The Birmingham age-herald., 1915-04-09
WAR COMMODITIES STIMULATE TRADE IN VARIOUS LINES Indirect Financial Benefit Is Being Felt in Many
 Directions ROOSEVELT'S TRIAL
 MEANS SENSATION Is Being Sued by William Barnes of New York on Libel Charge.
 The Colonel Will Eschew
 Technicalities
By ND

New York, April s.-(Special.)-In the monthly review which is issued under the supervising eye of Frank A. Vanderlip. the latest of which bears the date of April l. it is said that the gain in the exports of manufactured articles. chiefly of war supplies. does not point 10 such wide spread domestic employment and prosper
 ty would be the case if our great in- dustries were as busily occupied in the manufacture of goods for consumption in the United States
 While this is spoken of as self-evdent proposition, nevertheless some of the best authorities are inclined to think that sooner or later the effect of these heavy demands upon American industries for war supplies must, indirectly at least, reach domestic industries of all kinds. Presumably that is the view of John A. Gardine, who stands in the front rank of those whose business it is to handle for eign exchange. It is known to be the view of Max May, who has made several world records so far as the volume of foreign exchange handled is concerned. There are managers of large industries which man. ufactnre no war supplies, who now say that their plants are beginning to feel the effect of the enormous demand for war materials. That is particularly true of the steel industry and also of the manu- faetures of tools and machinery. There is no more influential factor in American manufactures than the lathe. This appar- atus, itself, is not to be numbered among war supplies. In times of normal pros perity in the United States the demand f.zr- 1.R1 1,- sr T.. nestle industry as any other apparatus furnishes.
 A few weeks ago the statement was made to the present writer that there was probably not to be obtained anywhere in the United States a lathe for immediate delivery, at least a new one. The man ufacturers of war supplies have been compelled to appeal to the manufacture CTS of lathes since this apparatus is nee essary for the manufacture of shrapnel. In this way a domestic industry, which lathe manufacturing isis stimulated indi- rectly by the demand for war supplies.
 Ultimately, and perhaps speedily, 1t is inevitable that there will arise demand for-barbed wire, not for export but for American use. The demand for this com modity, which has come from the belliger- ents, has been so great that there is likely to be a scarcity of it so that the industries which manufacture it will be called upon for large supplies for domes- tic use.
 It is commonly said in commercial cir cles here that the United States will re- ceive immediately after the war ends heavy demands for material needed for the construction of bridges which have been destroyed by the war. If the demand equals the expectation, then that depart ment of the steel industry which is oc- cupied in manufacturing bridges, will find that it will be driven to it's capacity
 Some of the leaders in finance and n- cluding those who are accustomed to han dle foreign exchange especially the insti- tutions which are now permitted by law in some of the states to write acceptances upon domestic bills. are persuaded that from these war demands will flow inhu- ences which will inevitably stimulate do- nestle business
 Since the announcement that one insti- tuition of this city has accepted an az gregate of $54,000,0 ,000 drafts or bills. the greater part of which are domestic bills representing domestic trade there be- gins to be realiza ton of the fact that business is slowly but surely improving. Many persons have asked what the term
 acceptance means. In fact, it is an in- dorsement by bank of a bill or draft. | It differs, however. from an indorsement In the fact that the acceptance is writ | ten across the face of the bill whereas the | indorsement is always written on the l back It serves as a guarantee that if | the maker of the bill fails to meet it then | the bank which has accepted it will meet | it. It makes available credit which here tofore has been lurking and not utilized l by banking institutions. Behind these l drafts stand the bills of lading.
 It vas observed that on the day of the | publication of a report of the National | City bank in which an item set forth l that the bank had accepted s7O00,0O0 of | bills there also appeared an announce ment that the Guaranty Trust had acceDt- | ed s54000,000 of bills. This seemed to be | such striking disparity that many were the questions asked for explanation. The | explanation was simple. The national , banks are permitted by law to accept | bills which represent exports of commodi- | ties, but they cannot under the law &C., cept domestic bills. President Sabin's in- l stitution. which acts under state char ter is now permitted by law recently en- acted in New York to write acceptances |