The Topeka state journal., 1914-02-03
OPTIMISM Is m THE AIR.

possible that this announcement may
be Of the ''hot-air'' variety.
OPTIMISM Is m THE AIR.
Analysing and discussing the con-
ditions that prevail in the realms Of
business and finance. Henry Clews. the
New York banker. writes in his cur
rent weekly financial review, as fol-
lows:
The monetary outlook is for pro-
longed ease for weeks to come. and q
steady accumulation of loanable
funds; more 80 perhaps than usual at
this season. The Bank Of England
rate was reduced to 3c6. the third re-
duction this month; and the Bank of
France rate fell to 3h@o. the first
change in fifteen months. Just now
the worlds money markets are in re-
markable unison; all Of them being
controlled by cheap money. dull trade.
a revival In investment demands and
fear of flood Of new issues. In
Europe the slackness Of business is
now an even more. important factor in
the money market than the strain
from the Balkan war. which has prac-
tically passed away. Hoardings are
1abricating the wheels Of industry. In
London and in the Continental money
markets. there is still an apprehended
pressure Of new securities. France,
Germany. Russia, Greece and other
nations are all negotiating for heavy
loans; some OF them for purposes Of
legitimate development, but a large
proportion for warlike and other un-
profitable expenditures. The new
Pruesian loan for $100.00O.0O0 was q
pronounced success. Naturally tho
situation. while improving in Europe
IN net entirely free from distrust. Such
conditions do not exist in the United
States. Happily we are not burdened
with militarism. nor is the country
suffering in any degree from over-pro-
ducsion. On the contrary, scarcity in
many lines Is a common complaint. If
anything. we are suffering from under
production which IL one Of the main
causes for high prices and prevailing
ciscOntent. Our chief grievances have
arisen from deficient or illdigested
legislation. as well as from blind ami
revengeful hostility to big business re-
sulting from the latter's past misdeeds.
Greater changes in these respects how
ever have taken place than are gen.
orally recognized. Big business is gen.
orally in repentent mood and quite
willing to accede to reasonable public
demands. The changed attitude Of big
business towards the pubic and thu
less hostile attitude of the government
towards big business should tend to
put the radical agitator out of business
and in time to soften the public unrest
which has had so much to do with
impeding business recovery.
''Since the first Of the year a very
sudden change has taken place in
business sentiment for reasons here
tofore explained. This rebound has
been perhaps almost too violent, and
a reaction such as experienced this
week was perfectly natural, If not de-
sirable, as a restraint upon our mer-
curial business temperament. Real i'm
provement can be observed in the busi-
ness situation as demonstrated in the
slow but steady increase in demand
for steel products, also a greater ac-
tivity and steadiness in all the textile
markets. The outlook for spring
trade Is generally regarded
as encouraging, and the uni
versal change from a spirit of extreme
pessimism to one of rational optimism
is sure in time to lead to still further
improvement because economic and
business conditions at home are essen
TALLY sound. OF course, there is more
or less distrust of what Washington
may do during the session preceding a
o1n but
fidence is expressed in the ability of
President Wilson to restrain radical
tendencies.
"Our foreign trade returns for 1913
showed exports valued at $2,484.-
100000. or $85.OOO,OOO ahead of the
previous year, while our imports
amounted to $1,792,OOO,OO0, a decrease
of $25.80O.OOO. The excess of exports
for the year was $692,00O,000, or
Sill. 100000 greater than the year be-
fore. The present year will probably
show some decided changes in our
foreign trade. especially in imports
and no alarm should be shown If the
excess of exports becomes less pro-
nounced. Foreign trade in the mass
is nothing but barter and would not
be continued If not mutually profit
able. Great Britain always imports
more than she exports. and no one will
deny her phenomenal prosperity fol
the last few years. Germany and
France also usually have an excess OF
imports. and as our ability to export
food products declines we may not b<
surprised at a falling off in excess ex.
ports, although our shipments Of man
ufactures are rapidly growing"
HOW DO YOU BUY?
If you don't like strong butter, why
| do you eat it? II you will not eat it
why do you buy it? asks the Kansa,
Industrialist and it continues: wher