The Daily Missoulian. [volume] (Missoula, Mont.) 1904-1961, 1918-02-25
Civil War Prices
and Food Prices
During This Year

Peace will not lower prices imme-
diately. as many people now strug-
Cling with the high cost Of living
fondly hope. After the close Of the
Civil war. New York continued to pay
wartime prices, save in certain few
items that were Immediately affected
by peace. Even a year and q half
after Lees surrender wheat and meat
were still double their pre-war price.
Wheat was even higher than today.
But there was no Mr.. Hoover In the
Civil war period.
A special report to congress in Octo-
Der, 1866. stated that so leading arti-
Giles showed an average Of nearly 30
per cent above prices before war be-
| gan. Rents were about on the same
| average. while wages remained 50 per
| cent up.
! The two highest articles on the list
were gold and cotton, the first stand
ard of northern values and the latter
commodity king Of the south.
New Yorks cost of living was
highest in october. 1865. six months
after peace. Some wholesale quota
tons at the time were: Flour. 1880
a barrel; coal. $l3 ton; kerosene. 81
a gallon; brown sugar. Is cents
pound; powdered sugar. % cents; but
ter. so cents: coffee, IS cents: tea, 30
cents to s2,25 pound.
This date corresponds with period
of highest monetary initiation. Wars
high prices are caused partly by tn
creased demand and consumption. but
principally by expansion and imitation
of currency, which lessen the purchase
ing power OF the paper dollar.
On January I, 1866, eight months
after Appomattox. the national debt OF
the north was 's74.2s per capita. and
federal taxes $l1.4s for each individual.
Gold, that had reached its highest pre-
MUM of 2s5 on July II, 1864. was still
quoted at $50 to 200 It was several
years falling to parity, and more than
j ten years before full specie payment
was resumed.
The greater the monetary initiation
the higher the rise In market prices
and the longer must be the period OF
readjustment after war is over. Peace
will not give New Workers. cheaper
food, clothing and rents right away.
nor even let loose ample supplies OF
wheat and meat Europe will have to
be fed whole year after arms are
laid down, while her new crops are be-
ing raised.
In the south after the Civil war
food continued scarce and high for =
long time, while cotton two years later
because Of destroyed fields was 20
cents pound, or nearly three times
normal.
! If economic causes and effects OF
previous war times hold good In these
modern times. the tremendous None
tary initiation in European countries.
and to smaller extent the currency
expansion of the United States. indi-
cate a long continued period Of high
prices.
Following out the economic chart
Of past experience, II peace should
come soon, the United States would
have a continuation Of high prices.
with certain special exceptions. But
because of our stronger financial con-
ditions and smaller currency expansion
We would be the first to get hack 20
pre-war standards. This process.
however. would be prolonged some
what by the weaker condition Of Eu-
ropean countries and their continued
demands on US for food and support
during their longer period OF coava-
iescence.