The Semi-weekly leader., 1922-11-15
EDISON LAUNCHES
KNOCKOUT H. c. L
Unnecessary Middlemen and
Dishonest Spectators Would
Be Eliminated.

Roger w. Babson said in Sun
days Commercial-Appeal:-
Thomas A. Edison has submitted
to the staff of engineers Of the Bah
son Institute his plan for stabiliz-
ing business and breaking the back
bone Of the high cost of living. He
has authorized the following popu-
lar description of his theory.
With characteristic audacity. he
goes to the heart of economic life.
He proposes to afford the ordinary
consumer cheaper commodities. to
furnish the producer with ready
capital and security and to elimi-
nate such parasites as unnecessary
middlemen and dishonest specula-
Etors-by establishing the govern
ment as the countrys great middle
man and by making ordinary com
modities as well as gold the basis Of
currency.
THE GOVERNMENT ON THE JOB.
Some time ego, at the suggestion
of Henry Ford and others, Edison de-
voted himself to study the causes of
economic unrest. His solution of this
momentous problem is now under the
scrutiny of the ablest economists and
business experts at Wellesley.
His plan is simple and startling.
He would have the government list
some 40 basic commodities, such as
cotton, corn. copper, coal, wheat,
fax, iron and then taking the prices
of the last rs years as basis, es-
tablish an average price for each.
This price he would have determined
in terms of gold and called unit or
a dollar.
He would have the government
take over and establish great ware
houses and storage plants. When the
producer is ready to market his pro-
duct he brings it to the agents at the
government warehouse, who give him
a certificate covering his whole de- |
posit and at the same time pays him
half of the value of the deposit, as
computed on the 25-year average ba-
sis in cash. The government then |
stores the product
When a dealer wants wheat, coal, |
cotton or any other commodity he
buys the producers certificate on the
market; he presents 1t at a ware
house, pays the government back the
money advanced and takes the pro-
duct away
The government-fxed average
price safeguards the producer from
the ravages of dishonest speculation.
The half-value payment he receives
from the government affords him
ready capital. The certificate he re-
ceives is put on the market subject
to the ordinary laws of supply and
demand. But the certificate does not
depend on the gold in treasury vaults
but on the commodity in the ware
house. In one sense the Edison plan
is return to the ancient system of
barter as far as the complexity of
modern life will allow.
THE BOTTOM OUT OF
COAL PRICES
In the light of current events the
working of Edison's plan in regard
to coal is interesting.
A coal producer would mine ton
of coal. This he hauls to the nearest
government coal receiver. The gov
ernment gives him a certificate for
one ton of coal and pays him half of
he value on the 25-year average ba-
sis, in cash. This enables the pro-
lucer to mine coal every day the
rear round, practically financing his
operation on the money the govern
nent turns over to him every day.
Now, buyer wants 100 tons Of
lard coal. He purchases certificates
or 100 tons on the open market at
he prevailing price, which has been
determined by supply and demand.
urns these certificates into the gov
with the amount of unit
money that has been advanced on
hem and the government delivers
90 tons of coal to him from the
Iearest reservoir. He in turn delivers
his to your house, adding a reason
BILE charge to his cost for shipping
nd handling