New-York tribune., 1919-08-05
Cabinet Plans
Cut Wheat
Price to $1.5O
Continued from page !

ed stretching Of the war powers Of
the government to put such a plan
! into effect" r''
Explaining the Indifference Of the
farmers to continuation of the guar
antee, Senator Gronna said No.
wheat was now selling at $3.07 at Min
neapolis. and would continue to sell at
that figure, whether the guarantee was
continued or abolished
The fact is that there is world
shortage of wheat" he asserted. "The
prices now being paid are justified by
the law of supply and demand"
Senator Gronna said reduction in
wheat prices would not solve the prob
lem. IT the people were given their
Hour free or their meat free the prob
lem would still remain, he believed. The
only way, he said was to consider the
problem as whole, and not to single
out tne producers Of single commodity
for attack.
Relation of the price of wheat to
the cost of living was debated by sew
eral Senator's MIR. Gronna denied that
the governments wheat price guaran.
zee causes undue prices for bread. He
was supported by Senator'S Kellogg
4 and Nelson, Republicans, of Minnesota
VINO sald wheat was being sold far
above the governments guarantee at
lhe principal terminals.
No Bumper Wheat Crop
-, The three Senator'S predicted that
this years crop would be lower than
government estimates, Senator Gronna
saying 1T would be $50, ,0OO,OOO bushels
and not 1.161 100000 as forecast bv the
Department. of Agriculture
senator Gronna declared the packers
and all dealers in food products never
made higher profits" than they did
under the food administrations licens
ing plan during the war.
Senator Kirby, Democrat, of Arkan-
sas, asked If the government grain cor
poratlon was not now manipulating
prices.
What is this man Barnes doing %
he asked.
"Mr. Barnes has been criticised in
all the wheat states" Senator Gronna
answered, "for bearing down the price
he has made every possible effort to
reduce prices"
Senator Nelson said the Canadian
government had taken over the wheat
crop IN that country and wiped out"
Canadian exchanges.
Depiorlng the general tendency to
run TO Congress TO pass laws for the
Smith, Democrat, South Caroline de-
ciarcd local authorities have ample
power to combat the high cost Of liy
ing "hysteria.'
Blames 1t on Extravaganza
Senator Smith said if there was
proiiteering the Sherman act afforded
an opportunity to break it up. He
added that extravaganza by most per
sons was one cause of present condi-
tons.
Senator McCumber, Republican. Of
North Dakota
rel was the Cheapest thing on earth
to-day"
Compare your -four bill of s1a cents
day with your cigar bill" Senator
McCumber said, in asking why there
was so much ciamor about -four prices
and so little about those for clothing,
shoes, medicines and other articles.
senator Plttman, Democrat, of Ne
vada, told the Senate wheat and flour
prices could not be blamed on the
present Administration He pointed
out that President Wilson had vetoed a
bill to fix wheat at 81 so a bushel, fore
ing the 1926 guarantee, and declared
the Administration had opposed the
wheat-fixing legislation.
Senator Thomas, Democrat of Color
ado, observed that the high cost of liv-
ing was world wide, and asked if any
Senator could suggest how one nation
alone could change conditions.
Packers Not Responsible
Senator Sherman. Republican, of H.
llnols, said the meat packers were not
responsible for high meat prices.
"The increase in price of meats
comes after they leave the refrigerator
car he said.
Senator Smcot, of Utah, declared in
Hation of currency and exorbitant
profits of food diStrihuters were re.
sponsiblc for high | wing costs.
Urging that the people not "lose their
hoads' over the situate on, Senator
Smoot said:
II look forward to trouble, not only
in this country, but all over the world
unless a change comes within rea-
sonabe time"
Attacking alleged proftecrng by
wholesale and retail food dealers.
Senator Smoot said the former
averaged about 20 per cent and the
later 30 per cent in Washington He
declared he had been charged Sl.25
a chicken, mo bigger than one s
hand"
Senator Borah, Republican, Of Idaho,
said it would be no task to find the
profteer.
Says Profiteer Is Safe
eve know where the profteer is
he said. eve don't have to hunt FOX
him. And he will be just as safe the
next four years as he has been the
last four
This was taken by Senator Borah s
colleagues as referring to the interna-
tlonal banking group.
The Senate was urged by Senator
Reed, Democrat, of Missouri not to