The Caldwell tribune. [volume] (Caldwell, Idaho Territory [Idaho]) 1883-1928, 1916-07-14
.Rusiness and Finances
BY w. S. Cousins, Editor The American Banker


mic conditions when peace is restored
These powers are united against the
teutonic empires, and will not permit
the establishment of commercial rela-
tons of any sort with what they call
the enemy countries.
This is not material for the present,
but when the war ends the commercial
treaties of the entente powers will as
sumo very serious character. In
dustrially and commercially, Great
Britain, France, Russia, Italy and
Japan are practically a unit against
Germany and Austria, and will estab-
fish tariffs which will discriminate
against the central empires and pre-
vent their rehabilitation.
1t is significant that the acumula-
tons of goods in Germany which can
might have been unloaded upon other
excluded from all the allied countries
by prohibitives duties which will make
the sale of these exports al any price
very difficult.
1t is to be noted that in this country
there is also a rising demand for tariff
rates sufficiently high to prevent the
one of the European countries at low
prices. Both in Europe and in this
country this export of cheap goods is
described as dumping.
Before the war the German steam
ship lines carried on profitable bust
ness between the different parts of the
British Empire and were awarded
many mail contracts. | is needless
to state that the granting of these
mail contracts to Germans lines is
thing of the past, and that these pc
culiar advantages formerly enjoyed by
G. .rman steamship lines will rot be re.
stored.
These commercial arrangements OF
the allies are important as indicating
the direction in which the trade winds
arc blowing. 1t is very important that
the United States shall speedily take
steps 10 secure all the commercial adj
vantages that it can through treaties
with Great Britain, France, Russia and
Italy, and especially with Russia, a
country of vast and largely undcvel-
oped resources and in which the OPP
portunitleS for American commercial
| expansion are well-nigh limitless.
Much as has been said about the
commerce of South America, all that
can be done in the Latin countries is
small by comparison with the lar
greater opportunities opening up In
the Russian Empire with its popuia-
ton OF two hundred million.
Bank Stocks as Investments
1t is very evident that the average
American investor has been giving
less consideration to the element of
safety in investment, and is more CON
Cerned over the promised rate of in
come on the securities which he Sc
lcctS. This of course, does not apply
to the financial and investment institu-
tons which make thorough and sci
entihc investigation of all securities
in which the working funds of such
institutions are placed. An examination
of the sales lists of the cheaper grade
of high dividend securities shows that
, in proportion to the number of such
) securities which ultimately and per.
manently make good, far greater
percentage prove disappointing ant
: are utterly worthless as income produ,
: GERS. yet the fact remains that there
: is still surprising amount of gullibil
e ity in the makeup of the average
/ American; and securities which Offer
an annual income of from 30 to 90 pei
cent on their par are still accepted a
premium by people who ought tc
! know better. The United States gov
ernment in its campaign against mai
, frauds. has given wide publicity to thu
many variticS of swindling which
take their annual toll from the fruga
) savings of the unfortunate class who
} are only too willing to part with thei
money in return for a bcautifuIiy-en
, graved certificate which is not wortl
, the price of the gilt around the border
= 1t is safe to say, however, that tn,
, shadow OF this class of speculation i
growing less, and that a greater de
gree OF intelligence in the selection o
, investments is being displayed b,
t many people who heretofore have beer
I guided by no particular principle il
t this important matter.
, 1t is noteworthy that notwithstand
! ing the prevailing low rates for none,
during the past two years, the earning
: of the banking institutions have beer