The Mena weekly star., 1919-08-07
TO STRIKE BLOW
At old H. C.L.
Expected Government Win Take a
Drastic Step to Bring Flour to a
Lower Level--To Buy Entire
Wheat Crop and Resell at Loss.

Washington, Aug. 3.-Action of the
most drastic character is to be taken
by the government within the next
forty-eight hours to hit the high cost
of living.
The subcommittee of the committee
of eight high government officials
named by President Wilson to formu-
late a program to reduce sharply the
cost of living has decided unanimous
ly to recommend three steps of a
radical nature. They will be present
ed to President Wilson for approval
Tuesday.
The Program Agreed Upon.
This committee, composed of w. B.
Colver, chairman of the Federal Trade
Commission; Walker ID. Hines, direct
or general of railroads, and R. C. Lef-
fingwell, assistant secretary of the
Treasury, has agreed upon this tenta-
tive program:
/. For the government to buy the
wheat crop at the guaranteed price of
1926 bushel, and Immediately place
it back on the market at S1.50 bush
ell, the government to make rn the en-
tailed loss of many millions.
2. For summary action thru the
Department of Justice under the So
called Lever Act, the act creating the
food and fuel administration. This
law gives the government sweeping
powers and has some sections not even
used during the war, which it is now
proposed to bring into play as a
means Immediately at hand to get a
strangle hold on all profteers, specu-
lators and hoarders.
3. For all departments of the gov
ernment to disgorge Immediately and
throw onto open market everything it
has in the way of supplies. This
would include not alone everything in
the way of foodstuffs, but clothes,
blankets, shoes and all sort of goods
of this description, and might even
include some fuel.
See Menace in Situation.
The subcommittee, after working all
of yesterday, most of last night and
today, came to the conclusion that the
situation thruout the country was so
menacing in its aspects as to justify
immediate and vigorous action. A re-
port will be completed tomorrow and
signed by the three officials.
This report will be submitted to the
full committee of eight Tuesday
morning. The attitude Of Attorney
General Palmer indicates that it will
be indorsed by the full committee. In
turn, the recommendation will be
laid before President Wilson and the
Cabinet at the regular Cabinet meet
ing Tuesday afternoon. 1t is antici-
pated that the program will be en-
dorsed by the President and his Cabi-
net in all its main essentials, and
that the necessary executive orders
will go out Tuesday night or Wednes-
day morning putting the program in
to operation.
No Sympathy for Profteers.
The government officials framing
the program expect there will be
loud walls from many quarters, par
ticularly from food hoardsrs and
spectators. 1t is realized that the
execution Of this program inevitably
win sweep millions of dollars of pa
per profits into the discard. Antici-
pating a roar of protest the answer
already has been framed. The high
spots in this answer are:
/. If drastic steps, necessary to
meet an emergency, produce disturb
ing effect, so would revolution
2. Spectators and hoarders will be
biuntly told that, while for months
they have been making huge profits,
they must now face some losses, and
further the opinion will be exprest
that the people of the country will
turn deaf ear to complaints from
such quarters.
Wheat Down, Other Foods, Too.
The officials framing the campaign
against the high cost of living refer
to the proposal to put wheat on the
market at $1.50 bushel as the"bil-
lion-dollar. smash" While the tax
payers Of the country will have to
make up the loss to the government,
the government officials are supreme
ly confident that the collateral effect
of handling the wheat situation as
above indicated will be tremendous
in its beneficial results.
1t is pointed out that bread and al
lied products form the great competi-
tive basis for all food necessities, Ac-
cordingly, there is unanimity of
opinion that the reduction in the price
of wheat Immediately win result in
sharp decline in the prices of all
food products, aside from special COM
modities that might be classed as lux
uries.