The Washington times., 1920-04-29
PAPER SUPPLY CUT f.
. BY PRICE PROTESTS.
Baltimore Publisher Tells Sen
ators Situation Is Agitation
"Flareback."

Agitation against the increased cost
OF newsprint paper three. years ago
caused Manufacturers TO suspend eS-
tension OF plants and production
thereby causing the present paper
shortage, Paul Patterson, publisher
of the Baltimore Sun and Evening
Sun, stated today before the Senate
subcommittee investigating the print
paper situation.
"The manufacturers failed 10 give
the publishers fair warning or the
increase in 1910. causing a general
uprising against the increase, Pat
terson said.
Regular manufacturers OF news
print have made what seems to be a
fair price increase for this year. The
small mills. converted into print
paper plants, might be charging high
prices" Patterson said.
Sees Hope For Next Year.
'TIave the large publishers absorb
ed the output from the regular millsr'
Senator Reed, Democrat of Missouri,
chairman of the committee. asked.
THAT depends on how many small
papers have been dropped by the
brokerage houses" Patterson replied.
'If the various plans for reducing
paper consumption are followed the
situation will be relieved next year."
Patterson continued. t.f
Nothing material can be done un-
til Advertising Is decreased. Read
ing matter is being limited now."
Patterson said. .-s .,.... .-.
'Ts there any way you can regu-
late the size OF advertisements?'' %
Reed asked.
THAT would be difficult because of
the needs Of the business houses and
the impossibility of some papers to
agree. to such Plaza and survive"
Patterson replied.
Against Circulation Gut.
Would increasing advertising
rates have the effect OF reducing the
use of paper?" Reed asked.
at might. Rates have gone mp. II
would not be well to decrease the ac-
tual circulation of newspapers, as I
believe they are very necessary at
this time" Patterson said. rN
Everybody recognizes the neces-
sity OF newspapers except those who
want to put on a censorship" Reed
observed.
would It not be possible to pass
legislation to prevent the cornering
of paper or any other commodity"
Senator Walsh, Democrat, of Massa-
chusetts, asked.
THAT is a big question" Patterson
said.
do you think that the unrest and
Bolshevism we hear Of today rs due
to the inactivity of the Government
in preventing cornering and high
prices?" Walsh continued.
THAT is question: Patterson
said. Some believe Government in
reference has gone too far. lt'would
be disastrous to have the Govern
ment commander and allocate
paper"
advertising has increased In the
last two years. How do you account
for it?" Senator McNary, Republican,
Washington. asked. H
people are spending money, and
the merchants wish to get their
wares before the public Patterson
said ITO do this they advertise"
NJ. r. Hanson, vice president OF the
Philadelphia Record Company, repre-
senting all the Philadelphia news
papers, said "the high price of paper
is not attributable to the large print
paper companies. They are selling on
contract and not in the spot market.
"The small manufacturers. the
brokers and the newspapers who USED
more than their contracted amount of
paper are responsible for the spot
market condition" Hanson said.
There was no new paper machfn-
ery manufactured during the war,
Hanson said. "All of these things
contributed to the high price. 1t will
take at least year to obtain ma
chinery."
"Do you know of any combination
to limit the print paper output or
prices?" Reed asked.
"I do not" Hanson replied.