The labor world., 1922-08-26
Made Cut Promptly.

; - Made Cut Promptly. =
( Hardly had. the Investigation start.
ed when the Oil monopoly announced
q reduction of cents gallon ID
the retail price of gasoline. It Is esr
timated that the daily consumption
is around 50,000,0oo gallons. ~
I =, There have also been reductions
In the price OF crude and refined
oils, effecting additional savings.
II a mere threat Of publicity is
sufficient to bring the oil monopo-
lists. to terms to the tune of more
than a million dollars day, q full
revelation of their methods should
result in permanent benefits that
may be almost incalculable.
Prices Are Manipulated. s.
The senate committee is making
its inquiry pursuant to a; resolution
introduced by Senator La Toilette.
Already it has developed some amaz-.
ing information. For one thing, II
has proven that the price of gaao-
line moves up or down at the bidding.
of those who control the industry,
without any regard to the much-ad-
vertised law Of supply and demand.
When the largest stocks in tho
history Of oil production were inn
pounded, the price of gas reached
almost its highest mark.
When production was. increasing
the brakes were" put upon distribu-
ton, and millions of gallons forced
into storage, until storage facilities
became Inadequate. 49, ~ =. .
The great oil producing and dis.
tributing Ecompanies are SO closely
allied that It is not possible to tell
where one begins and another endk
When prices are increased by: the
Standard they are also increased by
every other company. When there 50.
g q,at # tssla aaiifeorIn IN every city and.
hamlet in the country. @>55tss .rs5:+s -
Monopolists Must Explain.
The production and distributors
deny every suggestion OF price fix
ing, but they have yet to explain to
Senator La Follette's COMMITTEES
these most unusual features of their
business
Witnesses called by the commits
tee have been put on the grill by
Gilbert Roe, a celebrated New York
lawyer and former law partner OF.
Senator La Toilette, who has been
retained by the committee to give
personal direction to the investiga-
ton. -T
Mr.. Roe is in complete sympathy
with the contention of Senator In
Toilette that the first obligation OF
the government is to protect he in
terests Of the public. He is determ-
ined that there shall be q complete
revealment Of everything related to
oil that in any way influences the
monopoly's attitude toward the peo-
pie and the prices Of it's products
Before he gets through with the.
long list of witnesses who have been
summoned it is expected that some
fur will be flying.
= Before witness was called Sen.
ator La Toilette had prepared and
sent to every oil company q ques-
tionnaire which was intended to put
before the manufactures. COMMITTEES
every essential fact relating to pro.
duction, distribution, and consumn-f
ton. - 1~ ss
81 background for Inquiry. :z-ss8
These concerns were requested: to
return their profits and losses coy-
ertng period Of the last three
years. They We're also commanded TO
give information concerning their
organization, the names OF officers.
directors and stockholders, their in.
terlocking relationships, and the
methods employed by them in meet.
Ing competition, il there is compe-
|tttion. ~ r.. -. |s~Sss -.
The repltes to these questionnaires
furnish Y Background for the in-
curry. Witnesses are under 4 heavy
handicap to tell the truth, for their
| answers to questions are being
checked up with, the questionnaire
Information. TO say that. they can
mot always be reconciled betrays no
confidence Of the committee.
The questionnaires disclose that
when stocks Of crude oil and gaso-
line were at their. peak the priea
to the public was being constantly.
lacked up. Since last spring the cost
| OF gasoline to the consumer has been
Iadvanced 1 cents a gallon. That
means an unwarranted tributs az
more than $4,000, 200 a day. rs
Seek Answer to Mystery.
Every few weeks somebody some
where gave an order to add cent
| to the retail price, and instantly
every gas filling station in the cbun.
try announced q new price. s 81
Retailers never could tell when1
they went to bed one night what
the price was going to be next morn.
ing. 81
/ How the information was impaffs
ed IN 4 manner 80 thorough that the
retailer A San Francisco and tho
lxetailer IN New FORK knew at the
j same. 81 orlent that O new and high
er quotation had been ma de = ono
lof the. myst cries that senator ~
E's,lstts't committes hopes 70 ol4a.
lup. s.si'