ABSTRACT

Although the consumption of most commodities is in an ascending phase before a war, there may be commodities the pre-war consumption of which is stable and stationary, because it is nearer to an optimum of satisfaction, or is compensated by consumption of other commodities. The declining phase of these commodities, as well as of those with a general tendency to increase, appears clearly after the war. The war period is perplexed ; the consumption of commodities may begin immediately to decline, or be stationary, or even, in the case of some semi-luxuries, may increase. But the ultimate effect of war is a general decline of consumption, thereby restoring the

economic equilibrium in stabler form, and balancing the pre-war ascending phase. The commodities the consumption of which increases during the war period, begin to decline a little later on ; but the effect is again a lowering of consumption.