Salt Lake Tribune | 1918-03-31 | Page 50 | Automobile Prices must go Higher

AUTOMOBILE PRICES MOST CO higher! Reo Distributor Tells of Conditions That Will Hasten the Day. Automobiles and trucks are going to increase in price very soon, according to E. M. (Jrady, manager of the Grady IJeo passenger cars, trucks and com-mer' com-mer' ial cars. "Here are a few of the reasons why,:' remarked Mr. Grady, while discussing dis-cussing the freight situation and the war contracts farmed out to auto makers: Dining the past year you've seen prices of moior ears and trucks advance from time to time. That's . o'i:y a s'arter all manufacturers teil us that it will be necessary to .still further increase price-, in the next five months; and if the j war continues there is no knowing h o w high t h e y n: a y go. .Now, in view of what we told you in the article entitled. " Inevitable In-evitable A Shortage of Motor far- in If." about reduced production pro-duction and coni-equer.t. shortage of moior cars and trucks; and in view of the excessive demand that war prosperity and war traffic will make, some r. ill naturally jump to the con'' I u -i o n that n anufaetnr-ers anufaetnr-ers are perhaps taking advantage of the eondiiioas to cxaet more for their iroduct. Hut that is 1:0; the ease. Such a conclusion v. oald be most unjust un-just t o t fie ma mi f a cturers, a nd don't forget tiiat "excs prof-ets" prof-ets" tax. You .-ee, such a move would avail then; nothing in anv eve;;t. The real reasons are, in-ireased in-ireased c;st of materials; in-er.as.'d in-er.as.'d cis- of labor; decreased ef r ieiency, and. mainly, reduced volume and freight ear shorta1. I o you realize that during the pa-t several years you in America j have been !myi::g better automo-bil-'s ifir hall the -.rice that voer I-.umpean rou.-ins , oul 1 buy? Well, th:i was due to American methods or quantity produ.rion. Now. re-I re-I erse the condition run the id ant I M halt capacity, double the "over-I "over-I head ' ' eharges and we ;o haek ! to the factory eondit ions that will j inevitably make product ion costs I excessive.