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Show RECKLESS BUYING ! BIG IIS El Bank Officials Believe Post-! War Era of Extravagance and High Prices Receding i WASHINGTON, April 1. Nation-AVide Nation-AVide reports from federal roserve bank officials disclose their opinion : that the post war ora of "extravagance 'and reckless bttying' by the public Is ncaring its end. A "hesitation, if not an actual recession," reces-sion," of prices is noted and the federal fed-eral reserve board's statement summarizes sum-marizes its advices as indicating a generally more hopeful view of tho country's business condition than for several months. While the price changes were shown by the board not to be universal, thoy would nevertheless bo regarded as positive pos-itive and of importance as a basis for reckoning what the immediate Tulurc holds. ! High Prices at Peak. Relief from the high prices for the consumer will not bo completely ob-i talned until present stocks are absorb-j ed In practically all lines, according to I tho board's view. Manufacturers everywhere, however, wore shown to hold the view that the peak of high! prices has been reached and to expect j a gradual recession. j In the clothing trade, particularly, the board said there was a marked ! tendency of the public to make oiu, supplies last longer and to refuse toj pay exorbitant prices. This phase can i mean only that an awakening has1 come, the statement said, and that j many people have arrived at the conclusion con-clusion that they are themselves rc- Hponsible for a continuing of high cost oi living. Wholesalers in the drygoods trad.-, to some extent, have taken a "commentary "com-mentary attitude" and arc discouraging discourag-ing their customers from placing heavy fall orders. This has sorved to slacken domand and create a feeling that lower prices will follow. The reports do not give encouragement encourage-ment concerning a price reduction in olues. Theie was, however, a wide uh-ei'gcncc of opinion as to what shoe ;;nd leather pi ices will do. Commodities Piling Up. Eastern seaboard cities reported a piling up of commodities" on this mUc ot the Atlantic. The exchange situation sit-uation was beginning to reflect itself on the export market as weil as through a general reduction by lJuro-i plans In their foieign buying, II w.isi n jtcd. business and financial developments during March also were marked by o.uusion and lack of uniformity of opinion, reports from the seeral re-1 o. in' uihiriuiB siioweu, jui miougn- jout the detailed observations of these utficjals, there was a distinctly opii-uustlc opii-uustlc (one. Summed up. it was: ; "The outlook for the spring season, both Industrially and agriculturally, j3 exdellcnt. But modifying factors in tho situation are an inadequacy of labor la-bor supply and a shortage of various kinds of building materials as wclL.as borrowing facilities of banks." ' Step in Right Direction. Officials said that the full meaning of the changed altitude of the public' probably would show definite results 'eo slowly as to be almost imperceptible. impercepti-ble. They explained that it was "a I step in the right direction" and that Us value was Increased becnuse there i had been no appreciable letting down! i In the ohnnc of legitimate business.) j Housing Conditions Acute, The housing situation continued (acute throughout the country, partly las a result of labor conditions, bull more largely because thousands ofj families nrc deserting the farms fur' "what they believe are gitjater op-! portunities" in tho cities. There was, j however, another reason advanced: Capital Se alow to engage in new build- ing ventures because of the "unfavor-: able conditions of taxation." This, of, course, applies to general construction work as well as to housing in the Mm- , ited sense, the statement said. I "Production' conditions the country lover," the statement continued, "give every reason for encouragement with reference to actual Industrial and agricultural ag-ricultural potentialities. The crop outlook out-look so far as can be Judged at this season, is hopeful. There is a substantial sub-stantial degree of harmony between capital and labor as indicated by small) unemployment. I Difficulties in Sight. -The difficulties in sight are due to conditions of relative under-produc-1 Hon oi- decrease of production result-1 ing from lessened activity of bolhl capital and labor, problems arising out of heavy taxation and measures resulting re-sulting from the ono-sided working ofj the lax laws, while, financially speaking, speak-ing, caution and conservatism are! called for and the efforts to rostrjcl ' the volume of credit have been onlv i partially successful. As a result high I interest rates and a relative scarcity j of funds will continue to prevail dm'. I ing the period jn which the counliy Is endeavoring to extend Its produc' live capacity and to overcomo tho rela-! tive loss of progress resulting Horn war limitations upon Investment and. production." ' nn |