PROTESTS AND CRITICISMS 177 



United States trusts in meat and kindred 

 commodities also affect Canadian prices. 



Economic changes in the West through emigration 

 have a direct bearing on the question. The rapid 

 growth of New Canada has diverted trade in 

 cattle to speculation in land. Huge ranches have 

 been cleared in the interest of the incoming settlers. 

 The scarcity of livestock in the United States has 

 driven dealers to the Dominion market. They pay 

 high prices, and the Canadian wholesale merchants 

 are compelled to do likewise in order to hold their 

 own with their neighbouring competitors. Some one 

 has to pay back, and it naturally falls to the lot of 

 the consumer. Mr. Mackenzie King, Minister of 

 Labour, summarizes the causes of increased cost of 

 living in Canada as follows : — 



" I. Extravagance of the rich. 2. High standard 

 of living among the masses of the people. 3. Increase 

 in population, largely through emigration. 4. In- 

 crease in the supply of gold. 5. Large expenditure 

 in public works. 6. Higher wages." 



The economic law of supply and demand lies 

 at the root of the whole question. Canada's 

 increase of population has not been balanced by an 

 equal increase in marketable commodities, either 

 in kind or in skill. Labour is dear because labour 

 is scarce. Where there is competition in supply 

 prices right themselves. I was struck with this in 

 connexion with the restaurant industry. The 



N 



