Evening star., 1919-03-12
RALLY|NG TOPLAN
FOR ''FA|R' PRICES
Business Men Showing Deep
Interest in Efforts of In
dustriaI Board.
COOPERATION HELD VITAL
BY DAVID LAWRENCE.

Business men of the country evident
ly are deeply interested in the proposed
plan of the industrial board of the De-
partment of Commerce to stabilize
prices and stimulate buying, judging by
the number of inquiries pouring in and
discussions which have resulted from
the publication of the policy of the
board. ~
George N. Peek, formerly vice presi-
dent of Deere & Co, who is chair
man of the industrial board, told me
today that he didn't claim that the pro-
posed scheme was perfect, and that he
was anxious for suggestions that would
improve it, but that he was satisfied
the principle of whole hearted CO.
operation between the government and
industry was absolutely vital in order
to bring about gradual return to nor
NAL conditions in the United States.
Earns Serious Consideration.
The fac. that MFR. Peek and other men
on the War Industries Board who won
the confidence of business men gener-
ally, are intrusted with the project has
earned for it the serious consideration
of many industries already. Owing to
the illness Of Judge Gary, conferences
with the steel trade have been postponed
for a week Assurances Of cooperation
have been received from the lumber in
dustry, in convention at New Orleans.
1t is clear that the new industrial
board plans to give practical dem
onstration to the country of what can
be done by corporation when it de-
manufacturers, just what is fair
price for it's commodity. If the plan
Is a success with respect to steel, the
boards power of persuasion-which is
it's chief authority-will. it is felt. be
more easily extended to other trades
and businesses.
Stated simply, what the board will
do is call in representatives of every
industry which is willing to come to
Washington and endeavor to reach an
agreement on what is A fair price.
Costs of production furnished by the
Federal Trade Commission and other
sources of investigation open to the
government will be at the disposal of
the industrial board, so, it is expect
ed, that the interests of the consumer
will be at all times fully protected
Seen as Stimulus to Buying.
It is not promised that a series of
informal agreements between indus
try and the government will at once
cause prices to make substantial
drop. nor is 1t certain that in some
cases there will be much variation
from present prices, but il is hoped
that the government, by conference
with industry, will be able to put it's
stamp of approval on costs Of pro-
duction and prices asked. so that the
public may become assured of the
reasonableness of the prices asked
and buying be stimulated.
This means, to be sure, that merely
to support a high level of costs in
a few establishments which are in
dustry in question will not ignore
tine demand of the consumer for an
elimination of such inefficiency
To those who argue that this means
unemployment for the men thrown
ont of employment in the inefficient
nlants. the answer is made that the
present era Of hesitation on the part
of buyers who expect large drop in
prices will only mean, If continued
the closing down of the efficient plants
and the consequent dumping of even
more men into the arms of the boil
sheyik agitators. The small number
of unemployed from the inefficient
plants. it is also argued. would be
absorbed by those with lower cost
of production where labor would be
needed to fill new orders que to stimu-
lated buying.
Not in Restraint Of Trade.
Another vital objection which has
been made to the plan is the possi-
bility that any agreement on the part
of group of representatives OF a
certain industry to fix prices would
be a violation of the Sherman anti
trust law.
To this, the answer is made, how
ever, that the solicitor Of the Depart
ment of Commerce as the representa-
tive of the Attorney General of the
United States government would be
present at all meetings. which would
constitute an assurance that agree
ments entered into would not subject
the parties to prosecution, for they
would be agreements made not with
the intent to restrain trade or to raise
prices, but to stimulate trading and
reduce prices for the common benefit
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