Atlanta tri-weekly journal. [volume] (Atlanta, Ga.) 1920-19??, 1921-09-20
Government Agents Seek to
Solve Pulling Situation,
Analysis Shows Prices
Have Begun to Advance
BY RALPH BURTON
U-eased Wire Service to The Journal.)
(COnvrirEt 1901

Copyright, 1921)
WASHINGTON, Sept. It's the
average American housewife
spendthrift? Government agents to-
day are studying this perple1ing
question.
Their study is based on the fact
that wars effects have stimulated
greatly the progress of the co-opera-
tive movement abroad, but although
prices have gone high in the United
States and despite lowered wages,
are continuing to rise after some
recession, so that living costs have
proved a problem for wage earners,
efforts to promote cooperative en-
terprises have not been very success
full. A careful study of co-opera-
ton in the United States, just COM
pleted for the University Of Illinois,
gives the lack of spirit of thrift
among American housewives as
among the principal causes for the
failure of co-operatives, and race
prejudice as another.
The family man whose income did
not increase between 1914 and 1918,
was. as the department of agricul-
ture points out in an analysis of price
changes, in bad way. Everything
lie HGCueu, anu ill the JnlnSS MS
wife and children thought they ought
10 have, became so costly that
new system of living had to be
adopted Millions probably reduced
the amount of meat in their diet.
There was a definite lowering of
the standard of living and a large
number have not yet gone back to
Another Analysis
What. happened during the war
tion of what has been going on for
two or three decades according to
some highly interesting figures just
worked out in another investigation
by Professor Paul IT. Douglas of the
University. of Chicago, which show.
wages has. declined fairly steadily
since the nineties. But the war has
been the great price changer. Any
thing whose wholesale price did not
double during the war was looked
upon as cheap, and the department
pendently, much the same conclu-
sion that was reached by the federal
trade commission during the war
namely, that the course Of prices
IN the world war was much the same
as that in the civil war. If the par
allel continues, we may expect never
to return TO the 1914 price level, but,
since, in 1873, prices had gone back
to about the 1863 level, in 1926 we
may have prices at about where they
were in 1915 And this will be the
1ext price level for the new norma!
condition.
Economic pressure, which reduces
the standard Of living is the great
promoter of cooperation and even in
the United States co-cperatives in
creased in number and Influence dur
ing the war. There is even now
national organization of co-opera-
tives. But they are not very power
full yet, and apparently, in the view
tigators, are not likely to become so
ir the near future.
Absence of a spirit of thrift
among, the common people" is
blamed for the failure of co-opera-
tives in the United States, in tho
is a desire to emulate those more
fortunately placed among the peo-
pie of this country, that is hardly
existent in some of the European
countries. A willingness to pay
characteristic of Americans, but not
of most Europeans.
1.-THE polyglot or heterogeneous
character of the population has made
cooperation difficult. National and
racial prejudices have destroyed the
good will so essential to a success
full cooperation, consequently much
of our prosperous cooperation is
found among distinct racial and ma
tional groups. such as the Firms, the
Russians, the Germans and the
Jews"
Ignorance Of cooperative meth
DDS, interruptions managers, the iso-
lation of cooperative enterprises,
excessive extension Of credit, at
tempts to sell at cost instead Of at
the market price, competition of
chain stores and lack of unified
policy are also given as among the
prosper in the United States. In the
view of the investigators, the prac-
tical berefits of cooperation are not
so much concerned with the money
say ed as with the education Of the
working people in business princi
pies and policies, and in awakening
an intelligent interest in political