New-York tribune., 1920-01-16
Excess Profits
Tax Is Raneful.
Colyer Asserts
Member of Federal Trade
Commission Advises Dry
Goods Men to Start Agi-
tation Against the Levy

tation Against the Levy
i About 200 representatives. Of large
.;rv goods wholesalers from all parts
cf the country yesterday vociferously
snnlauded William 3. Colver, member
S - aF the Federal Trade Commission, when
he condemned the Federal excess profits
sav and alluded to it as 'one of the
, , scrnerstones ,n of the present unhealthy
and insolerable price structure in this
rouutyy" Mr. Colver was the principal
: srsaker at the sixteenth annual con-
: : vsnticn of the National Wholesale
Iry Goods Association.
= He went on TO explain that the ex-
cess profits tax was not designed as
revenue measure. but es a profits equal
;rer under different costs of produc-
ton during the war, when prices of
: certain commodities were fixed by the
= = sayernmen; He advised the dry goods
Z men 20 stir up agitation against the
s tx and Uniform their representatives
81 Washington of its baneful fea-
lures"
i Tax Passed On
The taN IS passed on and multiplied,
! he said. until about four or five dollars
is taken out OF some ones pocket for
every dollar reaching the public
treasury.
VI. Colver elaborated on the topic
rot work ard save" setting forth as
the principal reason for this advice
our present credit expansion. currency
: expansion the inability of Europe to
produce wealth at present to pay her
debts soon. possibility of overproduc-
ton here because OF our lessening ex-
ports ard the flow OF gold to South
America and the Orient
The artificial price structure" he
declared vehementiy, must come down.
Overstimulated wages, overcapitaliza-
tson OF expectations and false factors
in costs must come out if this country
is to have it's sails properly reefed and
its hatches battered down to meet the
storm. which has followed every great
war that the world has ever seem
Mr. Colver opened his address by
. s'explaining the functions of the
Federal Trade. Commission and re-
viewed it's activities during the four
and half years of its existence. "Our
bureau is the friend and servant of
business he said, mot the Supreme
Court of business as it often has been
called
President F. A. Patrick, Of F. A.
Patrick & Co., Duluth, Mimi. sounded
the Keynote Of the convention by allud-
ing to the present market in commodi-
ties as critical and urging the greatest
caution in buying and selling policies.
He attacked spectators IL piece goods
land charged them with unduly raising
prices and keeping goods out of legiti-
mate trade channels, thereby helping
20 force shortage. He alluded to
the ''day Of reckoning for high prices,
but said that no man could foresee
now just when it was coming.
Thinks Crest Is Here
Arthur c. Smith, president of NJ. f.
Smith Company, Omaha, Neb., said ths>
most jobbers agreed that the crest Of
time ne said, fer us to pull in our
sails, make our commitments close to
f.ome and neither buy nor sell far into
the future
Jebbers were advised to play strong
he nationally advertised goods which
enabled them and their customers, the
rllailers, 10 make good profits, but to
drag back" OF such goods on which
rroft was relatively small. Com
riaints of too small profits by the fixed
resale price on some goods, he said,
wsse the subjects 4ofsmany cnmpla ints
t..,-a retailers.
tbt dtNtS4Ott4ty OIL paying tTdVellHg
sslesmen on a basis of profits made
sa5her than percentage Of gross sales,
* straight salary. was discussed by
lanes Wilson. of Clawson & Wilson
ompany. Buffalo. \. Y
Other addresses were made by W. NJ.
g. Howse, of Wichita, KAN. E. B.
snyder, OF Richmond, Va; E. ]. Tit
lew. OF Reading, Pa; Bentley P. Neff.
Of Duluth, Mlnn,, and James NJ Easter
q Baltimore Md, all members Of the
association.
Fund for Propaganda
resolution urging the support of
f7sfy member 10 an advertising and
7 Fs7pagandss nnpaign. directed to teach
- ne retailer ehe advantages of buying
~ goods, particularly knit goods,
through jObber instead of directly
1feni the manufacturers, was unani-
mousiy approved 1t is expected that
fund Of $4,000 to carry on this
WORK Will be raised by subscription
among sae members The association
alsc approved q resolution calling upon
nc senate % take immediate action
oa the peace treaty aud the league
d nations.
n G. Cooper, Of Cooper, Coate 6.
esseE Dry Goods Company, Los An
seies. former second president. was
sRossn president for the coming year.
~ .sss boyd, OF the Pittsburgh Dry
sccas Company, was reelected first
/ sni,-e-Ffesiaenr, ~, ard James Wilson. of
T1'ss~s"n & wilson Co., Buffalo, second
!. xss-prea'deut. The secretary treasurer
= sM nis advisory, Thomas A. Fernlev
e sta /. James FcrnlaS- of pn;Iad.7rt;a -