Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1921-04-18
laborer, Manu-.
facturer, Jobber and Re-
taiIerS Must Each Do
His Part to Lessen
Burden Of Consumer
P reese nt Conditions
Will Hold Until Such
a Course Is Adopted,
Word of F e d era !
Trade Commission in
Special Report to
President

Washington, April 17-Legislation
to eliminate unnecessary brokerage
transactions. to facilitate a wide dis
tribution of information regarding
market conditions and to strengthen
the powers of the federal government
in its price Investigations is recon-
mended by the Federal Trade Com
mission in a report on the general
industrial condition, drawn up at the
request of President Harding and
made public tonight at the White
House.
open price associations" which OPP
crate within the law to keep their re-
spective members advised <confiden-
TALLY of one another's price sche-
dulles are accused by the commission
of contributing the maintenance of
uunduly high retail prices. 1t is sug-
gested that means must be found to
reduce costs of necessities, such as
fuel and housing, before other COM
modities can come back to normal.
1T should be said" the report con-
cludes, that following the disordered
condition of the worlds affairs. a
shrinkage in values is inevitable and
that normal conditions will be the
more quickly restored if the producer,
the laborer, the manufacturer, the
jobber and the retailer will each share
at once in the unavoidable loss, and
further that any effort by any ele-
ment to place it's share of the COM
and particularly of the consumer, can
but result in continuation of the
conditions under which the country
is now suffering
Declaring that the cost OF commodi-
tics to the consumer has not, broad
~ speaking, been reduced in proper
proportion to the decline in agricul-
tural and other raw materials, the
commission sets forth it's belief that
in general, it would appear that the
movement toward the reduction of
prices to the consumer is retarded
chiefly at the retailing stage and that
relief at this point would be reflected
back in increased production which
would reduce the production cost and
relieve to some extent, at least, the
check upon the manufacture and by
increasing the demand for raw mate
rails would react upon the producer. -
The general causes of price inequa-
lities and suggested remedies are
summed up as follows:
"Aside from the unfair methods of
competition with which we are daily
dealing and aside from the important
elements of transportation and credit,
we are of the opinion that the follow
ing are among the principal causes
and are indicative and not necessari-
1y exhaustive of the subject:
First. the excessive prices cf many
basic commodities, prominent among
which is coal which vitality affects
the cost Of other commodities. to say
nothing of the effect upon the health
and comfort and upon the cost of liv-
ing and buying power of the people.
Second. the existence of the typical
corporate monopilies and. in distinc-
tion. agreements in violations of the
antitrust laws, illustrated in the lat
ter instance by the condition in anoth-
er basic commodity, to wit: lumber
which was the subject of a recent re-
port by this commission to the de-
partment Of justice and upon which
that department is now proceeding.
Third. open price associations, in
many cases not yet challenged by the
law, yet tending to bring about and
maintain undu.y high prices.
Fourth, interference with the chan
nels of trade by distribution of trade
associations, particularly by activities
tending to maintain an unnecessary
number of inefficient regular dealers
while shutting out new dealers. seeking
to sell at lower prices, and especially
cooperative purchasing. and distribut-
ing organization of consumers.
Fifth, the conditions with respect
to foreign combinations in the ,nterna-
tional market to which reference has
already been made.
aside from the remedies which NAV
be afforder by improved transportation
and credit facilities. we suggest con-
sideration Of the following:
Il. The passage of a bill which will
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