The Richmond palladium and sun-telegram. [volume] (Richmond, Ind.) 1907-1939, 1918-11-12
FOOD PRICES TO
REMAIN HIGH FOR
Time, U. s. TOLD
Demands on America to
Change in Character Not in
Volume, Hoover Says.

WASHINGTON. Nov 12-Immedi
ate dropping Of food prices as result
OF the conclusion of an armistice can
not be expected. Food Administrator
Hoover declared last night, in state
ment. which added that while the
prices of some foodstuffs will decrease,
others will increase
with the war effectually over" said
Mr.. Hoover, I'VE enter new economic
era. and its immediate effect on prices
Is difficult to anticipate. The prices
or some food commodities may in
crease because. but others will de-
crease because with liberated shipping
accumulated stocks in the Southern
Hemisphere and the Far East will be
available. The demands upon the
United States will change in character.
but not in volume
"All activities Of the food admins
tra:ion will be continued through the
armistice period" said Mr. Hoover,
adding that there will be no relaxa-
tion Of efforts to keep down profiteer.
ing 10 the last moment.
The maintenance of the embargo"
he continued. Twill prevent depletion
Of cur stocks by hungry Europe below
cur necessities, and any one who con-
, TEMPLATES specialization in food
against the needs of these people can
we'll be warned of the prompt action
OF the government.
Wage Increase Causes Boost
In general, for the first twelve
months OF the food administration, the
prices to the farmer increased. but de-
creased to the consumer by the elm
ination of profteering and speculation.
Due TO increases in wages, transpolta-
ton, etc. the prices have been increas-
ing during the last four months,
"All indexes show an increase in
farmers prices and a decrease in
wholesale prices OF food during the
year ending July J. 1918 In other
words. great reduction took place in
middlemen's charges. amounting to be-
tween Is per cent and 80 per cent, de-
pending upon the basis of calculation
adopted These decreases have come
cut of the elimination of speculation
and profiteering.
1T Is obvious enough that prices
have risen during the last three
months both to the farmer and to the
wholesaler and retailer. On the other
hand, these rising prices have only
kept pace with the farmers prices.
All thdIlpie Vi WHdL tlllS may CClIe
to can be shown in the matter of -four.
The increased cost of transportation
from the wheat producing regions to
New York City amounts to about 40
cents per barrel. The increased cost
of cotton bags during the last four
teen months amounts to 80 cents per
barrel Of -four The increase in whole
salers' costs of drayage, rents, etc,
n IN a nf
cents without including the increased
costs of the miller or retailer
Can't "Have Our Cake and Eat It."
Such changes do not come under
the category Of profiteering. They are
tho necessary changes involved by the
economic differences in the situation.
We cannot have our cake and eat it.
In other words, We cannot raise wages.
railway rates, expand our credits and
currency and hope to maintain the
same level of prices of foods. All
that the food administration can do is
to see as far as Is humanity possible
that these alterations take place with
out speculation or profteering and
that such Establishments are conducted
in an orderly manner.
I'VE have had a large measure of
voluntary cooperation both from pro-
ducers, manufacturers and wholesalers
In suppression of profiteering and spec
ulation. There are cases that have
required stern measures and some
millions OF dollars have been refunded
in one way or another to the public.
The number Of firms penalized is pro.
portionately not large to the total firms
engaged.
I'm the matter of voluntary control
Of retailers we have had more diff
Guilty. but in the publication from week
to week in every town in the country
of fair prices based upon wholesale
costs and type of service, there has
been a considerable check made upon
overcharges."