The Washington herald., 1920-02-23
OUTLOOK STILL
COMPLICATED
Process Of Deaation Not as
Pronounced as Condi-
tions Warrant.
RAIL BILL HELPFUL
First Constructive Measure
Should Be Followed by
Others.
RAIL BILL HELPFUL

A tight money market generally
affects the stock market before any
other and, IL long continued. Wall
Street has to give up funds FIRST.
before the country's speculative
business yields at all. Liquidation
Of securities accompanies the milk.
ing process, and IL carried on too
fas wholesale unloading Of hold
ings follows. All unfavorable. fac
tors then become impressive, and
IL the situation is clouded with 9TH
ed adverse problems besides the
lack Of funds. real liquidation by
investors may take place. This
point had been reached on the
Wednesday before Lincoln's Birth
last hour OF that session there ap-
peared to be some selling from
what is called strong boxes, fore
casting a much more serious situ-
alton. This was happily arrested
the day after the holiday, and the
price list has since advanced-the
rails, after long periou OF droop-
ing, being most improved.
This latter improvement is due TO
the proposed railroad bill, which
VIII be the first constructive rail-
road legislation enacted for years
While very deficient in provisions
for rebuilding railroad credit and
making available the vast sums
needed to get the roads into POSI-
ton to adequately care for the
country's Business. Il is neverthe-
less a step in the right direction.
and on this long look ahead some
speculative uplift in the railroad
list has taken place. The task Of
restoring the railroads TO any such
basis Of prosperity as exists in
some of our best industrisls is an
Herculean one.
The credit situation does not ap-
pear TO have greatly improved, not
withstanding that the restrictions
put In force by the Federal Reserve
Board-higher rediscounts and ra-
tioning of credit-have been in force
for a month or more. Higher re-
discount rates may have ito be put
Into effect. Meanwhile. nothing is
being done TO stop the outgo of gold,
nearly s1lo. 900. 900 having been ex-
ported in the last nine weeks. cor
respondingly reducing the gold re-
serve. Nor is anything being done
about refunding the Liberty bonds
at higher interest, which would
distinctly relieye the situation.
The technicG Position of the mar
ket is better. but the credit and
money situation stand at present as
an obstacle TO much Improvement.
mo- ha
has been some liquidation evident in
merchandise and commodities. due
to high money. to difficulty in re-
newing speculative loans on mer-
chandise, and to more cautious
buying by jobbers.
Farmers and Labor Unions.
So far the farmer has been rather
coy in meeting the fiirtations and
wooings OF labor unions in their
campaign TO get him committed to
joint action. The view of these two
classes as TO hours Of labor is
diametricRlly opposed. 90 The labor
unions are constantly working for
shorter hours and less efficiency,
while the farmers creed. by force
of the unalterable laws Of Nature
with whom he is INCREASINGLY con-
tending makes him the advocate Of
the longest hours and the most
strenuous efficiency. NJ. 3. K Hib-
bard, economist in the Wisconsin
College of Agriculture, shrows how
unreasonable il would be for the
farmer to adopt the eight-hour day:
In the first place. It would be
impossible TO sat a time for be-
ginning or quitting work on the
farm. All sorts Of things. like the
weather conditions and the time Of
the year, influence the farmer in his
work. Eight hours, day at GER
tain seasons of the year would not
get the farm work done.
Farmers will work from daylight
to dark during the haying season
or at threshing time in order to
get their crops in while the weather
Is good. II 5 o'clock were quitting
time they would run the risk OF
having part OF the crop ruined. Then.
too. the farmer is working for him.
self, and by voting shorter hours
for farmers in general he shortens
his own hours, lessons the amount
of work he can do and decreases
his income that much W ithout ben
citing anyone.