Omaha daily bee., 1909-11-07

population OF the weather. classes. but
there Is going on all the time a process Of
expansion and uplifting-n process which is
reflected In the vast numbers of expensive
houses which are erected from year TO
year. In the last week I have paid visits
20 the suburbs Of New York and Philsdei-
phia and found an immense increase in the
number Of articles and costly houses
erected since my last visit five years ago.
M~uitDIyinR Homes.
What Is going on In New York and
Philadelphia Is. 7 am Informed, aking
place in all the cities OF the country and
along the sea coast, and In the aggregate
the number Of expensive houses that have
been and are being erected is very great,
and the amount Of capital expended upon
new houses for all classes Of society
reaches enormous figures.
Beyond the dwellings needed to house
the increasing population, account has to
be taken Of the increased size Of the bust
ness premises which have to be erected
TO carry on the m banking. pro-
fessionals and trades Of the country. The
amount of capital needed 10 construct the
lofty buildings Of New York, OF which a
large additional number have been erected
since my last visit in 19Ot, must run into
/ very luTbN figures. befOnu lut HOUSES
and business premises needed for residen-
thai. for m~erchantile, banking and COM
mercial purposes, account has to be taken
OF the multitude Of mills and factories of
all kinds tina have sprung up throughout
the country. Having regard to the price
OF bricks, Of stone, and Of lumber also,
which in the eastern districts Is now al
most as costly as stone OF brick, It is
clear that the aggregate sum expended
each year upon buildings Of one kind and
another is at least f4OO, 100000 $4,000. 0OO.0 o
This IL. Of course, irrespective Of the
large sums expended upon furnishing
them, and in the case Of factories and
plants OF providing them with plant and
machinery. 1t is interesting to note that
In the first eight months OF the current
year the building expenditures Of about
100 cities have been over f100, O00, 900, and
that for the whole year they are likely
to reach H50,0O 900. In the first eight
months Of last year the amount was
under fSaNO0.0O0, and for the complete
year about fl20,OOO,OOO. This indicates that
the building trade is nearly % per cont
more active than 1t was last year.
Investment Opportunities.
In the present year the nation is en-
couraged to save BY the tempting oppor-
%tunities to. invest it's new savings TO adj
vantage. Investors have sought specially
to invest their new savings in the COM
mon stocks OF companies offering the
prospect Of expansion in profits and in
dividends. Naturally at such a time the
holders Of those stocks were indisposed to
sell and those who desired to purchase
them have been obliged to pay steadily
increasing prices in order to secure the
stocks. II cannot be too clearly under
stood that the sreat advance In the prices
Of stocks has been brought about by the
effort of persons with savings to Invest
to purchase securities which they have
believed to be attractive, and that It has
not been brought about TO any great ex-
tent by the purchase Of spectators.
Because Of the general expectation that
the country IL In for a period OF great
prosperity In which the profits of railways
and of industrial corporations will be very
large and because Of the wide demand
for stocks by real investors who look
forward to q period Of good dividends ]
expressed the opinion in my cablegram
recently that after tho existing pressure
for money is passed and there is no
longer need for bankers to curtail their
loans another advance in prices OF stocks
may take place. 1t is true that the cur
rent prices Of certain stocks are not war.
ranted by the existing dividends that they
already discount the probable increase OF
dividend for some time to come and that
discrimination is needed. Nevertheless
there are still a number Of securities upor
which the dividends are expected to in.
I, crease appreciably and which, having re-
|. gard to the probable dividends they are
, likely to receive, are believed to be in.
trInSically worth stiII hiRher Dricps