Arizona republican., 1921-10-25
By Frederic j. Haskin

WASHINGTON, Oct. 20-"Why," demands an editor out in the corn belt. does the retailer charge from 35 to 40 cents a pound for pork chops when hogs cost him only 6 or cents?''
 He is one of a chorus singing diff ferent words to the same tune. man down in Oklahoma wants to know why he cannot tote enough hides across the street on his back to buy a pair of shoes. A man in Geor- gia wants to know why cotton enough to make a tent won't buy an underShirt. And a farmer in Mary land asks why apples. such as he fed to his hogs because it would not pay to haul them to market, sell for cents each on the fruit stands.
 All of these questions have been asked many times. They have also been loudly answered with the asser- ton that retail prices are too high. which is of course merely begging the question. Sometimes it is added that the retailer is a profiteer, which is generally not true and certainly sheds no light on the situation.
 When the editors query was laid before certain marketing experts in the government service, it waslearned that the question is a good deal more COnlpllCdIeu IDdH InOS0 WHO bIdtic the retailer and let it go at that, ever imagined. The department of agri- culture is making a study of the re- tail prices of farm products in all of the principal American cities. It is going to find out just why these prices are so inordinately high and why the farmer gets such small share of the large price that the con- sumner pays. The government men do not care to be quoted, nor to make any extensive comment, until this investigation has been completed. But in the meantime they throw out a few hints.
 In the first place they say, don't be too quick to blame the retailer. Retail prices, probably are too high, but they are not as much too high as you think. The retailer has been facing a dull market for long time now. His great need is to turn over his stock It is extremely probable that he would reduce prices if he could afford to do so, in order to stimulate trade. In many cases, of course. he has done so. The papers are full of bargain sale advertise ments. Yet the average of retail prices remains high.
 Cost of Recalling High
 This, say the experts. is partly be- cause the cost of retailing, as pusl- ness operation, is high. Out of the 30 cents that you pay for pork chops, the retailer must pay, not only the price of the pork at wholesale, but also the rent of his store, the cost of the ice on which he kept the pork, the wages of the man who cut it and sold 1t to you the paper in which il was wrapped, and the uplSeep of the vehicle in which it was delivered.
 The experts do not seem to know exactly what percentage of the cost of those pork chops is represented hv each of these elements in its transfer. That is probably one of the things their investigation will re- veal But they think that the price maid for the pork is less than half oi the total cost of getting it from wholesaler to consumer. And all oi these factors in the operation have risen in cost. Rent, wages, ice, pa per. gasoline--no one needs to be told that all of these things are from 10 tC 100 per cent higher than they were in 1913.
 Remember. too, that with many nersons out of work and money tigh' inc retailer is doing a smaller thar normal business. But he still pay' the same rent and he probably hal to maintain about the same staff His reduction in expenses in word is not in proportion to his reduction in business. That means that the cos of making each sale is higher thai if would be if he were doing bil business. If the butcher only sold on' hound of pork chops in a day h would have to get $10 or $l5 for it il order to break even.
 AS a matter of fact the proflteer ing retailer is probably a rare bir' ius+ now. A few of them are perhap making large profits by sticking t u-sr time prices, but many more o them are only hoping to make ex nenses until better times come along
 The difficulty. explains the eNper 1ias in the fact that retail prices an wages and farmers earnings are a on different levels. In order tha oIIr clumsy industrial system ma work at all, they must be on tn same level. r
 When prlces began to drop tn arop fell on the farmer first. Wit nnso1d stocks of footstuffs on han inc buyers refused to give him I,igb nrice for what he raised. Bu ba had TO sell. So he took lo' nrice Wholesaler and retailer refuse 1 ID follow suit. The cost of their op 1 erations was high. chiefly becaus