The Fargo forum and daily republican. [volume] (Fargo, N.D.) 1894-1957, 1917-09-08
Mr.. HooVER's SURPRISING
TELEGRAM.

Mr.. Hoover's telegram to The For
um last evening, is surprising news
10 North Dakotans and probably to
the country at large.
It was known that the price OF
$500 was not a maximum or a
minimum price in the strict sense of
the term, but only the price that the
government would pay for its pur-
chases. But inasmuch as the gov
eminent was to be the chief custo-
mer. and could control absolutely the
exports, little doubt was felt that
this government price would be in
effect a fixed price.
The surprising feature of the tele-
gram was the statement that the
price would not necessarily continue
in effect until the 1918 price super
seeded it. On Aug 3d. President Will
son issued the following statement:
Section II Of the food act
provides, among other things for
the purchase and sale of wheat
and -four by the government and
appropTiates money for the pur-
pose. The purchase of wheat
and -four for our allies and to a
considerable degree for neutral
countries also has been placed
under the control of the food
administration. l have appointed
a committee to determine a fair
price to be paid in the govern
ment purchase. The price now
recommended by that committee
IN M 81 tann 90
the basic grade-will oe rigidly
adhered to by the Food Admins
tration. 1t is the hope and
expectation of the Food Admins
tration, and my own also, that
this step will at once stabilize
and keep within moderate bounds
the price for all wheat transac-
lions throughout the present crop
year, and in consequence the
prices of -four and bread also"
The price fixing committee in it's
report, said:
'"Your committee has also con-
sidered the fact that the gov
eminent price for the 1917 crop
is in effect a continuing guaranty
until the minimum price guaran-
teed by Congress for the crop of
1918 goes into effect, July l,
1918"
There can be no question but that
the price fixing committee looked up
on the price as a permanent one,
and that the President himself at
least intimated that it would prevail
until next July.
This apparent discrepancy perhaps
can be explained satisfactorily. No
harm has been done yet. The price
of 1920 is still available. and per-
haps it will be until next July. At
least there is every chance for those
who want 1920 for their wheat to
get it.
Meanwhile Mr.. Hoover and his
assistants have a Herculean task,
and they need encouragement and
cooperation instead of condemna-
ton. They have already brought
about a substantial reduction in the
price of -four and it is a Godsend to
the consumer. There is hope that
results will be shown in coal prices.
and possibly in meats, although this
field is less promising.
To attempt to forecast the future
of wheat prices under the new
Interpretation would be the height
of folly. On the one hand there is
the possibility-and it is far from
being a remote one-that the war
will end before another spring, or
that the submarine will be overcome,
and in that case the world shortage
In wheat will be ended. With
the supplies available in Argen-
tina, India, Australia and Russia
wheat might drop to 81.
On the other hand there is a bare
possibility that wheat will go high
err if the farmers of the country
generally refuse to sell, and
premiums have to be offered to get
the wheat to market.
There is no question about the
patriotic thing to do. The govern
ment wants the wheat now, and that
the farmers of North Dakota are
selling and not boarding is shown
by bank receipts.
ernrn-tAM Nr Elaine