152 WHEAT PRODUCTION IN NEW ZEALAND 



Pardridge, in 1891-2, at Chicago. It so happened 

 that, contrary to the expectations of leading statistical 

 authorities, the supply of wheat was in abundance, and 

 Pardridge, who persistently sold wheat at a time when 

 a scarcity was anticipated, was able to buy back 

 at very much lowered prices. But the success of the 

 manipulation was due rather to the operation of natural 

 conditions of demand and supply than to the speculator's 

 influence. The fall in price would have occurred without 

 the influence of the manipulation. 



Manipulations are more often successful on a small 

 scale, but for every successful attempt, and such are 

 noticeable, there are numerous unsuccessful ones which 

 pass unobserved. Manipulations of the market are less 

 common in the produce market than in the stock 

 market; they are confined within very narrow limits; 

 they continue but a short time; the volume of trans- 

 actions is small ; and they have little effect on the general 

 course of prices. 



On the "bull" side of the market such attempts at 

 control of the market are more prevalent than on the 

 "bear" side. "Bull" manipulations may culminate in 

 ' ' corners. ' ' A successful ' ' corner ' ' in wheat exists when 

 the market is over-sold, that is, when the "bulls" 

 have secured control of a considerable part of the local 

 supplies, and have induced so much short selling that 

 there are not sufficient supplies in the market to cover 

 the volume of short contracts within the required time. 

 The most noteworthy operations on this side of the 

 market are those of a clique of "bulls" in 1897-8, headed 

 by Joseph Leiter, a young man with unlimited self- 

 confidence, with an unusual capacity for appreciating 

 and comprehending extensive business situations, with 

 amazing audacity, and lastly, and of great importance, 

 an unlimited supply of capital. At first the operations 

 were successful, but Leiter 's boundless ambition and 



