, 1921-04-21

struggle for restored exchanges. The
maturer revision Of our tariff laws
should be based on the policy Of pro
lection, resisting hat selfishness which
turns to greed, but ever concerned with
that productivity at home which is the
source of all abiding good fortune. II
Is agreed that we cannot sell unless we
buy, but ability to sell is based on
home development and the fostering
Of home markets. There is little sen
timent in the trade of the world. Trade
can and ought to be honorable, but
it knows no sympathy. While the del
egates of the nations at war were de-
batting peace terms at Paris and while
we later debated our part in complet-
Ing the peace, commercial agents of
other nations were opening their lines
and establishing their outposts with a
forward look to the morrow's trade.
1t was wholly proper and has been ad.
vantageous to them. Tardy as we are,
it will be safer to hold our own mar.
kets secure and build thereon for our
trade with the world.
A very important matter is the es-
tablishment of the governments bust
ness on a business basis. There was
liberation of the easy-going, unsystem-
attic method of handling our fiscal af-
fairs when indirect taxation held the
public unmindful of the federal bur
den. But there is knowledge Of the
high cost of government today, and
the high cost of living is inseparably
linked with high cost of government.
There can be no complete correction
Of the high living cost until govern
ment's cost is notably reduced.
Let me most heartily commend the
enactment of legislation providing for
the national budget system. Congress
has already recorded its belief in the
budget. 1t will be a very great salts
faction to know of its early enactment,
so that it may be employed in estab-
fishing the economies and business
methods so essential to the minimum
of expenditure.
Business Rights Recognized.
I have said to the people we meant
to have less of government in business
as well as more business in govern
ment. 1t is well to have it understood
that business has a right to pursue its
normal, legitimate and righteous way
~unimpeded and 1t ought have no call to
meet government competition where all
risk is borne by the public treasury.
There is no challenge to honest and
lawful business success. But govern
ment approval of fortunate, untram-
meled business does not mean tolera-
ton Of restraint of trade or Of main
tanned prices by unnatural methods. 1t
is well to have legitimate business I'M
derstand that a just government, mind
full of the interests of all the people,
has a right to expect the cooperation
Of that legitimate business in stamping
out the practices which add to unrest
and inspire restrictive legislation. Anx-
ious as we are to restore the onward
assurance and warning in one utter
ance.
One condition in the business world
may well receive your inquiry. Della
ton has been In progress but has
failed to reach the mark where 1t can
be proclaimed to the great mass of
consumers. Reduced cost of basic
production has been recorded, but high
cost of living has not yielded in like
proportion. For example, the prices
on grain and livestock have been de-
flated, but the cost of bread and meats
is not adequately reflected therein. 1t
is to be expected that non-perishable
staples will be slow in yielding to low
cred prices, but the maintained retail
costs in %perishable foods cannot be
justified.
i have asked the Federal Trade Com
mission for a report of its observa-
lions and Its provisions and its attri-
butes, in the main, the failure to ad-
just consumers cost to basic produc-
ton costs TO the exchange of Informal
ton by open price associations which
operate, evidently within the law, to the
very great advantage of their members
and equal disadvantage to the consum-
ing public. Without the spirit of hos
tility or haste in accusation of prof.
teering, some suitable inquiry by Con-
gress might speed the price readjust-
ment to normal relationship, with help
fulness of both producer and consum-
er. A measuring rod of fair prices will
satisfy the country and give us a bust
ness revival to end all depression and
unemployment.
Rail Rates Must Drop.
The great interest of both the pro-
ducer and consumer-indeed, all our
Industrial and commercial life, from
agriculture to finance-in the problems
Of transportation will find its reflex in
your C to aid re-establishment,
to restore efficiency ana bring trans
p%ortntion cost into a helpful re-
lationship rather than continue II as
a hindrnnce to resumed activities.
II is little to be wondered that III
considered legislation, the war strain,