Evening star., 1933-04-30
In the Motor World
BY G. ADAMS HOWARD.


evasion, which is now causing the pc
troleum industry so much trouble,
would be enormously increased, and
bootleggers of both alcohol and gaso-
line would profit. The gasoline boot
logger would benefit by not adding the
required expensive blend Of alcohol
and the alcohol bootlegger, by adding
water to cause the rapid separation of
the alcohol from the gasoline, would
have not only q good alcohol supply at
little cost, but would market the re-
naming pure gasoline at higher price
than the blended motor fuel
THE idea Of a gasoline alcohol blend
Is not new, nor Is 1t an American idea.
It has been tried in foreign countries,
mainly in Germany, France, Austria
and Italy, where the major supply OF
gasoline Is imported and where the
cost Of alcohol Is relatively low. Farm
ers in these countries were not in
the plan, nor does their present cond:-
ton indicate that they have been bene-
ficiaries in any way.
In these countries, the situation has
been exactly opposite to that in the
United States. This country produces
all the gasoline required by the do
mestic market and has . surplus for
export. Any increase in alcohol pro-
duction would be balanced by q de-
cline In gasoline output. There would
be no total increase in domestic In
dustry to replace imports, but merely
a shift from one raw material to an
other.
TT is desirable that the farmer have
relief from his present plight. On the
other hand, we cannot help but con-
clude that the movement to develop
an alcohol-blended motor fuel will not
aid him, but will b1ild up excess profits
for the dist:ller and tax evader and
place an unwarranted burden on every
body, including the farmer himself"
Higher Auto Prices Seen.
A very pronounced belief exists In
automotive circles that motor car buy
ers will have to pay higher prices before
the end Of 1888.
Almost any contact with leaders in
the industry brings forth some express
sion of opinion that present automobile
prices cannot be maintained. 1t Is ap-
parent that there Is much hesitation
among individual manufacturers. No
company wants to be the first to boost
prices. But once such a movement Is
started there will be rapid converts.
The statement of Alfred Reeves, vice
president of the National Automobile
Chamber Of Commerce, about prices
may be accepted as one step In pre-
pairing the buying public for what is to
come.
Gar prices are undoubtedly too low
for the quality of products which our
industry is offering the public" Mr..
Reeves said. They are so low that we
do not believe the general public would
consider q general upward readjust-
ment as anything but perfectly normal
and proper"
Prices have been found to be too low
for both manufacturers and dealers, ac-
cording to Mr. Reeves, and an increase
Of to 10 per cent would be necessary
to bring most cars In line with produc-
ton costs.
View of Automotive News.
In the same vein. the Automotive
News, which is an authoritative voice
of the industry, says:
1T only needs study Of the finan-
cial reports Of the automotive manufac-
turers for 1882 to indicate that the in
dustry has reached a place where it
must earnestly consider the effects Of
tomative companies were able to show
profit on the operations of 1882.
There is only one inference to be drawn
from this. The prices charged for the
products Of the manufacturing COM
panies were not sufficient to permit the
organizations to make a profit on their
operations. Most of the manufacturers
have simply been selling at a loss"
March Sales Up.
Automobile sales during March sur
passed February of this year and
almost equaled March of last year. ac-
cording to figures released today by the
Bureau of Census of the Department
Of Commerce.
March factory sales of automobiles
manufactured in the United States
Gncluding foreign assemblies from
parts made in the United States and
reported as complete units or vehicles) 4,
consisted of 1882 vehicles, Of which
99,885 were passenger cars. 18,047
trucks and $50 taxicabs, as compared
with 106.825 vehicles in February and
1889 vehicles in March, 1882.