New-York tribune., 1901-07-30
CRE4PER WOOLLEN GOODS

Opposition TO large combinations OF capital
has heretofore been chiefly based on the theory
that trusts or monopoles secured control oF
some branch of manufacture and then charged
consumers exOrbitant prices This idea seized
upon the imagination Of the ignorant and SEN
sational to such an extent that many people
credit statements showing how poor men are
compelled to pay enhanced prices for all the
necessaries of life. The fact Is ignored that the
nearest approach TO a complete monopoly has
reduced the cost of it's product all out of pro-
portion TO any other commodity After edu-
eating their followers along this line of reason
ing antitrust leaders have suddenly fopped
over to the opposite tack, and vigorously assail
the American WooIlen Company for cutting its
prices. TO the detriment of other mill owners
Even if there had been an UNEXPECTEDLY heavy
reduction in prices by the principal producer IL
would surely benefit the great body of people
who are consumers, and, according to the for
mer attitude of these critics this is q most com,
mendable action As a matter of fact however
there was no general fall in prices and the ex
tensive criticism is due TO a mistaken impress
sion. Once every year. at about this time
makers OF lightweight woollen goods open their
season. Quotations then fixed by the con-
dition of the manufacture the supplies of goods
and wool on hand. and the price of the raw ma
terial. All comparisons are based on the LIST
at which the previous seasons opening was
made. Owing to the heavy fan of over 10 per
cent in quotations of wool during the year II
was obvious that a corresponding cut must he
made in the finished product
Similar reductions had occurred when the
heavyweight season began, and comparine
present prices for lightwelghts with these there
was no more than an equivalent alteration in tho
schedules 1t is true that the demand for all
4
animation than at any previous time this wear
and this increased activity had induced many
makers to hope that it would be possible to So
cure better terms Still, there has been rnucb
buying of material at bottom prices and il Is
wiser TO contract for goods at the lowest fp
ure now, with the prospect of higher prices later
II wool rises, than to fix high quotations that
may cause cancellations later. The action Of
the American company was entirely in accord
with the market conditions and the reduction
was predicted in all trade papers many weeks
ago.
depression mas been severe in this industry
due, IN part to the enormous importations
under the Wilson tariff and the excessive ex
pansion of the domestic manufacture immedi
atey after a protective tariff restored conf
dence. This enlarged capacity was undouht
edly greatly overdone but there are AT last In
dications that the consumption is overtakino
the production, making the prospect more en-
couraging. The raw material is now at the
lowest point in four years. and only 527 per cent
Of the price in 1860. Foreign and domestic clns
are heavy, and the market is flooded with cbean
goods made Of shoddy. waste, cotton and other
substitutes. These factors have made IT a hard
struggle to get the woollen industry on a hopeful
basis but the best informed men in the trada
claim that the corner has been turned and
steady impFOVernanf IN
changes are made at the next session of Con
gress. Heavy speculative buying of wool from,
growers at the West indicates confidence that
prices will go no lower.