Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1923-01-16
INSTABILITY THE
FUNDAMENTAL CAUSE
HIGH COAL PRICES

prices and the fuel shortage which
has menaced the American public re-
peatedly in recent years, the United
States Coal Commission held today,
in g. preliminary report of it's fact
finding investigation laid before
Congress.
Labor troubles, transportation diff
ficulties, and over development of the
industry in mines and manpowcr to a
point where 1t is much larger than
necessary to supply public demand
for its product-if operations were
cOntinuOus-were all three assigned
as among primary causes for the
condition. The exact bearing which
these have upon the existing situa-
ton, the commission said, it intended
to study in its further inqury>
Regarding the possibility of anoth-
or general coal strike after April ],
the report said the commission has
reason to believe that an agreement
will be reached ip the near future
cessation of mine operations in union
fields on April IL
The commission added that it's
work in promoting industrial peace
by ascertaining and publishing re-
AAADAS NOeO VA "At5Sc, SlIl-
nlOyment volume, profits and costs
involved in coal production will pro-
coed with that understanding. Ref
crence was made to the exchange of
communications between the COM
mission, miners union. officials, and
representatives of operators which
has lessened the danger OF the strike
prospect.
Six members of the commission,
John Hays Hammond, chaii man, DR.
George Otis Smith, former director Of
the Geological Survey. Clark Howell,
editor of the Atlanta Constitution,
former Vice President Marshall,
Charles =. Neil, and DR.. Edward T.
Cevino. signed the report as rendered,
while Federal Judge Alschuler, whose
Judicial TENURE has prevented his
qualifying formally for service as
commissioner, attached mcmoran-
dunn approving the views of his COL
lcauges. The commission was Gre
ated by Congress after the 1922 coal
strike to investigate the entire coal
problem.
There have been so many and such
complex factors operating in the coal
| industry to prevent the free play of
economic forces" the report said in
concluding, that very detailed and
comprehensive investigation is re-
qulred before a valid conclusion can
be reached. The inquiry involves the
whole question as to what is best for
the people, free competition, govern
ment or private ownership, regula-
ton or control in the coal industry.
The problem is of so great
moment, with reference not only to
the theories of government but also
to fhe pcOnnmif, Jifo nf tho rcrrbEr.
that the view OF the commission must
be left to it's final report.
There can be no satisfactory
agreement as to wage rates, and no
lasting peace between operators and
men. unless steadier employment can
be provided. There can be no salts
factory solution of our transportation
problem so log as the railroads are
subjected to sudden peak loads Of
coal traffic at the season when the
demands of agriculture and industry
are at their heighth.
THE commission believes that the
public interest in coal raises funda-
mental questions of the relation of
, thus industry to the nation, and of
I he degree to which private rights
must yield to public welfare. 1t may
be that both private property in an
oIhaustible resource and labor in a
public service industry must submit
to certain notifications of their
private rights, receiving in return
certain guarantees and privileges not
accorded to purely private business
or persons in private employ"
With anthracite coal problems. the
preliminary report dealt only briefly
Search would continue. it was said,
into the reasons which left the
United States, though "rich beyond
all other nations In it's wealth of coal
| resources" witt. "a national coal bin
too often depleted" with prices high
or than seem warranted by the
wealth of coal available" and with
seneial public concern and dissatis-
faction as to fuel supply.
There has been profitoering in the
industry in the sense that grossly
eNorbitant profits have been taken at
| times by many operators, brokers,
and retailers: profits that have been
diSprpportionate to the cost of the
COAL" the report said in part. But
this commission has not yet obtained
the figures specifically required by
the act in order to settle this ques-
ton \ thorough examination of
profits is already under
way"
RUN away markets" for coal in
1920 and 1922. the commission con-
tfnued, followed prolonged cessation
of mining operations due to disagree
ment between employers and en-
ployes, but high prices also ruled
from August, 1915 to March. 1918,
and for that period some other ex-
PLANTATION of the high prices and dis
tress must be found"
'+"The responsibility of settling dis
nutes," the report remarked as to the
present labor situation, rests
primarily upon the industry. The
commission therefore warned miners
and operators alike that the county
looks to them to settle their own dis
putes and to reach an amicabe
agreement when the present contract
expires"
In the future. it was added, the
commission would go into causes of
the disruption of industrial relations
that has so frequently hampercd the
conduct of the industry. and the re-
port set forth claims and counter
claims of both employers and en-
ployces in reference to controversies
in West Virginia and PENNSYLVANIA.
Inability of railroads to transport
coal produced, it was added, has fire.
nncntly been suggested as primark
cause Of scarcity and high prices,
and further investigation to be made
in conjunction with the . Interstate
! Commerce Commission, was said to
he necessary to allow a conclusion to
be formulated on this point as well
as to the labor descriptions.
Only by investing money in a
transportation system vastly in ex-
cess of reasonable requirements" the
report observed on the railroad as
poets. "mav the people of the coun-
tty expect the railroads to make up
within few weeks the consequence