The Washington herald., 1921-09-25
PRESENT PRICES
Is PER CENT BELOW
DECADES AVERAGE
About 100 Per Cent Less
Than in Post Civil
War Period.


lean buying public who are clamor-
ing for a speedy return to "prewar
prices" erroneousiy believing re-
tail prices are still above normal,
may find consolation in the fact that
they are approximately 100 per cent
below the corresponding period of
post civil war days.
Using 100 per cent as the prewar
basis. statistics recently compiled
by advertising and selling an
Eastern trade Journal. show that
figures for 1917 (Which marks
Americas entrance into the world
WARP advanced sharply to 325 per
cent. the years peak, while figures
for 1851, likewise the beginning of
the civil war, carried only to IT'S
per cent for the year. In the fol-
lowing year, however, the upturn
for the latter period carried only to
approximately 500 per cent above
the prewar level, while civil war
figures rose abruptly to S25 per
cent.
Highest I'm Fourth Year.
X In the third year of the civil war,
prices reacted. twice reaching the
peak of $50 per cent, declining to
slightly under 300 per cent, and vice
versa, with 1919 figures keeping
parallel, the maximum . reaching
800 per cent and the minimum 215
per cent. In the following year.
prices for both periods displayed
their greatest rising power. figures
for 1854 (the last year of the war;
climbing to 800 per cent, then de-
clining to $50 per cent, contrasted
with a high figure of 400 per cent
and a low OF 325 per cent for the
year 1890.
In the calendar year 1921, prices
have experienced a steady decline,
dropping from $50 per cent, the
high figure. to ITS per cent above.
the pre-war level. On the other
hand, civil war prices also under
went a descent which began at $50
per cent and establishing a low or
as per cent for the year.
Upward Swing Possible.
As shown by the accompanying
chart. IL price movements during
the latter part of the present year
act in accord with those of the last
ence a reaction in the late months
of 1921 which will carry prices
slightly upward. possibly to 225 per
cent. On the other hand, the ex-
perience of civil war days indicates
prices will not reach the prewar
level until 1927 and possibly not
before 1894.
Statistics show that large part
OF the buying public are now de-
ferring their purchasing in the hope
prices will reach the prewar level
in 1922. at the same time errone-
ously judging present values by
prewar figures. However. those
who have made a close study of the
subject declare II highly improb-
able for, prices to drop to the pre-
war level for some time.
Below Level of Last Decade.
The consensus of opinion among
leading authorities is to the effect
that the crisis has been passed and
the peak Of prices reached, result
ing in a long swing downward but
at a very easy rate for several
years to come.
The erroneous impression that
prices are still above normal.
simply because they have not yet
declined to the prewar level, is
made plain by the accompanying
chart, based on Bradstreet index
numbers for the last ten years. The
average level for the last decade,
as shown by the chart. Is 100 per
cent contrasted with 175 per cent
at the present time, indicating
decline of Is per cent from the
average of the last ten years which
surpass the fond hopes at the con-
clusion of the world war that
prices would be lowered TO the de-
cade's average. The lines show the
manufacturers and retailers have
accomplished the almost miraculous
that of bringing prices IS per
cent below the decades average
from the peak reached in 1920. or