Richmond dispatch. [volume] (Richmond, Va.) 1884-1903, 1898-01-23
Whore ana whore Not to Invest.

New York Journal OF Commerce.
Tho conditions are not favorable at
| present for new investments in manutac-
turing enterprises. Every line Of produce
ton is over-equlpped with plant. me
Fall-Riyer mills are complaining OF the
competition of the South, but the TACT u
that they are themselves overstocKiAs
the market. The blast furnaces are pro-
ducing more than ever before, and just at
present they are not keeping up with the
| demand. but there are fifty-one less lur-
naces in blast than there were two years
ago. when the production was less than az
present, and most Of these idle furnaces
are in order, and their owners would be
glad 10 use them II the price OF pig-iron
should rise a ligtle or II the exceptional
demand should be prolonged The glass;
manufacturing concerns have long been
capable OF producing more glass than the
home market could absorb. Even with
large foreign orders 1t Is doubtful IL the
building shops Will be kept
fully employed. The rolling mills wouid
not be severely taxed II 1898 should dupil-
cate the years of largest railroad con-
struction. Every morning the newspa-
pers give accounts Of from two TO half
trusts or pools, or to arrange the busi-
ness of pools already In existence, or at
least to effect trade agreements regard
ing prices and outputs. This is conclu-
sive evidence that these paper-makers
and glass-makers, and stamped-ware-
makers, and wire-makers. and wood
cutting machine-makers, and so on
through the list, have a good deal more
machinery than present or prospective
demand can keep employed 1t is in the
power Of almost any one establishment
by trying to get enough business to keep
its wheels moving ten hours day 10
endanger the solvency Of the others, and
so as a matter OF self-defence all are
seeking TO come to an agreement regard
ing prices, at least, and, If possible, re-
garding quantity of output also.
But there is an unusual amount OF
capital seeking investment; some Of it is
employed at low rates.; other capital is
lying idle, and not little temporarily |
employed in Europe and preventing an |
Influx of gold. Capital is at discount, |
because IL cannot be prohtaby used. |
What can be done with it2
No country is growing so fast in popu- |
lation and wealth as the United States. 4
The demands upon production and trans |
portatiOn in the near future will be enor-
nous. a judcious anticipation Of those |
wants would absorb idle capital. provide
employment for labor, and afford reason
able returns. All the conditions are ex-
ceedingly favorable for It.
1t would not be judicious anticipation
of future demands to build furnaces and
mills and railroads which may not be
needed for years TO come. But the i'm.
prOvement of existing decadent plants
trta L., 4
expenses of production and transporta-
ton. and would at the same time be a
wise provision for future demand. Such
an anticipation would be emnently ju-
dicious. and the opportunities for IL are
apparent on every hand.
The opportunity is presented primarily
to corporations. A great deal of the ma
,hnery in w0ollen mills is not modern:
Is not the most efficient to be had. To
reTace old machinery with new and
economical appliances would reduce the
rs~t of production. and therefore yield
IN immediate return, and 1t would also |
De anticipating when money is abundant
Investments that will have TO be made |
sooner or later, and may have to be made
when money Is hard to get ,
Ihere Is hardly any railroad in the |
country whose r0ad-bed, whose bridges,
whose rolling stock, and whose terminal
ABILITIES are what its managers would [.
Ike TO have them, and what they win
iave to be within a few years If 1t is 10 {
10 its work profitably. There could be
10 better time than the present for build
ng new needed lines. for renewing tracks.
eplacing WORKOUT rolling stock, substi-
utng steel bridges for timber bridges.
nd improving terminal facilities so that
he cost OF handling traffic shall be re-
uced. Materials are cheap and money is
o be had on easy terms, and the in
reased business that Will demand these
improvements is already in sight. 1t
'ould be an eminently sound investment
0 make these Improvements in 1898.
We speak with more diffidence of ex-
enditures by municipal. State, and the
eneral governments. because political
odies are so prone to extravaganza, and
lere is so little discrimination between 6
roductive and unproductiye public | ,
'orks. Yet there are large expenditures
productive character that the local
nd General governments will have 20 y
lake sooner or later, and can make now ]
better advantage than when the de- 2
land for capital is more active.
HalIett Kilbourne Insane.
WASHINGTON, January 22-An In