The New York herald., 1921-05-28
GARY AND SCHWAB
FORESEE Big BOOM
Tell Iron and Steel Insti-
tute Progress to Pros
perity Will Increase.
ECONOMY Is REQUISITE
L. s. Steel Chairman De-
fends Buyers Strikes and
Warns the Gougers.
ECONOMY Is REQUISITE
EXTORTION is NOT ENDED
Gary Takes Issue With j. j.
Campbell on Cuts i'm La
Dor and Transportation.

Supreme optimism in the future
prosperity of the country was ex
pressed yesterday by Judge r. n.
Gary and Charles NJ Schwab in adj
dresses at the spring meeting OF the
American Iron and Steel Institute in
chairman of the United States Steel
Corporation and president of the insti-
tute, predicted that progress toward
recovery, though slow at present, will
increase as the days go by" while Mr..
Schwab asserted that economy prop
erly practised, together with a reduc-
ton in transportation and labor costs,
will end the business depression and
the money shortage.
In the richest of all nations in
property and money" the Judge said.
"our people are not buying enough to
supply themselves fully with the or
binary comforts of life, although they
have the disposition and the means.
They are right in their attitude up to
certain limit
This situation has been brought about,
Judge Gary added, because the great
purchasing public has formed the opin-
ion that there have not been consum-
mated complete and proper readjust-
ments of prices. and on account of fail
ure to discriminate between different
lines or departments of business the
whole economic system has suffered
Tells of ExtortiOnate Prices.
Assuming the steel industry has been
fair and reasonable in prices up to the
present time" he continued. II think
that there have been and still are
charged and collected for certain COM
modites unreasonable and unfair, If not
extortionate. prices. They apply to par
ticular lines and persons; they do not
pertain to the majority of lines or in
dividuals. The present offenders, gem
orally speaking, were not subject to
limitation by the Government during the
war and they have continued and even
increased the high prices then obtained.
They have done themselves especially a
great injury and in doing so have in
jured others. This applies in varying
degrees to sellers of products and also
10 members OF different trades.
Business will be more or less hesi-
tatng until il is generally believed the
period of readjustment is over VI II
should be deemed necessary and wise 10
have governmental supervision over or
ganized industry to protect the public
interest ] personally would not object
provided the laws and rules shall apply
alike to organized capital and organized
labor
"One Of the most hopeful signs OF the
T. IF
present Administration at Washington
to aid rather than obstruct the natural
and legitimate progress of business"
Mr.. Schwabs remarks were along
somewhat the same line. ECONOMY"
he said. ''is the one word that sum-
marizes or is the keynote Of quick re-
covery of business. There must be
economy in labor and above all else in
transportation costs"
Campbell Urges Cuts in Labor.
James j. Campbell president OF the
Youngstown Sheet and Tube Companv
declared that labor and transportation
costs neust come down before any real
progress can be made.
Judge Gary took issue with Mr. Camp
bell, insisting that the railroads cannot
reduce their charges under present con-
expect labor to work for less pay when
every commodity that Is required for
she maintenance of the family is con-
tinued at high price level. He added:
Prices went up in a vicious circle
and they must come down In righteous
circle"
Judge Gary, speaking last night at
the dinner that closed the annual meet
ing or the institute. praised President
Harding for his recent utterances on
business. adding:
I'VE are with President Harding. We
think he's the biggest thing on earth
and we are for him and his Admins
tration."
With Judge Gary at the guest table
we're Gen. Pershing. Mr.. Schwab. Lewis
Nixon, Dwight W. Morrow. John A
Topping and Samuel Mather.
At the opening of the dinner Judge
Gary expressed regret that iIlness pre-
vented the attendance of Joseph But
Ter, Jr.. a pioneer steel man known
throughout the industry az "Itncle
joe" In a letter sent to the institute
MIR. Butler said he hoped TO live to see
the United States produce 10o.ooo,oo0 tons
OF steel a year