The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1911-01-03
Interior Idea of Situation at
Home and in East.
Something About Census Fig
ures From Inland Viewpoint.
MOVEMENT OF MONEY.
Drain for Investment Makes an
Added Complication.
Middle West May Have to Feed
Itself and Investors.

Kansas City, Mo, Jan. 3-dere' do
e elsewhere in the United STATES II -
with mixed feelings that the lliiaileif'i
and Industrial community enters upon
the opening week of the new year
Closing a holiday business that IN the
country districts at least, mas peeh
somewhat disappointing, the prospects
for the coming months Of winter are oil
direct concern to the financial lh-ef-
ests There is some uncertainty as TO
Just what expansion is warranted ny
conditions The difficulty of maintain
ing a long line of credit is becoming
more marked daily. Banks are trying
their best to restrain borrowers ana
the attitude of every business mousse is
one of caution
The change from the over-hopeful
exuberance of two years ago is eX-
pressed less in words than in the man
agement of business undertakings. As
to physical reasons. the prolOnged
drought that has existed throughout
the southwest for six months has much
TO do with it. The rainfall is from one
third to one-half deficient inmany see
rions for the year. Water supply Tor
drinking purposes and fire protection
is a serious matter in many parts OF
Oklahoma and Texas. where no such
experience has before been recorded
Parts of Kansas have had less rain III
the year than any season since 1893.
In less tangible form is the evident
shortage of funds for investment and
the resulting difficulty in financing af-
fairs of moment. Firms with large ac-
counts on their books are finding collec-
tions slow, and banks asking their
customers to meet demand notes or
call loans find them begging for time.
The wealth is here, and the west has
abundant property, but it is not in
position to realize on it's possessions; 1t
has less quick assets than it needs.
Watching Eastern Business.
When a dispatch was sent out last
week saying that One-third of the Uni
ted States Steel corporations employees
have been laid off. it was featured in
every western paper. Editorial com
ment was given it. pointing out that
the eastern buyers of western products
might be less able to purchase. 1t was
taken as a significant thing even by
those who three or four years ago were
declaring that the west was independ-
ent of the east. Clearly, the experience
of the past year has caused that idea
to be abandoned. The difficulty of get
ting eastern capital for the building of
western enterprises has brought it home
to the financial and political managers,
as even the panic of 1907 did not. That
experience made the weSternerS indig
nant; the present situation makes them
thoughtful.
The encouraging thing. so far as this
city is concerned, is its high clearings.
remaining at sixth place for several
weeks past. The volume of trade cen
tering here and the high prices of most
commodities affect this result. The
wheat market is requiring less sums to
represent its movement and corn is low
er. but other things are yet at high
level. This affects the western, as well
as the eastern consumer and every
grade of labor in the country districts
has risen enormously. This affects the
living problem and even the farmer
with his expenses for help and for high
priced supplies does not make the fabu-
lous sums he is credited with receiving
for this years work. That he is a con-
sumner as well as a producer, the west
ernor is beginning to realize. Likewise
he is brought face to face with some
population returns that are important.
Census Figures and Prosperity.
The census figures have a lesson for
the middle west. The business men
must wake UP to the fact tht the high
tide of immigration has passed for this
section. Take the four states that are
the imm ediate feeders of this market.
Kansas and Nebraska have gained less
than 20 per cent in the past decade;
Missouri and Iowa have gained less
than 10 per cent. Indeed, Iowa has
lost population and Missouri gained
only few thousand. All the remain
der of the states west of the Missouri
Colorado, South Dakota and Utah We're
In the class of so to 90 per cent gain;
all the others more than so per cent
gain.
This aspect of the matter. when ii is
considered that the whole country
gained only y per cent, is significant
and especially does it have bearing
on the middle vests future. For four
decades, the states along the Missouri
have been receiving an immense i'm
petus to their business interests from
immigration The newcomers have
not only added producers and con-
sumers, but have brought capital for
investment and this accretion has been
steady and reliable. So mucn has it
been depended upon, that now when
the tide is moving on to the farther
west. there must como a readjuStment
to fit the new conditions.
VIII the Money Drain Continue?
The drain. of money out of the mid
die west for investment in the newer
states has been added to the compli-
cations of the situation. so far as bust
ness interests are concerned. The past
year has seen the climax of the effect
of it and the bankers have realized
as never before what it means to have
q call for funds that are to go out Of
their territory. If this is to continue.
it means that the middle west will
have to prepare for both its own needs
and those of investors IN farther COM
monwealths and Canada.
1t entails, OIL course, period OF nigh
money and a strong demand for ac-
commodations This ought to make a
prosperous period for the bankers who
are well equipped to keep their funds
at work. but, on the whole, it does not
heap up such interesting features for
the press as does a growing popula-
ton with its attendant influx of funds.
Letter Tours World.
A letter mailed seven months ago to
Los Angeles, Cal. after wandering all
over the world. has come back to its