ried by the animal in different seasons of the year. With variations both in 

 the monthly price of wool and the amount carried by the animal, prices will 

 vary accordingly. 



LONG TIME VARIATION IN SHEEP AND LAMB PRICES 



Sheep and lamb prices over a long period of time show a greater sensitive- 

 ness to variations in business, trade and economic conditions than do most other 

 commodities. Between 1890 and 1923, the average yearly price of lambs at 

 Chicago ranged from $2.80 per 100 in 1924 to $16.60 per 100 pounds in 1918. 

 Compared with general commodity prices which did not reach bottom in this 

 cycle until 1996 and the peak in 1920, sheep prices show a tendency to antici- 

 pate rather than follow fluctuations in general trade conditions. 



MARKET PRICES OF WOOL 



Fluctuations in wool prices while not so wide as those of mutton and lamb 

 have swung more widely than most other commodities in past years. One 

 reason has been the effect of world supply and demand and another has been 

 the long series of tariff enactments, raising or lowering or eliminating import 

 duties on wool from 1816 to 1922, when twenty-two legislative enactments have 

 tended to modify the play of economic forces, and have resulted in materially 

 changing the available supplies of wool in the United States and, therefore, in 

 raising or lowering wool prices. 



Average prices of medium grade wool over a period of 100 years range 

 from 19.5 cents per pound in eastern markets for Ohio fleece wool in 1896 

 to 91.5 cents for the same grade in 1918, an extreme range of 72 cents or 469 

 per cent. 



War invariably has stimulated the demand for wool and advanced wool prices. 

 During the Civil war, wool sold up to $1.00 per pound- In 1867 the market 

 broke sharply, but during 1871 and 1872 prices again rose to relatively high 

 levels, with the Franco-Prussian war in Europe being an important factor. In 

 1873 a business panic occurred and from that time to 1879 wool prices declined 

 steadily. Revival of business occurred in 1879 and wool prices . responded tem- 

 porarily, but on the whole declined after 1880. Increased wool production in the 

 southern hemisphere during this time began to press world markets and by 

 the middle eighties there was a pronounced decline in wool prices with the 

 panic of 1893 hastening this downward movement. The average prices of 1901 

 to 1910 were lower than the average of 1840 to 1890 if the Civil war be ex- 

 cluded. In 1913 the trend of wool prices was again downward. 



During the World war prices of wool broke all previous records with fine 



30 YEARS OF LAMB PRICES AT CHICAGO 



(Solid .Line Price per 100 Lbs.) 



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