Imperial Valley press., 1923-07-16
LATE SUPR ME-
COURT RULIN (tS
PLEASE BABSON
Statistician Likes Recent
Attitude of High
Tribunal

WELLESLEY HILLS. Mass. July
1G,-''So many people will be
bcarish while the second half Of
the era of business rcadju,tmeut is
being completed, that it is well to
stop once in while and consider
some Of the optimistic features OF
the situation. One optimistic fca
turc that we do not hear much
about, however, is the present at
titHdc Of the United States supreme
Court. It is difficult for the static
ian to measure court decisions, -
saws Mr.. Roger W. Bahsoll, land
if he did it too often, contempt of
court proceedings might follow.
Nevertheless, these court decisions
are q great factor in business, '%na
could probably bc reduced to Il
statistical analysis / have special
reference to tlfroc recent decisions
of the United States Supreme Court.
Analyzo3 Three Decision
.'The decision ia connection with
the Southwestern Telephone Com
peay Vas exceedingly cheering TO
investors This decision clearly
ruled That neither legislatures nor
commissions can make rates that
are coufistatory IN any way. The
court Indicated that the cost Of
rtpo5uction must be considered, as
well IS original cost, ana that in
ycstors must be treated fairly SO
as to encourage them rather than
discourage them. This does not
mean that the Supreme Court up
holds dishonesty or stock watering,
but it does mean that it will pro
toct capital when politicians, for
selfish motives, attempt to jcop-
ardize It.
"The second decision which in
terestS business men was when
the United States Supreme Court
held that the Kansas Industrial
Court can fix or regulate wages
only in great emergency. Briefly,
this decision was that in the case
OF = railroad or coal strike, where
the public is threatened with starv-
alton or disaster, an Industrial CoHrt
en- come in ami fiN wages, but
only in such instances. AS most
of the states of the country were
eagerly awaiting tais decision, the
ambitions OF many political leaders
will naturally br greatly curbet
thereby. There viii be fewer at
temps duIiag tn" nest few years to
interfere with business by icgi5l#-
ton than there TouId have been il
the United States Supreme Court
had Upheld the Kansas Industrial
Court.
Curbs Trade Commigion
"The third cpoch-maIiing deci-
sion OF the United states NuDrcm"
Court was to the effect that the
Federal Trade COMMISSION can not
interfere in the rights cf private
business or i'm The matter Of fix
ing prices. For some ti.Ic, certain
greet national advertisers have bccn
in conflict with the Federal Trade
Commission concerning prices OF
nationally advertised goods. Some
chain store retailers have nc2n sell
ing certain nationally advertised
goods at or below cost in order 10
get people iuto the store ant chen
sell them Something else. The ua-
tiuual adyo. tisyrs have claimed that
This IS not only unfair to the man
Gfacturcrs but also to the public,
and have insisted that their prices
be upheld by all retailers. The IrI-
ri Trade Commission Iaa taken
the part of the chain stores an
those who want to cut prices. The
supreme Court has upheld the n9-
tional ADVERTISERS. The ease in
question was brought by the Mem
nen Company, large distributors Of
toilet articles. Some may think
that this decision is against pub
lie interest, but / seriously doupt
it. Public interest demands good
business which will keep people tm-
ployed and goods moving. Prices
never long remain too high because
high prices always either enrour-
age competition or else check buy
mig. Statistics show that business
has been harmed more by Price cut
ting tAm by price fixing. If prices
are too high they correct themselves.
Price cutting, however Kills tie
goose that J.. rs The golden egg.
Reports from pcach-producing
ept. t,u- gt4tI.l. py.f ,tJIru;a s.. ,..t.J