The Washington herald., 1919-07-14
CARY PREDICTS
I PROSPERITY ERA
Judge Quotes National Bank
Figures to Show Conf
dence in the Future.

Early in the spring. Judge e a.
Gary spoke to a large company of
men who are of influence, at a time
when some doubt, even a little anxiety
prevailed. lest there come some bust
ness or financial or manufacturing de-
preston
Judge Gary spoke as though he had
in mind the epigram of the late J. p.
Morgan who was reported to have
said. THE man who is a bear on the
United States will go broke"
For several reasons Judge Gary
based his belief that we are entering
an era Of prosperity, the like of which
no nation in the world has ever had
ana he also spoke with confidence
OF the speedy readjustment of BUSH
ness. commercial. financial and other
conditions to a normal basis. That is
to say. normal in reference to the
new and momentous conditions
which have been occasioned by the
war.
Quotes Bank Figures.
Among the reasons which Judge
Gary gave for his confidence in the
future is the condition of the national
banks of the United States. He even
| went so far as to quote figures saying
that the national banks held resources
OF approximately SIC. 0oo, 10000 and also
unprecedented deposits.
Yet at the very time when Judge
Gary was thus speaking the re-
sources OF the American banks, not
including the State banks were five
billions in excess OF the sum which
he named He must have gone back
, some months in order to inform
himself with statistics respecting
the condition of the national banks.
By the end of May this year.
while there still was remaining one
month of the fiscal year, the re-
| sources Of the national banks of
| the United States were approx
! mately twenty one billions. It is
not necessary to quote the exact
figures The few statistics which
will be given in this report will
be given in round numbers.
The human mind cannot grasp
| the meaning which lies behind the
expression twenty-one billions. Even
the highly trained minds of the
/ astronomers and those who are ia.
: miliar with the higher mathematics
! are compelled to resort TO symbols
I when dealing in terms of billions
A Wonderful Increase.
These twenty-one billions of re-
sources were greater by eight hun.
dred millions than the resources re,
/ ported by the banks on the first OF
January. But if we go back a year
and take the report of the Comp
/ troller OF the Currency we shall
| find that the resources of the ma
/ tional banks in the latter part oi
May of this year were two billion
| six hundred million greater thar
! was the case a year ago.
Still continuing TO make use OF
| billions for record purposes the off.
! cial record shows that the increase
in the resources of the national
banks OF the United States in about
! six years was SO, onn, 0oo,0no in rounC
numbers. One further reference il
may be worth while to make in or
| der to get a good understanding 81
the meaning which lies behind these
! stupendous figures
! The deposits in the nationa,
banks in May reached nearly SIS,
100000 900 and it may have been tn,
| deposits to which Judge Gary re
( ferred in his optimistic address al.
! though he was quoted as having
/ referred to resources. A year agt
| the deposits in the national bank:
were s1,5oo,oo0.oOo less than wer,
the deposits in May of this year.
What II All Means.
In the first place this oficia
| statement from Washington of tbs
! condition of the national banks oi
| the United States goes far toward
| justifying the belief OF Henry P
| Dawson and other bankers that thu
American banks can so mobilize
| so coordinate their resources anc
| act in such perfect cooperation
that the needs of Europe will bt
| met without difficulty whether
those be as great as s1o.o o00. 900
which is a sum named by Frank A
| Vanderlip or from 100000 900 e
81. 0oo 900. 600 which represents the