The Bridgeport times and evening farmer., 1919-07-24
HENRY CLEWS'
 WEEKLY LETTER

guarantee of s2.26 per bushel; part of which comes out of the taxpayers pocket, and is therefore a shifting rather than production of wealth. The outlook for other crops is fair as to yeild; the chief disappointment being cotton, which will be much be- low the normal. or about 11,0OO,00O bales High prices, however, will more than offset diminished output, so the prospects of unusual agricul
 tural prosperity are undinmed. The wheat crop is roughly valued at over
 S2, OO,000,00O, and the entire har- vest at over SEQ. o,00O.000, which would go far toward meeting our na- tiunal outlay for the war. Interior merchants are stocking up with more
 confidence, though high prices and great credit expansion occasionally induce a desirable mixture of con- servatism. In the industrial field steel seems to occupy leadership. En- larged demands for export, for rail-
 roads. for oil. shipping, building and other industries are inevitable, and a number of plants are running 70 per
 cent. of capacity and over, which is
 more than at any time since the loss
 of war contracts. Building is be- , coming more and more active owing 10 urgent demand for housing and 1 office room; and the call for new in dustrial plant is only less urgent than might be expected because a large part of war construction on these lines Is being taken up by peace in dustries. Conditions in railroad traffic are improving; the volume in the grain districts having already visibly increased. In merchandising lines summer quiet temporarily pre- walls. but preparations are in order for an active fall trade. Labor is well employed. despite the large number of men back from the war. The unemployed are few, and advices from many directions report a scar city of help which is undoubtedly true. A considerable number of alien laborers are returning to their Iiative l lands, and more are expected to fol- { low. but not SO many as extreme esti- i mates indicate. The outward move nent is swollen by those held back during the war. The certainty of securing better work and wages here than in Europe will. however, be a deterrent upon any excessive efflux. The high cost of food, clothing and shelter is an important factor in the outbreaks of unrest which appear here and there in the form of strikes. Such conditions are the inevitable | result of five destructive years such ! as the world never saw before or ever ! ina Rined possible. The only effectua1
 cure for such famine Is more i economy and more product. Only on such lines can the worldwide vacuum be filled. Unfortunately the world is turning its back for the time being upon sane thinking and sound action. It Is still sorely confused by ! the multiplicity of half-baked ideas: | is prone to extravagance and un- | willing to relieve the situation by larger product or more work. Inda-
 ton does not seem to have ran it's , course by any means. and high prices coupled with imperative reconstruc- ton insure prosperity for many . months If not several years ahead. AS [ long as the movement is so guided as l to prevent serious ma1adJustment and
 10 preserve fairly normal balance in the various divisions of industry, there Is little immediate danger. Con- | servative leadership will prolong the present wave of prosperity; while | reckless expansion would bring 1t to
 a quick end.
 l Gcrmany's Future.
 CTermany's resumption of trade may
 be rather slow affair. In the first place. German purchases from the United States will be restricted at first to sheer necessities. because Of inability to pay in goods or EoIS [ Our purchases from Germany will for
 some time be small because the hos tile prejudice among consumers makes it hazardous and unprofitable ' to carry a stock of German wares. This. applies to other countries even , more than the United States One of
 the most serious questions will be : that of credit, though it Is stated
 that a loan of 25 to 50 millions could
 be arranged at once Germany, how z ever, is facing difficult times, calling 7 for much hard work and sacrifice. 3 There is talk already of passing the
 interest on her public debt, which if
 really done would amount to repudi- alton or confscation, and serious em- t barrassment of many leading finan- cial institutions. There is, however
 one compensation, even for Germany,
 apd that is relief from the costly bur
 den of militarisrn which finally
 wrecked the empire. That alone will T materially aid the recovery of Ger = many when her people are ready to , adapt themselves to the new condi- tions and ideals which dominate the
 world.
 Weakness In Foreign Exchange. ( OTtlBn eACAdlSe continues un- settled and weak. Sterling agair , touched the lowest on record, ana a francs and other foreign bills did n likewise; the decline, of course, beins - due to the abnormal condition of oui V foreign trade. The tremendou: 4 pressure of exports and the slow in
 crease of imports show few. symp
 toms of abating. There is still mucf
 discussion about financing expor
 trade during the present emergency s but no satisfactory plan of adjust l. ment has yet been reached. Europe i, must have our food products ant :, | crude materials, reconstruction
 will stop and disorder, revive. Fo1 . our own good as we'll as that of war o torn Europe we will be obliged t, . | send considerable of our surplu | abroad oS.credit. No attempt at sup
 porting sterling seems to be forth |, coming; British bankers. is tn m custom preferring natural law to ar
 l tfhcial regulation. In London bank .- ing circles there is a disposition t a allow sterling exchange to fall in or