RETAIL PRICES IN NEW ZEALAND

Dominion, Volume 8, Issue 2491, 18 June 1915, Page 7

RETAIL PRICES IN NEW ZEALAND

GOVERNMENT STATISTICS THE COST OF LIVING Results of tho investigation t,v u Govern moil t Statistical Ultimo a* to tho variations in retail prim in \nv land from 183) to 1914 are published'in Uio latest issue of the Labour Journal. Scopc of tho Inquiry. The results published aio exact, but will bo supplemented and coiitium-d in future issues of the journal. Other ui-"-ent work absorbing the uttentiun of the Statistician's small stall ol t-amod workers has delayed tbe publication of Uio final results, but now that these havo been examined <nd verified their continuation will be a tusk or comparative ease. Tho cost of food and housing are considered mainly, and accoMing to What, on exact statistical trial, proves to j bo their proper value in an average family's expenses. Clothing, fuel, and light should also be taken into account, but it. is impossible to arrive at any standard in these commodities. Individual tastes and fashions exert such an influence upon tho cost of clothing that it is impossible to say what is the avenge requirement, oi a man in any particular station of life. Qualities and grades also are subject to such changes that no. list of articles can bo selected lor which conipar, able predominant prices could bo ob tained. l-'urther, a great deal of the expenditure on clothiug is from a man's surplus income; that is to say, ho buys clothes when he can afford them. The necessary clothing, which is of us great importance as bousing and food, absorbs comparatively little of his wages. 1( ( .- garding fuel and light, the difficulty is that the commodities used lor providing these necessary lomforts vary m different towns. Auckland and Welington have both gas and electric light; some towns have neither. Some householders may use gas for fuel; others, in bush towns, use wood. So the cost varies. A separate table has, however, been pre pared to show the cost of these commodities, apart from their relation to the main subject of the inquiry. The .inquiry extends over the years 1891 to 1914 in the four chief centres. For the purposes of comparison, the average aggregate annual expenditure in these centres during the five-year period 1909-13 is taken as the base, and in figures is stated at 1000. Thus, if it is stated that rents in Wellington at any period were 1200, it indicates, that the rents were 200 points above 1000, which figure represents the average of the four centres for 1909-13. Food Pricis. Food, cost is considered in three groups:—l, groceries; 11, dairy produce; 111, meat. In Group I, Wellington in 1891 had the figure 1030 (or thirty points above the average for the base period). Auckland was 1002, and Dunedin lOijli. At times the Wellington figure toss higher, but not above 1073 :n IS9B, no* below 941 in 1899. In 1913 it was 1029, and iu 1911 1122. In that year the other centres were:—Auckland, 1011; Christ church, 1055; Dunedin, 1085; and the Do. minion average was 1070. There havq been' constant and violent fluctuations in grocery prices, but tho general level has been maintained throughout the period and until 1914. Wellington has maintained tho highest average cost, and Christchurch the lowest. Groceries cosh ing .£1 00. 7Jd. in Wellington in IS9I, cculd not, in 1914, be purchased for les;j than 225. 5Jd. in this City, for 20s. 9Jd. in Auckland, 21s, ljd. in Christchurch, and 21s. B}d. in Dunedin. The numbers in Group II (dairy produce) show less tendency to fluotuate, but since 1895 have risen steadily. In 1909 there was a fall, but a further riso continued until 1913. Tho figures are:— 1891: Wellington, 795; Auckland, 732; Christchurch, 819; Dunedin, 879. 19131 Wellington, 1124; Auckland, 1028; Christchurch, 1013; Dunedin, 104t. Auckland and Wellington show slight decreases for 1914: Wellington, 1117; Auckland, 102G; Christchurch, 1010; Dunedin, 1064. Dunedin has the higTaest average (944), with Wellington next (914), Christchurch (897), and Auckland (800). In terms of money, produce costing 15s. IOJd. in Wellington is IS9I cost 225. 4d. here in 1914, 20s. OJd. in Auckland, 20s. 2id, iu j Christchurch, and 21s. BJd. in' Dunedin.

The lowest level in meat' (Group III) was reached in 1897 (Wellington, 802). Afterwards there -was a tteady increase till 1912, when the upward trend became violent. Wellington was lower in 1914 than in 1913, but other centres were higher. Auckland has' expeiienced local fluctuations of a violent character, and also leads in the average, as the follow, ing tigUTea show Auckland, 1047; Wellington, 95G; Christchurch, 959; Dunedin, 821. Other numbers are, with money values in parentheses:—lß9l: Wellington, 879 (17s. 7dfl); Auckland. 960 (life. 24d.) j Christchurch, 901 (18s. Old.); Dunedin, 715 (14s. 3Jd-)- 1913: Wellington, 1139; Auckland, 1104; Christchurch, 1027; Dunedin, 917. 1914: 'Wellington, 1116 (225. 3;jd.); Auckland, 1266 (255. 3|d.); Christchurch, 1121 (225. 5(1.); Dunedin, 1127 (225. 6Jd.). The three food groups combined show that Wellington reaohed its lowest point (895) in 1897, Yr'liicli was also the cheapest year for Auckland (91C). Dunedin has the lowest average over a sixteenyear period, with the number 944, Wellington being 994, Christchurch 971, and Auckland 1002. Figures and values are: Wellington, 924 (18s. 53d-); Auckland, 925 (18s. Gd.); Dunedin, 890 (17s. 9!d.). 1913: Wellington, 10S9 (21s, 9}d.); Auckland, 1069; Christchurch, 995; Dunedin, 997. 1914: Wellington, 1119 (225. 4id.); Auckland, 1114 (225. 3\d).; CliristcHurcli, 1607 (21s. 4d.); Duinediil, 1904 (21s. 101 d.), House Rents. House Tents (Group IV) show a niii form series of increases over the twentyfour years, except in Christc'hurch, where lhe_ maximum was reached in IDOG (Exhibition year). Wellington suffered a set-back after 1908 (end of tho "boom"), but has since recovered. Tho Capital City is consistently higher than the other centres, but Auckland shows the greatest increase, the index number rising from 417 in 1891 to 1032 in. HH4. The averages ore:—Auckland, 801; Wellington, 1054; Christchurch, 887; Dunedin, 850. Figure* and values are:—lß9l: Wellington, 84-1 (16s. lOJd.); Auckland, 417 (Bs. 4d.); Christchurch, 760 (15s. 2Jd.); Dunedin, 771 (15s. 5d.). 1914: Wellington, 127? (255. old.); Auckland, 1032 (20s. 7fd.); Christchurch, 947 (IRs. Jlld.); Dumedii). 940 (18s. 9Jd.). Bent as an influenco on the cost of living is apparent in the figures relating to "All Groups." Though food was slightly dearer in Auckland than Wellington, rents in the Capital City more than counterbalanced this. Figures and values are:—lß9l: Wellington, 893 (17s. 101-d.); Auckland, 730 (14s. 7Jd.); Dunedin, 814 (IBs. 10Jd.). 1913: Wellington, 1152 (235. Oi-d.); Auckland, 1055; Christ-' church, 968; Dunedin, 973. 1914: Wellington, 1177 (235. Auckland, 1083 (21s. 8d.); Christchurch, 1021 (20s. 5d.); Dunedin, 1035 (20s. 8ld.). Wellington has an average of 1003, Auckland 914, and Dunedin 895. A further table shows that the proportion of total expenditure absorbed by house rent has largely increased since 1891, the percentage required by groceries has decreased considerably, while dairy produco and meat absorb about tho same proportion of a man's earnings. In other words, house rents have increased out of proportion to other expenditur».

For reasons summarised previously, the bearing of fuel and light charges on the cost of living cannot be adjusted with any degree of certainty, but a table lias been compilsd showing the average costs In the four centres. The figures are given for 'Wellington over twenty-four j years, and they show lhat the cost has increased comparatively slightly until 19H: From 1120 in 1891 to 1101 in 1913 and 13GO in 19H. Numbers for the other centres in 19M arc:—Auckland, 971, Christchurch, 1174; Dunediji, 905. Comparison of Towns. Commencing with the year 1914, tal>]en similar to those showing the index numbers of the four chief centres for twenty-four years have been compiled to show the variations in [prices from quarter to quarter in twentf-fivo representative towns of the Dominion. From the index itumbor of food groups, Taihape i» seen to he the dearesl of the twenly-five towns, followed by Alexandra, Rotonia, and Grey mouth. Vanganui and Palmoi'ston North are cheapest, followed bv Ashburton and Christchurch. ■Wellington occupies 8l:h place, Auckland •Qth, DUBAtIiA 16th. Ckristoliiirch 2211t1.

For all groups in combination, however (that is, including rent), Wellington is easily first, with sn average for the year of 1177, Auckland being second with 10S3. Waihi is lowest with [102, aud Alexandra, though second highest in the food groups, has such low rents that it is the nest cheapest place to live in, its number being 904. In groceries the September quarter showed a considerable increase over the June quarter. Tho various quarters in Wellington had the following index numbers which givo an indication of tho extra cost imposed by the war: March, 1152; Ju.ne, 11CS; September, 11G9; December, 1221; an increaso of 53 points, or practically 5 per cent., for the two war quarters. This increase was general throughout all towns considered. Wellington has maintained the lead in high costs, but other towns have also advanced considerably ,in the mercurial register. In the next issue of the "Journal" Mr. Fraser intends to supplement his highly interesting tables and report with the index numbers for the first quarter of 1915; also some further tables dealing with the inquiry over the period 1891-1914. Among the new features will be a household budget based on the prices oollocted.