The age-herald. [volume] (Birmingham, Ala.) 1897-1902, 1899-10-15

Stocks of pig iron in furnace and warrant
yards in the United States in 1897 exceeded
1,000,0 900 tons. September /, 1899, they had
been reduced to about 100000 tons, as the
following figures show
April /, 1887 LUZ llS
April / 1898 ....... ol4Sol
April 1, 1879 '.....'.. - ooe'oHo
Sept. l, 1899 (estimated) .............. l6o,OOo
1t appears from Mr.. Swanks tables that
the consumption of pig iron in the United
States in 1898 averaged a little over 1,ooOooo
tons per month. In 1899 consumption is
limited closely to the output, and may
therefore be estimated at 13,0OO,Ooo to To-
500 900 gross tons for the veal.
Going back now to the question "Will 1t
last?" Frankly, 1t must be admitted no
man knows. 1t is not given to mortals TO
unlock the future. War, famine. pestilence,
Bryanism, may intervene and upset all cal
culations. But the wise man faces the facts
as they are before him, and builds his judg-
ment on these. discarding optimism, pessi-
msm, preconceived theories, and even ira
dtion. There were never better settled OF
apparently sounder commercial traditions
in the past than that dollor wheat, ten-cent
cotton, and ten-dollar pig iron Cat Birming-
nam) marked the bottom limits in the great
staples, but we became familiar with val
ues scarcely mere than half these, and men
lived and prospered.
The simplest and largest fact in the pres
ent situation is a demand greater than the
supply. What makes the demand? what
limits the supply? The demand is great be-
cause seventy millions of people have pinch
ed and economical for six or eight wears,
and now are quite able to buy, and what Is
of more consequence, are in mood to BUY.
They have made the old stove answer, worn
out the harvester and threshing machine,
postponed the building of the county bridge,
got along with the old stationary engine or
lathe put off the purchase of needed roldng
I 4. I'D 10 inv nm
illusions with England in the building of
ships and generally have waited for the
return of what is known as good times.
Now they want to replenish, from the sad
| iron to the locomotive. Will they stop be-
| cause prices advance? No, they will not
| Here enters the element of human nature.
| Confidence breeds confidence Distrust
| feeds on itself. Two years ago the great
| railroads of the United States could have
renewed much equipment at about half the
| cost that today they do not hesitate to pay.
| Did they do it? 1t is notorious that the
| richest hesitated most. An amusing Illus
| tration Is the case of a master mechanic of
| a great road whose acquisitions underwent
| the usual cutting in two in the middle when
| they reached the management. Among the
| track and shop supplies needed was large
| belt for an engine. When 1t came it had
| suffered the usual pruning, and was just
! half long enough to reach. The writer Will
I not soon forget an effort in the SUMMER of
| 1897, to ind a buyer in New York eor 100 600
| tons of Alabama pig iron which large in
| terest was willing to close out at $500 a
| gross ton duly stored in warrant yard
| a price unprecedented in the history of the
| world Not one of the great banking houses
| of capitalists dared fare the perils connect
| ed with such proposition, though money
| was ruling at per cent, and nearly free
| storage on the material was guaranteed.
| Today almost any bank in New York would
! lend fifteen dollars ton on it, and scarce
ly ask question.
Buying, therefore. will not stop, because
prices are up. The railroads must have
enormous additions to equipment, or lose
the great harvest of profitable traffic. The
millions of farmers will buy their agricul-
tural machinery stoves, carriages, and pf-
amos, because crops have been good for
three years, fetch good prices, the mort
cages are paid off. and there Is money in
bank Electrical equipment will not stop
while street railways and lighting compa-
MES make large earnings, merely because
dynamos and rails are dearer. Cities and
towns will put in needed water and gas
pipe without much regard to whether the
cost is $500 or $2SG0 ton.
1t is perfectly true that some new enter
prises, that otherwise would take shape,