Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1918-07-01
REPORT OF FEDERAL TRADE
COMMISSION ARoUsEs DEMO.
GRATIS IN CONGRESS.
NEW LEGISLATION CERTAIN
TO FOLLOW FINDINGS
Food Administrator Hoover to Be
Called Upon to Explain Why Price
Fixing Has Permitted Packers, Mill
ers and Others to Reap Enormous
Profits-Priees Should Be Lowered.

Washington. July practical con-
fiscatory taxation Of war profits under
the Forthcoming revenue bill is assured
as result of the trade commissions
charges of profiteering by many large
industries producing necessities of life
and war materials required by the gov
eminent.
An extension of price fixing and an
|overhaulng of the existing price fixing
machinery which failed to prevent
prof1teering are also among the meas
connection with the commissions find
ings. Some leaders in congress are
giving their attention to the possibility
of enacting a drastic -profiteering
law.
Food Administrator Hoover, who was
out of the city will be called upon
for an explanation of the trade COM
missions evidence that there has been
profiteering by the packers, the flour
mi1Iers. and other food producers, de-
spite the regulatory powers conferred
upon him by the food administration
law.
"Prices Should Be Lowered"
Mr.. Hoover's explanation may bring
him Into conflict with the trade COM
mission, with which he has not been
on the best Of terms for some time.
Mr.. Hoover does not deny that there
has been profiteering by certain food
producing industries, notably some of
the -four n1iiiers, but he does contend
that adequate measures have been in
voked to deprive the offenders OF their
swollen profits and prevent repeti-
ton Of the oeensc.
There are two steps which can be
taken to correct the evils shown in the
report of tthe federal trade commissions
assuming that the figures contained in
the report are correct" Senator Sher-
man, of Illinois, said last night. "One is
to levy a very large tax on excess and
war profits and the other is to fix
prices. Prices certainly ought to be
lowered on the necessities of life thru
price fixing. as a war measure. This
should be done in connection with both
civilian and military matters. Taxes
ought to be adjusted to meet large
profiteering
THE two powers, one to tax and the
other to fix prices, already exist and
I am surprised that such enormous
profits should have been permitted. The
prices could have and should have been
controlled in large measure. thru the
operation Of the food control act and
the, food administration"
Calls Taxation Best Cure.
Senator Borah. of Idaho, whose reso-
luton called upon the federal trade
commission to furnish a statement OF
excess profits and profiteering, said:
First of ALL we should. of course.
listen to what the companies mentioned
in the reports have to say. We should
certainly hear both sides. But after
both sides have been heard and all
facts are considered then congress will
likely have sufficient grounds for legis-
lation. The most effective way to deal
with such situation is thru taxation.
IF these companies ar" making any
thing like the profits indicated they
should be called upon 20. turn them
into the treasury Of the United States.
No business Institutions should de-
sire more than a modest profit In
these times, and If the government
does it's duty toward the people NJ
business institution will be permitted
to enjoy more than modest profit.
IAN Must Serve Y. S."
II have no sympathy with an. at