The Cairo bulletin., 1908-05-04

imperative obligations. Such an in
'crease would, however, seriously in
jure our export trade, which is largely
dependent on cheap freights. The
railroad situation is certainly critical
and calls for calm and just consider
alton.
Crop Outlook Good.
Perhaps the most encouraging fea
ture at present is the crop outlook
The season is fully two weeks earle,
than last year, and weather conditions
have been particularly favorable fol-
cultivation and planting. No dam
age has been reported from the late
cool spell except to fruits. Reports
as to winter wheat are exceedingly
hattering, conditions appearing to be
considerably better than at this tins
last year. Cotton Is also doing well
and advices thus far received indicate
no decrease in acreage. Good crops
this year will accomplish more than
anything else toward restoring bust
ness to normal volume and prosperity
Prices CT all agricultural products are
high and yield a good profit to tho
grower. With chances. therefore that
there will be a good demand during
the coming year for everything which
our farmers can grow there is every
prospect for very profitable year fof
the agricultural classes.
Restoration of Confidence.
In considering bushes prospects one
thing should be especially borne in
mind. We have now had six months
of very severe construction Produc-
ton cannot be Indefinitely curtailed ar
the rate of 20 per cent to 80 per cent.
Such contraction is out of all proper
ton to the actual decline III consump.
ton. Before long supplies must be
come greatly Reduced, if not exhaust
ed, even if consumption were to con
tinue on present reduced scale Every.
thing now points to at least partial
resumption OF industrial activity ere
long as a result of better conditions
in the money market Now that tho
process of readiustment has been car
ried on to a considerable EXTENT re-
coyery will begin here and there as
confidence reyives A rational restoi
alton of confidence is more to be desir
ed than anything else, Unnecessary
fears should be as carefully avoided as
unfounded optimism. II should not be
forgotten that the situation today is
radically different frcm what existed
a year ago Then our troubles were
ahead OF us, now they are largely ho.
hind us, and will soon become mat.
ter of history. We have enjoyed our
prosperity on q high basis Of values
we must now seek its renewal on q
much lower basis
Ample Reason For Hope.
There is really ample reason for TAX
ing more hopeful views regarding the
future. This does not mean that the
country is on the edge of a sudden
revival but that. conditions
are changing and now positively favor
progress towards normal conditions.
What effect this will have upon the
stock market remains to be seen. Sc
curities have already had very sub,
stantial rise, which may lead to par.
tial realizing but in the long run
values seem destined to reach a high.
err level and Wall street as usual is
discounting the nations recovery in
advance. The great danger is that tho
recovery may be too rapid and prevent
q thoroughgoing readustment anI
liquidation which is the only true basis
of renewed confidence and recovery
Several industries are still resisting
the inevitable decline in prices which
must come and which would 10 much
towards an industrial revival. In these
cases our great corporation managers
are often standing in their own light
Resistance to the law of supply and
demand simply means more violent
readiustment than if allowed to oper
ate naturally and quietly
HENRY CLEWlS.