The Salt Lake tribune. [volume] (Salt Lake City, Utah) 1890-current, 1911-03-12
In Fact, Many Now Find Com
merce Commission Ruling
Has Many Benefits.
MAY HELP TO KEEP
LIVING COST DOWN
New Rules in Wall Street Give
Man Who Buys Some Rights
as Investor.
BY PRESTON O. ADAMS.

BY PRESTON O, ADAMS.
| By Leased Wire to The Tribune.
NEW YORK, March 11.-Now that tho
freight rate decision OF the interstate
commerce commission has been digested,
the railroads have decided not TO go to
smash after ell, but will do business In
about the Same old way. In fact some
come TO the conclusion that the decision
may not be an unmixed evil after all.
II Ia pointed out that tho sreatest.
years has been hostile public sentiment
| The uncompromislnG stand taken by the
| Interstate commerce commission should,
Charges eRS esTGa& upOn the f%n people 3 sueS son
quest is worth more to the corporations
| than any sum that could have been de-
rived from the proposed Increase In
| freight rates.
II tho ruling ulso has the effect OF
missions, now that the federal body has
taken effective action, another great good
will have been accomplished. The eco
nomfc readjustment which has been in
| progress for twelve months will be ac-
| celerated, whereas the granting OF higher
charges would have tended to perpetuate
| the vicious circle OF rising prices Did
not labor leaders plead for the proposed
advances. on the ground that thsreaiter
wages might be again raised? This has
! Opulence begets extravaganza: neces-
si.y stimulates economy. American rail-
| road companies have been lavish In their
expenditures upon what might be called
Of veritable palaces as stations in the
| larger cities. II the public refuse to pro-
vide the money for such projects. then
there will be a lull in improvements OF
this kind until conditions again change
| for the better-and conditions in n young
and progressive country are far more
| likely to recover than to rctrograde.
Low freight rates will encourage traf-
| nc, whereas high rates would discourage
| 1t, a fact that was very clearly under
stood and acted upon when debating was
| In vogue
The railroads were actuated to some
extent in their move to secure Increased
rates by agitation for decreases; this
agitation has been quaShed,
New Rules on Street.
So the outlook may not be SO black
The public having consistently refused
| during the last three years to play with
| Wall street under the old rules-10-point
margins, easily wiped out-new and safer
| rules have been drawn up. with every
promise OF success. Instead Of being q
rank speculator.. as he was under the
claim to be an investor. Once he pays
his first instalment OF $50 per share,
ne and not the broker commands the
| destiny Of the stock; that ia to say, the
buyer alone can give an order to sell st.
or course, the monthly payments have
70, be met. regularly as IN the case OF
| other purchases by installment, but the
buyer knows the extent OF his liability,
| whereas under the old fashioned margin
he never knew where he might stand,
The investor under the. news system
should be extremely careful in selecting
broker and should also have q hard
and fast agreement as to what would
happen were the market to collapse Just
after the first twenty points were paid.
hny4 D,,I,
Since January /. 1907. the total out
put Of new securities by railroad and
industrial corporations in the United
states mas reached s6,379, ,o44.SSo. or this
total. s1.oe3 SOP has consisted OF
short term notes This is equivalent to
ia par cent.
The railroads were responsible for
, sSSs, SOC. 500 cog cog Of the notes. the balance OF
Industrial and miscellaneous companies.
The largest percentage of notes was
reached In 1907. namely almost, one
the following year the proportion just
exceeded 81 per cent Then there was
drop In 1909 to little more than per
money and unbounded confidence in q
return OF prosperity throughout the coun.
try, Short term financing was again re-
soefed soate 10 10 last last year on fairly large
Ing the current year, that Is to say from
January l to February 21. the note is
sues nave Deen equivalent to "a per cent
OF the total capital distributed
There have been about six and a quar-
ter million bales Of cotton exported this
year. about a million and three Quarters
more than at the same time last wear.
This cotton is not piled up at the ports
on the other side. While II Is true that
the stock Of American cotton In LIVER
pool is 2s6,0oo bales larger than II was
at this time q year AGO, the foreigners
are still buying. and at the end OF the
season the difference between the eX-
ports Of this year and last will probably
be greater than 1t Is today. The foreign
ers have not bought cotton to hold out
ut 10 cents pound. They have bought |
heavily only because they needed the
cotton.
Never in the history Of the world has
there been as MANY spindles In opera
ton In England thero have been dur
ing ths last Blk months. The many new
mills are all running and so are the old
ones. They will need more Americas |
cotton before they can get new crop un-
less there Is some radical change in
conditions.
1t begins to look as II there was not
going to be as much cotton left for do |
nestle mills as there was last year. for
In spite OF the free movement the south |
Is no longer full of cotton. as the char
acter of the cotton now moving plainly |
shows, Tho outlook for the rest OF this |
year is fully good as IL was at this |
time a. year ago. II looks as II American |
mills still have q great deal OF cotton TO
buy,