The New York herald. [volume] (New York, N.Y.) 1920-1924, 1920-10-23
REDUCE PRICES
TO AID INDUSTRY
IS GARY'S PLEA
Chairman Of Steel Corpora
ton Urges Cooperation
CT Employees.
SEES BRIGHT FUTURE
Points to Voluntary Cuts
as Decline in New Bust
ness Develops.
BASIC CONDITIONS GOOD
Love Of Country Is the Rule
and Habit, He Declares
Before Institute.
SEES BRIGHT FUTURE
BASIC CONDITIONS GOOD

Reduced prices, better cooperation
between employer and employee, the
maintenance Of business activity in
satisfactory volume with fair and rea-
sonable profits, patience and courage.
vera urged yesterday upon the MEM
beers Of the American Iron and Steel
Institute as the most important fac
tors In the present Industrial situa-
don by Judge Ebert H. Gary, chair
man Of the board of directors of the
United States Steel Corporation and
president Of the institute. The men,
pers of the institute, comprising prac-
Ideally all of the important steel
manufacturers in the country, held an
hll day session at the Commodore
hotel with a dinner in the evening.
Although this is a time for courage,
composure and caution" Judge Gary
Said. 'the business skies are prac-
fcally without clouds. AS always,
there may be showers from time to
time. but there Is nothing in the at
mosphere to indicate the approach of
dangerous storms. 1t is up to the bust
ness men and women to maintain
certain and continuous business ac-
hvfty in satisfactory volume. with
fair and reasonable profits.
IF there should be a serious re-
action and depression, which now
seems improbable. it will be the fault
OF those who are connected with bust
hess operations or others who, by rea-
son Of official position. improperly in
terfere, and not because OF any funda-
mental deficiencies in our resources
and opportunities.
I'VE may without hesitation face and
discuss any and all facts that bear upon
the subject of future economic progress
and we may frankly and openly admit
any truth which concerns the immedi-
ate future even though 1t might in
some respects and to some minds appear
TO be unfavorable.
Signs of Decreased Prices.
I'm certain lines of the iron and
steel Industry there have of late been
some decreases in the volume of new
business and also voluntary reductions
In selling prices i consider this de-
Cluculy nediIflIul. All OF nearly all OF
us have for months been unable to sup
Fly the demands Of our customers as to
quantities or deliveries, and our prices
considered as a whole, have resulted in
profits. AS matter of course some
adjustments will need to be made. TIL
average of the general scale ought to be
reduced equitably and relatively. With
out referring to individual cases or lines
OF general business l believe in many
instances prices have been outrageously
high. This observation applies more
especially to middlemen, so called, and
to smaller departments of industry. 1t
also includes employees in certain
trades, but 1t does not pertain under
present conditions to the masses of
workmen.
Labor questions are always under
consideration in this country and others.
1t should be constantly borne In mind
that In order to secure the best results
10 both employee and employer mutual
confidence and friendly cooperation are
essential
''The present tendency is toward a
lower, more reasonable and fairer rela-
tive basis. The whole community de-
eires and strives for this. The difficulty
Is found I'm the fact that every individual
Is perfectly willing that all others shall
make reductions-the larger the better.
Az there was more or less a scramble
JOT n1kncT anu sui fuBllt1 DTlCtS MiltH
they were advancing, there will be just
as much selfshness In the enforced use
of brakes when there Is a tendency
toward decreasing prices. Now gen.
sral public, including particularly those
who are neither sellers nor buyers to a
large extent, will in one way or another
bring about q fair and reasonable adj
5ustment Of prices. The law of supply
Gnd demand will be the principal factor.
Approves Downward Trend.
1--WE naturally ask ourselves what
shall we personally do: what shall be
our attitude In these circumstances?
answer We must evidence the same dis
position which was displayed before the
Industrial Board in March, 1919. when
our steel committee cooperated with the
Governments representatives in the en-
deavor TO secure a general. equitable, or
derby and methodical reduction In the
prices OF all commodities and services.
We would have succeeded except for the
sudden change in the attitude Of the Adj
ministration, which resulted In the aboli-
ton OF the Industrial Board and thus
limited the leaders In the industry to
their own resources.
Notwithstanding that episode we
have done since then much to prevent
unreasonable advances, and at present
we are called upon to exert further
steadying influence upon a general situa-
ton. Let us be reasonable and just re-
duclng our prices IL and when other re-
auctions and costs permit. and then with
level heads, clear minds and honest con-
vctions stand solid as against panic or
lack of confidence in the industrial situa-
ton. Let us strive TO be right II we
are right we can be determined and
courageous. Let us as individuals con-
slider the interests OF all others Our
business Is basic. IL Is perhaps one OF
the most important. We may, we must
exert an Influence for stability through
out the business world Mt time when
establishments are, more than usual.
liable 10 provoke disturbed conditions
"The pepople Of the United states have
reason for confidence In the business fu-
ture They need not be discouraged nor
impatient. They have only TO look about
them and study the facts and figures.
We have recently had opportunity to
read the report OF the Comptroller of the
Currency lie informs us that the re-
sources Of all the banks of the United
Ftates break all records and exceed the
combined bank assets OF all other lead
ing nations of the world and that they
now amount 20 s53,079, los. 900. not in
ciudng Federal Reserve banks
"You are familiar with the total
weaith of the United States and the