Evening star., 1921-04-18
BOOM IN BUSINESS
IS |SPRES|DENT'S AIM
Every Federal Agency Busy
Searching for Ways to
Stabilize Conditions.

President Harding has virtually
every department of the government
studying the problem of federal aid
to business. The President himself
does not know just what the gov.
ernment can do at this time to stab
| ilize business but he feels that il
; there is way in which the govern
ment ,can help he wants that helr
extended.
Mr.. Harding holds the view. tina,
some of the ills of today are the
result OF too much government in
tervention in business and industry
during the last administration. He
does not want that charge to lie
against his own conduct of affairs
At the same time. if there is any
agency of the government which can
be employed in helpful and be-
coming way to hasten reconstruc-
ton, Mr.. Harding is desirous OF
bringing that agency to bear.
Two Reasons for Action.
prosperity" was one of the battle
cries of the republicans in the last
campaign, and leaders Of the party
feel that prosperity is essential to
their remaining in power. Prosper
ity has been discussed from this
angle as well as the general desire
full. The business and industrial sit
uation has been a subject of consid-
Grafton at several cabinet meetings
already, and President Harding has
asked several members of his official
family to submit, at the meeting next
Friday. whatever definite suggestions
they have been able to formulate.
Herbert Hoover, Secretary of Com
merce, naturally is giving the great
est share Of his time to the business
situation. The ramifcations of the
situation. however. touch virtually all
excepting the State Department.
where dollar diplomacy" is phrase
not yet forgotten.
Railroads Vital Factor.
There is a feeling in administration
circles that the railroads are the con-
trolling, II not the dominant, factor
in many phases of the business ,situa-
ton, and they are being studied with
great care. The departments of Com
merce and of Labor. the Interstate
Commerce Commission. the Depart
ment of Agriculture. the Post Office
Department and several other govern
ment agencies are at work on it.
Mr.. Harding believes the Federal
Trade Board is right in holding that
the retailers of the country can do
much toward restoring public conf
dence and wiping out the last vestige
Of the so-called buyers strike. The
President has figures before him to
show that costs of production have
come down sharply in the last few
months and that wholesalers and job
bers have been given the benefit of
the decrease.
The wholesalers claim to have
passed the decrease along to- the
retailers. So Mr.. Harding feels it
is distinctly up to the retailer r to
prove that his present position in
the market is justified.
Claim Rent "Hold-Ups." =.
The problem has many aspects.
Retailers claim with good reason
that they are still being held up"
for enormous rents. They further
claim they have not reduced the
wages Of their help to any appre-
ciable extent, and that costs OF de-
livery still are high. So many items
of cost enter into the retailers busi-
ness, government officials are finding
it difficult to figure just how quickly
reduction in wholesale prices
should be passed along by the re.
taller to the ultimate consumer,