Richmond Palladium (Daily), Volume 38, Number 223, 28 July 1913 — Page 4

PAGE FOUR THE RICHMOND PALLADIUM AND SUN-TELEGRAM, MONDAY, JULY 2S, 1913

The Richmond Palladium

AND SUN-TELEGRAM.

Published Every Evening Except Sunday, by Palladium Printing Co. Masonic Building. Ninth and North A Streets. R. G. Leeds, Editor. E. H. Harris, Mj?r

tCntered at U Post Office at Kichmond. Indiana, as Second Clasa Mall Matter. Equality of Opportunity In a communication to the Palladium, published in another column, Mr. Bavis explains his attitude on the question of a sliding scale of prices for natural gas in this city and asks why the editor of the Palladium sought to draw him out on this phase of the gas question. The editor had two main reasons in mind. One was : Why should any man be insistent for a provision in the contract specifying and guaranteeing standard service and quality and not be equally insistent for a standard uniform price? The second was that if Mr. Bavis saw fit to reply and in doing so used the old, old argument that it is cheaper to sell to one large buyer of any commodity than to ten smaller ones and, therefore, the larger buyer should receive a lower price, the way would once more be cleared for the editor to ask Mr. Bavis and other readers of the Palladium, Would you rather that all industry shall become enslaved by monopoly or freed by competition? For the present system of sliding scale prices according to the difference in the quantity buying power of various units in the same line of business, is the real and absolute root of monopoly. Of course the answer to the latter question depends upon just one thing. That is: Which is the more efficient, monopoly or competition? Which serves humanity better and gives the individual the most freedom of action for the development of intelligence and ability? Which will more likely insure each producer receiving his fair share in the distribution of receipts from the common production? Monopoly has made fearful strides towards absolute supremacy in the industries of our country. In direct proportion to the growth of monopoly has been the increase in the cost of living. That is, as the old competition succumbed to monopoly, the cost of the necessities of life has risen very much more rapidly than have risen the wages and salaries paid the producers of those necessities and the rate of dividends or interest paid those who perform the important function of saving a portion of their income, without which all further progress would cease. This increasing difference between the price paid for production and the price charged the producers is composed of two elements. One is the power of the monopolist to charge the highest price he desires to for the product he controls. The other is that with a monopoly it is easier to pass on to the consumer in higher prices the cost of inefficiency waste than it is to hunt it down and eliminate it. And human nature will always choose the easier way where it can. Under competition the individual manufacturer may desire to charge "all the traffic will bear." But the "traffic" will not bear any higher price than that individual manufacturer's competitors charge. There you have an automatic price regulator such as never could be obtained through human enactments in dealing with monopolistic prices. Furthermore, the penalty for inefficiency in any unit of a competitive industry is elimination. The inefficient manufacturer can not pass the cost of his wastefulness on to the consumer in higher prices. His prices are regulated by the prices of his competitors. If his competitors are more efficient than he, then he must either become as efficient as they are or go out of business. This incentive for efficiency is absolutely lacking in monopoly. There the easiest and consequently most usual procedure is to raise prices sufficiently to cover the costs of inefficiency. And the power to do this is entirely clear within the meaning of the word monopoly. The editor believes in competition. He works under its laws in the newspaper business and he finds its real principles are founded on eternal justice the fit and worthy shall survive; the unfit shall be eliminated. He believes the continued growth of monopoly, however, should be viewed with the gravest apprehension. If It is allowed to grow and enlarge, it will eventually own and control the entire country. And in that day if the people have been deluded into believing the fallacious doctrine that monopoly is more efficient than competition, they will turn to the government ownership commonwealth proposed by socialism, for relief from the intolerable burdens that private monopoly always imposes. The editor does not believe socialism would prove to be the remedy it is promised to be by its advocates. He believes the same inefficiencies that exist in private monopolies will exist in a government monopoly. 'And even more so. While the editor advocates returning the industries of the country to a competitive basis, he realizes that they could never be placed on the basis of the competition that once held forth. That competition held within it the betrayal of all competition to the merciless power of monopoly. The weak point in the armor of the old competition lay In the principal that to the larger purchasers of raw materials should go the smaller prices under the sliding scale method of making prices. Under this system the smaller jompetitor was always paying a higher price for the same materials his bigger competitor used. Naturally this gave the larger competitor the advantage in price making and enabled him to continually grow bigger and bigger as his discount constantly increased. It wasn't the greater efficiency of the larger manufacturer directly that enabled him to crush his smaller competitors. It was the effect primarily of his greater purchasing power; the fact that his dollar would purchase a greater quantity than his smaller competitor's dollar. Under the old conditions of competition, of two competitors starting on an equal basis as regards gross business, if one realized what the discount trick would mean to him, he simply shared a portion of the increased discount he could obtain for buying in larger quantities with the- financiers in order to obtain additional capital with which to increase his purchasing power. His share of the increased discount would be enough to enable him to undersell his competitor and still make the same rate of profit both had been making. Therein lay the seed of monopoly. It's trunk and branches and leaves are on every Bide of you. Its fruit you must perforce eat and like, despite its bitterness of higher prices and shoddy product. .e only manner in which competition can be restored on a permanent basis U to absolutely prohibit further use f " T" i- T ' .:,"

of the discount system throughout industry . It has already been done in the case of railroad freight rates. When Colonel Roosevelt was president, congress enacted legislation prohibiting the railroads making a lower rateto a big shipper than to a smaller competing shipper. The railroad rebate was recognized as one of the contributing factors in monopoly building. Why not recognize all other forms of discounting for the rebate was but another name for a discount as equally necessary to monopoly

building and eliminate them; if you believe, with the editor, that competition regulated competition will be so very much better for all citizens? Narrowing the discussion down to Richmond and the question of gas rates, suppose the large American Seeding Machine company of this city had a small competitor here. Suppose both used the new natural gas. The American Seeding Machine company, we will say, used enough to obtain for it the .'30 cent rate and its small competitor only had use for enough to cause it. to receive the !5 cent rate. Do you not see, all other things being epual, that the gas rebate would be sufficient to enable the American Seeding Machine company to undersell, to the extent of the gas rebate, its smaller competitor in the territory that competitor was endeavoring to sell in and still make ITS usual rate of profit. Then take the case of the domestic consumers having to pay 40 cents for the gas they use that higher price is charged simply because of the other two classes receiving lower rates. And the domestic consumers who are factory workers must then try to overcome that higher rate

by attempting to obtain higher wages. Which is a sufficient hint as to one of the great causes for the continual war between capital and labor over the wage question. If after reading this Mr. Bavis and the other readers of the Palladium hold to the belief that monopoly is more efficient than competition, then they will not be interested in the remedy the editor proposes. If, on the contrary, they believe with the editor that competition is better and more to be desired than monopoly, then they will be very apt to agree with him that the principle on which the railroad anti-rebate law is founded is the only one that can free all industry from monopoly's tenacles. Back of equal or uniform railroad freight rates is the principle of equal or uniform prices no discounts of any kind allowed. Applying this to all Industry, the new natural gas company in Richmond, included, you have simply made everyone's dollar equal in purchasing power. And surely there is no injustice to anyone in this proposition, not even to the monopolists. For if the monopolists' power is founded on an unjust special privilege as contained in the discount system, it is no injustice to abolish a special privilege of this kind if it Is true that it works against the interests of the great majority of our citizens. Inasmuch as this present system is founded on special privilege, the editor reiterates that it is a vicious system. Since it unjustly deprives everyone but a very few of equality of opportunity, the editor again declares it to be founded on principles as bad as highway robbery.

Heiress in Tenement is Socialist

DISCRIMINATING RATES

Editor of Palladium: "The editor of the Palladium is interested in knowing what Mr. Bavis thinks of the provision in the franchise that allows the company to charge three different rates to the gas consumers of the city Mr. Bavis has never touched on this question of discriminatory rates in his discussion of the gas situation The Palladium believes this discrimination is vicious and simply licensed highway robbery What does Dr. Bavis think of it?" Editorial of the Palladium July 21st. I do not know the purpose of Mr. Leeds in being interested in my opinion regarding the differential rates charged for gas, as this is rather a late day for those opinions to have any effect, considering the contract has been approved by the board of public works, and ratified by the council. Let the purpose be what it will, I am going to "fall" not withstanding. If the Palladium report of my criticism at the public hearing is to be taken as a criterion, very small value is placed upon such opinions as I then expressed, and I do not flatter myself into thinking that any opinions I may now hold, regarding the disparagement in the rate making, will have any added value. Such a fact, however, would have no weight, as I aim to be reasonably sure of my ground before offering criticisms, and when so assurred, I give those opinions regardless of public plaudits, condemnation or promptings. I am not convinced that the discrimination in gas rates merits the indictment of "vicious" and "licensed highway robbery;" it Is a debatable question, possessing some extenuating and some seemingly unjust features; the extenuating features forbid my indorsing the charge. I can not get away from the fact that the cost of anything is largely determined by the units of energy necessary to its production and subsequent distribution, and each consumer of that product reasonably expects to pay his proportion of that cost. It seems wrong that one person should be favored by cheaper gas than others, yet, if the larger consumer absorbs only one hundredth part of the energy to care for the business, it would be manifestly unfair to compel the maximum charge for minimum service from such consumer. I will put the matter in a simpler form. Supposing there were 100 consumers of gas on North l?.th street that consumed 1,000 feet of gas each per month, or 100.000 feet in the aggregate, such a number of consumers would require just the same service each, as a single consumer that uses 100,000 feet per month. It is plain to be seen; to care for the single consumer of 100.000 feet of gas, only one percent of labor is required as compared to the 100 consumers in the aggregate. In the one case, only one meter has to be read, one statement to render, one collection to make, one item to record; in the other case, one hundred times the labor enters in the care of such services as compared to the larger consumer. I would condemn most emphatically any discrimination where the service is contemporaneous, but in this case there is no such contemporaneousness. There is an economic question involved that admits of possible guilt of special privileges insofar as the party who is able to buy in larger quantities, anything of equal quality for less than the purchaser of a smaller quantity becomes a potent factor, by competitive means, of displacing his less fortunate competitor and thereby creating a monopoly and dominating prices. I have read with a good deal of satisfaction the "Equal Price Law" by Mr. Leeds, and if I remember correctly, a very striking parallel to our present gas situation is portrayed in the power wielded by the American Steel Trust, who, through only controlling 51 per cent of the finished product (steel rails) controls over SO per cent of the ore entering into the rail, and by fixing the price of ore to the independent manufacturers, simultaneously governs the price of steel rails, so they never sell in the American market for less than $2S.OO per ton. The parallel lays in the fact that the Logan Natural Gas and Fuel Co., controls the entire available gas and is exercising a spirit of independence in its dealings with Richmond. But do they? In my judgment 90 per cent of that independence was bluff, and the bluff should have been called; but any attempt at calling the bluff was met by the local champions

i - i - J - $ A SV-

LOSS BY FIRE IN JULY WILL BE BIG Expected That Fire Loas of This Month Will Reach $1,500,000.

iTHE4.TKB

H O W BLAZES START

Guide

MRS. ROSALINE GUGGENHEIM WINSLOW. NEW YORK, July 26. Mrs. Rosaline G. Winslow, formerly Miss Rosaline Guggenheim of St. Louis, heir to $750,000, and a member of the famous Guggenheim family, is living in this city in a tenement in the heart of the great East Side in preference to the palatial apartment she might have at her disposal on exclusive Riverside Drive. Although scrupulously neat, she wears the clothes of the average working woman or clean housewife of the section in which she is working for the cause of Socialism. She writes poetry and sells it for the cause. Mrs. Winslow says it Is her ambition to adopt twelve infants, orphans and educate them to her standards so that they may continue the work of herself and her husband in the next generation.

A STARTLING INCREASE IN NUMBER OF RUINED GIRLS

Here are some of the things that experts say entice young girls and help to lure them away from home to lives of shame and degradation: MOTORCYCLES ROUG1? CABARETS ROLLER COASTERS LIQUOR FLIMSY ATTIRE AUTOMOBILES TELEPHONES DANCE HALLS RAGTIME SILK STOCKINGS.

(National News Association) LOS ANGELES, July 28. Two hundred and seven young girls in Los Angeles were stolen from their homes and consigned to lives of shame during the five months ending July 11, according to a statement issued by H. S. G. McCartney, prosecutor of the Los Angeles juvenile court. This is an average of ten every week or forty-one every month. Causes of Downfall. Causes of the downfall are many, but the most important Is the tremendous increase in "Tank" and "Crossbar" motorcycle riding. Hundreds of young girls are riding on motorcycles here every night and the drivers carry them to the various beaches and summer resorts within riding distance of Los Angeles. Prosecutor McCartney in a statement of the growing evil said today: "Our records show that 207 girls have been brought up to the Juvenile Court in five months. That is, that number of cases have been discovered by us. Nobody knows how manjr more are undiscovered. 'Half of the instances known to us are high school girls who have been reared in good homes. About

one-third of the girls are sent to the hospital. Their inflictions are responsible for fully 50 percent of the insanity in this city. Motorcycles Blamed. "Of the girls brought before the court one-third attribute their delinquency to going out joyriding on motorcycles. There has been a tremendous increase in motorcycle riding here within the last five months. Because of the fine climate motorcycle riding can be enjoyed practically all the year around and a great many of the girls brought before the court frankly admit that they started the downward path by taking a ride on a motorcycle. "My records show that the number of girls declared delinquents have increased 200 percent in a little more than two years. Two years ago a complaint charging a man or woman with contributing to a minor's delinquencywas very uncommon. Today there are cases occurring every day. The more this problem is probed the more good, I feel, is being accomplished. The great thing Is to get at the causes and the sources and temptations of girls and wipe them out."

INDIANAPOLIS. July 2S Indiana" fire loss in July promise to be a record-breaker because of several l.inee conflagrations The official record compiled by the state fire marshal's office for the second week in July t-hows a greater loss during that week

than for the whole month of Juno.

That v.eek included a 1450.000 fire at Michigan City and an unusually large number of fires caused by lightning. The total loss from July S to 14 was $TT1S5, while the loss for the whole month of June was S532XS1. The third week in Juty will also show a heavy loss when the record is made up, because of the half million-dollar fire in the wholesale district in Indianapolis. It is expected that the July tire loss will reach at least 11,500,000.

Damage by Lightning. There were 215 fires in Indiana during the second week in July and 58 of these were caused by lightning. During the entire month of June there were 69 fires caused by lightniug. Of the 5S lightning fires from July 8 to 14, the fire marshal's record 6hows that 55 of the buildings struck were not equipped with lightning rods, one was equipped, antl no report was made on this point in the other two cases. William E. Longley, the fire marshal, says that the records ou this point convince him of the immense saving that might be made in fire loss in the rural districts especially, by a more general use of lightning rods. During that same week there were seven fires caused by children playing with matches, and ten more caused bycareless use of matches and by smokers. Twelve fires were caused by gasoline explosions, most of which are regarded as due to carelessness. Sparks from chimneys and locomotives caused 26 fires. To Reduce Danger. "We are learning," says Mr. Longley, "that for an expenditure of a little more money, we can reduce the danger of fire in our buildings. While we may not produce absolutely fireproof buildings, still we can remedy many faults which now invite conflagration. Other states that have

I been at work on this problem for j many years are freely giving us the

Denem or tneir experience ana we intend to make use of this information and thereby save much time and expenso in making experiments along these lines." A preliminary examination of Information received shows that som-i of the conditions contributing to fire losses are: Open stairways and elevator shafts. Internal openings in brick dividing walls. Absence of fire shutters, or metal sash with wired glass. Low parapet walls. Shingle roofs. Hot air and steam pipes too near wood. Unprotected metal floor supports. Chimneys less than one length of a brick in thickness and unlined by burnt clay or terra cotta pipe. These and other similar conditions are being studied by the fire marshal with a view to giving to the public practical advise concerning the proper construction of buildings.

At the Murray. We. k of July 2i "The Man From Home."

"The Man from Home" Tonight "The Man From Home." WUHara Hodge's big succe. will be the offerii.g of The Franci Suyles" Players at the Murray all this week, starting with the performance tonight. The drama I a carefully blended mixture of comedy and drama. Its remarkable record of to years In a large New York theatre, one whole season in Chicago. 225 performances in Boston, and eighteen weeks In Philadelphia ha never been equalled by a dramatic attraction. Tonight three new members will appear in the cast - Del W. Sherrard. Guy Harper and K. J. Wohlfeld. Mr. Sayles has made an elaborate production and the play will no doubt proe to be the greatest offering of the season. There will be a matinee tomorrow, also one on Thursday and Saturday.

of the Allegheny company with: "You are fighting cheap gas." It is evident that any criticisms offered from any source, other than the recognized "Tubal Cains" of our city, who exult over the "bigness" of their achievements and superior mastership, is of small moment, and notwithstanding the small consumers are expected to pay the freight, they are made to feel that they have no mental or moral right to discuss or criticise a contract that involves their pocketbooks. Should the time arrive when the seeming 40 cent gas turns out to be in fact SO cent gas, and through the laxity of conditions of the contract the city finds herself powerless to revoke the privileges it contains, the public will be admonished to be reconciled, "it was the best we -.ould get,' so: ' Call what you get. the 'Chastening Rod.' Look up to your betters, and then thank God." Yours truly, 411 N. 13th Street Alfred Bavis

LEFT TO JOIN THE ST. CLAIRE STOCK CO. Charles L. Pullen and wife left Sunday morning for Danville. Illinois, where they will join the Winifred St. Claire Stock company. Mr. Pullen has been in this city for some weeks with the Francis Sayles Stock company and last week took the part of the gardener in "Brown's in Town." Mr. Pullen was stage manager for the company and blocked and built all tfie scenery which has been used since the company has been in Richmond. Before leaving he blocked the scenery to be used this week in "The Man from Home" and also for the play next week "Brewster's Millions." Mrs. Pullen has been recuperating while in Richmond but will become a member of the St, Claire company upon her arrival In Danville. La?t season Mr. Pullen had an engagement with the Delmeater's New York production of "The Countess Coquette."

WANTED The public to know I have added an extra shoe maker to my force and turn out only the best of hand work. A. B. Harned, Cor. N. 10th and E.

"Brewster's Millions' "Brewster's Millions," a dramatization of George liarr McCutcheon'a story of the same name, by WInchell Smith and Huron Ongley. will be the offering of the Francis Sayles Players week starting Monday. August 4th. with Mr. Sayles in the title role. The third act is the real scenic hit of the play. It shows a yacht in a terrific storm off the coast of Italy. The effects in this act are so true as to bo wonderful and the deck scene of the yacht is the best by far ever put on any stage. Mr. Sayles used "Brewster's Millions" during his Newcastle engagement and has all the special mechanical effects, and he assures the patrons of the Murray the same big production that has been seen here at two dollar prices.

To Be Produced Soon. Francis H. Sayles has been busy the past week selecting plays that he will offer at the Murray at an early date, which will include "The Battle." "Hello Bill." "The Traveling Salesman," "A Woman's Way." "At the Old Cross Road." and "In Wyoming." Each of the above plays will be given a complete production.

Palace. For today's program the Palace presents the delightful Majestic comedy. "The Mighty Hunter." a laugh creating subject, dealing with a boaster who fails to make good as a hunter when his friends free an Italian's trick bear for him to kill. With this is shown a splendid Thanhouser drama. "When Darkness Came," and the Pilot subject. "A Child of the Hills." Tuesday another of those Broncho war dramas. "Grandad," a thrilling civil war story in two parts, will be shown.

Jane in Town. Jane, an English bulldog, arrived Saturday from Anderson. Ind.. and will appear this evening in "The Man From Home," to be presented by the Francis Sayles players at the Murray theatre. Jane is under the special care of Hellman, business manager of the company, during her engagement here.

Palladium Want Ads Pay.

LOANS

2 Per Cent Per Month on household goods, pianos, teams, stock, etc.. without removal. Loans made In all surrounding towns. Call, write oipbone and our agent will call at your house. Private Reliable THE STATE INVESTMENT AND LOAN COMPANY Room 40 Colonial Bldg. Phone 2560. Take elevator to Third Floor. Richmond. Indiana

I MASONIC CALENDAR ! 4 , Tuesday, July 29 King Solomon's

Chapter, Royal Arch Masons. Called j meeting. Work in the Mark, Past and ' Most Excellent Masters' degrees, i Light refreshments. ! Friday, August 1 King Solomon's. Chapter, Royal Arch Masons. Called j meeting. Work in the Royal Arch d gree. Light refreshments.

RICHMOND FEED STORE j Feed at Reasonable Prices. We sell the Famous Gilt Edge Flour. Alfalfa Seed for sale. 11 & 13 N. 9th St. Phone 2196.

TRY COOPER'S BLEND COFFEE For Sale a Coopers Grocery

Our clock line is the largest and most varied we have ever carried; it ranges from a 75c ALARM CLOCK TO A $25.00 WESTMINSTER CHIME. Make your selection here and get quality and low price combined. If it is an alarm clock, don't forget BIG BEN, the best ever made at any price $2.50.

PALACE

TODAY "THE MIGHTY HUNTER" Majestic Comedy "WHEN DARKNESS CAME" Thanhouser Drama "A CHILD OF THE HILLS" Pilot Drama TUESDAY Broncho War Drama "GRAND-DAD"

Mup iay ALL THIS WEEK Francis Sayles' Players in Wm. Hodge's Big Success "The Man From Home" By Booth Tarklngton and Harry Leon Wilson PRICE8 Matinees Tues. Thurs. & Sat. 10 and 2Cc ' Nights at 8:1510, 20, and 30c Next Week -BREWSTER'S MILLIONS"

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