The Ocala evening star. [volume] (Ocala, Fla.) 1895-1943, 1920-08-30
SEE PRICES TENDING
UP AND NOT DOWN
Advances in Standard Models and
Further Hints of More Remove
Amy Suggestion of Drops

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 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
sweTs 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 1 on the REQ and
the Willys-Knight and Willys-Over-
land lines. In the case of the former
this represents an advance of 500 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 S160 on the sedans of each car. In
laddition to these confirmed increases,
It was limited in usually well inform
led quarters this week that new mod
els of Paige. Columbia and Hupp.
(which are expected to be Forthcoming
within month viii also have to be
IFepriced upwards.
As for the general view of that
lection of the trade which is close
Ienough to be familiar with those fac
ltors which dictate costs, there is a
general feeling that the time to ex-
Ipect lowered prices is still a long way
ahead. Eve look for no lowering of
car prices says the Winter Co. For
The most part, car prices have ac-
ltually Jagged behind increase in costs
since 1914
/ The Velie Motor Corp. even hints at
Il further advances when it SAYS, There
can be no decline in the prices of good
automobiles with high grade material
laad labor at the. present level. On
Tho nft,aa LC,xr ero,.a,.,l ,,,ssnr, Z, Il
vances may be expected. The Liberty
Motor Car Co. similarly passes the
answer Tight back to the cause of
lhigh 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
lat some length the possibilities and
admits that in some cases. where ears
Iare not Of type to win permanent
Iesteem in the market, there may be
Ia cause for lowered quotations on
those lines. But it adds, This will
mot affect the price of standard cars
which are in demand. because these
Ihave consistently offered quality at a
fair price. As far as this company is
lconcerned," REQ continues, "we lave
advanced the price Of the touring car
IonIy six per cent and the truck only
leight per cent during the past year.
We have announced another increase
of 500 on our touring car, effective
Il September l. This increase is forced
lby 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
Iof lower prices for materials or la
Ebor"
i The Hupp Motor Car Corp. says
substantially the same thing, when it
comments, etThere are no indications
of price reductions, as material. labor
land transportation tend rather toward
Increased costs" The Jordan Motor
iCar Co contributes an additional
Il thought on the folly of trying to
4 force a decline before conditions per-
init. "There should be no reduction
in the price of fairly-priced cars, .
declares Jordan, "until transporta-
ltion, production and taxation condi-
lions change. From a merchandising
/ standpoint any reduction in price at
IIthis time would result in Immediate
stoppage of sales. because the public
would assume that prices would go
down even further"
The same thought is apparent in
: Indiana trade circles. Eve see no pos
! sibility Of any reduction in the price
lof well-establisred cars" declares the
Nordyke & Marfnon Co. And the
Hayes Automobile Co. seconds this
!: lopinion with the statement that 'Au-