'The demand in this case arose in the most effective of all ways. In 1867 and the first half of 1868 corn was dear, as the following figures show: GAZETTE AVERAGE PRICE OF WHEAT. s. d. December, 1866 60 3 January, 1867 61 4 February 60 10 March 59 9 April 61 6 May 64 8 June 65 8 July 65 0 August 67 8 September 62 8 October 1867 66 6 November 69 5 December 67 4 January, 1868 70 3 February 73 0 March 73 0 April 73 3 May 73 9 June 67 11 July 65 5 From that time it fell, and it was very cheap during the whole of 1869 and 1870. The effect of this cheapness is great in every department of industry. The working classes, having cheaper food, need to spend so much less on that food, and have more to spend on other things. In consequence, there is a gentle augmentation of demand through almost all departments of trade. And this almost always causes a great augmentation in what may be called the instrumental trades--that is, in the trades which deal in machines and instruments used in many branches of commerce, and in the materials for such. Take, for instance, the iron trade-- In the year 1869 we exported 2,568,000 tons " 1870 " 2,716,000 tons -------------- 5,284,000 tons " 1867 " 1,881,000 tons " 1868 " 1,944,000 tons -------------- 3,826,000 tons -------------- Increase 1,458,000 tons that is to say, cheap corn operating throughout the world, created a new demand for many kinds of articles; the production of a large number of such articles being aided by iron in some one of its many forms, iron to that extent was exported. And the effect is cumulative. The manufacture of iron being stimulated, all persons concerned in that great manufacture are well off, have more to spend, and by spending it encourage other branches of manufacture, which again propagate the demand; they receive and so encourage industries in a third degree dependent and removed. 'It is quite true that corn has not been quite so cheap during the present year. But even if it had been dearer than it is, it would not all at once arrest the great trade which former cheapness had created. The "ball," if we may so say, "was set rolling" in 1869 and 1870, and a great increase of demand was then created in certain trades and propagated through all trades. A continuance of very high prices would produce the reverse effect; it would slacken demand in certain trades, and the effect would be gradually diffused through all trades. But a slight rise such as that of this year has no perceptible effect.