The Washington herald., 1921-07-11
LOW PRICES CHIEF
FACTORNFOREICN
TRADE DECLINE
So Declares National City
Bank in Statement on
Conditions. :e
REPORTS CONFUSE
Great Disparity Noted When
Comparing Quantity With
Value of Product.
REPORTS CONFUSE

| The big fall OF In figures Of Unit
ed States trade IN the closing months
of the fiscai year just ended Is due
in q much larger degree to a fail in
| prices OF the various articles form
ing the grand total than In quantity
| imported and exported. While II ia
a fact that there Is q material re-
duction in quantity of merchandise
| being moved" into and out of the
United States. the big fall In world
prices Is really the largest factor In
the astonishing reduction In our
figures Of total imports and total ex-
ports as measured by values,
Aeeastened to Tetsl Valves.
We are accustomed. says a state
ment by the National City Bank OF
New York, to measure our imports
and exports by the figures of total
value, and when we see that the
total value Of imports In May. the
latest month for which figures are
available, was only $2o5.00o, 600
against s431.ooo,00 in the same
month of last year, we involuntarily
assume that the import trade has
fallen on one-half." and when we
also see that the exports of May
were only $3.50, 900, 900 against s74s,-
0o0. 900 in May of last year. we again
assume that our trade has been re-
duced by about one-half But the
fact Is that D very large proportion
of these reductions in the aggregate
value of all articles imported or all
articles exported is due in much
greater degree to lower prices than
to reduced quantities. =. .-
Great Disparity Noted.
Just as an illustration, adds the
banks statement, 1t may be remark
ed, that while the official figures of
raw cotton imported in May, 1921, do
show a reduction of 3s per cent in
quantity as compared with May,
1890. the figures of value for the
same month show a fall Of 81 Der
cent Fibers, another important ar
ticle in our industries, show a de-
crease Of 81 per cent in quantity i'm
ported in May. 1871. as compared
with the same month OF last year,
but-sth decrease in value for the
same period Is 81 per cent Hides
sho wa reduction in quantity Of IS
per cent when compared with May
Of last year. but the reduction in
value for the same period is IT per
cent, that is comparing figures OF
quantity and value in May, 1921,
with those of May. 1890. In rubber
the fall OF is A per cent in quan-
tft5, but 7S per cent in value
A further evidence that the reduc-
tion in total values is misleading in
any attempt to measure the reduc-
ton, or otherwise. of quantity
moved, is found in the fact that in
the case Of raw silk there was in
May, 1921, an actual increase of rs
per cent In quantity imported as
compared with May of the preceding
year, but a decrease Of 4 per cent in
value, while in the matter of wool
imported. there Is an increase of 10
per cent. in quantity imported in
May 1921. as compared with MAJ,
1890, but a decrease of IS per cent
In value due. of course, to the tre-
mendous fall liz the price Der pound
of raw wool
On the expor. side conditions are
very similar. The cotton sent out
Of the country in May, 1921. shows
an actual increase of SO per cent in
the number of pounds exported. hui
a decrease of 81 per cent in valne
when comparing May, 1921. with
May. 1920! Illuminating oil shows
Tor May 1921. decrease of . Der
cent In quartity, and 40 per cent in
value. Boots and shoes show 4 fall
OF 81 per cent in quantity and ~
per cent in value, and locomotives a
reoactfonf Of 2S per cent in number,
ana eeTper cent In value. All of the
above figures showing the relativ.
ngures In quantity and value are
based upon data drawn from IN. ~
metal publications Of the Department
Of Commerce.