The Washington herald., 1914-05-10
CLOUDS Leaving
BUSINESS SKIES
Danger Still in Sight, but Out
look Is Brighter, Says
B. c. Forbes.
COST OF LIVING LOWER
Prevention of War with Mexico and
More Lenient Attitude Toward In
dustry Among Causes.
COST OF LIVING LOWER
B. C. Forbes. in the New Yort American

| b. c. Forbes in the New Yort American
| Railroad cars are beirg laid idle at the
rate of 1000 daily. The total number
| sidetracked, through lack of business, Is
the largest in five years.
| / can state, however. on what must be
accepted as unquestionable authority.
that the Interstate Commerce Commits
| sion has already decided definitely that
the Eastern railroads need and must
be granted more revenue.
What the commission now has under
consideration Is the best method OF ex-
tending succor-whether through a sub
| stantial increase in the rates charged
for carrying certain classes of goods or
! through charging shippers for many
services now rendered free.
The expectation is that both means will
be authorized to a moderate extent and
that the ruling will be regarded as help.
full
Railroad sentiment ought therefore, to
become more cheerful before another
month That is encouraging develop
ment No l.
Crop Estimate Big.
Then the government has estimated a
winter wheat harvest OF O.Op 900 bushels,
much the best figure ever named or at
tained. That is encouraging fact No. >.
eral Reserve Board which has command
ed the instantaneous and cordial indorse-
ment OF the whole country. That is en-
couraging fact No. 3.
Washington advices record that the.
Democratic leaders, including the Presi-
dent. have tentatively, il not definitely,
decided to adjourn Congress BY July 10.
no matter if the legislative program is
noI carried through. The business ana
NnF11r init Il bill
one moment that the antitrust measures,
can be perfected and passed by that
date. That is encouraging development
No. 4.
Mexican War Hanging Fire.
as Immediately inevitable several weeks
ago. has not yet been declared despite
the desperate nature of the situation
From the financial point of view That
is encouraging fact No. s.
Strictly monetary conditions remain
very comfortable here and have improved
on the European Continent. So far No
heavy outflow Of gold. though threatened.
has actually set in. That is encourag ins
fact No. 6.
None OF the tottering railroads has
yet collapsed. That is encouraging fact
No. I.
Foreign liquidation of American securi-
ties has let up and. notwithstanding nerv-
Gus trading at home. quotations have
held up comparatively we'll indicating
a sold-out market That is ercourag-
ing fact No. s.
Living Cost Lower.
The cost of living happily is follow
ing the course predicted some time ago.
that is. prices of nccessaries are coming
down, and il current expectations con-
corning the 1914 harvest are fulfilled. the
movement should go further. to the Keller
of the householder. That is encouraging
development No. 9.
And. finally. every day brings us near
err the establishment of a sounder bank |
ing system-and nearer the adjournment
of Congress. That Is encouraging fact
No. 10.
Please do not conclude. however, that |
sunshine and nothing but sunshine floods !
the financial and business skies. There |
are still clouds-many clouds.
Failures are numerous: collections |
are poor: retail trade is not booming. |
to express the position mildly; bank
clearings show decreases; exports OF
made by foreigners are
rising. owing to tariff reductions. and
exports of American-made goods are
falling: the iron and steel industry is
textile mills are curtail- |
ing production; the local real estate |
situation is far from healthy; new
building is restricted. and unemploy- |
ment Is still lamentably prevalent.
The wave of depression continues to
roll westward. though in many quar-
tiers optimism is still the keynote.
Need for Caution.
Unfortunately. the politicians hav,
not yet had their eyes opened to the |
need for caution in interfering with
every phase of the country's business
activities. II the bills now before Con- |
gress were passed without being thor
oughly overhahled and modified by
men having practical knowledge of the
nations industrial and financial me-
chanism. the upshot would be-well,
one would rather not contemplate IL.
We cannot afford to hurt every or
ganization in the land in our pursuit
of comparatively few plutocratic
swirdlers. else we would drive pros
perity and employment from our shores |
and render us impotent in the struggle |
for the world markets that our grow |
ing population and our increased ma |
of production demand
The whole situation is still thick |
with uncertainty, but with the exercise !
of common sense at Washington and |
elsewhere the next decisive movement |
should be in an upward direction.