Atlanta Georgian. [volume] (Atlanta, Ga.) 1912-1939, 1912-09-19
AND GOSSIP
IN MONEY MARTS
United States Is Now in First
Stage of Long Period of
Prosperity.
BY 8. c. FORBES.

market and the politicians are throwing
few stones on the tracks, but the boom
promises to keep the rails and to go ahead
rapidly. The roll call of favorable fac
tors is indeed impressive. The optimists
can point out an almost endless array of
inspiring developments
Crops, taken by and large, will ex
coed any ever produced in one year in
any land on the face of the earth. The
government, always cautious in its esti-
mates, reports that all the major harvests
either will reach new high records or
greatly exceed the average, while So
called minor crops, such as hay and oats,
are abundant. With the American farmer
leading the procession, prosperity ought
TO be assured
Fortunately or unfortunately for Amer
lea, Europe will have to buy enormous
supplies of cereals from us, as the crops
abroad are disappointing. In England
they are about the worst in generation,
while in one or two continental coun-
tries, including Germany, the agricultural
outlook is also distressing. The prospec-
tive demand from abroad can not but
stimulate prices here-a fact, however,
that is not wholly pleasing. inasmuch as
it will mean that home consumers, many
of whom are less we'll off than the farm
ers, will have to pay through the nose for
supplies.
Many industries Expanding Rapidly.
The United States, however, will be
thus enabled to liquidate it's Indebtedness
to foreign bankers and, if need be, levy
upon European gold to assist in market
ing our bounteous crops.
Different industries are vieing with one
another in reporting progress and ex-
pansion.
Never was the inquiry for iron and
steel so keen as it has been during re-
cent months; copper production is eclips-
ing all previous totals, yet consumption
is keeping pace with the increase in sup
ply the current production of coal is
reaching amazing figures, but here also
the consumption is more than sufficient
to take care of every ton mined.
Buildings are being rushed up on all
sides cotton and wooden mills are run
ming at maximum capacity permitted by
the available supply Of labor, the multi
tude of industries supplying material for
railroads are swamped with orders, as
the unprecedented volume of traffic can
not possibly be moved with reasonable
dispatch unless motive power, rolling
stock, etc, be greatly increased
Pubilc's Attitude Changing.
The leather trade reports activity,
wholesale buyers of lumber find that
prices are marked up between the send
ing and the receipt of orders, the auto
mobile industry continues to expand Won
derfully, while general activity is re-
fiected by the increasing gross earnings
of our railroads, a notable rise in the
tide of bank clearings and a scarcity Of
| labor.
4
could be amplif1ed by many others not, in
sense, less important For one thing,
a. distinct change is overtaking the pub
lies attitude toward capital. The poll
ticans have pretty wen reached the end
of their tether |
The people are ne longer clamoring, for
example, for the punishment of the rail-
roads, for. they recognize that unless our
great system Of transportation receive a
fair deal investors win not supply the
money needed TO provide facilities for
moving the merchandise necessary for the
sustenance of life Rancor and bitterness
have given way. to reason and temper
ance,
Business Again in the Saddle.
The signs are-although they may not
vet be visible to every eye-that bust
ness is to enter the saddle again, and
that strife stirring, self-seeking, profess
sional politicians are to be endorsed.
Moreover capitalists, as rule, are
learning to act less mechanically, Their
reformation, no doubt, has been acceler-
ated by fear: yet as President Frank A.
Vanderlip, head of the largest bank in
the United States, remarked to me the
other day the change in attitude has been
in large measure due to "a moral awak-
ening-a quickening of conscience among
our men Of affairs. particularly those of
the younger generation This is not hub
dub; it Is the truth, although scoffers
may deny it and attribute every mani
festation Of decency to dread Of prison
cells
The American people, in short, are no
longer running amuck. They are striving
to see things in their proper perspective
All Makes for Better Era.
They are not less determined than here
tofore to correct abuses, of which many
still exist But in such matters as tar
if revision, regulation Of railroad rates
and treatment of industrial combinations
they are bent upon acting calmly judi
ciously and effectively, instead of hit
ting franticslly at every form of capital
and everything connected herewith
All this makes for a better era for the
OnlleQ SldltS. oul--uindppily lleTe
must be a "but'-eyes must not be shut
to one or two restraining influences.
Why is wall Street not swelling the
prosperity chorus? Why have not stocks
advanced during the last three months,
Notwithstanding so many helpful happen
ings? Why are banking Institutions iq-
udatng some of their best securities?
Why has the Bank Of England stffened
it's charges for extending accommodation,
and why does Berlin threaten to follow
suit?
Money Rates Crawl Upward.
The truth is that thanks to our intol-
cradle currency system, money can rot
be provided comfortably to finance bump
er harvests and booming business at the
same time. Often attention has been
directed in these articles to The threat
ened dearness OF money this fall Already
the money market is having a chilling ef-
feet upon securities.
Although the East is not yet shipping
funds TO the West in earnest interest
rates have already gone up quite sharply,
and everything suggests that still higher
terms win rule before the end Of October
The effect of dear money. however is