ANNUAL REPORT OF THE FEDERAL TRADE COMMISSION. WASHINGTON, D. C., November 15, 1917. To the Senate and House of Representatives: In compliance with statute the Federal Trade Commission herewith submits to Congress its annual report for the fiscal year ending June 30, 1917. The work of the Federal Trade Commission during the fiscal year ending June 30, 1917, was of increasing importance. This was due not only to the normal increase in the demands made upon it as its functions and its opportunities for public service became more widely known but also on account of the special industrial difficulties and emergencies arising out of the disturbance of economic relations caused by war throughout the world as well as the entrance of the United States into the war. An important development occurring just at the close of the fiscal year, which has absorbed a large part of the attention of the Commission since then, is the investigation of the costs of production of various commodities necessary for the conduct of the war. This work was done by direction of the President. The information on costs and other pertinent facts so obtained have been turned over to the President or to such authorities as were designated by him to consider in connection with the negotiation of prices with producers, or with the fixing of prices by the Government, where authorized by law. Also, just before the close of the fiscal year here reported on Congress directed a special investigation into the food industries and made an additional appropriation therefor, which became available on June 30, 1917. A comprehensive investigation is being conducted in conjunction with the Department of Agriculture and also in cooperation with the Food Administration, which includes among other things a thorough study of the meat, flour, and food-canning industries. The number of applications for remedial procedure by the Commission on the ground of unfair methods of competition or violation of the prohibitions of the Clayton Act against price discrimination and tying contracts showed a decrease from the preceding fiscal year. As heretofore the questions thus presented were in most cases disposed of by conference rulings and voluntary adjustments and without recourse to formal complaints and the issuance of orders by the Commission. Nevertheless, in nine cases the Commission made formal complaint during the fiscal year, and in four cases the matter was disposed of by the issuance of orders to cease and desist. most noteworthy instance was in the case of the Federal Trade Commission v. A. B. Dick Co., which involved the employment of tying The |