The Washington herald. [volume] (Washington, D.C.) 1906-1939, 1921-11-28
CANADIAN TRADE
STILL QUIET, BUT
SLOWLY REVlVINC
Only About 100000 Unem-
ployed in the Whole
Dominion.
u. S. TARIFF HURTS
Wheat Farmers Helped by
Unusually Large
Crops.
U. S. TARIFF HURTS

uiNcIsc ltiiiuenSeS diieNlihg ~, ~o
dian trade Is especially difficult of
Characterization ihis autumn. except
by qualified statements. Or .he whSle
it may be described as hes. ant. ow-
ing to the uncertainties of the APP
preaching Dominion election. and yet
as encouraging. owing to the slim
illus of Christmas buying which has
already begun.
In the two most outstanding fsa-
lures of the situation. the amount
of unemployment and the decline in
the price OF agricultural products,
Canada's position is distinctly ia
vorable when compared with that Of
other countries. According to the
estimate of the Dominion govern
ment, there are at present 200. 900
out of work in all Canada. Even
though this figure may be somewhat
conservative 1t Is sufficiently reli-
able to serve to emphasize the meas
ure OF relief that has been furnished
by the federal and provincial gov
ernments and by the various munich
palities. For instance. a new i'm
petus has just been given to the
steel industry by an order from the
National Railways for $4,000. tons of
rails to be manufactured by the Brit
ish Empire steel plants in Nova SEQ
tia. and correspondingly large or
der has been given to the mills at
the Sault.
In Toronto the reorganization of
the street railway system is en-
ploying many thousand men. with
laborers' wages at so cents an hour.
instead of at the 3O-cent rate usual
now in private concerns, while in
Montreal repairs to thousand
government cars are absorbing a
good deal of labor.
Prices Are Falling.
Though Britain's lessened de-
mands and your almost closed doors
have reduced the prices of many
farm products to pre-war levels.
we are not wholly Impoverished by
the decline. The farmer is taking
his losses, of course, but although
wheat has dropped below 81 a
bushel at some of the primary mar
kets, the reduction in price is con-
siderably offset by the size of this
years crop, which is now estimated
at 294 ,3S4,S00 bushels, and by its
lower cost of production. Besides,
the decline in the price of agricul-
tural products has already done
much to lower the cost of living.
and thus benefit the local consumer.
Partly as a result of the fall in
prices there has occurred during the
last six weeks a moderate revival of
retail trade. Merchants and manu-
facturers are finally realizing that
they can meet the more exacting
demands of this years buyers only
by reducing operating expenses and
giving the public the benefit of the
advantage gained. Thus has been
bred an increased confidence which
is in itself an augury of better
trade.
Lower Production Costs.
One factor in the decreased cost
of production is the gradual low
ering of wages, especially in those
Industries which have suffered most
from inactivity during the sum-
mer. For instance, in the lumber
camps of Northern Ontario and
Quebec plenty of skilled labor can
now be procured for $40 a month
and board, while in the mining
areas of Cochrane and Porcupine
there has been a 40 per cent de-
cline in the payroll. In the towns
strikes have been fewer and gen.
orally less successful.
A fairly good barometer of con-
ditions may be found in the bank
clearings, which show in the West
an average decline of "a per cent
from the volume of business re-
corded in the corresponding week
of last year. In the East only To-
ronto, Halifax and Moncton show
increases. However, when the fall
ing prices are taken into account
the declines reported represent a
healthy rate of return from infla-
ton to more normal conditions.