The Brattleboro daily reformer. (Brattleboro, Vt.) 1913-1955, 1920-12-20

defense of the retailer who bought his
goods at high prices and feels that he
must get rid OF them somewhere near
original cost, the opinion is volunteered
again and again that while the retailer
may generously take some losses on the
goods which lac has on his shelves. he
cannot afford to take much OF a chance
when rent and labor and fuel and other
items that enter INTO his overhead show
little sign OF coming down. IT it is the
retailer who is blocking the reimbursement.
therefore, it is said III his. behalf that
the reasons are to be found in the cost
of clerical labor and light and heat and
street car fares and delivery wagons and
kindred items.
The trouble about any period of read
justment is that all things do not move
downward uniformly. But such ~institu-
lti0us as the federal reserve board express
themselves as ever so much more salts
hedy with the situation today than a
year ago. Twelve months ago, members
of the board say, they did not know when
the drop would come Or how hard the
fall would be. Now the bottom has been
reached and it is much easier to deal with
an upward curve than a downward
glide. Not a word has come from the fed
eraI board to justify the rumor but bust
ness men h~ereabouts are beginning to
feel confident that the board will reduce
the rediscount rate about the first of the
year and that money will then be more
plentiful.
Labor is naturally uneasy and is fight
ing hard against wage reduction, but laws
greater than mere desire are operating
in the business situation today. just as
the consumers have been carrying on a
( virtual strike Tor many months, insisting
that they would do without certain goods
until prices came down, So nave manufac
tureIs simply been forced to close down
and say they can't start until wages come
down to levels that permit business to
~ .a,. - lvrtVaw q T. AIa 4vAa1av
of readjustment, there are many who feel
: the pinch, particularly those who refused
to heed the governments warnings and
:, did not practice thrift IN times of plenty.
Some people who have practieed too much
: thrift and have insisted that prices 90
down practically to the prewar levels may
be badly fooled. however, for the stop
page of production IN many commodities
in the last few months may result in an
5 upward trend of prices after the first Of
5 the year. This is not expected to be true
of many products, but it Will be disocv-
Z cred when buying IS resumed that there
- is a scarcity in certain goods which havnst
. been manufactured for some time and
= naturally the law Of supply and demand
i will make some prices high. PsychOlogy
+, plays an important part in forcing up as
= well as down.
, A change in the entire situation may
p be expected after Christmas when the
big clearance sales everywhere viii begin
: ana the retailer VIII play MS part III tue
> reimbursement process, but the return oil
: sound prosperity and stable business can.
: not he looked for until some OF the big
: manufacturing concerns take the mltl-
70 alive.
1t will be a moment for leadership,
p Wise business men have rarely missed
: those opportunities, But the big fact is
70 that the worst is over and the whole nsy-
Geological current here reflects an eX-
p pcctation Of a new era of prosperity. in
I, which business will 20 forward on a
/ sounder and better basis. And the feel
> ing is that the era win begin the next
= month or 50 and be a~ecentuated in the
To- snring. Building operations of course us
- ualIv begin in the early spring. but it Is
; fully expected that throughout the entire
> country a real start viii have been made
5 in ELIMINATING the shortage of houses.
z Building materials are dropping. When
> they get low enough to tempt peopie to
r build. rents will naturally come down
5 Rents have been high because new houses
- have been few. When rents begin to
{ tonpIe. the average ~workingman will be
relieved of ono Hfithe most painful items
l 10 his cost Of living. Tie whole situation