The New York herald., 1921-01-23
Yours cordially,
HENRY L. DOHERTY
This letter gDos released to the
publicity columns of the press,
Wednesday,, January 10, 1921.

We are not justifying high prices.
ON the contrary, we consider it the
function of all serious men to help
make prices more attractive to the
consumer in order to stimulate his
purchasing activity
To our way of thinking. the only
"eal test of fair value is the price
Of any commodity when it reaches
he point at which it becomes at
tractive enough for the public to
purchase it. The ability and will
ingness of the public to buy, and
the tendency of business men to en-
ter and compete in new fields which
promise large profits, is sufficient
gauge, and at the same time safety
valve. for determining fair prices at
any particular time.
It is because of this interpreta-
ton as to what constitutes a fair
price of commodities that we can
not agree with your appraisal of
the Importance which forced sales
play in the present Generalization Of
prices. Admittedly. the thrift cam
paign is calculated to prevent such
forced sales. How ready are these
financial institutions to prevent
such forced sales into which fipan-
cially embarrassed clients are
driven? Who will answer this ques-
ton on behalf of the banks? AS
suming that the banks or other
financial institutions would be rash
enough to loan money to clients in
such predcament, how is this
client-Ta manufacturer or dealer or
jobber--in a better position to ac-
celerate movement of his merchan-
disc?
To us the danger of demoraliza-
ton in prices is merely one OF the
effects of the greater cause which
lies in the buyers refusal to buy,
and, concurrently, in the weakening
power of the consumer to buy.
The buying power of the Ameri-
can people was at it's very highest
some months ago, not only be-
cause all American industry was
then engaged and received the
highest remuneration for it's labor.
but because labor, in spite of its
spending orgy, had managed to ac-
cunulate money. The buying power
Of the American people has re-
manned substantially unimpaired,
except in spots where unemployment
and reduction in wages exist. both
of which were directly the result of
the publics buying strike. Logical
ly, business conditions will become
more aggravated by any increase OF
unemployment or further reduced
wages; they will improve as indus
try resumes its normal functions.
which depend upon the free circula-
tion of the dollar.
These propositions are basic and
cannot be waved aside by the OPP
timistic prophesies that all that the
public requires is assurance that
the business men are cognizant OF
the situation; that they are not
fearful about II and will not them
selves hunt cover" Granted that
the business men realize the stua-
ton, and granted that they are not
fearful about IT. how are you going
to dispense over night with the
menace of three million unem-
ployed. with the list growing, and
with it's power to participate in the
market weakening? BY what
miracle do you believe the mind of
the retail buyer will be changed
over night in the mere belief that
conditions will be corrected by
business men "cognizant of the
situation and not fearful about IT,?
We do not believe the panacea
which you propose will reopen mills
and replace three million men bae:t
on to their jobs. That we realize
to be only capable of accomplish
ment within a reasonable time by
an intensive campaign To ccucate
the public TO the urgency OF keep
ing up the normal buying of it's
needs and by teaching manufactur-
ers, traders and retailers the neces-
sity for attracting the public into
the market place.
yours very truly
NATIONAL PROSPERITY BUREAU. Inc,
BY JAMES RosTiAL Director.