The Bozeman courier. (Bozeman, Mont.) 1919-1954, 1923-04-11

Just now the retailer is between the devil and
the deep blue sea. Prices are rising. The fact
the advance of costs and the sharp movement of
the goods which are keeping the factories busy
is the nub of the problem that presents itself
to both retailer and manufacturer. Of course the
manufacturer has orders ahead which seem to
make him safe; but orders ahead didn't make
him safe in 1920 when cancellation was rife. Man
ufacturing costs are rising, too.
The lack of balance lies with the farmers. 1t
is against them. AS George Roberts said:
"The farmers regained in 1922 a part of
what they lost in 1921, but in January, 1928,
farm products had but 68 per cent of the pur-
chasing power over other things that they had
in 1913. The tendency now, as other things
are rising, is against them. The producers
of flour, meat and most of the foodstuffs are
supplying them to the wage-earners of the
other industries upo nan exchange basis that
is unfair to the farmer. Moreover, the farm
ers are not the only people being placed at a
disadvantage. A great number of the wage
earners will not be able to get their pay in
creased to correspond with the rises that are
talked of in some of the favored industries.
AS prices rise all those whose incomes are not
increased in equal proportion will have to
curtall expenditures somewhere"
If prosperity is to continue the agricultural
producer must get enough to balance him fairly
in the exchange between that which he produces
and that which he must buy. He is the crux OF
the situation, especially to the western retailer
where more than half his trade is drawn from
the farmers. That is an industrial requisite.
How long will it last? The question incuIcates
caution. Mr.. Roberts thus attempts to answer
the question: How long will the equilibrium
be maintained? The outlook for business at this
time is very good. If industrial costs and the
general level of prices could be held where they
are, there is every reason to believe that this
pace might be maintained at least through the
present year, perhaps longer; moreover, with
some notifications, such as naturally would occur
If not met with organized resistance, the period
of prosperity might be extended Indefinitely"
He is convinced that any attempt to increast
industrial costs will result calamitously and argues
that the level of industrial costs in this country
is already fully as high as can be sustained, will
a general revival of industry and competition Owe
the world.
AS Roberts sees it:
"The trouble arises from the impatient
efforts of the public to drive the industrial
organization beyond its capacity. A competi-
tive situation develops in which the various
industries bid against each other for the linz
tied supply of labor and materials. The labor
organizations recognize their opportunity, and
naturally make the most of it, to their own
disadvantage later, because the wage-earners
are as much interested as anybody in stable
conditions. When the available labor supply
is already fully employed, a competitive
struggle over it does not increase production.
1t simply forces up wages and prices until de-
Ginning consumption offers an effective check,
and unfortunately it is then too late to avoid
the backward swing into depression. 1t is
more difficult to adjust wages and prices
downward than upward, and a state of pros
perity which if intelligently kept in balance
might have lasted for years, is thus wrecked"
The golden egg layer is on the nest. Shall "
we brighten her off with strikes and speculation