The Bridgeport times and evening farmer., 1918-12-16
CLEWS'
 WEEKLY LETTER

UAMN@ &zkm E Mba 4 very singular combination of con- ! dence and perplexity prevails in bus ! less circles. Confidence is generally rong, partly because war has bred spirit of courage that animates early all men. Difficulties that be- ore the war would have produced oppression and lower prices are now aced with a determination to over ome all obstacles, which is a very ecisive factor in recuperation. Sem iment is usually regarded as an ele- nent that does not exist in business; ret it makes a vast difference whether ear or confidence is the ruling spirit, Ind fortunately the latter dominates opinion, not only in the United States put also in Great Britain, the two eading industrial powers of the world. So long as these two nations possess he ability and the initiative to go ahead, as they unquestionabEy do, there Is no reason to fear that the war will have anything approaching the depressing effects once anticipat- ed. It must be remembered that the world is infinitely more closely re- lated than ever before, and that the resources and recuperaing powers of the chief nations were never so easy to marshal as a unit in the work of regeneration as at present. It is quite evident therefore that there will be international cooperation in the work of reconstruction. The production of raw materials and the distribution of finished products cannot be left to haphazard and speculative designs; but must be guided by temporary gov ernment control with g. view to avoid ing waste, of concentrating energy, of stimulating efficiency and of restrain ing imitation or speculation by united economic methods.
 Such are some of tho reasons on which there is solid basis for confi- dence. When it comes to perplexities, however, che situation is not so pleas ing. Of these, there are legion, the chief being demobilization, recon struction and labor. AS for demob- ilization, our own country has plunged suddenly into taking down in a few weeks the phenomenal war machine that required about IS months to cre- ate. Of course a sudden reversal of such titanic energies cannot be ac- complished without loss and depres- sion. A period of hesitancy and de- clining prices must be inevitably en- dured and that period we now seem to be entering. Nevertheless, a great deal has been accomplished in this direction. In some cases the govern ment was caught with big supplies or hand; and in other instances manu- lecturers have fallen into similar difff- cul4es. Those in control at Wash 1ngton, as a rule, are experienced bus mess men, who appreciate a delicate situation, and are reducing stocks anG prices with a view of facilitating 6 gradual return to natural conditions War contracts have of course beer commonly cancelled; but this was no unexpected, and in some cases tht government Is showing every possi ble consideration to munition maker and others who helped win the war From the nature of the case numer o21s complaints and losses must be in cured, though many of these will b. borne by the government, and pait out of taxation as a legitimate wa expense.
 Concerning reorganization little car be said, for such plans are still in tn,
 
 recently been held to discuss sucI plans; and in all of these assemblage it was universally recognized that w had entered a new era and that ol methods and ideas must give way t the new. The central thought of mos speakers was that business must | more highly organized; that ef1cienc must be closely studied; that accu mn iot G1 pte filled; that we must prepare to mee keen competition in foreign market. and that we would be compelled t take a much greater part in world al fairs than ever before. For the pres ent at least we must feed a lars part of Europe; certainly the chic sufferers from the war. We must als fit ourselves to export the products our furnaces and mills on a far mol extensive scale than hitherto. A these things mean that we must I also prepared to finance such pper; tons; in other words, to give E, ropean nations credit and buy the securities as long as they are unab to send us merchandise in payme1 for our exports. This again meal that out banking system must ada itself to such demands, a step tn would, temporarily at least, nal New York the worlds first bankir center, and will in any event leave O. close second when normal con6 tions return.
 The most acute problem at the m ment is that of labor. Wages in COT mon with other values have risen
 unheard of levels, owing to the wa and if commodities decline it is SC, evident that industry cannot recov its accustomed prosperity unless sor workable form of adjustment is d veloped, Labor very naturally refus to consider any reduction of wag while the cost of living remains
 high. The result is a threatened dea lock between capital and labor, col plicated by general social unrest a an epidemic of impraGticable drear The solution of such a tangled pro lem requires the utmost forbearar on both sides. Unless the spirit
 fair play and mutual considerati