2171. Does a demand of that kind for payment in cash affect the price for the shawl?-Certainly. We could not give so much in cash as we could give in goods; and if a cash tariff were adopted, there would have to be a general deduction made all round-a deduction equivalent to the ordinary retail profit in the drapery trade.
2172. Do the sellers of these hosiery goods to you understand that if they demand cash they must take a smaller price?-Yes, they understand that; and they would be quite prepared to take it.
2173. Is it quite understood that there are two prices for these articles-a cash price, and a price in goods?-Yes; I think that is quite understood. Of course, if a woman comes in with a shawl for which she is willing to take 20s. in goods, she would be equally willing to take 16s. or 17s. in cash, because the difference between the 16s. or 17s. in cash and the 20s. in goods represents the retail draper's profit, which is supposed to run from 15 to 20 or 25 per cent. on these articles. That is the case over all the kingdom.
2174. Would not the result to the woman be, that if she took the 17s. in cash she would only be able to buy 17s. worth of goods with it?-Well, that is true; but she might be requiring grocery goods or meal, or some kind of articles that we don't keep in our drapery shops. Of course there would be an advantage to her, because she might be requiring the cash in order to help her in paying her rent, or anything of that kind.
2175. In that way, does it not come to be a disadvantage to the women to take cash?-It cannot be a disadvantage if they require it for these other purposes. [Page 43] It would not answer them at all times to get drapery goods.
2176. Is it an advantage to you, as a dealer in hosiery, to pay the price of the hosiery in goods?-Of course it is an advantage to us, as retail drapers, to sell as much of these goods as possible.
2177. But is it any advantage to you, if by buying for cash you are to get the same profit upon your hosiery goods on a re-sale of them?-There is this to be considered: that if we were buying for cash exclusively, then we would only buy such things as we were actually requiring, either for orders which we had, or which we thought were likely to sell; but according to the present system, although I don't mean to defend it altogether, we might have a pretty large stock, and have really no orders, and no immediate prospect of selling them. At the same time, so long as it is a system of barter or exchange, we can quite easily give goods of one description over the counter in exchange for goods of another description,-for this reason, that these goods of another description, which are received in exchange, can be stored by us as well as our drapery goods. At such times we would not be willing to pay anything in cash.
2178. Then what you mean to say is, that the opportunity of selling your drapery goods is an inducement to you to increase your stock of hosiery although the market may be unfavourable?-Exactly; because we have already invested our cash in these drapery goods, and we may just as well have that cash lying in Shetland hosiery as in drapery goods, in many cases.
2179. If you did not pay in goods, would the result be that you might still purchase the hosiery, but at a much lower rate?-That would be one result of it; and another result would be, that when the Shetland hosiery trade was dead, as it very often is for many months, we would have then to give up buying altogether. At the same time, I don't say but what an entirely cash system would ultimately be advantageous to both parties,-both to us as dealers, and also to the women knitters.
2180. In what way do you think that that?-I think it would simplify the thing, and prevent a good many disagreeable occurrences. In fact the present system is a complicated, antiquated sort of thing; and I, for my own part, would be willing if some plan could be adopted for introducing a cash system altogether. It certainly would be simpler, and I have no doubt it would ultimately come to be as convenient to us all; but you will please to observe that the present system is just a continuance of an old traditional system that we who are now in the trade found existing when we came into it, and it is rather difficult to get it changed.