JOBBERS AND COMMISSION MEN 773 



uncommon to find a combination of both methods employed by the 

 same firm. Dealers might handle certain lines on commission and 

 buy other produce outright. Again a given commodity might be 

 bought and sold in job lots at certain times and be taken in only 

 on a commission basis later under different conditions. Such com- 

 binations of commission and jobbing business are still a common 

 practice in all our leading trade centers. 



The most important influence directing changes between the 

 commission and jobbing methods of doing business is the move- 

 ment of prices. Thus, during a period of uniform or rising prices 

 the jobbing business is encouraged, whereas the conditions of 

 over-supply leading to falling prices so far increase risks as to 

 discourage jobbing and induce the dealer to accept shipments 

 only on a commission basis. 



Nevertheless, jobbing has so far become established now in the 

 produce business as to make it the rule, and commission buying 

 the exception, in the handling of perishable products at our lead- 

 ing primary markets. The extent to which the jobber has dis- 

 placed the commission man is more noticeable in Chicago and the 

 twin cities than it is in New York City. The main explanation 

 for this will be appreciated more fully after we have discussed the 

 problems connected with the handling of surplus stock. At this 

 time it is sufficient to. state that the mere size of the New York 

 market, enabling it to absorb large shipments at a relatively small 

 change in prices, makes it seem the least risky place to consign 

 produce that must be sent on commission. It should also be 

 noted that where jobbing and commission business exist side by 

 side in the same market the latter is now practically confined to 

 the lower grades of produce. 



Not only has jobbing increased as compared with commission 

 business but competition among jobbers in the buying field has 

 become very keen and has led to peculiar developments along 

 certain lines. Thus, in the case of butter we have an interesting 

 situation revealed in connection with the practices of the recent 

 butter board at Elgin. The tendency of that board to publish 

 prices below those at which sales were actually made naturally 

 aroused the indignation of the public. Nevertheless, the exact 



