The sun., 1919-08-24
nv EDWARD MARSHALL.

w GUS plans proposed by Con-
yress for It's reduction by law and how
really to get it down. Suddenly he
sbook his head with emphasis.
you can't iesislate an economic law
mt OF existence" he declared. p.
"The economic law which now af-
fects US is that a reaction against the
consumer always must follow the COM
b,nation Of demand which is in
svitable and irresistible and a supply
which is affected by imperfect distri-
hution or controlled by selfish inter-
ests."
This statement seems complicated.
Read II carefully and you will find II
very simple.
The man behind Il is one Of the best
Known economic authorities and most
torceful economic thinkers in the
United States---M. L. Requa. recently
one OF Mr.. Hoover's chief aids. princi-
pal organizer, in fact, of the United
states Food Administration, and after
ward general director Of the oil di-
Vision, United States Fuel Administra-
ton. Since the beginning Of the great
conflict, which found Mr.. Requa
technically very eminent as an engi-
neSr his fame has spread until now
lie Is known as one OF the deepest and
clearest thinkers introduced by the
world convulsion into that purely
Iatriotic public effort In which 50
many Of the nations most important
men have participated.
Cost and Price vital.
Cost and price," continued Mr.
Requa, "are topics very vital to the
welfare Of the nation. Cost must not
be too high and must not be swollen
by avoidable waste; price must not be
too high nor swollen by unreasonable
profit Let us consider the peach
which had for my breakfast. Prob
ably II came from California. I bought
II in my New York hotel for 40 cents
when peaches of the same quality are
selling in San Francisco at Is cents s
dozen and probably are selling else
where IN California at much less thar
that. Thus there is Cat least) a diff
ference Of 43x cents between the
original producers price OF IN cent,
and that paid by the ultimate con
sumer. Worked out in percentage thii
seems appalling. for 1t 10 about $500
per cent paid about thirty.five timet
as much for my peach in New Yorl
as the California grower got for 1t.
"whom do I blame? Let us see
The hotel? No. The New York whole
saler OF whom the hotel bought? No
The transportation agencies tina
brought It across the continent? No
The jobber In San Francisco? No
And certainly I do not blame the
grower Of the peach.
The fact is that-speaking gener'
ally, am not saying that there may
not be peach profiteers as there are
profiteers In other ines-individuali
are not responsible through unreason'
able profits at any one stage OF th'
progress of the peach from tree TO lip
A Vicious Circle.
"A vicious circle exists In which
each segment is more the victim thai
the criminal In other words the faul
nes in the system rather than. at tn
door Of any individual contributini
thereto. although again I must maxi
the reservation that know profiteer
exist IN the United States and tina
they must be found and penalize'
drastically.
speaking generally. they Will be
But II the last profiteer were behin'
bars we still would find ourselves
affected by price absurdities and cos
hardships il we do not seek, find ant
eliminate the root of the trouble.
'In order to do this we must g
deeper than we can be carried by Tn
passage Of laws. What have statute
done in the past to correct economi
evils unfortunately affecting busines
and the people?
mot always what has been expecte'
OF them. For instance, always nav
believed the attempt at Government
control through the Sherman act TO D
fundamentally a mistake. The dissoiu
ton of the Standard Oil Compan'
did no real good. Large companie
mean efficiency. To-day the Standar'
Oil Company saves to humanit!
practically an there Is in tn
product which comes from tn
ground, while the independent com
panies through imperfect method
waste of it much that can never be re
covered. So, accepting the Sherma
law as a measurable failure. we mus
admit that few things have done rea
good up to date.
Many Plans Proposed.
"Maty plans now are proposed an
backed by men Of real importance
Win any Of them do good? Somethin
must. But before anything can d
good there must be better public un
dtrstanding; the profiteers must lear
the error OF their ways wastrels mus
be taught or punished; the radicals
must be educated out Of ignorance; tn
Conservatives must be trained out
stupidity. especially the general publ
must be induced to stop and stud,
When the american general publ
stops and studies something wort
While always comes out of the ments
application.
Personally I believe the solution {
our high cost OF living problem wi
be found eventually in the llcensln
system.
Rational and unfailing supervision
not OF the products alone. the produce
alone, the wholesaler alone. the trans
portation system alone the jobbt
alone or the retailer alone, but OF al
with the thought Of linking them u
in a new circle in which every sel
ment will be clean and true, whic