The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1919-08-05
CONGRESS STIRRED

Glass, Victor MURDOCH, OF the Ieoerai
trade commission, and Secretaries
Houston and Wilson.
Barnes, II was learned. was 70 be
quizzed on the feasibility of having
the. government purchase the present
years grain crop at guaranteed prices
and resell IL on the market at lower
figure.
Bread the Barometer.
Bread, the department of labor re-
ports, sells for to 10 cents a pound in
most cities. 1t Is argued II this price
can be cut to or cents other foods
Administration officials feel that
one way to decrease the cost OF living
is to increase production and Presi-
dent Wilson is understood to feel that
strikes now or threats of strikes will
interfere materially with any solution
OF the problem sought by government
agencies.
May Go Before Congress,
Whether the president will go be-
fore congress to recommend steps de-
signed to relieve the situation in which
the country now finds itself will de-
pend, Mn Tumulty said. on the nature
| of the report to be made by Mr..
Palmer.
Governor Harding was to be asked
about the advisability of reducing the
volume OF currency in circulation.
which officials say is twice that of pre-
war days. They argue this is one of
the chief causes of high prices.
It is also suggested that federal
banking machinery be used to contract
credit. Some experts say 1t is now
highly inflated.
Wilson for Price Fixing.
The president, it became known to-
day, Is giving serious consideration to
the revival of the price fixing and
profit limiting functions of the food
administration and the war Industries
! board, now imperative for lack of
funds-also the laws which enabled
them TO operate are still on the statute
books.
He conferred late yesterday with
Federal Trade Commissioners Muir
dock and Colver, asking them what
cost data they are prepared to furnish.
The commission, it was said, has
production figures on $3O,000,0 900
worth OF commodities. including
bread, flour. canned goods. and other
foods. These figures were used by the
government in price limiting during
| the war and will form the basis on
| any action growing out of the present
agitation, according to officials.
Definite Proposals Soon.
The president also discussed with
the commissioners various suggested
relief measures.
The president, it was learned. hopes
within a few days
New laws may be asked from con-
gress where existing legislation is con-
sidered inadequate.
The president, according to his ad-
visers feels that natural economic
laws are responsible for high prices in
| part only. He believes. they say. that
natural conditions are aggravated by
combinations, profiteering, speculation
and boarding.
conditions can be broken down by fed
eral action and that their existence
! is responsible for much of the unrest
and dissatisfa elton.
Wheat Price Repeal an Issue.
Repeal OF the wheat price guaran-
tee is scheduled to be discussed by
the senate agricultural committee
tural states apparently widely differ
| ing.
Chairman Gronna, North Dakota.
favors repeal on the ground that the
farmer will then get higher prices for
| his wheat
Senators Norris. Nebraska Capper,
| Kansas, and other members of the
committee, declare the farmer will
] lose II the government minimum price
is removed.
MilIers Profiteerlng, He Says.
MiIlers, and not the farmers. are
profiting ,by the guarantee law, ac-
| cording to Gronna. The United States
grain corporation has used the gov
| eminent minimum price to beat down
the amount paid to the farmer for
| grain while the millers and bakers
! are free to elevate prices, Gronna
! said. Wheat is already selling at
more than SO bushel at Minneapolis
and a world shortage will make the
price higher. he asserted.
| nnnnCad A.
pealing the guarantee say its removal
would play into the hands of specu-
lators.
Charges that the government itself.
thru the United States grain corpora
ton. which is marketing the nations
wheat crop. is guilty of profiteering in
grains and thus responsible for boost
; ing the cost OF living, were to be made
to the house today by Representive
McCulloch. Ohio.
U. S. Made rs Millions.
The grain corporation. thru its COM
plete control of the market. has in
creased the wheat price as high as 80
cents a bushel above the 1925 guar
anteed price. and the transactions have
resulted in a profit of nearly $4,000
900 to the government he declared.
McCulloch said he had letters from
julius H. Barnes. head of the corpora
ton, admitting the profit but claiming
that the highest profit per bushel the
corporation mas COlleCteu Is II cents.
Barnes stated he considered the $2.26
a minimum and not maximum, Nc
Culloch said.
The corporation. he said. is buying
wheat from the farmers at about the
s2.26 price and selling 1t at a large
profit to the millers.
Says Barnes Boosted OF Profit.
Mr.. Barnes, in his letters to me,
apparently boasts of his profit as a
good business achievement" said Me-
CuIloch. He asks: Don't you think
IL ia good business to make a profit
on your turnover and apparently Is
out to make a record for himself.
II have assured him that in trying
to do so he has forgotten all about the
people of the United States who are
suffering because of the high bread
rrInnn I'll L. =