Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1905-01-02
ERA OF PROSPERITY
Season of 1904 Has Been One
Of Recuperation Says the
Financial Review
THE OUTLOOK A BRIGHT ONE
Henry cIews Say. the Year 1905 Starts
With Financial and Industrial
Affairs of the Nation on Solid
Foundation-sinss Point to contin-
ued Prosperity.

Foundation-Sings Point to Contn-
ued Prosperity.
New York. Jan. 2.-Henry Clews in
his weekly financial letter today re-
makes some interesting comment on
the future. He says:
| REGENERATION has been the keynote
of 1904. The era of prosperity Whlch
began eight years ago with the defea.
of Mr., Bryan is still with us In good
force and promises to run on for the
full decade If unfavorable events do not
prevent. The first serious setback In
this era came on May 9, 1901, when the
speculative, furore, based upon the ex-
cessiye combination movement, recelv-
ed its first blow from the Northern "a
cific corner. and, as is we'll known, later
on a panic Of gigantic dimensions was
only averted by the timely intervention
| of New York bankers, who in Septem-
L..
finance additional trust schemes. AS
result of their timely action, the de-
moraHzing effects of this wild specu-
lation were largely confined TO nna'lc'ai
circles, and Wall street experienced
what was APPLY termed "a rich mans
panic" because the losses fell heav-
lest upon those best able to SUSTAIN
| them.
| The year 1903 was a period OF losses
| and drastic liquidation. The year 1914
| started with symptoms OF recovery anu
hopefulness; but recuperation was $40"
during the first six months. ana not
until thu. harvest began to show prom
| ise did confidence really start to re-
vive. Had our harvest been a failure
| diff,culties most unpleasant to conte1n-
nlate would surely have followed Com
MERGE and Industry, however, pelng
| sound and strong. were not so seriously
deranged by stock market huctuat.o y.
as at one time feared. And yet puDnc
| confidence received an exceedingly Sc
we're shock; enterprise besitated; 1ne
stock market dropped 30 to ~ poiil.s'
railroads were obliged to suspend new
issues. necessary improvements we'e
| thus stopped and a sudden contracVloil
followed in the demand for iron anu
| other materials which spread dlstrus,
| in every direction. More than d year
/ has already been consumed IN recover
| ing ground lost as a result OH th's
trnst maaMa, and even now we are not
| en1oyane the same degree OF prosper
NV which existed before the collapse
| ~ that remarkable stage of our econ
omic development.
| Causes Of Recovery.
THE. first half Of 1904 was spent IN
necessary rest after the speculative de-
ha,,ch Of the previous years; and the
MARVEL is that the period of depression
which followed was not longer anu
| daaner than ii was No more strlKlns
evidence Of American recuperative en-
| ereies was ever furnished than by phe
widespread recovery following che
trust craze which lasted between 1880
and 1908. The causes OF THIS recov-
| ery were a matter of easy understand
ing. Briefly stated, they We're rnese'
| ny Forced liquidation carried prices
much below intrinsic values. w LOW
intarest rates and an abundance OF
money made many good securities LOOK
abnormally cheap (3) Expectations ,
ond final realization of a rich harvest
caused general national prosperity
based upon the rapid growth OF popu-
1 lot;on industry and commerce. IN
sn,+e Of errors we could hardly faal 10
/ lead i'm progress and prosperity.
Homo Conditions.
Al home the chief source of Improve
ment has been profitable harvest anu
once more the farmer has been the
hackhone of the nation. In spite OF a
short wheat crop, our agricultural ex-
norris this were valued at $4,000 OOO,Voo
nv Secretary Wilson of the department
of agriculture. compared with $44SV, :
400 600 in 1903, and $3,742,000.SOO IN
1899 There was an increase N potn
! quantity and values, wheat eAcepteo
1 which places the American farmers
and those dependent upon them IN
nosition to spend and enjoy more than
for noany wears. Our mines are turn
ms, ont immense quantities of iron and
conner to meet present demands and
orr mills and factories, with few ex-
ceptions are well employed.
Volume of Trade.
while Wall street has witnessed
considerable recession in values. there
was no appreciable loss OF volume II
the years commerce. Railroad earnings
AN excellent trade barometer - or
sixty-seven roads during the clever
months ending November Goth, showed
a total of s613,00O,OO0, or nearly pei
cent more than in the same period OF
1909 The current twelve months vii
probably make an even better record
which. considering the heavy returns
of 1902 is very satisfactory. But
earnings were, Of course. frequently
-