famine,
in which an imaginary shortage ex-
listing in the minds of consumers cals-
ed real shortage by means of con.
sequent rush of buying. Meanwhile
the weather has for the most part re.
NAMED warm-providentially warm,
as one man in close touch with the
situation put it.
1t will be very much the better for
all concerned if the problem is solved
as far as possible before the weather
gets less considerate. There is real
shortage of coal, supply smaller than
usual as compared to the demand.
III to- doc IN ma
to several causes, some of then. con-
trollable, some apparently not.
The leading cause of the shortage,
as soon appears on careful examir.
alton of the situation, is not so much
lack of transportation facilities as
a greatly increased demand. Like
most other things good and bad that
have affected this country in the last
two years, the big demand for coal
rises from the war. War industries
need coal, and they can afford to pay
for it. Speaking within reason, they
don't care what they pay for it. They
know that the season for reaping big
profits from their product is necessar-
lily limited. and they are not going to
allow lack of coal to cut down their
output They can afford to outbid am
of the usual coal consumers in the
open market.
The case of the steel manufacturers
is most typical Of this condition. Steel
mills are big consumers of industrial
coal and they are straining every re-
source to keep their output up to the
maximum while war prices last. Some
Of them are making as much as $50
a ton profit on certain steels. To get
the coal, which Is an essential material
for them, they can we'll afford to
double or triple the current price per
ton rather than 60 without and lose
the profit on a fe wtons of steel Some
of them have done it. Some mills are
getting coal on contract at less than
two dollars ton, and have paid s. a
ton bidding in the open market. TIE
high record for the Pittsburgh district
was broken late in October.
These lusty young war giants sweep
ing into the market and taking what
they need with free hand, and free
pocket book are one of the big factors
in the situation After them, the most
important factor Is probably the diff
Guilty in getting transportation for the
coal after it is mined. The mine own.
ers are particularly insistent on this
feature in the situation They lament
the fact that record prices are going
begging in the cities and their coal
cannot move from the mines. They
say that they have gone to great ex-
pense putting in modern machinery tn
increase their output, and they a.e
now prevented from making profit on
that machinery. So many complaints
have gone up about car shortage that
the interstate commerce commission
has ordered an investigation. which
began last week at Louisville. TIE
American Railway associations fig.
ures showed shortage of 10000 cars
on the first Of October. The mine op-
orators are not inclined to blame the
railroads for this as much as the fed.
eral legislation to regulate railroad
earnings, which has reduced the mar.
gin of profit to point where the road 5
cannot spend enough on new equip.
ment, according to some critics. At
any rate, the car shortage is factor
in the coal situation second in impor.
lance only to the increase in demand
Another element that makes for