382Gi U58ci UNITED STATES TARIFF COMMISSION WASHINGTON 'Depreciated Exchange and International Trade Second Edition WASHINGTON I GOVERNMENT PRlNnNG OFi'fCE 1922 mhmkL m — 41 UNIVERSITY OF CALIFORNIA AT LOS ANGELES UNITED STATES TARIFF COMMISSION WASHINGTON Depreciated Exchange and International Trade Second Edition wa8H1n(;ton government printing office 1922 UNITED STATES TARIFF COMMISSION. Office: Eighth and E Streets NW., Washington, D. C. COMMISSIONERS. Thomas Walker Page, Chairman. Thomas O. Marvin, Vice Chairman. David J. Lewis. William S. Culbertson. Edward P. Costigan. William Burgess. John F. Bethune, Secretary. ADDITIONAL COPIES OF THIS PUBLICATION MAY BE PROCURED FROM THE SUPERINTENDENT OF DOCUMENTS GOVERNMENT PRINTING OFFICE WASHINGTON, D. C. AT 10 CENTS PER COPY H(3r CONTENTS rage. Su mmary 1 Introduction and statement of the problem 10 International price adjustments measured by index numbers 11 Table 1.— Price levels in 1913-14 12 Comparison of internal values of money and gold exchange 13 Table 2a.— England 14 Table 2b.— France 15 Table 2c.— Germany 16 Chart. — Purchasing power parities and rates of exchange 17 Internationa 1 price adjustments of specific commodities 19 Metal products — Table 3a.— Silver 21 Table 3b.— Copper 22 Table 3c.— Tin 23 Table 3d.— Pig iron 24 Table 3e. — Structural shapes 25 Table 3f . — Ferromanganese 26 Table 3g.' — Ferrochrome, ferrotungsten, and ferrosilicon 27 Tabic 3h.— Gold 28 Chemical products — Tabl,e 4a.— White lead 30 Table 4b.— Citric acid 31 Table 4c. — Caustic soda 32 Table 4d.— Linseed oil 33 Table 4e. — Benzoic acid 34 Table 4f . — Anthracene 35 Table 4g.— Alizarin 36 Agrieultxiral products — Table 5a.— Wheat 38 Table 5b.— Cotton 39 Table 5c.— Beef 40 Table 5d.— Butter 41 Table 5e.— Coffee 42 Table 5f.— Flaxseed 43 Textiles- Table 6a.— Print cloth 46 Table 6b.— Cotton yarn (a) 47 Table 6c.— Cotton yarn (b) 48 Table 6d.— Worsted yarn 49 Foreign invoice prices, 1914-1921 50 Table 7. — Chemical products 50 Table 8 . — ^Aluminum ware 52 German internal and export prices — Table 9 53 Significance of internal price adjustments to a gold basis 53 Price adjustments ■<;.<;. value adjustments 54 Artificial control of prices 55 Wages and rates of exchange 56 A comparison of wages in the United States, Great Britain, and Germany- Table l(!a. — Building industry 56 Table 10b. — Woolen and worsted industry 57 Table 10c. — Transportation 57 Table lOd . — Coal-mining industry 58 Table lOe. — Chemical industry 58 Table lOf . — Metallurgical industry 59 Foreign wages compiled from })rivate sources of information— Table 11 59 Significance of wage comparisons 60 The exchange problem and the tariff 64 190197 III IV CONTENTS. APPENDICES. Appendix A : Comparison of internal values of money and gold exchange — ^^B^- Canada - 67 Australia 68 Japan 69 Italy 70 Sweden 71 Appendix B: International price adjustments of specific commodities — Metals — Aluminum "2 milets 73 High-speed steel 74 Steel bars 75 Steel plates 76 Steel hoops 77 Steel rails : 78 Tin plates 79 Wire rods 80 Wire 81 Chemicals — Acetic acid. 82 Alcohol 83 Ammonia sulphate 84 Aniline oil 85 Barium chloride 86 Coconut oil 87 Glycerin 88 Lemon oil 89 Lime, acetate 90 Quinine sulphate 91 Soda nitrate 92 Sodium nitrite 93 Sulphuric acid 94 Agricultural products — Cattle 95 Cheese 96 Cocoa 97 Corn 98 Cottonseed oil 99 Hides and skins 100 Lard 101 Lemons 102 Oate •. . . 103 Pork 104 Rice 105 Soya bean oil 106 Sugar 107 Tallow 108 Tea 109 Wheat 110 Textiles- Burlap Ill Jute 112 Sheeting 113 Wool tops 114 Appendix C: A comparison of wa^jes in the United States, Great Britain, and Germany. . 115 Food products industry 115 Glass industry 115 Leather (boot and shoe) industry 116 Meat-packing industry 117 Oils and fats 117 Printing and bookbinding.. 118 Woodworking 118 SUMMARY. In this report the effect of depreciated exchange rates on interna- tional trade is examined, first, by a consideration of international price levels as measured by index numbers; s'econd, by comparison of foreign and domestic prices of a number of specific commodities and third, by a study of wages in the United States, England, and Germany. In the comparison of international price levels the standard index numbers for various countries, as published in the Federal Reserve Board Bulletin, have been used. The purpose of this comparison is to determine to what extent paper prices aoroad have risen relative to American prices as the rates of exchange on the several countries have fallen. The particular form in which, this comparison is made is that of the equivalent purchasing power in foreign commodities of foreign monetary units expressed in dollars as compared with the rates of exchange expressed in dollars. Arithmetically the equivalent purchasing power in dollars is determined first by divid- ing the foreign index number of prices into the American price index. This gives a percentage which is applied to the par of exchange. In Table A following, for example, the "Parity of purchasing power "^ for England in January, 1919, is determined by dividing the London Statist's index number of wholesale prices for that month^ — 224 (1913 equal 100) — into the index of American wholesale prices as calculated by the Federal Reserve Board — 195. This division gives a percentage of 87.06. Applying the percentage to the par of ster- ling — $4.8665 — we obtain $4.2368 as the purchasing power of a pound sterling in the English market. On the same date — January, 1919 — -the gold value of the pound is $4.7579, a difference between the internal and external value of the pound of about 52 cents, or nearly 1 1 per cent. In Table B the same comparison is made by expressing the pur- chasing power parity as a percentage of the exchange rate for each month smce the beginning of 1919. Table A. — Parity of purchasing power and rates of exchange. Period. January. January. July.... January February. . March April May Juiie July August September . England. Parity of purchasing power. $4. 2:508 0732 0694 4192 4X59 r>097 4971 6IK2 69o6 ()S9;{ 8027 95i0 Exchange rate.o $4. 7o79 3. 6794 3.8671 3. 743 3. .S72 3.910 3. 930 3. 974 3.790 3. 632 3. 651 3. 724 France. Parity of purchasing power. $0. 1082 . 0955 .0973 . 0775 . 0788 .0804 .0795 . 0830 .0828 . 0825 .0831 . 0802 Exchange rate." $0. 1832 .0851 .0813 .0645 .0717 .0701 . 0724 . 0830 . 0805 . 0781 . 0775 .0728 Germany. Parity of purchasing i. 0365 .0398 .0239 .0245 . 0248 . 0238 . 023() . 0240 . 0229 .0201 .0191 Exchange rate.o (' $0. 0127 .0253 .0155 .0164 .0160 . 0158 . 0163 .0149 .0130 .0118 .0097 ' The expression "Parity of purchasing power" or "Purchasing power parity," as it is often called has been made familiar to tne fuiancial world during and since the war through the writings of Prof. Oustav Cassel on the subject of exchange rates in relation to international trade. a Monthly average of daily noon buving rates for cable transfers in New York City. h Rates for March, 1920. SUMMARY. Table B. — Percentage which purchasing power parities are of exchange rates. Period. England. France. Germany. 1919. Per cent. 89. 05 87. 87 91. 38 94. 22 91.90 91.01 95. 64 99.33 97.56 93. 35 98.86 104.48 110.68 11.3.58 105.66 103. 95 109. 44 105.90 105. 23 105. 52 107. 16 103. 23 102. 35 99.24 91.. 35 90.03 89.76 88.99 91.15 97.54 101.58 104. 16 106. 18 Per cent. 59. 06 58. 63 64.13 6S. 12 75.84 76. 20 80. 50 94.47 96.01 95.80 90.23 112.60 111.83 126. 74 119.39 138. 08 137. 19 127. 37 119.68 129. 45 122. 63 121.96 132.50 144. 99 119.84 109. 90 114.20 109. 81 100. 36 102. 86 105. 63 107.61 101. 17 Per cent. February. March April "^ May July : September . . . . October November December 1920. January 287. 40 236. 36 May 167. 89 June 162. 90 July 157.31 171.43 September 196. 53 October 208. 79 November 205. 31 December 178. 83 1921. January 1.54. 19 February 149. 39 March 155. 00 April 1.50.63 May 144. 79 June • 161.08 July 176. 16 August 170.34 September 198. 91 It is observed in these tables that the parity of purchasing power for England and France was considerably less than the exchange rate in the early part of 1919 — about 12 per cent less for England and 40 per cent less for France; but by the end of the year the two rates approached each other, and in 1920 the parity rate went about as far above the exchange rate for each country as it had been below in the previous year. In 1921 rates approached each other again; that is to say, the parity rate was about 100 per cent of the exchange rate. In the case of Germany the parity rate has been far above the exchange rate for the whole period covered. The difference is dimin- ishing, but the recent slump in the mark exchange has caused a further divergence of some magnitude. The excess of the parity rate over the gold rate in the early part of 1919 was due to the "pegged" exchanges on France and Eng- land. From October, 1915, to March, 1919, the values of the pound and of the franc were fixed arbitrarily in New York by the allied Governments with the result that the actual commodity value of English and French money fell below the value in terms 'of dollars; i. e., paper prices in these countries rose faster than the controlled exchange rates were permitted to fall. After the decontrol of the exchange in the spring of 1919 the rates went down rapidly, and by the middle of the year the value of foreign money in terms of commodities was greater than its value in terms of dollars. SUMMARY. 3 The significance of this comparison of purchasing power parities and exchange rates grows out of the fact that when the parity rate is below the exchange rate, exports from the particular country- will be discouraged, and when the parity rate is aoove the exchange rate, there will be a bounty on exports; that is to say, if the mark in September, 1921, can be bought for less than 1 cent gold and at the same time can be exchanged for about 2 cents worth of goods in Germany, imports from Germany to the United States will be stimulated in the absence of physical and artificial restraints of trade. COMPARATIVE PRICES OF PARTICULAR COMMODITIES. In addition to the foregoing tables of relative price levels as measured by index numbers, there are presented m the text the international price comparisons for about 75 commodities covering the years 1914, 1919, 1920, and the first nine months of 1921. Only a few tabular comparisons are included in the summary, however, for illustrative purposes. The products whose prices are given in the table were chosen by commodity experts, and for the different countries they are as nearly identical in quality as can be selected from trade publications. The fundamental point which these tables are meant to bring out is the fact that there are varying degrees of price adjustment to a gold basis for various commodities in different countries. Such products as wheat, copper, and cotton have about the same gold price the world over alter due allowance is made for the cost of transportation and artificial restraints of trade. On the other hand, there are many commodities, such as articles of fashion, or peculiar foodstuffs, which rarely enter international trade, whose prices are adjusted locally with little reference to the price of similar commodities in foreign countries. A third class of products occupies an intermediate stage with respect to international price adjust- ments. Examples oi these are specialized textile fabrics, aluminum ware, and highly wrought manufactured goods of various sorts. In times of normal trade operations the prices of such goods are only roughly adjusted to a parity in the several markets of the world, and under conditions of fluctuating exchange rates their prices are often far from the gold parity. In the tables which follow, no attempt is made to account for the discrepancies in the quotation for certain products among the various countries, but attention is called to the fact that the depreci- ated exchange rates become less and less a disturbing factor in the trade of a particular commodity when its gold price approaches an equality the world over. SUMMARY. Table C. — Comparative prices. WHEAT. [Bushel.] Minne- apolis.! Winnipeg.' Year and month. Minne- apolis.! Winnipeg.* Year and month. Exchange. Exchange. Par. Current. Par. Current^ plus 35 cents. 1920. Oct. 1 82.36 2.33 2.18 1.84 1.61 1.63 1.89 1.8;^ 1.62 1.79 1.73 1.63 $2.42 2.45 2.31 2.09 1.84 1.88 1.99 1.95 1.72 1.97 1.92 1.86 $2.19 2.21 2.08 1.86 1.62 1.61 1.69 1.70 1.53 1.73 1.68 1.62 1921. Oct. 1 $1.45 1.43 1.42 1.38 1.39 1.36 1.35 1.38 1.42 1.40 1.39 1.42 1.39 1.32 1.26 1.27 1.30 1.35 1.33 1.36 1.-35 1.33 1.34 1.34 1.34 1.33 $1. 29 $1. 52 1 28 1 ';'> 15 3 Nov. 1 4 1.23 1.18 1.16 1.15 1.14 1.17 1.22 1.19 1.18 1.21 1.20 1.16 1.10 1.09 1.09 1.13 1.11 1.11 1.13 1.11 1.09 1.11 1.11 1.11 l" 4& 15 5 1 42 Dec. 1 6 1 40 15 7 1 39- 1921. 8 I 3g Jan. 3 10 1 41 15 11 1 46 Feb. 1 12 1 43 15 13 1 42 Mar. 1.... 14. . . . 1 45- 15 15 1 44 17 1 41 18 1 35- 19 1 34 20 1 35- 21 1.38 22 1 35 24 1. 3T 25 1.39 26 1 37 27 1.35 28 1 37 29 1.37 31 1.37 > No. 1 dark northern spring. ^ No. 1 northern Manitoba. PRICES OF CANADIAN AND AMERICAN WHEAT.i Date of purchase. 1 Prices c. i. f. Buffalo in bond, Canadian funds. 2 Sept. 27 1921. $1. 4375 Oct. 6 1. 2275 7 1. 1975 8 1. 1888 10 1. 1900 18 1.2000 20 1.1200 Canadian No. 1 northern Manitoba. Canadian price in American currency, plus 35 cents duty. $1. 6480 1.4600 1.4380 I. 4310 1.4340 1.4450 1. 3740 American dark No. 1 northern spring. C. i. f. Buffalo. $1. 5975 1. 4250 1.3850 1.3788 1.4200 1. 2925 1.3250 Excess column 3' over column 4. $0.0505- . 0350 .0530 . 0522 .0140 .1525. .0490 ' Prices in Buffalo quoted by private firms from actual purchases. SUJVIMAEY. Table C. — Comparative prices — Continued. COTTON. [Pound.] New York. Liverpool, England. Osaka, Japan. Year and month . Exchange. Exchange. Par. Current. Par. Current. 1921. January 80. 1475 .1430 .1125 .1200 .1245 .1140 .1160 .1280 .1605 $0. 2165 . 1S91 .1484 .1538 .1664 .1660 . 16o4 $0. 1572 .1485 .1187 .1242 .1359 .1334 .1198 $0. 1073 SO. 1612 February . 1720 ! . 1692 March . 1327 . 1293 April . 1439 .1499 .1468 .1388 . 1435 .1608 .1398 May . 1456 June . 1422 July .1343 August .1768 .1356 . 261 1 . 2008 .1379 September .1563 PIG IRON. [Gross ton.] New York. England. France. Germany. Year and month. Exchange. Exchange. Exchange. Par. Current. Par. Ciurent. Par. Current. 1921. January 839. 50 34.50 31.00 29.50 27.50 26.50 25.50 23.50 23.50 23.50 $54. 74 47.44 36.50 29.20 29.20 29.20 29. 20 34.07 32. 85 29.20 839.77 37.27 29.20 23.57 23.85 23.48 21.40 26.14 25.29 22.37 $87. 64 87.64 68.62 68.03 49.99 46.07 47.05 38.23 38.23 35.30 $27. 02 31.83 25.67 24.53 20.21 20.22 18.61 16.30 15.59 12.97 February March A pril May $400.98 $26. 07 June July August September October 393.00 13.10 COPPER. [Pound.] Year and month. 1921. January February March April May June July August September New York. $0. 1275 .1275 . 1250 . 12,')0 .1237 . 1.325 .1263 .1175 .1162 Ensland. Exchange. Par. Current. $0. 1770 . 1667 . 1597 . 1,584 .1584 . 1662 . 1662 .1640 .1575 $0. 1286 . 1309 .1277 .1279 .1294 . 1335 .1218 .1258 .1212 Germany. Exchange. Par. Current. $1.6100 1. .3000 1. 61(K) 1.6900 1. 6850 1.6700 1. 9300 1. 9800 $0. 0927 .0905 .1115 .1142 . 1095 . 1110 .1000 .1116 SUMMARY. Table C. — Comparative prices — Continued. WHITE LEAD. [Pound.] New York. England. France. Year and mouth. Exchange. Exchange. Par. Current. Par. Current. 1921. $0.0900 .0800 .0800 .0750 .0750 .0750 . 07.50 .0650 .0688 $0.1380 .1108 .0988 .0869 .0933 .0956 .0956 .0956 .0972 $0. 1002 .0870 .0790 .0701 .0762 .0768 .0701 .0733 .0748 $0. 3064 .2451 .1838 .1750 .1926 .1663 .1401 .1401 .1401 $0. 0945 .0890 March .0688 .0631 May .0778 .0730 July . 0554 August .0597 .0571 BENZOIC ACID. [ Pound .1 Year and month. 1921 January , February March April May June July August September New York. $0. 6500 .5800 .5500 .5500 .5500 .5000 .5000 .5000 .5500 London. Exchange. $0. 6386 .6386 .5575 .5575 .5575 .5971 .5971 .4561 .4561 Current. $0. 4639 .5016 .4459 .4501 . 4554 .4797 .4376 .3499 .3511 Hamburg. Exchange. Par. $5. 1200 4.2100 4.0500 4.3200 3.6400 3.8000 3.5600 3.6700 Current. $0. 2934 .2796 .2790 .2903 .2385 . 2527 .1844 .2070 WORSTED YARN.' [Pound.] Year and month. Boston. 1921. January $1. 4700 February 1. 4700 March 1. 4700 April 1. 3500 May 1. 3700 June 1. 4200 July 1. 3500 August 1.3500 September i l. 3500 Bradford, England. Exchange. Par. $1. 5000 1.3900 1. 2300 1. 0300 .9900 .9900 1. 0340 .9935 .9732 Current. $1. 0900 1. 0900 .9800 .8300 .8100 .7600 .7890 .7622 .7492 Current plus duty. $1.29 1.29 LIS .99 .95 1.35 1.38 1.35 L33 I Dutiable at 18 per cent. After May 27, 1921, 45 cents per pound additional. SUMMARY. Table C. — Comparative prices — Continued. ALUMINUM WARE. Article. Teakettles Do Do Coffee pots, 2 quarts Berlin kettles, 4 cm BerUn kettles, 20 era Preserving kettles, 20 cm . Preserving kettles, 26 cm . Frying pans, 22 cm Stewpans, 18 cm Teapots, 12 cm German invoice price, April — 1 $0. 8309 .6549 .7098 .6080 .3450 .4200 .2250 .3880 .2770 1921 $0. 4130 .3760 .4050 .5990 . 3650 .4330 .2830 .5530 . 2280 .4150 .5940 United States wholesale prices, April, 1921 .2 $3.69 3.90 4.23 2.50 1.42 1.87 1.08 1.74 1.20 1.17 2.61 1 Prices obtained from the United States customs records. 2 Prices obtained from private firms. The third section of the report concerns itself with a comparison of wages in the United States, England, France, and Germany. Some of the wage differences between this country and Europe are due to relatively permanent economic causes which are in operation in peace as well as war, but a portion of the low wages abroad as expressed in dollars is due to the depreciated exchange. The wage rates given for Germany are converted into American money, first at the rate of exchange on the date of the wage quotations; second, at a rate based on the equivalent purchasing power over commodities at wholesale; and third, at a rate based on the relative cost of living in Germany and the United States as measured by the index numbers for a family budget. Table D. — Average hourly earnings in major manufacturing industries in the United Stales and Germany.^ Industry. Germany. Metals Chemicals Paper Lumber 2 Meat packing Cotton 3 Silk3 Wool' Hosiery and knit goods ^ Furniture < Leather tanning Boots and shoes » United States. Males. Females. $0. 657 .643 .630 .563 .596 .533 . 508 .623 .623 .541 .660 .656 $0. 406 .364 .369 .284 .414 .392 .348 .488 .396 .331 .362 .433 Converted at cur- rent rate of ex- change. Males. Females, 80.117 .092 .086 .091 .098 .084 .084 .084 .084 .110 .100 .100 $0. 064 .0.53 .045 .057 .058 .062 .062 .062 .062 .060 .063 .063 Equivalent pur- chasing power based on i'nited States and Ger- man price indices. Males. Females. .197 .1.55 . 143 .151 ,161 .1.39 .1.39 .139 ,139 ,183 , 166 ,166 .106 .088 .074 .095 .096 .104 .104 .104 .104 .104 .105 .105 Equivalent pur- chasing power based on relative cost of living in United States and Germany. Males. Females. $0. 267 .211 .196 .200 .222 .189 .189 .189 .189 .248 .226 .226 1 Statistics for wages in United States for December, 1920, compiled by the National Industrial Confer- ence Board, Research Report No. 35, March, 1921. (Jerman basic wages reported by Statist ischcs Reichs- amt for February, 1920, readjusted to May, 1921, by application of the wage index number publislied bv the Frankfurter Zeitung for the Frankfurt district. 1 German figures cover building industry. ' German figures cover te.-ctilc and clothing industry. * German figures cover woodworking industry. ' German figures cover chiefly tanning industry. 8 SUMMARY. A point to be considered in this summary of German wages is: What rate of exchange should be used in particular cases ? Without entering into a detailed discussion here, it may be said that if the subject under consideration is an industry in Germany which is manufacturing for the export trade in competition with American pnxhicers, the wages of the German laborers in the particular industry should be converted at the current rates of exchange. On the other hand, if the general industrial situation in Germany as compared with the United States is considered, German wages in terms of the cost of living is the proper conversion rate. The real cost to the German community of the products which it exports is the amount of food, shelter, and clothing which wage earners are able to command with their wages. Furthermore, the laboring class in Germany is a direct charge on the Government to the extent that subsidies of food and transportation enable the consumers to pay less than the actual cost of the commodities and services subsidized. Food subsidies allow the individual manufacturer to pay lower wages than under open-market conditions, but his gain is largely robbing Peter to pay Paul. EXCHANGE AND THE TARIFF. From the facts and figures presented in this report it appears that the tariff problena between the United States, England, and France has been largely eliminated, so far as the exchange situation is concerned, by the close adjustment of the internal and external value of sterling and the franc. Special products may present special problems, and in some cases unit costs in France and England may be abnormally low because wages in those countries are not as completely adjusted to inter- national values as prices are; but in the main, serious competition from them is not to be expected because of the discount on ex- change alone. As compared with American prices, paper prices for these countries have risen on the average as much as exchange has fallen. On the other hand, Germany still has a decided advantage in the world markets because of the discount on the mark. As trade restrictions, both physical and artificial, are removed the discrepancy between internal and external values will be eliminated, but until this comes about particular industries in Germany have a decided advantage in world trade. Not only are German prices unadjusted to world markets but German wages, and therefore costs of production are still more out of line with international values. Because of restrictions on emigra- tion, food subsidies, and the low value of the mark abroad as com- pared with its domestic purchasing power, unit costs in Germany for articles involving much labor will be low for some time to come. The foregoing considerations indicate that great difficulty would be experienced in levying and administering a tariff to offset the low rates of exchange. A flat rate of duty against all products from all countries obviously will not accomplish the purposes intended because of the different degrees of price adjustment to an international gold basis. Not only is there a difference in the extent of this adjustment among countries, but the prices of different products in the same SUMMARY. 9 country are affected in different degrees by paper inflation. For this reason offsetting duties should be levied on specific products and the rates should be fixed with an eye to the particular source from which protection is sought. Moreover, the list of commodities given special protection should be revised from time to time because, as the adjust- ing process goes on, products are constantly shifting from the class whose prices are fixed locally in paper money to the class of goods whose prices are on an international gold basis and which, therefore, require no offsetting duties against the exchange rate. DEPRECIATED EXCHANGE AND INTERNATIONAL TRADE.^ INTRODUCTION AND STATEMENTS OF THE PROBLEM.' If the exchanges were fixed at the present levels, prices and costs of production in various countries would so adjust themselves in the course of time that international trade would not be affected by the exchange rates/ The "high" or "low" rates of exchange on a given country are not important within themselves, but the changes in rates are the dis- turljing factors. The changes are of two sorts: First, the daily fluc- tuations either upward or downward which affect speculative markets for exchange itself and which also affect trade by introducing elements of uncertainty into international dealings; and second, the long-time upward or downward swings of exchange which seriously affect inter- national values of all commodities. The temporary fluctuations are important, but no attempt is made in the present investigation to account for them except occasionally when reasons for sudden changes are obvious. The effects of the long drifts are of chief importance for purposes of tariff legislation, and it is to these that attention is directed. The disturbing effects of these changes assume various forms, but all of them are in the nature of maladjustments due to the lag in economic reactions. Prices, especially of certain standard products, respond quickly to the changes in exchange rates, wages move more slowly in answer to the impulse, and other items of cost, such as rents and overhead charges, respond to the change only after years of pressure. The whole problem of exchange, therefore, as it affects international trade at any particular time is the degree to which the various eco- nomic factors have adjusted themselves to the prevailing rates. For this reason any statement of conditions based upon the facts of a given date must be revised continually as the adjusting process goes on. ' In thepreparation of this report the comimssion had the services of George P. Comer, of the commis- sion's staff, and of others. ' Without atiemptmg to give an exhaustive list of authorities, the following men may be mentioned whose writings constitute the theoretical foundations of the present discussions: Goschen, Foreign Exchanges, 1892. Gustav Cassel, .Vbnormal Deviations in International Exchange, Economic Journal, December, 1918; World's Monetary I^rol)lem, The Annals, May, 1920; Memorandum on the World's Monetary Problem, Paper No. 13, Brussels International Financial Conference, 1920. .V. C. I'igou, Some I'rolilerns of Internaiional Exchange, Economic Journal. December, 1920. John H. Williams, .\rgcntme International Trade in Inconvertible Paper Money. Carl Dicbl, I'ber I''ragen dcs (leldwcscii uiid der Vahila. F. W. Taussig, Free Trade, the Tariff and Reciprocity. G. W. J. Bruins, Memorandum on exdiange prepared for The International Financial Conference, Brus.sels .1. Shield Nicholson, Inflation. Henry K. E. (^handler. Some Fundamental Fa^'tors in Foreign Exchange, Comm.erce Monthly, Mav, 1921. Brookmires Forecaster, Sept. 22, 1919; Apr. 12, 1920; Mar. 28, 1921. Norman E. Crump, A Revie.v of Recent Foreign Exchange Fluctuations, Journal of the Roval Sta- n.sr.ical Society, May, 1921 . < In this report the "rate of exchange" means the gold value of foreign cnireneies expressed in United States dollars. 10 DEPEECIATED EXCHANGE AND INTERNATIONAL TRADE. 11 In this study the degree to which the adjustment had taken place down to the middle of 1921 is set forth, first, by international price comparisons as measured by index numbers; second, by price quota- tions for certain specific products, such as wheat, copper, and pig iron, whose markets are world-wide; third, by price studies of com- modities whose production and distribution are relatively limited in scope, such as aluminum ware and certain chemical and metal pro- ducts; and fourth, by a comparison of wages in the chief industries of the United States, England, France, and Germany. International Price Adjustments Measured by Index Numbers. The international price comparisons as measured by index numbers are important not only because the use of the indices eliminates erratic price fluctuations of particular products, but also because it permits of a comparison between the rise of prices and the fall of exchange, a comparison which is fundamental to the whole exchange problem because it indicates the degree of adjustment to stabilized conditions in which the "high" or "low" exchanges are not a dis- turbing factor. If paper prices in a given country have risen above American prices in the same proportion that the exchange has fallen, there will be no disturbance to trade caused by the prevailing (and unchanging) rates; that is to say, if the paper prices of German pro- ducts in general have risen since 1913 ten times more than American products have risen and the mark exchange has fallen to one-tenth its former gold value, there will be no advantage, on the average, in buying marks in the United States and spending them in Germany. By similar reasoning, if the increase in German paper prices over the increase of American prices is less than the fall of exchange it becomes profitable to purchase marks in the United States and spend them in Germany.^ Assuming this statement of the relation of prices and exchange rates to be correct, the further question of determining the actual price levels in various countries remains open. The best data avail- able on this subject are the index numbers of wholesale prices pub- lished in various countries. These are not exactly suited to the purpose, however, because the prices from which the indices are com- puted are but samples of the whole body of price data in a given country. Furthermore, these sample tests are somewhat different in various countries, and for that rea.son the resulting indices are not exactly comparable. How important this discrepancy may be is indicated by the notable differences in indices compiled by different authorities in the same country. A more important discrepancy perhaps than any of the above grows out of the fact that in every case these indices do not measure exactly the absolute price differences among countries but show only the changes in prices within a given country at a given time as compared with a base price in the same country. It therefore by no means follows that the base of 100 per * Arilhmptically the advantage to be gained in purchasint; goods in ricrniany wlipn (he iiuTease in mark prices over the increase in dollar prices is less Ihiui \hr fall of exchange niay"l)e illnslrated by assuming American jjrices to be two times those of 19i:t, Cermaii |)iicfs l.'i limes the ])r(>war level, and ihe mark ex- change at one-tenth of jiar. Under such (Hjiuliiions I lie paper mark, costing ?().()2;w, would i)uri-hase in (iennany one-fifteenth of the amount of goods it purchased in 1913, but in the United States it would pur- chase only one-twentieth of the prewar amount; i. e., the mark will purchase 33J per cent more goods in Germany than in the United States. 12 DKPRKC'IATED EXCHANGE AND INTERNATIONAL TRADE. cent in one country represents the same absolute prices as are repre- sented by the same percentage in another country. To the extent that the absolute prices represented by the base year are different in different countries there is an element of fallacy in the statement that normally exchange rates should follow comparative price levels in various countries. Among the leading industrial countries of the world, however, there is some presumption that absolute prices before the war were closely adjusted for those products included in the standard index numbers. It is true that a multitude of specialized manufactured articles and the bulk of perishable or immobile products are priced locally almost regardless of the prices of similar commodities in other countries, but in staple articles of commerce international competition brings prices to a rough parity after allowances are made for restraints of trade and costs of transportation. Inasmuch as this point is fundamental to certain conclusions drawn later, some statistical evidence on the subject is presented in the following table: Table 1. — Price levels in 1913-14. :Sum of unit prices (per pound, bushel, yard, etc.) Dollar equivalent Sum of metal prices Dollar equivalent Sum of chemical prices Dollar equivalent Sum of agricultural and food prices Dollar equivalent . Sum of textile prices Dollar equivalent United States. United King- dom. 137 commodities. $361. 54 1.00 $364. 23 1.01 27 commodities. $138. 95 1.00 $154. 15 1.11 53 commodities. $160. 36 1.00 $154. 02 39 commodities. $42. 35 1.00 $39.35 .93 18 commodities. $19. S8 1.00 $16. 72 .84 United States. France. 41 commodities. $4,5. 13 1.00 $48. 51 1.07 5 commodities. $1.01 1.00 $1.07 1.06 10 commodities. $7.76 1.00 $7.30 .94 23 commodities. $31.34 1.00 $35. 37 1.13 3 commodities. $5.01 1.00 $4.76 .95 United States. Germany. 37 comjnodities. $133. 03 1.00 $140.79 l.Ofi 7 commodities. $68.27 1.00 $66.51 .97 8 commodities.! $9.81 1.00 $13. 59 1.39 19 commodities. $54.32 1.00 $60.01 1.11 3 commodities. $0.63 1.00 $0.69 1.09 • It is noteworthy that the total unit price of eight chemicals in Germany in 1913-14 was considerably higher than the total unit price of the same products in the United States. This is due to the fact that the i)r()(lu(ts hstod were chiefly heavy clicinicals, such as cau.stic soda and ammonium sulphate, a class of products in which (icrmany has not a special i)ro(iuctive advantage comparable with the advantage which she enjoys in the cost of line chemicals. The close parity of price levels indicated by this table, especially between England and the United States, is doubtless something of DEPRECIATED EXCHANGE AND INT'ERNATIONAL TRADE. 13 a coincidence and the figures are to be considered merely as a bit of statistical evidence bearing on the subject. In addition to the possible error in assuming that various index numbers are based on approximately the same absolute price levels in 1913, there is the further error involved in the comparison of relative prices and exchange rates growing out of the daily and weekly fluctuations of exchange which no price indices can reflect. Sudden shifts in exchange quotations covering a few hours or a few days at most will cause perturbations in prices for months. After due allowances are made, however, for these factors, there remains a close connection between price levels and exchange rates. The essential relation is that the exchanges between countries vary nor- mally with the relative price levels of the countries; that is to say (assuming a state of equilibrium in 1913), if the price level in Eng- land is 300 per cent of the prewar level and in the United States the level is 200 per cent of the prewar level, the exchange on London will tend to approach two-thirds of par. To the extent that this ratio does not in fact obtain, to that extent is there a difference in the values of the dollar or of the pound in England and the United States, and therefore to that extent will the trade between the two coun- tries be disturbed by the exchange rates. COMPARISON OF INTERNAL VALUES OF MONEY AND GOLD EXCHANGE. The actual comparison of price levels and exchange rates given in the table below was determined arithmetically, first, by dividing the foreign index number of prices into the American price index. This gives a percentage which is applied to the par of exchange. In Table 2a, for example, the English index for January, 1919, of 224 divided into the American index of 195 gives a percentage of 87.06. Applying this percentage to S4.8665, we obtain $4.2368 as the pur- chasing power of a pound sterling in English markets. On the same date sterling would buy $4.7579 worth of gold, a discrepancy whose significance will be discussed below. 599—22 2 14 DEPRECIATED EXCHANGE AND INTEPxNATIONAL TRADE. Table 2a. — Purchasing power parities and rates of exchange. ENGLAND. Period. 1913 1919. January February March April May June July August September October November December 1920. January February March April May June July August September October November December 1921. January February March April May June July August September United States index No.' 100 195 189 191 196 202 203 211 218 211 212 219 226 241 241 248 263 264 258 250 234 226 208 190 173 163 154 150 143 142 139 141 143 143 English index No.' 224 220 217 217 229 235 243 250 252 264 271 276 306 307 313 305 300 299 298 292 282 263 243 232 215 208 199 191 183 186 183 176 Percentage which United States index is of English index. Parity of purchasing power. ^ 87.06 85.91 88.02 90.32 88.21 86.40 86.84 87.20 83.74 80.30 80.82 81.90 83.68 78.76 80.78 84.03 86.56 86.00 83.62 78.53 77.40 73.76 72.25 71.19 70.26 71.63 72.12 71.86 74.35 75.96 75.81 78.14 81.25 $4. 2368 4. 1808 4.2835 4. 3954 4. 2927 4. 2047 4. 2261 4. 2436 4. 0752 3. 9078 3. 9331 3.9857 4. 0723 3.8329 3. 9312 4. 0893 4. 2124 4. 1852 4.0694 3. 8217 3. 7667 3. 5895 3. 5160 3.4645 3. 4192 3.4859 3. 5097 3. 4971 3.6182 3. 6966 3. 6893 3. 8027 3. 9540 Exchange rate.< S4. 8665 4. 7579 4. 7579 4. 6875 4. 6650 4. 6712 4. 6202 4. 4189 4. 2724 4. 1772 4.1860 4.0608 3. 8164 3. 6794 3. 3745 3. 7207 3. 9339 3. 8491 3. 9521 3.8671 3. 6218 3. 5151 3. 4771 3. 4354 3. 4910 3.743 3.872 3.910 3. 930 3.974 3.790 3.632 3.651 3.724 Percentage which column 5 is of column 6, 89.05 87.87 91.38 94.22 91.90 91.01 95.64 99.33 97.56 93.35 96.86 104. 48 110. 68 113. 58 105. 66 103. 95 109.44 105. 90 105. 23> 105. 52 107. 1© 103.23 102. 35 99.24 91.35 90.03 89.76 88.99 91.05 97.54 101. 58 104. 16 106. 18 1 Federal Reserve Board index numbers of wholesale prices. 2 London Statist index numbers of wholesale prices. . > Column 5 derived by applying the percentages in column 4 to the par of exchange, $4.8665. ■• Monthly average of daily noon buying rates for cable transfers in New York City. DEPRECIATED EXCHAXGE AND INTEIINATIOXAL TRADE. 15 Table 2h. —Parcha'iing power parities and rates of exchange. FRANCE. Period . United States index No.> French index No.^ Percentage | which i United i Parity of States purchasing index is of French index. power. Exchange rate.* Percentage which column 5 is of column 6. 1913 1919. January February March April May June July August September October November December 1920. January Febniary March April May June July August September October November December 1921. January February March AprU May June July August September 100 195 189 191 1 196 1 202 203 211 i 21S ! 211 212 219 226 241 241 248 263 264 258 250 234 226 20S 190 173 163 154 1.50 143 142 139 141 143 143 348 340 337 332 325 329 349 347 360 382 405 417 487 522 555 588 550 493 496 501 526 502 461 435 407 377 360 347 329 324 330 331 344 56.04 55.60 55.68 59.04 62.15 61.70 60.46 62.83 58.61 5.5. 50 54.07 54.20 49.49 46.17 44.69 •44.73 48.00 52:33 50.40 46.71 42.97 41.44 41.22 39.77 40. 05 40.85 41.67 41.21 43.16 42.90 42.73 43.20 41.57 $0. 1082 .1073 .1094 .1139 .1199 .1191 .1167 .1213 .1131 .1071 .1044 . 1040 .0955 .0891 .0862 .0863 .0926 .1010 .0973 .0901 .0829 .0800 .0795 .0767 .0773 .0788 .0804 .0795 .0833 .0828 .0825 .0834 .0802 $0. 193 .1832 .1830 .1706 .1672 . 1,581 .1563 .1432 .1284 .1178 . 1118 .11,57 . 0929 . 0854 .0703 .0722 .0625 .0675 .0793 .0813 .0696 .0676 .0656 .0600 .0529 .0645 .0717 .0704 .0724 .0830 . 0805 .0781 .0775 .0728 59.06 58.63 64.13 68.12 75.84 76.20 80.50 94.47 96.01 95.80 90.23 112.60 111.83 126. 74 119. 89 138. 08 137. 19 127. 37 119.68 129. 45 122. 63 121. 96 132. 50 144.99 119.84 109. 90 114. 20 109.81 100.36 102. 86 105. 63 107. 61 110. 17 ' Federal Reserve Board index numbers of wholesale prices. 2 Bulletin de la St.ulistique (ienerale. 3 Column 5 derived by afiplying the percentage in column 4 to the par of exchange, * Monthly average of daily noon buying rates for cable transfers in New York City. 16 iJKritKCIATED KXCJIAXCE AXD INTERNATIONAL TRADE. Table 2c. — Purchasing power piirilies and rates of exchangt. GERMANY. Period. 1913 1920 March April May June July August September October November December 1921 January Februairj' March April May June July August September United States index No.' 248 20:j 264 258 2.50 234 226 208 190 173 16:5 1.^)4 150 143 142 139 141 143 143 German index N0.2 1615 1604 1714 1473 1495 1547 1582 1604 1670 1681 1626 1495 1440 1429 1429 1376 1467 1690 1777 Percentage which United States index is of German index. 15.36 16. 40 15. 40 17.52 16.72 15.13 14.29 12.97 11.38 10.29 10.03 10.30 10.42 10.01 9.94 10.10 9.61 8.46 8.04 Parity of purchasing power.' .0365 .0390 .0366 .0417 .0398 .0360 .0340 .0309 .0271 .0245 .0239 .0245 .0248 .0238 .0236 .0240 .0229 .0201 .0191 Exchange rate.' $0. 2:380 .0127 .0165 .0218 . 0256 .0253 .0210 .0173 .0148 .0132 .0137 .0155 .0164 .0160 .0158 .0163 .0149 .0130 .0118 .0097 Percentage which column 5 is of column 6. 287. 40 236. 36 167. 89 162. 90 1.57.31 171.43 196. 53 208.79 205.31 178 83 1.54. 19 149. 39 155. 00 1.50. 63 144. 79 161.08 176. 16 170. 34 196. 91 1 Federal Reserve Board index numbers of wholesale prices. 2 Frankfurter Zeitung index numbers, as published by the Federal Reserve Board. ' Column 5 derived by applying the percentages in column 4 to the par of exchange, $0,238. * Monthly average of daily noon buying rates for cable transfers. In the interpretation of these tables, especially that for England, only wide discrepancies between the relative price levels (called "pur- chasing power parity" in the table) and the exchange rates should be considered significant. Minor differences may be due as often to the inadequacy of the available data as to differences between the pur- chasing power of money at home and abroad. It is therefore the wide divergence between the two sets of figures at certain periods as compared with others (columns 5 and 6) to which attention is directed. In the early part of 1919 exchange rates for both England and France were considerably above the rate based on the parity of purchasing power, as measured by wholesale prices; that is to say, the gold values of these moneys were greater than their values in terms of do- mestic commodities. In 1920 the reverse condition prevailed. In the case of France, the internal value of the franc was often 30 to 40 per cent greater at home than its value in gold. In 1921 the two sets of rates approach an identity, especially in the middle of the year. Later figures show another divergence, but whether it is fundamental or accidental can not be determined at this time. In the case of Germany, no figures are shown before March, 1920, because of the lack of reliable index numbers of wholesale prices in that country prior to that date. The first comparison shows a parity rate nearly three times the exchange rate — 287 per cent. In other words, the DErKECIATED I^XCHAXCIE AND IXTEKXATKiXAL TRAl'E. ^7 I'UIUMIASINd I'OWEK I'AinriRS AXl) KATES OF EXCHANGE. E N G 1 A K D •>! |4.8665 = 100.. \ \ > 1 ^/\S\,^ j< L ''' 1 '.'''' L 'f ' J'''.' ' '.^ 't^' I ■ I I 1 1. i-i 1 1 T5n?" Wia GERMANY $.233 - 100. \ '\ Ik \ V. \ \ \ \ — — — » Exchanee Rate I \ \ \ / V / \ / f \ \ 1 \ \ FRANCE 4.193 r loo. N \ \ \ l\ Kj \ \ \ V / 1 \ V \ \ y ^ \ s .-. \ ^ X- *^ f' V ^ " \ \ .' \ 1 1 1 V \ / .' 1 \ \ / / >. \ V / § ^ '' 3 J ^ 3 « 1 1 \ \ > /, i i 1 9 ■ I MAi\ ^^v L — k 4 ^ ^ s a 5- 4 1 s T9"*2o" "iF'zr 18 DKPKEt'IATED EXCHANGE AND INTERNATIONAL. TRADE. mark would buy in March, 1920, SO. 0365 worth of German goods and only $0.0127 worth of gold. By May, 1921, this discrepancy had been reduced almost half. Recently, however, the fall of ex- changes has exceeded the rise of German prices to such an extent that the ratio between the two rates is about 2 to 1 ; that is to say, a dollar's worth of marks will buy in Germany about $2 worth of such goods as are included in the German index numbers of wholesale prices. In order to present the data given in these tables in simpler form, a chart is shown on which is plotted the purchasing power parities and the rates of exchange for England, France, and Germany. For comparative purposes the par value of each country's monetary unit is assumed to be 100, and the parities and exchange rates are calcu- lated relative to this base. So much for the statistical facts. More important for present purposes is the disturbance to international trade caused by the dis- crepancies between price ratios and exchange rates. In the first place, attention is called to the effect of pegged exchange in the early part of 1919 as reflected in these tables. From October, 1915, to March, 1919, sterling exchange was fixed arbitrarily at $4.76 to the pound as a minimum for England and $0.1830 for France. This fiat was made effective through loans in this country contracted by the allied Governments, from both public and private sources, in order to keep a balance in bank to supply all demands for funds at the arbitrary rate of exchange. So long as drafts on London were available at the fixed rate, there was no occasion for an American exporter to take less for his paper, nor for an importer to pay more, no matter what the state of the '' balance of trade " or the conditions of the gold market. Although the rate of exchange was arbitrarily fixed at $4.76 to the pound, the purchasing power parity in the early part of 1919 was considerably under this figure — around $4.25 usu- ally, a difference of about 11 per cent. In the case of France the exchange rate was over 18 cents to the franc, but the parity rate was about 11 cents, a difference of about 40 per cent. This discrepancy between the rates had an important influence in the trade between the United States and the Allies during the "war and for some months after the armistice. So long as exchanges were above the purchas- ing power parities exports were stimulated from this country to Europe and imports from there were depressed; that is to say, if a selected list of goods, such as wheat, cotton, and wool, shows a price index 10 or 12 per cent higher in England than in the United States, and sterling exchange is only 2 per cent below par, sterling will buy more of such commodities in the United States than in Eng- land and imports into England will be stimulated by the discrepancy. Stated in other terms, American exporters to Jfcngland had con- siderable advantage over the English merchants because both sold their wares at the same price in English money, but the Englishman received in payment a depreciated currency (in terms of commodities) whereas the American seller could convert his paper money into American dollars almost at par. Therefore so long as our prices did not rise as rapidly as English paper prices (and they did not, in fact) there was a tendency to stint our home demand and sell abroad to England and France so long as the exchanges were pegged. The obverse effect on imports from Europe was caused by the state of the exchanges. An American merchant buying in France briPRECIATED EXCHANGE AND INTEKNATIONAL TRADE. 19 or England must pay the high paper prices, but in making his remit- tance the paper francs or pounds cost him almost par in American flO . 4087 ..3790 . 3790 . .3310 . 3045 . 7150 .7200 . 7250 .72-0 . 7250 . 7250 . 7050 .7000 . 5000 . 5475 .5P0O . 5400 . 5925 . 5900 . 0325 . (375 . 0025 .5150 .48-0 . 4850 . 4575 . 4350 . 3950 ..3350 . 3f500 . 330') . 3000 . 2850 . 3187 .31.50 . 29S8 . 2350 .2375 Eng'and.' Germany.' Exchange. Exchange. Par. Current. Par. 1 Current. 1914. January < $0.3073 . 4033 . 377t; . .3718 .3402 . 3042 . 5382 February March April ■ May June 1919. January SO. 5262 February March .\liril May June .luly August .5968 . 5350 September October Noyember DecemJ er January 1920. . 8224 . 8528 . 8615 . 7562 . 7535 .•:4'i7 . 5'il6 . 6.322 . 6029 . 5893 . 5714 .4541 . 4725 . 3943 ..3539 ..3884 .3819 .3801 . 3;i88 .3432 .3357 . 6422 . 6081 .60^4 . 6120 . .5941 . 5217 .45112 . 4832 .4411 . 421 12 . 4:)49 .3259 . 3432 . 3097 .2911 . 3135 .3120 . 3054 . 2703 . 2' 5.33 .2584 February March Anril May June Tulv August . . September October Noyember December 1921. January February $4.58 4. 96 4. 61 5.10 4.75 5.12 5.15 1 $0. 3045 March . 34''0 April .3100 May . . . . 1 3315 June .3158 July . 2f)52 August . - - 2905 September i 1 ' Source: The Iron Age. 2 (Jrade: Straits. Source: The Iron and Coal Trades Review. 3 Grade: Straits. Source: The Chemiker Zeitung. 24 DEPRECIATED EXCHANGE AND INTERNATIONAL TRADE. Comparative prices — Continued. Table 3d. — Pig iron. [Gross ton.) Cincin- nati.' Great Britain .2 Germany.' France.'' Belg um.s Period. Exchange. Exchange. Exchange. Exchange. Par. Current. Par. Current. Par. Current. Par. Current. 1914. $14.00 13. 75 14.00 13.75 13.75 13.75 34.60 .34.60 34.60 30. 35 30.35 28.50 28.35 28. 35 31.10 31.35 32.60 .37.60 39.60 43.60 43.60 43.60 45.60 45.60 45.60 45. 60 46. .50 40.50 42.50 42.50 39.50 34.50 31.00 29.50 27.50 26.50 25. 50 23. .50 23.50 23.50 $12.29 12.62 12.41 12.53 12.55 12.55 24.09 24.09 23.12 23.12 34.67 38.93 38.93 38.93 39.90 38.93 38.93 38.93 42.58 42.58 42.58 48.66 48.66 52.92 .52. 92 52.92 54.75 54.75 54.75 54. 75 54.74 47.44 36.50 29.20 29.20 29.20 29.20 34.07 32.85 29.20 $17.03 February. . March April Mav 17.03 60.18 60.18 60.18 81. 93 94.26 97.76 105.86 124.83 124.83 157. 46 157.46 220.79 319. 76 392. 76 402.43 429. 01 432.50 420.45 420.45 401.11 401.11 401.11 401. 11 401. ll 1919. $23.55 23. .55 22.19 22.27 33.95 37.11 36.73 34.90 34.38 33. 54 3.3.34 32.02 33.25 30.36 29.97 39.37 38.37 42.70 43.01 40.45 40.05 39.04 38.78 39.29 39.77 37.27 29.20 23. 57 23.85 23.48 21.40 26.14 25.29 22.37 826.19 30.52 24.48 31.50 29.78 28.40 33.67 31.48 22.82 28.94 21.49 21.79 April May 1 July August September. November. 1920. January... February. . March April May June July August September. October.. . November. December . 1921. January . . . 27.54 24.75 17.06 25.57 31.62 46.29 46.29 38.75 34.36 26.95 21.90 24.50 $83.32 102. 93 102. 93 115.67 117.63 117.63 117.63 117.63 88.22 88.22 87.64 87.64 68.62 68.03 49.99 46.07 47.05 38. 23 38.23 35.30 $30.39 36.59 31.94 46. .56 50.17 46.51 42.18 40.48 28. 89 27.74 27.02 31.83 25.67 24.53 20.21 20.22 18.61 16.30 15.59 12.97 $122.53 122.53 166.65 171. 55 176. 45 147.04 122. 53 112. 73 100.48 98.03 98.03 81.36 72.54 58.81 .56. 85 61.27 46.07 39.21 42.15 40.20 $46.57 46.17 55. 36 72. .58 79.19 61.95 46.99 41.25 34.83 32.62 31.59 February. . 31.20 March 2».27 April 22.18 May June 400.98 26.07 22.92 26.89 July 17.59 August 16.19 September. 16.69 October... 393.00 13.10 14.58 1 Grade: No. 2, southern. Source: The Iron Age. 2 Grade: No. 3 foundry, G. M. B. Source: The Iron and Coal Trades Review. ' Grade: No. 3 foundry. Source: The Iron Trade Review. * Grade: Foundry, Longwy, 3 per cent si., sand-cast. Source: The Iron Trade Review. 'Grade: Foundry, 3 per cent si. Source: The Iron Trade Review. DEPRECIATED EXCHANGE AND INTERNATIONAL TRADE, 25 Comparative prices — Continued. Table 3e. — Structural shapes. [Pound.] Pitts- burgh.!, 2 Great Britain.* Germany.' France .5 Belgium.' Period. Exchange. Exchange. Exchange. Exchange. Par. Current. Par. Current. Par. Current. Par. Current. 1914. January . . . February. . March $0. 0122 .0122 .0122 .0113 .0115 .0113 .0280 .0280 .0280 .0245 .0245 .0245 .0245 . 0245 April May 1919. January . . . February. . March $0. 0345 . 0453 $0. 0150 .0229 . 0184 .0174 .0177 .0163 .0178 :;:;::::;::::::;::: .0453 .0453 .0561 .0561 .0561 .0771 .0771 .1041 .1041 . 1888 April May July August September .0194 .0141 . 0245 . 0245 .0245 .0191 .0142 .0186 . 0159 .0181 .0123 . 0178 .0285 .0369 .0369 .0286 . 0253 .0199 .0138 .0154 November. December . .0245 . 0245 . 0245 .0245 . 0245 . 0245 . 0245 . 0322 . 0285 . 02S5 .0277 .0277 . 0245 .0245 0245 .0222 .0200 .0200 .0220 .0200 .0185 .0178 .0163 $0. 03.80 .03'J6 . 0423 .0445 $0. 0313 1920. January . . . February. . . 0309 , .1850 .0301 i .2867 .0313 1 .2897 March April May June July August September October . . . November. December . 1921. January... February. . March .0488 1 .0394 ! .2991 .0532 .0419 j .3906 .0521 1 .0420 .0500 : .0406 .0.521 1 .0398 .0543 i .0.397 .0.543 ; .0387 .0521 1 .0369 .0478 ! .0343 .0478 i .0347 .0478 i .0376 . 0413 . 0330 .038f) i .0306 . 0380 - 03 !0 . 3350 .3350 .2956 .2956 .2956 .2525 . 2525 $0. 1272 .1272 .1579 .1228 .1228 .1031 .1031 .0899 . 0899 .0790 .0656 .0678 .0656 .0416 .0368 .0433 .0416 $0. 0512 .0542 .0624 .0440 .0422 .0338 .0324 .0277 .0326 .0295 .0236 .0274 .0288 .0165 .0157 .0177 .0153 SO. 1360 .1360 .1119 .0943 .0899 .0822 .0702 .0680 .0614 .0548 . 0415 .0411 .0415 . 0368 .0341 . 0324 .0359 $0. 0575 .0610 .0501 .0362 . 0329 .0285 .0234 .0219 .0235 .0214 April .0156 May June .0165 . 0380 .0315 .0315 . 0293 .0250 . 0305 .0231 .0242 .0226 .0192 .0182 July .0140 August September .1942 .0110 .0141 .0128 October. . . .2697 .0090 .0130 1 Dutiable at 10 per cent ad valorem. 2 Grade: Structural material, I-beams, 3 to 15 inches. Source: The Iron Age. » Grade: Structural shapes, beams. Source: The Iron Trade Review. * Grade: Finished steel, beams. Source: The Iron Trade Review. ' Grade: Finislied steel, normal beams and profiles. Source: The Iron Trade Review. • Grade: Normal beams and profiles. Source: The Iron Trade Review. 20 DEPKEt'IATED EXCHANGE AND INTERNATIONAL TRADE Comparative prices — Continued. Table 3f. — Ferromanganese. |(iross ton. January... February. March . .". . April May June January. . . February. . March April May June July August September. October. . . November. December. . Period. Atlantic ports. 1 $47.00 36.50 38.00 38.00 39.00 38.00 Great Britain 2 (for export). Exchange. Par. Current. GreatBritain* (for local consumption). Exchange. Par. $46. 85 41.97 41.97 41.97 41.97 41.97 Current. Jainiary... February. . March April May June July Augu.st September. October. . . November. December. . January February.. March April May June July August September. 1921. 150.00 150.00 125.00 125. 00 110.00 110.00 120.00 130. 00 225. 00 237. 50 212. 50 170.00 170.00 155. 00 125. 00 100.00 90. 00 90.00 90.00 90.00 81.25 70.00 70.00 70.00 $121. 66 121. 66 121. 66 111.94 111.94 111.94 121.66 131.40 158. 18 170. 32 170. 32 218. 99 218. 99 218. 99 218. 99 218.99 218. 99 218. 99 184. 93 160. 59 136. 26 109. 50 97.33 92.46 87.60 73.00 70.56 70.56 $116.00 114.00 109.05 96.44 96.44 95.86 100.00 102. 62 112. 80 119.90 137. 80 172. 70 176. 70 177. 89 167. 37 160. 20 156. 16 155. 15 132. 73 116. 65 107. 04 87.58 78.57 75.54 70.38 53.51 54.14 54.32 121. 66 121. 66 121. 66 121. 66 121. 66 111.94 121. 66 131.40 146.00 158. 16 180.06 180.06 180.06 180.06 180.06 180.06 180.06 180.06 170. 33 155. 73 136. 26 121. 66 97.34 107.06 87.60 87.60 87.60 87.60 $116. 00 114. 80 109. 0& 104.8a 104.80 95.86 100.00 102. 60 104. 10 111. 30 145. 70 142.00 145. 20 146.28 137. 63 131. 73 128.40 127.55 122.24 113. 12 107. 02 97.30 78.58 87.46 70.38 64.21 67.21 67.44 1 Grade: 76-80 per cent. Source: The Iron Age. 2 Grade: 76-78 per cent export. Source: The Iron and Coal Trades Review. 3 Grade: 76-78 per cent loose. Source: The Iron and Coal Trades Review. DEPRECIATED EXCHANGE AND INTERNATIONAL TRADE Comparative prices — Continued . Table 3g. — FerronUni/s. rPound.l 27 Ferrochrome. Ferrotungsten. Ferrosilicon.' I'criod. New York.i. 2 Great Britain .s New York.i, < Great Britain .5 New York.i. 6 Great Britain." Exchange. Exchange. Exchange. Par. Current. Par. Current. Par. Current. 1920. 1 January . . i SO. 1629 .1629 .1539 .1539 .1539 .1592 .1592 .1592 . 1.592 .1592 .1592 .1484 .1458 .1340 . 1340 . 1340 .1303 .1303 . 1303 .1267 .11.59 $0. 1272 .1162 . 1083 .1245 .1213 .1284 . 1293 .1217 .1145 . 1135 .1128 .1065 .1059 .1052 .1072 .1080 .1064 .1047 .0955 .0972 .0892 $0. 6893 .6792 . 7.502 .7502 .7905 .7905 . 7905 . 7905 .7905 . 7905 .6689 .6689 . 5878 .4865 . 4662 .4471 .4471 .4471 .4053 .3851 .3599 $0. 53&3 .4843 .5280 .6070 .6233 .6378 .6422 .6042 .5783 .5637 .4739 .4800 .4270 .3821 .3729 .3610 . 3652 .3592 .2971 .2954 .2771 February.. $80.00 March April May.... $0.2050 $i.6o66 1.0000 1.0000 1. 0000 1. 1200 1. 1200 .9700 .8500 .7000 ..5700 .5700 .5700 . 5600 .5200 . 52.50 . 52.50 . .5250 .4250 87.50 87. .50 79.00 &5.00 82.50 82.50 83.75 83.75 82.50 79.00 79.00 82. .50 87. 50 82.50 82.50 70.00 65.00 65.00 $121. 66 121.66 121.66 114.36 107.06 107.06 107. 06 107. 06 97.33 92. 46 87.60 $95. 94 June July August.... September. October . . . November. December . 1921. January . . . February.. March April May June July August September. .1850 .1950 .1750 .1750 . 1875 .1875 . 1750 . 1650 .1650 .1650 .1500 .1500 .1500 .1400 .1400 .1200 98. 16 98. 8J 87.41 78.32 76. 34 75.85 76.84 70.70 72.63 70.06 77.86 75.43 70.56 64.69 62.56 55.28 54.14 49.79 1 Dutiable at 15 per cent ad valorem. 2 Grade: Carbon, 6 to 8. Source: The Engineering and Mining Journal. 3 Grade: 6 to 8 carbon, 60 per cent basis. Source: The Iron and Coal Trades Review. ■•Grade: i< erro tungsten, 70 to 80 per cent W. Source: The Engineering and Mining JoiU'nal. 5 Grade: Ferrotimgsten, (iO to 85 per cent. Source: The Iron and Coal Trades Review. 6 Grade: Ferrosilicon, 50 per cent. Source: The Engineering and Mining Journal. ' Gross ton. 8 Grade: Ferrosihcon 45/50, basis 45 per cent. Source: The Iron and Coal Trades Review. 28 DKritiX'IATED EXCHANGE AND INTERNATIONAL TRADE. Comparative prices — Continued. Table -Mi.— Gold. [Troy ounce.) New York.' London.* Period. Exchange. Par. Current. 1920. Jan. If) . $20.67 20.67 20.67 20.67 20.67 20.67 20.67 20.67 20.67 20.67 20.67 20. 67 20.67 20.67 20.67 20.67 20.67 20.67 20.67 20.67 20.67 20.67 20.67 20.67 20.67 20.67 20.87 20.67 $26. 96 25.96 26.07 25.21 26.28 25. 11 25.91 27.48 28. .59 28.71 28.71 29.08 29.08 28.79 28.47 28.89 28.26 26.68 26.68 26.07 25.56 25.67 25.36 25.04 24.86 27.58 27.25 26.78 $20. 44 Fob l.{ 20. 65 Mar. 12. 19.82 Apr. 16. 20. 53 May 14 . . 20.61 June 18 20.54 July 16 20.75 Aue. 13 20.61 Sept. 17 . 20.68 Oct. 15 20.46 Oct. 16 20.48 Oct. 22 20.61 Oct. 23 20.54 Nov. 19... 20.40 Nov. 30 20.40 Dec.l4... . 20.50 Dec. 17 20.56 1921. Jan. 1 .. 20.48 Jan. 15 20.50 Feb. 1 20.44 Feb. 15 20.58 Mar. 15. 20.58 Apr. 25. 20.60 May 12 20.56 19.35 July 15 : 20.57 20. 52 Sept. 9 20.49 1 Mint price in the United States for gold 0.90 fine. 2 Open-market quotation in London for gold 0.916 fine. The prices of silver, copper, and tin, are found to be approximately equal in the large markets of the world when current rates of exchange are applied to the ciuotations. Indeed, in articles of such universal distribution as these any continued maladjustment in gold prices can come about only because of serious restraints of trade. The international prices of pig iron, however, were not adjusted during much of the period covered by the quotations. The English and American prices follow each other with some regularity, but the quotations from Germany, France, and Belgium show little similarity either among countries or from month to month in the same country. Prices in Germany converted at current exchange ruled lower than any of the other countries represented. Twenty to thirty dollars per ton was a fair price there in 1920, as compared with $40 to $60 in other markets. In October, 1921, the quotations in Germany, France, and Belgium were $13 to $14.50 per ton, as compared with $23 in the United States and England. Structural shapes are not well adjusted to a gold basis. The Octo- ber prices for the various countries ranged between 1.9 cents per pound for England down to 0.9 cents for Germany. Other interesting price comparisons are those of the ferroalloys (^alloys used in the manufacture of steel) . In the case of f erroman- DEPKECIATED EXCHANGE AND INTERNATIONAL TEADE. 29 ganese there are two prices quoted in Great Britain — the domestic price, which at current exchange is not far from the American market price of the same product; and the export price, which is about 25 per cent lower than the domestic price. The other ferroalloys shown — ferrochrome, ferrotungsten, and ferrosilicon — show practically no ad- justment to a gold basis according to the table. The prices in Great Britain at current exchange are usually at least 50 per cent lower than for the same products in the United States. The price of gold in the open market in London is compared with the mint price in the United States. In practice it may not be true that our mint price of gold is exactly equivalent to a quotation in a free market, but it probably is sufficiently so for comparative pur- poses. From the table it is seen that the two series of prices are about the same at current rates of exchange. The English quotations run 10 to 15 cents per ounce under our mint price of $20.67, but it is not certain whether the discrepancy is a matter of transportation and insurance expense to the United States or whether the rates of ex- change applied to the sterling quotations were sufficiently accurate to reflect the nice adjustment of prices in the two countries. It may be questioned whether a commodity so intimately connected with the medium of exchange in which prices are quoted as gold is should be included in international price comparisons. As a matter of fact in most European countries gold is merely a commodity of commerce and is bought and sold in London as wheat or wool is mar- keted. This statement does not cover all the facts in the case, but for price purposes we may regard gold as a commodity of commerce. The idea has been advanced that gold yet exercises a peculiar force in exchanges because it is still used in liquidating bank balances. An American buyer of London exchanges, for example, must be able to purchase the exchange at the gold value (not par) of sterling because otherwise he will buy gold itself in the London market. This is true arithmetically, but the reason back of it is the fact that the United States is on a gold basis and therefore 23.22 grains of gold is equiva- lent to an American dollar in any free market of the world and the price of gold in foreign moneys will follow the dollar exchange quota- tions practically as a matter of identity. In general, it may be said with some degree of certainty, that the depreciated exchanges of Europe are now fairly well discounted for the metallurgical products represented both in the text and in the appendix, and therefore that there is no great incentive either to im- port or export because of the exchange situation. It must be em- phasized, however, that this statement is limited to the premises on which it is drawn and that special commodities, whether represented in these tables or not, may show great price discrepancies among nations because of the depreciated exchange alone. CHEMICAL PRODUCTS. The next group of tables to which attention is directed is for repre- sentative commodities in the chemical industry. The prices of only a few commodities are given in the text, but a considerable number are to be found in the appendix. 599—22 3 30 DEPRECIATED EXCHANGE AND INTERNATIONAL TRADE. Comparative prices. Table 4a. — White lead. [Pound.] New York.i.s England. 3 Paris, France.* Period. Exchange. Exchange. Par. Current. Par. Current. 1914. SO. 0550 .0550 .0550 .0550 .0550 .0550 .1000 .0900 .0900 .0900 .0900 .0900 .0900 .0900 .0900 .0900 .0900 .0900 .0900 .1000 .1050 .1050 .1050 .1050 .1050 .1050 .1050 .1050 .1050 .0900 .0900 .0800 .0800 .0750 .0750 .0750 .0750 .0650 .0688 SO. 0597 .0597 .0586 .0586 .0586 .0586 .1280 .1302 .1194 .1194 .1128 .1128 .1107 .1107 .1085 .1085 .1085 .1139 .1325 .1510 .1597 .1597 .1597 .1499 .1434 .1412 .1380 .1380 .1380 .1380 .1380 . 1108 .0988 .0869 .0933 .0956 .0956 .0956 .0972 A.pnl May 1919. $0. 1251 .1273 .1146 .1150 .1105 .1075 .1045 .0992 .0935 .0935 .0929 .0937 .1035 .1077 .1124 .1292 .1259 .1209 .1165 .1079 .1009 .0984 .0978 .0990 .1002 .0870 .0790 .0701 .0762 .0768 .0701 .0733 .0748 $0. 2188 .2845 .2845 .2845 .2845 .2845 2845 .2188 .2188 .2188 .2188 .2451 .2451 . 2451 .3501 .3501 .3501 .3939 .3064 .3064 .2976 .3239 .3239 .3064 .3064 .2451 .1838 .1750 .1926 .1663 .1401 .1401 .1401 SO. 2077 .2699 March .2566 .2315 May .2434 .2359 July .2279 .1560 .1392 .1327 .1287 .1292 1920. .1185 .0933 March .1277 .1244 May .1087 .1586 July .1306 .1211 .1067 .1114 .1061 .0963 January .0945 February .0890 March .0688 .0631 May .0778 .0730 July .0564 .0597 September .0571 ' Dutiable at 25 per cent ad valorem. * Grade: Am. dry casks. Source: The Oil, Paint and Drug Reporter. • Grade: White lead or lead carbonate. Source: The Chemical Trade Journal, London. « Grade: Ceruse in poudre. Source: La Revue des Produits Chemiques. DEPRECIATED EXCHANGE AND INTERNATIONAL TRADE. 31 Comparative prices — Continued. Table 4b. — Citric acid. [Pound.] New York.' '2 England.3 Paris, France.' Milan, Italy.6 Hamburg, Ger many.' Period. E.xchange. Exchange. Exchange. Exchange. Par. Current. Par. Current. Par. Current. Par. Current. 1914. January ?0. 5100 .5100 .5100 .5100 .5100 .5300 1.2500 1.2500 1.2500 1.2500 1.1200 . 9800 .9800 . 9800 .9800 . 9300 . 9300 .9000 .8400 .8400 .8400 .8400 .8400 .8400 .8400 .8400 . .8400 . 7500 .6500 . 5500 .5500 .4700 .4700 .4700 . 47(!0 .4700 .4700 .4700 .4700 $0. 4745 .4745 .4745 ..5475 .5676 .5878 1.1300 1. lOOO 1.1100 1.0600 1.0500 1.0600 1. 0500 1.0500 1.0400 1.0400 1.0300 1.0300 1.0300 1.0900 1. 3300 1.6400 1. 7000 1.5200 1.3700 1.1900 1.0900 1.0900 .7907 $0.5296 .5296 .5120 .5034 .5120 .5296 $0. 4586 .4478 .4425 .4721 .4829 .5450 February. . March April May June 1919. January . . . $1.1000 1.0700 1.0600 1. 0200 1.0300 1.0100 .9900 .9400 .9000 .90:)0 .8800 .8500 .8074 .7806 .9418 1.3200 1. 3400 1.2200 1. 1200 .9144 .8009 .7807 .5602 $1.22 1.22 1.14 1.14 1.18 1.18 1.18 1.18 1.18 1.75 1.75 1.75 1.75 1.92 3.06 3.06 3.67 3.85 2.88 2.18 2.18 2.18 2.18 1.66 1.53 1.53 1.31 1.31 1.31 1.40 1.40 1.23 1.23 $1.1500 1.1600 1.0300 1.0000 1. 0100 .9800 .9400 .8100 .7500 1.0 00 1. 0300 .9200 .8465 .7336 1.1100 1.0800 1. 1400 1. 5500 1.2300 .8650 .7845 .7528 .7165 .5232 .4723 .5564 .4913 .4724 .5295 .6147 .5539 .5226 .5000 February. . March April May June July August 1.4000 1.5300 $0. 8440 .8210 September October.. . November. December. 1.6600 1. 8800 1. 8800 3.0600 3. 5000 6. 3000 5. 4200 4.2000 4. 7200 3.8500 3.6700 3. 1500 2.9700 2.2700 2.2700 2.2700 2. 2700 2. 1800 1.9200 1.9200 .6990 .7389 .6096 .8702 .8853 1.4500 1.7700 1.2900 1.6900 .9324 .7964 .5994 .5677 .4077 .4318 .4318 .5050 .5467 .5288 .4251 1920. January. . . February. . March 12.4100 17.0000 $1.07(0 1.07C0 April May June July August September October.. . November. December 19.9600 15. 1000 13. 4900 9. 7000 10. 0000 9. 1700 9. 1000 9. 4400 9. 4400 9. 7000 1. 1900 1. 1000 1.4800 1.07(0 .97(^0 .78C» .6500 .5100 .5800 1921. January .5558 February. . 1.3400 1.3400 . 5500 .5200 .6100 .6100 .5900 .5900 1.0500 1.0700 .4400 .4200 .4900 .4500 .4500 .4500 March 7.2300 .4983 May June July 6. 4700 7. 8200 7. 3400 7. 5500 .4205 .5200 .3802 .4258 September 1 Dutiable at 5 cents per pound. 'Grade: Crystals, dom. Source: The Oil, Paint and Drug Reporter. ' Grade: (Crystals. Source: The lyondon Pharmaceutical Journal and Pharmacist. * Source: La Revue des Produits Chemiques. • Source: Oiornaledi Chemica Industriale. « Grade: Bleif. kryst. So;irce: Chemiker Zeitung. 32 DEPRECIATED EXCHANGE AND INTERNATIONAL TRADE. Comparative prices — Continued. Table 4c. — Caustic soda. [100 pounds.] New York.i.2 England.' Paris, France.* MOan, Italy.s Germany.' Period. Exchange. Exchange. Exchange. Exchange. Par. Current. Par. Current. Par. Current. Par. Currenl. 1914. January... February. . $1.81 1.81 1.81 1.81 1.81 1.81 3.60 2.90 2.85 2.60 2.50 2.65 3.00 .3.25 3.25 3.35 3.50 3.80 4.50 4.50 5.00 6.75 7.00 6.25 6.50 6.00 4. SO 4.00 4.25 3.70 3.50 3.90 3.60 3.60 3.75 4.00 4.10 3.60 3.95 $2.20 • 2.20 2.20 2.20 2.20 2.20 5.75 5.31 5.31 5.31 5.31 5.09 5.09 5.21 5.21 5.21 5.21 5.21 5.21 5.21 5.21 5.21 5. 86 6.95 6.95 6.95 6.95 6.95 6.95 5.97 5.97 5.81 5.81 5.81 5.81 5.81 5.81 5.81 5.81 $2. 54 2.62 2.62 2.62 2.62 2.62 April May 1919. January... February. . $5. 62 5.20 5.10 .5.12 5.21 4.86 4.82 4.67 4.49 4.49 4.46 4.29 4.07 3.71 3.67 4. 21 4.62 5.61 5.64 5.31 5.08 4.95 4.92 4.28 4. .33 4.56 4.64 4.69 4.75 4.67 4.26 4.46 4.47 April May July August September $6.30 6.30 6.30 6.30 7.70 7.70 8.75 8.75 11.81 11.81 12. 25 12. 25 12.25 12.25 12.25 12.25 12.25 12.25 10.94 10.91 10.94 10.50 9.63 9.63 9.63 9.63 9.63 $5. 04 4.49 4.01 3. 82 4.53 4.06 4.23 3.33 4.31 4.20 3.80 4.93 5.22 4.84 4.39 4.21 4.01 3.85 3.37 3.97 4.09 3.79 3.89 4.23 3.81 4.11 3.93 $10. 50 $5.63 15.75 17.50 17. 50 19.25 22.76 39.39 39.39 35.01 35.01 35.01 35.01 29.32 28.88 26.26 25.38 23. 63 21.88 19.26 17.07 17.07 6.62 6.87 5.67 5.47 5.75 9.21 12.90 10.76 12.53 8.47 7.58 5.57 5.51 4.70 4.81 4.48 4.85 4.81 4.69 3.77 1920. January... February. . April July August •September November. December . 1921. January... February. . March April May June July August September 91.72 68.00 66.90 $5.00 4.18 3.83 52.62 '""52.' 33" 49.63 53.95 3.63 3.' 40 3.30 2.79 ' Dutiable at 25 cents per 100 pounds. 2 Grade: 76 per cent. Source: The Oil, Paint, and Drug Reporter. ' Grade: Sodium hydrate, 76 per cent. Source: The Chemical Trade Journal, London. ■• Grade: 76-77 per cent nondecolorce. Source: La Revue des Produits Chemiques. ' Grade: Fused, com. 76-78 per cent. Source: Giornale de Chemica Industriale. « Source: Chemiker Zeitung. DEPRECIATED EXCHANGE AND INTERNATIONAL TRADE, Comparative prices — Continued. Table 4d. — Linseed oil. [Pound.] 33 New York.i.' London, England.' Paris, France.^ Hamburg, Ger- many.' Toronto Canada.' Period. Exchange. Exchange. Exchange. Exchange. Par. Current. Par. Current. Par. Current. Par. Current. 1914. January... February. . $0.0640 .0640 .0666 .0680 .0666 .0660 .2067 .1933 .1933 .20(K) .2107 .2174 .2600 .2960 .2960 .2480 .2480 .2360 .2360 .2360 .2360 .2454 .2294 .2227 .2067 .2000 .1627 .1600 .1360 .1067 .1067 .0935 .0894 .0867 .0800 .1000 .0974 . 1027 .0974 $0. 0528 .0507 .0534 .0566 .0539 .0566 April May 1919. January... February. . $0. 1260 .1260 .1760 .2498 .2716 .2737 .2172 .1760 .1988 .2281 .2346 .2303 .2781 .2346 .2194 .2107 .1651 .1716 . 1738 .1760 .1521 .1032 .0891 .0675 . 0722 .0565 .0630 .0695 .0771 .0798 .0825 $0. 1209 .1214 .1723 .2382 .2562 .2451 .1871 .1516 .1711 .1876 .1832 .1642 .1957 .1898 .1730 .1700 .1341 .1312 .1271 .1255 .1078 .0741 .0647 .0528 .0577 .0456 .0514 .0558 .0565 .0612 .0635 April May $0. 2140 .2311 .2610 .3640 .3640 .3640 .3640 .2640 .2640 .2960 .2960 .3220 .3220 .2810 .2810 .2810 .2810 .2810 .1560 .1250 .1250 .1140 .1030 .0980 .0980 .0980 $0. 2081 .2247 July .2531 August September .3458 .3500 .349i .3503 .251: 1920. January . . . February.. 2. 3700 $0.2000 .2416 .2590 .2516 April May $0. 4990 .5471 .4596 .4027 .4464 .4727 .4902 .4815 .3283 .2626 .1882 .1970 .1576 .1663 .1751 .1795 .1926 .1926 $0. 1774 .1698 .1850 .1717 .1765 .1695 .1686 .1577 .1032 .0810 .0684 .0737 .0.568 .0672 .0768 .0710 .0821 .0785 .2930 .2908 .2459 July August September .2417 .2455 2. 3200 .2000 .2515 .2564 .1425 .1098 1921. January . . . February. . March April May 2. 1300 .1220 .1075 .1012 1. 2700 6.0674 .0875 .0578 .0926 .0869 .0876 June Julv .0775 .0666 .0873 Augiist September. .0802 .0611 ' Dutiable at IJ cents per pound. ' Source: The Oil, Paint and Drug Reporter. » Grade: Spot. Source: The London Oil, Seed and Grain Reporter. * Grade: H. P. Source: La Revue des Produits Chemiques. ^ Grade: Holland oil — quoted in marks until April, then quoted at Amsterdam in florins. Chemiker Zeitung. ♦ Grade: Boiled. Source: The Canadian Chemical Journal. Source: 34 DEPRECIATED EXCMAXGE AXD INTERXATIONAL TRADE. Comparative prices — Continued. Table 4e. — Benzoic acid. [Pound.] New york.i.s. London, England.' Hamburg, Germany.' Period. Exchange. Exchange. Par. Current. Par. Current. 1914. $0. 2350 .2350 .2350 . 2350 .2350 .23.50 2. 0000 1. 5000 1.3500 1.2500 .8000 .8000 .7500 .7500 . 7.500 . 7500 . 7500 . 7500 . 7.500 .7500 .7.500 . 7500 . 7500 . 7500 . 7500 . 7500 . 7500 .6500 .6500 . 6500 .6.500 .5800 . 5.500 . 5500 . 5500 .5000 . 5000 .5000 . 5500 $0. 2320 .2.320 .2320 .2266 .2212 .2104 February. . March April.. May June . 1919. February March April May June July August September October November December 1920. January February March April June July August September October December 1921. $0. 6386 .6386 . 5575 .5575 .5575 .5971 .5971 .4561 .4561 $0. 4639 . 5016 .4459 .4501 . 4554 .4797 .4376 . 3499 .3511 5. 1200 4.2100 4. 0500 4. 3200 3. 6700 3. 8000 3. 5600 3. 6700 $0. 2934 February .2796 March .2790 April .2903 May .2385 June . 2527 July . 1844 August .2070 ' Dutiable at 15 per cent ad valorem, plus 2^ cents per pound, act of 1916. ' Tirade: Tech. Source: The Oil, Paint and Drug Reporter. • Source: La Revue des Produits Chemiques. * Grade: Bensoesaure aus toluol. Source: Chemiker Zeitung. DEPRECIATED EXCHANGE AND INTERNATIONAL TRADE. 35 Comparative 'prices — Continued. Table 4f. — Anthracene. [Pound.] New York.i.' England.' Period. Exchange. Par. Current. 1914. January . . $0.0125 .0125 .0125 .0125 .0125 .0125 .1824 .1824 .1015 .1015 . 1319 .1319 .1319 .1319 .1421 .1421 .1421 .1421 .1824 .1824 .1824 .1824 .1824 .1824 .1824 .1824 .1824 .2534 .2534 .2534 .2534 .3142 .2940 .2737 .2233 .2233 .2233 .1670 .1723 March April 1919. January ... . . $0.1783 February. . .1783 .0974 April .0978 May . . $0.2500 .2500 .1500 .1500 .1500 .1500 .1500 .1350 .1350 .1350 .1350 .1350 .1292 .1257 July .1246 August. . .1182 .1224 October .1224 November. . . . .1217 December .1169 1920. January .1424 February .1301 March . . .1284 April .1476 May .1438 .1471 July .1482 August .1600 .1700 .1700 .1700 .1700 .1600 .1700 .1500 .1700 .1700 .1500 .1500 .1500 .1650 .1394 September .1334 .1807 November .1795 .1819 1921. January . .1841 .2468 March .2352 April .2209 May .1824 June .1794 July .1636 .1281 September .1326 * Dutiable at 15 per cent ad valorem, plus 2^ cents per pound, act of 1916. ' Grade: 40-50 per cent. Source: The Oil, Paint and Drug Reporter. ' Grade: 40-50 per cent. Source: The Chemical Trade Journal, London. 36 DEPRECIATED EXCHANGE AND INTERNATIONAL TRADE, Comparative prices — Continued. Table 4g. — Alizarin. [Pound.] New York.>.2 England.' Period. Exchange. Par. Current. 1914. January $0. 1550 .1550 .1550 . 1550 .1550 .1550 3. 5000 3. 5000 3. 5000 3. 5000 3. 5000 3. 5000 3. 5000 3. 5000 3. 5000 3. 5000 3. 5000 3. 5000 3. 5000 3. 5000 3. 5000 $0. 1419 .1419 .1419 .1419 .1419 .1419 . 4866 . 4866 . 4860 . 4866 . 4866 .4866 . 4866 .4866 . 4866 . 4866 . 4866 . 4866 .4866 .4866 . 4866 . 4866 . 4866 .4866 . 4866 . 4866 . 4866 . 4866 . 4866 .4866 .4866 .4866 .4866 . 4866 . 4866 . 4866 .4806 . 4866 .4866 February Maroh April Mav June 1919. January $0.4758 475S February March . 4671 Atjril 4687" Mav 4765 Juiie 4639" Julv 4595 August .4363 September 4192" October . 4192 November 4167 December 4003 1920. January 3800' February 3470- March .3425 April 3937 Mav .3837 June 1. 5000 1.5000 1.5000 1. 5000 1.5000 1. 0000 1. 0000 1. 0000 1.0000 1.0000 1.0000 1.0000 1.0000 1.0000 1.0000 1.0500 3926 Juh 3953: August 3719 September 3560- October . 3470 November 344S December .3492- 1921. 3534 February 3824 March 3892 April 392g Mav 3975 June 3910 July 3566 August 3734 September .3746 1 Dutiable at 30 nor cent, act of 1916. 2 Grade: Red. Source: The Oil, Paint, and Drug Reporter. 2 Grade: Artificial, 20 per cent. Source: 'J'he Chemical Trade Journal, London. White lead, the first on the list in order of the degree of price adjust- ments, is found to have a similar gold value in New York, London, and Paris for practically all the months shown. Paris quotations were seriously off in the early part of 1919, but after that time 1 or 2 cents per pound was the limit of variation at current exchange rates. The price of citric acid is also well adjusted; the latest quotations for the various countries in 1921, running 47, 45, 42, and 43 cents per pound, compare favorably both absolutely and relatively with the prices for June, 1914 — 53, 58, 53, and 54 cents. In short, the exchange seemingly no longer affects the citric-acid trade except for the uncer- tainty of daily fluctuations. DEPRECIATED EXCHANGE AND INTERNATIONAL, TRADE. 37 The prices of caustic soda tell roughly the same story. They are somewhat out of line in 1921 between England and the United States, but not more so than in 1913-14. Linseed oil is in the same general class with respect to the degree of adjustment. England and Germany show a lower price than other countries — around 6| cents per pound at current exchange as com- pared with 8 to 9 cents for the United States and France. Probably the American duty on flaxseed causes the price of oil to be somewhat higher in tliis country than in England. The price of benzoic acid in Germany and the United States is worth noting. In 1913 and 1914 the quotations were almost iden- tical, but in 1921 the German prices at current exchange were less than half the American price — apparently a case of maladjustment because of the depreciated exchange. Anthracene and alizarin offer an interesting contrast. Both of them being important intermediates for coal-tar dyes, one should expect their price movements to be similar in England and the United States. As a matter of fact, the price of anthracene is closely ad- justed, but that of alizarin shows no approximation to an equaliza- tion between the two countries. The American prices of the latter during 1921 were regularly $1 per pound as compared witkless than 40 cents in England. If the prices for this product in both countries had not been almost equal in 1913 and 1914, there would be grounds for believing that the products were not the same in quality. The regularity of the American quotations renders them somewhat arti- ficial and indicates that the price differences in the two countries are not due to the exchange situation alone but rather to restrictions on imports of coal-tar products. AGRICULTURAL PRODUCTS. The main agricultural products show about the same degree of price adjustment to an international gold basis as metals and chemicals. The quotations for the period immediately following the war are not especially significant because of governmental control, but the prewar and recent quotations are significant until the emergency tariff in the United States became effective in May, 1921. 190197 38 DEPRECIATED EXCHANGE AXD INTERNATIONAL TEADE. Comparative prices. Table 5a. — Wheat. [Bushel.] Minne- apolis.! Winnipeg.* Period. Minne- apolis.' Winnipeg .- Period. Exchange. Exchange. Par. Current. Par. Current plus 35 eents.3 1914. January $0. 8650 .8962 .9312 .8675 .9125 .9312 2. ISOO SO. 8350 . 8650 .9112 .8937 .9112 .9525 2.3100 2. 3000 2. 2700 2. 2400 2. 2200 2. 1500 2. 0800 2. 0000 2. 1300 2. 1000 2. 1100 2. 0800 2.0900 2. 1200 2.1100 2. 0600 2. 0500 1. 9800 1.9500 1. 9500 1. 8700 1. 8.300 1. 7900 1. 8300 1. 8700 1.7800 1921. Oct. 1 SI. 45 1.43 1.42 1.38 1.39 1.36 1.35 1.38 1.42 1.40 1.39 1.42 1.39 1.32 1.26 1.27 1.30 1.35 1.33 1.36 1.35 1.33 1.34 1.34 1.34 1.33 $1.29 1.28 1.23 1.18 1.16 1.15 1.14 1.17 1.22 1.19 1.18 1.21 1.20 1.16 1.10 1.09 1.09 1.13 1.11 1.11 1.13 1.11 1.09 1.11 1.11 1.11 $1.52 3 1.52 March 4 1.46 April 5 1.42 May 6 1.40 June 7 1.39 $2,087 8 1.38 1920. 10 1.41 11 1.46 2 12 1.43 3 2. 1300 2.0500 2. 0100 1.9400 1. 8700 1. 7900 1. 8700 1. 8100 1. 7500 1. 7900 1.8400 1.8600 1. 8200 1. 7900 1. 7100 1. 6200 J. 5700 1. 6700 1. 6000 2.050 2.024 2.006 1.940 1.872 1.800 1.898 1.877 1.878 1.851 1.860 1.889 1.880 1.836 1.824 1.757 1.721 1.718 1.643 13 1.42 4 14 1.45 5 15 1.44 6 17 1.41 8 18 1.35 9 19 1.34 10 20 1.35 11 21 1.38 12 22 1.35 13 24 1.37 15 25 1.39 16 26 1.37 17 27 1.35 18 28 1.37 19 29 1.37 20 . . . 31 1.37 22 23 24 25 26 1. 5300 1.5500 1. 5700 1. 5500 1.571 1.613 1.648 1.562 27 29 30 » Grades: No. 1 northern, 1914; No. 1 dark northern, 1920-21. 2 Grade: No. 1 northern. Source: The Northwestern Miller. 3 The emergency tarifl rate on wheat is 35 cents per bushel. Source: The Northwestern Miller. DEPRECIATED EXCHANGE AND INTERNATIONAL TRADE. Comparative prices — Continued. Table 5b. — Cotton. [Pound.] 39 New- York.! Liverpool England.* Osaka, Japan.' Period. Exchange. Exchange. Par. Current. Par. Current. 1914. $0. 1250 .1265 .1300 .1340 .1300 .1365 .3240 .2675 .2610 .2830 .2915 .3280 .3415 .2485 .3140 .3225 .3865 .3975 .3925 .3915 .4025 .4175 .4145 .4000 .3925 .4000 .3175 .2550 .2025 .1600 .1475 .1430 .1125 .1200 .1245 .1140 .1160 .1280 .1605 1 May 1 1919. $0.3842 .3281 .2935 .2898 .3234 .3664 .3963 .4113 .3739 .3898 .4337 .4879 .4860 .4776 .4730 .4945 .4730 .4309 .3692 .3630 .2898 .2393 .1963 .1673 .1673 .1720 .1327 .1439 .1499 .1468 .1388 . 1435 .1608 SO. 3906 .3376 .2998 April .2960 $0. 3618 .4249 .5491 .4133 .3997 .4273 .5165 .5140 .6205 . 5850 .6168 .5927 .5483 .5751 .5408 .5434 .4808 .4050 .3655 .2343 .2165 .1891 .1484 .1538 .1664 .1660 .1034 .1768 .2611 $0. 3543 .4051 .5181 .3701 .3444 .3681 .4422 . 4828 .4845 .4172 .4341 .4795 .4323 .4641 .4393 .4154 .3517 . 2888 . 2589 .1682 .1572 .1485 .118T .1242 .1359 .1334 .1198 .1356 .2008 .3354 June .3807 July . 4058 .4212 September .3791 .3%2 November .4409 December .4935 1920. January .4923 .4695 .4506 April .4687 May .4792 .4442 July .3818 .3512 September .2968 .2475 November . . 2010 .1705 1921. January .1612 .1692 March .1293 April .1398 May .1456 June .1422 July .1343 .1379 September .1573 ' Grade: Raw American uplands middling. Source: The Journal of Commerce. ' Grade: American uplands, fully middling (F. M.). Source: The Manchester Guardian. •Grade: Raw American uplands middling. Source: The Japan Cotton Merchants' Union. 40 DEPRECIATED EXCHANGE AND INTERNATIONAL TRADE. Comparative prices — Continued. Table 5c. — Beef. [100 pounds.] New York.i. 2 London.' 1 London.^ Buenos Aires .5 Buenos Aires.' Period. Exchange. Exchange. Exchange. Exchange. Par. Current. Par. Current. Par. Current. Par. Current. 1914. January... February. . $13.50 13.25 $13.94 13. 94 $9.25 9.76 March 13.25 13.25 13.25 13.25 13.43 13.43 14.17 13.43 9.25 8.87 9.25 9.63 April Mav June 1919. January . . . 27.00 24. .M) 24.50 25.50 28.89 28.89 28.89 25.34 25. 34 25.85 25.85 2.5.85 25.85 25.85 30.41 30.41 $28.2,5 28.25 27.73 24.41 24.82 24.64 24.39 23.17 22.27 22.27 26.04 25.01 27.88 .27.37 27.37 23.82 23.82 20.27 26.10 18.24 18.24 19.77 27.37 27.37 $27.26 26.76 26.27 22.95 23.33 19.34 24.65 16. 36 15.72 17.03 23.44 22.52 $12. 10 12.51 12.74 13.16 13.37 13.80 13.59 15.08 15. 92 16.56 14.44 14.22 $12. 36 12.76 12.82 13.37 13.77 14.34 14.40 14.99 15.85 16.50 14.40 14.48 February. . March April May June 25.50 JuJv August 23. 75 23.50 September October. . . November. 24.50 20.50 December . 1920. January . . . 20.00 30.41 23.75 27.37 21.35 12.51 12.74 $12. 51 $12. 74 February. . 18.50 30.41 21.68 27.37 19. 32 12.51 12.70 12.95 13.14 March 17.50 30.41 21.40 20.27 14.27 13.37 13.84 15.50 15.81 April 20.25 22.00 30.41 30.41 24.60 23.97 20.27 20.27 16.47 15.98 12.51 13.25 12.75 13.32 May 14.65 14.72 June 18.50 30.41 24.53 20.27 16.35 12.40 12.39 12.74 12.73 July 27.00 32.94 26.76 20.27 16.47 12.51 12.28 13.80 13.55 August 24.00 34.46 26.34 20.27 15.49 14.20 13.08 14.44 13.30 September 24.50 33.45 24.47 20.27 14. S3 13.57 12.00 15.28 13. 51 October. . . 23.50 30.40 21.68 20.27 14.46 14.31 12.41 14.86 12.89 November. 22.00 32.44 22.98 20.27 14.36 14.95 12.35 16.14 13.33 December . 18.50 32.94 23.64 20.27 14. 55 12.51 10.05 12.10 9.72 1921. January... 19.00 34.97 25.40 20.27 14.72 12.51 9.74 12. 51 9.74 February. . 16.50 36.32 28.53 20.27 15.92 12. 82 10.53 12.10 9.94 March 16.50 34.46 27.57 24.33 19.46 12. 51 10.25 11.25 9.22 April 16. 25 34.46 27.83 24.33 19.64 12.30 9.73 11.25 8.90 May 16.75 34.97 28.56 22.30 18.21 11.24 8.27 9.54 7.02 June 15. 75 33.45 26.88 20.27 16.29 8.69 6.60 7.84 5.95 July 14.75 26.86 19.68 20.27 14.85 10.39 7.33 9.54 6.73 Augu.st 16. 50 26.35 20.21 19.25 14.77 9.% 6.72 8.48 5.72 September. 16.50 27.87 21.45 23.31 17.91 • Dutiable at 2 cents per pound after May 21, 1921. 2 Grade: Good steer. Source: The National Provisioner and The Market Reporter. ' Grade: EngUsh. Source: The Statist. < Grade: Argentine chilled hind quarters. Source: The Statist. ' Grade: Frigorifico steer, good quality. Source: The Review of the River Plate. ° Grade: Fat steer, frigorifico quality. Source: The Review of the River Plate. DEPRECIATED EXCHANGE AND INTEENATIOXAL TRADE. 41 Comparative prices— Continued. Table 5d. — Butter. [Pound.] New York.>.2 London, England.' Period. Exchange. Par. Current. 1914. January $0. 3700 . 2725 .3075 .2,500 .2687 .2725 .6800 .4900 .5825 .0625 .5850 .5187 .5000 .,5400 .5800 . 6375 . 6950 .7350 .6950 .6400 . 6.500 .6700 .6400 .6000 ..5900 ..5600 .5700 .6200 .6200 .5700 .5600 .5000 . 5250 . 49,50 . 35.50 .2900 . 3450 . 4350 .4150 $0. 2854 .2702 .2702 .2669 .2430 .2496 . .5475 . 5475 . 5475 .5475 .5475 .5475 .5475 . 5475 . 5475 .5475 .5475 .5475 .5475 . 5SS0 . 6,590 .6590 .6590 .6590 .5700 5700 .6500 .7200 .7200 .7200 .7299 .7299 .6488 .6488 . 6060 .4626 .4474 . 5604 .53S6 March April May June 1919. Januarv $0. .5354 February . ,5354 March .5255 April . 5274 .5361 June .5291 July .5166 August .4908 September .4716 October .4716 November .4688 December .4504 1920. . 4275 February .4193 March . . .4638 April .5332 May .5196 .5316 July .4600 August .4400 . 4.*i00 October .5200 .,5100 December . 5200 1921. January .5302 February . 5733 March .5190 April . 5238 May .4951 June .3717 July .3279 August .4299 September .4146 1 Dutiable at 2i cents per pound; 6 cents per prund after May 27, 1921 . ' Grade: Creamery, 92 score. Source: The Market Reporter and The National Provisioner. ' Grade: Danish. Source: The Statist. 42 DEPRECIATED EXCHANGE AND INTERNATIONAL TRADE. Comparative prices — Continued. Table 5e. — Coffee. IPoiind.l New York.! London, England.^ Period. Exchange. Par. Current. 1914. $0. 1043 .1112 .1087 .1087 .1087 .1137 .2087 .2000 .1987 .2000 .2075 .2.^37 SO. 09rt0 . 0955 .0908 .0922 .0884 . 0955 .1428 .1428 .1428 .1956 .2129 .2433 .27S1 .2998 .2933 .2824 .2889 .2824 .2911 .2954 .2998 .2933 .2715 .2607 .2118 April Mav 1919. January $0. 1390 .1396 March .1371 April .1885 Mav .2085 June .2319- July .2624 August .2687" September.-. .2527 October .2433r. November .2474 December .2323: 1920. January . 2273' February .2107 March .2110 .1875 .1875 .1900 .1788 .1650 .1125 .1000 .0900 .0888 .0863 .0825 .0825 .0878 .0725 .0793 .0793 .08.38 .0888 .237J Mav .2145 .210$ July .1721; September .1955 .1629 .1684 .1575 .1575 .1521 .1358 . 1086 .1205 .1205 . 1216 .1281 .1292 .1430 .1162- November .1193; . 1130 1921. Januar\' . 1144 February . 1195 March .108& April . 0876 Mav ■ 0984 June .0968 July .0891 Augu.st . 098;i September .0995 ' Grade: No. 7 Santos Braail. Source: The Journal of Commerce. ' Grade: Brazil, Santos, gooi. Source: TJie Statist. DEPRECIATED EXCHANGE AND INTERNATIONAL TRADE. Comparative prices — Continued. Table 5f. — Flaxseed. [Bushel.) 43 Minneap- olis.1.2 Winnipeg, Canada.' Buenos Aires, Argen- tina.< Period. Exchange. Exchange. Par. Current. Par. Current. 1914. January $1.49 1.49 1.60 1.55 1.54 1.62 $1.23 1.27 1.35 1.37 1.34 1.40 $1.30 1.2« 1.27 1.36 1.38 1.41 2.01 1.99 1.99 February . March April May 1919. January $2.06 February 2.03 March 2.01 April May 2.13 2.81 3.92 4.52 3.70 2.34 2.72 3.04 2.53 2.36 2.88 3.04 3.08 2.91 2.74 2.66 2.77 2.61 2.46 2.06 1.82 1.57 1.63 1.47 1.69 1.83 2.01 2.54 2.20 2.92 July 4.15 August 4.49 September 3.68 October 2.33 November 2.72 December 3.09 1920. January 4.65 5.30 5.18 4.65 4.75 4.06 3.85 3.22 3.21 3.05 2.73 2.06 2.06 1.68 1.80 1.60 1.67 1.93 1.90 2.02 1.95 4.98 5.14 5.34 5.12 5.05 4.46 3.97 3.45 3.45 3.18 2.80 1.96 2.09 1.68 1.82 1.54 1.57 1.83 1.77 1.99 1.97 $4.56 4.50 4.54 4.66 4.56 3.90 3.41 3.01 3.09 2.87 2.53 1.72 1.80 1.49 1.59 1.37 1.41 1.63 1.55 1.78 1.78 2.57 February 2.40 March 2.94 April 3.10 May 3.09 June 2.91 July 2.69 August 2.45 September 2.45 October 2.26 November 2.03 December 1.66 1921. January 1.42 February 1.29 March 1.34 April 1.16 May 1.24 1.39 July 1.42 August 1.71 September 1 Dutiable at 20 cents per bushel; 30 cents per bushel after May 27, 1921. ' Grade: No. 1. Source: The Minneapohs Daily Market Record. « Grade: No. 1. Source: The Minneapolis Daily Market Record. * Grade: Linseed (4 per cent). Source: The Review of the River Plate. The prices of wheat are given in different form from those of other commodities in these tables. Instead of giving the quotations on the 1st of each month during the year, the daily quotations in the heavy crop-moving season arc given — November in 1920 and October in 1921. (November, 1921, statistics were not available at the time of publica- tion.) For comparative purposes the prices of the same grades of wheat are given for the last half of 1914. The quotations are for No. 1 dark northern spring wdieat in Minneapolis and No. 1 northern spring in Winnipeg, f. o. b. Port Arthur and Fort William. Attention is called to the fact that to the Winnipeg quotations for 1921 at current 44 DEPRECIATED EXCHANGE AND INTERNATIONAL TRADE. exchange the emergency tariff rate of 35 cents per bushel is added. After such an addition is made the prices of Canadian and American wheat are almost the same in the two markets. Winnipeg ruled 5 or 6 cents per bushel higher in both 1920 and 1921, but the difference is due to the better quaUty of the Canadian wheat. It will be ob- served that the differences in the quotations in November, 1920, are large on some days, but these differences are no greater than some of the fluctuations overnight in Minneapolis. In addition to these wheat prices taken from trade journals, some quotations based on actual purchases in September and October, 1921, have been obtained from private firms. Prices of Canadian and American wheat.^ Canadian No. 1 northern Manitoba. American Dark No. 1 northern sprmg. Excess of Date of purchase. 1 Prices c. i. f. Buf- falo in bond, Canadian funds. 2 Canadian price in American currency, plus 35 cents duty. 3 C.i.f. Buffalo. 4 column 3 over col- umn 4. 5 1921. Sept. 27 $1. 4375 1.2275 1. 1975 1. 1888 1. 1900 1.2000 1.1200 $1. 6480 1.4600 1. 4380 1. 4310 1.4340 1.4450 1. 3740 «1. 5975 1.4250 1.3850 1.3788 1.4200 1.2925 1. 3250 $0. 0505 Oct. 6 .0350 Oct. 7 .0530 Oct. 8 .0522 Oct. 10 .0140 Oct. 18 .1525 Oct. 20 . .0490 I Prices in Buffalo quoted by private firms from actual purchases. From the two tables of prices given above it seems certain that no special advantage due to exchange rates can be obtained in buying wheat in Canada rather than in the United States. Prices of cotton of the same grades are as closely adjusted in all important markets as the price of wheat. Dealers in New York, Liverpool, and Osaka, Japan, pay practically the same price for up- land middling except for a slight disadvantage for Japan because of ocean rates, but this difference is usually not more than 1 or 2 cents a pound. The situation with respect to beef prices is not clear. London and New York prices were about the same in 1914 and in 1920, but in 1921 English prices were far above New York quotations. Probably the explanation of the discrepancy is to be fovmd in the precipitous slump in American prices, which has not yet been reflected in the English market for native beef. The prices of Argentine beef, how- ever, dropped in London long before the American price decline set in. The two sets of quotations — American beef in New York and Argentine ])eef in London — are now about equal at current exchange. The prices of butter, coffee, and flaxseed are also included in the tabulation of agricultural products. Danish butter in England is compared with 92 score creamery butter in the United States. Both of these are the highest grades marketed to any considerable extent DEPEECIATED EXCHANGE AND INTERNATIONAL TRADE. 45 in the respective countries. American prices ruled higher in 1919 and 1920, but by 1921 a close parity had been reached, which con- tinued throughout the year with minor exceptions. Brazilian coffee, as is to be expected, is rouglily the same price in London and New York for similar grades. The changes in quota- tions are not always synchronous, but they are sufficiently so to eliminate most speculative gains through arbitrage. Flaxseed presents an interesting case of a close price adjustment on an article on which there is an import duty. The Underwood tariff carried 20 cents per bushel on this product, and it is observed that the Minneapolis quotations are roughly 20 cents per bushel higher than those of Winnipeg at current rates of exchange. After May 27 the duty was 30 cents, and that was roughly the difference in prices in the two markets during the summer of 1921. Buenos Aires quotations run lower than either Canada or the United States, but the tariff and transportation charges probably account for the difference. TEXTILES. The evidence for a price adjustment in textiles sufficiently close to eliminate the effect of exchange rates is inconclusive. Some products show a close adjustment, but others equally common to world markets show little equality of gold prices. It is true that there is a tariff on imports to the United States for all the textile products represented, but this element does not account for the inconsistencies found in the tables. 599—22 i 46 DEPRECIATED EXCHANGE AND INTERNATIONAL TRADE. Comparative prices. Table 6a. ^ — Print cloth. [Yard.] New York.i.' Manchester, England.' Osaka, Japan.* Period. Exchange. Exchange. Par. Current. Par. Current. 1914. January $0.0518 $0. 0490 .0473 .0473 .0491 ■ .0493 .0491 February March April May June 1919. January February .0875 .0875 .0975 .1200 .1513 .1725 .1875 .1600 .1700 .1900 .2000 .2300 .2225 .2250 .2400 .2225 .2250 .2250 .1650 .1425 .1425 .1050 .0850 .0800 .0925 .0800 .0663 .0663 .0675 .0638 .0694 .0800 $0. 1515 .1815 .1957 .1485 .1508 .1632 .1545 .1476 .1476 .1595 .1859 10.1540 March . . .... .1330 $0. 1276 .1869 April .1999 May .1492 .1687 .1719 .1865 .1833 .1930 .2011 .2233 .2583 .2514 .2790 .2838 .2838 .2838 .2693 .2530 .2336 .2076 .2011 .1427 .1330 .1233 .1062 .1062 .1079 .1064 .1032 .0999 ,1097 .1461 .1608 .1622 .1670 .1579 .1662 .1722 .1841 .2001 .1793 .1963 .2296 .2238 .2289 .2188 .1934 .1709 .1480 .1425 .1024 .0968 .0968 .0849 .0857 .0881 .0853 .0756 .0766 .0844 .1517 June .1560 July .1748 August .1582 September .1511 October .1497 November .1621 December .1890 1920. January February , March April .1932 .1656 ,1225 .0997 .0980 .1935 .0883 .1840 May . 1570 .1241 July .1030 .loia September .0958 .0904 November 1921. January February March .0656 .0639 April .0708 J .0688 May .0808 ' .0785 .0830 ! .0804 July .0882 ns^S. .0893 .0986 .0858 September 0958 ' Dutiable at 12J per cent. * Grade: 38i inches, 64 by 60, 5.35 yards per pound. Source: The Textile World Journal. ' Grade: 16 by 15, 39 inches, 37i yards, 8J pounds. Source: The Manchester Guardian. < Grade: 30 inches. 120 yards, 16J pounds. Source: Japanese exporting firm and Weekly Raport of R. Yamamoto. DEPRECIATED EXCHANGE AND INTERNATIONAL TRADE. Comparative prices — Continued. Table 6b. — Cotton yarn, (a) [Pound.] 47 Period. New York.i>» Manchester, England.' Osaka, Japan.' Exchange. Par. Current. Exchange. Par. Current. 1919. 80.2400 . 2350 .2350 .2300 .2200 .2200 .5950 .5400 .4250 .4600 .4950 .5900 .6450 .7200 .6900 .7500 .8000 .7650 $0. 2037 .2012 .2024 .2062 . 2088 .2113 .5321 $0. 5107 1920. .8000 .8800 .8750 .8750 1921. .8650 .8650 .6900 .6500 .5800 .4200 .3400 .3100 .3100 .2800 . 2450 .2300 .2300 . 2250 . 22.W .2725 .6537 .%79 .7855 .8361 .8311 .8260 .9331 1.0186 1.2000 1. 2400 1. 4800 1. 4800 1. 2700 1.2600 1. 1100 1. 1800 1. 1600 .9020 .6892 .5473 . 4257 . 4561 .3547 . 3547 . 3649 .3750 .3750 .3750 .4155 .6402 .9227 .7411 .7488 .7161 .7116 .8417 .8374 .9419 .8885 1. 0400 1. 2000 1. 0000 1. 0200 .9057 .9065 .8527 .6432 .4853 .3504 .3092 .3583 .2837 .2863 .2981 .3013 .2749 .2877 .3195 $0.4660 .4629 .5072 .4946 .5178 .5584 .7188 .6956 .6945 .7125 .9045 .8731 .7345 .7094 .8698 .8003 .4830 .4685 .4174 .4051 .4002 .2842 .4240 .3360 .2946 .3009 . 2428 .2562 .3012 .3050 .3253 .3315 .3800 $0. 4737 .4764 .5181 .5052 .5355 .5802 .7361 .7124 .7042 .7243 .9195 .8831 .7441 .7564 .82>6 .7586 . 4893 .4840 .4317 .4149 .4098 .2939 .4342 .3424 .2840 .2923 .2365 .2489 .2926 .2955 . 3148 . 3186 .3694 ' Dutiable at 10 per cent ad valorem. ' Grade: No. 20s southern t-arded, single skeins (warp twist). Source: The Textile World Journal. ' Grade: No. 20s, water twist bundles. Source: The Manchester Guardian. •• Grade: 20s. Source: The Japan Cotton Merchants' Union and Weekly Report of H. Yamamoto. 48 DEPRECIATED EXCHANGE AND INTERNATIONAL TRADE Comparative prices — Continued. Tarle ()C. — Cotton yarn, (b) [Pound.] 1 Period. New York.i;2 Manchester, England. s Osaka, Japan.' ■' Exchange. Exchange. Par. Current. Par. Current. 1919. $1.22 1.02 .94 .95 .97 1.32 1.62 1.87 1.92 2.02 2.05 3.20 3.62 3.82 3. 82 3.50 3.25 2.57 2.42 2.25 2.10 1.50 1.25 .95 .85 .80 .80 .70 .70 .72 .79 .79 .85 SI. 86 1.67 1.67 $1.82 1.63 1.60 February April 1.55 1.49 1.63 1.60 1.67 1.59 1.79 ' 1.69 2. 01 1. SI July AuRU.'^t September 2.05 2.05 2.28 2.76 3.37 3.80 4.30 4.44 4.35 4.22 3.51 3.34 3.00 2.82 2.29 1.92 1.68 1.50 1.00 1.27 1.28 1.20 1.18 1.16 1.20 1.77 1.77 1.95 2.28 2.64 2.71 3.03 3.60 3.44 3.41 2.85 2.55 2.19 2.01 1.62 1.38 1. 2200 1. 1800 .8000 1.0300 1.0500 .9690 . 8684 .8938 .9284 October November December January . . . 1920. February Marcli April Mav Julie July 1, August September October November December January . . . 1921. March $0. 6040 .7040 . 8848 .9720 1. 1278 1. 1580 1.3210 SO. 5881 .6833 .8587 9410 Mav July 1 0913 August 1 1130 September 1 2S40 ' * Dutiable at 20 per cent ad valorem. « Grade: No. 60/2 southern ply, 2 skeins, combed. Source: The Textile World Journal. * Grade: No. 60/2, Egj^itian, combed plain. Source: The Wool Record and Textile World. * Grade: No. 60/2. Source: Weekly Report of H. Yamamoto. DEPRECIATED EXCHANGE AND INTERNATIONAL TRADE. Comparative prices — Continued. Table 6d. — Worsted yarn. [Pound.) 49 Period. Boston.i.» Bradford, England.' Exchange. Par. Current. Current plus duty. 1914. 1919. 1921. SO. 8125 . 8125 .8250 .8250 .8375 .8375 2. 3700 2. 2500 2.1500 2. 2000 2. 5700 2. 4500 2. 6700 3.0O00 3. 1000 3.2500 3. 3000 3.4200 3. 6200 3. 8200 3. 7700 3.9200 3. 7200 3. 3000 2.8700 2.8700 2. 3200 2. 1000 2.1000 1. 7200 1. 4700 1.4700 1. 4700 1. 3500 1. 3700 1.4200 1.3500 1.3500 1. 3500 S2. 52 2.61 2.67 2.67 2.67 2.98 3.34 3.37 3.40 3.40 3.89 3.60 3.60 3.46 2.73 2.73 2.55 2.02 1.72 1.50 1.39 1.23 1.03 .99 .99 1.03 .99 .97 $2.40 2.47 2.40 2.30 2.30 2.55 2.75 2.64 2.43 2.40 3.15 2.84 2.90 2.81 2.09 2.00 1.82 1.43 1.23 1.09 1.09 .98 .83 .81 .80 .76 .76 .75 «2.83 2.91 2.83 2.71 2.71 3.01 3.24 3.11 2.87 2.83 3.72 3.35 3.42 3.31 2.47 2.36 2.15 1.69 1.45 1.29 1.29 1.15 .98 .95 1.39 1.35 1.35 1.33 1 Dutiable at 18 per cent ad valorem to May 27, 1921; after that date, 45 cents per pound additional. ' Grade: 2-38s, J-blood (Bradford system). Source: The Textile World Journal. • Grade: 2-36s, 58s (Bradford system). Source: The Wool Record and Textile World. From these tables it is seen that cotton print cloth is closely adjusted for New York, Manchester, and Osaka in all the years shown except the early part of 1919, when the American price had not yet responded to the post-war inflation. Cotton yarns, on the other hand, show no consistent price varia- tions in the markets represented. Sometimes Manchester and some- times New York is higher with little or no indication of close trading in the product. The causes for the discrepancy, whatever they may be, are probably not to be found in the exchange situation nor in the 20 per cent duty imposed by tlie American tariff, because for the past 50 DEPRECIATED EXCHANGE AND INTERNATIONAL TRADE. several months Endish prices have been much higher than our own — a situation directly contrary to the tendencies of the tariff and exchange. It will be observed in the tables showing the prices of worsted yarn that an additional column has been added, in which is given the prices in Bradford converted at current exchange, to which is added the import duties. There is not a close adjustment of Boston and Bradford prices prior to June, 1921, but after that date the prices, duty paid, are almost identical. Foreign Invoice Prices, 1914-1921. Another list of foreign prices was obtained from invoices of imports through the New York customhouse for April, 1914, and April, 1921, with a view of comparing prewar and present prices for similar ' om- modities. When practicable, present American quotations are given for comparable goods, but in some cases this is not possible either because of peculiarities in the imported products or because of inade- quate descriptions on foreign invoices. Table 7. — Comparison of foreign invoice prices with American quotations. CHEMICAL PRODUCTS. Country. Foreign invoice prices, April, 1921.1 Article and description. Amoimt of invoices examined .2 Invoice unit price.' Umted States price, April, 1921.1 1914 1921 1914 1921 Germany . ...do Pounds. 41,512 42, 107 Pounds. 77,043 52,068 59, 182 26,455 26, 455 4,480 21,384 32,720 1,120 10,320 21,340 1,102 124,005 112.110 22, 172 $0. 048 .009 .025 .0497 SO. 1134 .027 . 035 .191 .147 .258 .067 .188 .187 .108 .048 7.80 .015 .073 .125 $0.21i-S0.23i .03 - .04 ...do . 035- . 037 ...do 26, 545 6.18- .25 Do ...do. ... 6.16- .18 ...do 9,050 3,858 45,006 "'23,' 249' 441 .0756 .0475 .110 Potash, carbonate of, 96-98 per cent (United States, 80-85 per cent). Potash, yellow prussiate of Potash, oxalate of Potash, bicarbonate, U. S. P ...do ...do ...do ...do ...do. . . 06 - .08 .25- .30 .66- .75 .14 - .15 .050 '.346 . 065- . 08 ...do ' 1.12 - 1.40 ...do Nitrate of soda ...do. . . .026 ...do . 13 - . 135 Tartaric acid ...do 1, 654 .238 Do Italy 5,600 5,600 22, 496 636 34,843 38, 106 33, 600 129,390 8.28 .40 .016 8. 259 .079 8.161 .028 .10 .39 Citric acid (crystals) Crude tartar (71 per cent) ...do France 13,426 .433 .47 .10(30%) . 25 - .30 Potash, vellow prussiate of ...do Tartar of lime (50.75 per cent) .10(30%) Yellow i)nissiateofsoda England . . .13- .13i ...do...... . 019- . 02 Sal ammoniac ...do / .061- .08 \ .17- .18 ' Tabulated from United States customs records. * The amounts of the invoices actually examined give no indication of total imports for the month. * Converted at rate of exchange given on invoice. ■^ Oil, Paint, and Drug Reporter, Apr. 4, 1921. * February, 1921, invoice price and quotation. * March, 1921, invoice price and (luotation. ' Price per 100 pounds. * Price laid down in New York ex duty. DEPRECIATED EXCHANGE AND INTERNATIONAL TRADE. 51 The first ttible to which attention is called is for certain standard chemical products whose prices are matched with quotations in •American trade journals. Out of 15 products listed from Germany, every one of them, without exception, showed a higher price — usually two or thi-ee times higher — in 1921 than in 1914, conversions bemg made at current exchange. It is also seen that every German quotation, with one exception — nitrate of soda — showed a lower price than the corresponding American quotation. The few recent quotations from Italy, Spain, and France are not sufficient in number or scope to form the basis of any far-reaching conclusions, but in the main these prices are not as far different from those of similar products in New York as the German quotations are. It must be emphasized, however, that the fact that German invoice prices shown here are lower than American prices for the same product does not necessarily indicate that the general run of chem- icals is cheaper in Germany than in the United States, The very fact that the quotations are from import invoices presumes that the price will be as low or lower than those in the United States for the same grade of products, otherwise the articles will not be imported. In the second table is shown the invoice price of aluminum ware imported from Germany and some aluminum prices obtained from private firms in the United States. 52 ■DEPKECIATED EXCHANGE AND INTERNATIONAL TRADE. Table 8.— Comparison oj foreign invoice prices ivith Avurican quotations. ALUMINUM WARE. Article and description. Country. Unit of quautitj'. Foreign in v oice prices, April, 1921.1 Invoice unit price.2 1921 United States price, April, 1921.3 Aluminum teaspoons Do Dessert spoons Tablespoons Do Basting spoons Do Forks Do Teakettles Do Do Skimmers Do Water kettles, 20 cm Water kettles, 22 cm Water kettles, 24 cm Coffee pots, U. quarts Coffee pots, 2 (luarts Convex saucepans, with covers, 20 cm. . . Lipped saucepans, with covers, 20 cm — BerUn saucepans, with covers, 24 cm Convex saucepans, with covers, 22 cm. . . Berlin kettles (1914), 18 cm Berlin kettles, (1914), 20 cm Berlin kettles, (1914), 24 cm Berlin kettles, (1914), 26 cm Rice boilers, 14 cm Rice boilers, 18 cm Lipped preserving kettles, 20 cm Lipped preserving kettles, 24 cm Lipped preserving kettles, 26 cm Frying pans, 20 cm Frying pans, 22 cm Frying pans, 24 cm Milk cans, 1 liter Milk cans, 2 liters Outside polished, Sunray finish: Stew pans, 18cm Rice boilers, IS cm Milk boilers, 18 cm CofToe jugs, 16 cm Frying pans, 20 cm Ladles, 10 em Skimmers, 10 cm Dinner carriers, 14 cm Kett es, 22 em Teapots, 12 cm Tea strainers Aluminum: Sheets, 275 pounds 100 pounds Coiled sheets Soft aluminum sheets, 18 B. & S. gauge: 590.5 bv 295.27. 102 mm 173 by ?;2l inches Sheets, 1 by 2 meters Aluminum sheets and plates: 6 bv 2 feet, 18 gauge () by 2 feel, 20 gauge 6 bv 2 feet, 22 gauge 12 by ,3 feet, 16 gauge 12 by 4 feet, 16 gauge Germany. . ...do ..do ...do ...do ...do ...do ...do ...do ...do ...do ...do ...do ...do ...do ...do ..do ..do ..do ..do ..do ..do ..do ..do ..do ..do ..do ..do ..do ..do ...do ..do ...do ...do ...do ...do ...do .do. .do. .do. .do. .do. .do. .do. .do. .do. .do. .do. .do. .do. .do. England . ...do ...do ...do ...do .do .do .do Gross. . ..do... ..do... ..do... ..do... Dozen. ..do... Gro.ss. , ..do... Each.. ..do... ..do... ..do... ..do... ..do... ..do... ...do... ...do... ..do... ..do... ..do... ..do... ..do... ..do... ..do... ..do... ..do... ..do... ..do... ..do... ..do.., ..do... ..do... ..do... ...do... ..do.. ...do.. .do. .do. .do. .do. .do. .do. .do. .do. .do. .do. .do. Pound . ..do.... ..do.... ..do. ..do. ..do. .do. .do. .do. .do. .do. $1,495 1.55 2.102 3.094 2.428 2.327 3.165 .8309 .6549 .7098 .079 .539 .641 .722 .531 .608 .20 .551 .343 .420 .521 .637 .443 .553 .255 .355 .388 .227 .277 .327 .265 .384 .225 .227 .291 $1,356 1.515 2.550 2.699 2.214 .90 .60 3.15 3.60 .413 .376 .405 .093 .144 .525 .619 .693 .485 .599 .687 .859 .365 .433 .638 .792 .467 .707 .283 .456 .553 .199 .228 .285 .314 .428 .415 .415 .412 .568 .237 .136 .093 .449 1.009 .594 .034 .28 .26 .26 .358 .358 .275 .343 .343 > Tabulated from United States customs records. 2 Converted at rate of e.vchange given on invoice. 3 Wholesale prices quoted by an American manufacturer. DEPRECIATED EXCHANGE AND INTERNATIONAL TRADE. 53 It is possible that the American ware the prices of which are shown in this table is somewhat higher in quality than the German product, but this difference probably does not account for the whole difference in prices. A more significant comparison in some respects is the prewar and present German prices. In many instances the quota- tions for a particular item are almost identical in the two periods. German Internal and Export Prices. A third table, compiled from the customs records, is especially sig- nificant in relation to the exchange situation. It is a comparison of German internal and export prices of certain commodities, chiefly earthen and china ware. Table 9. — German internal and export ■prices, March and April, 1921. Commodity. Amount of invoice at German internal price. Amount of invoice at export price. Difference. Percentage , increase over internal price. Decorated chinaware Marks. 5,111.67 1,016.09 954. 58 448. 40 263. 27 37.57 802. 03 103. 77 1,141.41 967.50 79,563.00 2,784.00 19,413.30 12,870.11 14,888.94 Marks. 6, 246. 50 2,225.53 1,414.16 612. 50 532. 50 84.20 1,816.32 328. 00 3,003.37 1,212.70 106,364.00 4,617.00 53,282.22 16,666.32 18,328.77 Marks. 1,104.83 1,209.44 459. 58 164. 10 269. 23 46.63 1,014.29 224. 23 1,861.96 245. 20 26,801.00 1,833.00 33, 868. 92 3,796.21 3, 439. 83 Per cent. 21 Do 119 Do. .. 4S Do 37 Do 102 Porcelain 124 Do 126 Earthenware 216 Do 163 Locks 25 Chemicals and laboratory supplies 34 Sundries (aluminum ware, pocketknives, dolls, etc.) Worsted yarn 66 174 Do 30 Do 20 Both internal and export prices were given on the invoices, to- gether with the rates oi exchange to be applied to the quotations. Therefore, the figures in the table represent actual transactions between specific firms on a particular date, chiefly in April, 1921. Many of the export prices run over 100 per cent above tne internal quotations, but there is little consistency among them. One ship- ment of decorated earthenware, for example, may run 20 per cent over the domestic price and another may be over 200 per cent in excess. The whole series of quotations seem to indicate that the German manufacturers were charging American purchasers what the traffic would bear. This conclusion implies no condemnation of German methods, but the table shows that Germany has an advantage over foreign competitors in the chinaware industry because of depre- ciated exchange alone. Significance of International Price Adjustments to a Gold Basis. The foregoing presentation of prices for representative commodities in various industries in different countries of the world leads to the conclusion that for standard products having a world-wide market the exchanges have worked themselves out to a gold basis to such an 54 DEPKECIATED EXCHANGE AND INTERNATIONAL TRADE. extent that international trade is little disturbed by price discrepan- cies due to depreciated exchange. On the other hand, there are many products more or less specialized in character whose prices are not so adjusted. Few of such products are included in these tabulations, however, because of the difficulty or impossibility of obtaining reliable price quotations upon exactly similar goods. For this reason, therefore, the degree of price adjustment indicated in these tables may be misleading. It is certain that there are a great many industries, especially in central Europe, producing goods largely for home consumption but partly for export whose prices are C[uite low when converted to dollars at current rates of exchange. It is equally certain, however, from the trend of prices of the commodities studied that the degree of this maladjustment is diminishing. Partly by Government edict, partly by cartel control, and partly by private initiative, foreign buyers of German goods are forced to pay, as time goes on, more and more nearly the ruluig market price for their purchases. PRICE ADJUSTMENTS VS. VALUE ADJUSTMENTS. The similarity of prices all over the world of standard commodities, such as wheat, copper, and cotton, may seem to remove all questions of disturbance to international trade in these products, so far as exchange rates are concerned, except for the erratic daily fluctuations. Such is not the case, however, if the rates of exchange and the internal purchasing power of money are not adjusted; i. e., if the two sets of rates shown in Table 2 are not identical. It may, indeed, be true that there are no special advantages from exchange to an American wool dealer or wheat broker in buying their commodities abroad, but the American public will consume a larger portion of the world's exportable surplus of these commodities than if exchanges were at par, and, conversely, countries whose exchange is at a discount will take a smaller portion of such commodities than normally. Stated more exactly, if sterling exchange has fallen more than English prices have risen, American wheat in Liverpool commands a larger quantity of English goods than if exchange and prices moved together. This point is sharply focused by examining the prices in England and the United States of cotton, cofi^ee, beef, wheat, copper, and tin. Every pound of these products which England buys in the remote markets of the world must be paid for in gold, so far as prices are con- cerned. No matter how shrewd her buyers are, they find the premium American dollars bidding against them in the world markets, and they, in common with their French and German competitors, must pay the same gold prices as the American purchasers, no matter how depreciated their paper currency may be. This situation inevitably results in a restriction of their foreign purchases below what they would be if their domestic prices had adjusted themselves to the international levels.'-' wStated conversely, countries whose exchange is at a premium act as a magnet, so to speak, for commodities of ' All iuterineJiate stasje of general price adjustments which may persist for a long period of time is that in whifh the siaiKlard import and export products are adjusted to a gold basis, whereas the bulk of com- ino lilies cMlciinL' inio domestic commerce are priced locally in terms of paper money. Under such con- diiii)nsboUi the. i in n:)rial)le and exportable products are overvalued in terms of the average run of domestic nro Incts. 1 1 is probable that those conditions prevail al t he present time in J^ngland and France, especially in the latter country. If so, these countries are not handicaiiiied in buving American goods so long as they can pay for them in exports which are priced at international gold values. DEPRECIATED EXCHANGE AND INTEEOSrATIONAL TRADE. 55 international trade, and therefore imports are stimulated by the maladjustment of international values even though international prices of particular commodities are equivalent. How potent this magnet may become is perhaps illustrated by the fact that in 1920 the United States imported over 31,000,000 pounds of sugar from Germany.^" In the case of many articles, such as aluminum ware and pottery, shown in the tables above, which either do not enter largely into international trade or whose prices are adjusted slowly, there are not only the general reasons outlined above for increased imports to this country, but there are special reasons in the form of differential profits to be made by the importer because of the exchange rates. An article made in Germany, for example, at German paper cost and sold ordinarily to German consumers at local prices may offer great advantages to the occasional American buyer. It may be supposed that the number of such products is limited to a few specialties, but such does not seem to be the case in many countries of Europe. Relatively few German products are so adjusted and many in Italy and France are out of line to a considerable extent. The reasons for such maladjustments are numerous, but lack of free movement of trade accounts for most of them. ARTIFICIAL CONTROL OF PRICES. Moreover, it does not always follow that the actual economic mal- adjustment is reflected in the price quotations because in many cases the prices are fixed artificially. In some commodities, especially those coming from Germany, the profits on foreign trade caused by the state of the exchange are so obvious that trade combinations, to take advantage of them, are the rule in many industries. If German purchasers are in combination they may, and do, charge what the traffic will bear in each purchasing country; that is to say, they sell in foreign markets at foreign price levels regardless of their own domestic prices or the quotations which they make in other coun- tries. No implication of reprehensible trade practices is involved in this statement of fact. Indeed, in some cases, at least, Germany must protect her necessities of life by this excess charge for exported goods. Such a situation, however, renders Germany a serious com- petitor in world markets because, knowing the ruling prices in a given country she may demoralize the trade by quoting just under the standard prices no matter how low they may be forced down. In some cases the dift'erences between domestic and export prices are matters of record and a considerable number of them are given in Table 9. 10 To those who are familiar with our recent ba'ance of trade with Gerraany, the figure of the magnet may seem inappropriate. Our exports to that country far exceed our imports, as the following table shows: Fiscal year ending June SO. United States imports from Germany United States exports to Germany... «168, 805, 137 249,555,926 1914 $189, 919, 136 344,794,276 1919 $944, 981 8, 818, 882 $45,085,975 202,176,079 1921 $90,773,014 381,771,609 The exchange situation is only one of many forces determining international trade, and in this case the dire need of Germany for goods, especially for basic raw materials, far outweighs the adverse exchanges. 56 DEPRECIATED EXCHANGE AND INTERNATIONAL TRADE, Wages and Rates of Exchange. Closely related to international price studies are the prevailing rates of wages within countries whose exchanges are disturbed. In general, the purchasing power of a given money should be reckoned in terms of labor as well as commodities, because funds devoted to wage payments are almost of equal volume to those used in the pur- chase of commodities. Moreover, wage rates may be more disturbing to international trade when exchanges are maladjusted than commod- ity prices because wages are adjusted much more slowly to international conditions than prices. The quotations for wheat, copper, and wool flash all over the world, and any discrepancies are quickly adjusted by alert brokers, but wage rates shift slowly, and often it is a matter of years before they return to normal after a period of disturbance. For this reason the price of a given product may be adjusted to a gold basis in the markets of the world, but producers of it in countries whose exchanges are at a discount may have a competitive advantage because of the low wages paid as compared with the international value of the article. German chemicals, for example, will sell at world prices, but the wages paid to the laborers who make them will be based on the prevailing domestic rates, which may or may not be adjusted to a gold basis. Whether in fact they are so adjusted will be discussed in connection with the wage tables below. *^ A COMPARISON OF WAGES IN THE UNITED STATES, GREAT BRITAIN, AND GERMANY. Table 10a. — Building industry. [Rate per hour as of May, 1921.] Occupation. United States .a Great Britain. 6 At current exchange. Germany. c At current exchange. Equivalent purchasing power. d Equivalent in cost of living, e Carpenters Masons Laborers Plasterers Bricklayers Marble setters Lathers Painters Plasterer tenders. . . . Steam fitters' helpers Stonecutters $1.03 1.10 .57 1.16 1.18 1.06 1.10 .99 .76 .71 1.05 $0. 098 .099 .080 .097 .099 .099 .097 .097 .084 .084 .163 .164 .132 .161 .164 .164 .161 .161 ,139 .139 ,164 $0. 221 .223. .179 .218. .223 .223 .218 .218 .189 .189 .223 a Monthly Labor Review. b The Labour Gazette (British). c German basic wages reported by Statistishcher Reichsamt for February, 1920, readjusted to May, 1921, by amplication of Iho wage index inimber published by the Frankfurter Zeitung for the Frankfurt district. d Equivalent purchasing power based on United States and German wholesale price indices, e Equivalent purchasing power based on relative costs of living in United States and Germany. " This spsoial a Ivantage of German mainifaclurcrs who sell tlicir wares for gold or its equiva'ent in tho world markets and pay wages in German paper need not necessarilv result, in price cutting bv them. They may choose to reap the benefits of high profits on a limited outpul rather than demora'izc "their markets. If a given market is broad and Germany contributes a relatively small proportion of the total supplv, the world price may ho'd up indefinitely to a level which permits of a flourishing industry in several countries whose costs are widely diverse. DEPRECIATED EXCHANGE AND INTERNATIONAL TRADE. 57 Table 10b. — Woolen and rvorsted industry. [Rate per hour as of May, 1921.] Occupation. Weavers Dyehouse workers Spinners (frame) . . Spinners (mule). . Other employees.. Card tenders". Comb tenders. . . .. Twister tenders f. . Spool tenders «. . . , United States.i Great Britain.2 At current exchange. $0,646 .451 .446 .6.53 .464 .411 .442 .366 .367 SO. 294 .313 .328 .325 Germany .3 At current exchange. .092 .081 .081 .075 .075 .063 .063 Equivalent purchasing power.* $0. ira .134 .150 .135 .124 .124 .105 .105 Equivalent in cost of Uvlng.s $0,206 .182 .203 .180 .169 .169 .142 .142 1 Monthly Labor Review. 2 The Labour Gazette (British). 3 German basic wages reported by Statistischer Reichsamt for February, 1920, readjusted to May, 1921 by applicatioTi of the wage uidex number published by the Frankfinter Zeitung for the Frankfurt district. < Equivalent purchasing power based on United States and German wholesale price indices. 5 Equivalent purchasing power based on relative costs of Uving in United States and Germany. 6 Females. Table 10c. — Transportation. [Rate per hour as of May, 1921.] United States.i Great Britain .2 At current exchange. Germany.' Occupation. At current exchange. Equivalent purchasuig power.* Equivalent in cost of living.^ Gang foremen $0.96 .80 .78 .71 .44 .74 .37 1.10 .83 1.29 .99 .77 .92 .73 1.09 .80 .49 1.05 1.09 .79 .83 .72 .58 .52 .50 .52 .&5 .41 $0. 279 Machinists... . $0,099 $0,163 $0,222 Blacksmiths Painters .295 .266 .277 .267 .388 .299 .425 .321 .304 .326 .372 .372 .272 .275 .368 .363 .375 .437 Unskilled laborers Skilled laborers .099 .095 .165 .158 .224 Section men .215 Freight engineers Freight firemen Passenger engineers... Pas,senger firemen Car repairers Freight conductors 1 Freight brakemen and flagmen Passenger conductors .088 .147 .199 Passenger brakemen and flagmen Engine-house men .113 .188 .255 Train dispatchers Yardmasters .'699" '.m Engineers (tugs) .222 Captains or pilots Ship's officers .088 .079 .076 .075 .075 .109 .076 .145 .132 .126 .125 .125 .181 .127 .198 Firemen and oilers .323 .323 .175 Deckhands .171 Bargemen .169 Deck hands, lighters... .169 Carpenters .246 Porters .172 1 Monthly Labor Review and data of Interstate Commerce Commission and Bureau of Railway Eco- nomics, first quarter, 1921. » The Labour Gazette (British) and data of Bureau of Railway Economics (United States), first half, 1921. 3 German basic wages reported liy Slat islisrhor R(>ichsanil for Kol ruary, 1!>20, readjusted lo Mav, 1921, by application of the wage index ni'iinlicr ])ulilish(Mi \,y the Frankfurter Zcilinig for ihc Irankfurt district. * Equivalent pun^hasing power based on Mnilcd Sialos and (icrnian wholesale price indices. 6 Equivalent purchasing power based on relative costs of living in United States and Germany. 68 DEPRECIATED EXCHANGE AND INTERNATIONAL TRADE. Table IOd. — Coal-mining industry. [Rate per hour as of May, 1921.] Occupation. Mine examiners Tracklayers , Tr;vcklayers' helpers Botiomcagers Drivers , Trip riders and grippers Water and machine haulers. Tirabermen Pipemen All other inside day laborers Firemen and stokers Surface workers (minimum). Sinkers Shift leaders United States.i $1.00 .94 .91 .94 .94 .94 .94 .94 .93 .91 .91 .86 1.00 1.05 Germany.2 At current exchange. $0,105 .108 .140 Equivalent purchasing power.3 $0. 181 .280 .231 Equivalent in cost of living.* $0,245 .243 .314 1 Monthly Labor Review. Rate effective Aug. 16, 1920. 2 German basic wages reported by Statistischer Reichsamt for February, 1920, readjusted to May, 1921, by application of the wage index number published by the PVankfurter Zeitiuig for the Frankfurt district. 3 Equivalent purchasing power based on United States and German wholesale price indices. < Equivalent purchasing power based on relative costs of living in United States and German iermany. Table IOe. — Chemical industry. [Rate per hour as of May, 1921.] United States.i Great Britain.' Germany.' Occupation. At currant exchange. At cm-rent exchange. Equivalent pmchasing power.< Equivalent in cost of living.* Laborers: Male $0,390 .272 .674 .557 .500 .683 .544 $0,271 .172 $0,094 .053 .097 .096 $0. 155 .088 .168 .159 $0. 21 1 Female .120 Foremen: Chemical operators .228 Mechanical operator . .216 Process men: Assistants Primarv .312 .094 .155 .211 Secondary I Monthly Labor Review for May, 1920. * Ministry of Labor, "Rates and Hoiu-s of Wages," December, 1920. Amended by the Labour Gazette May, 1921. » German basic wages reported by Statistischer Reichsamt for February, 1920, readjusted to May, 1921, by application of the wage index number published by the Frankfurter Zeitung for the Frankfurt district. * Equivalent purchasing power based on United States and German wholesale price indices. ' Equivalent ptirchasing power based on relative costs of living in United States and Germany. DEPRECIATED EXCHANGE AND INTERNATIONAL TRADE. 59 Table 10f.~ Metallurgical industry. [Rate per hour as of May, 1921.] United States.i Great Britain .2 Germany.' Occupation. At current exchange. At current exchange. Equivalent purchasing power.* Equivalent in cost of living.5 $0,880 .400 .330 .600 .550 .780 .650 .800 .800 .800 .500 .550 .830 .5.50 .880 $0,400 .3.50 .270 .200 .370 .458 ..370 .458 .479 .468 .340 .334 .413 .354 .355 $0,109 .090 .087 .098 .099 .098 .107 .097 .104 .105 .090 .116 .097 .105 .096 $0,182 .150 .145 .162 .165 .163 .179 .160 .174 .177 .150 .192 .161 .165 .159 $0,246 .203 .197 Stamped or pressed metal workers .220 .230 .221 Millers... .242 .228 .236 .239 .203 .261 .218 .224 .215 1 Average estimate by experts of the Tariff Commission of wages paid in the chief commercial districts in the metallurgical industry. 2 The Labour Ga7,ette (British"). ' German basic wages reported by Statistischer Reichsamt for February, 1920, readjusted to May, 1921, by application of the wage index number published by the Frankfurter Zeitung for the Frankfurt district. * Equivalent purchasing power based on United States and German wholesale price indices. 5 Equivalent purchasing power based on relative costs of living in United States and Germany. Table 11. — Foreign wages compiled from private sources of information, January- July, 1921. Industry. France- conversions made at $0,074 per franc. Italy- conversions made at $0,042 per lire. Chemical: $0,111 .130 .1.57 .150 . 130 .143 $n .121 Do Do ..089 Do Do . .063 Do .084 .084 Do .139 . 1(!7 .173 .157 .305 .105 Do... . , .147 Do .112 Do Do .167 Do .231 .444 . 694 .207 .210 Do Do Do Research chemist .167 Do .370 .781 . 185 .315 .:i70 .210 Do Do Do .210 Do . 263 .222 .259 .223 .255 .200 .255 .200 .229 .160 .175 .139 .201 .134 .175 .185 .278 .148 .148 .185 .222 .259 Do Do Do . Do . . Do Do Do . Do Corn products, refining: Do Do 60 DEPRECIATED EXCHANGE AND INTERNATIONAL TRADE. The outstanding feature of the preceding tables is the varia- tion in wages in the United States by industries and processes in the same industry as compared with a relatively constant rate for all employees in Germany. The wages in the building trade, for example, run close to SI an hour in the United States, a little less than 40 cents in Great Britain and almost exactly 10 cents an hour at current rates of exchange in Germany. The wages, based on equivalent purchasing power in terms of wholesale prices in Germany, are something more than 50 per cent higher than at current exchange and "real" wages; namely, the wages in terms of cost of living are over 100 per cent higher than the earnings based on current exchange. Some discussion of the fundamental difference in these various wage calculations for Germany will be given in the proper place below. In the wool and worsted industry American wages are less than half those in the building trade — 40 to 50 cents in the former case as compared with over a dollar in the latter. The few English quota- tions available run around 30 cents per hour. The German textile wages are slightly less than in the building trades — about 8 cents per hour at current exchange and 16 to 18 cents in terms of the cost of living. The comparative wages in transportation and mining as between the United States and Germany show" roughly the same difference as in the other industries. German wages are practically constant at 8 to 10 cents an hour and American rates around 50 cents to $1 per hour. The comparative wages in the chemical and metallurgical industries are especially significant. The standard wage in the United States seems to be from 50 to 75 cents per hour and from 30 to 45 cents per hour in England. Germany, on the other hand, shows a rate averag- ing about 10 cents per hour at current exchange, about 18 cents per hour in terms of the purchasing power over commodities at whole- sale, and from 20 to 25 cents per hour in terms of the cost of living. Inasmuch as many chemical products in Germany are competing directly with similar ones produced in England and the United States, the wage rate at 10 cents per hour at current exchange becomes an important factor. In addition to wages from official sources, some rates were obtained from private firms in the United States having a knowledge of foreign conditions. The data thus obtained are shown in Table 11. The rates in France at current exchange are seen to be anywhere from 15 to 25 cents per hour for ordinary labor. This rate is about half- way between the wages for similar occupations in Germany and in England and less than half the rates in the United States. SIGNIFICANCE OF WAGE COMPARISONS. So much for the bare facts given in the tables. Greater care must be exercised in drawing conclusions from them, however, than from the tables of comparative prices. The price tables may be taken at their face value, so to speak, but wage comparisons involve so many unsettled questions that close attention to the assumptions on which they are based is necessary if sound conclusions are reached. In the first place there is no indication in these tables of the pro- ductivity of labor in the different countries. Not all of the differ- DEPRECIATED EXCHANGE AND INTERNATIONAL TRADE. 61 ences in wage rates among countries shown in the table are due to the exchange situation, but many of them are due to the difference in output per man under the various social and economic condi- tions under which the labor is performed. It is a commonplace that although the per diem wages may be higher in the United States than in Europe the more favorable condition with respect to nutri- tion, equipment, and natural resources under which American laborers work in many industries may render unit costs lower in this country than abroad. This problem constitutes a separate inquiry, however, and it is left out of consideration for present purposes. Another phase of the international wage question which causes considerable difficulty is that of the rate of exchange which should be used in the conversion to American money of the paper wages paid in the various countries. To the superficial observer the current rate of exchange seems to be taken for granted as the proper rate; that is to say, if coal miners in Germany are getting 60 marks per day and the mark is worth 1^ cents in New York the wages are said to be 90 cents in American money. On the other hand, those who are more familiar with the German industrial situation object to such a conversion rate and advocate instead a rate which will indicate more nearly the true purchasing power of German wages. If, for example, the mark has depreciated 18 times in terms of dollar exchange and the cost of living has increased but 10 or 12 times, the true purchasing power of the mark would be equivalent to considerably more than the exchange rate. More exact calculations of the probable purchasing power of wages are indicated in the tables above. In these tables three rates are used for converting German paper wages into American money — first, the ordinary exchange rates as quoted in New York; second, a rate based upon relative wholesale prices in Germany and in the United States; and third, a rate based upon the cost of living for an ordinary family in the two countries. The determination of the rates in the last two cases may be illustrated as follows : The index number ^' of wholesale prices in Germany for May, 1921 — 1,429 — divided into the index for the United States ^^ — ^151 — gives a ratio of 10.57 per cent. This percentage applied to the par of exchange — 23.82 cents — gives a purchasing power parity of 2.517 cents as compared with the dollar exchange for the period of only 1.51 cents. If we apply this parity of 2.517 cents to a German wage of 60 marks per day, we obtain a commodity wage of $1.51 as against an apparent wage of 90 cents per day. Similarly, if we divide the German index for the cost of living" in May, 1921 — 990 — into a similar index for the United States ^^ — 142 — we obtain a percentage of 14.53. This figure applied to the par of exchange brings the purchasing power of the mark in terms of a family budget up to 3.41 cents. " Frankfurter Zeitung, 77 commodities. w In calculating the wholesale purchasing power of German wages in terms of dollars the index numbors compiled by the United States Department of Labor are used instead of the Federal Reserve indices (used in Tables 'ia, 2b, and 2e), because in the number and kind of constituent commodities the former index is better suited to this comiiarison than (ho latter. i< Cost of living in BerUn of family of four by Dr. R. R. Kuczynski, of the statistical office at Berlin- Schoneberg. 1^ Constructed by the United States Bureau of Labor Statistics. Both German and .Vraerican indices given in Federal Reserve Bulletin, July, 1921, p. 847. 599—21 5 62 DEPRECIATED EXCHANGE AND INTERNATIONAL TRADE. It must be emphasized, however, that this last statement is not actually equivalent to saying that a worker in Germany getting 60 marks per day can buy the same amount of necessities of life as an American worker getting $2 per day (GO m. X3.41 cents). The error in such a statement lies in the difference in retail prices in Germany and in the United States for 1914, the base year for the index. The whole calculation rests on the premises that prices in both countries were 100 per cent in 1914, but no assumption whatever is made as to actual prices in the tw^o countries. If, for example, retail prices in Germany in 1914 were only half those in the United States for similar articles, then the actual purchasing power of the mark as here calculated (nearly 3.41 cents) would be doubled. If, on the other hand, prices of necessities were higher in Germany in 1914 than in the United States, the assumed purchasing power of the mark at present is too high. In this connection reference is made to the simi- larity, on the average, of the prewar wholesale prices for 37 commodi- ties in the United States and Germany shown in Table 1 of the text.^^ It will be observed in the preceding calculation that the indices for the cost of living and the wholesale prices in May, 1921, are much farther apart in Germany than in the United States — 990 against 1,428 in Germany and 142 against 151 in this country. The dis- crepancy in Germany is due chiefly to two causes — low rents and food subsidies. Because of governmental control, rents are only 50 to 60 per cent higher than they were in 1914, an item which holds down the indices for the cost of living to a great extent. The food subsidies take the form of Government purchases, largely of imported commodities, at the world market price and their resale to consumers at a substantially lower figure. During the current year (1921) the food subsidies in Germany will be limited practically to breadstuffs, but for the year ending March 31, 1921, there were heavy subsidies of breadstuffs, meats, cooking fats, and potatoes. The exact amount '6 Some evidence of the fact that Gorman laborers were fairly well paid in terms of consimiable goods in 1920 is shown by the foUowmg comparison of waees in the chemical industry and the cost of living in 1914 and 1020: Wages in the German chemical industry and the minimum cost of living, 489 establishments. [Quoted from Statistische Reichsamt by Consul Maurice Parmeleo in special report to the United States Bureau of Foreign and Domestic Commerce under date of May 22, 1921.] Skilled workers. Unskilled workers. 1914 1920 1914 1920 • Cost of living." Wages. Cost of living.o Wages. Cost of living.o Wages. Cost of living.a Wages. Unmarried men 100 100 100 100 232 174 162 135 100 100 100 100 188 131 113 103 100 100 100 100 161 121 106 94 100 100 100 100 175 Married couple 122 Married couple with 1 child 107 Married couple with 2 children 97 a Includes food, fuel, light, and rent only. In commenting on this table Mr. Parmelee says: "These figures illustrate very pointedly that, while skilled workers in this industry were apparently not so well rcmiiiicratod in 1920 as in 1911 in proportion to the cost of living, the unskilled workers were better remunerated in 1920 than in 1914 in proportion to the cost of living. In fact, by the year 1920 the unskilled workers had attained almost as high a Icel of remuneration as the skilltd workers." DEPRECIATED EXCHANGE AND INTERNATIONAL TRADE. 63 paid for these subsidies is not known, but the emergency budget for 1920-21 included an item of 3,000,000,000 paper marks for this pur- pose. The previous year the sum of 7,750,000,000 marks went into subsidies, but it is expected that the current year will see a substan- tial reduction of the item over last year.^^ It is evident that from the point of view of international competi- tion these food subsidies are a mixed ))lessing to Germany. To the extent that relatively cheap food enables German employers to hold down wages, there is an advantage obtained by German manufac- turers in their competition in the world markets. On the other hand, the actual cost of the food must be paid by the German community as a whole, whether the individual or the Government pays the price in the first instance. Special industries and special classes of the population may enjo}' differential advantages because of the sub- sidies, but for the most part the practice is merely robbing Peter to pay Paul. Having applied three conversion rates to German paper wages in these tables, the cjuestion arises as to which rate should be used for particular purposes. In general, the three rates are properly applied, respectively, to three distinct problems. If an industry is directly competing in the American market and producing goods almost exclusively for export, the dollar rate of exchange should be used in converting the foreign cost of producing instead of the higher parity rate. If it be admitted that current rates should be used in con- verting the prices of direct purchases, it seems obvious, if the true competitive position of the foreign producer is determined, that the same rate should apply to the cost of producing goods manufactured solely for export. If goods are sold for dollars and paid for in paper marks, it is a matter of indifference, so far as the rate of exchange is concerned, whether they were bought directly or indirectly through wa^e payments. On the other hand, in comparing the industrial situation in Ger- many and the United ^States with respect to the relation of wages and other costs of production a conversion rate based on the general purchasing power of money in each country should be used. The commodity equivalent of wages is important in determining the drift to or from large-scale production involving great ciuantities of raw materials and heavy outlays for machinery and equipment. In general, the low wages in Germany as compared v/ith commodity prices, especially of imported materials and e(piipment, tend to dis- courage large-scale production there and to shift the industrial activi- ties toward the industries in which labor is the predominant element of cost; that is to say, Germany may best profit in world trade by selling her labor in the form of highly wrought goods, such as optical instruments, toys, and complex chemical, metallurgical, and textile products. If the third problem in relation to wages is considered, namely, their equivalent in the necessities of life, a conversion rate based on the cost of living in Germany as compared with the United States is the proper hgure. Not only is this true when the pro1)able physical condition of labor due to proper nourishment is the point at issue. >' Special report of Howard W. Adams to United States Bureau of Foreign and Domestic Commerce, May 31, 1921. 64 DEPRKCIATED EXCHANGE AND INTERNATIONAL TRADE. but also it is the proper rate when the ''real" cost of labor to the German community is sought; that is to say, the relative amounts of food, clothing, and shelter which labor is able to exact from a community for its service is the actual wage and the true measure of the cost of production. Some manufacturers producing goods for export may be able to compete temporarily in foreign markets because of low exchange rates alone, but, in general, the competitive position of Germany in world trade will be determined, so far as wages are concerned, by the commodity equivalent of wage payments. The Exchange Problem and the Tariff. A fundamental assumption in the foregoing discussion runs to the effect that when the purchasing power of a given money becomes the same at home and abroad the exchange problem for the particular country is solved for the average run of commodities. There are many qualifying circumstances affecting this rule, an important one of wliich is the fact that the index numbers used to measure the purchasing power of money at home and abroad are often inade- quate, but in general the doctrine is sound. If the foregoing proposition is accepted, a glance at Tables 2a and 2b shows that the American tariff problem with respect to England and France, so far as the exchange situation alone is concerned, has largely been eliminated by the adjustment to an approximate equality of the external and internal purchasing power of the moneys of each country with respect to the commodities whose prices are included in the index number used in the comparisons. The ratios of whole- sale prices in each of these countries to American prices were almost equal during 1921 to the rate of exchange for sterling and franc bills; that is to say, on the average the American purchaser buying these goods in either country would have to pay a paper price sufficiently high to offset the low rates of exchange. In the case of Germany, however, the internal and external pur- chasing power of the mark has not been equalized and there is a premium on exports from that country to the United States to the extent that the price ratios exceed exchange rates. This excess is about 97 per cent, according to Table 2c (the current exchange is SO. 0097 and the purchasing power parity is SO. 01 91 in September, 1921). Stated in other terms, this discrepancy means that, on the average, aside from artificial restraints of trade, an American im- porter can buy in Germany for $1 goods worth about $2 in this coun- try. It should be borne in mind that this statement applies only to American and German prices as measured by index numbers. Par- ticular commodties may or may not show such discrepancies. Furthermore, the question of physical and political barriers against trade are important. Not only is there a scarcity in Germany of many articles of commerce, but the export prices for many commodities are higher than the ruling domestic price and some exports are pro- hibited altogether. The tariff problem as affected by the exchange situation is brought into sharper focus by the price comparisons of particular commod- ities. As a rule the gold prices for standard articles are about the same the world over. More exceptions are found in German mar- kets than elsewhere, but even there the adjustment has largely been DEPRECIATED EXCHANGE AND IXTERN ATIONAL TRADE. 65 made in the absence of artificial restraints of trade. For commod- ities in which the gold price adjustment has taken place there are no special profits to be made in international dealings because of the exchange rates; therefore special duties to offset the exchange are largely unnecessary. It is erroneous to suppose, however, that off- setting duties would be entirely inoperative even where the price adjustment has taken place, because in some cases, especially in Ger- many, the magnet of premium money in other countries is so strong that the domestic supply of German commodities is skimped to sup- ply the foreign demand. ^^ The relation between foreign wages and international exchange is also closely connected with the tariff problem. Even after inter- national prices for standard articles have adjusted themselves, it may be true that wages are seriously maladjusted with respect to inter- national values. In the long run the purchasing power of money in terms of labor will adjust itself to a normal gold basis, but the change will be slow because of the immobility of labor and the social habits of the various countries. Furthermore, the "normal gold basis" will never approximate an equality of wages among nations either per diem or per unit of product, because of the various social and economic con- ditions under which men labor. For this reason care must be exer- cised in assuming that wage differences in the tables shown are due to exchang.es alone. In the case of England, the situation is uncertain. The rates per hour for the industries compared are usually about half those pre- vailing in this country, but most of this discrepancy is probably due to causes other than the depreciation of sterling, because the exchange discount is not sufficiently large to account for more than a fraction of the difference in wages. In the case of Germany, however, the evidence is clear. German manufacturers have a great advantage in world trade because of the prevailing low wages as compared with the value of the commodities produced for export. The extent of this advantage is not the whole difl'erence between German and American wage rates (about 10 cents per hour in the former country at current exchange as compared with 50 or 75 cents per hour in the latter), because of the difierence in the productivity of labor in the two coun- tries. That there is, however, a lower labor cost due to exchanges alone for the average German products in terms of gold than for similar products in the United States is beyond question. Practically all the data presented in this report point to this conclusion. Prices, whether measured by index numbers or shown for individual com- modities; wages converted at the various purchasing powers of money — gold rates, relative wholesale values, and cost of living; higher prices for export than for the domestic market, all point to the advantage enjoyed by employers of German labor in producing com- modities for the world trade. That this advantage is not a greater factor in the competition with other countries is due largely to the physical and artificial restraints of trade yet imposed on the German producers. 18 When the domestie price of a particular product is as high as the foreign price (the assumption under- lying the present argument) it is a matter of indilTerencc to the German nuunifaclurers whether they sell to the home or export trade, but, according to the table, the ruling world jtriee is so high as compareirwiih the prices of the general run of domestic products that the home market will sharply restrict its demands for the overvalued article. 66 DEPRECIATED EXCHANGE AND INTERNATIONAL TRADE, The foregoing considerations indicate that great difficulty would be experienced in levying and administering a tariff to offset the low rates of exchange. A flat rate of duty against all products from all countries obviously will not accomplish the purposes intended, be- cause of the different degrees of price adjustment to an international gold basis. Not only is there a difference in the extent of this adjust- ment among countries, but the prices of different products in the same country are affected in different degrees by paper inflation. For this reason offsetting duties should be levied on specific products and the rates should be fixed with an eye to the particular source from which protection is sought. Moreover, the list of commodities given special protection should be revised from time to time because, as the adjusting process goes on, products are constantly shifting from the class whose prices are fixed locally in paper money to the class of goods whose prices are on an international gold basis and which, therefore, require no offsetting duties against the exchange rate. Appendix A. Purchasing power parities and rates of exchange. CANADA. Period. Federal Reserve Board index No. Canadian index No. Percentage which United States index is of Canadian index. Parity of purchasing power.' E xchange rate. Percentage which col- umn 5 is of column 6. 1913 1919. January February March April May June July August September October November December 1920. January February March April May June July August September , October November December 1921. January February March April May June July August September 195 189 191 196 202 203 211 218 211 212 219 226 241 241 248 263 264 258 250 234 226 208 190 173 163 154 150 143 142 139 141 143 143 100 212 207 205 206 210 210 218 223 223 222 227 240 248 254 258 261 263 258 256 244 241 234 225 214 208 199 194 187 183 179 176 174 172 $1. 0000 91.99 91.31 93.18 95.15 96.19 96.67 96.79 97.76 94.62 95.50 96.48 94.17 97.18 94.89 96.13 100.77 100.39 100. 00 97.66 95.91 93.78 88.89 84.45 80.85 78.37 77.39 77.32 76.48 77.60 77.66 SO. 18 82. 19 83.14 $0.9199 .9131 .9318 .9515 .9619 .9667 .9679 .9776 .9462 .9550 .9648 .9417 .9718 .9489 .9613 1.0077 1.0039 1. 0000 .9766 .9591 .9378 .8889 .8445 .8085 .7837 .7739 .7732 .7648 .7760 .7766 .8018 .8219 .8314 .9750 .9718 .9710 .9625 .9559 . 964 3 . 9637 . 9550 .9278 9125 8768 8975 9112 9031 8812 8843 8856 9038 9113 8938 8607 8806 8800 8901 8968 8859 8819 97.60 98.98 99.56 100.58 102. 27 98.13 99.10 101.03 101.50 106.50 108. 23 107. 11 110.60 111.16 113. 48 110.44 108. 30 103.76 97.54 94.48 93.94 89.06 87.88 87.86 85. 92 86.53 87.66 90.92 91.54 92.52 ' Column 5 is derived by applying the percentages in column 4 to the par of exchange— $1 in this case. 67 68 DEPKECIATED EXCHANGE AXD IKTERNATIONAL TEADE. Purchasing power parities and rates of exchange — Continued. AUSTRALIA. Period. 1 Federal Reserve Board index No. 2 Australian index No. 3 Percentage which United States index is of Australian index. 4 Parity of purchasing power.' 5 Exchange rate. 6 Percentage which col- umn 5 is of column 6. 7 1913 100 195 189 191 196 202 203 211 218 211 212 219 226 241 241 248 263 264 258 250 234 226 208 190 173 163 154 150 143 142 139 141 143 143 100 172 168 169 171 172 173 176 182 185 200 199 197 203 206 209 217 225 233 234 236 230 215 208 197 196 192 181 171 166 162 159 160 160 $4.8665 1919. 113.38 112. 50 113. 02 114. 62 117.44 117. 35 119. 89 119.79 114.06 106.00 110.06 114. 73 118.72 117.00 118.67 121.20 117.34 110. 73 106.84 99.16 98.27 96.75 91.35 87.82 83.17 80.21 82.90 83.63 85.55 85.81 88.68 89.38 89. 3S $5. 5176 5. 4748 5.5001 5. 5779 5. 7152 5. 7108 5.8344 5. 8295 5. 5507 5. 1584 5.3.560 5.5833 5. 7775 5.6938 5. 7750 5. 8981 5. 7103 5. 3886 5. 1993 4. 8256 4. 7823 4. 7083 4. 2455 4.2737 4.0474 3. 9034 4. 0343 4.0698 4. 1632 4. 1759 4.3156 4.3500 4.3500 Marrh Maj' June July August 4. 2675 4. 2175 4.2050 4.1050 3.8600 3.6950 3.3850 3.7050 3.9675 3.8900 3.9700 3.8493 3.6650 3. 5450 3. 4850 • 3. 4375 3. 5100 3.7325 3. 8912 3.9287 3.9550 3.9625 3.7900 3.6320 3.6510 3. 7240 136. 60 September 131.61 October 122.67 November 130. 47 D ecember 144.65 1920. January 156.36 February 168. 21 March 155. 87 April 148. 66 Mav 146.79 135. 73 135. 07 131.67 September 134. 90 October 135. 10 November 123. 51 December 121. 76 1921. 108. 44 100.31 April 102. 69 102. 90 May 105. 07 June 110.20 July 118. 82 August 119.14 116. 80 1 Column 5 is derived by applying the percentages in column 4 to the par of exchange — $4.8665 in this case. DEPRECIATED EXCHANGE AND INTERNATIONAL TRADE. G9 Purchasing poucr parities and rates of exchange — Continued. JAPAN. Period. 1 Federal Reserve Board index No. 2 Japanese index No. 3 Percentage which United States index is of Japanese index. 4 Parity of purchasing power. 1 5 Exchange rate. 6 Percentage which col- umn 5 i.s of column 6. 7 1913 100 195 189 191 196 202 203 211 218 211 212 219 226 241 241 248 263 264 258 250 234 226 208 190 173 163 154 150 143 142 139 141 143 143 100 214 213 206 206 214 228 247 251 257 271 280 288 301 313 321 300 271 247 239 235 230 ■ 226 221 206 201 195 191 190 191 192 196 199 207 1 $0. 4985 .5175 .5125 •. .5087 . 5106 .5156 .5112 . .5087 .5062 . 50.56 .5062 . 50.50 .5025 .4968 . 4825 .4750 .4862 .5087 .5040 .5131 .5131 . .5131 ..5106 .5050 .4993 . 4850 .4737 .4837 . 4825 .4831 .4900 .4801 .4836 .4820 1919. January... 91.13 88. 74 92.72 95.15 94.40 89.04 85.43 86.86 82.11 78.23 78. 22 78.48 80.07 77.00 77.26 87.67 97.42 104. 46 104. 61 99.58 98.27 92.04 86.00 83.99 81.10 78.98 78.54 75.27 74.35 72.40 71.94 71.87 69.10 SO. 4542 .4423 .4622 .4743 .4705 . 4438 .4258 .4329 .4093 .3899 . 3899 .3912 .3991 .3,838 . 3851 .4370 .4856 .5207 .5214 .4964 .4898 . 4588 . 4287 .4186 .4012 .3937 .3915 .3752 .3706 .3609 ..3586 . 3585 .3444 87.77 February 86. 31 March . ." 90. 86 Anril 92.90 May 91.26 June 86.82 July 83.71 August . . . .. 85. 52 September 80.96 October 77.03 November 77.21 December 77.86 1920. January ,80. 34 February 79.55 March . ." 81. 07 April 89.88 Mav 95.46 June 10?. 32 July 101.62 August ... 96.75 95. 46 October 89.86 November 84.80 December 83.84 1921. JanuarA' 83.34 February 83.11 March 80.94 A pril 77.76 May 76.71 73.65 July.. 74.70 August 74.13 September 71.45 Column 5 is derived by appljang the percentages in column 4 to the par of exchange — $0,498 in this case . 70 DEPKECIATHD EXCHANGE AND INTERNATIONAL TRADE. Purchasing power parilus and rates of exchange — Continued. ITALY. Period. 1 Federal Reserve Board index No. 2 Italian index No. 3 Percentage which United States index is of Italian index. 4 Parity of purchasing power.' 5 Exchange rate. 6 Percentage which col- umn 5 is of column 6. 7 1913 100 195 189 191 196 202 203 211 218 211 212 219 226 241 241 248 263 264 258 250 234 226 208 190 173 163 154 150 143 142 139 141 143 143 100 324 320 324 329 336 356 359 368 370 388 436 455 504 557 602 664 660 632 604 625 655 659 670 655 642 613 604 584 547 509 520 542 580 $0. 1930 .1570 .1571 .1417 .1370 .1235 .1254 .1205 .1096 .1022 .0975 . 0853 .0770 .0693 .0558 .0526 ,0434 . 0532 .0581 .0574 .0493 .0443 . 0395 .0364 . 0352 .0360 .0367 .0389 .0449 .0521 .0503 .0452 .0431 .0420 1919. Januarv 60.19 59.07 58.96 59.58 60.12 57.03 58.78 59.24 57.03 54.64 50.2:3 49.68 47. 82 43. 27 41.20 39.61 40.00 40.83 41.40 37.44 34.51 31. 57 28.36 26.42 36.14 35.08 24.84 24.49 25.96 27.31 27.12 26.39 24.66 $0.1161 .1140 .11.37 .1149 .1160 .1100 .1134 .1143 .1100 .1054 .0969 .09.58 . 0922 .0835 .0795 .0764 .0772 .0788 .0799 .0722 .0666 .0609 .0547 .0509 .0697 .0677 .0479 .0472 .0501 .0527 .0523 .0509 .0476 73.95 February 72.57 March 80.24 April . .. 8.3.87 Mav 93.93 June 87.72 July 94.11 August 104.30 September 107. 63 October 108.11 November 113. 60 December 124. 42 1920. 1 anuarv 133. 05 February 149. 64 March 151.14 April 176. 10 May 145. 11 June 135. 63 July 139. 20 August -. 146.45 September 150. 34 October 154.20 November 15(>. 28 December 144.60 1921. January 193. 61 February 184.47 March 123. 14 April 105. 12 May 96.16 June 104.77 July 115.71 August 118.10 September 113. 33 'Column 5 Is derived by applying the percentages in column 4 to the par of exchange— 10.193 in this case. DEPRECIATED EXCHANGE AND INTEENATION.\L TRADE. Purchasing power parities and rales of exchange — Continued. SWEDEN. Period. 1 Federal Reserve Board index No. 2 Swedish, index No. 3 Percentage which United States index is of Swedish index. 4 Parity of purchasing power.' 5 Exchange rate. 6 Percentage which col- umn 5 is column 6. 7 1913 100 195 189 191 1% 202 203 211 218 211 212 219 226 241 241 248 263 264 258 250 234 226 208 190 173 163 154 150 143 142 148 141 143 143 100 369 358 354 339 330 324 320 321 319 307 308 317 319 342 354 354 361 366 363 365 362 346 331 299 267 250 237 229 218 218 211 198 182 $0. 2680 .2860 .2807 .2742 .2687 .2591 .2580 .2442 .2445 .2435 .2395 .2307 .2147 .2042 .1702 .2010 .2162 .2120 ,2172 ,2155 ,2052 .2005 .1960 .1900 .1955 .2102 .2221 .2288 .2339 .2330 .2249 .2104 .2111 .2178 1919. January 52.84 52.80 53.96 57.82 61.22 62.66 65.94 67.92 66.15 69.06 71.11 71.30 75.55 70.47 70.06 74.30 73.14 70.50 68.88 64.11 62.44 60.12 57.41 57.86 61.06 61.60 63.30 62.45 65.14 63.77 66.83 72.23 78.58 $0. 1416 .1415 .1446 .1549 .1640 ,1679 .1767 ,1820 .1772 .1850 .1905 .1910 .2024 .1888 .1877 .1991 .1960 .1889 .1845 .1718 .1673 .1611 .1538 .1550 .1636 .1650 .1696 .1673 .1745 .1709 .1791 .1935 .2106 49.51 50.41 March 52.74 April 57.65 63.30 June 65.08 July 72.36 74.44 September 72.77 ■October 77.24 82.58 December 88.% 1920. January 99.12 110.93 March 93.40 April 92.10 92.45 86.97 July 85.62 August 83. 7i 83.44 October 82.20 November 80.95 December 79.28 1921. 7.84 February 74.29 74.13 April 71.53 74.90 76.00 July 85.08 91.67 96.70 Column 5 is derived by applying the percentages in column 4 to the par of exchange— $0,268 in this case. Appendix B. Comparative prices. ALUMINUM. [Pound.] NewYork.1,2 Great Britain.' Germany.'' Period. ^ Exchange. Exchange. Par. Current. Par. Current. 1914. January . «0. 1875 .1887 .1875 .1825 .1825 .1707 .3300 .3150 .3150 .3000 .3300 .3300 .3250 .3300 .3300 .3300 .3300 .3300 . 3275 .3300 .3300 . 3300 .3300 .3300 .3300 .3300 .3490 .3480 .3290 .3200 .2840 .2840 .2825 .2825 . 2825 .2825 .2825 .2475 .2475 February. . March . .". April May June 1919. January February. . . March •. April • May June $6. 3259 .3259 .3259 .3259 .3259 .3259 .3259 SO. 3107 .3075 .2922 .2808 .2808 .2791 .2681 July August September October November December 1920. January February March .3689 .4019 .4019 .4019 .4019 .4019 .4019 .4019 .4019 .4019 .3585 .3585 .3259 .3259 .3259 .3259 .3259 .3259 .2498 .2596 .3252 .3170 .3242 .3265 .3072 .2940 .2866 .2847 . 2884 .2604 .2816 .2607 .2631 .2662 .2619 .2389 .2501 .1923 April 1 May June 1 July 1 August Septpml)er October November December 1921. January $3.42 2.88 2.85 2.83 $0. 1963 February .1917 March . 1970 April .1903 May June July August 1 Dutiable at 2 cents per pound. 2 (irade: Ingot, 98-99 per cent. Source: The Engineering and Mining Journal. ' Grade: Export 98-99 per cent. Source: The Iron and Coal Trades Review. < Grade: Ingot, 98-99 per cent. Source: Chemiker Zeitung. 72 DEPRECIATED EXCHANGE AND INTERNATIONAL TRAD]':. 7;i Comparative prices — Continued. BILLETS. [Gross ton.) Pitts- burgh.' England and Wales.' Germany.' France.^ Belgium.-" Period. Exchange. Exchange. Exchange. Exchange. Par. Current. Par. Current. Par. Current. Par. Current . 1914. January . . . February. . $20. 00 21.00 21.00 21.00 20.00 20.00 43.50 43.50 43.50 38.50 38.50 38.50 38.50 38.50 38. 50 38. 50 38. 50 43.00 48.00 52. 50 60.00 60.00 60.00 60.00 65.00 65.00 60.00 55.00 5.5.00 43.50 43. 50 43. 50 38. 50 38. 01) 37.00 37. 00 33. 00 30. 00 29.00 29.00 $21. 14 $18. 50 18.37 18.50 17.88 17:65 17.40 $26. 77 26.77 26.77 26.77 25.55 21.14 April 21.14 1919. $70. 09 94.23 94.23 , 94.23 97.88 97.88 97. 88 134. 14 134. 14 182. 48 193.39 354. 09 363. 55 546. 24 561. 95 561. 95 755.31 658. 84 658. 84 571. 80 571. SO 571. 80 482. 34 482. .34 $:?0. 50 47.80 38. 33 36.24 30.92 28.44 31. 13 33. 83 24.52 33. 54 26.40 34.95 31. .30 34.41 23.81 33.50 ,55. 20 72.55 72.55 55. 24 49.00 38.44 26. 33 29.46 February. . "March . April May July August September 66.92 73.00 73.00 73.00 74.22 80.30 87.60 99.79 107.06 119.22 119.22 126. 53 126. 53 111.93 111.93 104. 63 87.60 82.73 77.86 70. 56 65.70 63. 26 63.26 5.5.96 61.10 46.23 41.37 36.50 $63. 14 65.44 62.90 62.90 63.56 66.06 68.40 71.16 75.36 96. 46 94.00 102. 10 102. 78 85.55 81.99 74.61 62.06 59.37 56.56 55.42 52. 56 50. 17 51.68 44.97 37.45 35.47 3L84 27.96 December 1920. February.. April May June July August September. October. . . November. December . 1921. January. .. 185. 27 185. 28 191.35 191.35 191.35 151. 55 151.55 151. 55 146. 06 146. 06 117.63 107. 83 107. 83 82.35 58.82 60.78 54.90 $74. 59 79.02 75.65 68.62 65.84 49.63 47.66 46.72 .53. 04 54.64 42.41 43.57 47.33 32.57 25. 08 24. 79 20. 16 235. 27 235. 27 188. 22 159. 79 159. 79 149. 49 127.44 117.63 102. 93 100.48 77.44 65.68 65.68 62.74 62.74 52.45 64.70 $99. 54 105. 58 79.30 61.28 58.47 51.82 42.40 37.91 February.. 39. 47 March 39. 15 April 29.21 May 26.47 June 28.82 July 23.96 August September. 362. 55 20. 45 25.91 20. 76 October . . . 507.60 16.92 23. 47 1 Grade: O. H. billets. Source: The Iron Age. ' Grade: Soft steel, d/d. Source: The Iron and Coal Trades Re\'iew. 2 Source: The Iron Trade Review. • Source: The Iron and Coal Trades Review. 74 DEPRECIATED EXCHANGE AND INTEE:K^ATI0NAL TRADE. Comparative prices — Continued. HIGH-SPEED STEEL. [Pound.] New York.i'i England.3 Period. Exchange. Par. Current. 1920. $0. 9122 .9122 .9122 .9122 1. 0338 1.0338 $0. 7124 . 6503 . 6420 $1.25 .7380 May .8152 i.25 1.27 1.25 1.25 1.25 1.25 1.25 1.25 1.25 .8340 July 1. 0338 1. 0338 .7902 .7564 October .. 1. 0338 1. 0338 .9730 . 9730 .9730 .9122 .9122 .9122 .9122 .9122 .9122 .7324 .7420 1921. January .7068 .7642 March .7783 April . . . . 1.00 1.00 .95 .95 .95 .95 .7362 May .7452 . 7329 July .. .6686 .6999 .7022 1 Dutiable at 15 per cent. ' Grade: High-speed steel — 18 per cent tungsten. Source: The Iron Age. 3 Grade: High-speed tool steel — finished bars, 18 per cent. Source: The Iron and Coal Trades Review. DErPiEClATED EXCHANGE AND INTERNATIONAL TRADE. 75 Comparative prices — Continued . STEEL BARS. [Pound.] Period. Pitts- burgh.'- 1919. January... February.. March April May June July August Se])tember October. . . November. December . 1920. January... February.. March April .. May June July August September October . . . November. December . 1921. January... February. . March April May June July August September SO. 0270 .0270 .0270 .0235 . 023.5 .0235 .0235 . 0235 . 0235 .0235 . 02.50 .0275 .0275 .0300 . 0350 .0375 .0375 . 0350 . 0350 . 0325 . 0325 .0325 .0.300 .0235 . 0235 .0235 .0200 .0200 .0210 .0210 . 0190 .0175 .0170 Great Britain.' Exchange. Par. Current. Germany.* E.xchange. Par. Current. $0. 0412 .$0. 0339 .0472 . 0368 . 0510 .0304 .0618 . 0435 .0618 .0500 .0618 .0487 .0695 .0560 .0673 .0547 .0095 .0531 .0395 . 0.509 . 0052 .0465 . 0630 .0446 .047S .0343 . 0456 . 0.331 .0369 .0290 .0348 .0278 . 0347 .0280 . 0293 .0239 .0293 .0235 .0282 .0207 .0272 .0209 .0250 .0192 $0. 0361 .0469 .0469 .0469 . 0593 . 0.593 .0593 .0804 .0804 .1074 .1074 .1882 . 1883 .2805 i 2859 .2859 .3938 .3454 .3454 .3065 . 3065 .3035 .2633 .2633 $0. 0157 .0238 .0191 .0180 .0187 .0172 .0189 .0203 .0147 .0197 .0147 .0186 .0162 .0177 .0121 .0170 .0288 .0380 .0380 .0296 . 0263 .0206 .0144 .0161 France.' Exchange. Par. Current. Belgium.5 Exchange. Par. Current. 1272 1272 1272 1272 1272 1053 1053 .0877 .0877 .0790 .0656 .0656 .0613 .0394 .0350 .0324 0512 0542 0503 04.56 0438 0345 0331 .0270 .0318 .0295 .0236 .0265 .0269 .0156 .0149 .0132 SO. 1316 1316 1119 0985 0899 0811 0724 SO. 0557 0590 0501 0370 0329 0281 0241 0658 .0212 0614 .0235 0526 .0205 0415 .0156 0394 .0158 0381 .0167 0350 .0134 0333 .0138 0324 .0128 1 Dutiable at 10 per cent ad valorem. ' Source: The Iron Age. > Grade: i to 3 inch. Source: The Iron Trade Review. < Grade: Bar.s. rounds, and rods. Source: The Iron Trade Review. 'Grade: Merchant bars. Source: The Iron Trade Review. 76 DEPRECIATED EXCHANGE AND INTEEJSTATIONAL TRADE. Comparative prices — Continued. STEEL PLATES. [Pound.] Pitts- burgh.'. 2 England and Wales.3 France.* Germany. 5 Belgium.' Period. Exchange. Exchange. Exchange. Exchange. Par. Current. Par. Current. Par. Current. Par. Current. 1914. $0. 0120 . 0120 .0120 . 0115 . 0115 .0110 . 0300 . 0300 .0300 .0265 .0265 .0265 .0265 .0265 .0265 . 0250 . 0265 . 0265 .0265 .0350 . 0350 .0375 .0375 .0375 .0350 .0325 .0325 .0325 .0285 .0265 . 0265 .0250 .0210 .0200 .0220 .0220 .0190 .0180 .0170 $0.0142 .0142 .0142 .0142 .0142 .0142 .0250 .0304 $0.0112 $0.0107 .0106 .0105 . 0105 . 0103 .0102 March . . .0109 April May .0108 1919. January. .. $0. 0244 .0297 .0405 . 0540 .0540 . 0540 .0664 .0664 .0664 .0901 .0901 .1279 . 1279 .2412 .2411 . 3685 .3706 .3706 .5071 .4359 .4359 .3879 .3879 . 3879 .3334 .3334 $0. 0176 .0274 .0220 . 0208 .0210 .0193 .0211 .0227 .0165 . 0235 .0175 .0238 . 0208 .0232 .0157 .0221 .0371 .0480 .0480 .0375 .0332 .0261 .0182 .0204 February.. March . . . April .0369 .0355 May June July August . 0396 .0355 September October. . November. December . 1920. January. . . .0467 .0511 .0511 .0511 .0511 . 0511 .0511 .0511 .0511 . 0532 .0532 .0521 .0521 .0478 .0456 .0412 .0412 .0412 . 0326 .0326 .0304 .0365 .0364 .0360 .0413 .0403 .0412 .0415 .0391 . 0374 .0379 .0377 .0374 .0378 .0375 .0365 .0332 .0338 .0331 .0239 .0250 .0234 February.. March ..... .1050 . 1138 .1312 .1447 .1447 .1360 .1228 .1184 .1096 .1009 .0811 .0768 .0869 .0547 .0.534 .0530 .0460 .0403 .0416 $0. 0399 April .0429 May .0436 June July August September October.. . November. December . 1921. January . . . $0. 1391 .1618 .1618 .1618 .1618 .1443 . 1421 .1096 .1096 .1009 .0744 .0918 .0766 .0639 .0613 .0613 SO. 0560 .0690 .(3640 .0580 •. 0557 . 0473 .0447 .0338 . 0398 .0377 .0268 .0371 .0336 .0253 .0261 .0250 .0612 .0649 .0573 .0471 . 0433 . 0378 . 0336 .0261 February. . .0294 March. . 0261 April.. May June July . 0206 . 0215 .0233 .0176 August .0166 September .0165 1 Dutiable at 12 per cent ad valorem. 2 Grade: Tank plates. Source: The Iron Age. 3 Grade: Steel platc;s, ship, bridge, and tank. Source: The Iron and Coal Trades Review. < Grade: Plates, bridge, and lank, 5 mm. and thicker. Source: The Iron Trade Review. 6 Grade: Finished steel plates, over 5 mm. Source: The Iron Trade Review. « Grade: Plates, iVinch. Source: The Iron and Coal Trades Review. DEPRECIATED EXCHANGE AND IN lEli NATIONAL TRADE, 77 Comparative prices — Continued. STEEL HOOPS. [Pound.] Pitts- burgh.!. 2 England and Wales.' Germany.' Period. Exchange. Exchange. Par. Current. Par. ■ Current. 1914. SO. 0135 . 0130 .9130 .0125 .0125 .0125 .0330 .0330 . 0330 .0305 .0305 .0305 . 0.305 .0305 .0305 . 0305 . 0305 .0325 .0325 .0350 .0400 . 0400 .0500 .0500 .0550 .0550 .0550 .0550 .0500 .0305 .0305 .0305 .0280 . 0275 .0275 .0275 .0250 .0240 .0225 $0.01.53 . 0153 .01.53 .0153 .0153 .0142 .0401 Mav 1919. SO. 0392 .0423 1 .0414 .0450 ! .0432 .0450 1 .0433 . 0505 . 0494 Mav .0505 .0505 .0537 .0537 .0537 .0537 . 0537 . 0586 .0597 . 06S9 .0770 .0760 .0793 .0481 .0475 .0481 .0463 .0463 .0460 .0142 .0458 .0426 . 0485 .0623 .0599 .0640 July 1920. $0. 2077 .3086 .3129 .3129 .4370 .3868 .3868 .3437 .3437 .3437 .2956 .2956 $0. 0179 February. . .0194 ^arch .0133 .0186 Mav .0319 .0425 .0793 1 .0644 .0426 .0793 .0793 .0793 . 0793 . 0600 . 0580 . 0565 . 0562 .0332 .0295 October . . . .0231 .0161 December .0684 1 .0491 .0581 .0422 .0500 .0393 .0435 ! .0.348 .0380 : .0307 .0.380 1 .0310 .0358 .0288 . 0369 . 0270 .0326 .02.50 .0326 i .0251 .0181 1921. May 1 Dutiable at 10 per cent ad valorem. ' Source: The Iron Age. ' (irade: Staffordshire. Source: The Iron and Coal Trades Review. * Source: The Iron Trade Review. 599—21 6 78 DEPRECIATED EXCHANGE AND INTERNATIONAL TRADE. Comparative prices — ContiniKul. STEEL U.VILS. [Ton.) Pitts- burgh.! England .s Germany .3 Belgium.'' Period. Exchange. Exchange. Exchange. Par. Current. Par. Current. Par. Current. 1914. January . . . . $28.00 28.00 28.00 28.00 28.00 28.00 55.00 55.00 55.00 45.00 45.00 45.00 45.00 45.00 45.00 45.00 45.00 45.00 45.00 45.00 45.00 55.00 55.00 55.00 55.00 55.00 55.00 55.00 5.5.00 55.00 45.00 45.00 45.00 45.00 45.00 45.00 45.00 45.00 45.00 $29.81 31. a3 31.63 29.81 29.81 29.81 52.92 65.10 $28.52 Februarv March . ." 28.52 April May 28.52 June 1919. January $51.74 63.65 72.51 96.68 96.68 96.68 137.76 137. 76 137.76 137. 76 137.76 $31.55 49.04 39.32 37.17 43.53 40.00 43.82 34.75 25.18 Fcbruiirv March . .". . . April May June July August 80.30 72.00 September October November.. December 1920. January 91. 25 91.25 96.12 102. 20 111.93 111.93 111.92 121. 60 121. 06 121.06 121.66 121.66 121. 66 102. 20 87.60 73.00 73.00 73.00 08. 13 68.13 68.13 71.27 65.07 67.65 82.70 88.20 90.30 90. 92 92.99 89.00 86.76 86.38 87.11 88.36 80.28 70.06 58.93 59.62 58.65 49.93 52.27 52.44 635. 25 671. 55 686. 67 54.70 42.30 29.11 February. . March April May 912. 82 802. 70 802. 70 713.24 713.24 713.24 616.53 616.53 66.72 88.36 88.36 69.09 61.12 47.92 33.65 37.66 June $294. 09 294.09 249.98 215.66 205.86 183.80 161.75 151.94 1.37. 24 127.44 120. 93 98.03 98.03 98.03 88.23 88.23 $124. 42 July 132. 00 August 105. 31 September October 82.70 75.32 November December 1921. January 63.73 53.81 48.97 February 52.62 March 49.66 April 38.82 May 39.52 June 43.02 July 37.44 August 36.44 September 34.93 ! Grade: Bessemer, heavy, at mill. Source: The Iron Age. 2 (irade: Steel, heavy, 60 pounds. Source: The Iron and Coal Trades Review. 3 (■radu: (iovernment. Source: The Iron Trade Review. < Cirade: Standard. Source: The Iron Trade Review. DEPRECIATED EXCHANGE AND INIEKXATIOXAL TRADE Comparative prices — Continued. TIN PLATES. [100 pounds.] 79 rerioJ. Pitts- burgh. ''2 Great Britain.' South Wales and England.* Exchange. Exchange. Par. Current. Par. Current. January . . . 1914. $3.40 3.25 3.30 3.30 3.30 3.30 7.35 7.35 7.35 7.00 7.00 7.00 7.00 7.00 7.00 $2.87 2.96 2.99 2.93 2.90 2.77 February. . March A pril May January. .. 1919. 116. 79 S16. 42 February. . March April May June July August September October. . . i 7.00 November. December. January. .. 7.00 7.00 7.00 7.00 " 7.00 7.00 7.00 7.00 7.00 9.00 9.00 9.00 8.50 7.00 7.00 7.00 7.00 7.00 6.25 6.% 5.75 5.25 5.25 1920. 13.50 15.77 16.45 17.46 17.12 16.67 16.00 13.29 12.95 12.39 9.23 9.12 7.43 7.43 6.30 4.90 4.90 5.65 5.43 5.32 4.79 10.54 11.25 11.51 14.12 13.50 13. 45 13.00 10.16 9.48 8.83 6.54 6.54 5.40 5.84 5.04 3.95 4.00 4.54 3.98 4.08 3.69 February. . March April May June July August September. October. . . November. December. January 1921. February March April May June . July September. 1 Dutiabl UJrarle: * (Jrade: < Grade: e at 15 per cent ad valorem. 100-pound box. Source: Ttie Ir I. C. cokes, 20 by 14, 112 sheets, Bessemer steel coke, lOS-pound r>n Age. OS-pound be box. Sourc X. Source: e: The Iron The Iron an and Coal Tr d Coal Trad( ades Review is Review. 80 DEPRECIATED EXCHANGE AXD IXTEKXATlONAL Tr^ADE. Comparative prices — Continued. WIRE RODS. [Gross ton.] Pitts- burgh. 1.5 Great Britain.' Germany.* Period. Exchange. Exchange. Par. Current. Par. Current. 1914. S25. 00 26.00 26.50 26.00 26.00 24.50 57.00 57.00 57.00 52.00 52.00 52.00 52.00 52.00 52.00 52.00 58.00 58.00 60.00 60.00 70.00 70.00 70.00 75.00 75.00 75.00 75.00 75.00 70.00 57.00 57.00 57.00 52.00 52.00 48.00 48.00 45. 00 42.00 40.00 $23. 84 23.72 23.48 23.11 22.75 22.51 1919. Atay July ! 1920. 483. 40 754. 10 761. 35 761.35 1,003.05 866. 77 866.77 764.02 764. 02 764.02 657.63 657. G3 $41.62 Fobruarv.' 47.51 32.28 April 45.38 Mav 73.30 95.42 July 95.42 73.80 Sentember 65. 47 51.35 36.01 40.17 1921. February $81. 51 81.51 76.65 76.65 76.65 76.65 64.48 60.83 $64.04 6.5.20 61.88 62.60 61.59 51.68 49.47 40.83 March April May June Julv Aiigust Sentember ' Dutiable at 10 per cent ad valorem. ' Source: The Iron Age. ' Grade: Soft. Source: The Iron and Coal Trades Review. * Source: The Iron Trade Review. DEPREriATEn EXCHANGE AXD IXTERXATIOXAL TRADE Comparative prices — Continued. WIRE. [Pound.] 81 Period. Pittsburgh.! Great Britain.* Germany.' Exchange. Exchange. Par. Current. P.ir. Current. 1914. $0.0190 .0200 .0200 .0200 .0200 .0190 . 0435 . 0435 .0435 .0410 .0410 .0410 .0410 .0410 .0410 .0410 .0425 .0425 . 0445 .0445 .0445 .0445 .0445 .0445 .0445 .0445 .0445 .0445 .0445 .0410 .0410 .0410 . 0385 . 03S5 .0410 .0410 .0365 .0340 .0340 February March . . Mav Juiip. . . 1919. January March April May July September October 1920. January , $0. 3232 .5179 .5179 .5179 .62.58 .5503 .5303 .4909 .4909 .4809 .4316 .4316 $0. 0278 February . .0326 .0220 .0309 .0477 .0605 July .0605 Aupust.. .0474 .0421 .0330 .0236 December .. . . .0264 1921. $0.0739 .0663 . 0.564 .0608 .0510 .0510 .0423 .0423 $0. 0581 .0530 .0455 .0496 .0410 .0374 .0325 .0326 March . . . Anril. . . . .4154 .0248 May July August .3183 .0180 • Grade: Barbed wire, galyanized. Sourc 5 Grade: iencing wire, galvanized, SG. :: 'Grade: Galvanized wire. Source: The e: The Iron source: The ron Trade h Age. ron and Coa review. 1 Trades Rei •iew. DEPRECIATED EXCHANGE AND IXTEENATIOXAL TUADE. Comparative prices — Continued. ACETIC ACID. [100 pounds.] New- York.' England." Paris, France.' Hamburg, Ger- many. < Toronto, Canada.5 Period. Exchange. Exchange. Exchange. Exchange. Par. Current. Par. Current. Par. Current. Par. Current. 1919. January . . . February. . $15. 15 12.00 12.00 12.00 11.50 9.75 10.14 10.14 10.00 10.00 10.00 10.00 10.00 10.00 10.00 12.65 13.01 13.01 13.01 13.01 13.01 13.01 13.01 10.00 10.87 10.87 10.25 7.82 7.50 7.50 7.50 7.50 8.25 $56.90 56.90 32. S3 31.51 31.51 31.51 31.51 24.51 24.51 35.01 26.26 32.83 32.83 $54. 00 53.98 29.61 27.85 26.96 26.12 25.24 17.48 15.60 21.22 15. 45 17.30 15.87 $29.00 22.00 22.00 22.00 22.00 22.00 22.00 21. 00 21.00 19.00 19.00 19.00 19.00 19. 00 x.l, 00 19.00 19.00 21.00 21.00 21.00 21.00 21. 01) 19. 00 17. 50 17.50 17.50 17.50 17.00 17.00 17.00 17.00 17.00 17.00 April May $21. 00 21.00 21.00 July August September 21.00 20. 00 20.00 18.00 IS. 00 18. 00 1920. January . . . February. . $10. 75 15.64 16.07 19.55 20.63 20.63 19.55 18. 25 18.68 18. 68 17.38 13.03 12.15 11.73 10.86 10.43 9.98 10.43 10.21 8.69 8.25 $8.39 11.15 11.31 15. 82 16.27 16.64 15. 38 13.95 13.66 13.32 13.32 9.35 8.83 9.21 8.69 8.42 8.15 8.38 7.48 6.67 6. .35 17.38 $97. 16 118.75 151. 13 102. 55 129. 54 107. 95 113.35 $6.12 5.03 9.00 •'.49 U.26 11.89 10.95 16.62 1 16.15 April May 1 17.29 17.16 IS. 37 July August September 18.06 18. 35 IS. 79 52.52 52. 52 52.52 35.89 31.51 30.64 35.01 35.01 35.01 35.01 33.26 31.51 18.07 17.20 16.52 11.06 11.44 11.46 12.62 14.15 15.36 13.85 14.93 12.85 19.16 17.36 ;.::::::::::::::: 15.38 1921. January. .. February. . March April May 129. 54 129. 54 110.67 129. 55 7.42 8.60 7.62 8.70 15.05 15.53 15.33 15.07 15.19 15. 15 July August September 107.90 5.59 14.91 15.17 15.32 t Grade: 80 per cent pure. Source: The Oil, Paint and Drug Reporter. » Grade: 80 per cent. Source: The Chemical Trade Journal. • Grade: SO per cent bon gout. Source: La Revue des Produits Chemique. < Grade: 80 per cent. Source: La Revue des Produits Chemique. » Grade: 80 per cent. Source: The Canadian Chemical Journal. DEPRECIATED EXCHANGE AND INTERXATIOXAL TRADE. 83 Comparative prices — Continued. ALCOHOL. [Gallon.] New York.i. 2 Toronto, Canada.* Milan, Italy.< Period. Exchange. Exchange. Par. Current. Par. Current. 1914. January . . $0. 4100 .4300 .4300 .4300 .4300 .4300 .7300 .7300 .7300 .7300 .7300 .7300 .5400 .5400 .5400 .5800 . 5800 ..5800 .8200 .8200 .9200 .9200 SO. 3564 . 3.564 .3564 . 3564 . 2857 .2857 February April . . May 1919. January $2.95 2.95 March 3.16 3.16 3.16 3.16 3.16 2.75 2.75 2.75 2.75 2.75 2.75 3.37 4.62 7.12 • 7.12 7.12 7.12 7.12 7.12 7.12 6.29 6.29 6.29 4.62 4.62 ' 4.62 4.62 4.62 4.62 4.62 4.62 $3.09 3.08 3.08 3.07 2.61 2.64 2.64 2.65 2.62 2.52 2.95 3.95 6.43 6.43 6.23 6.13 6.22 6.38 6.43 5.69 5.53 5.41 4.10 4.05 4.10 4.14 4.12 4.06 4.13 4.17 Maj'. July September... .. November December ... 1920. January 7.0*) 7. 06 10.59 10. 59 11.19 11.19 11.19 11.19 11.19 11.19 11.19 11.19 11.19 11.19 10.60 10.60 8.25 7.06 7.06 $2. 77 February. . . . 2.29 March 3.01 2.68 May 2.62 3. 67 July 3.44 August 4.01 September... . . . 2.71 1.4200 1.4200 .8200 . 8200 .7200 .6700 . 5700 . 5700 2.42 November 2.13 2.13 1921. January 2.00 February 2.12 2.01 April 2.35 May 2.06 1.94 July -- 1.56 1 Dutiable at S2.60 per proof gallon. 2 (Jradc: Alcohol, ethyl, 188 proof (95 per cent). Source: The Oil, Paint and Drug Reporter. ' Grade: Alcohol, pure (65 per cent O. P.). Source: The Canadian Chemical Journal. < Grade: Alcohol etilico, 95 per cent. Source: Giornale di Chemica Industriale. 84 DEPRECIATED EXCHANGE AND INTERNATIONAL TRADE. Comparative prices — Continued. AMMONIA SULPHATE. [100 pounds.] New York.i London, England.^ Paris, France.' Italy.< Germany.^ Period. Exchange. • Exchange. Exchange. Exchange. Par. Current. Par. Current. Par. Current. Par. Current. 1914. January... $2.95 2.85 2.85 2.85 2.80 2.60 4,90 4.75 4.50 4.50 4.50 nom. 4.25 4. 15 4.10 3.75 4.50 $2.62 2.51 2.56 2.51 2.46 2.17 $2.82 2.76 2.76 2.70 2.64 2.53 8.40 8.40 8.40 8.40 8.40 8.40 7.70 7.70 7.70 8.93 10. 50 13.13 13.56 15.75 17.50 . 15.32 15.32 17.50 17.50 15.32 15. .32 13.13 13.13 13. 13 10.94 8.31 • 8. 31 8.32 8.32 $2.91 2.86 2.89 2.82 2.72 2.70 $3.11 2.67 3.19 3.11 2.93 2.67 4.00 April May 1919. January... February.. $7.98 7.97 7.58 7.42 7.19 6.96 6.17 5. 49 4.90 5.41 6.17 6.92 6.56 6.00 6.38 5.44 4.75 7.04 7.46 6.05 5.49 4.51 4.30 4.13 3.37 3.02 3.11 3.00 3.36 $1.74 April May 5.78 ■) 22 . July August September 8.67 2.76 1 12.00 2.20 1920. 14.44 14.44 17.94 22.76 23.63 23.63 23.63 23.20 21.88 21.88 2L88 21.23 20.97 19.91 19.26 19.26 14.44 12.47 10.72 $5.67 4.07 5.09 5.75 5.33 7.74 7.26 8.30 5.29 4.74 4.16 4.04 3.72 3.77 3.65 4.27 3.61 3.43 2.37 February. . 26.98 1.70 .\pril May.. . 5.00 5. 50 5.50 5.50 5. 50 5.00 4.75 3. 75 3.25 3.00 3.00 2.50 2.50 2.00 2.00 2.00 2.00 45.87 3.35 July. August 27.20 25.90 2.62 September 5.21 5.32 5.32 5.32 5.17 5.17 5. 25 5.25 5.32 5.32 4.02 2.86 2.90 $3.81 3.79 3.77 .3.82 3.75 4.06 4.20 4.24 4. 35 4.28 2. 95 2.19 2.23 2.22 November. 25.90 1.41 1921. February. . March April May June 2L04 20.77 23.74 1.37 1.38 July August September 8.32 5.69 5.69 3.55 2.43 2.32 1.23 • Grade: .Vmmonia sulphate, bulk, f. o. b. works. Source: The Oil, Paint and Drug Reporter. ' Grade: Suhihate of ammonia. Source: The Chemical Trade Journal, London. 3 Grade: Sulfate d'ammoniaqiie, 20-21 per cent (gare Paris). Source: La Revue des Produits Chem- iques and War Industries Board Bulletin No. 2. ■•Grade: .Sulfate d'ammoiiiaque, 20-21 per cent. Source: Giornale de Chemica Industriale and War Industries Board Bulletin No. 2. » Source: Chemiker Zeitung. DEPKECIATED EXCHANGE AND INTERNATIONAL TRADE, So Comparative prices — Continued. ANILINE OIL. [Pound.] Period. New York.1.2 England.' Exchange. Par. Current. Italy.' Exchange. Par. Current. 1914 January February March April May June 1919 January February March April May June July August September October November December 1920 January February March April May Juiie July August September October November December 1921 January February March April May June July August September $0. 1038 .1038 .1075 .1075 .1075 .1075 .2700 .2500 .2400 .2300 .2100 .2100 .2100 .2500 .2800 .2900 .3100 .3400 .3400 .3400 .3200 .3200 .3800 .3400 .3300 .3200 .2750 .2700 .2700 .2500 .2300 .2100 .2200 .2000 .2000 .2000 .2000 .1800 .2200 80.1115 .1115 .1115 .1014 .1014 .1115 $0.7800 $0. 3311 .3649 .3649 .3649 .3649 .3649 .3446 .3446 .3446 .3446 .3446 .4046 .4046 .4046 .3852 . 3852 .3649 .3446 .3649 . 3243 .3497 .3446 $0. 2849 .8754 .3436 .2602 1. 7500 .5672 .2568 1. 7500 .4973 . 2952 1. 9200 .4869 . 2877 1. 9200 .4507 .2780 1. 9200 .6309 .2799 1. 9200 .5922 .2634 1. 9200 .6896 . 2521 1.9200 .4661 .2457 1. 9200 .4172 . 2867 1. 7500 .3331 .2904 .2939 .3025 .3082 1.7500 .3320 .2946 1.0500 .2330 .2815 1.0500 .2624 .2932 1. 0500 .2885 .2377 .6128 .1352 .2683 .2653 1 Dutiable at 15 per cent plus 25 cents per pound. 2 Grade: (pure). Source: The Oil, Paint, and Drug Reporter, s Source: The Chemical Trade Journal; London. * Source: Giornale di Cheniica Industriale. 86 DEPRECIATED EXCHANGE AND INTERNATIONAL TRADE. Comparative prices— Continued. BARIUM CHLORIDE. [Ton.l New York.i.s England.' Paris, France.' Milan. Italy .5 Hamburg, Germany.' Period. Exchange. Exchange. Exchange. Exchange. Par. Current. Par. Current. Par. Current. Par. Current. 1914. $32. .50 32.00 32. 50 32.00 .32. 00 32.00 85. 00 85.00 82.00 82.00 67.00 70.00 70.00 75. 00 75. 00 80.00 80.00 .80.00 • 90.00 100.00 150.00 150. 00 175.00 175.00 175.00 160. 00 137.00 125.00 125.00 100.00 75. 00 67. 50 62.50 60. 00 57. 50 55.00 60.00 50. 00 55. 00 $27. 12 27.12 27.12 27.12 27.12 26. 00 164. 92 1.56. 24 147.56 141.05 134.54 121. 52 121.52 104. 28 101.99 ini.99 99.94 97. 65 95.59 99.93 104. 28 117.31 152.07 141.21 139.04 136. 87 136. 87 126. 00 112. 97 104.28 99.93 91.24 86.90 82. 55 80.29 78.21 73.74 69.44 71.69 $25. 38 23.63 25.38 27.13 25.38 25.38 April May 1 i 1919. .$161.27 152. 78 141.65 135. 85 131. 75 115.85 114.77 93. 50 87.88 87.88 85.58 80.35 74. 65 71. 26 73.39 94.91 120. 02 113.93 112. 95 104. 60 100.12 89.87 80.04 74.84 72.59 71.67 69. 51 66. 64 65. 59 62.84 54. 04 53. 28 55.19 .S280. (W 228. 00 175.00 175.00 175.00 175. 00 175.00 166.00 131.00 157.00 157.00 140. 00 140.07 140. 07 210. 10 236.37 262.63 262. 63 245. 12 262. 63 280. 14 280. 14 2.36. 37 236. 37 236. 37 192. 60 175. 09 175.09 16(i. 40 166. 40 166. 40 140. 00 122. .50 $266. 00 216. 00 158. 00 1.55. 00 150. 00 145.00 140.00 118.00 S3. 00 95.00 92.0<1 74.00 67.70 53. 35 76. 68 84.02 81. .53 105. 73 104. 54 103. 63 100.45 96. 40 77.41 74.34 72. 89 69.95 65. 50 63. 10 67. 10 73.04 65. 81 .59. 70 49. 95 February.. April May Jnlv August September. $262. 62 2.80. 14 280. 14 315. 16 385. 19 525. 26 700. 35 700.35 700.35 577. 79 525. 26 455.23 437. 72 437. 72 437.72 332. 65 332. 65 262. 62 227. 60 227.60 $110.-37 110.97 90.74 89. 50 97. .37 122.90 229.40 215. 35 250. 75 139. 80 113. 77 86. 59 83.47 78.36 83.00 63. 08 73.78 65. 60 62.50 50.24 1920. January . . . 2, 158. 00 $186. 00 April May .Tune July 1, 187. 60 1,187.60 1,187.60 70.78 87.00 130. 75 August 'Septeml)er. 1921. January . . . February. . March April Mav 755.60 647. 60 755. 60 43.30 43. 00 52.06 June . July August 539.50 27.95 September. 1 1 Dutiable at one-fourth cent per pound. 2 Grade: White, crystals. Source: The Oil, Paint and Drug Reporter. 3 Grade: In casks. Source: The Chemical Trade Journal, London. * Grade: Crystallize. Source: La Revue des Products Chemlques. 5 Grade: Crist. Source: Giornale di Chemica Industriale. 6 Source: Chemiker Zeitung. DEPRECIATED EXCHANGE AND INTERNATIONAL TRADE. 87 Comparative prices — Continued. COCONUT OIL. [Pound.] New York.i2 New York.3 London.^ London.5 Period • Exchange. Exchange. Par. Par. Current. Par. Current. 1914. January $0. 1268 .1100 . 1075 .1087 .1087 . 10S7 . 1525 . 1425 .1325 .1137 .1350 .1487 February March . .". April May June 1919. January $0.2075 .1975 .1775 .1775 .1875 .2100 .2300 .2300 .2262 .2250 .2200 .22.50 .2162 .2225 .2125 .2087 .2025 .2050 .1925 .1700 .1675 .1825 .1750 .1750 .1587 .1587 .1225 .1075 .1300 .1300 .1300 .1350 .1225 February March April May June July August September Oct ober November December 1920. January February .1912 .1850 .1862 .1800 .1862 . 1725 . 1450 .1450 .1637 .1387 .1075 .1038 .0963 .0788 . 0812 .0950 .09.50 . 0925 . 0863 .0888 March April June August October $0.2064 .2118 .1999 .1857 .1651 .1303 . 1303 .0976 .1195 . 1217 .1238 .1260 .1260 $0. 1510 .1510 .1416 .1333 .1199 1023 .1042 .0788 .0976 .0978 .0907 .0967 .0970 $0. 1955 . 2085 .1955 .1792 .1521 .1195 .1195 .0923 .1108 . 1031 . 1053 .1172 .1162 $0. 1430 .1487 . 1385 D ecember 1921. February March AprU May June August .1286 .1104 .0939 .0745 .0905 .0828 .0772 .0899 .0895 1 Dutiable at 3J cents per pound; at 20 cents per gaUon after May 27, 1921. 'Grade: Edible. Source: The Journal of Commerce. ' Grade: Manila spot, tank. Source: The Journal of Commerce. ■• Grade: Cochin shipment. Source: The London Grain, Seed and Oil Reporter. * Grade: Ceylon shipment. Source: The London Grain, Seed and Oil Reporter. DEPKECIATED EXCHANGE AND INTERNATIONAL TRADE. Comparative prices — Continued. GLYCERINE. [Pound.] Period. 19U January. .. February. . March April May June 1919 January . . . February. . March April May June July August September. October... November. December. 1920 January. .. February. . .March April May June July August September. October... November. I)ecember. 1921 January. .. February. . March .\pril May June July .\ugust September New York.b' England.3 ,1950 . 1950 . 1975 . 19.50 . 1925 .1925 .1700 .1550 .1750 .1500 I .17.50 I .2100 . 18.50 .2000 .2000 .1925 .2000 .2100 .2400 . 2300 .2250 .2175 .2400 .2650 . 27.50 . 2S25 .2800 .2750 . 2500 .1700 . 1550 .1700 . 1500 .1300 .1400 .1400 .1225 .1300 .1225 Exchange. Par. Current. .2063 .2063 . 2063 .2063 .2063 .2063 .2390 .2390 .2390 . 2390 .2390 .2390 . 2390 .2390 .2390 .2390 .2390 .2390 .2390 . 2390 .2390 2390 .2390 .2390 .2390 . 2390 .2390 .2390 . 2.390 .2390 .2390 .2390 .2390 . 2390 .2430 . 3041 .3041 .2606 . 2606 Paris, France.* | Hamburg, Germany.* Exchange. Exchange. Par. Current. $0. 2337 .2337 .2294 .2302 .2340 .2279 .2257 .2143 . 2059 .2059 .2047 .1966 .1860 .1704 .1682 . 1034 . 1884 .1928 .1942 .1827 .1748 .1701 .1693 .1715 . 1736 .1S77 .1912 . 1929 . 1985 . 2443 . 2229 . 1909 .2006 .3195 . 3195 .3195 .3195 .4464 .4464 .6478 .6565 . 6565 .6565 .6565 .6128 .4814 .6826 .6826 .5909 .5909 . 5909 . 5909 .5033 .5033 .5033 ,5033 .4158 .4158 Par. Current. $0. 1810 .1810 .1860 .1780 .1780 .1780 .2033 .1937 .1879 .1684 .2158 .1700 .2363 .2334 . 2038 .2643 .2800 .2423 .1726 .2349 . 2236 .1858 .1821 .2146 .2211 .1816 .2035 .2210 .1991 .1773 .1695 3. 8900 2.7000 SO. 2678 .1814 2. 5900 . 1341 1 Dutiable at 2 cents per pound. 2 Grade: Dynamite, drums included. Source: The Oil, Paint and Drug Reporter. ' Grade: Industrial, S. G. 1260. Source: The Chemical Trade Journal. London. * Grade: Blanche Industriale, 28°. Source: La Revue de Produits Chemique. * Grade: Chemically pure, 28°. Source: Chemiker Zeitung, 1913-14; importers, 1921. DEPRECIATED EXCHANGE AND INTERNATIONAL TRADE. 89 Comparative prices — Continued . LEMON OIL. [Pound.] NewYork.i'S London, England.' Hamburg, Germany.^ Period. Exchange. Exchange. Par. Current. Par. Current. 1914. 82.9000 2.7000 2. 6000 2. 4500 2. 1500 1. 8500 1. 8500 1. 2500 1.4000 1. 3500 1.2000 1. 1000 1. 1000 1. 1500 1. 2000 1. 1500 1.3.500 1. 4000 1.4.500 1. 9000 1. 7500 2.0000 1. 8500 1. 7.500 1. 6500 1. 4000 1. 2500 1. 1500 1. 1000 1. 0000 .9.500 .7000 .8000 .7000 .7000 .70(K) . 7000 .7600 .8300 Mav . . . ■ 1919. $1.4300 1.3100 1.2.500 1.2000 1. 1300 1.0600 1. 1200 1. 2200 1.2200 1.2.500 1. 5500 1.5500 2. 0000 2. 1500 2. 5500 2. .5500 2. 1000 1. 9700 1.6700 1.4800 1. 4.500 1.4.500 1..3000 1. 1800 .9428 . 8515 . 8515 .7907 . 5373 . 7603 $1.4000 1.2800 1.2000 1. 1500 1.1100 1.0100 1.0600 1.0900 1. 0500 1. 0800 1. 3300 1. 2700 1. 5600 1.5300 1. 7900 1. 0600 1.7200 1. 5900 1. 3.500 1. 1300 1.0600 1. 0300 . 9254 . 9512 .6848 .6689 .6810 .6383 .4389 .6109 July ^ ! 1920. Mav July 1921. March $11.87 $0.8183 9.72 .6529 May July 1 Dutiable at 10 per cent ad valorem. 2 Source: The Oil, Paint and Drug Reporter. ' Source: The Perfumery and E.ssential Oil Record. ■* Source: Schutz & Co., importers. 90 DEPRECIATED EXCHANGE AND INTERNATIONAL TRADE. Comparative prices — Continued. LIME ACETATE. [100 pounds.! New York.i England.2 , Paris, France.' Milan, Italy.< I'eriod. Exchange. Exchange. Exchange. Par. Current. Par. Current. Par. Current. 1914. $1. 75 1.75 1..50 1.50 1.50 1.50 3.00 2.00 2.00 2.00 2.00 2.00 2.00 2.00 2.00 2.00 2.00 2.00 2.00 2.00 2.00 3.25 3.50 3.50 3.50 3.50 3.50 3.50 2.50 2.00 2.00 1.95 1.95 2.00 2.00 2.00 2.00 2.00 2.00 $2.28 2.06 1.79 1.76 1.76 1.74 9.76 8.13 5.42 5.42 3.68 3.47 3.5S 4.12 3.68 3.68 3.68 4.34 5.65 5.97 6.52 7.06 7.17 7.17 7.17 7.17 7.39 6.73 5.65 5.32 4.78 4.36 4.13 3.04 2.71 2.71 2.61 2.39 2.28 1 • ; 1919. $9. 55 7.96 r>. 21 5.23 3.61 3.31 3.38 3.70 3.18 3.18 3.16 3.57 4.41 4.26 4.58 5.71 5.65 5.78 5.82 5.48 5. 40 4.80 4.00 3.82 3.47 3.42 3.30 2.45 2.25 2.18 1.91 1.8:3 1.76 April July September , 1920. April $19. 70 19.70 17.51 17.51 17.51 17.51 15.32 15. 32 7.00 7.00 6.13 7.00 7.00 6.13 $7.00 6.11 7.05 7.47 6.92 6.28 5.27 5.02 2.20 2.16 2.22 2.62 2.53 2.48 May July $17. 51 17.51 17.51 17.51 17.51 17.51 $5. 38 August 4.89 September October 4.23 3.79 November December 1921. 3.33 3.34 February 8.32 1.58 March June July September 1 Grade: Bags, extra. Source: The Oil, Paint and Drug Reporter. 2 Grade: Gray, SO per cent. Source: The Chemical Trade Journal, London, • Source: La Kevue des Produits Chemique . < Source: Giornale di chemica Industrial. DEPRECIATED EXCHANGE AND INTERNATIONAL TRADE. 91 Comparative prices — Continued. QUININE SULPHATE. [Ounce.] New York.' London, England.' Toronto, Canada.* Hamburg, Germany.* Peiiod. Exchange. Exchange. Exchange. Par. Current. Par. Current. Par. Current. 1914. January $0. 2600 .2600 .2600 .2600 .2600 .2600 .9000 .9000 .9000 8000 .8000 .8000 .8000 .80(X) .8000 .8000 .8000 .8000 .9000 .9000 .9000 .9000 .9000 .9000 .9000 .9000 .9000 .9000 .8000 .7000 .7000 .7000 .7000 .7000 .7000 .7(XX) .7000 .7000 .7000 $0.25.35 . 2535 Februarv. . March . ." . 2535 April. .2536 May .2499 ... Julie .2499 1919. January. . ! Februarv. March . .". i April . Ma5- June... July August . . September $1.3500 1.8000 1. 2600 1. 2600 1. 2600 1. 2600 1. 2600 .9500 .9500 .9500 .9500 .9500 .9500 1. 0500 1.0500 1.0500 1.0500 1. 0500 1.0500 1.0500 1.0500 1.0500 1.0500 1.0500 $1,300.1 1. 7300 1.2000 1. 1.500 1. lOO;) 1.0700 1. 1400 .8580 .8312 .8170 .8300 .8502 .8669 .9594 .9227 .9000 .9300 .9200 .9300 .9400 .9400 .9200 .9400 .9500 December 11.20(10 $1.1000 1920. January . March . April. May 1 June 7.4000 1 .8100 July . August . September 1921. $0. 8515 .8110 . 8515 .8515 .8515 .8921 .8921 .9935 .9528 $0. 0185 . 6370 .6811 .0874 . 0956 .7169 . 6538 .7622 .7334 February March ii.9766 j .8252 April 10.7900 I .7255 July 12.1400 1 .6288 August September ' Source: The Oil, Paint, and Drug Reporter. ' Source: La Reyue des Produits Chemique. 8 Source: The Canadian Chemical Journal. < Source: Chemilcer Zeitimg. 92 DKPKEriATKD EXCHANGE AND INTERNATIOiSrAL TRADE. Comparative prices — Continued. SODA NITRATE. [100 pounds.] New York.i Liverpool, England.2 Paris, France.' Genoa Italy." Hamburg, Germany .5 Period. Exchange. Exchange. Exchange. Exchange. Par. Current. Par. Current. Par. Current. Par. Current. 1914. January... February. . March $2.20 2.22 2.22 2.22 2.25 2.22 4.42 4.42 4.20 4.07 4.07 4.07 3.00 2.90 2.95 2.87 2.97 3.02 3.05 3.45 3.85 3.90 3.90 3.82 3.85 3.85 3.60 3.35 2.90 2.90 2.75 2.85 2.75 2.60 2.75 2.70 2.45 2.00 2.13 $2.23 $2.20 2.23 2.24 2.09 2.07 2.17 6.30 6.30 6.30 6.30 6. .30 6.30 6.13 6.13 7.44 7.44 8.32 8.75 10.06 11.11 11. 38 12.25 12.25 10.50 10.06 10.06 10.50 10.50 10.94 10.94 9.19 9.67 9.98 9. 28 9.28 7. 75 7.18 7.18 7.18 $2.30 2.32 2.30 2.22 2.20 2.20 $5.34 5.64 .5.34 5.77 .5.77 5.58 2. 28 2.31 2.33 2.28 2.28 April May June... 1919. January... February. . 5.54 4.44 4.34 4.44 $5. 42 4.35 4.16 498 $5. 98 5.98 5.68 5.57 5. 39 5.22 4.37 4. .37 4.37 4.51 4.89 4.61 4.86 4.23 4.15 4.35 3.80 4.23 4.29 3.98 3.76 3.61 3.58 3.44 2.83 3.51 3.73 3.35 3.75 3.40 2.84 3.06 2.93 April May 4.77 i 4.68 4.56 1 4.35 4.56 1 4.31 4.56 ; 4.09 4.56 I 3.93 4.56 1 3.93 4.56 1 3.91 4.56 1 3.75 4.56 ; 3. .56 4.99 t 3.56 5.75 ' 4.05 5. 75 4. 65 July August September October December 1920 January... February. . March . 11.38 11.38 12.47 15.32 15.32 1.5. 32 14.44 14.92 15. 76 $4.46 3.68 3.54 3.87 3.58 5.01 4.44 5.34 3.81 April May 5.54 5.37 5.21 4.36 4.33 4.23 July August . 5.21 i .^-98 September October. . . 5.21 5.21 5.15 5.10 4.99 4.77 4.67 4.56 4.44 4.13 4.02 4.02 4.02 3.81 3.71 3.65 3.66 3.62 3.75 3.73 3.68 3. as 3.32 2.95 3.08 3.09 November. December . 1921. January... February. . March April May June July Augu.st 16. 85 16. 85 16.06 15.54 14.22 12.30 16.90 9.85 3.21 3.02 3.04 2.95 3.16 3.07 3.27 2.17 86.35 45. 88 $5. 27 2.63 48.58 45. SS 69.06 78.76 75. 52 76.60 3.35 3.08 4.49 5.24 3.91 4.32 September 1 1 Grade: Soda nitrate. Source: The Oil, Paint, and Drug Reporter. * Grade: 96 per cent refined. Source: The Chemical Trade Journal, London. ' Source: La Revue des Produits Chemiques and War Industries Board Bulletin No. 2. * Grade: 15-16 per cent di azoto. Source: Giornale di Chemica Industriale. ' Grade: Crude, 95 per cent. Source: Chemiker Zeituug. DEPRECIATED EXCHANGE AND INTERNATIONAL TRADE. Comparative prices — Continued. SODIUM NITRITE. [Pound.] 93 Nevy York.1.2 England.' France.* Toronto, Canada.' Period. Exchange. Exchange. Exchange. Par. Current. Par. Current. Par. Current. 1914. January 80. 0489 . 0478 .0478 February Anril .0478 .0472 .0462 . 1454 . 1476 .1432 .1432 . 1389 .1239 . 11.39 .1259 .1302 . 1.302 . 1.302 . 1324 . 1.347 . 1408 .1792 . 2390 .2607 .2542 .2172 .2259 .1868 .1629 .1564 .1542 . 1521 .1173 . 0999 .0956 .0911 .0911 .0911 . 0869 .0869 May June 1919. January 80. 1900 . 14.50 .1300 .1300 . 1300 .1100 . 0950 . 0950 . 0850 .2200 . 1800 . 1300 .1513 . 1400 80. 1422 . 1443 . 1.375 .1379 .1360 .1200 .1076 .1129 .1122 .1122 .1115 . 1089 .1052 .1045 .1261 . 1934 .2056 . 2051 .1764 .1727 .1366 .1161 .1108 .1106 . 1105 .0921 .0799 .0772 .0744 .0732 . 0678 .0667 .0669 February March-. . 80. 1850 . 18,50 . 18.50 . 1.550 .1550 . 1550 .1550 . 1550 . 1550 .1550 . 1550 .1550 .1550 . 1,550 . 15.50 .1550 .1550 .1550 . 15.50 . 15.50 . 1550 .1550 . 1.550 .1550 . 1550 . 1.5,50 . 15,50 . 15,50 . 1560 . 15.50 .1550 April 80. 1804 May . 1800 . 1508 July .1503 August . . 1473 Sentember .1490 October. . . . . W^H .14P0 De^embe:' . 1476 1920. January .1418 February . 1356 .1317 April. . 2400 .2600 .1900 .1500 .1600 .1350 .1300 0975 . 0700 .0650 .0600 . 0575 . 0600 .0600 .0800 . 0725 .0725 .0844 . 1410 May . 1400 .1356 July . 1.333 . 13.54 . 13S7 October .... .1414 Noyember. . .1416 December 1921. January . SO. 3064 .3064 .3064 .3064 .3064 .3064 .3064 .3084 .3064 .3064 80.0963 .0945 .1113 .1146 .1105 .1238 .1344 .1212 .1306 .1250 .1362 .1333 February March . . .1375 . 13,58 .1374 .13S5 June .13S1 July . 1330 August .1383 September ,1397 ' Dutiable at I cent per pound. * Grade: 96-98 per cent. Source: The Oil, Paint and Drug Reporter. ' Grade: 100 per cent. Source: The Chemical Trade Journal, London. * Source: La Reyue des Produits Chemiques. * Source: The Canadian Chemical Journal. 599—22 7 94 DEPRECIATED EXCHANGE AND INTERNATIONAL TRADE. Comparative prices — Continued. SULPHURIC ACID. [Ton.] New- York.! England.* France.' Italy.* Period. Exchange. Exchange. Exchange. Par. Current. Par. Current. Par. Current. 1914. 820.00 20.00 20.00 20.00 20.00 20.00 25.00 21.00 21.00 17.00 16.00 16.00 16.00 16. 00 16.00 20.00 22.00 22.00 22.00 22.00 22.00 24.00 24.00 24.00 24.00 22.00 22.00 22.00 22.00 20.00 18.00 19.00 20.00 19.00 19.00 18.00 ■ 18.00 18.00 19.00 $14. 10 14.10 14.10 14.10 14.10 14.10 34.48 34.48 34.48 34.48 34.48 34.48 34.48 34.48 34.48 34.48 34.48 34.48 34.48 34.48 34.48 36.66 30.66 36.66 36.66 38.66 36.66 42.90 42.90 42.90 42.90 42.90 42.90 42.90 42.90 42.90 42.90 42.90 42.90 i May 1919. $33.72 33.72 33.10 33.22 33.77 32.87 32.57 30.92 29.71 29.71 29.53 28.37 25. 93 24. 59 24.26 29.66 28.93 29.58 29.78 2S.02 23.82 30.60 30. 40 • 30.79 31.17 33.70 34.32 34.64 35.05 34.47 31.45 32.92 33.03 $52.00 52.00 49.00 49.00 49.00 49.00 49.00 52.00 52.00 56.00 56.00 56.00 62. 00 62.00 70.00 74.00 74.00 74.00 82.00 82.00 78.00 78.00 74.00 74.00 70.00 70.00 56.00 56.00 52.00 52.00 49.00 49.00 49.00 $49.38 49.32 44.20 43.30 41.93 40.63 39.25 37.09 33.10 33.95 32.94 29.50 29.97 23.61 25.53 26.31 22.97 29.79 34.97 32.42 27.97 23.84 24.24 23.27 21.58 25. 42 20.95 20.20 21.02 22.83 19.38 20.89 19.98 May July $45.26 45.26 $27. 28 Ssptember O Jtober 24.27 Deceniljer 1920. 52.53 61.20 61.20 66.54 87.54 96. 30 96.30 91.92 91.92 91.92 113. 82 87. 54 87.54 94.34 90.94 90.94 S7.54 87.54 84.14 78.72 22.07 24.02 February March April May 19. 82 18.90 22.13 22.53 31.55 July 28.26 32.91 September October November December 1921. January 22.24 24.65 16.65 16.69 16.88 February 17.24 March 12.24 April 19.42 May 21.87 June 23 10 July 17 37 August September » Grade: 66°. Source: The Oil, Paint and Drug Reporter. ' (irade: Pyrites. 168°. Source: The Chemical Trade Journal, London. > (Iradu: 66°. Source: La Revue des Produits Chemiques. < Grade: 66". Source: Giornale di Chemica Industrial ed Applicata. DEPRECIATED EXCHANGE AND INTERNATIONAL TRADE. 95 Comparative prices — -Continued. CATTLE. [100 pounds-.] Chicago.i>» Toronto, Canada.' Period. Exchange. Par. Current. 1914. January $8.50 8.50 8.50 8. .57 8.50 8.52 18.42 18.10 18.72 18.62 February M arch April May 1919. January February . . . April May i July 14.92 17.17 August October 17.57 1920. 16.50 13.87 13.50 13.50 12.75 13.12 15.88 15.75 15.75 15.63 16.18 13. 13 10.75 8.75 10.00 9.25 8.45 8.52 8.00 8.92 9.00 $1.3. 25 14.50 13.75 15.00 16.00 17.00 16.50 14.50 14.00 13.00 10.00 12.00 10.25 11.00 11.00 $11.60 March 12.33 April 12.51 May 13. 55 June 14.00 July 14.62 14.42 12.99 October 12.63 11.75 December 8.79 1921. 10. 32 9.09 March.. . . . 9.04 April 9.75 May • 1 July 8. 75 7. .85 7.68 7.00 ' Dutiable at 30 per cent ad valorem after May 27, 1921. » Grade: Beef steers, good. Source: 1913-14, the National Proyisioner; 1919, The Daily Trade Bulletin; 1920-21, The .Market Ueporter. » Grade: Top price, good steers. Source: The National Provisioner. 96 DEPRECIATED EXCHANGE AND INTERNATIONAL TRADE. January. - February. March — April May June January — February. . March Aprii May June July August September. October . . . November. December . January — February. . March April May June Ju'y August September. Octol K-r . . . November. December . January . . Febraary. Mireh April May June Ju'y. August — September. Comparative prices — Continued. CUKESE. . [Pound.] Period. 1920. England. 3 New York.ijS Exchange. Par. Current. .1675 ,1700 ,1700 ,1475 ,1338 ,1425 .3550 . 3625 .2950 .3650 .3650 1921. .3150 .3150 .2950 .2950 .2950 .3050 .2650 .2675 . 2750 .2762 .2750 .2800 .2750 .2775 .2775 .2775 .2750 .1600 .1587 .2100 .2050 SO. 1465 . 1519 . 1.530 .1508 .1475 .1454 .3548 .3548 .3548 .3143 .3143 .3143 .3476 .3433 .3143 .3143 .3143 .3143 .3150 .3150 .3150 .3150 .3150 .3150 .3563 .3563 .3563 .3497 .3432 .3345 .3280 .3389 .3389 .3476 .3519 .2845 .2324 .2889 .2628 JO. 3469 .3469 .3405 .3027 .3076 .2996 .3280" .3078 .2707 .2707 .2691 .2585 . 2460 .2246 .2217 .2549 .2484 .2541 .2894 .2724 .2607 .2494 . 2432 .2400 .2382 .2662 .2711 .2806 .2874 .2286 .1703 .2216 .2023 1 Dutiable at 20 per cent a4 valorem; after May 27, 1921, dutiable at 23 per cent ad valorem. 2 (trade: Who e mik, colored. Source: 1914, who'e milk, colored, War Industries Board Bulletin >o. 21: 1919, Wisconsin whole mi;k, he.d, twins. The Jo irnai ol Commerce; 1920-21, American No. 1 wiiis. Market Reporler. s Grale: Canadian. Source: The Statist. DEPRECIATED EXCHANGE AND INTERNATIONAL TRADE. 97 Comparative prices — Continued. COCOA. [Pound.) Period. New York.! London, England.* Exchange. Par. Current. January . . February. March April May June January . . . February. . March.."... .\ pril May Jurie July August . . . . September. October. . . November. December. January. .. ■J'ebruarv. . March.."... April May Julie July August September. October. . . November. December. , Januarj' . . . February. . March April May June July August September. $0. 1387 .1287 .1293 .1225 .1175 .1162 $0. 1325 . 1325 .1379 .1314 1920. .1787 .2100 .2000 .2450 .2200 .2200 .2200 .2100 .2025 .2100 .2000 . 2025 .1750 .1450 .1400 .1300 .1275 .1150 .0975 .0850 .0750 .0812 .0825 .0700 .0750 .0725 . 1238 .1238 .1846 $0. 1805 .1846 .1805 .1846 .1772 .1846 .1778 . 1846 .1808 .2444 .2330 . 2552 .2408 . 2552 .2288 Nominal. Nominal. Nominal. Nominal. Nominal. Nominal. .2672 . 2198 .2672 .2087 .2683 .1913 .2683 .1888 .2824 . 2285 .2878 .2269 . 2715 .2190 .2600 .2118 .2334 .1784 .2009 .1470 .1901 . 1355 . 18)6 .1308 .1759 .1262 .1151 . 0836 .1227 . 0964 . 1173 .0938 .1173 .0947 .1173 .0958 . 1173 .0943 .1260 .0924 .1260 .0967 .1292 .0995 1 Grade: Crude Bahia. Source: The Journal of Commerce. 2 Grade: Crude, Bahia, finest. Source: The Economist. 98 DEPRECIATED EXCHANGE AND INTERNATIONAL TRADE. Comparative prices — Continued . CORN. [Bushel.] Chicago. '-^ Liverpool, England.' Liverpool, England .< Buenos Aires, Argen- tina.' Period. Exchange. Exchange. Exchange. Par. Current. Par. Current. Par. Current. 1914. $0. 6260 .6194 .6513 .6779 .7010 .7163 1.5300 1. 3200 1. 3200 1.6200 1.6200 1.7400 1. 7500 1.9400 1.8000 1. 4800 1. 4500 1.5400 $0.5550 .5388 March May .6150 .60% .5554 .5445 .4465 .5118 .5445 .5227 .8168 1. 1700 1. 0000 .8060 .7730 .7188 .7238 .6802 .7510 .9523 1. 1600 1. 1100 1. 0700 .%00 1. 0300 .9900 .9800 1.0100 1.1000 1.0200 1.1200 1. 0500 .8400 .8700 .8800 1.0000 1919. January $2.12 2.12 2.12 1.70 1.70 1.70 1.70 1.70 $2.0800 2.0800 2.0400 1.6400 1. 6700 1. 6200 1. 6100 1.5300 $1.98 1.98 1.98 1.70 1.70 1.70 1.70 1.70 1.84 $1. 9400 1.9400 1.9100 1. 6400 1.6700 1. 6200 1.6100 1. 5300 1. 5900 $0. 5672 February .5552 .4495 April .5200 May .5610 .5432 Julv .8654 1. 1600 September .9974 .8030 .7714 .7320 1920. 2.49 2.58 2.59 2.46 1. 9500 1. 8400 1. 8200 1. 9900 1.84 1.84 1.84 2.05 2.12 1.97 1.70 1.84 1.84 1.81 1.66 1.58 1.53 1.24 1.56 1.44 1.17 1.19 1.16 1.24 1.14 1.4400 1. 3100 1.3000 1. 6500 1. 6700 1.5900 1. 3800 1. 4100 .7372 February .6904 .7660 April . . . .9703 May 1.8200 1.9200 1.8000 1.5500 1.6700 1.2500 .8900 .7000 .7400 .6325 .6425 .5550 .5700 .6450 . 6225 .6200 .5600 1. 1700 1.1000 July 1. 0500 August .8900 September October 2.11 1.95 1.81 1.50 1.44 1.10 1.23 1.07 1.09 1.5400 1. 3900 1. 2800 1.0700 1.0500 .8696 .9877 .8703 .8926 .9100 1. 2900 1.1700 1.1400 1. 1100 .9800 1.2400 1.1600 .9624 .9527 .8534 .9534 .8745 .8600 November December 1921. January .8100 .8100 .8600 February .8414 March .9194 .8360 May .617a June .6616 July 1.13 1.16 1.05 .8275 .8881 .8091 .6221 August .6763 September 1 Dutiable at 15 cents per bushel after May 27, 1921. 2 Grade: Yellow, No. 3. Source: The Market Reporter. 3 (irade: No. 3, American mixed, afloat. Source: Broomhall's Corn Trade News. ■• (irade: YeUow La Plata, afloat. Source: Broomhall's Corn Trade News. i> Source: The Review of the River Plate. DEPRECIATED EXCHANGE AND INTERNATIONAL TRADE 99 Comparative prices — Continued. COTTONSEED OIL. [Pound.] New York.i.i London, England.' Period. Exchange. Par. Current. 1914. January $0. 05.39 . 0,574 . 0584 .0610 .0616 .0590 .1750 .1750 .1750 .1750 .1750 .1750 .2150 .2150 .2150 .1600 .1600 .1900 .2000 .1950 . 1750 .1725 .1525 .1600 .1356 .1050 Februarv March . .'. April May June 1919. February March May June July August $0. 2172 .1792 .1845 .2129 .2172 .2564 .2607 .2064 .2172 .1846 .1434 .1369 .1608 .1542 .1390 .0978 .0804 .0673 .0695 .0652 . 0739 .0760 . 0836 .0934 .0912 $0 1871 .1344 1580 December . 1751 1920. January .• • .1696 .1828 .1835 .1613 .1770 .1489 .1165 August .1046 .1176 October 1025 . 1050 .0625 .0600 .0625 .0515 .0400 . 0.500 .0575 .0600 .0725 .0725 .1100 .C985 .0702 1921. .0584 . 0529 March . . . .0556 April . 0.526 . 0603 .0611 July .0613 .0717 .0702 1 Dutiable at 20 cents per gallon after May 27, 1921. - Grade: Crude, f. o. b. mills. Source: The Oil, Paint and Drug Reporter. » Grade: Egyptian crude. Source: The Landon Grain, Seed and Oil Reporter. 100 DEPRECIATED EXCHANGE AND INTERNATIONAL TRADE. Comparative prices — Continued . HIDES AND SKINS. [Pound.] Period. 1914. January February March April May June 1919. January February March April May Jiiie July August September Ojtober N wember Deifcmber 1920. January February March April May June July August September October November December 1921. January February March April May June Julv August September Chicago. 1 $n. 1725 .1775 . 1750 .1787 .1762 .1850 .2150 .2700 . 25.50 .2550 .2900 .3750 . 5000 . 5150 .4500 .4700 .4700 .4450 .3900 .4000 .3300 . 30,50 .2600 .2050 .3150 .2950 .3300 .2650 .1900 .1800 .1700 .1400 .1100 .0825 .1000 .1150 .1200 .12.50 .1325 England.' Exchange. Par. Current. $0. 13Stl .13S1 .1571 .1571 .1571 .1444 .1901 .1901 .1901 .1901 .2028 . 2028 .2688 .26S8 .2688 1 .2688 .2688 .2688 .2' 88 .3699 .3699 .2 86 .3500 .2300 .2600 .2500 .2200 .1700 .1400 .1400 .1343 .1419 .1482 .1672 .1773 .2000 .2128 $0. 1859 .1859 .1825 .1)-31 .1986 .1934 .2536 .24W) .2316 .2316 .2302 .2211 .2099 .1917 .1892 .2993 .2917 .2167 .2842 . 1758 .1902 .1783 . 1.559 .1220 .1017 .1100 .1074 .1145 . 1 11 .1343 .1299 .1534 .1638 Buenos Aires.' Exchange. Par. SO. 2995 .3119 .3187 .2715 .2840 .2897 .3014 .2976 .2957 .3034 .3120 .3400 .4478 .3804 . 4045 .4045 .3660 . 3562 .4236 .3562 .3755 .3370 .3177 .2648 .2456 .2263 .2263 .2119 .1878 .1444 .1444 .1348 .1425 .1685 .1974 .1685 Current. $0. 3078 .3035 .3126 .3'242 .3602 .4451 . 3786 .4030 .4037 . 3728 .3627 . 4300 .3633 .3826 . 3387 .3176 .2599 .2262 .2001 .1963 .1750 .1462 .1186 .1183 .1066 .1048 . 1280 .1393 .1137 1 Gra ie: Heavy cows, packer hides. Source: The National Provisioner. 'Grale: Best heavy ox and heifers. Source: The Economist. ' Qrala: Superior hides. Source: The Review of the River Plate. DEPRECIATED EXCHANGE AND INTERNATIONAL TRADE. 101 Comparative prices — Continued. LARD. [Pound.] Chicago.' London, England.' Period. Exchange. Par. Current. 1914. January $0.0975 .1000 .0952 .0962 .09.50 .0925 .2275 . 2200 . 2450 . 27(K) .3100 .3150 . 32.50 .3200 .2900 .2675 .2900 .2350 .2225 .2000 . 2025 . 21.50 .2000 . 1950 .1850 .17,50 .18,50 .2200 .2000 .1750 .1300 .1200 . 1025 .09.50 . 09,50 .0825 .0912 .1175 .1100 $0. 1215 February .1215 .1176 .1186 .1138 .1129 ;;;;;;;;;; March April. May 1919. January . . . 3433 $0 33,57 February. .3433 .33.57 March .3433 .3295 Anril .3435 .3309 May .5.585 .3511 . 3813 . 3636 July .4144 .3914 . 4236 . 3797 October.. . .4312 .3715 November .4312 .3692 .4312 .3547 1920. . 4312 . 3367 . 4312 . 3075 .4312 .303.5 .4312 . 4312 .3443 . 3443 .3443 . 3443 . 3400 .3400 .3443 .3143 .2998 . 2042 .1613 .1520 . 1512 . 1786 .1979 .1846 .3489 May .3100 .2778 Julv. .2797 . 2t>32 . 2519 . 2425 . 2409 .2471 1921. .2500 . 2355 . 1633 .1302 May .1242 .1215 July . . 1308 . 1518 .1421 * Grade: Leaf. Source: The National Provisioner. 'Grade: Am. boxes, 56 pounds. Source: The Economist. 102 DEPRECIATED EXCHANGE AND INTERNATIONAL TRADE. Comparative prices — Continued . LEMONS. [Box.] New York.^2 New York.i.-3 London. < Period. Exchange. Par. Current. 1914. $3.37 2.82 3.12 3.12 2.70 5.12 $.3.28 4.01 4.13 2.79 2.49 2.73 4.31 3.40 4.98 7.05 5.23 6.81 3.28 3.28 3.64 4.25 6.32 4.80 4.62 3.89 4.80 3.02 3.40 3.89 5.23 6.20 2.55 4.13 4.26 5.72 5.65 May 1919. $3.50 4.87 4.12 4.12 4.50 4.75 4.75 5.75 5.12 8.75 6.25 5.75 5.75 $4.22 3.33 March . 4.79 4.00 4.75 4.62 5.87 3.12 5.25 7.00 5.75 4.25 4.25 4.18 4.43 4.43 4.43 2.25 2.25 2.37 2.37 2.37 1.87 1.87 1.87 1.87 1.87 2.87 2.87 9.00 6.80 May. 5.12 6.49 July 3.10 August . . 2.94 3.14 3.67 November. . 5.42 3.95 1920. 3.61 2.77 6.20 6.20 6.20 2.50 2.50 3.00 3.00 3.00 3.00 3.00 3.00 3.00 3.00 3.00 3.00 9.00 6.13 3.38 2.45 2.6S June... . 3.14 July 4.24 August 4.73 1.85 2.94 November. . 3.01 December 4.10 1921. 4.10 February 2. 61 2. 05 March 2.91 3.16 3.65 5.41 4.38 7.78 3.34 2.33 2.54 May . 2.98 June 4.35 July 3.21 August . . 5.97 September 2.58 ' Dutiable at J cent per pound; after May 27, 1921, dutiable at 2 cents per pound. ' Grade: Sicily, 360s. Source: The Journal of Commerce. ' Grade: California, 360s. Source: The Journal of Commerce. < Grade: Sicilian boxes. Source: The Economist. DEPKECIATED EXCHANGE AND INTERNATIONAL TRADE. 103 Comparative prices — Continued. OATS. [Bushel.l ' Dutiable at 6 cents per bushel. ' Grade: No. 2 white. Source: The Market Reporter. • Grade: No. 2 Canadian western, landed. Source: Broomhall's Corn Trade News. * Grade: N". 2 Canadian western. Source: The Northwestern Miller. Chicago.!' 2 England.' Winnipeg, Canada.* Period. Exchange. Exchange. Par. Current. Par. Current. 1914. $0. 3S89 . 3941 $0.3337 . 3525 . 3.525 . 3525 . 3625 .3850 .7337 .6500 .7012 . 6787 .7537 .7550 .7625 .8912 .9000 .83.50 .8337 .8650 .9162 .9425 .9600 February March .3930 .3910 .3985 .4008 .7300 .6000 .6200 .6850 .7100 .70.50 .7000 .7937 .7200 .7300 .7300 .7937 April Mav Juiie 1919. January $1. 4700 1. 4700 $1. 4400 1.4400 February March $0. 6617 May June .7337 .73.50 July .7394 .8467 September .8652 .8017 1. 3500 1.1600 .8026 December .823a 1920. .8384 .8248 March .RlfiO 1.000(1 ' .9100 Mav 1. 1100 1.0600 1. 1600 .9750 .7150 .5775 .5575 .4850 .4850 .4300 .4400 .3950 .3700 .4125 .3850 . 3625 .3625 1.1100 1.0010 1.2300 l.OSU) July 1.26011 ; 1.08(0 .9300 1 .8126 September 1.2700 1.2800 1. 2100 .9854 . 98.54 .7786 .8880 .7299 .6934 .7664 .7725 .8272 .7786 .9344 . 9195 . 8f)20 .7072 .7158 . 6116 .7103 .5892 .5664 .6157 .5562 .6346 .5994 .8663 1 .7760 .7225 .6520 November .7000 .6326 . 5663 . 4976 1921. January .6212 .4712 .5038 .4263 .4100 . 4825 .4775 .5088 .4712 . 5342 February March April Mav June July September .4182 .4415 . 3778 . 3064 .4300 .4189 .4541 .4246 104 DEPRECIATED EXCHANGE AND INTERNATIONAL TRADE. Comparative prices — Continued. PORK. [100 pounds.) Period. Chicago. 1 Lotidon, England.'^ Exchange. Par. Current. 1914 January Febniary March April May June 1919 January February March April May June July August September October November December 1920. January Febniary March ; . April May June July August September October November December 1921. January February March April May Juiie July August September $14. .50 14. 7.'-) 14.50 14. 7.T 16.50 14.50 32.00 27.00 27. 50 31.50 32. .50 31.00 32.00 36.00 37.00 38.00 31.00 27.00 25. 50 23.75 2.5.00 32.00 29. .50 25. 50 27.50 3.3.00 35. 50 41.50 30. ,50 19. .50 22. 50 18. 50 20.50 26.50 22. 50 17. ,50 17. .50 27.50 26.50 $13.17 12.92 13.43 13.43 11.91 12. 16 36.49 .32.44 32.44 32.44 32. 44 30.66 30.66 30. 66 30.66 30.66 30.66 32.18 32.18 32.18 .32. 18 32.18 41.82 34.71 39. 37 59.50 44.80 44.12 41.75 34.50 25.60 33. .50 3,5. 47 33.41 36.45 .30. 33 27.84 29.43 33. 41 $35. 70 31.72 31.15 31.25 31.77 29.24 28.94 27.50 26. 42 26.42 26.26 26.48 25.13 22.95 22.65 26.04 32.97 28.01 31.98 30. 19 32.77 31.46 29.58 24.76 IS. ,59 26.32 28.37 26.97 21.61 24.37 20. 40 22.58 25. 92 ' Grade: Loins, 10-12 pounds. Source: The Market Reporter. » Source: The Economist. DEPRECIATED EXCHANGE AND INTERNATIONAL TRADE. 105 Comparative prices — Con ti n ue d . RICE. [Pound.] January . . . February. . March April M ay June July Aufiust September. October November. December. . January . . . February. . M arch April May June July August .September. October . . . November. December. January... February.. March April May June July August September. Period. New Orleans.1.2 $0.0600 ,1125 .0920 .0970 .1087 .1093 .0o97 .0707 .1175 .1125 .1137 .1150 .1100 .1200 .0900 . 0888 .0588 .0563 .0400 . 0375 .0253 .0337 .0212 .0275 .0363 . 03.88 .0363 England.' Exchange. Par. Current. $0. 0570 . 0570 . 0570 . 0570 .0592 . 0592 . 0592 . 0592 . 0.592 . 0592 . 0592 .0592 . 0592 . 0592 . 108(i . 1086 . 10S6 .1080 . 1086 . 10,86 . 0934 . 0934 . 0978 .0869 .0663 . 0386 .0315 . 0402 . 0380 . 0380 .0380 .0510 England.' Exchange. Par. Current. $0. 0557 . 0557 . 0.547 . 0549 .0579 .0.564 . 05.58 .0.531 . 0510 .0510 .0.507 .0487 .0462 . 0493 .0764 .0873 . 08.53 . 0876 . 0882 .0830 . ()(i,'i3 . 0666 .0693 .0624 .0482 . 0303 . 02.52 .0324 .0310 . 0305 .0278 .0393 $0. 0944 .0942 .0949 .0949 .0911 .1031 . 1031 .1031 .1302 .1302 .1302 .1302 .1302 . 1324 ,1324 , 1324 , 1282 ,1151 .1097 .09.56 . 0,554 .0,565 . 0.532 . 0.5t)5 .0565 . 0652 JO. 0923 .0921 .0911 .0914 . 0,892 .0983 .0973 .0924 .1122 .1122 .1115 .1071 .1017 .0944 .0968 .0944 .0908 . 0826 .0797 .0751 .0443 .04j6 .0434 .01.54 .0414 .0502 ' Dutiable at 1 cent per pound; after May 21, 1921, dutiable at 2 cents per pound. ' Grade: Blue Rose Head. Source: The New Orleans Times-Picayiuie. ' Grade: Burmah Two Stars. Source: Broomhall's Corn Trade News. * Grade:— 1919-20, Siam, polished; 1921, Japan, polished. Source: Broomhall's Corn Trade News. 106 DEPRECIATED EXCHANGE AND INTERNATIONAL TRADE. Comparative prices — Continued. SOYA BEAN OIL. [Pound.] New York.i." England.' England.* Period. Exchange. Exchange. Par. Current. Par. Current. 1914. January $0. 06.56 . 0643 .0037 .0637 . 06.50 .06.50 .1350 . 1037 .0987 . 1.500 .1600 .1787 .2000 .2012 . 1S87 .1737 .1800 .1787 .1850 .1912 .1875 .1912 .1775 .1725 .1650 .1475 . 1362 . 1375 .1137 .1025 .0862 .0837 .0737 . 0743 . 0762 .0787 .0775 . 0825 .0875 February March. . _A.prU May June 1919. January. . February March April M ay June July .'September $0. 1825 .1738 .1911 .2140 $0. 1572 .1497 .16.36 .1760 October November December 1920. February *. .2454 . 2574 .2064 .1847 .1835 .1542 .1455 .1586 .1629 .1521 .1086 .0912 .0825 .0804 .0760 .1750 .181] . 1670 .1456 .1480 .1253 .1112 .1160 .1162 .1078 .0779 .0662 .0648 .0643 .0613 $0. 2878 . 2933 .2716 .2390 .2281 $0. 2052 March . 2064 April .2197 May . 1884 .1840 July August .1955 . 19.55 .1966 . 19.55 .1629 .1499 .1494 ; September .'.... . 1430 October . 1402 November . 1385 ^December .1169 1921. .January .1089 February March .\pril -May .0977 . 1043 .1043 .1129 . 1303 .0798 June .0838 July .0760 .0956 .0.557 .0733 .0765 AuRust .0866 September . 1003 • Dutiable after May 27, 1921, at 20 cents per gallon. 2 Ora-inch, 48 by 48, 3 yards per pound. Source: The Textile World Journal. ' Grade: 36-inch, 40 yards, 12 pounds. Source: The Manchester Guardian. < Grade: Gray, 36-inch, 40 yards, 13 pounds. Source: Japanese e.xporting firm. 114 DEPRECIATED EXCHANGE AND INTERNATIONAL TRADE. Comparative prices — Continued. WOOL TOPS. [Pound.] Boston.i. 2 Bradford, England.' Bradford, England.* Period. Exchange. Exchange. Par. Current. Par. Current. 1919. $1. 0300 1. 0300 1.0300 1. 0300 $1. 0100 1. 0100 . 9926 .9962 $1.0700 1. 0700 1. 0700 1. 07CO 1. 0700 1. 2300 1. 2300 1. 2400 1. 2200 1. 3500 1.5600 1. 6000 1. 5200 1.4100 1. 4100 1. 4800 1. 3700 1. 2500 1. 2500 1. 0500 1. 0900 .9900 . 8700 .7000 .6486 .6081 .5676 .4764 .4662 .4662 .4459 .3851 .4054 $1. 0500 $1. 4500 1. 5000 1. 4000 1. 3700 1. 0500 March 1. 0300 April 1. 0300 May 1 0500 June . 1. ISOO July 1. 5000 1.7200 1. 6500 1. 6000 1.5200 1. 5700 1.520O 1. 5200 1. 5200 1. 6500 1. 3700 1. 320O 1. 1700 1 1200 1.0600 1. 1700 1. 34ro December 1920. January February March April May 1.70 1. 3300 1. 5000 1. 4300 1. 1800 1. 1100 1. 2500 1. 2500 1. 1300 1. 1300 1. 0300 . 8900 .8100 .7297 .7297 .6486 .5068 .4865 .4865 .4459 .4054 .4257 1.4000 1. 1900 1. 0700 1.0100 1. 2000 1. 1200 1. 0100 1. 0200 .8600 . 8300 . 7300 . 6300 .5800 ,5301 .5732 .5190 .4091 .3974 .3909 .3268 .3110 .3277 1. 32CO 1. 1900 1. 0100 1. 0000 1. 2000 1.0900 1. 0100 July 1. 0200 Aueust 1. 1700 . 8000 September .8000 October .9200 . 7000 .6100 December .7800 .6650 .7200 .7250 .7100 .6750 .5000 1921. .4712 February .4776 March .4540 April .3846 .3808 June . 3745 .3268 August .6400 .2954 .3121 I Dutiable at S per cent until Mav 27, 1921: after that date, 45 cents per pound additional. 'Grade: Hi:;h quarter blooi. Soiree: The Textile World Journal. ' Graie: 505, English preparel. Source: The Wool Record and Textile World. * Grade: 593, Hogget, crossbrel c)lo:ual prepared. Source: Tae Wool Record and Textile World. Appendix C. A comparison of wages in the United States, Great Britain, and Germany. FOOD PRODUCTS INDUSTRY. [Rate per hour as of May, 1921.] Great Britain.i Germany.' Occupation. At current exchange. At current exchange. Equiva- lent pur- chasing power.' Equiva- lent in cost of living.^ Bread baking and confectionery: Foreman $0,342 .313 .304 .308 •297 .339 .361 .309 .2o0 .2.5'1 .233 .158 $0. 136 .110 .089 .128 .109 .108 .0^9 .086 .089 .094 .062 .056 $0,226 .182 .149 .213 ,171 .180 .149 .144 .148 .156 .103 .093 $0,307 .248 Ovenmen .201 Single hands .290 Brewery workers: Inside, male adults .245 Stationarv-ongine drivers . . . .244 Flour and grinding mills: .202 .195 Machine men .201 Holsters . .212 Porters .140 Laborers .126 • The Labour Gazette (British). ' German basic wages reported by Statistischen Rcichsamt for February, 1920, readjusted to May, 1921, by apjilication of the wage index number published by the Frankfurter Zeitung for tlie Frankfurt district . ' Equivalent purchasing power based on United States and German wholesale price indices. • Equivalent purchasing power based on relative costs of living in United Slates and Germany. GLASS INDUSTRY. [Rate per hour as of May, 1921.] United States.i Germany.' Occupation. At current exchange. Equiva- lent pur- chasing power.' Equiva- lent in cost of living.* Glass industry: $0. 407 .508 .6.54 $0,091 .088 .078 .042 $0. 1.52 .156 .129 .069 $0,206 Decorators . . .198 Laborers or helpers- Male .175 Female .094 ' Monthly Labor Review, May, 1920, covering wugo-^ in gl.vss industry, 1919. 2 (Jcrman basic wages reported by St;UiHii>cluMi Kcichsiuiii for Feliniary, 1920, readjusted to May, 1921, bv application of the wage index number publislit-.l Ijy the Krankfurier Zeitung for the Frankfurt district. "' Equivalent purchasing power ba.scd on United States and German wholesale price indices. < Equivalent purchasing power based on relative costs of living in United Stales and Germany. 115 116 DEPRECIATED EXCHANGE AND INTERNATIONAL TRADE. A comparison of u ages in the United States, Great Britain and Germany — Continued. LEATnER (BOOT AND SHOE) INDUSTRY. [Rate per hour.i] United States.2 Great Britain .3 Germany. < Occupation. At current exchange. At current exchango. Equiva- lent pur- cha-^ing power.'s E quiva- lent in cost of living.6 SHOE-FACTOKY WORKERS. Cutting department: Average wages- $0,616 .461 .604 .411 .517 .400 .714 .373 . 573 .374 .715 .337 .796 .411 $0,230 Female Sole-leather department: Average wages- Male .230 Female Fitting or stretching department: Average wages — Male .230 Female Lasting department: Average wages — Male .230 Female Finishing department: Average wages- Male .230 Female Bottoming department: Average wages- Male .230 Female Heel building: Average wages— .220 .150 .300 HARNESS MAKERS. Harness makers $0. 101 .085 .094 .057 .117 $0. 168 .141 .155 .098 .194 $0,228 Tanneries: Glazers .552 .451 .280 .560 ,191 Laborers- Male .211 Female .133 Machine operators .263 1 United States Shoe Factory Wages for 1920, as published by United States Department of Labor, April, 1921. Tannery wages for year 1919, published Monthly Labor Bureau, May, 1920. Wages for Great Britain as of Dec. 31, 1920. As stated in publication of ministry of labor, German wages as of May, 1921. 2 Monthly Labor Review. s The Labour Gazette (British). * German basic wages reported by Statistischen Reichsamt for February, 1920, readjusted to May, 1921, by application of the wage index number published by the Frankfurter Zeitung for the Frankfurt district •' Equivalent purchasing power based on United States and German wholesale price indices. ' Equivalent purchasing power based on relative costs of living in United States and Germiany. DEPRECIATED EXCHANGE AND INTERNATIONAL TRADE. 117 A comparison of wages in the United States, Great Britain and Germany — Continued. MEAT-PACKING INDUSTRY. [Rate per hour as of May, 1921.] United States.i Germany.' Occupation. At current exchange. Equiva- lent pur- chasing power.3 Equiva- lent in cost of living.* Common or unskilled labor: Male Female Skilled labor— Male $0,454 .358 .559 $0,091 . 058 .113 $0,151 .096 .187 $0,203 .130 .228 1 Figures for American wages compiled by the National Industrial Conference Board, New York City, for June, 1921. 2 German basic wages reported by Statistischen Reichsamt for February, 1920, readjusted to May, 1921, by application of the wage index number published by the Frankfurter Zeitung for the Frankfurt district. 3 Equivalent purchasing power based on United States and German wholesale price indices. ■• Equivalent purchasing power based on relative costs of living in United States and Germany. OILS AND FATS. [Rate per hour as of May, 1921.] United States.i Great Britain.' Germany.* Occupation. At current exchange rate ($4 to poiind sterling). At current exchange. Eqiuvalent purchasing power.* Equivalent in cost of living.* / $0,357 t .389 / . 455 \ .409 .426 .372 .429 } $0. 089 .097 .092 .085 .095 $0. 147 .161 .153 .112 .157 $0,200 Department workers, skilled Handworkers Yard and place workers 1 S0.319-$0.319 "".'i70^".'25i' .289- .319 .319- .349 .170- .196 . 289- . 319 . 170- . 251 .218 .208 .195 .213 Soap and candle manufacturers: Oil-cako mills (Liverpool): Youths 1S-20J vcars ! « . 162- . 179 Lard and oloo denartmcnt, "Slaughter- ing, I'niied States" (1919): .407 .476 .459 .422 .479 .505 .439 '.299 riility men (handy men-assistant i^ Wages fi)r 1917 (53.77 per cent general average increase in similar industry in New York State, from 1917 to March, 1920). From "Slaughtering in the United Slates," Federal Trade Commission. 2 The Labor fiazette and "Standard time rates of wages and hours of labor," December, 1920 (British). 3 (Jcrinun basic wages reported by Slalislischon RrichsanU for Kcbruury, 1920 readjusted to ,Mav, 1921, by apphcalion of the wage index number pnhlislied bv llir iMankfiirlcr Zi'ilungfor the Frankfurt district '< Equivalent purchasing power ba-^ed on linitcd Stales and German wliolc^ale price indices. •> Equivalent i)urchasing power based on relative costs of living in United Slates and Germany. ' 47 nours per week. 1 57 hours per week. 599—22 9 118 DEPRECIATED EXCHANGE- AND INTERNATIONAL TRADE. A comparison of wages in the United States, Great Britain and Germany — Continued. PRINTING AND BOOKBINDING. [Rate per hour as of May, 1921.] United States.' Great Britain.2 Germany.3 Occupation. At current exchange. At current exchange. Equiva- lent pur- chasing power.* Equiva- lent in cost of Iiving.6 Printing and boolcbinding: $0. 887 SO. 381 1 $0. 103 $0. 170 .169 . 204 .185 .160 .091 .188 .149 .188 . 155 .138 .062 .158 $0. 231 Machine men . 381 . 102 .230 Linol ype and monotype operators Printers in charge of rotary press Bookbinders and machine rulers (male) , .907 .992 .412 .412 .381 .170 .123 .111 .097 . 0,55 .276 .250 .216 Bookbinders (female) .123 Stcreotypers .924 .901 .964 .875 .589 . 381 . 113 .255 Journeymen on rotary press .361 .381 .327 .306 .170 .397 .321 .400 .321 .321 .166 .296 .400 .089 .113 .093 .080 .037 .093 .202 Electrotvpers .255 Book and job pressmen .210 G eneral assistants .180 Women feeders .084 Lithographic printers .214 Paper-mill industry: Cutter men .428 .692 .427 .448 .276 Machine tenders Packers Pressmen Laborers- Female .. Male Beater men 1 Monthly Labor Review, November, 1920; average for 10 cities. 2 The Labour Gazette (British), April, 1921, and Ministry of Labour (British) publication " Standard rate of wages and hours of labor, December, 1920. 3 German basic wages reported by Statistischen Reichsamt for February, 1920, readjusted to May, 1921, by application of the wage index number published by the Frankfurter Zcitung for the Frankfurt district. * Equivalent piu^chasing power based on United States and German wholesale price indices. ^ Equivalent purchasing power based on relative costs of living in United States and Germany. WOODWORKING. [Rate per hour as of May, 1921.] United States. 1 Great Britain.2 Germany.' Occupation. At current exchange. At current exchange. Equiva- lent pur- chasing power.* Equiva- lent in cost of living.5 Gilders 80.400 .430 .430 .400 .280 .390 SO. 114 .118 .123 .108 .084 .077 $0. 189 .196 .204 .177 .140 .128 $0,256 Cabinetmakers .265 Upholsterers .277 Painters .241 Laborers .190 Skilled workers .173 Mill sawyers $1.00 .03 .41 Mill machinists Mill laborers * Brush workers .350 .240 .280 .084 .104 .131 .139 .173 .218 .188 Cork workers .234 Cane makers .296 1 Monthly Labor Review. 4 96 'd \ \ ^ i i 2 The Labour Gazette (British). ' German basic wages reported by Statistischen Reichsamt for February, 1920, readjusted to May, 1921, by application of the wage index number pubUshed by the Frankfurter Z'eitung for the Frankfurt district < Equivalent purchasing power based on United States and German wholesale price indices. 6 Equivalent purchasing power based on relative costs of living in United States and Germany. o This book is DUE on the last date stamped below 1^'IB m- ^^"m. 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