22b 



HARDWOOD RECORD 



March L'o, 191» 



tion now has 4.50 members, which is the largest number in its his- 

 tory. 



W. W. Schupncr, department manager of the bureau of informa- 

 tion, reported that during the year claims aggregating $302,736 

 have been adjusted. 



The fire insurance committee, through its chairman, E. T. Jones, 

 submitted a list of recommendations for the association's con- 

 sideration. The recommendations related principally to the com- 

 mittee and the manner in which it should do its work. 



The workmen 's compensation committee of nine reported that 

 compulsory compensation for injured workmen has come to be 

 generally adopted as a part of the association's code of laws. M. 

 E. Preisck is chairman of this committee. 



The practical phases of forestry were made the subject of a re- 

 port by the committee having that matter in charge. J. R. Wil- 

 liams is chairman of this committee. He turned the matter over to 

 P. S. Eidsdale, secretary of the American Forestry Association, 

 who' addressed the meeting; while William L. Hall of the United 

 States Forest Service was also present by invitation, and the sub- 

 ject of forestry was ably represented. 



The committee on hardwood inspection, of which Hugh McLean is 

 chairman, made the following report: 



Your committee on hardwooil inspection begs to report that during 

 the last year there has been very little friction in regard to the rules of 

 Inspection of hardwood lumber. The National Hardwood rules seem to 

 be in general use in the North and Ea.st and in all large consuming points 

 and giving satisfaction. During the last six months the Hardwood Manu- 

 facturers' Association of the United States and the American Hardwood 

 Manufacturers' Association have combined under the name of the .4meri- 

 can Hardwood Manufacturers' .\s.sociation, which is now at work on a 



new .set of rules. These new rules will probably provide for some new 

 grades, as the sentiment amongst the members of the American Manu- 

 facturers' -Association is to sort the lumber to suit the special needs of 

 the different consumers. Through the lumber press we learn that the 

 National Hardwood Lumber Association has signified its readiness to con- 

 fer any time with the American Hardwood Manufacturers' Association 

 toward the adoption of one set of rules. In fact, at the present time there 

 is a general feeling among the members of both associations to try to 

 get together on one set of rules and we look for a conference in the near 

 future between these two associations. We think the -sentiment through- 

 out the entire hardwood trade is to try to work together in every way for 

 the good of the manufacturer, consumer and wholesaler. 



F. S. Underhill, chairman, presented the report of the committee 

 on terms of sale, and emphasized the fact that the wholesaler is 

 confronted by two opposite interests, one, the manufacturer of lum- 

 ber from whom he buys, the other the factory or yard to which 

 he sells. He can do no more than recommend terms; he cannot 

 enforce them. 



The committee ou lake marine, Henry I. George, chairman, speak- 

 ing of traffic on the lakes, thought it probable that rates would 

 be somewhat lower than last year, and that, unless some other than 

 lumber business appears, there will perhaps not be enough lumber 

 to keep the lake fleet busy. 



F. E. Babcoek of Pittsburgh, read a paper on the activities of 

 the Chamber of Commerce of the United States, of which he is 

 counsellor. 



The transportation situation was covered by the report made by 

 W. S. Phippen, traffic manager for the association. He stated that 

 changes in rates, which have always been upward, have led to con- 

 fusion, and overcharges have increased. The traffic department's 

 w-ork has become much heavier because of new conditions. 



The United States Council of National Defense announces the 

 following personnel of the industries board of the Department of 

 Commerce. This is a board created by William C. Eedfield to 

 carry on war policies in the reconstruction period in so far as 

 greater efficiency in reconstruction may be maintained through 

 a centralized advisory board. The board is made up of the fol- 

 lowing men: 



George N. Peek, chairman, Moline, 111. ; formerly vice-president 

 Deere & Co. 



Samuel P. Bush, Columbus, Ohio; president, Buckeye Steel Castings 

 Company. 



Anthony Camlnetti, Washington, D. C. ; Commissioner of General Im- 

 migration, Department of Labor. 



Thomas K. Glenn, Atlanta, Ga. ; president, Atlantic Steel Company. 



George R. James, Memphis, Tenn. ; president, Wm. R. Moore Dry Goods 

 Company. 



T. C. Powell, Cincinnati, Ohio; director, capital expenditures. Railroad 

 Administration. 



William M. Ritter, West Virginia; president, W. M. Ritter Lumber 

 Company. 



The board has had several meetings and at its initial meeting 

 on March 7 worked out a remarkably valuable statement analyz- 

 ing the present stagnation of business, showing causes and effects. 

 The condition, according to the report, shows that while commer- 

 cial stocks are depleted, while there is plenty of money, while 

 building and construction are several years in arrears of necessity, 

 while a long period of enforced economy is greatly relieved, and 

 while markets are in pro.spect in all parts of the world, still buying 

 remains timid and has been decreasing in volume, money is timid 

 and remains in the bank, some mills and factories are idle' and few 

 are running full, construction of public and private works has 

 not begun and non-employment is spreading. 



In outlining the causes of this condition the report traces the 

 tremendous effect that has resulted from artiiicial stimulation of - 

 war production and inflated prices, and shows how these prices 

 were not created by the law of supply and demand, which during 

 the war was adjourned and replaced by new and powerful forces 

 such as priority certificates, government price fixing, etc. It is 



pointed out that the normal operation of the law of supply and 

 demand cannot cure what it did not cause because it cannot oper- 

 ate until buying begins and buying cannot begin until we have 

 a more stable and homogeneous market. It is pointed out that 

 the condition must be cured as it was caused, namely, the cure 

 must be brought about by absolute co-operation and agreement, 

 looking toward a let-down of prices" through concerted and uniform 

 action that will establish a certainty of values and the control of 

 the declining prices be maintained until normal buying is resumed 

 to the extent that the law of supply and demand will again govern. 



Working along these lines and in furtherance of this plan the 

 war industries board will confer with representatives of all indus- 

 tries and has already started such conferences. The first materials 

 being considered are building materials, food, textiles, etc. 



It is figured that as soon as a stable and wholesome scale of 

 prices is achieved, the cost of living will have so far reduced as 

 to create automatically reductions of labor without interfering 

 with present standards of living. It is pointed out that every one 

 is in agreement that the cost of living must be substantially re- 

 duced before labor should be asked to accept lower wages. Thus 

 it is pointed out that industry must stand the first shock of read- 

 justment. 



It is believed by those responsible for the work that the assur- 

 ance to the country of a market stabilized at the lowest reasonably 

 expected level; that is, a market which buyers are absolutely 

 certain of being maintained, will loosen such a flood of buying 

 for the recreation of stocks, the making up of arrears in the build- 

 ing program, the feeding of needs long starved by economy and 

 the invasion of world markets as may stand unprecedented in this 

 country. It is expected that a stable level thus reached by co- 

 operation will bring about a healthy and normal condition created 

 by the complete and unhampered operation of the law of supply 

 and demand. 



In answering objections to the plan, it is pointed out that the 

 war created a new thing in government, namely, the value of 

 (Continued on page 30a) 



