Evening star., 1937-11-20
COMMISSION ACTS
TO START INQUIRY
INTO LIVING COSTS
Trade Group Meets TODAY
to Plan Probe Asked
by President.
NEW ANTITRUST LAWS
EXPECTED BY EXPERTS
Special Session Legislation on
Monopolies Now Regarded
as Unlikely.
BACKGROUND

Mouing parallel Nth improve
naent OF business in early Ne,U Deal
gears, prices shoWed gradual up
Wdrd trend. Early this year, how-
euer, this Increment became sharper
euen 1Dhile business actiuity ,Das
shotDing first signs OF tagging.
Since high prices are easily turned
into political capital against any
administration, present one WaS
frankly ,Oorried by trend, call for
inquiry tolloUed.
By the Associated Press.
The Federal Trade Commission ar
ranged quick compliance today with
presidential order for an investiga-
ton of higher living costs. an inquiry
which many observers regarded as
portending new antitrust legislation
President Roosevelt wrote Chair
man w. A. Ayres of the commission
that his attention has been directed
to reports of a marked increase in
the cost of living during the present
year. attributable in part to
moE~nolistic practices and other un-
Whol 4 me methods of competition. q"
The letter, asking for the inquiry
and a report as early as practicable,
reached Chairman AyreS too late yes
terday for the commission to consider
it Immediately
However, he called the members to-
gether today for a discussion of the
probable scope of the investigation
This meeting adopted formal
resolution saying that with the aid
of any and all powers conferred upon
1t by law, this commission shall un-
dertake an immediate investigation of
the matters set forth in the President S
letter and shall report thereon
to the President as early as possible. -
Members said the commission would
confer early next week with legal and
economic experts about the mechanics
OF the inquiry and decide whether to
Init it to a few major lines, such as
food stocks and clothing, or include
a much wider field
VIII Require Months.
While reluctant to predict the
length of the investigation. COM
mission spokesman said it would run
into months"
Our report will be made as early
as possible in 1888" he said.
This was taken to mean the admin
lstratlon would not ask for antitrust
legislation at the special session, as
Mr.. Roosevelt first proposed, but would
send any recommendations to the
regular session starting in January
The Justice Department has been
studying the antitrust laws fo,
months, preliminary to suggesting re-
visions.
Mr.. Ayres told reporters the COM
mission has received lots of inquiries
regarding increased living costs.
Il suppose the President has haC
the same complaints" he added.
The complaints, Mr.. Ayres ex-
planned, were not concentrated on any
particular line of industry, but in.
volved almost every line"
Monopolies Inquiry.
The commissions recent inveStiga-
tions, Mr.. Ayres said, have not fully
developed" the answers to questions
concerning monopolistic trends.
Mr.. Roosevelt. on his recent trip tc
the West Coast, advocated a wider
distribution of the control of indus
try In his message to Congress Mon.
day, he suggested further study oi
means to check threats against free
competition"
Senator Borah. Republican, Of
Idaho, contends lack of enforcement
Of antitrust laws, rather than any
weakness in them, allows monopoly tc
continue. He favors requiring inter.
state corporations to obtain Fedora
charters, one requirement being thai
they refrain from monopolistic prac.
tices.
The Federal charter bill was intro.
duced by Senator O'Mahoney, Demo.
crat, of Wyoming, who said last night
the Nation cannot hope for permanent
recovery until the Government elimi.
mates dishonest corporate devices"
He said in a radio address that cur.
rent economic problems result from
the concentration of too much eco.
nomic power in too few hands.