The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1920-10-01
AVOID A PANIC
BY BUYING ON
MARKET NOW
That Is Advice to Consumer
From Topeka Merchants.
Slack in Business Would Over
throw Entire Reduction.
LOWER PRICES ARE FELT HERE
But There Have Been No Gen.
eral Radical Slashes.
Money Market Still in Control
of All Conditions.
"WAGES MUST COME DOWN"
Entire Burden Cannot Be Placed
on the Materials.
Review of Conditions as They
Exist in Capital City.
"WAGES MUST COME DOWN"
Entire Burden Cannot Be Placed
on the Materials.
Review of Conditions as They
Exist in Capital City.
BY W. E. GIBSON.

BY W. E. GIBSON.
"There is a general downward ten
dency in prices in all lines" according
to a local wholesale merchant today.
Lower markets are retarding buying,
and the effect of this eventually will
reach the manufacturer, leaving but
two avenues open to him-reduction in
prices or shutdown in production.
IF the people are sane and do not
get panicky and lay off buying0 alto
gether, there will be gradual reduc-
ton in prices" one Topeka jobber
warned today. If prices returned to
try would be hit by the worst panic
in its history"
Living costs cannot come down,
wit aout wages of labor coming down,
too. 1t is too bad to let the laboring
man get the impression that prices
are going to be reduced and that his
wages win still remain at the high
level. Prices probably will tumble
first bue wages will follow right on
their heels. The farmer also must ex-
pect to get less for his products if the
prices of his supplies come down"
Dry Goods Drop III Spring.
Declines in foodstuffs already have
been and are being felt the whole
saler pointed out; but said that dry
spring. Potatoes have decreased ana
sugar is now down to 16 cents pound
and. he thinks will go to IL IL cents
by the first of the year.
Labor Holds Up Building.
Lumber prices have been reduced
again, the third time this year. A
drop of from ten to twenty per cent
on all materials, except cement and
whiAe pine hit Topeka in the last
ltIr dTnnnad
per cent, shingles IL. lath 20, finish
(yellow pine) $50 thousand and cas-
ing and base $40, making more than
a-2O per cent drop, fir flooring 80 per
cent Cement is advancing and the
white pine market is fluctuating.
In spite of this fact. the cost of
building a house is not expected to
decrease much, in view sf the fact
that 80 per cent of it goes to labor,
according to local real estate man.
Retailers up in the Air"
Retail merchants up and down the
avenue are "up in the air" on future
prices Like the public. they are buy
ing only what they need, until more
stable market is in sight.
Sugar is retailing at 16 cents and
may go lower; coffee has dropped 5
cents a pound recently; condensed
milk is off so cents a case, but butter
advanced one cent a pound, to 81, this
week and eggs are up to 65 cents and
are scarce, according to large retall
grocer. Canned goods is off now, but
are expected to go up later, due to
scarcity and the price of tin.
Reaction in Food Prices.
Prices are coming down slightly
now" said the grocer, but there will
be a reaction later if the money mar
ket eases up. The money market and
not supply and demand is regulating
t. liz
for higher food prices. is the fact that
the farmer is not fooling with small
produce, but is sowing his land to
grain. Still another factor is transpor-
tation; it costs twice as much to han
die goods now as it did during the
war"
VOiland Is Optimistic.
Fred Voiland, president of the Kan
sas Retail Clothiers' association an6
vice president of the national organi-
zation, is more optimistic of a price
drop. The peak has been reached, hi
says, and general, altho gradual re-
duction IN prices may be expected.
The Peak Has Been Reached.
tine peak has been reached ir
prices" said Voiland. Economically
clothing prices will be lower fol-
spring. Just how far-reaching the re-
duction will be, no one can say. The
human element in business is disre
garded by StatlStlclanS, but 1t ha!
played the most important part il
the present crisis. for while the indus
trial experts were telling us there
could not be a stabilization this year
at that very moment the public wa!
reaping the benefit of a price cuttinl
wave that enveloped the country
1T was not the manufacturer tina
gave to the country the present leve
of prices. 1t was the retailer. Th
retailer reflects public temper, always
When the public spoke in resentmen
against high prices-thru the overall
clubs and old suit societies-it wa
the retailer who first heard and re
sponded.
There cannot be such a thing a
decided price recession in any line o
business. The movement will b.
gradual and the retreat orderly. N,
man in America is wise enough t,
predict where the level will be finalI,
fixed. Certainly labor cannot be ex
pected to forego present conmpensa
tion. By increased efficiency labo
can materially reduce prices. and no
effect the wage rate.
Readjustment of the governmen
tax system will reduce overhee,
charges somewhat. but the war mus
Continued ON Page Twelve.l