The sun., 1918-11-20
The Apparent Working Agreement Of
Distributors.

To THE EDITOR OF THE suN-Str: II
Is perfectly natural that Mr.. Williams
should endeavor TO escape the odiun
Of having been responsible for the lat
est rise in the price of milk. His posi-
ton In the matter is such that q large
part of the community not unnaturally
consider him the scapesoat and feel dis.
posed 10 visit wrath on him FOR having
authorized what is regarded, whether
rightly or wrongly. as a great outrage.
Unfortunately for him. even those who
believe that he was forced by the cir
cumstances In the case to authorize the
rise are disposed TO consider him the
scapegoat Just the same. They do not
feel that he is responsible personally.
/ but they do believe that he was forced
TO approve n highly questionable pro-
oeeding, and that those who forced him
are the ones actually responsible.
The more carefully the matter Is stud
led, the more reasonable this conclusion
seems. After all, the problem is simple
when reduced TO its prime factors.
Milk is nearly double In price what
II was three years ago. The consumer
pays the price, perforce. because he must
have milk and can get 1t only through
the regular channel OF trade.
Three persons only are concerned In
I the transaction: the producer. the dis
tr!buter and the consumer Only two
can possibly benefit by raising the price.
Which one Is really responsible?
Formerly We would have been In
clined to blame the producer, but this
/ time. at least, this party seems guilt
less. The farmer has long suffered the
severest criticism and has apparently
thrived under Il. Sometimes he has
/ complained. but he has kept on at his
work. and has prospered fully as veil
as the average citizen. perhaps better.
1t appears. however, that he Is not
this time getting any part of the addi-
tional money the consumer Is paying
1t all goes 10 the distributor.
Why should 1t? He glibly protests
that his expenses have risen to such
an extent that he is forced to pass the
burden along to It's natural resting place
which Is always and inevitably on the
shoulders Of the consumer.
There Is no escape from this, pro-
y.ded the distributor conducts his bust
ness fairly and honestly, and provided
his increased expenses are unavoidable
Under existing conditions the distributor
is as necessary In the city OF New York
az Is the producer. He works hard and
is entitled 10 his living In return.
1t is therefore necessary to inquire
into his business and into his expense
n L..
tilted in his increased demands.
The business OF distributing milk in
this city is virtually IN the hands Of a
trust. This statement could not be sub
stantiated in a court OF law, for, as
understand II. no trust has been form
ally organized by the few great compan-
les that practically control the entire
business. but It Is a matter OF common
knowledge that they work together in
perfect harmony, and that the many
competitors who have undertaken to
enter the field against them have failed
to prosper for any length of time.
Practically, therefore, there is a trust.
How Is their business conducted? And
how is their expense account guarded ?
1t might naturally be expected that in
view of the fact that they have no
real competition TO contend with, they
would district the territory and have
each district served by a single car
rier. That would undoubtedly be done
IL the object were to keep expenses
down. but it is not done.
ON every block there are two, three
or more delivery wagons, each with a
horse and driver in real old country
style, all covering the Same ground. The
consumer pays for this.
Despite this waste, the companies
working together have paid such divi-
derds to their stockholders that their
stock has been almost retired from the
market The consumer has paid for this
Astute accountants In the employ of
these companies prepare and produce
elaborate statements to show that no
undue profit is obtained by them. 1t
would take much space to analyZe these
statements, but the present status of
the companies proves conclusively that
their profits, whatever they may be in a
specified month, have been enormous for
10 these many years.
Does any one doubt that they will
continue to be enormous. so long as the
companies retain the monopoly and con-
tinue to do business as they do It now?
DAVID A. CURTIS.
New YORK, November 10.