The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1913-11-18
THE BUSINESS SITUATION.

THE BUSINESS SITUATION.
There's q rift in the clouds Of gloom
that have been hanging over Wall
street these many days. Henry CIews,
the New York banker. writes in his
current financial review, about 1t and
the signs Of betterment on the stock
exchange. And this means that the
operators there, where il measured in
a way the financial activities of the
country, are becoming optimistic over
the conditions that are prevailing In
the business world. Mr.. Clews at
tributes the change to a clarifying of
the Mexican situation since the speech
Of Premier Asquith which intimated
tina. England would keep her hands
off; to the fact that there has been q
decided improvement in the money
situation in Europe. and to the con-
ditions at home. which he discusses.
as follows:
I'VE have had during the past year
a continuous and severe though grad
ual liquidation. In brief, we have scx-
perienced slow panic, and without
any serious disaster. There is some
contraction in the volume of busi-
ness. but thus far there has been no
and the remarkable manner In which
railroad traffic is sustained proves that
there has been no serious impairment
In our varied national activities. The
latest government report shows that
the corn crop had been underesti
mated, and that the total yield will
amount to about 100000. 900 BUSH
els. which when added to the amount
lee still a hv1n Mt
ply of that valuable cereal both for
home and export purposes. One more
event which may eventually work out
for good was the granting Of an in
crease in wages to trainmen. These
demands were not justified by existing
conditions; hence, the award was less
than expected. It's effect, however.
will be to place the railroads In a bet
ter position for demanding an increase
in freight rates. Even the most vfo-
lent anti-railroad individuals must
admit, unless reason has completely
deserted them, that the railroads will
have to somehow secure compensation
for these heavy additions to expenses.
If they are to preserve their credit,
without which they cannot meet pub
lie requirements.
1.-THE industrial situation is still
somewhat spotty. The reaction in the
steel trade continues, and production
is being somewhat curtailed; lower
prices having thus far failed to act as
any particular stimulus upon orders.
There are indications that foreign
steel will be landed on the seaboard
to some extent, but such orders prom
Use to be limited and not an important
factor in the steel industry. So far as
the tariff is concerned, the cotton and
wooden industries are feeling its eff
fects most severely. Quite number
of our cotton mills are being hard hit
by the increasing orders placed for
foreign fabrics, and the wooden in
dustry is in even worse condition. 1t
being estimated that nearly one-half
of the wooden mills in the country are
idle, and that some Of them will never
be able to start again in competition
with foreign goods. Our textile indus
tries are further embarrassed by the
high cost Of raw materials; and the
demands of $4,000 operators. in Fall
River for an advance in wages at this
time is exceedingly inopportune. show
ing as it does a failure on the part OF
labor leaders to recognize depressing
economic conditions.
"Perhaps the most discouraging OF
all influences is the indiscriminate at
titude Of hostility at Washington and
in many state capitols toward capital
and business in general. 1t seems i'm
possible for legitimate business inter-
ests to secure a fair hearing in our
legislatures; and in one form or an
other big business is being constantly
struck at injuriously by all sorts of
legislative devices, such as harsh rate
regulations. repressive laws. oppres-
sive taxes, etc. If continued, such
tactics will drive capital into hiding,
or out of the country. to the detriment
of capital and labor alike. What is Il
now more wanted than anything else
is sanity at Washington and less
prejudice against capital and big bust
ness. Otherwise the initiative in gem
eral business, which is now sadly wan
ing. will not again revive until the
next congressional election has re-
versed the pernicious influences
against which industry is now con-
tending. Unless the rule of reason
supersedes the present rule of preju-
dice there will be further business
depression before very long and many
hands will lose employment. For this
our various legislatures will be held
responsible by the voters a year hence.
There is no mistake about which way
the political winds will blow ere long
without general business conditions
soon change for the better"
THRIFT.
Our fathers knew the meaning of