Daily capital journal. (Salem, Oregon) 1903-1919, 1917-09-20

portation world q reaction IS not UNI
natural. If W. take the New York Cen
trail as a specific instance, the unrepre
sentative basis of a comparison o. last
wear becomes evident. The July state
meut indicated gross rev enues OF $l':-
27G,34O. This compared with $l7,l22 ,zOl,
in 1916 and 1924, 770 in the yeac pc
ceding. Deducting taxes and all charges
the july surplus available for dividends
despite the higher gross was only 49,,
| $4,000, and compares with $3,64l, 1875
for July last year, which, of course, Is
n reduction Of close to 100000. But it
nevertheless is no less than $l,20O,OOO
larger than the corresponding surplus
in 1915. The Pennsylvania S net earn
ings for the seven months indicate a
decrease of $4,000, 900 from the cor
responding period of 1916; but they are
still more han $l2,500,0 900 in excess of
the 1915 Figures and arc no less than
$17 ,000, 900 greater than those OF 1914.
Ii these comparisons are representa-
tive of the general railroad situation,
and it is believed they are, there GER
%tainly is no incentive for permanent
inv estors lin contEadistinction to spec
~ulators who are DESTROYS of securing
day to day brofits) to indulge II the
active liquidation that has so recently
been a feature of the market for rail
road securities. We are very apt, and
not m~naturally, so to overlook because
of our svmpatlies and the personal dan
gers of our loved ones, the material adj
yantages that must inevitably result
from n wan that we tried so hard to
avoid, America has attained and will
maintain n new financial position
among the nations of the world; 1t VIII
be restored to the seas as an important
maritime nation; it will have become
associated in a practical way with many
new export markets, and finally, 1t VIII
moreover have the lasting reputation
of being the nation that at the crucial
moment stepped in to decide the wal III
favor of democracy. This is a position
that. cannot tail to mean much in the
material sense. 1t will mean a post
war continuance of our national actlvl-
ties on a remarkable scale and a con
%tinuing prosperity for the great corpor-
atoms that so clearly are responsible
for those activities. Our country has
vet far to go before it reaches the peak
Of its developments, For our farms ana
mines we have had a series OF won
derfully prosperous years. High prices
> have been paid for our products ny Tor
eieu countries thus increasing our
wealth. This year we have IN sight Il
corn crop of 3,24S, 10000 bushels foI
which the farmer will receive extreme
" lucrative prices, n volume ana a price
that have not been nearly equaled be
fore. The average yield of corn for the
five-vear period l9l1-15 was only =
$4,000 900 bushels. Winter wheat crop
is below the average, but spring wheat
promises about an average outturh'
Meanwhile virtually all the minor crops
are well in excess of average yields
These facts indicate the degree of pros
peritv that is being experienced IN the
ogrieultural sections of the country. In
dustry is presenting a similar position
Labor is so tetively employed at high
wages that its spending power can hard
lv he ov~erestimated. The increase II
tbe priee of silver to virtually Sl.ot
per ounce is an indication of the IN
ereasing value of the products OF ou'
mines. This, toe, means a corresponding
! increase in our wealth especially If, al
seems not improbable, advantage ear
he taken Of the current opportunity u
EXPORT a considerable part of the mug
volume of silver that we have ON hand
4 period of some strain has develop
cd in money circles. 1t is not ealeulat
ed TO be of a p%rotraeted nature. Tn
government, through our new hankm!
system. which has shown is ability I
handle such periods of strain, may b
depended upon to keep the money man
ket in a comfortable position, at an.
rate during the period of distri6uuSl
of new loan. The subject has alread'
been taken up officially with the bank
Nv the government authorities with
view of nationwide cooperation. oG
federal banking officials have fuI
authority to issue notes as needed; thu
member banks of the reserve systei
reed experience no strain, since the
are able to rediseOunt their w con
a Al, fa1nral inSfffmfln