The evening herald. [volume] (Albuquerque, New Mexico) 1914-1922, 1918-03-05

ognizcd a. q factor iu the financial
situation Germans and Nustfiaus who
TuSe been prisoners In Russia have
been released. They thus are added
90 the cnemy's fighting strength Hut
the allies nre more than their equal
nj are awaiti1g the supreme drive
ON the western frouto.a drive which
has been So S-pcrtaculary advertised
tha. Il would not be- surprising u it
were a cover for an entirely different
plan. Meanwhile American troops are
crossing the Atlantic in large numbers
ana are adding TO The strength of u
allies.
Az departments OF our national rec
~tivities are defcrring to tho ucC'ositic,
uf war. The administrations railroad
bill whcih win permit the auminis-
ufation to carry u the orund-rinded
plan OF railroad control, already he's
passed both houses of congress The
administrations plans are $50 well
known that They do not need repeat
ing A. a broad proposal they assure
stockholders Of sufficient revenues. re-
ratdlcss Of Increased expenditures ot
all kinds which have resulted from the
war, to justify the belief that DIVE
Gcuds which have been lrgitimutcly
earned iu the past win Dee continue !
uud that physically and financially
their properties viii be- returned 10
them iu al least as -uuuu IL position
as thcy uccupic. during IN, war tho
administrations finance bin also may
be- expected Go become 70 law IN a
short tlme. Tho object If the measure
is to enable The treasury "a provide
capital requirements ui essential IN
dustries. u ts "a war measure pure
and simple. The government has ua-
dcrtakou Goo conscrv, AIN the financial
resources eft the ant Iu order that
there may ace mo- unnecessary cuupct.-
.tion when the war lo..s ANA other of
our treasury obligations appeal for
public support. Hence Secretary NJ
Adoo and his advisers ha,o deemed u
"a necessity that other provision DE
made for financial ala Tor corporation
which are So seriously affected Joy
these new conditions Mun"f BE- show
ing inprcasius scarcity FOR time oc
commodatiou-a feature which d. en-
couraging a. more general use ut de-
mnud loans. However. wc arc for
tunate Ia having a national financial
= l-tcm based ON sound principles. u
appears quite reasonable 90 assume
that ample financial facilities Will be
made available as the date approaches
tor the offering of the third liberty
loan. There no longer appears reason
io. doubt that The rate which his new
issue Will carry viii b., : T. per cent
and that be- gencral terms a. 10 Us
exemption. from taxation viii not Az
fer essentially from the recently ie-
sued Z per cents
Railroad securities have evidenced %
wider appreciation of the new trans
p|ortatiuu situation. Equipment stock
display an improved demand because
Of prospective orders from the rail-
roads. Traction M public utility &C.
curitics in general, uot uuuntur9lll
are suffering as "a result OF he re-
markdhlc conditions that because OF
the war now are ruling with prices
OF their products arbitrarily fixed by
law or regulated by state boards. they
are not able to increase their ircom,s
10 meet the extraordinary advance
that have occurred i'm The cost of labor
ana ot all materials tlrey %rcquqirc in
the manufacture of heir products. Oii,
lNi liNAAilAfs NhiiH ~ SUM "a AAi 81 hllfl
necessary factor In the production o.
gas, II coal-another large and nee
ossary factor-both ave advanced Ia
Price very severely. But prices OF gas
To the consumer la most instances can
not DO advanced 10 meet these ana
other increased costs. IA the same
general category are the traction cont
panies which. speaking broadly. are
compelled to maintain u sc fare. some
indication OF the burden OF this situa
ton Is contained in the fact that di-
rcctors of two OF the local lines con
sidored II necessary To pass the interest
ON the adjustment income bonds, and
the Brooklyn Rapid Transit directors
thls week deferred action on the divi-
dcud.
The immediate outlook appear more
than ever 60 be bound up with the
progress ~ the war.