Clinch Valley news. [volume] (Jeffersonville, Va.) 18??-2019, 1897-09-24
LOWEST ON RECORD.
Fail I'm PricesThnt Marked tho Years
second Quarter


/ The American printed in q recent
number aquarterly exhibit of the move
ment of prices. The index numbers are
based on quotations gathered by Brad
streets commercial agency, and the
comparisons are made with the prices
ruling January /, 1891. According TO
this table the prices July of the pres
ent year on 100 articles was 1888, the
lowest previous to that lin the last six
years being 1884 which was reached
October 1, month previous to the last
presidential election
But, says the American, there is no
need of presenting statistical proof to
the ordinary BUSINESS man to convince
him that a very material fall in prices
marked the quarter ending July last.
Men whose business it is to deal in the
products of labor, wholesale merchants
with stock in their warehouse, retailers
with merchandise on their shelves, have
suffered too keenly from the shrinkage
in value to need any reminder of the
fall in prices and consequent losses
from depreciation that marked the first
half of the year 1897, and that have been
most severe during the past three
months. There have, of course, been
exceptions to the general trend OF
prices, exceptions traceable, In large
part to prospective tariff legislation.
but the commodity that has risen in
price during the past three months has
| been the exception, the commodity that
has fallen the rule.
twill be remembered that during the
closing months of last year there was
an appreciable improvement in prices.
This, following the depression Of the
preceding summer and of the presi-
Dental canvass, during which prices
fell to lower level than any then on
record, was taken as the turning point
in the movement of prices. 1t was con-
iidently predicted that we had put the
era of falling prices, losses from de-
probation, consequent lack Of faith and
industrial stagnntion behind us, but.
alas, those who harbored these hopes
were doomed to an early disappoint-
ment.
Under the stimulus OF the crop fail
ures of last year in India, Australia and
! Argentine, and the greatly increased
demand for our food products, prices
tended upwards during the last part of
1896. The price of wheat and -four
which we export largely and upon
which fell the brunt of the increased
European demand for breadstuffs, rose
greatly; prices for our other cereals,
corn, oats and rye, which we consume
largely at home, rose slightly in sym
pathy. There also was recorded coin
cident rise in live stock, in beeves and
sheep and hogs, which did not spend
itself until the spring months of the
present year, and this rise in live stock
was naturally followed by general rise
in prices for meat products. But this
rise in food products, attributable to
the misfortunes OF our competitors for
the markets of Europe, did not extend
itself to manufactured products.
Though food products rose in price
more money was not put into the
pockets of our agricultural classes and
they could not extend their purchases
Of manufactured goods. Hence it was
that with the rise of agricultural
prices the demand for manufactured
goods did not increase, in fact, fell off,
and as n consequence prices for manu-
factured goods fell in the face of rising
prices for food products.
And why was it that in spite of the
rise in prices for food products that
marked the closing months of last year
our farmers found less money in their
| pockets than the year before? IT was
for the reason that though prices for
| food products were considerably
higher at the close of 1896 than in the
middle of the summer, they were ma
| - lo1l
1895, when our farmers disposed of
their crops of that year. So it was that
the crops of 1896 brought our farmers
less money than the crops Of 1895.
Wheat, indeed, brought much better
price to our farmers in 1896 than in
1895, but our farmers had less wheat
to sell last year than the year before,
our harvests being deficient. And so
it was that a short wheat harvest neu-
traliZed much of the gain to our farm
ers from an enhanced price, while our
other cereal crops, which were as large
in yield in 1896 as in 1895, brought
smaller prices bushel for bushel, the
net result being that the farm value
of our cereal crops was $35 ZOO, 900 less
in 1896 than in 1895. In other words,
Jul gov PoOyOOO,OOO lGSS OuC VI
their cereal crops in 1896 than in 1898,
their income from these crops fell off
by about four per cent, and instead of
being able to increase their purchases
Of manufactured goods they were
obliged TO curtail them.
And so it was that prices for manu-
factured products dropped during the
closing months of last year, while
prices for agricultural products ad-
vanced. The general level In prices
] was, however, advanced between Oc-
tober I, 1896, and January 1, 1897, by
about two per cent. AS we have said,
this advance in prices, confined largely
as it was to food products, was looked,
upon by many as an assurance Of a,
coming and sustained advance in prices.
1t was predicted that the rise in prices
! for food products would extend TO man
nfactured products and that we would
have general business revival. But, as
we have seen, the rise in prices for ag-
ricultural products did not put more
money in our farmers' roc1<efs the de.