COST OF LIVING.

Lyttelton Times, Volume CXVIII, Issue 18414, 21 May 1920, Page 5

COST OF LIVING.

FALL IN PRICES IN AMERICA. By T»le«rfcPh— Fret* Association— Copyright Router’s Telegrams. NEW YORK, May 19. In connection, with the reduction ui prices the newspapers are vertisements of special sales. The leasons coven are that owing to the stow enrine season the public are doing little nurchasinT leaving merchants stocked up and the tight condition of the money market. Whether lower prices have arrived permanently is a question, leading Chicago merchs nt states that the reductions are intended to sat sty the hysterical public demand for lover Pl There has been a general decline in stocks in Wall Street, and furthei extensive selling of Liberty bonds at lov [e-els. Sales before noon approximat ed £-1,000,000, at par. WASHINGTON, May 19. Governor Harding, of the Federal Reserve Bank Board, recommends all banks to liquify, all credit extensions, which are permitting large -stocks ot merchandise to be held for speculative Congressional action is expected with a vieiT to driving foodstufis from storand N.Z. Cable Association. , (Received May 20, 11-30 p.m.) NEW YORK, May 20.

a wave of price slashing is sweeping the country The reductions arc chiefly in men’s and women s weann & prvjarol Manv other manufacturers whl follow suit. The banks notify tuat makers of non-essentials will roceno , on ly very limited financial accommodate ior. available. , The stocks, bonds and commodity markets are highly nervous There was a heavy Victory bond liquid&tWholesale merchants assert that the move cannot be maintained.

SHORTAGE OF BREAD FEARED. FOOD CONTROLLER'S VIEW. (Received May 20. 7.40 p.m-) LONDON, May 19. The Food Controller, speaking in Lon- - don, said that before the abolition of food control could be secured difficult periods must be passed. At the present moment average prices of foodstufis i Britain were at the highest point since the outbreak of the war, and m consequence the national wage bill had increased in two years by five hundred millions. The world's prospective wheat crops were causing every Government in the world the greatest: anxiety. Substantial decreases were reported from North America, Australia and the Argentine. The Argentine was considering the necessity of prohibiting the export of wheat- Only the Indian crop ■showed a surplus, but it was insufficient to balance the loss of output from other sources. It was quite possible that people in Britain would have to eat bread of a quality only procurable during the most difficult period of the war. He urged people to eat New Zealand mutton and save flour and bread.

GENERAL BOOTH’S SOLUTION. (Received May 20, 9-45 p.m.) SYDNEY, May 20. General Booth was entertained by the Millions Club. Dealing with the problem of the high cost of living, he urged that increased wages were nob beneliting the workers. There should be some combination between workers and employers to solve this problem of the cost of living. He believed that it could bo solved by production.