Evening star., 1947-09-27


A posthumous award went to VIII
liam Stringer of Reuters, who was
killed in France.
Grain Prices
Continued From First Page)
Of performance of contract and have
no bearing on prices either up or
down." He continued:
"A margin fixed at an extreme
level is likely to so distort trading
that the balance of equilibrium Of
the market is thrown completely
out of gear and it ceases to perform
a public service"
Avoids Criticism
Mr.. McClintock said he has no
criticism of the Governments ex-
port program" but he said, "the
answer to lower grain prices is to
stop exporting grain" :.
He hastened to add, however, I've
are not offering that as solution"
He said commodity officials are
convinced that congressional in
vestigation will point out the facts
on high prices and show that specu-
lation is not to blame.
For more than year the price
Of cash grain as result of Govern
ment purchases has ruled consistent
ly above the price of futures in the
exchanges, proving that speculation
on futures markets has not been the
cause of advancing grain prices" Mr..
McC Clintock's statement said.
Functions Limited.
He insisted sit Is not the function
Of a public market place to fix prices"
and neither is it the privilege or
responsibility of officials of these in
stitutions to undertake to influence
prices by an arbitrary action"
He added:
"The officials of the exchanges be-
lieve margins should be used to guar
antee the compliance and fulfilment
of contractual agreements entered
into between buyers and sellers and
not as a means to attempt to control
of prices
Mr.. McClintock emphasized that
margins are primarily levied on
traders for the purpose Of safe
guarding the public interest.
Safeguard Maintained.
He said the present As cents per
bushel margin on wheat is sufficient
to maintain this safeguard and still
retain for the trade and the public
the valuable functions which a
free and fluid market afford to the
Nation in this time OF crisis"
Mr.. McClintock said a punitive
margin of 80 cents per bushel-
as recommended by the Government
for current grain prices-"w would
impose such restrictions on the pub
lie and trade as to lessen the useful
ness and functions of the market,
thereby jeopardizing hedging ac-
counts which would in the final
analysis react upon the farmer and
consumer"
Mr.. McClintock and officials of
the other exchanges who attended
the conference with Mr.. Anderson
said they would report to their
boards of directors Immediately.
1 Unions Urge Production.
Meanwhile. AFL-CIo appeals for
maximum production to help cut
living costs at home and relieve
suffering abroad conceded with a
Government report that industrial
production has taken a turn upward.
The CIO submitted to the Presi-
dents Council Of Economic Advisers
statement urging that the Presi-
dent call industrial leaders together
to deal with "skyrocketing prices
and nonopolistic prof1teering" It
also urged a special session of Con-
gress to develop price and rationing
controls.
AFL President William Green told
reporters after a White House call
that full production is the remedy
( for high prices"
The Federal Reserve Board re-
ported that in August industrial
production gained S points to stand
at 1872 per cent of prewar 1934-1939.
This was the first gain after four
straight months of decline.
While industrial production does
not include food and farm prod
ucts, it nonetheless has a major
bearing on the whole high cost sit
uation Of which food Is part.
Representative Douglas, Demo-
crat, of California telegraphed Mr..
Truman from Los Angeles urging
immediate call of a special session
of Congress to deal with runaway
prices, soaring rents and wholesale
evictions."
Senator Morse, Republican, of
Oregon said he is convinced that
neither Congress nor the administra-
ton can justify waiting for cold
weather before trying to solve the
price, food and European problems.
Hunger isn't going to wait con-
gressional action" Senator Morse
said in a statement. Increasing
high prices are not going to stop
their upward spiral as the result Of
any political admonitions or talk"
Senator Morse said the complete
answer to the emergencies might not
be found in congressional action but
I am convinced Congress should be in
session now to deal with such facts
as are available"
Soit Flats Once Big Loke
| The bonneville Salt Flats of Utah,