Arizona republican., 1911-12-14

effect. Timid souls, Of course. will
tremble. The majority in the house
represents one side in politics and the
senate the other side, SO that reason
able adjustment can be expected
through President Taft who has opin-
ions of his own upon the questions Of
the day: also abundant courage to veto
any radical or destructive legislation.
Therefore. il is unnecessary to be un-
duly alarmed as TO what congress real
J. will do. Far more harm is likely to
come from what congress will not do.
There is practically no chance what
ever for any currency reform meas
IRE. and the advocates OF the national
reserve system have probably aban-
dCned the fight for this season be-
cause instead of intelligent discussion
I the politicians will again appeal to
popular prejudice by agitation against
the bugaboo of banking trust" How
little foundation there is for such talk
is seen by the last annual report OF
the comptroller which shows tina.
about one-half of the bank capital of
the United States, or S1.019. 600, 900. is
invested in the national banks. Only
l. per cent of this sum is invested in
banks of 100000 capital and over.
and only % per cent in banks having
between sl.00O.000 and 100000 CAPT
tai
Whether any amendment OF the
Sherman law will I've effected or not is
not matter of great importance.
President Taft has shown the way to
adjustment: and as irritation subsi les
our bankers and business men are be-
ginning TO find that there is no in
tention of destroying big business but
simply determination on the part Of
the government TO compel big business
tn comply with the law a good many
concerns may be obliged To reorganize|
or readjust themselves. with tempo
rary Inconvenience and uncertainty
but in that there is nothing destruc-
tive and as the task approaches COM
pletion the corporation question will
gradually disappear as a disturbing
element 1t is very much like house
moving. an exceedingly disagreeable
experience. but one that usually brings
increased family comfort when finish
ed
The money situation attracts more
attention with approach of the year
end. Short date money is firmer here,
and in London rates are advancing.
Rumors Of an advance in the bank
rate are in circulation. but at present
these are premature. January dis
bursements will aggregate over $780,
low the legal requirements. but this
Causes no uneasiness because OF our
large credits abroad and the fact that
currency will return freely from the
interior after the middle Of January
A temporary stiffening of rates Incl
dental to preparation for interest and
dividend payments of January first
need cause no surprise. Investment
demands will be pretty sure to improve
early in the new year There is mol
doubt that large sums of idle money
ere awaiting employment ard have
heen simply holding back for better
terms. Owing TO the high cost of liv-
ing. the investor is seeking larger re-
turns. and is really in a position to in |
Sist upon better terms. The most IA |
vCrite form of investment jus. now Is |
either bonds or short notes. and
il is estimated that a large amount of
the latter could now be placed with /
little difficulty. There is also a con-
tinued good demand for municipal is
sues in some of the financial centers |
Ii is about time that the January in
vestment demand made itself apparent |
as shrewd buyers often make their Sc
lections in December in anticipation |
OF the January disbursements The !
purchase of Ontario & Western by n |
Y. Central strengthens the belief that |
TIE latter IL contemplating a large
issue Of bonds or notes
General trade shows the slackne3s
usual at the end of the year when
business men are more engaged with
closing accounts and stock taking than
with consideration of new enterprises
This is also the period of the year
when out-of-door work is largely sus-
pended, which further tends TO quiet
ness in trade. Basic conditions. how
ever. are sound and reasonably salts
factory and the tendency is toward ul-
innate improvement The volume or
trade, though somewhat less than a
year ago. has not shown the contrac
lion that was expected. and does not
support the recent complaints of reac-
ton. Conditions are not as bad as
represented by those who have been
disturbed or disgruntled by one cause
Or another. The year just closing
'as been one Of decided quiet We have
been taking the rest cure with bene
III. But there has been no retrogres-
sion Of consequence. only a general re-
adjustment which will place the coun-
Try in a much better position for n
.resh forward movement than was the