New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1897-12-28
COTTON AND WAGES


The recent reductions In prices OF cotton goods
are not made. some OF the workers appar-
emily think. mainly TO supply pretext for re-
duclng wages. On the contrary, they barely
place cotton goods relatively in line with the
present cost Of cotton. Though the goods aver
age n little lower than AT any previous time.
while cotton has been lower In the past with
goods selling nj better prices than they now
command that state Of things was but tempo
rary and was not expected TO last on March
/. 1895. cotton sold for few days nj the lowest
point ever reached 55li cents-and the average
Of prices for cotton goods was practically the
same rs on December ], before the recent re-
ductlons. which have averaged about per cent
including some goods that have not yet de-
clincd. No one supposed in 1897 that there was
much margin for profit in the goods. and In fact
the mills were by no means working nj full
capacity. The actual consumption Of cotton in
Northern mills was for that entire crop year
fully IL per cent below that OF the previous
year. Prices somewhat lower are made to-day
because It has become necessary 10 clear of
accumulations or goods manufactured from
h!gh-prlccd cotton before the mills can expect
to do business with profit
This manufacture hns barely kept up with the
woollen industry in reducing the cost Of goods
In proportion to the cost Of material. Though
1t was in factory development far ahead OF most
other Industries, and had chcapened products
remarkably before 1850. II has gained about rs
much more since that time as other Industries,
ovcrpflng the iron manufacture. Most products
[. .rca and steel are now barely Il third OF their
cost in 1890 with plg-iron Az per cent OF It's
cost At that time. Even Tie infant tlnplatc
manufacture is now selling plates mt n greater
reduction from the price OF foreign plates IN
1860 than has been realized IN the price Of the
plg-rcn from which the plates are made. But
the iron manufacture hos done wonders in rc-
duclng the cost Of production and very much
has been accomplished since the tariff Of 1890
was enacted. The wooen industry, with wool
even now 1862 per cent below It's cost In 1860.
Is selling goods 3s'2 per cent below their cost
ut that time. Tie cotto;. manufacture, with
It's raw material I6G per cent below the cost
January /, 1860, is selling goods since the last
reduction 492 per cent below tho price at that
date. Each industry Is selling goods relatively
lower In proportion TO the cost Of materials, and
the relative gain has been 90 per cent ut pres
ent prices OF woollens and wool. while Il has
been but 90 per cent ut present prices Of cot
ton goods and cottons.
These comparisons show that there Is no
ground for the belief that cotton goods have
been dsproportonately reduced in price as IN
excuse for reduction Of wages. They leave the
fact apparent that the manufacture Of u great
quantity Of goods from comparatively dear cot
ton involved the mills In losses, so that fifteen
of them at Fall River alone have passed their
last dividend this year, and forty-Hve out of
lOl IN NewEngland. Nor Is there sense in the
claim that the trouble comes because exports
Of cotton goods have somehow been checked by
the new tariff. The same expectation of lower
prices which has retarded domestic buying has
also Affected the foreign trade. Yet the auan.
tity exported in the months August october. in
elusive, after the new tariff went into effect.
was much larger than in any like time either
before or after the Mckinley tariff wen, into
effect. and more than a quarter larger than
after the Wilson tariff went into effect. and.
although foreign markets had been overloaded
By unprecedented exports of goods In previous
months this year. yet the exports in August.