Evening public ledger. [volume] (Philadelphia [Pa.]) 1914-1942, 1919-08-22
IGOUGERS WON'T QUIT,
ASSERTS COL. NJ CAIN
l''Falr-Price" Body Will Have No
Effect, He Says-Suggests
Licensing
CALLS PRICE FIXING FUTILE
BY GEORGE NOX MCCAIN

The appointment of a fair price com
mittee for Philadelphia will not prevent
nrofiteering.
1t will be an expcdieut that will fail
to accomplish results.
The publication of fair price lists
during the operation of the food admin
istration was FAR from satisfactory.
Certain dealers ignored them com
ptetely. The range of prices between
the minimum and maximum figures af-
forded too wide leeway. There were
too many conditions affecting the sale
of foods to make the plan a success.
IL was the best. however, that could
be done in the circumstances.
Tire character of the goods, their
quality and condition. the overhead
charges. location of the dealer and char
acter OF his patronage enter into the
retail price charged for food.
A corner grocer downtown with small
rent, a single clerk or no clerk at all.
4 and no overhead charges worth men
tioning, can undersell n large establish
ment uptown with high rent. costly out
fittings. prompt delivery. battalion OF
paid assistants, and a we'll to-do pat
ronage. An establishment like this can
hardly be expected TO enter into comp"-
tition with the small downtown place.
Almost impossible Task
These and numerous other conditions
make fair price fixing a difficult task;
nm almost impossible one.
During the food administration, fair
price fixing invited criticism. In some
Instances it encouraged prOtitcoring.
ask the maximum price. When rem
chstrated with they would point TO the
fair price figures to Justify their cH-
tortion.
The high class dealer demanded more
than the maximum fair price. lie de-
clared that the quality of his goods and
his heavy overhead expenses required it
If he was to continue in business. Many
calmly Informed their customers that
il they were not satisfied with the prices
they could go elsewhere.
Another angle of, this vcxed question
was Illustrated in curious manner.
1t was pointed out that certain cuts
OF meat were sold at lower nriCe in
the Reading Terminal Market than at
small butcher shops in West and South
Philadelphia. 1t was true. The reason
was that there was little call for poorer
cuts in the downtown market, but there
was great demand for them in other
sections of the city. As n result
higher. price was asked in the smaller
outlying shops. 1t was an eXemplifica-
tion Of the law of supply and demand.
A fair price list does not take into
consideration the grade and quality OF
the commodity. Special brands of
canned goods known as fancy ncces-
state higher prices than ordinary or in
ferior goods packed in smaller recep-
tacles These varied conditions often
>fead to charges of unfair prices. cxtOr
fion and profiteering by that part of the
public which is either ignorant Of the
fack or carcl""s in its purchases.
Extravaganza an Issue
American extravaganCC leads certain
OF the wealthy. the well to do. or the
Indifferent to demand what they term
..the best of everything" Cost is not
considered. 1t is natural that shrewd
retail dealers, knowing this fact. should
treat their customers accordingly.
And this tendency to demand the best
of everything. Irrespective of cost, has
grown with leaps and bounds. 1t af-
fects those who can least afford it.
In the above | have condensed the re
suit of Investigations by food admin
istration officials and investigators.
What is the remedy?
A government licensing system TO
large dealers in food commodities OF
the one hand. and a campaign of educa
p, 81, |,
economy on the other Price fixing BY
Congress is not only dangerous pro
posal, unconstitutional ] believe, bu
one that will not solve the problem. Ii
his testimony in Washington yesterda,
TIE attorney general admitted this.
III that portion of the Lever food law
is revived which permits the licensing o
large dealers it will place a club in tn,
hands of the government that will hal
profteering. The government. through
its license control can investigate anc
punish not only the big fellow, but i
an reach the small dealer and the cor.
= ner grocer. in a poor neighborhood, whC
= Z robs his patrons.
1t is the opinion of Attorney Genera
Palmer and food administration official
in Pennsylvania and New York, will
whom / have talked, that the American
people must be taught to economic
Eat More Bread.
IL the people of Philadelphia woul,
reduce their purchases in volume. ca
more bread, cut out delicacies. expen
sive clothes, and all unnecessary pur
chases, prices would drop like a plum
met within thirty days. The lack o
demand would force them down.
In talk with Howard Heinz, il
New York, on his return from tn
Middle East, where he was director o
food supplies for southeastern Europe
he said some things that were not pub
lished at the time.
."The world is facing a crisis tn
like of which it has never known,
he declared. 1T is facing famine
With its weakened recuperative pow