Albuquerque evening herald. [volume] (Albuquerque, New Mexico) 1911-1914, 1912-02-09

credit institutions, but an awakened
public opinion and spirit of inde-
pendence ia business operations Is the
best corrective OF that difficulty Al
certain degree OF concentration mi
banking powers exists at every imam
ciRl center In the world. II IA natural
aud Inevitable aud IL almost inyarl-
ably used for wise and prudent ends
The abuses OF such power are too rare
10 call for serious attention, much
less "A public Investigation. There Is
no such thing as q Money Trust IN
the correct sense OF the word, for IL
Ia impossible to create monopoly IN
either credit or money. The supply
Of both IS too great and flows too
readily from one point 90 another to
allow OF corncring II the terms
which one lender offers are too eN-
acting there are always plenty OF
other lenders available, If sought
after. Great as h the banking power
OF New York. u Is only fraction OF
that or the entire country, and It's in
fluence Is commonly exaggerated
Comptroller Murray is authority FOR
the statement that the combined
banking power OF New York. Chicago
and 81. Louis. three OF the principal
reserve cities. s onlv about one one
fourth Of that of the entire United
states. II II were possible 90 create
a Money Trust" Ia this country, bor-
rowcrs would turn TO Europe for aid
with % promptnoss that would quick
Is break any monopoly here.
The general outlook Is not without
It's redeeming features. chief OF these
IL the plentiful supply OF cheap mo-
uey, although that, Of course. Is
largely the result OF inactivity our
financial situation IL exceptionally
sound Speculation Is at the mimi
mum and liquidation has eliminated
many weak spots. This applies not
only To financial AFFAIRS. but Co bust
ness in general The long period OF
| conservation which the country is
passing through is after all building
/ a sure foundation FOR a fresh forward
movement when present uncertain
/ ties have disappeared as they ulu-
mately VIII. The surplus reserve OF
/ the banks at New York no@ stands
az about $4,000, 900. the highest
point for a number of years 80 Ems
period our financial strength has
been further augmented by the eN-
celIent condition Of our foreign trade.
the excess OF exports piline mp our
! credit balances upon the other size
higher and higher. This and the rel
latNely better rates FOR money IN
European markets have enabled our
banks 10 extend their advances 20
Germany. which matured In January
thus facilitating the placing OF the
recent St25, 600, eco German loan ~
Europe. II IL estimated that Ameri-
can loans abroad today run as hisn
as $3.50, 00O, goo or almost as great
as at any time during 1911 Gold eN-
ports TO Europe have been antlcipat
ed for some time past, aud must pe
welcomed by local bankers because II
viii tend 90 make interest rates some
what more profitable. The most dis
lturbing influences on Wall street nave
been tho developments concerning -
Paul. the Hartman lines and the
steel corporation. All az the greh'
concerns are suffering from diminish
ed profits owing TO the awkward com
blnation OF decreased revenues nn'
Increased expenses. In the case o
steel q considerably larger volume Of
business was transacted In Novcmbel
/ and December, but the reduction ~
prices offset these gains and account
ed for the heavy shrinkage In prohta
, The winter has been a severe ene an'
, tramc has suffered more interruption
than usual. so Il remains to be seer
, what the erect VIII be of these un
I favorable conditions upon traihe earn
ings generally. Apparently we ar
]
divided prospects will be a matter
, keen interest during the next lev
, months,
Z There has been much better de