The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1899-08-13
ON A PERMANENT BASIS
Salt Lakes Prosperity Is Here to
Stay.
NO SIGNS OF COLLAPSE
MINING ACTIVITY BROUGHT
THE GOOD TIMES.
Over capitalization of Trusts May
Result In Financial Demoraliza-
ton In the East, But Utah Will
Not Suffer-Lively Fall Trade Is
Predicted-Building Activity.

Careful inquiry was made during the
week of business men and financiers as
/ to whether they noted any elements OF
danger in the present business condi-
the collapse of 1893. Without exception
| they state that the present conditions
differ radically from those of the early
90's. The present prosperity, so far as
| Utah is concerned. is based on a solid
foundation. Money, actual cash, has
gone into the mines This has brought
big returns and this has stimulated
every branch of trade. This condition,
they argue, could not be reversed with
out a general shutting down of the
mines and this will never be done so
long as they yield good profits. To
this extent Utah is independent of the
outside world, and to this extent the
conditions are different from the time
when mining was paralyzed by the
slump in the price of silver.
Menaced By the Trusts.
In the commercial world at large, one
grave element of danger is noted. but
all do not agree as to its probable eff
feet on Utah. This is the over capital
iZation of corporations known as trusts.
The unusual business prosperity has
enabled the promoters of these trusts
to pay enormous prices for the indie
pendent plants to make up the COM
bination and the continued business ac-
tivity is enabling them to pay dividends
upon their enormous capitalization.
But far-seeing financiers see a time
ahead when the demand for supplies
will be met and when these industrials
fail to pay dividends. When that time
comes there will be a crash, but
whether the effects of that crash will
be confined to those who hold the
watered stock of the trusts alone. or
whether it will pull down the whole
business fabric in common ruin no man
can state with any degree of certainty.
The most conservative opinion among
Salt Lake business men and thinkers
is that the effect. of the collapse of
these big combinations will be very
largely discounted beforehand. They
agree too, that Utah cannot be serious
ly injured because so few of these trust
stocks are held here.
Business Continues Good.
There was nothing to distinguish the
business of the past week from that Of
the week before. The volume was en-
tirely satisfactory and slightly in
creased activity In some lines gave
token of the coming fall boom. Real
estate is still inactive and no sale of
any magnitude is recorded for the
week. The speculation as to railroad
rights of way through the city was to-
tally absent during the week.
Building continues throughout the
city. the architect offices are Overrun
with work and still the demand for
houses increases, giving evidence that
the population of the city is on the
increase.
Local Stocks.
In local stocks. Deseret National bank
went up to 230 during the week and
Ogden Sugar to 1879. Other stocks re-
manned as quoted last week. There
was but little activity during the week. !
There are very few good dividend pay
ing stocks on the market. Local in
vestors would be satisfied now with 6
per cent dividends on good safe invest !
ments. Eighteen months ago they de- |
manded and 10 per cent.
The bank clearings yesterday were I
1929 167 81. as compared with S24S, $50. SO |
for the corresponding day last year. !
The clearings for the week We're ST. /
}97 $3.50 as compared with $1,440,-
294. 81 for the corresponding week of |
ast year. This was a gain of Sc per
cent for the week.
Although the eastern money market
SHOWS d lHdThtu llSnledllIlS- anu d.
though the bank reserves are mater
ally reduced there, the Salt Lake banks
still have an abundance of cash and
show a disposition to let it out freelv
IN any legitimate proposition. The de-
)osits are still unusually heavy.
There is but one sentiment expressed
n all lines of business, and that is
hat the fall trade will be a, record
breaker. Merchants, without exception,
Ire calculating on this basis.
Architects Are Busy.
The architects of the city are COM
of a lack of draughtsmen and
ire retarded in their work because of
his. This is the first time this COM
,laint has gone up in Salt Lake since
he boom times of 1890 ard is a good
Indication of building activity.
Good Wheat Crop.
The implement men of the city re-
'ort the demand for harvesting ma
hinery greater than last year. The
Wheat acreage in the territory contig
ous to Salt Lake is greater than last
ear, but the yield is lighter per acre.
he total crop will be larger than last
ear The Snake River valley, which
; considered the granary for this coun-
ry, will yield a larger crop than last {
ear The crop. on the Utah dry farms {
, almost a failure.