156 Corn atid Corn Products Trades 



the general price level and that there was some justice in the public 

 clamor against them. There were counter incentives, however. 

 The rise in price reacts on the volume and ease of sales, and in the 

 long run the increase in price might reduce the total commissions and 

 elicit disgust from the farmer because of delayed sales. The factor, 

 most probably, weighed such considerations and according to his 

 foresight, skill, craft, financial standing, etc., moderated his actions 

 so as to reap the greatest good from his monopoly privileges. 



JOBBER. 



Jobbers are essentially speculators. They "are those who, con- 

 ceiving there is a probability of the markets rising, will make very 

 large purchases for the sake of selling again at an advanced price, or 

 retailing it out," — "who attend the Market for the express purpose 

 of buying Grain to resell on the same market day, or -within a day or 

 two afterwards."^ They had stands on the Exchange.^ They were 

 favored by the factors (a) because they were not competitors, (b) 

 because the factors did the bu\ang and selling for the jobbers and this 

 buying and selling brought them good commissions; and (c) because 

 oftentimes the large-buying jobber would advance prices and make 

 the small bu^^er pay higher out of a sense of fear lest he be not able to 

 buy at all.^ 



The function of the jobbing speculator is to steady the supply and 

 prices. Fullness of knowledge would annihilate speculation. Spec- 

 ulators are a speciaHzed class who try to use every means available 

 for gathering information that will help determine the future. The 

 speculator tends to eliminate the possibility of speculation by elimi- 

 nating uncertainty. And to the extent he does reduce uncertainty 

 our general economic welfare is advanced. Trade and commerce 

 become more certain, regular and sensitive and there is a vast economy 

 of waste. 



The jobbers of corn sometimes operated over longer periods, as six 

 months; in which case they owned or hired granaries and stored their 

 purchases, and brought them out onto the market at opportune 

 times. The size of their stores might be so large as to determine the 

 price on the market. In times of plenty, speculators tended to keep 

 the market supply and price constant; whereas in times of scarcity 

 they had it in their power to influence the market to their advantage, 



1 Rep. Com. H. C, IX, 154, 156. 

 - Ibid., 154. 

 nbid., 154. 



