The Fargo forum and daily republican. [volume] (Fargo, N.D.) 1894-1957, 1917-02-17

FROM rage OnG.J
prices and more equitable distribution.
not only means the saving of millions
to the great publishers of the coun-
try, but avefts the absolute ruin that
now threatens hundreds Of the smaller
publishers"
The statement continues:
The proposition Is the outcome of
the newsprint paper Investigation that
the federal trade commission has been
conducting for the last eight months.
AS result Of public hearings and
the work of economists accountants
and field experts, the commission ar
rived at the conclusion that the paper
shortage was largely artificial, that
prices were extortionate and that free
competition had ceased to exist"
1t was not stated whether the prop
osition IL accepted would affect the
department of Justices federal grand
jury investigation In New York but
the intimation was that there was a
close relation between the two.
"The principal features OF the offer
are: ...
Whereas r. Among manufacturers
and publishers, there are differences Of
opinion regarding the increase since
January, 1916, in the cost Of production
of newsprint paper in the United
States, and regarding the increased
prices to which manufacturers are en-
titled for newsprint paper sold for use
In the United States for the six months
period beginning March /, 1917, taking
into consideration the increase in their
cost Of production and other conditions
affecting such manufacturers;
And Whereas-The undersigned
manufacturers are DESTROYS of cooper
ating in any plan that may be approved
by the Federal Trade commission, pro-
viding for a more effective distribution
of news print paper among the smaller
publishers:
"And Whereas-The undersigned
are DESTROYS Of submit
ting these matters to the arbitrament
of the Federal Trade commission:
Nov therefore, each Of the under
Trade commission to find, fix and de-
termine forthwith:
"(a))-The probable or estimated in
creased cost of production Of standard
paper in the United States
during the period Of time commencing
March l, 1917, and ending Sept. 1, 1917,
over the cost Of production Of news
print paper in the United States dur
ing the year 1916.
"Ob)-What price per hundred
pounds at the mill would be the fair
and reasonable price for the sale of
such paper for use in the United
States during the aforesaid period of
time, from March i, 1917, to Sept /,
1917: taking into consideration such
Increased cost Of production and other
conditions affecting respective manu-
which the commission may
deem pertinent at this time.
'It is agreed by the manufacturers
that they will carry out all existing
contracts even if at prices lower than
those fixed by the commission and that
with respect to contracts which are for
higher prices, reductions will be made.
Further important clauses in the prop
osition are these:
And each of the undersigned does
hereby agree that 1t will, so far as lies
IN it's power, limit each contract pur-
chaser to his necessary requirements
only, and sell to its customers respect
vely who have no contracts, sufficient
paper to meet their necessary require
nents only, during said period of time,
1t a price not in excess Of the amount
found, fixed and determined by the
Ind reasonable maximum price on such
paper.
And the undersigned does also
agree and bind itself to cooperate |
with the federal trade commission in |
carrying out any plan approved by
he commission to bring about the
OF newsprint for the pur~ |
rose OF securing prompt and effective |
elief to the small publishers Of the |
United States, and which will enable |
UGH small publishers through coop |
'rative buying, to secure their news
'rint paper at practically the same |
rice as that which is hereinunder to /
70 enjoyed by the larger publishers,
Lue provision being made for any adj
itional cost Of distribution. New pub
Ishers shall not be charged more
han said maximum price SO found,
xed and determined by the Federal
'rade commission, during said period
e time.
"And zach of the undersigned, while
OF admitting, but on the contrary ex-
ressly denying that any law has been
iolated by 1t does, nevertheless, here
v agree that the federal trade COM
lission may, If it finds 1t necessary or
proceed forthwith to make
for the readjust-
1ent OF its business in order that 1t
ay maintain its organization,
and conduct OF business
i accordance with law.
THE proposition which has been
AIKEN under advisement by the fed
raj trade commission is said by gov
rnment officials to mark q new are
American life. The commission |
'as created to provide an expert body
,r scientific and economic adjustment
ather than prosecution in order that
le public might not be compelled to
AIT and suffer for relief during the
lower processes Of criminal law.
THE offer OF the news-print manu-
acturers Is the first practical recog-
ition of the new idea by American
usiness men. Oflcial Washington is
mazed at the completeness Of the
accomplishment and al
sady there is a belief that the action
I the paper manufacturers will be
,llowed by other groups that have
cen charged with monopoly and ex-
triton.
IF the commission accepts the offer
is in a position, by reason Of facts
altered in the last eight months, to
AXE it's decision before March /.
his done first step has been taken
IF the establishment of mutual re-
tions between publishers and manu-
.cturers even while competition IL
eed from restraint and the public in
rests safeguarded at every point"