The Tabor independent. [volume] (Tabor, S.D.) 1913-19??, 1916-08-17
Tuo Years Of Business
Under Present Reqin1e
From the sprinuf cid Republican.

There can be no doubt that. from a
business point of view, the American
policy of neutrality has been richly justi-
lied by the two years OF the European
war now virtually ended. When the
storm burst In the first week OF August,
1914, causing panic in every financial
center and forcing the suspension OF trad
ing on the stock exchanges for many
months, 1t was by no means so clear as
It Is now that nonparticipation In the
war was the best business policy Tor
America. A considerable period had 10
elapse before the economic effect OF the
European struggle on this country could
be surely estimated The original phe-
nomena were not reassuring. Not only
were the stock exchanges and other
speculative markets closed, but the cotton
export trade was paralyzed and the price
Of cotton cut in two, gold was exported
q large amounts, call money rose as nigh
as Z per cent. The fear that England and
France would liquidate immense holdings
Of American securities, depriving us or
our gold supply kept the stock markets
closed until the winter of 1914-l9l5, or I'M
til ii became apparent that our export
trade would be large enough to protect
our position and even give us some con-
troll of the International exchanges.
The United States was exceedingly Tor
tunate in the summer OF 1914 In having
harvested unprecedently large crops and
our wheat especially began at once to
move to Europe in enormous quantities
1t nigh prices. These shipments were the
beginning of the most wonderful period or
foreign trade America has ever exryr-
ienced, for the crops Of 1915 were also In
the bumper class. 1t was not, however,
nntil the foreign demand for wal supplies.
especially munitions, assumed the dimsn-
sions of a phenomenal commercial wind
fall that one realized the fact that the
European wal e unprecedented pros
perity for the United States. The second
year of the war, now ended, has fully con-
.irmed the most sanguine forecasts Of
last summer as to trade activity, the en-
ployment of labor and the strengthening
of our money markets. Foreign trads
figures for the last fiscal year have latelj
been published and scarcely need to b.
referred to again. The trade figures OF
two years ending June 80, However, which,
approximate the whole war period, sum
marize the results. Considered In thu
light Of the apprehensions OF the autumn
Of 1914, when our gold supply was threat
ened by a drain to England. the excess of
SO, 200, 600, 900, Of exports over imports In
the two years seems fabulous. Since the
gold movement turned in our favor, on
account Of our mounting exports OF mer-
chandise, we have imported, net for the
two years, gold to the amount about
S425, 900, 900. In the same period, America
has brought back its foreign held securi-
ties to an amount approaching 1000, =
900, 900; and 1t has loaned to belligerent
and neutral governments abroad no less
h 81, $40. 900, 900, establishing itself as
the credit and money center Of the world,
with a currency system solidly based on
a huge accumulation Of gold.
A detailed study of the facts would
carry one to great lengths. Suffice it to
say that profits and earnings of all kinds
nave risen to unexampled heights. Agri-
culture was never rewarded so richly.
Labor was never paid such high wages.
Railroad earnings were never larger.
Bank ,clearings have climbed to unpre-
cedented levels. Earnings of Industrial
companies may be illustrated, broadly
speaking, by the report Of the United
States steel corporation for the second