, 1917-06-21
BUSINESS GOOD
IN CANADA
No Financial Depression, and
None Since the War Began.

n well-known correspondent Of an
important Western daily paper recent
~ made an extended visit to Western
Canada. and In summing up the re-
suits, after going thoroughly into con-
ditions there, says there is no financial
depression in Canada, moi has there
been anything Of the sort since the
war began. Anyone who has watched
the barometer of trade, and seen the
bank clearlngs Of the different cities
grow and continue to grow will have
arrived at the same conclusion. The
trade statistics reveal a like situation.
n progress that the farmers are
making Is highly satisfactory. As this
correspondent says: ut is true there
nave been adaptations to meet new
conditions, and taxes have been re-
vised, and that a very large burden of
added expense in many lines has been
assumed, but 1t has all been done me-
medically, carefully and with full re-
gard for the u to be called on
"That this has been done fairly and
wisely Is proved by the present COM
Portable financial position.
with the exception Of a restricted
area In the east, Canada is not an in
dustrial country. The greater portion
OF the Dominion must be classed as
agricultural area, with only an inini-
Sesimal part Of it fully developed.
Lacking complete development, the
agricultural portion of Canada has
naturally placed its main dependence
upon fewer u than would be
h case in the States. Even in peace
times, business would be subject to
more frequent and wider fluctuations,
due to the narrower foundation upon
which 1t rests.
"Thus, Canada has been able to
come To to the war with efficiency and
suGicioncy and to maintain and even
advance Its civilian activities.
"Canada's first element of financial
strength lay in its branch bank sys-
tenn. This system has two great ad-
vantages: it makes the financial re-
sources Of the Dominion fluid so that
supplies Of capital can run quickly
from the high spots to the low spots;
also. 1t places at the command Of each
individual branch the combined re-
sources Of the whole institution so
that there is an efficient safeguard
against severe strain at any one
point.
Here in Winnipeg, the all-Canada
banking houses maintain big, strong
branches and, as elsewhere in the
Dominion, these held to an attitude Of
saneness and solidity that prevented
e the start Of any financial dis
turbance.
That business generally Is now COM
ing strong on an Eel keel is largely
due to the absolute refusal of the
banks, both branch and Independent,
to exhibit the slightest signs Of ex-
element or apprehensiveness.
"For all Canada the savings bank
figures are astonishing. Beginning with
1913, they are, for the fiscal year end
ing March 81:
1913 1922, ops, 1858
1914 663,650,230
1915 $50, 761 ,432
1916 1888, 169,212
1917 SSS, 765, 1893
"These figures represent what Cana
dlans have put away after paying the
Increased living cost, which is about
the same as in the States, all increas-
es in taxes and imports of all kinds
made necessary by the war and gen.
erous subscriptions to war bond is
sues.
prohibition has helped greatly in
keeping the money supplies circulat-
ing In the normal, necessary channels.
Tradesmen generally attribute a large
part of the good financial condition to
the fact that the booze bill has been
eliminated. Canada takes law enforce
ment with true British seriousness.
Financially, as in every other re-
spect, Canada has developed sufficien-
cy. She has done 1t In spite Of initial
conditions which would not look prom
Using in the States and she has done it
In n big, strong way.
zone of the best things we did" said
one of the leading Winnipeg bankers
to me, twas to decide early in the
game that we simply would not borrow
trouble.
1--WE started in ignorance of how the
war would develop and without know
ing exactly what our were,
and had to find the way.
"And yet Canadians are not overbur-
dened with taxes nor are they COM
planning of them. For the common
people there has been but a slight tax
increase, If any, in a direct way. In
direct payments, of course, are made
in the shape of higher prices for living
commodities, but the price advance on