The Washington herald., 1918-01-17
us. MAY!TAKE
ALL BUSINESS
Leader of Finance Sees
Further Federal Con-
troll in 1918.

ALOA III wv
One of the able executives associat-
ed with the management Of the United
States Steel Corporation. said this
morning: I'VE are convinced that
the year 1915 is to be the most mol
mentous twelve months for the United
states, at least since the war be-
tween the States"
He referred to various features
which will be made evident to the
people in the course of the year. One
is the further Tightening Of the grip
of war upon the industries of the
United States: for II seems to be in
evitable in the opinion of industries
similar in principle if not in degree,
to that taken by the President when
he assumed the authority conferred
upon him by Congress and took over
in the name OF the government the
railway systems of the United States.
May operate Coal Lands.
Already legislation is pending or
possible for private capital, under
supervision and control sf the gov
eminent, to open and operate coal
mines which are on government reser-
yatioRs, and also oil lands.
Furthermore. the administration
will seek to secure from Congress
legislation which. when adopted. will
make il possible to secure an almost
inconceivably great expansion of the
water-power facilities of the United
States.
This will be done through the Co
operation of private capital with the
government authorities, and, pre-
sumably. upon terms and which will
also protect the interests of the peo-
pie and return a convenient revenue
TO the government.
The effect which will follow the
making available of water-power
facilities for the creation of energy
will be sufficient to move the wheels
and machinery of industry. as well
as to facilitate transportation, will
probably be more lmpressiveIy felt
after the war is ended.
The step is one of the first to be
taken in the way Of preparation for
aftcr-war conditions. but the fact
that it is likely to be taken this year
is one OF the factors which the able
steel executive had in mind when he
said that 1915 is to be the most mo-
mcntous year in our history since the
niG-ycEr5 Of the civil war.
TIE Raising of Money.
Another feature OF the year 1918
which this man h6d in mind is to
g. be the borrowings by the United
s,@t-5 government of additional
fumes. perhaps Gs much as $4,000
OOe.G0O. during the next twelve
months. None of the men of finance
have any doubt about the govern
rents ability to secure as many as
- Gee. CO0.0 or even more. Never
t1.------E. lhe absorption by the gov
.-Cnt i'm two years of something
= :sO.CO0.0o OO0 in loans is GER
l. - to have important effect upon
bEgCciGI conditions. although not
-CEcl t|e Cblest fGanciers are able
now fully to forecast these effects.
A7ct3er Lessop of Year.
II "a. .csEon va.ch I'm the opinion
Of ,.-s -rGIG:i and many others. must
be .,-.rECd by the PEOPLE in the COM
ing year is one which involves the
util.EGti lion of the utmost economy.
-EcOnJ-ay does not mean par5imony.
II means the elimination of waste
or all kinds and particularly the waste
which iJ characterized by useless per-
sonal expenditure. The lesson may
be hard to learn but the people are
already beginning to understand it.
The statement has been made BY
some who are OF excellent authority
and good judgment. that what is
needed in the United States is some
kind of stupeHdOus push. some sort
Of tragedy of enormous proportion to
awaken the People to the fact that
We are in grim war which is the.
greatest of the worlds wars. and are
in it for keeps.
This view, however. is not taken by
almost all of the Industrial leaders,
and those who are leaders in finance.
The evidences are plentiful in many
parts OF the country that the people
are thoroughly awakened to the
emergencies and necessities which the
war has Occasioned.
This is especially true in some parts
OF the south and is stTikingly true OF
the Northwest, that great farming
section where the second Liberty Loan
was handsomely Oyersubscribed by
the farmers.
Production at Maximum.
Another thing which this man. as
reported above. had in mind. was
the certainty that in this year pro-
ductfon will reach its maximum and
can be conveniently handled IL the
federalizing of the American rail-
road systems work out well and
the adequate mobilization of labor
is achieved. Great as was the ex-
pansion of 1917 il will be increased
in 1918.
IT may involve some degree of in
hation of currency. Frank A. Van
derltp in a recent communication
has said. that it is true that some
degree Of imitation Is Inevitable in
time Of war. the reason being that
war calls for Immediate and gigan-
tic preparations, and the readiust-
ment of industry and of habits of
the people cannot be made at once
But the year 1918 will be made
momentous in part because IL will
be determined in this year whether
the people can be promptly brought
TO see that they must get out OF the
way of the government and more
and more relinquish shop capacity
to the governments need.
Before the end of 1918, we shall
discover whether or not the people
have learned this lesson. II they
have. then in this year the govern
ment will get its full strength in
the war.
For these reasons. and some 9TH
'ers, industrial leaders. whom the
man above quoted represented. are