RELATIVE LEVEL OF RENT AND PRICES, OF RENT AND PRICES COMBINED, AND OF WEEKLY WAGES OF SKILLED MEN IN 7 GEOGRAPHICAL GROUPS OF GERMANY AS COMPARED WITH BERLIN.

a The number of towns represented in the construction of this index number is less than the total number included within the geographical group.

If the mean of the wages index numbers in each group for the three industries (building, engineering, and printing) be taken, and the means so obtained divided by the index numbers for rent and prices combined, a comparison of the average level of "real" wages in the selected occupations may be made, viz, the money wages expressed in terms of their purchasing capacity (as shown in the index numbers of rent and prices combined). The results are shown in the table which follows:

AVERAGE LEVEL OF "REAL" WAGES AND LEVEL OF RENT AND PRICES COMBINED IN 7 GEOGRAPHICAL GROUPS OF GERMANY, AS COMPARED WITH BERLIN.

THE GERMAN EMPIRE AND GREAT BRITAIN COMPARED.

The predominant rates of weekly wages paid in the building, engineering, and printing trades of Germany (industries which were found in all the towns investigated) are here brought into contrast with the rates of weekly wages paid in similar trades in Great Britain.

RATES OF WAGES IN TOWNS OF ENGLAND AND WALES AND OF GERMANY, IN OCTOBER, 1905, COMPARED.

In the case of the building trades the weekly wages given are, for both countries, the wages for a full working week in summer. In the case of the engineering trades, the English wages are the standard time rates recognized by the unions concerned; the German rates, on the other hand, are in most cases based on returns of actual earnings, and it is consequently doubtful how far the two sets of returns are strictly comparable. The standard time rates being often exceeded by actual earnings on piecework, it is probable that the German rates appear somewhat too high relatively to the English. The compositors' rates in both England and Germany are standard rates.

For skilled men in the building trades the German wages are about 75 per cent of the English; for skilled men in the engineering trades about 85 per cent of the English, and for compositors (hand) in the printing trade about 83 per cent of the English. Laborers in the building trades in Germany earn about 86 per cent of the weekly earnings of the corresponding class in England, while German laborers in the engineering trades have weekly earnings equal to those of the English. The arithmetic mean of the ratios for all trades shown in the table indicates that the mean predominant wage in Germany is approximately 83 per cent of that in England and Wales.

As most of the data for Germany are based on the gross earnings, before the compulsory deductions on account of insurance have been made, it might at first sight appear that account should be taken of such deductions. In point of fact, however, the deductions from the German workman's wages for insurance correspond in part to the pay

ments of the British workman to his friendly society or sick club for similar benefits, and only differ from these in the former being compulsory. Therefore, there does not seem to be any reason for making a deduction from the predominant German wage rates to make them comparable with the English.

HOURS OF LABOR.

In the table following is presented for the building, engineering, and printing trades a comparison of the average usual hours of labor per week in England and Wales with corresponding data for Germany:

AVERAGE USUAL HOURS OF LABOR PER WEEK IN ENGLAND AND WALES AND IN GERMANY COMPARED.

It will be seen from the foregoing, except in the case of the printing trade, which is a highly organized one in Germany, and for which the working hours have been fixed by agreement at the relatively low level of 54 per week, the hours of labor in Germany are from 8 to 12 per cent higher than in England; or, on the average of the above trades, hours in Germany exceed those in England by rather more than 10 per cent.

SUMMARY OF CONCLUSIONS.

A summary of the conclusions derived from the investigation follows:

Rents.-Net rents of working-class dwellings in Germany are to gross rents (including rates) of working-class dwellings in England

as 101 to 100.

Net rents of working-class dwellings in Germany are to net rents of working-class dwellings in England (excluding that portion of English rents representing local taxation) as 123 to 100.

Retail prices. On the basis of the ordinary English standard of consumption the expenditure of the workman on food and fuel in Germany is to his expenditure in England as 118 to 100.

If the expenditure on rent be combined with that on food and fuel (the expenditure on the latter items being taken at four times the former) the results are:

The expenditure on food, fuel, and rent of the workman in Germany, on the same basis as above, would be to that of the same workman in England, on the same items but including local taxation, as 115 to 100.

The expenditure on food, fuel, and rent of the workman in Germany would be to that of the same workman in England, on the same items, exclusive of local taxation, as 119 to 100.

It appears, therefore, that an English workman in Germany, and living as far as possible as he had been accustomed to live in England, would find his expenditure on rent (exclusive of local taxation), food, and fuel increased by some 19 per cent (or roughly by one-fifth).

Wages and hours of labor.-Weekly money wages of the working classes in German towns are to weekly wages of the same classes in England, in the trades selected for comparison, as 83 to 100.

Average usual working hours per week of the working classes in German towns are to those of the same classes in England, in the trades selected for comparison, as 111 to 100.

Consequently the hourly rates of money wages for the working classes in German towns are to those of the same classes in England, for the trades selected for comparison, as 75 to 100.

Thus on the above basis the German rate of money wages per hour is about three-fourths of the English rate, and the cost of rent, food, and fuel nearly one-fifth greater than in England.

CHANGES IN RETAIL PRICES AND RATES OF WAGES BETWEEN OCTOBER, 1905, AND MARCH, 1908.

It will be remembered that the returns upon which the index numbers referred to in the foregoing sections are based related to October, 1905, and it will be of interest to note what changes have occurred since that date. For this purpose supplementary investigations were made, in April, 1908, in regard to the movement of prices in six representative towns (Berlin, Aix-la-Chapelle, Chemnitz, Magdeburg, Mannheim, and Mülhausen) with a total population of about 3,000,000. Information was also obtained, so far as possible, in regard to the movement of wages during the same period.

The upward movement in the price of bread which set in during 1905 continued, with a certain break toward the end of 1906, until the beginning of 1908, since when there has been a slight fall in price in some of the towns. The following table summarizes in English

units the prices of rye bread of various grades in October, 1905, and in February or March, 1908, for the six representative towns:

PRICE OF RYE BREAD IN SIX REPRESENTATIVE GERMAN TOWNS, OCTOBER, 1905, AND FEBRUARY OR MARCH, 1908.

The rise in price thus ranges from 10 to 36 per cent, or an average advance of 23 per cent since October, 1905.

Since October, 1905, in the six towns under consideration, the movements in the prices of beef were comparatively small and very irregular. On the whole the highest level was reached toward the end of 1906, since which time, in spite of marked fluctuations in some cases, prices generally have tended downward. In the case of pork, on the other hand, there has been a considerable fall in prices, the greater part of this having taken place since the autumn of 1906. The average fall has been 15 per cent. Comparatively little information was obtained in regard to the movement in the prices of groceries. So far as it was possible to judge from the few returns obtained, prices appear to have undergone little change.

There has been on the whole a marked upward movement in the predominant weekly rates of wages or earnings between October, 1905, and March, 1908-a period of great industrial activity and expansion in all the towns and in all the industries investigated.

The following table shows the percentage changes in the predominant weekly earnings in various occupations of the engineering trades in five towns between October, 1905, and March, 1908:

PER CENT OF INCREASES IN PREDOMINANT WEEKLY WAGES IN THE ENGINEERING TRADES IN FIVE TOWNS BETWEEN OCTOBER, 1905, AND MARCH, 1908.