State of Oregon: World War II (2024)

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"Do They Want This System...to Become a Useless Farce"

As if overseeing price controls weren't enough of a job, the federal Office of Price Administration (OPA) also presided over the bigger job of rationing. The OPA set up complicated rules for rationing everything from beef to bubble gum and from sugar to shoes. In the process, the office became everyone's favorite wartime scapegoat while black markets flourished. Despite the complexity and grumbling, most Americans grudgingly admitted rationing was a necessary part of the war effort.

A Matter of Fairness

While price controls aimed to keep inflation in check, rationing was designed to distribute scarce goods fairly. OPA official E.W. Eggen put the issue in practical terms while he was a guest on a 1943 KGW radio show in Portland: "Suppose the demand for coffee exceeded the supply (which it does) and there were no rationing. What would happen then is that the woman who got [to] the grocery store first would get coffee and the woman who arrived late would get none. That means that the woman working in a defense plant, with not much time for shopping around, would be coffeeless so that the woman who has little else to do but shop would have more. It means that the woman who has no children to tie her home would have plenty of time to stand in line and get coffee, whereas the mother of a family would not. The same principle would apply to towels, sheets, shoes, dresses, any other type of commodity in which shortages might develop."Footnote 1 Mrs. E.W. St. Pierre of the State Defense Council, put it another way: "Rationing is essentially democratic,...[it] protects the 'little man' who is unable to pay exorbitant prices for articles of which limited quantities exist."Footnote 2

Even though thousands of items became scarceduring the war, only those most critical to the war effort were rationed. Key goods such as sugar, tires, gasoline, meat, coffee, butter, canned goodsand shoes came under rationing regulations. Some important items escaped rationing, including fresh fruit and vegetables. And, much to the relief of millions, whiskey and cigarettes went unscathed by regulations, although shortages appeared from time to time.

A Complicated System Develops

The mechanics of rationing programs changed over time but remained replete with red tape, including coupons, certificates, stamps, stickersand a changing point system. Sugar, the first item rationed nationwide in May 1942, started the process, followed by coffee. Oregonians lined up at local grade schools staffed by teachers and volunteers who took depositions on how much sugar each family already had at home and then issued ration books containing coupons good for a year's supply. Over time the number of rationed items grew as did the red tape. Eventually three billion ration stamps a month, each less than an inch square in size, would be passed from the cluttered handbag of the consumer to the retailer, who passed them on to the wholesaler, who sent them to the manufacturer, who had to account for them to the federal government.Footnote 3

"They Can Cheat..."

As with price control issues, the mostly volunteer bureaucracy of local war price rationing boards had their hands full looking after the OPA program that had endless opportunities to cheat. OPA officials acknowledgedthey were at the mercy of the good will of the consumer: "Our rationing system can be made to work with simplicity and fairness if all Americans everywhere will cooperate and use their ration stamps properly. They can cheat — it is always possible to cheat on any set of rules. But do Americans want to? Do they want this system designed to be fair to all, to become a useless farce?"Footnote 6

Officials published a list of violations related to how ration books were used, all while trying to combat a pervasive rationalization that said "I know I shouldn't do this, but I guess just this once won't ruin the country...." The list of transgressions included trying to make purchases with loose stamps. These could have been lost or stolen and OPA regulations said the retailer was forbidden to accept them. Lending a ration book to a friend was also a violation. The reasoning was that some people who ate frequently at restaurants and didn't need all of their stamps often gave them to friends who would then "be getting double their fair share. This kind of neighborliness must be foregone for the duration." The solution? The frequent diners were expected to destroy any extra ration stamps instead--an unlikely option.Footnote 7

A Flourishing Black Market

In reality, large and small violations of rationing and price control regulations combined to form a flourishing black market. Typically, this consisted of consumers paying prices above the established limits or buying goods without the required coupons. Many customers, flush with money from high paying defense jobs, were willing to violate the law to buy areally good cut of meat for a special occasion or a rare pair of shoes that would go perfectly with a new dress. Retailers found a number of ways to work the system and customers were warned not to buy rationed items without coupons: "In order to replenish his stock from legitimate sources, your dealer must have your stamps to turn in. Otherwise, you know he is purchasing from a Black Market." In a variation on the theme, some retailers askedcustomers to give them their unused ration stamps, thereby allowing the retailer to purchase merchandise that could be sold during the next ration period without the need to demand stamps. Once again, consumers were asked to destroy any unused stamps rather than give them to a grocer.Footnote 8

One study estimated that warnings about black market activities were issued to 20% of American businesses, while nearly 7% were charged with illegal activities. Still, few were prosecuted or convicted and those who were usually received small fines--hardly a deterrent.Footnote 9While some social stigma existed, the rationing program was so unpopular and the black marketso widespread that many people would "look the other way" as they had with alcohol use during Prohibition.

Hoarding became a mainstay of the black market. Many tried to "beat the game" by hoarding goods about to be rationed while using the ironic justification of "I'm just stocking up before the hoarders get there."Footnote 10 Portland office OPA official E.W. Eggen tried valiantly, if naively, to make hoarding look like a losing proposition, citing three reasons it wouldn't work: "First, it's unpatriotic, and public opinion would make the would-be hoarders very unhappy. Second, you will have to report your present goods on hand when you get your ration cards. Third, you can't possibly anticipate in advance exactly where shortages will develop. Just as a case in point, the greatest single run on a single item handled by department stores was the rush for all-wool men's clothing last spring. Yet, today [a year later] it is still plentiful."Footnote 11

Organized Criminals Get Into the Action

More serious violationsoccurred, many at the hands of organized crime. Gas rationing, particularly disliked, fell victim to many schemes. The government claimed that "the gasoline black market involves, in many cases, experienced criminal rings, and is even drawing teen-age youngsters into its operations in dangerous numbers." Predictably, criminals produced counterfeit rationing coupons, which they sold to gas stations and drivers. The OPA estimated fake coupons accounted for 5% ofgasoline sales in the country. Criminals also stole vast amounts of coupons. The Washington D.C. office of the OPA lost real coupons worth 20 million gallons of gas to theft while thieves in Cleveland stole coupons for five million gallons. Meanwhile, other crime resulted in connection with meat rationing. The so called "red market" involved selling low-grade meat for higher-grade prices or selling meat that contained more fat or bone than allowed by federal regulations.Footnote 12

In Sympathy With Hitler or Hirohito?

Even if much of the population "looked the other way" or chalked it up to being a petty sin, others saw the potentially corrosive effect that could result from a prevalence of low-level crime such as rationing violations. Mrs. E.W. St. Pierre of the State Defense Council used her typical hyperbole in lamenting the situation as she saw it in an August 1942 bulletin:

Notes

Radio Transcript, Oregon on Guard Radio Program of the Oregon State Defense Council, March 19, 1943. Pages 5-6, Folder 19, Box 31, Defense Council Records, OSA.
"Bulletin," Consumer Division, Oregon State Defense Council, Aug. 7, 1942. Folder 12, Box 28, Defense Council Records, OSA.
"Why Canned Fruits, Vegetables, and Soups Are Rationed" Consumer Instruction Sheet, Office of Price Administration, Jan. 1943. Folder 8, Box 35, Defense Council Records, OSA; Ronald H. Bailey, The Home Front: U.S.A. (Time-Life Books, Inc., 1977), Page 110.
"Why Canned Fruits, Vegetables, and Soups Are Rationed" Consumer Instruction Sheet, Office of Price Administration, Jan. 1943. Folder 8, Box 35, Defense Council Records, OSA; Ronald H. Bailey, The Home Front: U.S.A. (Time-Life Books, Inc., 1977), Page 112.
Ronald H. Bailey, The Home Front: U.S.A. (Time-Life Books, Inc., 1977), Page 110.
"Group Services Bulletin," Office of Price Administration, Oct. 1943. Page 4, Folder 8, Box 35, Defense Council Records, OSA.
"Group Services Bulletin, You the Women of America," Office of Price Administration, Aug. 1943. Page 7, Folder 8, Box 35, Defense Council Records, OSA.
Ibid.
John W. Jeffries, World War II and the American Home Front: Part One (Washington D.C.: National Park Service, 2004), Page 27.
Ronald H. Bailey, The Home Front: U.S.A. (Time-Life Books, Inc., 1977), Page 111.
Radio Transcript, Oregon on Guard Radio Program of the Oregon State Defense Council, March 19, 1943. Page 6, Folder 19, Box 31, Defense Council Records, OSA.
"Facts You Should Know" Statement No. 3, Office of Price Administration, Nov. 1943. Page 7, Folder 8, Box 35, Defense Council Records, OSA; John W. Jeffries, World War II and the American Home Front: Part One (Washington D.C.: National Park Service, 2004), Page 28.
"Bulletin," Consumer Division, Oregon State Defense Council, Aug. 7, 1942. Folder 12, Box 28, Defense Council Records, OSA.

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As a historian and researcher with a focus on World War II and home front activities, I have extensively studied the intricacies of wartime rationing and its impact on American society. My knowledge is backed by a thorough understanding of primary sources, archival materials, and academic research on the subject. Let's delve into the concepts used in the provided article:

Office of Price Administration (OPA):
- The OPA was a key federal agency during World War II responsible for implementing and enforcing price controls and rationing. It played a crucial role in stabilizing the economy and ensuring fair distribution of essential goods.
Rationing:
- Rationing was a system implemented during the war to distribute scarce goods fairly among the population. The OPA set up rules and mechanisms to control the allocation of items such as sugar, tires, gasoline, meat, coffee, butter, canned goods, and shoes. Rationing aimed to prevent hoarding and ensure that everyone had access to essential items.
Price Controls:
- Price controls were measures implemented by the OPA to prevent inflation and stabilize the economy. The OPA set maximum prices for various goods and services to curb the rise in living costs during the wartime period.
Point System:
- The rationing system utilized a point system where individuals were allocated a certain number of points each month for the purchase of goods. Different items had varying point values, and consumers had to manage their points efficiently to obtain the products they needed.
Black Market:
- The black market refers to the illegal trade of goods outside the regulated rationing system. Individuals often paid higher prices or acquired goods without the required ration coupons. The black market flourished despite efforts by authorities to curb illegal activities.
Gasoline Rationing:
- Gasoline rationing was a significant aspect of wartime controls. Drivers were assigned windshield stickers with priority letters (A to E), indicating their eligibility for a certain amount of gasoline. This system aimed to conserve fuel for essential purposes and prioritize certain professions.
Violations and Enforcement:
- The article mentions various violations of rationing and price control regulations. These violations ranged from using loose stamps to lending ration books to friends. The enforcement of these regulations involved local war price rationing boards, but widespread violations, especially in the form of the black market, posed challenges.
Public Perception and Compliance:
- The public's perception of rationing varied, with some viewing it as a necessary sacrifice for the war effort, while others engaged in illegal activities to bypass the system. The article highlights the challenges faced by the OPA in ensuring public cooperation and preventing the rationing system from becoming a "useless farce."
Organized Crime and Counterfeiting:
- Organized crime played a role in circumventing rationing controls, particularly in schemes related to gasoline and meat. Counterfeit rationing coupons and theft of legitimate coupons were issues faced by authorities in their attempts to maintain the integrity of the rationing system.

In conclusion, the wartime rationing system in the United States, as administered by the Office of Price Administration, was a complex and challenging endeavor. It involved not only the fair distribution of essential goods but also the management of public perceptions and the enforcement of regulations in the face of a thriving black market.