As a matter of fact, the law of supply and demand is not the rightful governor of prices. It does not take into account the one thing which should be the deciding factor in the cost of an article, namely the cost of production. It requires as much labor and as great an investment to produce a bushel of cheap wheat as it does to produce the same amount of wheat at a good figure. The cost of a bushel of wheat should always be the cost of production plus a fair rate of profit to the producer. The producer would then be sure of his profit, and the consumer would know how to estimate his expense. A fluctuating price scale does not make for certainty in financial transactions and stability in commercial organization. Except in the most general way, no one is able to say today what things will cost or bring tomorrow. In considerable part, this condition has been brought about by the deals of speculators who make their living by the rise and fall of the markets and often by forcing prices up and down by arbitrary methods. In other words, an uncertain system of prices not only makes it possible for a group of men to gamble upon them, but it does much to reduce all dealing to a process of gambling. Even if all other conditions are favorable. The producer does not know whether he is to gain or lose. Neither does the consumer know whether he is to be able to obtain things at a fair price. Such a condition is unsatisfactory to both. For each advantage or disadvantage are alike possible, and they usually alternate. The advantage of one, moreover, must generally be brought about by the disadvantage of the other. Such is not a necessary state of affairs. One does not need to lose either in his buying or selling. Neither should his gain be abnormal. The establishment of prices upon a fair and permanent basis could make it possible for a transaction to be always to the mutual advantage of the seller and the purchaser. In other words, it would lift the markets above the gambling level. There is another way in which an uncertain system of prices works a great injustice in the economic system. They offer no real incentive to industry, ability, and preparation. We have done and heard a great deal of preaching to the point that these things pay because the man who prepares best and works hardest will be best rewarded. As things are now, the worst trouble with this claim is its falseness. A man may work ever so hard in almost any process of production and have his reward shrunken out of all proportion to his toil by some sudden slump in prices for which he was in no way responsible. On the other hand, he may neglect ever so important a task and at the last moment be favored with a rise in prices which will turn things to his profit.