The Ocala banner. (Ocala, Marion County, Fla.) 1883-194?, 1920-09-03
SEE PRICES TENDING
UP AND NOT DOWN
Advances in Standard Models and
Further Hints Of More Remove
Any Suggestion of Drops

We clip the following from Auto
mobile Topics, the most authorita-
tive trade publication of the motor
business:
Not only are manufacturers Of au-
tomobiles finding it impossible to do
anything but allow their lists to re-
fleet the still rising costs of materials
and labor, but they are discovering
scarcely a trace of embarrassment to
their market in following the enforc-
ed policy. This phase of the trade,
which has been limited before, was
given expression this week in state
ments from a number of those plants
whose position in the market entities
them to be considered as representa-
tive in the fullest sense of that term. !
In general these factories report,
there is little falling off in demand,
so far as their factory records show.
And some few of them make their an
swers even stronger by disclosing |
further increases in list made neecs-
sary on present models. or by sug-
costing advances that will have to be
made on new models soon to be offer
ed. The general effect of such argu-
ments is merely cumulative in the
light of recent advances that have
been made on such standard lines as
the Dodge Brothers and the Buick.
New and higher prices are to be
effective September l on the REQ and
the Willys-Knight and Willys-Over-
land lines. In the case of the former
this represents an advance of 800 on
the touring car, other models of the
line remaining at the same level. The
WHY'S lines are to be advanced by
$50 on both of the touring models and
by 500 on the sedans of each car. In
addition to these confirmed increases,
it was limited in usually well inform
ed quarters this week that new mod
els of Paige, Columbia and Hupp,
which are expected to be forthcoming
within month will also have to be
repriced upwards.
AS for the general view of that
section of the trade which is close
enough to be familiar with those fac
tors which dictate costs, there is a
general feeling that the time to ex-
pect lowered prices is still a long way
ahead. "We look for no lowering of
car prices" says the Winter Co. "For
the most part, car prices have ac-
tually Jagged behind increase in costs
since 1914"
The Velie Motor Corp. even hints at
further advances when it says, "There
can be no decline in the prices of good
automobiles with high grade material
and labor at the present level. On
the other hand. general price ad-
vances may be expected The Liberty
Motor Car Co. similarly passes the
answer right back to the cause of
high prices, when it says. "There is
no indication of lower prices. We
get no advices of lowering quotations
on material or labor"
The REQ Motor Car Co. examines
at some length the possibilities and
admits that in some cases, where cars
are not of type to win permanent
esteem in the market, there may be
cause for lowered quotations on
those lines. But it adds, "This will
not affect the price of standard cars
which are in demand. because these
have consistently offered quality at a
fair price. AS far as this company is
concerned" REQ continues. 1--WE have
advanced the price of the touring car
only six per cent and the truck only
eight per cent during the past year.
We have announced another increase
of 800 on our touring car, effective |
September /. This increase is forced |
by continued advance in materials, |
particularly drop forgings. Prices of |
good cars on which the price has been
kept down must continue to increase
so long as materials increase and la
Dor costs remain at their present |
levels. There is no present indication
of lower prices for materials or la
bor."
The Hupp Motor Car Corp. says
substantially the same thing, when it
comments, "There are. no indications
of price reductions, as material, labor
and transportation tend rather toward
increased COSTS" The Jordan Motor
Car Co. contributes an additional
thought on the folly of trying to
force a decline before conditions per-
nit. "There should be no reduction
in the price of fairly-priced cars"
declares Jordan, "until transporta-
ton, production and taxation condi-
tions change. From a merchandising
standpoint any reduction in price at
this time would result in immediate