The Birmingham age-herald., 1913-06-10

the country, and, to some extent, in conti-
mental Europe.
One valuable lesson, it is believed here,
may be learned, at least by those who
want to learn by recent market disclos-
ures and conditions. That is that the
curities market in this city is not a local
institution at all, but is representative OF.
economic conditions throughout the coun-
try and reflects these conditions. In the
disastrous collapse in the quotabe values
of securities which occurred last week
there was little of local significance Much
the greater part of the selling of securi-
ties reflected necessities in Europe or The
apprehensons which prevail throughout
Inc United States respecting business and
financial conditions. There have been in
timations that some renewed investiga-
tions into what is generally called Wall
street. are speedily to be began. But
If these Investigations are commanded
and are fairly conducted they will disclose
that investors all over the country at
tempted to market their securities and
Naturally sought the country's chief mar
ket for transactions of this kind
The Lost Nerve
statement recently made for publiea-
uon by Sir George Paish. the leading
English authority upon economic and
financial subjects, contains an expression
or single term which has been accepted
here as an epigrammatic definition of con-
ditions which have for some time charac-
terised the United States. The demonstra-
tion OF these conditions has been for many
months made in the New York Stock eX-
change quotations, as we'll as the stag
nation of barter and dealings.
Sir George is quoted as having said for
publication that investors in the United
States have, like investors in France and
Germany, lost their nerve. Everyone who
is familiar with the daily course of events
In the New York Stock exchange for the
past eight or 10 months has explained
the lethargic and at times demoralized
condition by saying that a great wave of
apprehension, tmidity, lack of confidence,
has made American investors, or the pub
| lie, timid This feeling has been attrb-
| uted to several causes. Some of them are
| world wide, like the Balkan war diff
! Guilty and the excessive demand for new
capital. which has been made both by ma
tions and by private or corporate interests
| In addition the suspicion is strong that
| American capital has become timid for
political reasons. 1t is a fact that many
| business men still wonder whether they
are carrying ON their affairs in obedience
! to the Sherman law and to state statutes
/ or whether tney nave unWlttlnSly Vlolatee
| the laws.
] There is no question that the prosecu.
! tion of men hitherto of unimpeached rep
utation and unsulled personal character
| a class represented by Herbert l.. Satter-
| lee. Mr.. Morgan's son-in-aw, and Charles
| f. Brooker, a man of great public spirit
F! identified with important manufacturing
! interests. member for some years for Con-
| necticut of the republican national com
mittee, tended to unnerve business mer
all over the country These men were in
dicted, prosecuted and punished because
of alleged conspiracy in creating certain
| business pool. 1t was demonstrated that
| the instant the members of this alleged
pool were told by counsel that their agree
ment might be found by the courts a vio-
lation of the Sherman law the pool was
dissolved. Two years later these reputable
men were prosecuted, although they never
had intended to dsobey the law, and aban-
doned their agreement when advised that
they possibly were violating the statute.
ane government won victory, but 1t
has always been felt that it might have
been better had the government been
satisfied with moral victory. For al