The farmer and mechanic. [volume] (Raleigh, N.C.) 18??-19??, 1910-06-07
Why DOES RUSIN E:s5 HALT?

WIZ I've
interest rate climbing higher? Why
are so many spindles idle IN our mills
and operatives in enforced 1dhness
Why, with large and the pre-
dlctions Of unprecedented prosperity,
is the country experiencing hard
times, with scarcity Of money?
These questions are asked by
thoughtful men on all siIes. but there
is no satisfactory answer from any
source.
In an interesting letter N the Phil
ade{phia Public Ledger from New
York, the veteran and able CORES
pendent, Holland" reviews condt
tiors during the year thaE ends June
30th. He refers to the prediction last
August by one Of the most cautious
and conservative Of the greac finan-
cieTs of this country" who predicted
that the United States was entering
upon an era Of prosperity, the magni-
tude Of which. as well as the conse-
quences, were 50 great as to stagger
his imagination" The writer goes on
tay:
When he was asked upon what he
based this prediction, he CAV three
crops would be on the whole, above
the average, and the estimate that
they would market for not far from
100000 900. In the second place,
he vas Of the opinion that political
agitation was ended, and that bust
ness had little Teaso to fear disturb
ance, caused by the demands of those
"a no IN S3DrarifV or IN a CnlrIf nf
demagogy urged drastic control or
regulation of the corporations engaged
in interstate commerce. The third
reason was based upon his personal
knowedgel Of conditions in Europe,
and especially the marvelously chang
ed sentiment that prevailed in Europe
and Great Britain, as compared with
the gloomy views entertained at the
time Of our currency panic OF 1907.
He was sure that the restored and in
creased confidence in Europe in the
corporate properties Of the United
States and in our irresistible advance
would tend greatly to increase conf
dence SO that before the end of the
year that would be completely re-
stored"
Quoting other men like Vanderbilt,
who saw the rosiest future, Holland
proceeds thus:
- ~ IIiC Hin
fall, a curious and as yet inexplica-
bic change. The crops were harvest
ed. James j. Hills prediction Of an
So, 900, 600, 900 crop was apparently to
be found accurate. General mercantile
was good. The makers OF
steel and iron and of finished pro-
ducts like tools and machinery, into
which steel largely enters, found their
orders gradually increasing. Yet there
was observed the beginning Of some
reaction. The Government was dis
covering hat there were heavy de-
creases In our exports, while at the
same time almost an abnormal in
crease In imports. Money was plenti-
full for those who wanted to borrow
upon call, but 1t was timid when ap-
peal was made to it for permanent in
vestment in corporation or railway
securities. ttat <is -
mo one seemed to be able to give
q reason for this sudden condition Of
and business fog. The best
that could be said was that # was
due TO a feeling of suspense, to a
sense o. the part of those engaged
IN larger financial Or business under
takings that they were wtthou chart
or compass But no one was able to
say exactly what caused the feeling
of suspense. Some attributed 1t to
the decision of the courts in the To-
bacco and the Standard Oil cases.
otutIS DIofeSSt 10 rear that the dan
ger of very radical legislation was not
ended. So we entered upon the sec
ond six months Of the fiscal year with
three unusual conditions clearly out
lined, one Of them. in fact. being
without precedent. The more consul |
cuous feature Of the situation was
the relation Of our export Of food
products to the high cost Of living.
We begin to realize tina although the
farmers Of the United States may
raise crops Of the market value Of
$8,00o.00o, 600, yet it was apparent
that they were beginning to raise
food products relatively less in
moun THAI the increase in popula
ton.
Then again it was made apparent
that larger business interests were
disposed to await the decision of the
Supreme Court in the Com
pany and Standard Oil Company