The gazette-times. [volume] (Heppner, Or.) 1912-1925, 1913-07-31
Is The United States Using
Up Its Working Capital2

This question was recently raised by
one of the worlds greatest economists.
Assuredly he has much TO support his
contention. Apparently, if we reason
from the familiar facts Of daily exist
ence, America is using up its working
capital. We are spending instead of
saving We must soon come to the
day of reckoning, and the cost of
reckoning will be heavy. The nation
must pay In years of privation and
pinching sordid economy for Its viola
ton of the sound rules of private and
public economy.
But tn, r, is something to be said on
both sides. This startling subject is
discussed with the utmost frankness by
Edward Sherwood Mead, the financial
expert. in the August number OF Lip
pincott's. 1t is a subject of vital i'm
portance not only to all fnanciers, but
to every one who has even q small
amount of money invested or to invest.
"We are accustomed to ieRard the
future of the United States as future
of assured and increasing prosperity,
prosperity IN which even the humblest
immigrant laborer will each year have
a larger share" SAYS DIR. Mead. To
be plainly told that we, as nation,
have been Violating the rules OF busi'
ness conduct, observance of which
alone will insure our future prosperity,
is to receive au unpleasant shock.
"Are these gloomy representations
founded on fact. or do they represent
merely flight of scientific fancy.
rising far above the ground into the
thin air of speculation and hazardous
conjecture?
GAS soon as attention is directed to
our problem. a number of facts of
superficial observation tending strong
ly to support this conclusion i'm
mediateGy energies. Every one is
familiar with the vast incress Sc in
personal expenditure during the last
decade. 1t is a poor home which has
no sanitary plumbing, or which is still
halt heated by stoves, be it in the
couutry or in the city. Even a
tumble mechanic expects these con-
Reniences in his twenty dollar mont TN
4 house. Turkish rags have taken the
lplare of ingrain and rag carpets.
u Clothes are now made to measure, ant
II people, especially women, have more
\ clothes than ever before. Men, tos,
are more oarefSa of their peTsOnsl
appearance They patronize bae
haberdasher and the tailor, the barber
and the bootb2acsz to an extent W'Eich
their fathers would not have ventuted,
and which theig grandfathers wTuld
have condemned as wasteful eKtsava-
gance The servant problem did not
become a problem until the middle
class, upper AND lower, began to keep
domestic servants. The expenditure
upon food is fsr greater than forner-
ly, when an adrlt could be well fed
at total cost Of Sl.50 per week for
raw materials aud fuel Today not
only have tle Erices of food stuffs
advanced, but large number of ex-
pensive novelties, which quickly be-
come regarded as necessities, areeach
year being introduced.
"The automobile is no longer con
sidered a luxury for the man Of $1,000
income. Ho can buy, on time, for
$500 or $500, a Gar that is very good
even compared wnth the high prided
machine: and thousands of these cars
are beipg bought each month. hm-
\ mediately the owners expenses an
crease. Tires, tol , gasoline, oil and
u general repairs. besides interest sGd
/ depreciation, represent large month
Ids outlay.
$50 we could go andefnitely char
Iity organizations. Clubs, politics.
magazines, and newspapers, liquor
i aud tobacco, bridge whist, golf,
theaters, moving picture shows, base
bald, education, which costs this gem
eratien at least twice as such as it
did their fathers; the government SER
vice. which does or tries Ia do so
mnv new things for us-the list of
rev exuenditures and of ineresssi ex-
penditures could be expanded far be-
yond the space here available