The New York herald. [volume] (New York, N.Y.) 1920-1924, 1921-07-21
BRITISH LIVING COST
DECLINES SLOWLY
Official Figures Given by Min
istry Not Accepted as
Accurate.


living has decreased during the last
three months, but not to the same ex-
tent as in the first quarter OF the year.
Accepting the index figures Of the Min
istry Of Labor, a comparison of the six
months shows the following percentages
above the figure for July, 1914. 1t will
be remembered that the cost of living
reached its height last November, when
the living index figure of the Ministry
was 176. Then 1t dropped to 169 In De-
cember.
1921 1921
January l....... issApril l.........'.. 1 1SS
reoruary l.....'. i9,IMey It'''.''''''''' ia ia
These figures are officially stated -
represent the average level of retail
prices of all the commodities, including
food, rent, clothing. fuel, light and mis-
cellaneous items. The official estimate.
however. has been much questioned and
doubted. and there appears to be
widespread feeling among all classes
that it represents the most favorable
aspect and not the average conditions.
The view of many housewives is that no
general appreciable fall in retail prices
has taken place during the last quar-
have been counterbalanced by increases
in other directions. Rents, rates coal
and light have certainly advanced in
price.
Committees investigation.
more serious attack on the official
figures has been made in the last few
weeks by joint labor committee in the
form of preliminary report. based on
scientifically conducted Investigations
The point of their report is that the
Ministrys figures are too low. Septem-
Der of last year is given as an example.
The Ministry estimated that In that
month the rise in the cost of living was
16l per cent. above the 1914 level The
report asserts that 1t was really 1873
per cent, or 2S points higher This Is
serious matter. especially In its bear
ing on sliding scales In wages, and the
publication of the full report is awaited
with much interest.
The Ministry and the Labor party
presumably examined the question by
different standards. il Is also important
TO note that the basis OF the Ministry's
figures Is the average prewar standard
of living OF the working classes" Now
that standard has altered considerably
during the last seven years, and it Is
quite likely from what Is known about
Ministries in general that the Ministry
OF Labor has made no allowance for the
changes in the standard of living. The
luxuries of 1914 are TO some extent con-
sldered the essentials of to-day.
Apart from the other commodities
there Is no doubt whatever that food is
cheaper this quarter as compared with
It's predecessor. One of the reasons. Of
course. Is the summertime, affecting
.ff.tt1f hut .nf
affecting prices as much as anticipated.
Manchester milk at ID a quart does
not compare well with the prewar price
OF from Sd. to Id. when one considers
recent good harvests and the great fal!
i'm the cost of feeding stuffs. This is a
matter especially affecting the Produce
Exchange in view of the enormous
business done on the boards in con-
densed milk, over a million tins being
sold every week to shopkeepers In every
town in the north and midlands of
England.
Where the Trouble Lies.
The trouble, however. about prices
and 1t Is a trouble which has
been in existence over a year without
much sign of alleviation--is that while
wholesale prices have been steadily and
often heavily dropping, the consumer
and the general public are not getting
the full benefit. The housewife sees in
the newspapers accounts OF n fall IN
prices" but when she goes to the shops
usually finds that either no fall has
taken place at ALSO the shopkeeper
blandly tells her-or that II is much
smaller than anticipated. or that 1t is
not to come into force until next month.
Manufacturers and merchants are
often selling goods at less than the cost
of production owing to financial strin-
gency or in order to clear stocks in
readiness for the coming season. and at
times immense quantities OF commodi-
ties at these rates find their way into
the shops. Canned fruit Is a typical m
stance. Marmalade is another. Some
how these do not appear to make much
difference 10 the public. The manufac-
turer and the wholesaler make sacrl-
fices. but retailers as a rule stick out
through thick and thin for their usual
margin OF profit.
There does not appear 10 be even any
uniformity in regard TO retail prices be-
yond the condition named. The princi-
pie in selling among the average smaller
shopkeepers Is TO try TO obtain the
highest possible price.
NJ M r. nrrDAnr urnn vUEaT