Evening star., 1925-09-06
LIVING COSTS SOAR
AS GERMANS SH|RK
Class Struggle to Shift Rep
aration Burden Proves
Boomerang to Dodgers.
RY EDGAR ANsEL MOwRER.

BY EDGAR ANSEL MOWRER.
BY Radio TO The star and Chicago Daily NewS
BERLIN. September 5.-Chancellor
Iuther's much -trumpeted onslaught
on the high cost of living seems likely
to meet the fate of most attempts to
tamper with economic laws--it prob
ably will not influence prices, but may
result in the disappearance OF goods
and leave the chancellor with dl-
minished prestige.
The governments action was upder-
taken Immediately after the Reich
stag's conservative majority passed
the new tariff bill and the new tax
schedule. The former increases the
profits of the big land owners and the
iudustrialists. The latter reduced their
taxes without an equivalent Tightening
of the burdens on the poorer strata.
Moreover, the infinitely patient Ger
man workers were beginning to
grumble. Their net wages by and
large throughout Germany run from
81 TO 81 day. while the cost of living
assuming similar consumption is about
equal TO the American figures. That
the German masses exist at all is due
To their incredibly low living stand
ards.
Therefore. the cabinet undertook to
undo the bad impression caused by
,tackinc the price cartels. These as
Sociations of merchants and producers
cover Germany and often extend to
other countries. Their aim is to sup
press competition, control internal
markets and raise prices to the
maximum.
The cabinet declares it will force
the CartelS 10 loosen or at least relax
their strangle-h hold. The Cartels have
- ,l,at-S iYo nar-
tain ca SeS to make independent price
reductions. The question arose, who
was getting the money. Official price
lists seemed to show that the retailers
We're making colossal profits. 1t was
stated butchers often made 40 per
cent and more.
The Retailers Association protested
and declared that no possibility of
price reductions existed so long as
the wholesalers refused TO relax their
prices. Thereupon, the officials re-
considered the question and found
that the wholesalers were responsible
for the intolerable living costs.
Prompt Denial Follows.
Naturally. the wholesaler declared
this was untrue. The farmers and
the producers. they declared, were at
fault-the same men who had profited
bN the til III IdN anu tHt Iie" ldA
schedules.
The landowners answered that
prices had risen not because of the
tariff. which was not vet in force,
but because of the democratic aEi-
tation and the encouragement given
workers to demand higher wages"
Therefore. the struggle has become
one between the parties represe nunS
The several social strata
L
patience. Several strikes have re-
suited. and others are threatened.
During the last six months wages all
over Germany have risen perhaps )
per cent but meanwhile the cos of
living has about doubled. and the
prices of fOodstuffs are soaring.
The cabinet viewed the strike epi-
'demic with considerable trepidation
and tried TO compromise. Various
unions received partial satisfaction.
notably the building trades and the
railroad men, but how insignitica mt
was such first aid To the hungry is
apparent from the fact that farm la.
bOrers received an increase of Ia
cents an hour.
Crisis Seems Near.
The situation today is Identical with
what ii was when the government
endeavored to interfere The united
employers state no wage increase is
possible They are ready TO fight to
the limit The workers declare living
under present circumstances is un-
bearable.
The dispute has resulted in a bonn
bardment of the cabinet with memo
randa first from the employers. then
from the unions and again from the
employers. Meanwhile nothing is
done and prices rise regularly, almost
as though unaware of Chancellor
Luther's intention to keep them down.
The real struggle lies deeper 1t
IS, roughly, to see what class of Ger
mans shall pay the bulk of the rea pra-
tons.
Copyright. 1925. by Chicago Daily NewA)