16 



HARDWOOD RECORD 



December 25, 1921 



The Supreme Court Decision 



EDITOEIAL COMMENT on the startling and generally unex- 

 pected decision of the Supreme Court in the hardwood case, 

 and particularly on the condemnatory language in which the major- 

 ity opinion was expressed, is at best futile. This is the edict of the 

 supreme judicial body of the country and, as Judge Boyle expressed 

 it, "in the event that the decision as it now reads stands as the law 

 of the land, the only relief is through congressional action. ' ' 



With every desire to view the circumstances impartially. 

 Hardwood Kecoed finds it totally impossible to feel otherwise 

 than that the majority opinion is distinctly in error. The majority 

 opinion and the dissenting opinion certainly present a startling 

 contrast in their findings and also in the revelation as contained in 

 the respective documents of impressions as registered with the 

 respective groups. One is struck by the fact that the opinions 

 differed not in any one point or finely drawn technical detail, but 

 rather revealed a radically opposite conception of the whole under- 

 lying principle and operation of the open price plan. Hakdwood 

 Record is led to feel from the majority opinion that recognition 

 all out of proportion to their relative importance was given to 

 possibly overenthusiastic utterances of individuals in connection 

 with the operation of the plan. 



On the other hand, the dissenting opinion showed a grasp of the 

 commercial phases of the question and a recognition of industrial 

 requirements in this country which takes at least part of the sting 

 out of the majority expressions. 



Obviously there can be no purpose in extensive editorial comment 

 on the opinions. Nor, in view of the uncertainty as to the policy of 

 the Department of Justice and as to the status of other trade asso- 

 ciations, is their justification for attempting any general prophecy 

 relative to the general trade effect of this decision. It is true that 

 it has been generally considered as a test case, and it will undoubt- 

 edly follow that the department will vigorously prosecute its activi- 

 ties with the thought of taking every advantage of the result of the 

 hardwood case. 



The outstanding thought in the mind of the editor of Hardwood 

 Record is that for the past two years the trade has been operating 

 without the help of the open price activities and that whenever it 

 has had a decent chance of showing progress during that period 

 it has carried forward. This is notably true of the past month or 

 two when hardwood trade emerged from what was probably the 

 blackest period of its existence, and due entirely to the natural 

 results of supply and demand registered a distinctly favorable 

 strengthening in markets over a very short period. 



It is distinctly the opinion of Hardwood Record that the real 

 purpose of the open price plan has been stability of markets, and not 

 the exacting of undue profits, such stability being intended to 

 benefit both the manufacturer and the consumer of hardwood lumber. 

 Certainly there can be no sane doubt as to the necessity for elim- 

 inating chaos and establishing more reasonable stability in an 

 industry which has probably shown less eflSciency and modern con- 

 structive activity than any other one important element in our 

 industrial structure. 



Hardwood Record is impressed with the outstanding fact that 

 whOe the tendency to stability must of necessity be sacrificed by 

 the elimination of open competition, supply and demand will con- 

 tinue to govern markets and there is no reason to feel that because 

 of this decisiou we have left all hope behind us. 



Hardwood Record's idea might be summarized more or less as 

 follows, namely, that the consumer as well as the manufacturer is 

 the loser through the Supreme Court decision, but that in spite of the 

 discouragement which must necessarily follow there is nothing dis- 

 heartening in the situation, and pending whatever further action 

 may develop in the future, there is just one thing left to do — 

 CARRY ON! 



Use the Lumber Division 



IT WILL BE WISE FOR THE LUMBER INDUSTRY to take a 

 real interest in the Lumber Division of the Bureau of Foreign 

 and Domestic Commerce. This observation is prompted by the be- 

 lief that there is a much stronger probability of this institution 

 being of practical service than is generally the case with Govern- 

 ment bureaus. Any one who attended one or more of the meetings 

 which Axel H. Oxholm, Chief of the Division, has beeu holding 

 with lumbermen throughout the country, can not fail to have been 

 impressed with the breadth of Mr. Oxholm 's mental resources, with 

 his practical knowledge of lumber matters, both in this country and 

 abroad, and, above all, with his unmistakable desire to serve the 

 lumbermen through his bureau, to make of it a source of real help 

 and profit to them. 



But in addition to Mr. Oxholm 's very evident capacity and desire 

 to serve, there is the important background of his chief, Secretary 

 Hoover. Hoover suggests to our mind infinite possibilities of trade 

 expansion. It is our belief that Hoover has a tremendous vision of 

 world trade that is likely to lead our commerce and industry to a 

 greatness dreamed of by few, provided, of course, that political red 

 tape docs not succeed in sapping, vampire like, the vigor out of his 

 splendid intentions. Mr. Hoover is a man who has been around in 

 the world and knows it. He has, perhaps, a broader outlook than 

 any other of our statesmen. There is nothing provincial about 

 him, and he seems preeminently fitted to lead our business in- 

 terests in their efforts to capitalize the opportunities of the new era. 



This new era is one which demands a wider development of 

 foreign trade. Under the stimulus of the war the productive ca- 

 pacity of our industries was so expanded that a large foreign trade 

 is now an indispensable adjunct to their healthful functioning. 

 Americans must become world traders in a sense never before an- 

 ticipated for them. The day of our industrial and commercial 

 provincialism is gone and it is indeed a happy coincidence that 

 such a man as Hoover is at the head of our Bureau of Foreign and 

 Domestic Commerce at such a time. 



By establishing a Lumber Division Mr. Hoover has acknowl- 

 edged the importance of lumber in our industrial organization and 

 the members of the industry may help to justify his judgment by 

 taking an interest in the Division, and by asking for its service, 

 show faith in its ability to serve them. 



Table of Contents 



REVIEW AND OUTLOOK: 



General Market Conditions 15 



The Supreme Court DeciBion 16 



Use the Lumber Division 16 



SPECIAL ARTICLES: 



Supreme Court Forbids Open Competition Practices 17-22 & 24-25 



WHO'S WHO IN WOODWORKING: 



Chas. F. Tomlinson 26-27 



F. J. Moss 26-27 



YARD AND KILN: 



Questions and Answer* 31 



NEWS FROM THE NATIONAL CAPITAL: 



Miscellaneous 29 



POWER LOGGING AND LUMBER HANDLING: 



Miscellaneous 30 



CLUBS AND ASSOCIATIONS: 



Miscellaneous 33-34 A 51 



Northern Wholesalers Are Optimistic 28 



Inter-Association Arbitration Idea Advances 26 A 31-32 



Merger of Veneer and Plywood Bodies Proposed 35-36 & 38-4« 



Perry's Address Is Feature of Plywood Meeting 40 & 46 



HARDWOOD NEWS 52-55 



HARDWOOD MARKET 5S-60 



CLASSI FIED ADVERTISEMENTS 62-64 



ADVERTISERS' DIRECTORY 61 



HARDWOODS FOR SALE 64-66 A 6S 



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