The Chattanooga news. [volume] (Chattanooga, Tenn.) 1891-1939, 1920-12-11
PICTURE. OF ECONOMIC
CONDITIONS In N. DAKOTA
Gov. Frazier Explains Situa.
tion and Cause Of Recent
Bank Failures.
(BY LYNN J. FRAZIER, Governor OF
North Dakotai Written Expressly for
tho International News servIee.)

! odlh Il dhulCb
(BY LYNN J. FRAZIER, Governor OF
North Dakota; Written Expressly for
tho International News servIee.)
Bismarck. N. D.. Dec. ll.-At a meet
ing held In Bismarck on Dec. 7. bankers
representing banks In every county in
the state adopted resolutions setting
forth their views OF Industrial and eco
monte conditions In North Dakota. The
meeting at which these resolutions were
! adopted was well attended by large
number OF bankers from both political
factions. lnasmuch as they were
adopted unanimously the resolutions
are the most unbiased statements con-
corning the industrial and economic con
ditlons In this state that can be given.
| shall, therefore, quote the first para
graph OF these resolutions which reads;
THE financial condition OF the state
OF North Dakota Is essentially sound
and Its banks and the assets OF the
snme are more than sufficient to meet
any legitimate demand upon them
Temporary embarrn ssments only have
arisen through dwlndling reserves on
account OF low prices OF agricultural
commodities ma due almost wholly to
nationwide conditions accompanying the
period OF reconstruction"
Farmers In North Dakotn have been
Withholding their crops from the mar
kot awaiting some advance In prices,
which will more nearly approach the
cost OF production. AZ result they
nave not been paying their obligations
due 10 the banks. and this has resulted
In the closing Of banks which were UNI
able TO secure sufficient funds to meet
immediate demands though their assets
were much more than sufficient to on
set their liabilities.
The state bank examiner n,p an
nounced that In his opinion Il al iur-
ity of the banks thus far cloaau 81 II re-.
open.
The bankers OF the state in their res.
olutiOns of Dec. z, pledged cooperation
In the farmers program; mentioned the
bond issue by the state for the creation
Ing farm loans, for building state -four
mills and terminal elevators, and for
building state homes at cost for work.
ers. and approved their sale in the total
amount OF $G,200,000 in the following
words;
Nov, be It resolved. that these bank
crs OF North Dakota here assembled,
give their unqualified Endorsement and
approval OF said bonds and to the mar
keting thereof; and do hereby tender to
the Industrial commission their hearty
90 operation and assistance In selling
the same.
II is Of interest TO know that the
bonds referred to have been declared
constitutional by both the state and the
United states supreme courts.
Yesterday. In a railroad rate case,
the state department OF agriculture pro-
duced evidence that the larger part of
North Dakota's crop Is yet unmarketed,
the marketing of which will do much to
relieve the financial stringency.
IN this period OF decline, stock ex-
change and chamber OF commerce gam
bling was and is being used in an en-
dcavor to force the nations producers
of raw materials to absorb the losses Of
rendjustment. The attack was aided,
perhaps unintentionally. by the refusal
OF the federal reserve system to- give
producers credit assistance In holding
crops for prices somewhere near the
cost OF production.
A member Of tho board Of governors
OF the Ninth Federal Reserve bank, In
his address to the bankers meeting on
Dee. z. stated that liquidation in North
Dakota has been better than In any
other state In the Ninth Federal Re-
serve district.
The financial and industrial condition
OF this state Is unquestlonably sound
and business proceeds ms usual.