Mr. RuBEY. What was tne necessity for this advance in price,
if any?

Mr. Barnes. The maximum price fixed at the beginning of the
crop year was too low; it was below any possible comparison with
any other feeding stuffs. And when the maximum price was taken
off and the markets made a more natural reflection between feed and
flour, the feed responded to the enlarged demand, while the shrinkage
came in flour.
Mr. Rubey. Do you beheve that in handling the 1919 crop the
power should be lodged in the Government to control matters of
that kind?

Mr. Barnes. No; I do not.
Mr. Rtjbey. You think that should be left without any restric-
tions and let the matter adjust itself ?

Mr. Barnes. I think the play of competition would measurably
correct that. This very feed he speaks of has very sharply fallen
under pressure of a greater miU output than demand.
Mr. Rubey. What does the Government pay now for its storage ?

Mr. Barnes. In most of the terminals of this country we pay from
one-fiftieth per cent a day to one-thirthieth per cent a day.
Mr. Rubey. The reason I ask that question I have a clipping pub-
lished in a paper on the 16th of January, in which it states the storage
was as high as $1.50.
Mr. Barnes. $1.50 what, I wonder?

Mr. Rubey. It is considerably more than you mentioned.
Mr. Barnes. It works out roughly a cent a bushel a month for
storage.
174 WHEAT PEICB GUARANTEED BY COSTGBBSS.
Mr. RuBEY. This is about 2i cents per bushel per month. Have
charges to that extent been made?

Mr. Baenes. Not for storage; but it works out that much when
jou add the interest and insurance to the storage.
