172 Index Numbers of the Prices of Commodities in 1893 . 
depressed until the time of the great strike, during which extreme 
rates were reached, higher than at any time since 1873. Textiles 
and sundry materials stood in the aggregate slightly above 1892. 
The average price of cotton for the whole year was a little higher 
than the abnormally low figure in 1892, but the closing prices were 
considerably lower than a year ago. Flax, silk, and English wool 
were dearer. Merino wool was as cheap as in the previous year, 
and hemp was lower. Jute, on the other hand, went much higher 
than in the latter part of 1892. Tallow, palm oil, and indigo were 
dearer, but petroleum declined to 3| d., the lowest price on record. 
“ The monthly fluctuations were as follow : — 
1889. December . 73 7 
1890. December . 71T 
1891. December . 71 '4 
1892. September . 66'8 
1892. December . 67'7 
1893. January . 68 4 
1893. February 
. 69 
1893. March . 
. 68-1 
1893. April . 
. 67-4 
1893. May . . 
. 67-4 
1893. June 
. 67-4 
1893. July . . 
. 67-7 
1893. August . . 67T 
1893. September. 68 - 2 
1893. October. . 68-6 
1893. November . 67'8 
1893. December . 67 
“ A tendency to a slight improvement in trade was observable 
early in the year, and the position of some large articles of con- 
sumption, of which the production had been arrested, was rather 
favourable ; but this improvement was of short duration, and general 
trade relapsed into a state of stagnation under the pressure of 
financial disasters and other adverse influences such as have rarely 
been experienced. These were the Australian banking crisis, the 
drought and poor harvest prospects here and in several other 
countries, the closing of the Indian mint, then the great commercial 
and financial crisis, the repeal of the Silver Purchase Bill and the 
uncertainty about tariff reform in the United States, the great coal 
strike, the crisis in Italy and Greece, the revolution in Brazil, and 
the generally unsettled state of the European bourses. Had prices 
not been exceedingly low, they would no doubt have severely 
suffered, but depressed as they were the monthly index numbers do 
not throw much light on the state of affairs, particularly as during 
the last five months they were affected by the high price of coal. 
“Silver fell from over 38 d. during the first four months to 
about 30 d. in June, when the Indian mint was closed, recovered 
part of the decline and was worth between 33 d. and 34 d. from July 
to October, and about 32 d. in November and December. The 
average price was about 35 \d. (against 39 13-16(7. in 1892), or 42 
per cent, lower, the closing price 31| d., or 48 per cent, lower than 
the old parity of 1 gold to 15| silver. ” 
In a subsequent letter, which appeared in the Times of 
March 10, Mr. Sauerbeck gave the following index numbers of the 
prices of 45 commodities : 1867-77, 100 ; 1873, 111 ; 1893, 68 ; 
December 1893, 67 ; January 1894, 65‘8 ; February 1894, 65. He 
added : — 
“ Since the commencement of the year coals have fallen con- 
siderably ; most of the other articles are also somewhat cheaper, 
and the index number for February is the lowest on record. 
