The times and democrat. [volume] (Orangeburg, S.C.) 1881-current, 1911-05-04
Caused by the Tariff.

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The price Of most farm products,
except cotton, has been falling dur
ing the past year, although the Re-
.publicans insist that the tariff pro-
tects the farmer. But when we COM
pare present prices with those Of q
year ago on number of commodi-
ties we find that wheat has declined
in price II per cent, corn 10, oats
1S, -four 10, lard 81, pork so, beef
20, butter 40, leather 10, iron IA.
and print cloths II per cent. The
decline in price Of the farm pro-
ducts makes quite hole in the in
come of the farmers, and of course 1T
follows that business in the farming
regions is dull; for with less income
there must be less outgo. Business
Is dull except in the cotton states, and
quiet business in the agricultural
districts means stoppage of produc-
tion in the manufacturing centers
and in the wholesale markets; there
fore, business is quiet, many men are
out of employment and wages are de-
Ginning.
The decline in the price of necessi-
ties is a boon to the consumers in
the cities, and without it there would
be greater distress than thsre now
is; for on the average eighty cents
now will buy the same quantity of
food that required one dollar a year
ago. But falling prices always re-
tard business, because the manufac-
turer, the wholesaler, and the re-
taller fear to stock up when prices
are declining. When prices are ad-
varcing the manufactures buys free
ly Of raw material, the = olesaler
stocks up, and the retail orders
more literally; and each advises his
customers to buy, for goods are go
ing up" Such business conditions
are the beginning of a boom. The
good times continue for awhile. until
many people become extravasant and
pvernenturesome; then the boom
fades and the decline in prices fol-
lows in due course.
Since the panic Of 1907 we have
been going xhrough recuperating
period which has been much retard-
ed by the effort to keep up prices
by pretending that business Is good.
Even more absurd has beer the idea
that business would be good If the
people could only be bamboozled In
to believing that it IS good A sort
of Christian Science, applied to our
business ills! Whether we have at
last reached the end of the cycle of
falling prices, and may soon expect
is an unsettled problem.
Further time will probably be. re-
quired before change for the bet
ter comes. If we have good crops
this year, and if next fall when the
harvest is assured confidence begins
to return, we may expect more nor
NAL business conditions. After awhile
prices will again turn. upward and
the beginning Of another boom Will
be born to develop in the future.
There seems TO be no escape from
these downward and upward trends in
business and prices. If we were not
hampered with high tariff-protection
we would undoubtedly recover more
quickly, for the tariff protection to
the trusts and combines allows them
to maintain their high prices long af-
ter the law Of supply and demand
would have caused reduction In
prices and the increased consump-
ton that always follows.
Our panic Of 1907 was somewhat
duplicated in England, but in that
country, not being tied down by
tariff to keep prices up a-tificially,
values rapidly declined and consump-
ton increased so thai business there
is better now than it has been for
many years, while we are still strug-
Cling with falling prices and dull
business. It Is impossible to avoid
the conclusion that our business Ills
are greatly OF our own making, and
that with tariff reform accomplished
hard times will be less prolonged and
less disastrous than they are now.
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