, 1919-08-14

Onward with confidence along the road
We see. but we should also seek to COM
prehend the whole of the scene amidst
which we act. There is no ground for
some of the fearful forecasts 1 hear ut
tered about me. but the condition of the
world is unquestionably very grave and
We should face II comp~rehendingly. The
situation of our own country is excep-
tionately fortunate. We OF all peoples
can afford to keep our heads and to de-
termine upon moderate and sensible
courses of action which will insure us
against the passions and distempers which
are working such deep unhappiness for
some of the distressed nations on the
other side of the sea.
But we may be involved in their dis
tresses unless we help. and help with en-
ergy and intelligence.
Disregarding the surplus stock in the
hands of the government. there was n
greater supply of foodstuffs in this coun-
try on June l of this year than at the
same date last year. In the combined to-
tai of a number of the most important
foods in dry and cold storage the excess
is quite 10 per cent. And yet prices have
risen.
The supply of fresh eggs on hand in
June of this year. for example, was
greater by nearly 10 per cent than the
supply on hand at the same time last
year. and yet the wholesale price of eggs
was 40 cents a dozen, as against 80 cents
a year ago. The stock of frozen fowls
had increased more than 29S per cent, and
yet the prices had risen also from 3ila
cents per pound to S71k cents. The supply
of butter had increased 129 per
cent and the price from Il to SO cents per
pound. The supply of salt beef had been
augmented 8 per cent and the price had
gene up from s34 a barrel to $50 a barrel.
Canned corn had increased in stock near
ly 80 per cent and had remained sub
stantlally the same in price.
Few Price Drops Not Enough.
In a few foodstuns the prices had de-
clined. but in nothing like the proportion
in which the supply had increased. For
example, the stock of canned tomatoes
had increased 1902 per cent, and yet the
price had declined only % cents per
dozen cans. In some cases there had
been the usual result of an increase of
price following a decrease of supply, but
in almost every instance the increase of
price had been disproportionate to the
decrease in stock.
Law Department Active.
The attorney general has been making
a careful study of the situation as a
whole and of the laws that can be ap-
piled to better it and is convinced that.
under the stimulation and temptation OF
exceptional circumstances, combinations
of producers and combinations of traders
have been formed for the control of sup
plies and of prices which are clearly in
restraint of trade, and against these pros
ecutions will be promptly instituted and
actively pushed which will In all likeli-
hood have a prompt corrective effect.
There is reason to believe that the prices
of leather, of coal. of lumber and of tex
tiles have been materially affected by
forms of concert and cooperation among
the producers and marketers of these and
other universally necessary commodities
which 1t will be possible to redress. No
watchful or energetic effort will be
spared to accomplish this necessary re-
suit. / trust that there will not be many
cases in which prosecution will be neces-
sary. Public action will no doubt cause
many who have perhaps unwittingly
adopted Illegal methods to abandon them
promptly and of their own motion.
Publicity Will Do Much.
And publicity can accomplish a great
deal. The purchaser can often take care
of himself IL he knows the facts and in
fluences he is dealing with. and purchas-
ers are not disinclined to do anything, Ell
Their singly or collectively, that may be
necessary for their self-protection.
The department of commerce.. the
department of agriculture. the depart
ment Of labor and the federal trade
commission can do a great deal toward
supplying the public systematically
and at short intervals. with informa-
ton regarding the actual supply of
/ particular commodities that is in ex-
istence and available with regard to
supplies which are in existence but not
with regard to the methods of price fix
ing which are being used by dealers in
certain foodstuffs and other necessities.
Retailers in Part to Blame.
There can be little doubt that retail
ers are in part-sometimes in large
part-responsible for exorbitant prices;
and 1t is quite practicable for the gov
eminent through the agencies l have
mentioned, to supply the public with
full information as to the prices at
which retailers buy and as to the costs
of transportation they pay in order
that 1T may be known just what mar
gin of profit they are demanding. Opin-
ion and concerted action on the part of
purchasers can probably do the rest.
Congress Must Supply Funds.
That is, these agencies may perform this
Indispensable service provided the con-
gress will supply them with the neces-
sary funds to prosecute their inquiries
and keep their price lists up to date.
Hitherto the appropriation committees of
the house have not always. l fear, seen
the full value of these Inquiries. and the
departments and commissions have been
very much straitened for means to rem
der this service. That adequate funds be
provided by appropriation for this pur-
pose, and provided as promptly as pos
sible. is one of the means of greatly
ameliorating the present distressing con-
ditions of livelihood that ! come to urge,
in this attempt to concert with you the
best ways to serve the country in this
emergency.
1t is one of the absolutely necessary
means. underlying many others. and can
be supplied at once.
There are many otner ways. Existing
law is Inadequate. There are many per-
fectly legitimate methods by which the
government can exercise restraint and
guidance.
Let me urge. in the first place, that
the present foodstuff control act should
be extended both as to the period of time
| during which II shall remain in operation
and as to the commodities to which 1t
shall apply.
Its provision against boarding should be
made to apply not only to food but also
L.