The sun., 1919-04-25
BUSINESS OUTLOOK
IS ENCOURAGING
U. s. Chamber of Commerce
Hopeful After Survey Of
Conditions.
FEARS FOR RAILROADS
Says Net Earnings Must Be In
creased Before Roads Are
Turned Back.

WASHINGTON. April 2t.--Conditions
In the business world are encouraging
ana the outlook for the future 10 hope-
fui. according to q comprehensive report
on the situation made public here to-
night by the United States Chamber of
commerce. Tho review, prepared by
Archer W. Douglas of St Louis. chair
man Of the Chambers Statistical Com.
mittee, covers the general situation
throughout the country and gives in de-
TAI reports on the more important In
austries and finances. prices. transports.
The report shows that the coming Of
spring has had but little effect on prices
OF foodstuffs. and says there is a steadily
growing feeling that the law Of supply
ana demand should have free and unre-
stricted play In this field. Il points to
the railroads as probably the most So
rious problem In the business world to-
nay. says that the prospect of an unpre.
cedented winter wheat crop u more en-
eouragtng and declares that the crux Of
tho present situation ID the entire alb
sence OF financial difficulties. which II
attributes TO the Federal reserve bank
ing system.
Some Lines sIackeninE.
ut IL still one of the wonders of the
time,' says the report. that the pres
ent volume of business continues 50
large, though It is perfectly obvious that
1t Is slackening in some lines. rs all
ways during the two months before har-
vest. when buying waits upon the out
come Of the crops. Some manufacturing
lines are reducing the number. OF en-
! rloyees because OF falling OF In orders.
The domestic demands for replace
ment and repair alone, IN default Of the
activities of construction and develop
msnt enterprises, are not within them
! selves sufficient to keep fully employed
all the productive possibilities OF the
! country We especially md this Is true
of the lack of building in its widespread
| qualifications and demands, though I'M
doubleday greater activity 10 apparent
, In the near future in construction enter
| prises.
Confidence in the future Is growing,
as Ia evinced In the campaign for sales
of fall and, winter goods now being
wased by distributing interests
Two factors dominate the future
| one the crops. with tho prospects OF the
very best, particularly as regar ds win
| ter wheat; the other the European sit
uation. which puzzles and perplexes
| from day to day"
Going into detail the report says that
building and construction are the best
barometers of the nature and extent Of
general business and says that at Is pc
culiarly significant that at present the
, general volume OF business should be SO
large when building and construction are
at low ebo Such activity as exists Ia
sporadic, scattered and altogether local.
, Speculative building practically does not
I " a nd i.,ff
| few" -
High prices OF labor and materials are
given as the reasons for this quietude,
but the outlook ~ said to be dlstinctly
better and there IL expectation of an In
crease OF from 10 to 90 per cent. In the
volume Of building the next four months,
compared with the same period last year
Worst Over, Say Lumber Men.
Reviewing various industries the re-
port says that in the lumber busine SIS
the feeling IL that the worst is over" :;
in brick. stone. cement and building ma
terials "production Is still at a low ebb" {;
! in paint the outlook Is for an increase In
sales during the next four or Ave months
of anywhere from Is to 25 per cent. over
the same period last year; iron mines
are running Considerably less than ca
paoty," and with the Government de-
mands from tho war largely withdrawn
and the railroads not in the market the
iron and steel business has declined con-
siderably, although declines in prices
are continuous. bringing about stinula-
ton OF the demand.
Copper production Is put at about 60
per cent. of the 1918 output, but there
Is great expectation OF large export
! business In the future. with the market
oversupplted because OF the war stimulus
of the Government price" II il. SAYS
the report, the old story of copper oft
/ repeated. a sudden and abnormal de-
mand and a rapid decline in prices,
creau gnan enormous production which
carried prices to lower levels.
! OF coal tho report says: There has
been a falling Off In tho demand for coal
and a consequent decrease in production
Mines are running from three 70 four
/ days n week. The coal operators have