New-York tribune., 1919-10-02

clothing, shoe and drygoods section Of
the fair price committee, has had made
survey of the situation with regard
to prices in these lines, to determine
whether the daily or weekly price list
was feasible At the same time the
chairman has had made analyses Of the
advertising of tho retail stores dealing
in clothing, shoes and drygoods.
"As a result, we are now able 20 re-
port to you that publication Of daily
price list arbitrarily fixed by this com
mittce is impracticable, and not the
best way to handle this matter for the
greatest benefit to the consumer. We
would report that the continuous daily
advertising in the daily newspapers by
merchants engaged in handling cloth
ing. shoes and drygoods constitutes
practically a daily competitive price
list, the resulting publicity being the
best guarantee that the consumer shall
obtain fair prices. 1t does not seem
either feasible or practical that the
retail dealer exhibit at the time of sale
his cost price.
"In our investigation Of the s.tua-
tion with regard to shoes. we find that
the most careful appraisement of fair
retail price for a good grade of ser
viceable, honestly made shoes was
$3.50. On the day the investigation
leading up to this appraisal was fin
ished, which investigation included Wis
its to twenty-five small shoe stores
throughout Manhattan, a large retail
establishment in the downtown shop
ping district advertised a similar shoe
at $500. 1t was found that the large
store, either because of better buying
facilities or because of the financial
ability to take loss in one line, was
20 al n "a m
staple necessities in these lines, price
which was entirely fair and reasonable
from the standpoint of the small
neighborhood merchant. At the same
time, the daily advertising Of the largo
stores forced the small retailer, except
in isolated cases, to keep at a reason
able percentage his margin of profit.
"Generally speaking, then, in this in
vestigation we have found:
81. That competition is 50 widespread
and universal among retailers in these
lines that price agreements are impos-
sible, and in themselves would defeat
an attempt to logger prices.
"2 That retaY prices in these com
modities are regulated and restrained
through publicity given in daily bull
letins in the form of advertisements
from a number Of competing retailers.
"3. That the public, in measure,
can itself control prices in these lines
by judicious and economical purchases
~. That labor costs of all kinds af-
fecting merchandise at various stages
of its production, manufacture and dis
tribution have greatly increased within
the last few months, in addition to the
increase as compared to the pre-war
period.
"5. That raw materials which enter
into the manufacture of finished prod
ucts in these lines have increased in
price in similar manner.
IS. That trans portation and distribu-
tion costs for these goods have likewise
increased during the period under in
vestigation.
No Power to Lower Prices
CAS- You suggested in your address
at the first meeting of the committee.
our only police power would be the
power of publicity. 1t is obvious that
no arbitrary power, whether Of gov
ernment, Of capital or Of labor, could
of itself lower prices in general
world market tending upward. because
OF the tremendous reduction in produc-
tion following the war.
THE committee would submit, there
fore, the proposition that in the cloth
there is larger and more detailed ad-
vertising in the daily press than there
is with respect 10 any other commodi-
ties, and this method Of publication, OF
what practically amounts to. daily COM
petitivs price lists, the committee sub
mits, constitutes the best possible po-