The Bridgeport times and evening farmer., 1919-08-25
HENRY CLEWS'
 WEEKLY LETTER

pany with other nations Is far moro disturbing than was the war itself Climbing up to new levels and adapt ing ourselves to new standards are usually processes of a painful charac- ter, and are necessarily accompanied with much inconvenience and fric- tio. This has always been so. The movement is both economic and psychological; economic because the industrial problem is largely one of supply and demand; and psych ologi- cal for the reason that the public mind after five terrible years of sor- row and suffering is irritable and very unreasonable. Under such con- diions 1t is perfectly natural for hu- man nature to react into all sorts of extremes, and these must be accept cd with forbearance. For the eco- homie difficulties, which are mainly those of supply, there Is only one cure, and that is, as Lloyd George candidly said, We shall never i'm prove matters until we increase pro- duction." As for the phychoIogical troubles, they are chiefly due to the abnormal state of the public mind; so we must keep cool and make the best of things.
 The whole world Is upset and hay ing Its fling; by and by it will quiet down and return to sober and more normal conditions. Doubtless there will be a new normal and a new level; and while unrest promises to continue for some time into the flu ture, there Is no reason for indulging In peSsimistic forebodings. As lust said, the period of reconstruction is proving more disturbing than the war itself; yet there is one great and en- couraging compensation-reco ton means progress, but war Is hell" The first justifes hope, the second plunges the world into de- spair.
 Cause and Future Effect of the Pres.
 cnt Low Value of the DolIarS
 The high cost of living, the neces- sity of helping to provide food for the rest of the world, the big wages paid to all who were engaged in manufacturing goods and munitions during the war, the scarcity of un- skilled laborers due to so many Of that class returning to their home countries in Europe since the war ended and the demands of railroad employees, mechanics and skilled la bor of all kinds for higher wages,
  ing power of tho dollar; and has still more lessened the purchasing power of foreign money. workmen of all degrees are demanding that railroad and industrial corporations give them not only higher pay but a share of the profits and a voice in manage ment. This problem is a most difi- cult one to solve and will require great wisdom for its settlement. To- day the United States is the money and supply centre of the world and 1t will be for a long time to come owing to the billions of money we have advanced to other nations. The outcome is difficult to even guess at as there is no precedent in history with which to base a comparison. The best way for employees to gain an interest in the profits of the rail roads with which they are connect ed, which they are now seeking to 1 obtain. is to adopt the same system that the United States Steel Corpora tion has for it's employees, that is, to make purchase of the securities of the various properties with which they are identified. Then they be- come virtual partners. That is the only way I can conceive of what will
 
 ton, and 1t is a perfectly feasible | and legitimate way. The quickes; and most effective way to put an end to the present strikes is for Congress to apply the provisions of the Sher- man antitrust law in relation to the 1 formation of combinations, for, wher employees strike, they certainly ope- | ate in restraint of trade. If the power to strike were taken from la Dor and it was superseded by boards | of arbitration. all questions between | capital and labor could be amicabIy settled without creating the unsettled conditions that now prevail
 | The Fall in Exchange.
 The exchange situation is growing ! more and more difficult; and rates have declined to new low records ov- | ing to the great pressure of con- | mercial bills, especially grain and 1 cotton. Sterling has fallen over | per cent; francs, 35 per cent; lire | A per cent, and marks nearly so | per cent. Our export trade is al- | ready feeling the deadening effect of | this grea- impairment of buying pow | CT; and unless some effective form | of relief .s found, serious injury will i Follow to our trade and shipping. Ii . ANui tlft dbtS not soon ODTaln the 1 sorely needed credit, reconstruction I abroad will be halted and turned into | industrial and political chaos. the ill | effects of which would be seriously 1 felt over here. Little progress seems | to have been made at washingtor with the Edge Bill, which permits the formation of American corpora- ttons to finance foreign trade. But i the American Bankers Association is | endeavoring to awaken public opin- . ion to action upon this problem
 which is vital to our foreign trade as . well as to European reconstruction ! upon which oEr continued prosper | ity largely depends One promin- | cut foreign financial authority has | suggested the formation of a coop | erative international pool for the sup | port of international credid His plan is for a loan of E5.OO0 OOo. 900 | ,ssued to investors in all parts of the world and guaranteed by all the in- ! tcrestcd governments. It is proposed | that the United States guarantee ' f1.OOo, OOO,0Oo. Great Britain f1,- : coo OGO. GOO. France e5Oo. eco eco, the [ remainder 10 be divided between Italy Russia. Japan. Belgium, Greece and several of the neutral powers