Omaha daily bee., 1910-04-17
UPWARD MOVEMENTBWACES
Increases Announced by Big Concerns
Hopeful Indication.
EXPORTS OF GOLD TO INCREASE
Reason for Sending Many millions
Abroad Explained by New york
BRnker--Neglected Trade
WITH SOuth America.
BY PRESTON &. ADAMS

NEW YORK. April i6.-(special Dispatch
20 Inc bee lin two, az least, OF the great
est industries IN the United States Il would
appear that wages are at last TO respond
10 the increased cost Of living. The PENN
~, SgNShnla an Iairoad set the fashion in that
line by Nolutary Increase In the wages OF
its employees Of per cent The other roads
are Following some OF them, 1t may be said.
IN passing, with more or less reluctance
and only after strikes had been threatened.
Then the United States Steel corporal ton
perhaps the greatest single employer Or
labor in the country, 1t Is announced, Isl
planning general raise in tho pay Of its
army OF 10000 employees. Doubtless other
great employers Of labor will follow suit Z
and the men who work with their handA
perity.
The cotton mill employees will not share
I'm this upward movement. This Is DUE
however to the scarcity OF cotton and tho,
high price OF the raw material with which
they work. 1t is estimated that in the
cotton yarn mills of the country fully ~
per cent of the machinery is idle, and tho
cotton cloth mills are curtaillng regularly
IL per cent weekly in Fall River, and a
much larger percentage In southern milk
centers, where the coarser goods are made.
The knit underwear mills have been curl
falling for some weeks, while the miscelsI
laneous users Of cotton, such as the upS
holstery mills, web manufacturers andl
others, have been curtailing irregularly foH1
the last four months. Il
This situation has been brought abduk
by the inability OF merchants to Becura
prices for finished goods commensurate
with the high value OF raw cotton. Last
season cotton sold in the neighborhood OF
y cents per pound, while, roughly speaking,
this seasons crop has brought from 1t
cents to 10 cents per pound AS the aver-
age price OF the crop for the last few years
has not run much above IL cents, consi
sumers of cotton goods have not been wil@l
Ing to meet the added values forced by the
cost of production.
The American cotton manufacturer hesi-
tates long before disorganzing his works
Ing force, because, unlike his English come
petltor, a curtailment In the country re-i
suits in a distribution of operatives over
a wide territory and a quick dsorganizaJ
ton of working force results
Gold Exports Certain,
That very considerable gold exports are
mitted. Already the outward movement
has begun and It will increase for some
time to come. This is due to the steadily
decreasing margin between our exports and
imports, the great amount Of money taken
abroad by American tourists aud the rub,
Der speculation In England which has di-
vested much money which otherwise would
have gone into American securities.
Vice President John II. Gardin of the
National City bank, is generally accepted
as an expert on matters of foreign ex-
change lie says:
up z. the close Of 1909, we had exported
$3.50, ,0O0U UUO in gold. So far in the year 1910
we have exported 50. 600. COO. we would have
been on the gold export basis to quite a,
considerable extent since them, had It nob
been for the fact that, owing to the plethora,
OF money abroad, as well as here, various
corporations deemed the time opportune to
issue new securities and these all being
more or less of hgh-grade character,
giving fair return of interest, European
capital was attracted thereby and acquired
quite an important amount, estimatedl
variously at from $780, 100000 to $250OO0OO0.
THE bugdet difficulties I'm England, hova
ever, are having their effect by enhanced
ing the value of money abroad. Consesl
quently the taking over Of securities on thel
part Of Europe may possibly be broughtl
to a halt and the result will be that he mayl
expect gold exports between now and theJ
end of the fiscal year. However, signs ara
not lacking that perhaps this may be
oounteraoted by the export of merchandise.
notably cotton The price of cotton now, OF
course, is rather high as well as other eX-l
portable commodities. and this has so far
been a deterrent toward normal consump-l
tion on the part of Europe, but with thel
new crop coming in, no doubt a marlketl
will be made for the stocks now on handy
which are reported to run into quite im4l
portant figures.
Worlds Output of Gold.
1.-The output of gold by the mines OF thS
world for the calendar year 1903 Is estimated
to have been approximately S4eO,OOO,OOO OF,
an increase Of about S16OO0OOO over that OF
the product for 1908. Africa leads in the
worlds production of gold for 1909 by an
output OF about 100000, an Increase over
that for the calendar year 1908 Of H1sOoOO.
The United States occupies the second
place with a product Of SOS. 10000 an in-
crease over that OF 1908 of S4,670OO0
Repeated efforts have been made from,
worlds product Of gold, but it is very hard
to arrive at accurate figures. Tt is esti-
mated that of each years product Of gold
from A to 30 per cent Is converted into
currency while the balance IS used in the
arts and exports to the east. There is no
doubt that increased production OF gold
has tendency to increase the price or
commodities more or less This is shown
by a comparison of the prices prevailing
during the periods which the production OF
gold was increasing with those OF the
periods when the production was dlminsh-,
ing. The demand for gold by the different
countries of the world appears to be In
satiable and It is absorbed as rapidly as is
is produced"
Heavy New Capitalization.
New companies incorporated in the east-
ern states in March with an individual au1
thorized capitalization of 100000 and over.
as well as increases In capital, involved
S871, $50 900, the heaviest monthly total in
years. In February the figures were $169.-
46sOOO. and in March a year ago, $50, 10000.
with an individual capital of 100000 ana
over including other states than those Sor
the east. brought the grand total up 20
$473i716.O40 against SOS, 1902 500 I'm February
and $104, 900 in February, 1909.
Imports of India Cotton.
About 1000 to 5000 bales of Indian cotton
have been brought into this country and
distributed in small trial lots to various
southern mills Although 1t has proved
satisfactory, I'm the opinion OF one OF thei
leading cotton men of this city the fact has
no special significance and Is not likely 10
occur again. The authority explains that
this importation Is undoubtedly due to the
high prices and small crop OF American
cotton, and the extra large supply OF good
Indian cotton.
Indian cotton is used for coarse yarns be-
cause Of its short staple five-eights 10
three-quartrs Of an inch and is good ana
clean. In the rough It is mixed with Amer
lean cotton and used for blankets.
The American spinning machines are nos
as close set as those used In other coup-
tries, hence outside OF India indian eotton
finds better market in Europe ana Japan
than In America.
Trade with south America
James IT, Spencer, an American, who Is
in the importing business In santiago,
Chile and whose father went down thero
TO found the business forty-flve years ago,
Is In this city, and he says he has come up
10 show lust why American manufacturers
do not compete IN South America with the
English and the Germans TO the extent
thew ought TO.
ar our capitalists and our enterprisng
nanufacturers would dedicate the time,
attention and money TO steamships, to
hanks. and 10 looking into South American
Conditions that the Germans, English ana
Europeans do generally they could get all
the trade they desired down there" said
Mr Spencer "As II Is the Europeans have
been for many years meeting the condi-
lions exacted BY the South American gov
ernments and the public and they have
profited.