New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1917-02-08

] j ne unpTeJ uOlceu ODSeINti IcIiiSIh-
hers the numerous gloomy predlc-
tons of the past that have failed TO
ctme true and remains hopeful, even
if many railroad officials have de-
veloped the habit of pessimistic
thought. Regulation, it was said,
would mean the ending of railroad
prosperity, and when statistics are
collected which show large per-
centage Of the country's transporta-
ton system in receivers hands they
ere pointed to as confirmation. But
/ they are not convincing evidence on
that point, for the bankruptcies were
the result of things which were done
before regulation Of the railroads
was enforced. The fact is that the
railroads are prospering under reg
ul2tion as they never prospered be-
fore, and it is unlikely that there
will ever again be anything APP
preaching the insolvency record of
the past. But the gloom persists, in
spite of record earnings, and it has
it's reaction in the stock market. To
p large extent the decline in the
prices of railroad stocks is UNI
doubtedly to be ascribed to this at
mosphere of dependency. There is
surely nothing in the cold statistical
record Of earnings to account for it.
1t is possible that the markets
current appraisal of the value of
railroad stocks is accurate; but, if
so, il had certainly far overestimated
their value before the war. When,
after a lapse Of four months, trad
ing was cautiously resumed on De-
cember II, 1914, the prices Of stocks
were so low and the dangers of
further recession were thought to be
50 great that it was decided TO fix
minimum prices below which sales
could not be made. In general, these
PRICES were at about the level of the
closing prices of July 80, 1914. They
represented a pessimistic view of
values in period of severe depres-
sion.
What the railroads have done in
the way of earnings since then is
matter of common knowledge. Yet
on the Stock Exchange yesterday
four standard railroad stocks sold
we'll below the minimum prices of
recember y, 1914, and ten issues,
selected at random, averaged only
q of a point above their minimums
on that date. That seems at least
as much out of line with the known
fundamental facts as the prices of
some Of the war industrials were at
the height of their boom.
Every one sympathizes with the
downtrodden clerk who, as is we'll
known, has Jared badly in the race
with the high cost of living. 1t /.
astonishing-to some-that he has
managed to survive. The bank en-
ploye has apparently suffered with
the others of his class. Recently the
banks themselves realized that some
thing must be done about it, and at
Christmas time they distributed lib
eral bonuses. Now the Controller
of the Currency, snatching mo-
ment from the job Of showing the
, banks how to run their business, dis
covers the bank workers lamentable
condition and thinks something
, should be done about it. Here is his
: solution:
In view Of the very moderate com.
; pensation paid TO the average bank
clerk, this Office takes the liberty OF
recommending TO national banks
, that they give special consideration
to the question of furnishing THEN
clerks and other employees receiving
small salaries life insurance policies
equal TO their salary for one year;
so that, in the event of death, thu
families Of the employees may a
8 least be temporarily provided for
1t is not a bad plan; but one won
ders why it did not occur to thu
Controller that if wages are too low
the proper recommendation would b'
one calling for adequate compensa
j ton. Insuring ones employees ma!
! be a good thing and may, as SOM
believe, make them so grateful tina
u they will respond with harder worl
for the generous employer. 1t i
possible, though, that the employ
' might be so ungrateful as to thinl
: himself entitled TO compensation
: that would enable him to buy hi
' own insurance. Some might eyel
uphold him in that view.
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