THE STORY OF THE NONPARTISAN LEAGUE 



In March, 1914, there was less corn by three 

 hundred million bushels in the United States 

 than the country produced in 1912, and still 

 the price in 1914 was lower, when by all the 

 laws of supply and demand it should have 

 been higher. 



In 1898 Joseph Leiter of Chicago entered 

 upon a campaign to put up the price of wheat 

 by purchasing great quantities and holding it 

 until the price should reach a certain figure. 

 The wheat was bought and held, and the price 

 soared daily because of the manipulation. 

 Charles A. Pillsbury and Frank H. Peavey 

 of Minneapolis and Duluth, who were co- 

 operating with Leiter in the market, being 

 unable to get further margins from him, sold 

 their wheat. The market collapsed, leaving 

 Leiter with a loss of $8,000,000. 



In the midst of this transaction it became 

 necessary to turn in a certain storage of wheat 

 that had been graded as No. 2. So long as 

 it had that grade it was useless to the manipu- 

 lators, who could use only No. 1. A demand 

 was made that the grade on this wheat should 

 be raised. Accordingly, it was reinspected, 

 with the result that the original grading re- 

 mained. A second reinspection had the same 

 result. Then came a peremptory order from 

 the State Inspection Department to make that 

 grade No. 1, and as No. 1 it went out to help 

 one end of the great deal. 



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