I am confining myself particularly to the argument in relation to the high cost of living and profits. Now, the reason why prices increased-as I understand it, having given some little consideration to the matter-is this: First, as I said a moment ago, the people of Canada were consuming more than they had previously consumed because they had more money with which to buy goods. Less goods were being produced, and as supply fell off and the demand increased prices rose abnormally. The supply was. much less in relation to the demand than it ordinarily would have been, due to the fact that the Allies were bidding against one another be-
cause of the necessity of their having these foodstuffs, and an abnormal price was reached in relation to them. Then there was an inflation. Canada had got off the gold standard and we had an inflated currency. There were not enough counters- because, if one might so describe it, money is nothing hut a counter, and if each man has more than his fair share of the counters in relation to the available products that are to be bought, prices will rise, because each man, being determined to get what he thinks is his proportion of the available supply and having more than a reasonable share of the counters, will bid against the others, and the result will be an enhancement of prices. And you have inflation also, not merely because there were more counters than each should have had, but because these counters were passing very rapidly from one man to another. You had an inflation-
Subtopic: BOARD OF COMMERCE ACT, 1919.