Evening star., 1939-12-03
Monopoly Group
To Open Hearings.
On Price Levels
Senator King Denounces
Price Fixing; Chamber
Issues Statement
Ry 7. A. O'IEARY.

Senator King, Democrat, OF Utah
last night denounced ce-fixing as
an accessory of "Nazi regimenta-
tion," and the United States Cham
Der of Commerce called for a real
istic point of view" above price agi-
tation as the Federal Monopoly
Committee prepared to open hear
ings tomorrow on general price
levels.
Announcement by Senator King. a
member of the committee, Of his
opposition to consideration of price
fixing followed reports that some
New Deal supporters were enter
tanning price-control ideas.
There was no mention of price
fixing, however, in the committee's
announcement yesterday of the
scope of its hearings, which will get
under way at 10 am. tomorrow in
the caucus room of the Senate Office
Building.
On the other hand, committee ex-
perts believe that most Government
authorities concerned with economic
policy are opposed to any price-fix-
ing program, and that business itself
can avoid any turn in that direction
by not letting prices get out of
bounds.
To Inform the Public.
This weeks hearings will conSti-
tute the first general discussion of
price levels since President Roose-
welt wrote to Senator OMahoney,
committee chairman, September 20,
shortly after the start of the Euro
pean war, asking the committee to
maintain a constant surveillance"
on price trends.
According to Senator O'Mahoney
the hearings have been arranged Ito
provide a foundation for our future
work and to inform the public of
the underlying characteristics of
: the current situation"
Reiterating his opposition to in
creased Capitalization of power in
the Federal Government, Senator
King last night said:
There are some who would i'm
pose tyrannous system of regi-
mentation on people, fix prices and
determine economic and industrial
policies of individuals, groups, COM
munities and States. Price fixing
is a concomitant of Nai regimenta-
ton.
The American people are COM
petent to manage their own af-
fairs, and the efforts made by some,
through a multitude of Federal
agencies, to take over the economic
structure, if successful, will convert
this Republic. which is composed
of indestructible States, into a So
cialistic government.
There is no reason for price fix
ing with all its attendant evils. We
need, if possible, more democracy,
not less-more individual econom-
&c freedom, not less"
The Chambers Statement. -.
In its periodical review OF bust
ness the Chamber of Commerce as
serted that "all the indices show
remarkable stability in price levels
from the end of September to the
end of November.
All agitation about price; levels, :"
the chamber added, should be scru-
tinized from an entirely realistic
point of view, and there should be
demand that every statement COM
ing from official sources and init
mating that American enterprise
Is exacting unfairly high prices in a
period of general tension should be
accompanied with a full and true
description of the situation sur
rounding and affecting each price,
as well as the history of the price
and the distressed level to which
1t has been forced in a buyers mar
ket prolonged for two full years be-
fore August, 1939.'
The monopoly committee price
hearings, continuing through De-
cember 8, will be presented by men,
bers Of the staff of the committee
who have been studying the sub
ject for two months.
In Two Sections.
"The hearings will be divided into
two sections committee state
ment announced. "One section will
consist of testimony by committee
members and experts on the follow
ing general topics: The price situa-
tion before and during the last war;
the price situation at present: the
enforcement situation with respect
to prices; the inventory situation;
the effect of pyramiding on prices;
how prices in basic commodities af-
feet retail prices, and similar
matters.
Witnesses from private industry,
representing purchasing agents,
manufacturers and retailers, will al
so testify as to their experiences
with and conclusions concerning re-
cent price movements and make
suggestions as to how the work of
the committee may best proceed"
1t is expected the first witnesses
will be DR.. Isador Lubin, commits
sioner of the Bureau of Labor Sta
tistics, and Dr. Willard Thorp spe-
cial adviser to the Secretary of Com
merce. They will be followed by
Assistant Attorney General Thur
man Arnold and Leon Henderson,
economic co-ordinator of the COM
mittee, who also is member of
the Securities and Exchange Com
mission.
The committee also outlined plans
for other hearings on life insurance
and investment banking. The life
insurance hearings will be conduct
ed by subcommittee, beginning at
1890 am. Thursday. The invest
ment banking problems will be pre-
sented to the full committee be.