Report of the Federal Trade Commission on the Pacific Coast Petroleum Industry Volume 2 (Paperback)

This historic book may have numerous typos and missing text. Purchasers can download a free scanned copy of the original book (without typos) from the publisher. Not indexed. Not illustrated. 1922 Excerpt: ...Evidently some of the small refiners in the vicinity of Los Angeles were willing to sell their gasoline at less than the market price during the greater part of 1917, as the association was unable to induce all of its members to maintain the open market price. (See Exhibits 27 to 32.) Much of the difficulty in maintaining prices at this time, as shown by the memoranda referred to above, was due to the growth of the use of the coupon system of selling gasoline at a reduced price. (See Exhibit 29.) The coupon system was used especially by the larger companies (see p. 54); therefore the small companies that did not want to adopt it were forced to openly out the price agreed upon to meet competition, as shown by the extract from the annual report of the secretary for the year 1917: The unfortunate condition of the gasoline market due to the growth of the coupon system, has made it especially difficult to hold the organization together during the past year. The smaller companies, not wishing to install coupon systems to meet this method of competition have in many instances encouraged the display of cut price signs with the usual resulting unstable condition of the market. Though this office has redeemed over 18,000 in Association coupons an increase of$6,010.00 over the previous year, only three members have availed themselves of the use of this privilege which would save the considerable expense and annoyance not experienced in the use of individual coupons, which in most cases are good only at their own stations. Control Of Fuel Administration.--After the 1st of May, 1918, the petroleum war service committee of the United States Fuel Administration stabilized prices of both crude petroleum and refined products. On August 7, 1918, J. L. Quinn, district sales m...