New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1916-08-28

extravaganza, as is constantly and SUI
perically assumed, but rather Of
greatly increased purchasing power
among the masses. The probable effect
Of peace in Europe upon the prices OF
foodstuffs in this country is a far
reaching and complicated matter which
in general receives but scant attention.
Throughout the great wealth produc-
ing portions of the country, the West
and the South, the high prices of farm
products are the principal sustaining
props Of prosperity, for the farmer IS
the great purchasers in these sections.
Food VIII Fall.
II seems inevitable that peace will
cause an appreciate decline in the prices
of all grains, b, cause the waste of war
will cease, agricultural laborers now
serving as soldiers will return to the
fields and what are believed to be the
stored-up reserves of Russian grain will
come on the market. The general effect
upon the farmer Of low prices of his
products is to curtail both his purchas-
ing power and inclination. There must
be sharp distinction made, however,
between the products which he raises
only to sell and those which indirectly
form his source of revenue. Wheat is
distinctly money crop, but the greater
proportion of corn and oats are con-
sumed upon the farm, so that the prices
of these latter two great staples are
not really a matter of so great moment
10 the farmer as wheat, nor of cattle
and hogs, which are also important
sources of revenue. The effect of peace
will, therefore, tend to curtail demand
and purchasing power in the great
grain growing sections. The result,
however, will be far less, both in extent
and nature, than in the East, where war
orders play so important part. Farm
ing is becoming more and more many
sided proposition, with a constantly in
creasing number of resources, thus en-
abling the farmer to adapt himself more
readily than ever before to new condi-
tions. Moreover, if the coming of peace
reduces his profits in some directions it
will largely increase them in others.
The war hurts the fruit trade by prac-
tically stopping large exports in that
line. II put the cotton planter almost
out of business for twelve months by
cutting off the demand for nearly one
half of his products. That peace would
benefit not only these but other great
industries seems generally lost sight of.
Peace will open up the phosphate mines
OF Florida and give employment to many
thousands of men. It will put new life
into the production of naval stores,
rosin, turpentine and the like. 1t will
crowd the farreaching and important
lumber business with orders because of
the renewal of export demand. The
South, as a whole, will greatly profit by
the ending of the war.
Sentimental Factors.
1t is assumed, with a fair degree Of
probability, that the rehabilitation OF
ruined Europe will call for much ma
terial from US, because we are the only
source of supply. In such hopes we
overlook factor that may be of great
moment. Sentiment always plays an
important part in commercial affairs.
In the reciprocity campaign in 1910 IN
Canada the result was determined sole
ly by the appeal to loyalty to the mother
country, although the point at issue
was purely economic. 1t was a question
of sentimentality against common sense
and self-interest, and sentimentality
won decisively.
War, like misery, makes strange bed
fellows. The warning nations of Eu-
rope cast aside the historic antago-
nisms of centuries to join in common
cause They may carry this later into
their commercial relations. They buy
much from us now because they have
to. This may not be so true in the times
to come. We may find then, as now, that
our domestic demand must be our chief
reliance. Nor in doing so shall we lean
eddy face readjustments and realign-
ments in our future dealings with Eu-
rope. With the cessation of war there
will inevitably be a hiatus in export
activities until the future becomes de-
fined. Our reactions to this in domestic
business may be comparatively brief
period of waiting and suspense. But we
need not let these things trouble US.
Our Own Heritage.
There looms before US in our own
commercial life something far greater
than Europe can bestow. Since 1907
there has been no period of general
and extended development in our own
country, and, in the business parlance
of the day it is about due. We are in
the way of solving many political and
economic problems which have ham
pered our progress. We have a better
knowledge and understanding Of our al
most incalculable resources. Most of all,
there is a nationwide awakening as to
the nature and possibilities of agricult-
ure, that greatest of all businesses. We
are alive TO the real meaning OF prog
ress in every phase Of commercial and
industrial life. Great national move
ments such as this are not flashes in
the pan, nor do they die a-borning.
They blaze the way in something pro-
foundry better than we have ever