RETAIL PRICES IN U.S.

Press, Volume LXXXIII, Issue 25084, 16 January 1947, Page 6

RETAIL PRICES IN U.S.

HIGH LEVELS CAUSE ANXIETY NEW YORK CONVENTION (N.Zr Press Association—Copyright) (Rec. 8 p.m.) NEW YORK. Jan. 14. Thousands of retailers‘from all sections of the United States are attending a convention of the National Retail Dry Goods Association, whose main problem for 1947 is “customer resistance to high prices, and how to overcome it." The New York “Sun" says: “Not only are merchandise and operating costs high, but further increases are in prospect. Some merchants are reconciled to the probability that there will be a lull during 1947, while necessary price adjustments are being made, but a few are not quite sure how the revisions will be accomplished and who will make them.

"It has been suggested that retail gross profit margins can be pared, thus cushioning som'e of the higher wholesale costs of merchandise but store payrolls are the highest in retailing history and other expenditure is Ss°S.°ste tely . hißh '. “ eeems “te. on the whole, to surmise that the ultimate solution will be to concentrate tl] at move easily, eliminating as far as possible those to which strong consumer resistance Is expected. „ T ? e m? nsn ,? ial editor of the "New York Times says: “Manufacturers in spite of cries of anguish about costs and profit margins, will have to lower prices to meet customers’ ability to consume or close up shop. Assuming that a free competitive economy includes some freedom of choice for consumers, too, prices need not follow costs up the ladder—not if we decide that we will not let them. We show no signs of so deciding." I Meanwhile, householders in the I eastern states welcome a further reduction of six to eight cents per lb tn butter prices, following another wholesale price drop yesterday, which is attributed to a glutted market. To-day's R ri< iS !° 72 . cents Per lb for choicest butter is only a few cents •bove the June price control ceiling.