The potters herald. [volume] (East Liverpool, Ohio) 1899-1982, 1941-12-25
Charge Profiteers
(Contiuued From Pa0e One)

ramrant. The Federal Reserve Board
reports that the net profits of large
industrial corporations for the first six
months of 1941 were 2596 higher than
in the corresponding period of 1910
| (Which was an unusually good busi-
ness year,. This would be even higher
if corporations declared their entire
profits. Many set aside "tax reserve"
funds which are much larger than any
taxes they can be called upon to pay.
Most wage increases have been
more than met by increases in pro-
, duction. Big corporations running at
full capacity have been able to de-
crease their unit labor costs tre-
mendously. And, in addition, the big
corporations have also gained from
increased labor productivity. Workers
have been turning out more goods and
products per working hour and day.
Output per man-hour was 800 higher
in May 194l than in May 1910; it was
;S.5It above the 1889 average and 16%o
above 1888. That is, sc workers to-
day are producing as much in one
hour as 100 workers did three years
ago.
Consumer boarding is another
favorite argument of profteers when
raising prices. But there is no factual
basis for the argument. In the first
place, low-income consumers spend
about one-third Of their incomes for
food, which is plentiful Secondly,
many other consumer purchases be-
sides food can in no way be consid-
cred as diverting materials away from
armaments production. The fact is
that most critical shortages are due
to the deliberate failure of big busi-
ness to expand vital production.
Shifting the blame to consumers
simply conceals the actual culprits:
the monopolists and profiteers.
Price control is no cure-all for in
faton. But an immediate, overall
ceiling on prices would be the most
important move that the Government
could make right now to stop the rush
to imitation. In releasing the report,
Consumers Union urges that consum-
ers work for the immediate passage
by the Senate of the original admins
tration-proposed Emergency Price
Control Bill, H. r. 5497, but without
the weakening changes that were
made in the House bill, and without
the wage ceilings or other curtail-
ments on purchasing power which re-
dictionary Congressman will try to in
trcduce.
The first job is to pass the original
price control bill in as strong form
as possible. The next is to work for
strengthening amendments, such as an
overall price ceiling, full rent control
on low-cost dwellings,, parity farm
, prices and participation by consumer
and labor groups.
: In addition, initiation must be fought
+ by other legislative measures such as
2 higher taxes on profits and high in
: comes, and expansion of civilian pro
, duction wherever this is possible
| without hampering defense. Such q
program, administered through an in.
{ dependent office Of Civilian Produc
Z biol', 'ouii pitNthI SIlOIJdStS Ol SoOIS
= could provide jobs for the many vic
e TINS of priority unemployment ant
= would keep prices from rising by ex
s panding the supply.
= We can get this program only if W,
4 organize and fight for it, the repor
r comments. The booklet, "Inhation
: What Can We Do About IT," wa
s prepared jointly by Consumers Uniol
c and the National Lawyers Guild as ;
e contribution of facts, figures am,
= analysis for the many trade unions
e consumer and other groups that will
t have to do the fighting. Copies ar,
: available from Consumers Union, l.
: Union Square, New York City at 1O
a single copy-5c in quantities Of fiv,
i or more.