Burlington weekly free press. [volume] (Burlington, Vt.) 1866-1928, 1919-08-14
PRESIDENTS MESSAGE
ON COST OF LIVING

soon or to what extent foreign manufac-
turers can resume their former produce
ton. foreign farmers get their accus-
toned crops from their own fields. foreign
mines resumes their former output for
eign merchants set up again their old
machinery of trade with the end of the
earth. All these things must remain un-
certain until peace is established ana
the nations Of the world have concerted
the methods by which normal life ana IN
dustry are to be restored. All that we
shall do. In the meantime, to restrain
profiteerng and put the life Of our people
upon tolerable footing will be make
shift and provisional There can be no
settled conditions here or elsewhere until
the treaty of peace Is out of the way ana
the work of liquidating the war has be-
come the chief concern of our govern
ment and of the other governments of the
world. Until then business will einevit-
ably remain speculative and sway now
this way and again that, with heavy
losses or heavy gains as 1t may chance,
and the consumer must take care of both
the gains and the losses, There can be
mo peace prices so long as our whole IMAM
cial and economic system Is on war
basis.
Europe viii not, cannot, fecoup her
capital or put her restless distracted
peoples to work until she knows exactly
where she stands in respect of peace;
and what we VIII do is for her the chief
question upon which her duietude of mind
and confidence of purpose depend.
While there is any possibility that the
peace terms may be changed or may be
held long in allegiance or may not be
enforced because of divisions of opinion
among the powers associated against
Germany, it is idle to look for perma-
nent relief.
But what we can do we should do.
and should do at once. And there is a
great deal that we can do. provisional
though 1t be. Wheat shipments and
credits to facilitate the purchase of our
| wheat can and will be limited and con-
trolled in such a way as not to raise,
but rather to lower the price of -four
here. The government has the power,
within certain limits, to regulate that.
We cannot deny wheat to foreign peo-
pies who are in dire need of It. and we
do not wish to do so; but, fortunately,
though the wheat crop is not what we
hoped it would be, it is abundant If
handled with provident care. The price
of wheat is lower in the United States
than in Europe, and can with proper
management be kept so.
BY way of immediate relief, surplus
stocks of both food and clothing in the
hands of the government will be sold
and of course sold at prices at which
| there is no profit. And by way of n
more permanent correction OF prices sur
plus stocks in private hands will be drawn
| out of storage and put upon the market
! Fortunately, under the terms Of the food
control act the boarding of foodstuffs
can be checked and prevented; and they
will be, with the greatest energy. Food
stuffs can be drawn out of storage and
sold by legal action which the depart
ment of justice will institute wherever
necessary; but so soon as the situation
is systematically dealt with it Is not
likely that the courts will often have
| to be resorted to. Much of the accumu-
| lating of stocks has no doubt been due to
the sort of speculation which always re-
suits from uncertainty. Great SURPRISES
| were accumulated because 1t was impos-
sble to foresee what the market would
! disclose and dealers were determined to
, be ready for whatever might happen, as
well as eager to reap the full advantage
of rising prices They will now see the
disadvantage. as well as the danger. of
holding off from the new process Of dis
| tribution.
Some very interesting and significant
| facts with regard to stocks on hand and
the rise of prices in the face of abund-
ance have been disclosed by the inquiries
of the department of agriculture, the de
partment of labor and the federal trade
~ m m tGS ThnNr to i1Sf n
statement that in the case of many
, necessary commodities effective means
have been found to prevent the norma
operation of the law Of supply and de
mand Dsregardins the surplus stock:
in the hands of the government, there
was a greater supply Of foodstuffs II
this country on June first Of this yeal
than at the same date last year. II
the combined total of number of thu
most important foods in dry and colo
storage the excess Is quite 10 per cent
And yet yrices have risen. The suppl,
of fresh eggs on hand in June of this
year. for example. was greater by nearl.
ten per cent than the supply on hanC
at the same time last year and yet thu
wholesale price was 40 cents a dozen a
against 80 cents a year ago. The stool
of frozen fowls had increased more thai
29s per cent, and yet the price hat
risen also, from 34lA cents per pound t,
37h cents. The supply of creamery but
ter had increased 129 per cent. and thu
price from Al to 50 cents per pound. Thu
supply of salt beef had been augmented
three per cent. and the price had gon
up from s34 a barrel to S36 barrel
Canned corn had increased in stool
nearly 90 per cent. and had remained
substantially the same in price. In
few foodstuffs the prices had declined
but in nothing like the proportion II
which the supply had Increased. Fo
example, the stock of canned tomatoe
had increased 102 per cent and yet tn
price had declined only % cents pc
dozen cans. In some cases there ha,
been the usual result ct an increase @
price following a decrease of supply, blu
in almost every instance the increase o
price had been disproportionate to tn
decrease In stock.
The encouragement has been MAXIM
a careful study of the situation as a Who'll
and Of the laws that can be applied t
better 1t and Is convinced that. unde
the stimulation and temptation of excep
tional circumstances, combinations o
producers and combinations of trader
have been formed for the control of sup
plies and of prices which are clearly Il
restraint of trade and against thes
prosecutions will be PROMPTLY institut o.