Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1916-09-07
SMALLER YIELDS NOT TO HAVE
ADVERSE EFFECTS ON Busl-
NESS CONDITIONS.
CHICAGO BANK FORECAST
ON TRADE ACTIVITIES
Continuation Predicted Until Europe
Opens Negotiations For Peace
Hiaher Prices to Take Place Of De-
creased Production to Benefit Of
Farmer-To Help Europe Rebuild.

Business conditions in the United
States have not been affected seriously
by the smaller agricultural production
this year and the general volume OF
trade continues to run high, says the
Continental and Commercial National
Bank Of Chicago, in its annual crop
report and business review, copies OF
which were received in Marshalltown
today
Until there are negotiations for
peace in Europe there is little likeii-
hood of any recession from present ac-
tivity, the review says. 1t finds that
the crops of the country are nearly
1000, 900, 900 bushels short or 10 per
cent under 1915. In the inevitability OF
high prices for wheat and general
high price range on practically all
the American farmer produces, the re-
view sees compromising factors or
great Importance
Bank Deposits Are Large.
This also has a compromising value
in computing the basis for new credit
from our agricultural production
basis the indications are that the mar
ket value of our crops and livestock
will aggregate not far from that of a
year ago, because the higher prices
realized will probably fully offset the
decreased production, taking the
country as whole. This, however, Will
not apply to all sections of the conn
try, as in the northwest for Instance
the principal crop-spring wheat-has
been seriously curtailed by unfavor-
able climatic conditions.
Running all thru the correspond
erce received is ample evidence that
credit conditions in this country are
sound Collections generally are pro-
nounCed good Bank deposits are alb
normally large all over the country
and while there has been some COM
plant that the influx Of gold has been
unprecedentedly large and has been II
detrlment, yet it is well to remember
that gold. follows wealth~and that its
real value depends chiefly upon our
ability wisely to absorb the additional
credit which it affords, without Great
ing a tendency toward wild specnla-
ton and a possible subsequent COL
Ia DSe. MS, SO lar, II Is uuile eNiueiit
the country has been able to accom-
plish."
Outlook Is Favorable.
The annual sums up the industrial
outlook as very favorable, finding
present and prospective influences in
dicative Of maintenance of the heavy
volume of output.
General manufacturing is profitable
in all lines despite a scarcity of labor
higher wages and higher prices of raw
materials it says. The labor situa-
ton affords most perplexing problem
al the present time. In some instances
a sufficient supply exists to maintain
the largest output in the history Of he
country. This is especially true in the
steel industry. But in those lines OF
business where the margin Of profits is
smaller there is a distinct shortage of
labor traceable chiefly to the fact that
the muniton plants and others, which
have been reaping abnormal profits
from the export business growing out
of the war have attracted workmen
from less remunerative fields In som:
sections Of the country, especially the
east. men formerly employed in the
agricultural districts, attracted by the
high wages. have drifted to the centers