Evening star. [volume] (Washington, D.C.) 1854-1972, 1931-05-01

as has been going on unrestrained. and
the actual conservation of the oil in
the ground that the rights of future
generations may be protected and the
national safety provided for. The plan
visualizes the preservation of the small
independent producer. The big corpo-
rations regard him as a stabilizing
factor. They have no desire to elimi-
nate or 1njure him. The Government
will certainly not permit him to suffer.
The antitrust laws will be fully en-
forced. Mr.. Mitchell has made it clear
that his department intends to admins
ter those laws and that all ViolatorS will
be prosecuted. Senator Borah
objected to any agreement which will
not safeguard the rights Of the masses
OF the people and the ultimate con-
sumner. Any plan which results in higher
prices unwaranted by actual conditions
he will attack. But the President and
the Oil Advisory Committee have made
1t clear that the Legislatures and Con-
gress have the last word and only what
they approve will be. undertaken This
has. always been the plan from the
beginning"
The effect of the antitrust laws In
discussed by the Providence Journal.
with the statement: When the Attor-
ney General expresses indifference as
W bA4O VI lllC
laws he reveals an attitude that con-
f1icts sharply not only with the ideas
of leaders in industry and commerce
and with the beliefs of eminent
economists, but also with that of
President Hoover in his last annual
message. Nor is Mr. Mitchells obser-
yation that the antitrust laws were
intended to protect small business en-
terprises and the consuming public
wholly valid TThou -,
prevent the strangling of competition
and the maintenance of discriminatory
and unfair business practices whether
the business unit happens to be of
large or small dimensions. Certainly
it should not be the purpose of anti
trust legislation to hamper the economic
development of the country by re-
straining any business, however large,
that respects the spirit of the laws
against unfair competition and danger
Gus monopoly. 1t is the belief that our
antitrust statutes do place unneces-
sary restraints upon business enter
prises that are observing the funda-
mental spirit of such legislation that
has impelled various groups of citizens
to request fresh study of the entire
question. Doubtless President Hoovers
recommendation to Congress was in re-
Spouse to this sentiment"
by the Fort Worth Star-Telegram,
which records as to recent develop
ments that 1.-The East Texas Chamber
of Commerce adopted a thoroughgoing
Endorsement of proration." and COM
ments on the subject; Petroleum is a
natural resource in a class by itself.
Unlike forests and fields. its crops can
not be renewed, and unlike coal and
other minerals of the sort, 1t is fluid.
The nil that iS in the ground Of Fast
Texas is all that East Texas has; when
that is gone there will be no more to
sell. It is, therefore, important to East
Texas that this irreplaceable resource
be sold at the best price possible. That
best price cannot be obtained by flood
ing an oversupplied market. but by ex-
tending production over years when the
market is likely to be stronger. Few
people will agree on what is an ade-
quate price for oil, but most will con-
slider that such price must be well
above dolla a barrel. Oil in East
Texas is being sold as low as Is cents
barrel, and the average is no more
than Is cents. Every such sale repre-
sents a loss not only to the owners Of
the well, but to East Texas"
Support is offered by the Dallas
Journal. with the explanation of the
situation in that State: THE expert
ment if such it can be termed should
yield better results than the experiment
In unregulated production, the undesir-
able effects of which were noted in the
resolution favoring equitable proration
which the East Texas Chamber of Com
merce adopted Short of some
more drastic method, prorated produce
ton is the soundest plan yet conceived
to prevent waste and a slump in prices
to demoralizing levels"