The Bridgeport times and evening farmer., 1919-04-21
NAR ROW
 5B&00TG "A FASHION FlLM - oNE REEL--
HENRY CLEWS'
 WEEKLY LETTER

Announcement of terms of the Vic &ory loan gave decided encouragement to the financial community The most important feature was that the loan would be only $4,50O, 100000; not $s.ooo, ,oo0,000 or S7,000, 0,000,OOO as once feared. There is every reason to believe that the loan will be a bril- liant success It's relativey short period, BIZ years, is much in it's favor, as it will give the-bonds increased sta tbnfty, Another attractive feature is the higher rate of interest 4z per cent, so that with the conversion priv iilege and the partial exemption from taxation added, these bouds constitute a prime investment, the safest and lbestin the world On its merits alone the issue should be promptly taken, and there is no doubt that the loan commttteesin, charge of the drive will profit by past experience and make it ca grand achievement.
 Business men should particularly support the loan, for they are in a bet ter position than ordinary investors to appreciate the necessity of reliev- ing. the banks from the burden of car rying this loan. The banks performed splendid service In the last loans with out compensation. They have carried the government during the interval between bond issues by taking on vast amounts of Treasury notes, which have been dealt in in sums sufficient to anticipate the present loan. It is advisable for business men to help relieve the banks of this huge burden in order that these institutions may perform their legitimate function in fostering industry and commerce.. Business has been materially restrict ed during the war by government ab- sorption of banking resources, and in proportion to public subscriptions to these bonds business will become more active through the release of funds for legitimate borrowing.
 For some time past our big lending institutions, particularly those lending on real estate, have kept out of the money market There is reason for stating that these restrictions will soon be withdrawn and a better market established for real estate mortgages The supply of housing room, especially in New York, is much below demand, and a decided revival In apartment and office build ing is already within sight. The more comfortable position of the money market as a result of Iesssned gov ernment pressure will also affect other industries favorably. Many new en- terprises and improvements have been pigeon-holed for months owing to the war, and these will now be released. The chief hindrance to their launch ing is the ma1adjustment of capital andF1abor, which can only be rectified by mutual cooperation. To that end a better understanding on both sides is necessary. Wages are high, but employers do not wish to reduce them as long as the cost of living continues at the presentpleVel.s They do, how ever, ask for a. fair day's work for full days pay, without which pros perity is impossible. Today the whole world is suffering from economic famine created by war. There is no cure for that famine except increased production, and there is no means of securing increased production and prosperity except through hard work by both capital and labor. To capital and labor alike the road for return from war profits ant,Ear wages t. nor mai conditions has been ceedingly rough and emoraESing; infiicting a degree of economic damage that will require considerable time and pa tience for recovery.
 Tn spite of such drawbacks there Is confident undertone in financial circles. Agricultural prosperity this year will be unexampled, since in any event food is bringing high prices, and in the case of wheat our govern ment has fixed the price at $2.26, which means a subsidy or extra profit to the grower of about a billion dol lars. Clothing is also high, and our cotton and woolen mills are antiCipat- ing a heavy demand; the concessions in prices at first hands a few weeks ago hBving sta ilised the market and stimulated demand. Building mater ials are already hardening in antici- patton of a real estate revival Copper and some of the principal metals are naturally suffering from lower prices resulting from stoppage of war or ders and an enormous leftover sup ply. This depression, however, will be but temporary. For petroleum pro- ducts there is an enormous Consump- tion in prospect, with corresponding prosperity.
 Our foreign trade is gradually re- turning to normal, and while our commerce with war devastated re- Rions will require time for restoration there Is no reason why a larger traf- fic should not quickly ensue with South America and the Orient. where new opportunities await the adven-