based upon a perceptible change in the level of prices. Back in the Great War years the idea of a cost of living bonus was introduced and the trend followed in wage develop- ments was that wages were in a constant effort to catch up with the changing level of prices. We depended heavily, in arguments before boards of conciliation and in face to face meetings with employers, on the price level as a means of getting the wages up. This is not wage-cost pushing prices up. Ra- ther it is wages trying to catch up with al- ready advancing prices. A report to the National Council of the United Electric, Radio and Machine Workers Union in November pointed out the follow- ing: "Management never lets up screaming that wages are going up faster than produc- tivity ... The wage rate index must be put in terms of constant dollars—that is, take the price element out of the index by deflat- ing it for cost of living changes. Then we have a comparison of real wages |i.e., of As soon as protests against high prices started to mount, what happened? All the magazines, women's pages of newspapers, radio and TY programs beamed to women came forward with the same theme—it's the housewife who's to blame! How is that possible? Well, it seems that if the housewife stopped buying all the ex- pensive items, all the items that have fancy packaging, all the items that are quick to prepare, etc., her food bill would be lower. “Experts” tried to prove that it's really possible to feed a family of four on less and less money. All that stands against balanc- ing the family budget is the inability of the average housewife to use her common sense and buy the inexpensive way. To follow their argument out to the logical conclusion, the only reason for the existence of expensive items is the demand of the housewives. There are two sides to this question. One is the fact, and there is absolutely nothing wrong with it, that housewives do want fast- er and easier ways to prepare meals for their families. The other, and this of course all these "experts" ignore, is the fact that there constant purchasing power) with real or. physical output like this: MANUFACTURING (Percent Increase Each Year) Year Real Wages Real Output 1960 2 1961 Ji, | | | . 1962 1963 1964 1965 "In fact on this basis, manufacturing pro- ductivity has increased more than real wages each year since 1949 with the exception of 1952, 1953 and 1957..." : So while it is really very convenient to blame the workers for increase in prices the facts hardly bear it out. Not only do workers not cause the high prices, as consumers they are the victims of them! Maybe, then, it's the housewife who's to blame? 3 4 4 3 3 5 ON OOMMN the housewife ? are big profits to be made out of the promo- tion of new and different articles to the wo- _men shoppers. We'll say more on this later. Back in 1960 a Royal Commission on Price Spreads spoke of the amount of money that was being spent on promotion and packag- ing and that made up such a large proportion SISTs) “Unfortunately, madam, we have nothing that would substitute for food and cost less.” amt) si SBR bs SE STA TE Dit I hi Oe RE 2 LE OR ty ee of the consumer's price. And since then, the ratio has increased. There have been big advances made in food processing, There are the frozen food, the prepared and semi-prepared foods. They help make it possible for women to get out of the kitchen. They are a real boon to the thousands and thousands of working wives who must continue to prepare meals for the family. To suggest that women are to blame be- cause they buy what is; available and take advantage of new products is the equivalent of saying that woman's place is in the home and the ideal is that of the pioneer house- wife who baked the bread, cured the meat, canned the fruit and vegetables herself. All across the country women said that they felt one thing that led to high prices was the trading stamps and other games.” They said they would prefer the prices cut to all these gimmicks. Then came the blast that the only reason why stores used stamps and such things was because the women wanted them. What is the truth? Well, it's mighty doubtful that anyone can show proof that any store or chain in this country started a game or stamp giveaway as a result of the petitioning of the women who shop there. Most women discover what the store is using as promotion when they go in to buy, or when they read the store ads and flyers. | Fh ae The argument is also put forward that wo- men are complaining about high food prices in the supermarkets without taking into ac- count that many non-food items are bought along with the groceries. In other words, there really is no increase in food prices. If so, then someone ought to fell all the statisticians in Ottawa that the figures they keep announcing on rising prices just aren't true. And that the housewife who has been buying in the same store (food and non-food items alike) over the last year and finds the bill higher has a faulty memory, or something. Why is all this hogwash being trotted out now? It's fairly obvious that something had to be done to try and halt the growing move- ment of the women who were protesting the high prices. And what better way than to try to confuse and befuddle, to attack the protesters themselves, to sow disunity. As a matter of fact, if the women of Can- ada were tomorrow to start following the ‘advice of all these experts, to refuse to buy all the expensive items, to ignore the blan- dishments of the frozen and prepared foods, there would be an even bigger holler go up, to prove to women that no family meal is really complete without these items. So if it's not the farmer, not the worker, not.the housewife that's responsibe for these high prices, who is? the advertiser? Approximately $800 million is spent in Canada on advertising. One-quarter of this is for food products. This cost is added to the price you pay for goods in the store. Is it worth while? The Institute of Canadian Advertising ap- pearing before the Senate-House Committee argued, "Any significant cut-back in adver- tising would restrict the competitive forces in the marketplace that in our economic sys- tem bring the consumer a wide range of benefits."’ They add that without advertising the prices of goods and services would be higher. But what do we actually find? Take a com- pany like Kellog's, which has a wide range of breakfast cereals. They advertise all of them. They set out’ to convince children — and through them the parents—that ‘'crunchies"’ are better than 'cracklies’’ . . . although they make both products. They put all sorts of things in the box along with the cereal. And is the price lowered? Why last Septem- ber there was a !0 percent increase of prices on all Kellogg products. They are now spend- ing about 14 percent of sales on advertis- ing. Is their price increase one of the ''bene- fits''? Advertisers also claim to have a code of ethics. One clause states, ''No advertising shall be prepared, or be knowingly accepted, which contains false, misleading, unwarrant- ed or exaggerated claims." Quite properly the members of the Senate- House Committee asked about this clause in relation to such advertising slogans: as