The gazette-times. [volume] (Heppner, Or.) 1912-1925, 1920-12-02
THE SLUMP.


There is, we are told, slump" in
business. Prices have fallen and are
falling: the numbers of the unemploy-
ed are increasing; and there is talk in
some quarters OF hard times. There
fore some Of our captious friends of
what Is presently to be the Opposition,
seeking solace for their election
smarts, exploit these things to the
nth degree. and demand to know II
we regard them as satisfactory results
OF the Republican victory. and II. in
case there had followed Democratic
victory. we would not have charged
them to that partys account; to which
we cheerfully answer, both yes and no.
We have never been inclined to at
tribute, as fully as some have done,
great economic changes to the partisan
results of elections, unless the elections
In question turned chiefly upon great
economic issues. For example, II the
tariff were the ISSUE and the result OF
the election meant a reversal o. policy
from protection to free trade or vice
versa, we should expect important eco
nomic effects. But in the late cam
palgn and election there was no such
dominant economic issue. and there
fore we do not consider all the changes
which are now occurring or are likely
to occur as due in any way to the re-
suit on November 2.
In one respect. indeed they may thus
be attributed namely. the fall In
prices. That which is surely not to be
considered an unwelcome or undesir-
able change. may be in measure due
to the Republican victory. That is be-
cause the coming of that party into
complete control of the Government Is
recognized to mean change in fiscal
policy which will make an end of the
processes of imitation which have un-
wisely preailed under the present
Administration. and which will lead
directly to liquidation and to a return
to normal conditions. Anticipating
that. no doubt many business concerns
are making haste to get in on the
ground floor" by being among the fore
most to get back to rational standards
To that extent we are quite willing to
regard the slump as a satisfactory
result of the election.
Beyond that, however. thoughtful
men must realize that the present pro-
cesses In business have or nothing to
do with the election. but are part of
the natural and inevitable progress of
events following the cataclysm Of the
great war There must be reaction
from the imitation, and 1t is unpleasant
to add, the pronigacy of war time
That reaction will doubtless be marked
with fall OF prices, with lower wages
and with decreased demand for some
forms of labor, and with an apparent
decline of prosperity, chiefly of the
prohteering type. 1t would have come,
soon or late, just the same IL the Dem
ocrats had won and II Mr.. Cox had con-
tinued Mr.. Wilson's policy, We have
only to recall what happened at the
close of the Civil War. There was
great imitation, with high prices and
prosperity for few years. In 1872
Grant was reelected and a continue
tion of his policy was assured Yet
there followed one of the worst finan-
clal crises and business depres,fons in
all our history. That was not because
of his re election. but in spite of It, and
because of other influences.
So 1t Is at the present time; though
we have no idea that the slump" is
going to be anything like as serious as
some are predicting. The decline Is
chiefly seen in quarters where imitation
was most marked Many employees
are being thrown out in some quarters,
but there is an ample demand for them
In others. There Is business depression
In some cases. but on the whole there
Is and will continue to be prosperity,
which will be all tho more wholesome
and substantial because we shall have
got rid of the specious and spurious
prosperity Of wartime proflteering and
imitation.