194.  Again, if the commodity itself is of a perishable nature, such, for example, as a cargo of ice imported into the port of London from Norway a few summers since, then time will supply the place of competition; and, whether the article is in the possession of one or of many persons, it will scarcely reach a monopoly price.  The history of cajeput oil during the last few months, offers a curious illustration of the effect of opinion upon price.  In July of last year, 1831, cajeput oil was sold, exclusive of duty, at 7 d. per ounce.  The disease which had ravaged the East was then supposed to be approaching our shores, and its proximity created alarm.  At this period, the oil in question began to be much talked of, as a powerful remedy in that dreadful disorder; and in September it rose to the price of 3s. and 4s. the ounce.  In October there were few or no sales:  but in the early part of November, the speculations in this substance reached their height, and between the 1st and the 15th it realized the following prices:  3s. 9d., 5s., 6s. 6d., 7s. 6d., 8s., 9s., 10s., 10s. 6d., 11s.  After 15 November, the holders of cajeput oil were anxious to sell at much lower rates; and in December a fresh arrival was offered by public sale at 5s., and withdrawn, being sold afterwards, as it was understood, by private contract, at 4s. or 4s. 6d. per oz.  Since that time, 1s. 6d. and 1s. have been realized; and a fresh arrival, which is daily expected (March, 1832) will probably reduce it below the price of July.  Now it is important to notice, that in November, the time of greatest speculation, the quantity in the market was held by few persons, and that it frequently changed hands, each holder being desirous to realize his profit.  The quantity imported since that time has also been considerable.(2*)

195.  The effect of the equalization of price by an increased number of dealers, may be observed in the price of the various securities sold at the Stock Exchange.  The number of persons who deal in the 3 per cent stock being large, any one desirous of selling can always dispose of his stock at one-eighth per cent under the market price; but those who wish to dispose of bank stock, or of any other securities of more limited circulation, are obliged to make a sacrifice of eight or ten times this amount upon each hundred pounds value.

196.  The frequent speculations in oil, tallow, and other commodities, which must occur to the memory of most of my readers, were always founded on the principle of purchasing up all the stock on hand, and agreeing for the purchase of the expected arrivals; thus proving the opinion of capitalists to be, that a larger average price may be procured by the stock being held by few persons.

Notes: 

1.  Apothecaries frequently purchase these phials at the old bottle warehouses at ten shillings per gross; so that when their servant has washed them, the cost of the phial is nearly one penny.