Newspaper Page Text
Profiteers Ship Food to Europe
While Americans Face Starving
By ALFRED W1. McC' N. FD001) EXPERT.
A dispatch from Herbert Hoover I
dared Paris, Monday, September 1.
1919, announced that in his opinion
a distressing era of speculation in
foodstuffs in the United States and
throughout the world's primary food
markets is largely responsible for
high food costs. He declared that
wharves and warehouses in northern
European ports are overflowing
with foodstuffs, principally meats,
fats and dairy products sent by mer
chants all over the world.
These merchants, according toi
Hoover, had "ganmbled" on sales in
Poland, Czecho-Slovakia, the Baltic
States and Germany at high prices,
for which reason many commodities
are in danger of spoiling. He also
declared the law of supply and de
imand is not working normally.
For many months it has been ob
vious that would-be profiteers andi
export speculators have been respon
sible for the artificial maintenance
of the high cost of living, but it must
certainly surprise Americans to
learn, through Herbert Hoover, that
the wharves and warehouses of
northern Eurtopean ports are so
glutted with foods that They are in
danger of spoiling, and it must as
tonish Americans to hear, through:
Herbert Hoover. that the law of sup-.
ply and demand is not functioning
normally, for he himself, as is now
quite clear, is responsible for the
smash-up of the law of supply and
Wlher he caused the price of
wheat to be fixed, allowing the price
of all other grains to remain un
fixed. he broke that. law to pieces
and it has not yet. been put. together.
America now knows that specu
lators have bought up extravagant
quantities of foodstuffs for shipment
to Europe, which they now find Eu-.
rope doesn't want.
Beginning with November 11,
1918, the exporters were treated
daily to enthusiastic stories concern
ing the colossal demands for food
which famishing Europe would ism
mediately begin to make upon Amer
ica. A veritable orgy in export busi
ness was forecast and exporters ihl
spite of themselves were destined to
collect millions of dollars in the
richest harvest they had ever known.
Ships were no longer needed to trans
port men, munitions or army sup
plies. They would be released as
rapidly as possible for trade pur
Of course the speculators jumped
over each other in preparation for
the great days to come. The sub
marines and mines no longer threat
ened and cargo-space became a fas
For a while the law of "supply and
demand" had lost prestige, but the
visions of fabulous demand made it
necessary to restore the famous hoax
to its former pedestal of glory, in or
der that prices 1pliglht be kept up at
SWhen there is more food than the
ipeople can eat, the price of food is
low, says the law of supply and de
mand. But--when there is less food
than they need, the price of food is
Unfortunately for the champions
of this elastic law, the United States
department of commerce has tahu
lated all the foods exported to Eu
rope from America, and we now
know that the would-he exporters
actulally shipped over to Europe
since the signing of the armistice
and during the first seven months
of 1919, less than one-third the
quantity they expected to ship. This
leaves a smurplus at home, unshipped
and unconsumned, so vastly in excess
of home needs that America now
finds herself glutted with unsold
Yet with more food on hand than
ever and much more than the people
can consume, the price, with the
spectacular exception of hogs and
cattle, is higher than it was last
year, when Europe was making fran
tic demands on a supply said to be
so meager that all of us had to make
personal sacrifices in order to stretch
it sufficiently to send a part across
the sea. Now we are told that that
part on European wharves and in
European warehouses it in danger
Examine the facts concerning our
shrunken exports and our accumu
lated surplus if you would know
how the public is hoodwinked
through the highly elastic and ac
cordingly abused law of supply and
In July, 1918, the United States
shipped to Europe 13,526.8t00
pounds of canned beef out of our
"meatless day" savings. For this
beef we charged Europeans 40 cents
In July, 1919. although the war
was over, and there was so louch
beef in the country that the United
States department of agriculture had
to tell the people they could now eat
meat three times a day. we exported
scarcely a third the quantity shipped
during the same month of 1918.
when ships and supply were at a
Notwithstanding the excessive
supply and the diminished demand.
we still charged Europe 40 cents a
pound for our shrunken exports.
In July, 1918, we exported 32.
056,616 pounds of fresh beef out of
what was said to be such a short
supply that we all had to eat beef
substitutes on meatless days. For
this fresh beef we charged Europe
23 cents a pound.
In July, 1919, with 200.000,001,
pounds of dressed meats piling up
every month in excess of the quan
ity that could be consumed at home,
our exports dropped to one-fourth
WE PATRONIZE THOSE WHO PATRONIZE US,
OUR PRICES ARE RIGHT.
,N. ,HULO8, PROP. 11.5 E. PARK ST.
the quanity shipped during the samn
month last year. They actually fei
2S.680,524 pounds, for which w'
still obtained 23 cents a powud.l, not
withstanding the superabundanct
that we couldn't eat.
In July. 1918, when the Americal
people were going without bacon
we shipped to Europe 119,893,65i
pounds at 29 cents a pound.
In July. 1919, with all the subma
rines surrendered and all the mine:
swept, our exports of bacon out ol
a glutted market had dropped ti
117,679,193 pounds. In spite of thi
excess supply and the disappointint
demand we advanced the price to 3'
cents a pound. In July, 1918. wt
shipped to Europe 55,368.812 pound,
of hams and shoulders at 27 cents
pound. The supply was short an.
we had to stretch it through heroit
sacrifice at home.
In July, 1919. our exports of hamn
and shoulders had fallen off to 47,
452,834 pounds, but we boosted ihl
price to 33 cents a pound.
Obviously more hogs mean mort
lard. In July. 1918, we exported
6S.600,261 pounds of lard at 2(
cents a pound.
In July, 1919, with more lard to
ship, Europe failed to call for it ant.
our exports remained about the sa(in
as for July, 1918, or 68.133,724
pounds. but we jumped up the price
from 26 cents to 351/2 cents t
In July, 1918, we shipped 15,085,
705 pounds cottonseed oil at 21 cent:
a pound. In July, 1919, we shipped
but 10,645,296 pounds, but man.
aged to charge a half cent a pound
In July, 1.918, our exports of floru
amounted to 2.428,540 barrels, fo
which we obtained $11.15 a. barrel
The whole world was desperately in
need of wheat and the flour supply
was made possible only through the
practice of wheatless days in Ameri
ca-(for human beings not for
In July, 1919. with the flour mar
ket dead absolutely and a prodigious
wheat harvest flowing toward the
elevators, our flour exports dropped
to 1,731,017 barrels, but we raised
the price from $11.15 a barrel to
In July. 1918. we exported 2,109,
159 bushels of corn at $1.74 a bush
el. In July, 1919, to the astonish
ment of the exporters. our corn
shipments dwindled to 587,816 bush
els. but we got $1.95 a bushel for it.
As already pointed out by Recon
struction, the price of wheat arbi
trarily fixed at $2.26 a bushel should
fix the price of corn at a maximum
of $1.13 a bushel, at which figure it
would hear a normal relationship to
wheat. The dlairyman, complaining
that the cost of milk is based on the
cost of feeding stuffs, and declaring
that he now has to pay as high as
$70 a ton for feed, knows more than
anybody elsa wtfft the dfsoroanized
relationshipl between wheat and corn
and between corn and other feeding
stuffs bears to the high cost of dairy
F'edesstuffs Too High.
He knows that with No. 4 yellow
corn selling in Chicago at $1.90 a
bushel of 56 pounds. the price of
fancy feed corn should be $67 a tol.
At. $1.13 a bushel, its normal val
ue in the face of $2.26 wheat, a ton
would be worth $40.
Based on the feeding value of
corn, the value of patented feeding
,stuffs would range from $17 to $22
a ton. 'l'Th present cost of milk-pro
duction, based on the cost of feed,
should therefore be reduced fully
66 per cent and the wholesale price
of hogs should not exceed $1.3 a hun
The price of butter, cheese, hanim,
bacon. lard, beef steers. hides and
leather would have to adjust them
selves to the level of the feed bill.
Through the failure of Europe to
call upon us for the feeding stuffs
we expected to ship, we now find
ourselves in possession of larger
quantitities than ever.
For the seven months ended, tJuly.
1918. we shippled to Europe 64.259,
204 bushels of oats. For the same
period 1919, we shipped but 35,196,
947 bushels, little more than half.
According to the dreanls of the
exporters, we should now be ship
ping wheat. to Europe at the rate of
400,000.,i00 bushels a year or 13.
000.000 bushels a month. Yet dur
ing the seven months dating fromt
January 1. 1919. our total wheat ex
ported amounted to but 79,733,418
bushels and in July. 1919, we ex
ported but 15.524.154 bushels.
It is evident that Broomhall's re
port to the effect that Europe would
not need Amellrican wheat is true.
How, then, are we going to keep up
the prices on a uproduct for which we
can find no imarketl?
G. H. Roberts. British food con
troller, openly declares that the
question of supplies does not worry
Europe. and this statement would
seemn to be confirmned by Hoover's
announcement that wharves and
warehouses in northern European
ports are glutted with food in dan
goe of spoiling. If there were real
famine in Europe this food would be
confiscated and distributed. hut
Hoover makes no prediction to the
effect that any such disposition with
respect to the hoarded supplies is
Europe's Dimintish.ing )emands.
During the past six weeks every
British statesman who has spoken
on the subject of food. has empha
sized the necessity of cutting down
the European imports. Europe can't
cut down her imports without cutting
down America's exports. She Ihas
OUND THE WORLD WITH
AMERICAN RIED CROSS.
Public Health Nursing.
In the midst of its multifarious war duties the Americ:an ited Cross diei
not neglect its obligations to the civilian population at home. Throughou:
the con.lict it mainmtined its Bureau of Public Health Nursing. instruction in
first aid, houme nursing and sanitalion, and disaster reliet'f, Particularly in
their work for the babies was effort by public health nurtses important. The
am'companying plhotograph shows a Ibed Cross public lhealth nurse instructing
a mother in the proper preparation of the baby's diet.
Doing Business for Soviet Russia
The Real Job of the Soviet Bureau in New York.
BY ANISE IN SEATTLE UNION RECORD.
In the midst of raids by the de
)artment of justice and rumors ot
)olshevik propaganda, the real wort:
;oing on in the soviet bureau it.
Vew York is apt to be overlooked
And a very important work it i:
which Mr. Maartens. business repre
sentative, of the soviet republic of
Russia, is carrying on in his rathet
He isn't spending his time in any
already set about cutting down both
is the figures of the United States
department of commerce conclusive
Europe can't go on paying the
high prices America continues to de
manl. The shrunken rate of ex
.hange already imposes what
unounts to an export tax of 15 cents
.n every dollar's worth she purchases
sere. Therefore it would appear
Chat the accumulated gluts of the
United States that we expected to
ship but haven't shipped, and the
gluts on the way must continue to
)ile up unconsunied unless the pres
'nt artificial barriers against ship
ping are broken down.
These artificial barriers are in
flated prices. Inflated prices for ex
port can't Ie deflated without. lower
I ing the price for domestic consump
1 'ion. The American people will not
I tolerate any flow of American foods
into Europe at' lower prices than
America is obliged to pay at home.
In the meantime, America's prob
leni seems to be to get rid of its ac
cumulating surplus and at the same
time to keep prices high. The thing
fis a paradox.
We are told by economists and
public officials that we must continue
to expect high prices, for the reason
that following the Civil war pricest
did not return to normal for years.
As far as America is concernedtl
K there is no similarity bet w.een pres
2nt prices and those that followed
the Civil war.
At the end of the Civil war both
sides to the struggle were exhaust
ed. The mlachinery of production ill
the north and south had been
smashed. Today, America's machin
cry of production is over-functioning
d somewhere between 50 and 70 per
cent in excess of norllmal.
Livestock, grain and produce
farnls are groaning with abundance.
s After the Civil war there was no such
abundance under which to groan.
r Obviously the aftermath of the Civil
war does not now apply. What. then,
shall the profiteers do to maintain
the present lofty level inl the face of
Ssuppllies that exceed the demand?
Invotkinig their own law, a crush,
e ln the meantime, under Section C
of the Lever act. the United States
f department of justice can prosecute
hoarders who store foods for an ad
vance in price. But the difficulty of
1 the attorney general and his assist
ants is that they have no means of
tracing specucllative sales based on
warehouse reiceipts covering foods
held in storage awaiting ships that
d On several occasions recently I
have been called into confereince by
p United States attorneys seeking to
e devise a system that would enable
theml to ullncover the great quanlities'
of foods that have advanced in value
e merely through changing hands in
storage. They have admitted their'
discouragenu'nt and have practically
s given !up the chase, with the convic
t tion that they are wholly unable to
n get at the facts. They know that:
the theory of the present high prices
is based on t lhe following phenomenla:
e \hen intoxicating visions of a
It vast export trade began to lure thel
e profiteers with prospects of an ex
11 travagant demand from Europe, they
sbegan to outbid each other for blocks
of foodstuffs which they were sure
they could resell at a profit, regard
y less of the »srices paid for them. They,
n believed all they had to do was to
wait until ships were released with
n cargo space for export trade.
't Iuying from each other at conl
g slantly advancing prices, the last
. man to purchase found himself in
possession of a warehouse receipt
that had changed hands possibly a
dozen tilmes in the process, each
change mening an advance in price.
When the European demand
failed, the last holder of the ware
house receipts found himnself in the
position of one who had invested
cash on a gamble that had gone
wrong. But the department of jus
tice has no means of tracing the 11
fellows who preceded him.
The public is taking a loss and
the public has not been profiteering.
Evidently it is up to somebody to
shift the loss and the sooner it is
taken from the shoulders of tile co(,n
sumer the sooner will discontent and
Sunrest subside to normal.
stirring up of troubles in this coun
try, as the scared newspapers would
lave us believe. He is making con
tracts with business men; and sign
ing up technical experts who wish tc
give service in Russia.
Thirty Millions on Contracts.
He showed me a list of contracts
already made--purchases of $30,
000,000 worth of goods from Amer
ican business men.
Here was $3,000.000 worth of
shoes ordered from one firm and
$3.000,000 worth of underwear from
another. Another million went into
renovated army shoes, bought from
the contractor who had secured them
from the Unit.ed States government
Three millions for machinery, and
more millions for farm implements.
Condensed milk and canned meats.
shoes and shoes over again! Trucks
and truck chassis, large tractors!
How Are They Going to Deliver?
Quite a nice little bit of business.
Mr. Maartens told me that the Amer.
ican business men were mIuch in
terested and very glad to get the
"We have been offered business
from 1,500 firms," he said. "In fact,
only one or two firms of all we have
approached have turned us down.
The contracts are' made direct with
I be soviet governmenty which hgs a
monopoly of all foreign trade. We
are ready to pay either in gold or in
"This is amazing," I said. "How
do you expect to get these goods de
livered into soviet Russia?"
'Oh. well, there is that little diffi
culty," smiled Mr. Maartens. "Tech
nically, of course, there is no war
and no blockade. There is nothing
illegal in doing business with soviet
Russia. These contracts are all signed
Iisubject to two conditions:
" re ronlmise to pay as soon as they
proculre (1) all export license from
lthe state department, and (2) per
mission for us to place funds fromn
,Mloscow in the United States banks.
We have the gold in Moscow, but thei
batnking facilities here are yet to be
liusicness Men Besiege State De
"However, the business men are
besieging the state department to ask
for their export license. Then there
follows long delay. Sometimes they
receive no answer at all. If they
are too prominenti to be ignored they
receive evasive answers."
"Do you have offices like this in
o ther countries?" I asked.
'Only in America and Sweden. The
Swedish people want to do business
with us, but the English government
won't let Ihem.
"We have 216.000 tons of flax.
o100000 tons of hemp, unlimited lum
ber, and many hides. furs. bristles
and other raw materials, all await
ing export. We think the flax situa
tion may help break down the block
ade. Belfast needs flax' badly; her
mills are running part time for lack
of it. lHer employers are between
the devil and thle deep sea; they do
not dare close down any further, for
the workers are full of unrest and
know just where flax is to be ob
"The housing plan in England is
also halted for lack of lumber. and
we have plenty. Mr. Hoover states
that the ports of northern Europe
are full of food ships, and tihe food
is rotting there because Germany canl
not afford to buy it. We can afford
to buy it; we have plenty of rawl ma
terials to offer."
"\Vhat .lxcuse," I asked, "can the
secretary of state give for not allow
ing American business men to take
madvamuage of such good opportunity?
Does Secret'ary Lansing tak" his or
Sders from England and the inter
(ir. aluartens most discreetly re
fuimsed to answer.
('ttilng Technical Experts for lRussia.
Are you an expert in any technical
li:: wanting to go to Russia? The
soviet bureau has a technical depart
tiunt and is signing up applicants.
It is true they cannot send you over
yet. but they will help you prepare
.Machinists. tool designers. engi
neic'lrs, trained chemists---all thtese' are
wa;nted. Six hundred in New York
alonme have registered and are t rain
ing themselves for special jobs. Some
of them are learning Russian: ethers
are perfecting themselves inl higher
branches of their specialty.
"Many inventors are offering us
inventions. which they don't want to
give to the capitalistic worldl, but
wis]l used in Russia to help the work
ers," I was told. "Our technical de
partment investigates them. It is
also preparing textbooks in Russian
on technical subjects which will be
uRIGH T NOW is the time to exchange
Bonds for fifty dollars
worth of stock in the
Butte Daily Bulletin. The
fight for liberty, democracy, and all those beautiful things
the statesmen have been mouthing about, has not been
won "over here," and if you are interested in aiding
in the fight, an investment in the FREE PRESS
is the most effective assistance you can render.
WORKERS VS. CAPITALISTS
printed ill this country, because of
the lack of paper in Russia.
Learning American Processes.
"This technical department is se
curing information on the methods
and processes of American industry.
We have engaged men who have
worked in American industry. They
prepare instruction for Russia. How
to make chilled castiron car wheels,
various kinds of steel, vanadium,
manganese, the equipment of rolling
mills for seamless steel tubing-
.hese are some of the matters we
must know. The technical depart
ment also furnishes us with the spe
cifications for our purchases here in
"What message have you for
American labor?" 1 asked in leaving.
But Mr. Maartens refused to be
drawn into our affairs. He is the
soul of discretion when it comes to
interfering with the internal work
ings of another country.
"They should learn all they can
of the precise conditions in Russia,"
he said, "economic, political and so
cial-and then take such action as
seems good to them."
SPOONING COUPLES WERE
WINNERS BY BIG STRIKE
s (By United Press.) .
Oakland. Oct. 15.-Dan Cupid
didn't care how long the strike of
street-car men of the San Francisco
Oakland Terminal railway lasted.
For there are waiting rooms and
e stations of the Key Route line
throughout various sections of this
s city and outlying districts, which
are usually centers of busy com
1. ,But with the strike, these were
h drkened and deserted. Except, of
a urse. by Oakland youths of both
e~xes who took advamntate of the
n desertedness and made up for con
siderable lost spooning.
IWO MASKED BANDITS
SMAKE SUCCESSFUL HAUL
d .lissoula. Oct. 15.---Two masked
bandits entered a pool hall at Saltese
y at 8 o'clock last night. and after
n standing 20 occupants of the place
against a wall systematically went
"through" the bunch. The bandits
made away with more than $1,500 in
e cash and a diamond pin valued at
e $300. Among the victims of the ban
dits was County Commissioner Ole
Johnson who lost $85.
i NOTICE TO SUBSCRIBERS I
I Subscription Rates Are Going Up
I TO KEEP THE BULLETIN UP-
SFor the purpose of helping to maintain The
* Daily Bulletin;
For the purpose of helping to make The Daily
Bulletin independent of advertising;
For the purpose of having the subscribers bear
a portion of the deficit under which The Bulletin I
For the purpose of continuing to fight for the
people who toil;
For the purpose of increasing the effectiveness *
of The Daily Bulletin.
Subscribers to The Daily Bulletin on and
after Oct. 1, 1919. will be asked to pay the I
One Month . . . . $1.00
SThree Months . . . . 2.75
Six Months . . . . . 5.00
I One Year . . . . . 9.50
The inauguration of the above rates on Oct. 1 will not affect subscriptions i
* which have been paid in advance beyond that date at the old rate. a
* As The Daily Bulletin is conducted for the sole purpose of serving the peo- *
Sple, and not for the benefit of those who exploit the people, the management
feels sure that all the present supporters of this FREE PRESS will readily I
* recognize the necessity for the increase in the subscriptiot rates and continue
S their support.
hU THE BULLETIN STAFF.
•-,,-im__ml'UI RRUI1 ulIuIIII ltln III a I3 IN !lIllll IN
CASUALTIES 0N T HE
Farrell ..........- ........... 4 1 1
Buffalo ........................ 1
Newcastle .................... 1
Pittsburgh ........ ...... 9 (1
Youngstown, O. ........ 1 1
San Frncllisco ........
Oakland .................... 6 18
Note:-The wounded column
contains only those seriously in
jured, some of whom will die.
There are many hundreds suffer
ing from minor wounds.
(Continued From Page One.)
mnent of the mayor to behave in the
tuture considerable interest attaches
to to.tight's council meeting-the
first session to be held following
last Thursday night's indignation
It is anticipated that the mayor
will announce the appointment of
John Legare for market master to
night and that the appointment will
as promptly be denied confirmation
by the council, a number of the re
publican aldermen, at least, voting
with the democrats against Legare.
In addition there are other matters
which are expected to comue up to
night which will result in clasher,
between Mr. Stodden and his fellow
republicans on the council.
Altogether, with the expected at
tendance of scores of consumers and
letembers of various organizations in
tpposition to the Legate appoint
ment; others who are opposed to the
administration's ordinance which is
expected to protect the retail milk
dealers of the city by prohibiting the
sales of milk at the city market by
farmers; and additional others who
will be on hand to prevent if possi
ble, the adoption of the Kelly gar
bage disposal contract in its present
form, tonight's session of the city
council promises to be one of the
warmest since Stodden toolk to pre
In regard to the garbage "deal" it
is significaut that Kelly arrived in
town just in time to dictate the
Many citizens are wondering what
Ihe object, was in changing the spe
cifications to read that the bids shall
be in at 5 o'clock, when it is cus
toimary to let bids get, in up to the
tlime the council nleets.
They want to know why the bond
was cut from $75,000 to $40,000.
The changes giving power to the
city council to revoke any order of
the commissioner of public works
within 10 days, practically is no pow
er, for the reason that the council
only meets every two weeks. The
specifications do not specify what
tools or equipment are to be rented.
In the event that the favored bid
deri. Mr. Kelly is not successful,
others could be forced to collect and
deliver garbage outside the present
limits of the city or Butte or to any
place designated by the commission
er of public works. In fact, it ap
pears the entire specifications were
gotten up for one mnan-Mr. Kelly
and for one man only and no others
dare put in a bid.. It is about time
that the aldermen should demand
Sfrom the city attorney a set of spe
cifications that are reasonable and
just to the people of the city of Butte
and to prospective bidders and that
no mercenary interests of any public
servant in the city hall be interested
a in, is the assertion of many taxpay
n Today's Anniversary. I
r 0 Q
f Love's Anniversru'y.
- Eighteen hundred and one years
11 ago from the days when the Roman
n poet Virgil in his Aeneid wrote the
_- immortal love story of "Dido of
g Carthage," the only love story of
[ great worth in Roman literature. an
s other love scene took place in Man
~tua, the Etruscan city in northern
Italy, near which Virgil was born.
w On Oct, 15, 1797, there was a cele
bration of the birthday of Virgil,
when 50 poor' girls were that day
|married to 50. poor but industrious
young nien. Handsome dowries,
In raised by voluntary contributions,
t- among the friends of rural adicity
Le and of learning, were distributed
is among the newly-wed. One can ima
gk ging the pretty scene---the erected
1e altar on the village green, the smok
lY ing incense, the happy, shy couples,
1o clad in the picturesque costumes of
;i- time, the girls in the veil of white
r- and the crimson velvet bodice, wear
it ing chains and earrings of family
ty pride and heirlooms; the young men
le in the tyrolean hat and bright-col
e- ored shoes. Dido's sorrowful heart
throbs from out her tragic inimola
it tion could have cried to the wedding
in of supreme surprise and happiness,
ie "Love is the only but the awful!"
at SAY YOU SAW IT IN BULLETIN.