The Birmingham age-herald., 1915-03-17
Attitude Toward Railroads Regarded as of Most
 Vital Importance
CHANGE IS SEEN
 ALL OVER COUNTRY
Capital Is Now Pouring Into United States in Greater Quantities Than Ever to Any Nation
 in Worlds History
By HOLLAND

1 By HOLLAND
 l New York, March 16.-(Special.)-It seems to be the view of the leaders in | finance and business that the bottom of the business depression has been reached,
 or, to change the metaphor, flood tide
 has begun.
 1 Not all these leaders try to identify the 1 time when the change began. The friends of Henry P. Davison are satisfied that he
 vas persuaded before he went to London
 last fall for the purpose of comforting with
 the British government that the country l had then reached the end of it's business l depression. Others somewhat vaguely speak of a later date. The impression
 obtained by those who heard 1llihu Root at the Union League club in this city on Thursday evening of last week from
 his remarks was that while not at all concerned about the time when the I change began, he is now persuaded that i, it has begun and that we are ntering on an era of constructive legislation and of
 a highly reasonable attitude govern nent, state and national, authorities to-
 ward American business interests of all kinds.
 l With substantial uniformity the opinion ! was expressed that a very strong change 1 in the attitude of the public not only to- ward the railroads, but also toward so- called ''big business,'' has taken place. The one important or vital stimulus ',r the restoration of confidence is this atti- | tude of the public toward our business 1 life of all kinds. The feeling of optimism l is general. It was reflected in the ad-
 dress recently made by one of the great est business authorities of the west, Vice President A. W. Douglas, who is of high authority in the Simmons Hardware com pany of St. Louis. The address Jreathes
 the spirit of wise optimism and is spoken | of here as fully rehecting ge: ral opinion | as that is held by the leaders in great af- I fairs in this city. MT. Douglas summar- ized in three lines all that he said in his address by stating emphatically that the present outlook reveals progress now be- gun, as yet somewhat slow, but great | expansion in a future which is not ois- tant.
 l Two causes are mentioned by those who discuss the situation as having been sufficient to bring about a change in our domestic situation. One of these is the | evidence that public opinion all over the United States now las strongly set in
 favor of constructive action. The day of destructive agitation and legislation is ended. Among other proofs of this change which are set forth by those who discuss the subject is first the action of the peo- pie of Missouri in repudiating ,he pro- posed ful-crew law, next the general | sympathy revealed by the people of Ore gon for constructive legislation, next t. e attitude of the interstate commerce com mission in granting to the railroad com panes which appealed for aid the greater part of the requests which were made next the profoundly important opinions | recently handed down by the supreme l court, in which it was emphatically as serted that the railroads are entitled to reasonable remuneration and that no state is justified in law or morals in en- acting statutes which will prevent the earning of fair returns.
 Again. there are strong evidences of | the general acceptance of the truth con- | tained in recent statement made by Samuel Rea, president of the Pennsylvania | railroad system who stated that weak l railroads are among the chief obstacles to | business enterprise and commerce and the country will have too many weak
 railroads unless constructive and equita-
 ble policy of public regulation is piac- | ticed not as a palliative, but as per
 manent public and business necessity.
 The Great Cause for the Change
 The immediate and undoubtedly the l greatest cause for the change in our do- nestle industrial and commercial life was | the sudden advent of the European war | at a time when conditions were so ap- | pallng that the great men of affairs l spoke of them only in whispers. The ef- l feet of the war was direct and indirect, | the leaders say. A valuable indirect in 1 fiuence was created in August and early September by the marvellous object lesson
 which was taught by the palkers of the United States when by voluntary and 1 complete cooperation they worked out l the plans and then put them into execu- 1 ton by means of which the immediate emergencies were ended. The people real | ized that this was accomplished when | the old national banking system was l still in operation, and that much of the l leadership in this work was identified by private bankers who in the past had been associated with what is called the money 1 power. It was also learned that these op- erations. sudden and enormous as they were, involving in all the swift mobilizing of some $500. 100000 in gold. were carried out without any remuneration excepting the customary charges for interest.
 The direct effects of the war are now | spoken of in terms which reveal the wonder with which the great men of af- fairs contemplate this change. It is some- times said that of sudden the United States became exporters of capital in large amounts and the $200. 900 in gold which was utilized last summer for the 1 payment of current indebtedness of Amer l jeans to Europe is mentioned to illus trate this export of capital, as well as some of the loans which have been made to foreign nations.
 It is observed, however, that those who are best informed speak with greater amazement of the magnitude of our inn ports of foreign capital. One of these leaders, in reply to an inquiry, said: of l ficially we know only so much as the re- ports from the custom houses as tabu- lated by the Washington authorities re- veal These show that in three months the money value of the excess of exports over imports was nearly s45o,0Oo,000. But there Is no way of learning authorita- lively what the other imports of money now in progress, which also have taken place and which are to be continued 1 really is. Those of us who are in touch with the financial district know that the sum Is stupendous. Money is flowing
 into this country in amounts in excess of any received by any country of the world within like period of time. How ever speedily the war may be brought to an end, these enormous imports of cap ital must continue a good while. Grad
 ually but surely these funds will stimu- late general business. They well impart viEor Into American business of all kinds