The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1921-02-05
LETTING GEORGE DO II.

Several commodities now are quot
ed at prices-whoiesale the
figures prevailing before the war.
Among these are tea, coffee and
hides. From these reductions the
consuming public is deriving little il
any benefit.
This situation leads the Mechanics
& Metals National bank of New York
to remarle that by refusing to lower
their prices to correspond with whole
sale declines, retailers dam up the
flow of goods. Their policy gives an
air of Justice to the demands Of wage
earners, who contend that they cannot
accept wage r~ductions until the cost
OF living has come down; and white
wholesale prices, according to Brad
streets, index number, fell during the
last half of 1920 by So per cent, the
calculations of the national industrial
conference board and of the depart
ment of labor show that the cost of
living as it actually affected the aver
age working family fell only IL to Is
per cent"
But labor cannot hope to wait until
all retail prices have been reduced be-
fore accepting corresponding wage re-
auctions. Nothing can be accom-
pIished if each class insists that It
shall not take losses until other
classes have taken their losses first.
If buyers refuse to take the goods of
a factory above given price, the fac
tory must either reduce wages to the
point that will enable it to produce
the goods at that price and keep 60
ing, or it must close down. Unfortu-
nately, suspicion on the part of work.
ers makes it almost impossible for a
manufacturer to. reduce wages sharp
ly while the factory is going full time;
1t is not until it has been compelled
to close, and the men have been out OF
employment, that work can be re-
sumed on a lower wage basis.
Our existing economic droubles
seem to be due largely to the fact that
everybody is waiting on everybody
else to reduce prices and accept
losses. All want to let George do it.
In a recent discussion of the situa-
ton Farm Life says:
Labor has had four or five fat years
high wages, short hours, and plenty
of work.
If labor hasn't accumulated enough
savings to keep bread in the bread box
and coal in the bin during a few weeks
of partial unemployment, it doesn't
deserve much sympathy-does 1t?
That is what agriculture thinks.
Agriculture has had some fat years,
too.
If agriculture hasn't laid by some
thing for a rainy day-if it can't stand
a slump in prices after its period of
undisputed prosperity = why agricul-
ture is a pretty poor business, isn't 1t
That is what labor thinks,
Manufacturers and wholesalers have
been piling up profits on rising mar
ket, and if they can't take their medi-
cine now during the period of read
justment, it's q queer thing.
That is what the retailers think.
And If the retailers, who have worn
out their pencils marking up prices,
can't make the necessary reductions
now without whimpering, they would
better shut up shop.
That is what the manufacturers and
wholesalers say.
You have been having a chance to
make and save a little money for sew
eral years, and if you can't stand a
little hard time you're either pretty
poor sport or you're a pretty poor
business man.
That is what everybody says to
everybody else.