COST OF LIVING

Sun (Auckland), Volume II, Issue 324, 9 April 1928, Page 11

COST OF LIVING

DECREASE IN INDEX-FIGURE RENTS SHOW FIRST FALL The retail price index (Dominion weighted average) for the three food groups as at February 15 was 1552 (on the base average prices in the four centres during the years 1909-13, equal 1000), a decrease of 17 points as compared with that for the previous month, and an increase of 45 per cent, over that for July, 1914, states the Abstract of Statistics, just issued. The index number for the groceries group has increased 41 points; potato prices have now fallen almost everywhere. The dairy produce index number has increased 19 points, largely due to the rise in the price of eggs. The meat group, the index number for which is 11 points less than that for the previous month, shows a decided fall; general, though slight, reductions have taken place in all classes of meat. The Dominion index number for house rents as at February 15, 1928. was J 854 on the base: average rents in four chief centres during the years 1909-13 equal 1000. This figure represents a drop of 7 points as compared with that for the previous collection (in August last). For many years the index number for this group lagged considerably behind those for other groups, but whereas for the past three years prices have moved very little in the food, fuel, and light, clothing, and miscellaneous groups, rents have continued to rise steadily, a continuous increase from period to period being recorded since February. 1916. For the last two or three collections there has been a noticeable slackening in the rate of increase, but this (February, 1928), is the first occasion since that date | when an actual drop has occurred. Of the four . major centres Auckland showed a drop of 21 points and Christchurch 44 points since August last, while the Wellington index has remained stationary. The Dunedin index, which has been consistently lower than those for the other three principal centres, shows, however, an increase of 24 points over that for the previous collection. Among the minor centres there is a noticeable falling tendency, it being noteworthy that such growing towns as Hamilton, Palmerston Xorth, and Xew Plymouth show decreases, although not of any considerable magnitude. Several of the larger country towns, however, still show increases—notably Wanganui (55 points), Gisborne (45 points), Invercargill (31 points), and Whangarei (22 points). The collection of statistics regarding prices in the clothing and drapery and miscellaneous .groups as at February 15 has also been completed, the “all groups” index number on base July, 1914, equal 1000, being 1611. the same as the November figure. Food shows a rise of 11 points, while the miscellaneous groups are practically stationary. Clothing has fallen 19 points. Footwear shows a decided rising tendency. although it is apparent that the recent rise in leathers has not yet shown its full effect on boot prices. It now costs £1 12s 3d on the average. To purchase what could have been bought for £ 1 in July, 1914. ,