Monday, Jan. 30, 1939

Boomerang

Before the U. S. House of Representatives last week was the Patman anti-chainstore tax bill--so stringent it would kill all interstate chains. The theory of chain-store taxing was thus approaching its major test, and propaganda against it sprouted on every side under the prodding of A. & P. Pressagents Carl Byoir & Co. Most novel prod last week was an exposition of how anti-chain agitation sometimes boomerangs against the wholesalers and independent stores by resulting in increased public recognition of chain's low prices.

Augusta, Ga. has lately witnessed such agitation. During the height of the campaign, according to a survey by the Southeastern Chain Store Council, 13 Augusta chains had sales increases of 12% over the preceding weeks, while total retail trade in the district, as measured by the Federal Reserve Board, gained only 2%.

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