Arizona republican., 1914-03-02
GREAT INLAND
 EMPIRE HERE
Panama Canal Looked to Bring Influx of Thou sands of Immigrants to Settle in and Build Up Arizona
Special to The Republican,

Zona, capable of being developed through irrigation, and a great land empire will be built up here,' said c. c. Magenheimer and G. J. Magen- heimer, managing directors of the Tucson Farms Company, today. c. c. Magenheimer is leaving for Chi cago, and G. J. Magenheimr has just arrived from his home in that city to plan and supervise further de- velopment of the companys large holdings in the Santa Cruz valley
 More than 650,O00 immigrant tickets already have been sold in Europe on the installment plan for use as soon as the canal opens The rate is only $9 more to the Pacific coast than the New York rate Thou come from California to Arizona. seeking homes. and will find mar velons opportunities here for the de- velopment of agricultural lands. <A Period of Expansion
 The settlement of the currency question has had a wonderful effect on the money market, and the pros pective establishment Of the regional reserve banks has caused an eXpan- sion by which the west will profit greatly. There is nothing in the east l to expand. The banks will no longer have to hold down their loans during periods of panic for they can take l first class paper to the regional re- serve banks and replenish their cash | lot r. ie ,1, tlip money is needed the most and bank
 els should be in a position to place 1 loans on first class collateral at that
 time more than at any other That
 is just what the regional reserve banks will enable them to do.
 Interest Rate Lowered
 During the currency agitation, 6
 per cent was demanded for money in
 the east. but since the question has
 been settled money has dropped to per cent and 41a per cent. The
 money which accumulated while 6 per cent interest prevailed is now
 seeking investment in legitimate en- terprise, and the money accumulated l in the banks themselves is seeking investment but not speculation. This money is available at a reasonable
 rate of interest for new development work, and as long as the bankers are careful about their security they will be always in a position to redscount their notes at the regional reserve
 banks.
 "There is bound to be a better bond market in 1914 because of this
 great improvement in the money
 market. It will make the country
 as whole prosperous for the money
 that has been lying idle in the banks
 to find it's way into industrial and
 agricultural enterprises. There is nc
 over production anywhere in the
 United States at the present time
 In all lines of manufacture, the pro- duct has been running short on ac-
 county of the contraction in business
 and with this expansion that has re- suited from the improvement of the maney market, all manufacturers arc increasing their stock to meet orders already placed or anticipated. There is no surplus of farm pro- ducts at the present time Prices arc going to be'fhigher instead of lower and the farmers outlook was nevel brighter.
 Confidence Restored
 "The period of uncertainty beinl oVer confidence has been restored and many bankers, who were strong. est in their opposition to the cur. rency plan, have been the first to fal / in, ,1.xx It will be no longer necessary fo ! them to keep large supplies of none! ! on hands to move the crops This re sponsibility will be taken from then . by the regional reserve banks. Here ! tofore. stlingency in the money mar ! ket has been caused largely by fea ! and when there were large crops t, { be moved and it was apparent tha { considerable money would be neede, { for the purpose, interest rates wen ! up.
 Farm Loans Will Aid "The farmer is the man who pay the high rate of interest. The pres idents recommendation for syster of farm loans is wise and shoul } be enacted into law. The farmer a a rule pays from to per cen ! higher rate of interest than those en gagged in the ordinary commercia ! pursuits. You cant blame the bank ! CT for this. He cannot always de $ pend on the farmer, and if his cro ] fails, the banker must carry hir { over for another year. A lower in terest rate will enable the farmer t work out of this situation and pu him on a firmer basis. ! Arizona needs capital to develo her wonderful natural resources an this expansion in the money marke with a system for keeping it elasti at all times. and the tide of immi ! grafton that is bound to come to thi ! state and populate it. the future ! most bright. Arizona needs popula { tion and capital, and she is going get them both during the next tw { years