THE  TEST  OF  SAUERBECK’S  INDEX  NUMBERS  II9

§  6.  The  Test  of  Sauerbeck's  Index  Numbers.
Of  the  accuracy  of  this  explanation  Sauerbeck’s  tables
seem  to  furnish  a  tolerably  simple  test.  If  diminished  cost
of  production  is  the  principal  cause  of  falling  prices  we  shall
expect  the  prices  of  different  goods  to  fall  in  different  proportions, ­
  since  the  diminution  of  cost  will  differ  in  each  case.
If,  on  the  other  hand,  volume  of  money  is  the  principal
cause  of  falling  prices  we  shall  expect  a  corresponding  fall  in
all  prices.  What  do  we  actually  find  ?

SAUERBECK'S  INDEX  NUMBERS.

1873
1874
1875
1876
18  77
1878
1879
1880
1881
1882
1883
1884
1885
1880
1887
1888
1889
1890
1891
1892
1893
1894
1895

1898
1899
1900
1901
1902
1903

II

106
105
93
92
100
I
a
71
68
I
65
59
55
54

896  i  53
1897  60

67
60
62
62
63
62

109
103
108
Z08
IOI
IOI
94
IOI
IOI
104
103
SI
a?
79
82
86
82
81
I
78
73
79
77
!
87
84

£

106
105
IOO
98
103
87
88
3
77
1
67
65
75
70
71
69
75
g
59
52
51
53
46
41
44

107
104
100
99
101
96
90
94
E
79
74
72
70
72
75
76
71
68
3
62
68
1

Z
IOI
S
74
73
79
77
76
68
66
g
78
u
76
71
68
64
62
s
70
ill
89
82
82

103
IS
8s
78
74
81
77
73
70
68
1
S
59
57
P
52
54
51
Ë
60
61
66

£3

106
96
92
95
II
II
86
85
84
81
76
#
67
68
69
ë
68
1
62
§
71
71

3!

II

"4
100
93
a
s
80
77
73
i
70
71
68
1
6O
6O
6,
II
72
71
72

III
102
96
95
94
87
83
88
3
82
76
72
u
70
72
68
68
s
61
62
64
68
75
70
g