Centre Democrat. [volume] (Bellefonte, Pa.) 1848-1989, 1879-08-21
The Business Revival.

Hon Abram s. Hewitt, of New York,
Is not only successful business man,
but he has made his mark in the coun.
try as a remarkable clear thinker and
as one Of the most promising of our ris.
ing statesmen. The following para
graphs, published in the New York sun,
embodying his opinions in regard to
business prospects, are we'll worthy of
public attention:
"The revival of the iron trade" said
Mr.. Hewitt sis the legitimate result Of
the revival of business generally. In
February | said in Congress that as soon
as we came down TO basis of solid
values-that is, values measured by gold
we should have prosperity. The trou.
ble was not that there was no money.
There was plenty of capital, but there
was lack of confidence. Capitalists
were afraid TO invest their money when
we had IA deprecated and fuctuating
currency. Now that values are fixed,
an era of prosperity begins. Railroads
are being constructed, factories built.
Western settlements are rapidly spring
ing up, and long boarded capital is
again in circulation. In short, there is
a general increase OF prosperity. A re.
vival Of the iron trade never precedes,
but follows a revival Of general business
Iron is needed to carry out the revival
When an era Of prosperity begins when
trade revives, and great enterprises are
planned, iron is needed to carry on the
work. Hence the revival OF the iron
trade il proof positive Of genuine reviy.
al OF business generally. The evidence
is this: Every iron works that kept at
work during the period of depression is
now overrun with orders, is working at
its full capacity and unable 10 fill its or.
ders. Others, that had To stop opera.
tions, are now going to work again. The
raw material for making iron ores, pig
and scrap iron has advanced from ten
TO twenty five per cent. Coal alone has
not advanced. The reason is unusual.
II u because the producers have a ca
pacity for putting coal on tho market
far in advance of the demand, and not
warranted by the condition of things
Hence coal can't go up.
Gray forge pig iron, the standard pig
iron, has advanced from $li to $l7 ton,
and there is demand for all that can
be made. But the price will not 90 up
much higher, for the reason that. il the
price goes up, then foreign iron will be
placed on the market. We are now i'm.
porting iron in the form of steel and
iron rails and old rails The great de.
mand for iron has stripped the country
Of the immense stock Of old rails that
bad accumulated in the era of depres.
sion. cd rails are used you know, for
working over, and are made into new
iron. Most Of the material used on the
elevated roads is made from old rails
THE only question is whether the
prosperity will continue. Ii j. bound 10
continue. think, but we shall have no
era OF high prices, simply healthy, re.
muueratiye business, with moderate
prices, that will enable consumers 10 90
on with their enterprises. This Is true
prosperity. High prices check progress.
We have got 10 that stage when every
thing will go on without an era Of high
prices. ! said that many iron works
were again beginning operations. This
relates primarily 10 blast furnaces. But
the furnaces that are again going into
blast are those that can make iron
cheaply. Those that from their situa.
ton or any other causes cannot make
iron for less than Slj a ton cannot go
into blast. This country can now pro.
duce about 100000 tons of pig iron
100000 Of this can DO made under SIS
ton: the other 10000 cannot be
made for less than 500. Now, pig iron
can't 60 above $50; when IL DOES the
importer steps in. Why, can import
first grade gray forge iron for sl9, pay.
ing duty OF e.. 80 you see gray forge
iron can't 90 above $l9.