TABLE I.-PIG IRON. Comparison of average annual cost with monthly selling price and margin between them, TABLE III.-STEEL RAILS-Continued. Cost and selling price, with margin between them, 1890-1901—Continued. 1 The figures of cost include estimates of the cost of coal and spiegel, as the same as during 1900, precise figures not being available. The error can not be large, but might affect the margin by 50 cents or more; the correct margin would probably be larger. WHOLESALE AND RETAIL PRICES. AN INVESTIGATION OF THE LOCAL DIFFERENCES IN PRICES OF ARTICLES PRODUCED BY CERTAIN INDUSTRIAL COMBINATIONS. The charge is sometimes made regarding various industrial combinations that, for the purpose of destroying competition, they lower the prices of the commodities produced by them in certain specific towns or sections of the country in which competitors are seeking to gain a foothold, while keeping prices at a higher level elsewhere in order to recoup themselves. It is also asserted that some industrial combinations fix prices in different localities in a more or less arbitrary manner, according not merely to the degree of competition encountered, but to the attitude of the people, the population, and various other conditions. It has been the aim of the Industrial Commission to make an investigation as to the basis of these charges by inquiries addressed to 5,000 retail dealers in towns throughout the entire country. For this purpose four articles were selected-illuminating oil, sugar, salt, and Royal Baking Powder. These were chosen primarily because of the fairly uniform quality of the product, which, it was believed, would make it possible to compare accurately the prices in different localities. As to many other articles made by industrial combinations such a comparison would be impossible; the variety of grades, styles, and classes is so great that there could be no certainty that the dealers were reporting regarding precisely the same thing in each case. The following is a copy of the schedule of inquiries which was sent to retail grocers throughout the United States: THE INDUSTRIAL COMMISSION. INQUIRY RELATING TO WHOLESALE AND RETAIL PRICES. [Extract from law creating commission.] An act authorizing the appointment of a nonpartisan commission to collate information and to consider and recommend legislation to meet the problems presented by labor, agriculture, and capital. It shall be the duty of this commission to investigate questions pertaining to'immigration, to labor, to agriculture, to manufacturing, and to business, and to report to Congress and to suggest such legislation as it may deem best upon these subjects. It shall have the authority to send for persons and papers, and to administer oaths and affirmations. Mr. WASHINGTON, D. C., -, 1901. DEAR SIR: The Industrial Commission is making an investigation into prices of a few products throughout different sections of the United States, in order to see what degree of uniformity exists and the reasons for differences in prices in different localities. The commission therefore asks you to aid it by filling out the following blanks as accurately as possible and returning the schedule of inquiries in the inclosed envelope, which requires no postage. The questions regarding the persons from whom and the points from which you obtain these articles, and the freight rates, are designed to make it more possible to obtain accurate comparisons between the different localities. For the sake of making the figures obtained more perfectly comparable, and avoiding any errors which might arise from difference in prices at different dates, the commission requests that you give all the figures as of date February 15, or as near that date as your purchases make it possible for you to give them. This information will be considered entirely confidential. Your name will not be printed in any report and will not be given to any person. It is the intention simply to group the answers for statistical purposes. Please be good enough to give the matter your immediate attention. It is believed that the information obtained through these schedules will be of great value to the country. Respectfully, UNITED STATES INDUSTRIAL COMMISSION. |