The Coconino weekly sun., 1895-10-17
THE CHANGE IN PRICES.
Effects of the Democratic TariR on Trade
 and Industry.

LIE C7AN6E tN fHICeS.
 Efeots of the Democratic Tarin on Trade
 and Industry.
 The change in prices under the oper- ation of the new tariff has been of such nature as to amaze the free trader. It wes his theory that protec- tion had DO effect whatever upon prices of foreign products, and that removal or partial removal of protection would not tend to lower such prices, but that it artificially advanced prices of manu- factured goods, and that even partial removal of these burdens would render such products cheaper for farmers and all other consumers. Theories are pretty until they are tested by facts. The democratic tariff went into effect August 2s, and on the 1st of September the aggregate cost of several hundred articles included in the American list, quantities being proportioned to actual consumption. was $s4,7 but on the 3d of September 1895, the 1st being Sunday and the 2d holiday, the same qualities of the same articles cost S77,- 311-a decline of more than per cent. Prices fell, yes. But the fall was in prices of farm products, while manu- factured products scarcely changed. Taking the prices for September and September 3, the aggregate for farm propucts was $40,73l in 1894, and fell to $33, ,h76 ih 1S95-a decline of 17.5 per cent. But at the same dates the price of all other products was $44,067 in 1894, and $3,735 in 1s95-a decline of only three-quarters of per cent
 This may seem incredible to free trade theorists. but there is nothing amamazing in it. Prices of manufac. tured products had been reduced, in expectation of worse tariff than was actually passed, so that they really were lower when the German bill went into effect than they are to-day for many products. The entire effect of the bill, and in some products more than its entire effect, had been antici- pated and discounted, alike in prices of manufactured products and in wages of labor. That was the direct cause of the terrible prostration in 1893 and 1894. Sugar had been advanced in ex. pectation of the new tariff so that crushed sold at 5as cents, but 1t has now declined to AZ cents, though since September it has advanced to AZ cents Whisky had been advanced to Sl.33 by the ring, which was bank rupted by the dishonest favors it had purchased, and the product is now sell ing at SL22. The average of eleven quotations of iron and steel products is now nearly 30 per cent. higher than a year ago. Wool costs substantially the same for low qualities as year ago, and while some woolen goods are a little lower, few others are higher. Boots and shoes and other products of leather have advanced, and nearly all cotton goods because cotton has been higher. Thus in the aggregate the prices of manufactured products are almost as high as year ago.
 But with farm products the case is different. Cotton is higher because the crop is short, but 100000 bales at present prices would be worth S56,- GOO, 900 less than 10000, 900 bales at last years price. Wheat also is higher, but with a short crop and similar results. Corn is 20 cents lower with a large crop, pork S4 lower and lard 2H cents lower. Beef is a little lower, and vegetables, dairy products, eggs, oats, beans and peas. The farmers of the Atlantic coast and the Canada border must compete more severely than be- fore with imported products, and hops are B per cent. lower. The farmers lose both ways, by short crops and by extremely low prices for the crops that are not short. This is not wholly or mainly because of foreign competi- tion, though that has played its part, but the larger fact is that the people, having lower wages than in former years of full crops, do not consume as much, or if as much, cannot pay as good prices
 It is true that the comparison is not just in one respect, as all the demo- cratic comparisons are not, because the depression of wages and prices before the new law went into operation was, in fact, the effect of the declared pol icy of the party now in power. But if we look back to the last year of full prosperity under the Mckinley tariff, we find these changes in three years: Manufactured products, S.4 per cent. lower on the whole; wages, notwith- standing recent partial advances, still from 10 to 15 per cent. lower, and farm products taken as whole l9.6 per cent. lower. If free traders will put these three facts together they will sec that the people do not spend more than they earn, and if wages are low ths farm products get more than two thirds of the decrease, and manufac- tured products less than one-third. The farmer is dependent, to an extent which few realize, upon the ability of the people to purchase without delay. The manufacturer, as rule, can store his products, work shorter hours or fewer hands, and wait.-N. Y. Trib- une.