The Washington times., 1920-09-22
lS}hN WEEKLY TRADE REVIEW 4
6A WEEK IN THE INTERESTS Of WASHINGTON INDUSTRIAL BOlNG AND Bu
Trade Conference Called Washington October BY Federal Com
mission Against Decline in Prices

abolished as II offers the tempta-
tion TO speculate In FOOD com-
Ipodities. The company sxpresess
sSis - an inc:stivs Tor ssissmsp
70 ovsrsell customers. DO much
for srocerie
nivyst are Inflated ~ the price
decline GUARANTEES. says the re,
public Rubber cs%psny; emp n.c,,cs OF
is Injurious to the trade and ear
Hes no beneft to the public. these
manufacturer say. They describe
II a. lever by which large map
ufActurers may get control OF ths
market to the disa6yAntAge OF
goods and shoes and leather are
affected In the same way,
The practice began In tho hard
ware trade about two years ago
and has been encouraged. Many
5obbsrs insist upon the guarantee
s,;hnls a;,sIharins that n tnsk kosnnka w,i sof AY sTY
ware Co. Of Roanoke. Virginia,
regards IL as important that
manufacturers In certain lines
give q guarantee TO cover the
period required for Jobbers TO dis-
pose Of goods. II they did not.
the company says. dsclin:s IN
pItNCD WOubO BVB0N ~ sVSS
oyes 5e sss &s,S.:r. ss ccmp:ny. a:nx' oS so
bsrs, of Lincoln. NsbraSka. re-
cards II a. . discriminatory prac-
tlce which ought to be forbidden
by. law. The company has not
refused to give such . privilege,
I sr Way way in IN which to distriSuts
merchandise. Thus on through
the list from house furnishings to
typewriter ribbons. In fact, every
thing from soup TO nuts.
WHOLESALERS AND JoBsBRs
FAVOR.
The practice is most heartily
ss.n. whs 'GSeers tss m.,orey ana ~np onpo.
sed to the practice are manufac-
turers. The statement must be
qualified somewhat ~ many man
. ufacturers who really oppose u
are forced to uphold II because
they wish to keep good custom.
sue such Wao = xuarsntss. %as ns. VoS Only n0 in in
dustries affected to . great OK
tent BY seasonal demand. as the
paint industry described, do. the
selves in unau.line6 spproyii Of
the practice. They explain that
effects economy In factory opera.
tion by equalixing production and
shipments throughout the year.
Another disadvantage the guar
antee against decline in price
works Is the discriminAtion inn
posed against tho small manu-
sosq so ans snt cn:s. ~sers ,s
companies. Only manufacturers
of large capital can afford to
take chances on future prices.
Speculation Is often encouraged
among Jobbers and many OF the
declines in price announced by
the manufsctHrer feil to lower the
sn.es ssmSrnt on tns price tag for q
grocery.
ARGUMENTS TO DE HEARD.
At the conference manufactur-
ers, tobbers and wholesalers, per-
haps consumers, will argue the
fairness or unfairness of the prac-
ttcs Of giving q guarantee asainstt
the conferences win be accepted
by the commission ~ . Judgment
OF the trade. The complaint of
the consumers may not be heard.
II the wholesalers and jobbers
unite approving the practice. But
ers show that American industry
will not and actually does not
benef1t by such an artificial stim-
ulus a. the practice Of making
guarantees against declines in
price the practice will be defined
by the commission as unfair COM
petition in restraint Of trade and
industry will be obliged to stop
It, TO the beneflt or the ultimate
cOnSumer-you