To digress for a moment, it may be interesting to note that efforts
to carry prices beyond reasonable limits almost invariably result in
disaster to the promoters, no matter how far they may be successful
in establishing black-board quotations. With the exception of “Old
Hutch” wheat corner in 1888, all the numerous attempts to speculate
successfully on wholly artificial prices in commodities, have failed.
The Sully cotton campaign, the Leiter wheat deal, the Phillips corn
deal, the Coster-Martin corn deal, all ended in ruin for their sponsors.
From 1899 to 1901 inclusive, the average price of wheat was a little
above 70 cents, in 1902 and 1903 it rose to 80 cents, and in 1904 and
1905 to $1.00.
In the latter years, allowance must again be made for unusual
influences, the Russo-Japanese war naturally helping wheat prices;
making due allowance for this, it may be fairly considered that wheat
has in the last ten years increased its average selling price from
about 70 cents to 90 cents, or approximately 30%.
_Why Corn Has Risen More Than Wheat._
Corn prices in the same period have advanced 100%; the comparatively
large number of uses to which corn is put may partly account for the
disproportionate enhancement of its price, but the discrepancy is too
great to be entirely explained away on this account. It is necessary to
seek some additional and more powerful reason.
[Illustration: FLUCTUATIONS OF CORN PRICES FOR TEN YEARS.
(The rims of the circles touch the high and low prices of corn each
year for 10 years.)