WAR PRICES

Dominion, Volume 8, Issue 2520, 22 July 1915, Page 2

WAR PRICES

INCREASES IN NEW ZEALAND

STATISTICAL FIGURES In the "Labour Journal" for July, the Government Statistician (Mr. Malcolm Leaser) continues his analysis of ".Retail Prices in New Zealand, 18911914," and gives also somo figures bearing on the increased cost of living since tho outbreak of war. Mr. Fraser's figures and deductions are tho .result of a. special inquiry to ascertain exactly how much the food commodities in question have increased in price since tho beginning of tho war. But though tho investigation gives increases since the war began, it is not possible to say exactly how much of the increase is due directly to tho war. Tho. prices used were obtained from representative retail merchants in twenty-five towns, and are the predominant or most usual prices of the conimodities in common use. It is therefore claimed with confidence that the. figures quoted show accurately tho changes in the cost of foodstuffs so far as' they affect the mass of tho community. For the purpose of comparison foodstuffs have been divided into three, groups, namely, groceries, dairy protluco, and meat. In the first tablo (groceries) Mr. Fraser finds that tho percentage of increase is large and fairly constant in most of the towns. The biggest increases aro llasterton, 25 per cent., and Ashburton, 2G per cent.; the lowest Oamaru, 9 per cent.; New Plymouth, 10 per cent. In Wellington tho increase is 17.04 per cent. 13oth Masterton and Ashburton were at a low level before the war, so that the increase has brought them up. The average increase of the four centres closely approximates to the average throughout tho Dominion.

In dairy produce tho increases are much the same as for groceries, both in the. weighted average and in tho lluctutttions. Tho, highest increases are shown by Palmerston North, 30 per cent.; Wanganui and Oamaru, 27 piecent. ; and the lowest by Nelson, 10 per ccnt. Tlio figures for Wellington aro 13.07 per cent. The avorago of the four centres is rather lower than tlio weighted average for tlio Dominion, pointing to tho fact tliat the increases (mainly in butter and milk) aro greater iu the smaller towns.

Mr. Fraser points out that the prices of meat show quite a different course from the other, groups, and it will be recognised f.hat peculiar influences have been at work. The first feature of tho table is tho fact that at three towns— Auckland, Christchurch, and Nelson — the price of meat shows a decrease, and it is very evident throughout that tho prices of meat have not risen nearly as greatly as the prices of tlio other commodities. In the case of Auckland, tho price of meat advanced rapidly in 1913 and 1914, so that at the outbreak of war meat prices in Auckland were very greatly above tho threo other centres. 'This high level proved temporary, and tho decreaso in price is thus explainable. Both Nelson and Oliristchurch" suffered heavily from the shortage of shipping in connection with frozen meat, and this is reflected in tho retail prices. Tho greatest increase was in Palmerston North, 24 per cent. Tho increase iu Wellington was 8.2G per cent. The average increaso for the four centres is given as follow:—Groceries. 16.32 per i cent.; dairy produce, 14.15 per cent.; meat, 1.88 per cent.; three food groups/10.6 per cent.