supply of raw wool inflexible

1709 Woolen Mills Road

Aside from fluctuations in the national economy, woolen mills faced several internal problems. Since there was no wool exchange and with the supply of raw wool inflexible in the short-run, the industry continued to be harassed by wide variations in costs. Moreover, Americans were changing clothing styles with greater frequency. Originating abroad, these styles gave foreign cloths an advantage and production problems arose because of the unpredictable demands. To complicate matters, wholesalers and ready-to-wear clothing manufacturers refused to buy in large quantities. This transferred the risk of loss from style changes back to the mills.--Harry Poindexter