El Paso herald. (El Paso, Tex.) 1901-1931, 1919-02-08


ing through a period Of rising dollar values The 11se
Is not very market yet, but It is beginning
The purchasing power Of the dollar is about 90 cents
With the decline in commodity prices which is slowly
beginning and IS bound to become marked during the
spring and sumner, the dollar VIII increase in purchasing
power and consequently in value
It Is TO the interest Of al the people that the dollars
purchasing power be brought possible from
e0ceut basis 70 the normal 100 cents nearly that The
speed with which this is done VIII be the of pro-
Eress toward TeadYustment.
Therefore, all efforts to keep the dollar at its present
low purchasing power mean Just many obstacles placed
IN ne path Of return to normal conditions.
This matter al important It affects every life IN
America Il affects every industry and every profession
II affects nearly every American activity
War Is over The making Of war materials has about
ease Feace mas come Why is not every being
turned to speed up the wheels Of peacetie activities WIN
are men Of enterprise reluctant this time to enter into
rev undertakings involving large OUTLAWS for construction
labor and materas2 Il is simply because thew fear
ther expenditures at this time VIII buy only about 90 per
cent Of what their competitors will be able 70 Inv ItIs
later when the dollar has purchasing power Of 100 cents
" reverse Il They afraid their buildings rnaciu
ey, materials and labor if secured now viii cost them
40 percent more now than later.
This Is the reason for the hestsncv IN tbe ub,z.
raw materials and manufactured goods Il IS the reason
for the deadlock in steel products They waiting for
atesl 20 60 down Merchants buying stocks in small
Quantities, pursuing, FL Paso merchant said Gand
10 mouth policy. They all afraid Of getting caught
short on bear market Of buying high and having sell
This the reason for the stagnation IN copper cotton
eoon goods and food supplies Cotton broke eight cents
pollu ID A1s4 lnan m0nIns partly because the
stopped but more because, the having stopped all
usual purchasers simply stopped buying and held their
BREATH expecting cotton to down waiting for that
20 happen before they did any buying The that
orders were withheld causing Etagnaon, forced cotton
down.
There interests agencies which are combating
quite sincerely and very vigorously the return normal
prices But Why should there be any interference with
the natural return to nomal7 Stable and settled price con-
citionl VII be in the interest Of all the people
There IS lot Of talk that wages should come down.
sven after the cost Of living drops Labor leaders IN the
east have gwen ont declarations to that effect saying that
wage standards VII be maintained after the prices Of
eeses cheaper Certainly there should be wage cut
until the cost Of living falls and wage reduction should
then Be commensurate only to the drop in prices When
the tine that S. viii buy much food as SIS buys
no employers vho feel that the need Of cutting the Ia
Dor cost s essential VII have argument IN that fact
But since labor Is important cost element in nearly
everything that the wurkngan buys It is plain that the
Of living for him Be much reduced without cut
nse unless there marked reduction in the cost Of
materials, machinery, fuel etc
Il is too much TO hope that this period Of readusment
be gore through without losses particular classes
vel to particular individuals One group constituting
industry vii lose, the copper companies, for instance
And certain groups Of labor viii lose lust as certain
merchants vii also sustain losses This is inevitable
incident in the process Of lowering commodity prices
Pleas made to the effect that grain prices should
Be held 70 level and that farmers should receive
the price Of ~ cents pound for their hogs II is
urged that the farmer through the stimulus Of high prices
induced TO relieve the shortage Of food IN the world
T. limited that the operation Of the law Of supply and
demand would imply bad faith in failing to maintain
altitudinous level
1t apparently is overlooked that one reason for the
present huge surplus Of food products the willingness
th which the people Of the United States responded to
appeals 70 save and observe meales wheatess
DAYS The farmer had the incentive Of high prices to
his patotsm The people large paid high prices and
made their sacrifices with such reward in prospect Are