Evening public ledger. [volume] (Philadelphia [Pa.]) 1914-1942, 1920-09-13
BUSINESS ANGERED
BY CANCELLATIONS
Many Hold Union-Labor Default
No More Reprehensible Than
Trade Practices
EXPERTS CALL ON HARDING

Chicago, Sept. 13.-Cancellation Of
labor union contracts is regarded by
many as no more reprehensible than
many current cancellations Of orders by
business men. Many bankers and
other trained students Of business are
asking one another whether a satisfac-
tory economic readjustment is possible
without moral awakening. Those
who have recently visited Senator
Harding, frequently on his invitation.
are impressed with his ethical balance
and economic prescience. He appre-
ciates experts in all legitimate lines,
welcomes their advice and proposes to
act upon 1t. He has said so to them
often of late.
1t is understood that one Of the most
important Of his undertakings, IL elected
President. will be to reform the coun-
try's finances, probably by refunding
bond t,sue that will satisfy investors
and relieve the banks. and by placing
the government, which is itself the
country's biggest business, on a more
businesslike basis.
To Minimize Treasury Control
Eastern bankers have impressed upon
him also the Importance of removing the
Federal Reserve system further from
pohllCdl luuUtuNB. ne IWGlVt eu
eral Reserve Banks are absolutely under
Board. which. in turn, Is controlled
very largely by it's chairman, the sec
retary of the treasury, who thus has
more banking power than, 1t is be.
lieved, should be in the hands of any
one man. The President could appoint q
secretary Of the treasury with the un
derstanding that he would himself rec
ommend legislation, making him merely
an ex -oficio membe- Of the board In
purely advisory capacity.
The practical effect Of contract can :
cellations, apart from the disturbine
effect upon sentiment, Is to increase the
number of cross currents, of which
there are more than ever before, and
to aggravate the irregularity of bust
ness.
Although building contracts for the
country last month showed n slight in :
crease over July, the Central West
showing II per cent increase, the
August total, however, included 20 per
cent for residential building in the
Northwest against only 8 per cent In
the Central West. Contracts placed in
the Central West this year to date are
considerably less than one half the
contemplated work reported, while the
Northwest total is much more than one
half.
Retail Distribution Largo
Dun's Chicago Office says: "Retai
distribution generally is large and there
is noticeable the same preference fol-
articles of good quality, but the quest
for bargains is more searching"
Chicago bank clearings showed los:
for the week of 12.4S per cent com
pared with last year. The week.,
statement Of the Federal Reserve Bani
shows reduction Of SIT 1854 900 in Dor
rowing by members, but an increase O.
81 sol 900 in cash reserves, virtual,
all in gold.
Members reduced their rediscount
both on government and commercial
paper. Agricultural demands are in
creasing and the easier tendency i
supplied by mercantile concerns, chief
in liquidation of inventory. There wa
further expansion in note circulatio,
OF. $6,621 900 to the new high recor
of $55S, 1895, 900. The ratio Of reserv
rose to 43.6, compared with 423 a wee
5 ago.