The Birmingham age-herald., 1915-02-05
What It Means for Business


 The slow but certain awakening of the United States to the magnitude of her resources and to the stupendous oppor- tunities which the use of her wealth so that credit can be based upon it will open to us. must inevitably, in the opinion of those best qualified to speak, tend to the gradual improvement of domestic busi- ness
 Many persons have observed that two views prevail respecting the domestic business situation. Some say that they do not see where the improvement in business is 10 be found. These point to the large number of unemployed and to the splendid response which the people are giving to appeals for food and shelter for those who need aid.
 On the other hand, reference is made to the recent succtss with which the railway corporations have approached the money market and have obtained funds upon far more favorable terms than could have been obtained the past two or three years. There is also reference to the fact that while in some industries 1t is almost impossible to keep the plants going. new ertheless in others the employees are working day and night and to the ca pacity of the plants. Apparently we shall by mid-spring have exhausted all of our surplus food products and surplus cotton through the marketing of these surpluses at high prices in other lands.
 Then, again, some of the ablest leaders in our commercial and business life are pleased that there is no sudden. over whelming revival of business in all lines throughout the United States. They say that while we are exporting eommodi- ties of certain kind to a greater amount than we have ever done it would be harm fui were general business to take on the appearance of a sudden boom which could be likened to the sudden increase of our exports. Only a day or two ago some who are classed with the ablest leaders of the day made public statement that the time has come when there should be a liberal employment of bank credit. This advice is given because there is good understanding of the magnitude of the wealth, both latent and open, which the United States now possesses. Behind all sound credit stands wealth of some kind and the wealth of the United States vis- ible and potential, is believed to be sui ficient to justify such use of credit as will enable merchants and manufacturers to take advantage of opportunities now open, and will also enable the United States to participate freely in the financ- ing of the needs of nations across the sea. Financing of that kind is certain to exert an influence which must be fav- orable to the United States. and it must remain after needy nations have ob- tained all the financial assistance they need.
 | Some who have recently returned from London and some in the financial district l who have been in correspondence with the great men of affairs in London and | upon the continent say that there was some astonishment that the United States within a few weeks after the war be- gan was able to perfect along new and original lines measures of relief which were so well perfected that relief speedily | came. There was surprise that he Auer- lean leaders were able swiftly to mobolize their great resources But in | London and upon the continent of Europe
 there was no transformation about the magnitude of these resources instantly available. At no time since the civil wal had the people of the United States and l those who control the banks of this coun- i try been compelled to face such an emer- gency as suddenly arose last summer and ] to work out along absolutely new and 1 original lines the means by which tho
 resources and wealth of the country could l be instantly mobolized The first ex- ample of this was that furnished by the 1 banks of New York acting in co-opera- l tion in furnishing s10O000.0O0 in gold tc 1 enable New York city to pay it's debt abroad. Almost simultaneously unto this | was the underwriting of a gold pool oi
 Sl00, 100000 in which every national bank l participated, This was puIely individua I Initiative afid action although the mora l approval of it was given by the fedora reserve board two months before the fed eral system went into operation. Ther' were other lesser examples of individ
 uals initiative of which London and Eu- l rope took good heed. All these trans
 actions were based upon the resources
 and the wealth of the country and it is ] upon the wealth of the country, devel- | oped and latent. what the credit which will be furnished by the banks will rely certain that this wealth and these re- sources are great enough to enable the United States to take advantage of all ithe opportunities that may arise.