1. Restriction of Consumption. The volume of consumers goods in the market is falling since, on the one side, the supplies of food are declining and, on the other, measures have been taken to restrict the production of other consumers goods. This decline may well be accentuated in the future by further measures designed to concentrate a larger part of our productive resources upon the direct prosecution of the war. At the same time the volume of purchasing power in the hands of consumers may well fail to fall at the same rate, or may even increase as large numbers of additional persons are drafted into industry, The surplus of purchasing power creates a danger of sharp price increases and shop shortages.