Burlington weekly free press. [volume] (Burlington, Vt.) 1866-1928, 1917-06-21
THE BOOSTING OF PRICES.

with government control of public util
tiles and natural resources in connection
with war. The first of these is the an
nouncement that Secretary of War Dan
iels has in effect Communicated coal. /
steel and oil. by compelling operators to
a cost from 20 to 40 per cent. below the
price demanded pending the fixing of
permanent prices by the federal trade
board. The second is the statement by
the British government in relation to
shipping that government control may
be permanent and that it will not he
convenient to issue private charters fol-
lowing the war for steamship lines.
The question Immediately presents it.
self in this connection, rs America also
drifting to permanent government con-
troll of many public utilities and natural
resources as a result of war, and is such
control to prove to be merely an inter-
mediary step in the development of State
socialism?
Under these circumstances and having
in mind all the possibilities in the case it
may be we'll to examine little closely
eminent under stress of military eX-
igency. In connection ~1th the action of
Secretary Daniels of the navy in order
ing coal dealers, steel manufacturers and
oil producers to furnish his department
with their products At temporary prices
from 20 to 40 per cent. below those de-
manded. it is explained that permanent
prices to govern all transactions between
the government and the coal, steel and
oil concerns are to be fixed by the fed
eral trade commission. The operators in
these commodities have assented to the
temporary arrangement with only mild
protest.
1t is asserted authortatively, accord
Ing to the Washington correspondent of
the New York World, that the govern
rnent does not purpose that its military
necessities and the domestic needs of the
vantage of by avaricious producers. man.
ufacturers. middlemen and dealers.
Equipped with adequate power to as
sumo complete control of the sources of
supplies required for military and civil
purposes, officials of the government as
sert they will be fully justified in profit
ing by the experiences % some of the
European belligerents III coping with a
situation similar to that which appears
to be rapidly developing in this country.
This is particularly true of coal for
oil, lumber, clothing, steel and iron and
provisions. including foodstuffs.
1t is not improbable that If the coal
producers. middlemen and dealers per-
sist in their attempts to hold up the
government and impose extortionate rates
on domestic consumers the government
mines just az Great Britain did after
less radical measures had failed. and as
France, Germany and Italy have done in
modified degrees The provisional gov
eminent of Russia has even gone step
further by establishing a government coal
supply.
The final decision of the government
in the matter of communicating and OPP
Grating plants and regulating prices will
be held in allegiance pending an investi-
CATION the federal trade commission has
been directed to make into the cost of
mining and transporting COAL manufac-
turing steel and producing oil.
There is said to be well-defned i'm
preston in government circles that. after
u has compelled producers to meet its
wants. the government will take advan-
tage of the authority given to it by Con.
gress to see that private consumers are
not the victims of the avarce of various
combinations. The correspondent says:
There is no question IN the minds OF
officials that the President has full au
thority to commander coal mines and
manufacturing plants whose operator:
have displayed a tendency TO make al
they can squeeze out of the government
and out of the people pending the war.
ut Is not improbable that the Presiden
will call the attention Of the attorney
general to the extortionate prices pre-
vailing and will direct him to make al
example of the first offenders agains
whom sufficient proof to convict can h.
collected. 1t is also believed to be tn
purpose of the President to urge upo
officials of the State governments the ad
visibility of taking similar proceeding
against the middlemen and dealers con
spring to elevate prices for coal, oil an
other articles of domestic USE"
Senator Newlands says he will imme
diately urge the Senate committee on in
terstate commerce to consider the resolu
ton he introduced defining the power en-
1oyed by the President in such way a
to give him the right to commander an
turn over to the federal trade commits
sion or some other department of tn
government the operation Of the cos
mines and the distribution of that prod
uct, to prevent the middleman maxim
private consumers pay record-breakin