The Birmingham age-herald., 1921-04-13
Full Text of Presidents
 Address to Extra Session


 be better to err in protecting our basic food industry than paralyze our farm activities in the world struggle for re- stored exchanges.
 | The maturer revision of our tariff laws should be based on the policy of pro- lection, resisting that selfshness which turns to greed, but ever concerned with that productivity at home which is the source of all abiding good fortune. IL is agreed that we cannot sell unless we buy, but ability to sell is based on home markets. There is little sentiment in the trade of the world. Trade can ana ought to be honorable, but it knows no sympathy. While the delegates of the nations at war were debating peace | terms at Paris, and while we later de- bated our part in completing the peace, commercial agents of other nations were opening their lines and establishing their outposts, with a forward look to the morrows $ trade. It was wholly proper, and readily advantageous. Tardy as
 we are, it will be safer to hold our own
 markets secure and build thereon for | our trade with the world
 BUSINESS IN GOVERNMENT
 A very important matter is the estab- I lishment of the governments business on a business basis, This was toleration of the easy-going, unsystematic method of handling our fiscal affairs, when indi- rect taxation held the public unnindful of the federal burden. But there is knowledge of the high cost of govern ment today, and high cost of living is in separably linked with high, cost of gov- ernment. There can be no complete cor rection of the high living cost until governments cost is notably reduced. l Let me most heartily commend the en- actment of legislation providing for the national budget system Congress has already recorded it's belief in the budget | 1t will be a very great satisfaction to known of its early enactment so that it may be employed in establishing the economies and business methods so eS- sential to the minimum of expenditure. I have said to the people we meant to have less of government in business as well as more business in govern ment It is well to have it understood | that business has right to pursue it's normal, legitimate and righteous way until unimpeded, and it ought to have no call to meet government compeu- | tion where all risk is borne by the public treasury. There is no challenge | to honest and lawful business success. ASSURANCE AND WARNING But government approval of fortu- udtc, UuSlHeSS uOSS not mean toleration of restraint of trade or of maintained prices by unnatural methods. It is well to have legitimate business understand that a just gov ernment, mindful 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 unrivaled and respective legisla- l tion Anxious as we are to restore the f~,z -I | combine assurance and warning in one utterance.
 One condition in the business world may well receive your inquiry. Defla- tion has been in progress. but has failed l to reach the mark where it can be pro- claimed to the great mass of consumers Reduced cost of base production has been recorded, but high cost of living has not yielded in like proportion. For example, the prices on grain and live stock have been deflated, but the cost of bread and meats is not adequately reflected therein. It is to be expected that non- -perishable staples will be slow in yielding to lowered prices, but the maintained retail costs in perishable ! foods cannot be justified.
 WHY PRICES STAY UP | have asked the federal trade com- mission for report of it's observations, and it attributes. in the main. the fail- ure to adjust consumers costs to basic production costs to the exchange of in- formation by "open price associations" which operate evidently within the law, to the very great advantage of their members and equal disadvantage to the consuming public. Without the spirit of hostility CT haste in accusation of profiteering, some suitable inquiry by Congress might speed the price read justment to normal relationship, with helpfulness to both producer and con- sumer A measuring rod of fair prices will satisfy the country and give us a business revival to end all depression and unemployment.
 The great interest of both the pro- ducer and consumer-indeed, all our in- dustrial and commercial life from agri- culture to finance-in the problems of transportation will find its reflex in your concern to aid re-establishment, to restore efficiency and bring trans- portation cost into a helpful relation ship rather than continue it as a him |Ndrance.
 It is little. to be wondered that ill., considered Legislation, the war strain, government operation in heedlessness of costs and the conflicting programme or the lack of them, for restoration have brought about most difficult sit uation, made doubly difficult by the low tide of business. All are so inti- mately related that no improvement will be permanent until the. railways are operated efficiently at cost within that which the traffic can bear
 If we can have it understood that Congress has no sanction for govern ment ownership. that Congress does not levy taxes upon the people to cover deficits in service which should be self-sustainfng, there will be an avowed foundation on which to rebuild.
 MUST CUT RATES
 Freight-carrying charges have mount halted and production discouraged. Railway rates and costs of operation must be reduced. tE
 Congress may well investigate and let the public understand wherein our system and Nthe federal regulations are lacking in helpfulness or hindering in restrictions. The remaining obstacles which are the heritance of capitalistic exploitation must be removed. and iapor must join management in under standing that the public which pays is the public to be served. and simple justice is the right and will continut to be the right of all the people.
 Transportation over the highways is lt tie less important. but the problems re- late to construction and develonment. and deserve your most earnest attention. because we are laying foundation for long time to come. and the creation IS very diiiicuit to chrystallize in it's great possibilities.
 The highways are not only feeders to the railroads and afford relief from their local burdens. they are actually lines C,f motor traffic in interstate commerce. They are the smaller arteries of the