Omaha daily bee., 1915-01-03
NATIONS Bu.!N-1ESS
is FAST IMPROVES
Country Facing New Year with Bet
ter Confidence in the Outlook
for the Future.
WAR EFFECT BEING SPENT
Influesce of Great European Con-
fIict Losing Its Terror in United
states-west Particularly
T. Favored ny Crops.
THE YEARS RECORD.

Excluding llnters ''Eleven months.
After passing. between July and Deem
bey. through nearly every possible expe-
rlence OF adversely except that OF COM
rlete collapse. the new year opens with
business In the United states rising above
depression and confronting the future
with new confidence and with clear
signs Of developing activity. Since the
beginning OF the modern system Of cred
los in the middle OF the seventeenth cen
fury there has been succession. az
regular cycle intervals. OF financial up
heavsls but nothing approaching 10 vlo-
lence and extent the overwhelming con
yulslon OF the markets in 1914 as Tho
result OF the sudden outbreak II the
European war Tho United States, al.
though q neutral country. suffered almost
as much in 4 business way as the nations
actually engaged In the conflict
west Is Favored.
Naturally. as result OF the extraor-
binary events abroad, domestic trade
suffered severe deprcssIon bank clear
mss and railroad earnings declined heay-
NY; she number OF failures multiplied
aad unemployment. with us attendant
evils. Increased, While the entire country
was affected certain sections suffered
less than othevs. on the whole, the west
whtcn was benefited by the big gran
crops. notably tSe record breaking yield
81 wheat, marketed AZ high prices, waA
most favored, willie the south was Sc
reFely hurt by the cotton collapse, and
the east by the prostration OF foreign
commerce and the suspension OF the
markets for securities. A. the year
closed. however so far had the
markets adjusted themselves "a
war basis that the great conflict abroa
began to lose somo OF it's overwhelming
significance and local domestic problems
came more 10 the front. Several devel-
opments served 10 mitigate the effects
Of the war Ono was the institution OF
the emergency measure already referred
10. Another was the Immediate ap-
pearance of enormous foreign orders for
American hreadHtuffs aud other supplies
for the use Of the c0nteudinE ar1nles
and their dependent populations Exports
grew 20 large proportions avail
able ship being pressed into service at
high rates tor freight--and the normal
balance OF trade In favor OF this country
was re-estabiished. rendering unnecessary
special arrangements. which otherwise
would have had to be entered into 20
prevent an excessive drain of gold from
this country
Results of Agriculture.
In year OF reaction In most lines OF
endeavor, the United states has main
tained tts supremacy as the greatest
single agricultural weaith-producing ma.
ton in the world. and two OF the lending
crops have established new records IN
point Of production. The output Of wheat
-SeLol7.0oo bushels-ecipsed all former
totals and the country was made richer
60 the extent OF ss7s. GS0OO0. while the
z.sI2.So40oo bushels OF corn produced
brought a return of almost 81 7b0. OaaeO0
More oats was also harvested than IN
1919, and there was an increase OF about
g Nevoo.0oO In value: other crops showing
gains in both respects Included barley,
rye and buckwheat Both hay and to-
haeeo were grown In larger quantities.
but were worth less because OF the lower
quotations prevailing.
Monetary Condition..
In finance. as IN everything else. the
most important events OF 1914 dated from
the end OF las July. Prior 10 that time.
monetary affairs. both here and abroad,
presented, on the surface at least a
normal aspect: yet with a suddenness
that was startling there was created a
situation wholly lacking in precedent.
There have bsea former occasions. such
as u 1871, whom certain conditions com.
lanea 20 disarrange the financial mechan-
ism OF the nation. but nothing In history
parallels the DISCRIMINATION OF the
worlds markets that was caused by the
outbreak OF the devRstating war IN
Europe. Without warning. the economic
structure was shaken 20 It's very founda-
ton and a state OF chaos resulted that
led 70 extraordinary protective measures
Suspension OF operations on the leading
foreign bourses was quickly f,Illowed by
the closing Of the New York stock ex.
change. such action being necessary be-
cause Of the great pressure OF liquidation
from European holders OF American &C.
curities, regardless u sacrifices entailea.
commereiaI FaiIape..
Preliminary. statistics OF commercial
failures in the Unitel states during 1874
az reported 20 Il. q. Dunn a Co. indi-
cate a heavy expansion In the country's
business mortality IS compared with the
preceding year Total insolvenoies mum
hered Mc54 and involved no less than
f354.06s.oeS OF defaulted Indebtedness
against 1866 suspensions in INA when
the liabilities were t2iaesasSS. A. a re-
cult OF the European war. which caused
sharp increase In the commercial death
rate az the south. losses were more nu-
merous IN the last quarter. while the sec
ono three months made the best exhibit.
numerically. although supplying the larg-
est aggregate debts OF the year because
Of the financial difficulties OF a prom
inent dry goods house ana See various
affiliations.
In the following table failure returns
for the last two years are compared by
qrariers. figures Tor The last few days OF
llecemhor bcinn csffn,ataa.