Evening star. [volume] (Washington, D.C.) 1854-1972, 1931-06-30
LIVING COST DROPS.
1857 BELOW 1928
Conference Board Finds a
Sharp Decline Between Dec.
1880, and Apr, 1881. 3.
Special Dispatch to The Star.

NEW YORK, June 30.-In 1880, as a
whole, the cost OF living averaged SO Der
cent lower than In 1929 and a. Der
cent lower than In 1925 according 10
the National Industrial Conference
Board. At the end Of the year the IN
dex was ut the lowest point recorded
during the past IL years, standing at
1890, as in June, 1918. In April. 1891.
the downward trend was still apparent.
the index being 4.8 per cent lower than
In December, 1890, and 1l.8 per cent
lower than In 1923, the newly adopted
base index year used for the first time
BY the Conference Board in this report.
The important fact Is brought out
that the decline in the cost Of living
since the beginning of the present pc
ROD OF depression Is not so great as
many persons probably have been in
clined to believe, because Of the drastic
price reductions in many lines Of mer-
chandise. The present decline has not
been SO sharp as the one following the
depression that began in 1920. There
was decline of S.3 per cent in the IA
months following the stock market up
heaval in October. 1929, as compared
with decline Of l7.6 per cent for the
"A months beginning with the turn OF
events In 1920 A partial explanation of
this difference is to be found in the fact
that 1920 prices were greatly inflated.
as compared with the more stable prices
Of 1929.
The largest price declines in 1880. as
compared with 1929 and 1928. were
noted in clothing and food prices. Food
prices averaged So per cent lower in
1880 than In 1929, and ~ per cent
lower than In 1928: but, contrary to the
general trend Of living costs. food prices
were slightly higher in 1880 than in
1923. Except in two months, food prices
declined steadily each month between
october, 1929, and December, 1890. the
drop In the entire period amounting to
l4.6 per cent. With the exception of
the two months mentioned, the down
ward trend from month to month was
stronger than any normal seasonal
movements
Clothing has been more seriously af-
fected by the current economic depres-
sion than any other of the major items
entering into the cost Of living. In
1880, as whole, clothing prices were
6.S per cent lower than the 1929 level
and 81 per cent lower than in 1928.
The declines throughout the year 1880
were almost continuous and fairly
marked from month to month. The
change between December, 1929. and
December, 1880, amounted to 12S per
cent. But the downward trend since
the beginning Of the present depression
has been not at all in the same pro-
portion as that which followed the be-
ginning Of the 1921 depression. At that
time, one year after the price recession
began. clothing prices had fallen Ala
per cent.
Other items making up the cost Of
living are housing, fuel and light and
sundries. In the matter of rents, the
Conference Board finds that in the
United States as q whole they were
1T per cent lower In 1880 than in
1929 and As per cent lower than In
1928.
The cost Of fuel and light as a
whole showed less change in 1880 than
any other major item. The decline
between 1929 and 1880 averaged only
and 1880, 10 per cent. Compared with
1928, however, the cost of fuel and
light In 1880 was IL per cent lower.
The fuel and light index is based on
changes in the cost Of coal, gas and
electricity.
The cost Of sundries did not change
materially in 1880, as compared with
the years Immediately preceding. Among
the items comprised in the list of
sundries are physicians fees. drugs, to-
bacco, candy, newspapers and maya
Zines. household furnishings car fares,
amusements and organization dues
The largest decline was found in to-
bacco prices. Declines were also noted
in the prices Of candy. newspapers and
magazines and household furnishings.
Drug prices, on the other hand, were
SIS per cent higher in 1880 than in
1929 and 1875 per cent higher than in
1923. Car fares, also have been on
the upward trend in recent years.
The purchasing value Of the dollar
at the end CT $780, based on the
Conference Board cost of living fig
ures, was 1o8 cents, as compared with
100 cents In 1923.