Indiana daily times. [volume] (Indianapolis [Ind.]) 1914-1922, 1920-01-01

In norman times OF peace tney mlgn
States is emerging triumphant, and
These troubles, which have so greatly
retarded return to normal conditions.
have not been confined to any one coun-
Try. They have virtually been world
wide. But in the United States they
we're emphasized by the fact that Europe
had been looking to this country to take
leading part in the rehabilitation Of the
worlds trade and industry.
The delay over the peace treaty, which
eliminated in the United States in the
rejection of the treaty by the senate in
November, created an atmosphere OF I'M
certainty which was felt throughout the
whole realm of business.
WORLD KNIT
CLOSE TOGETHER.
The war had brought the United States
and Europe more closely together than
they had ever been before. Consequently
developments in industry, business and
finance have had closer reciprocal effect.
when 100000 coal miners went on strike
In this country 1t struck the chill fear
of coal famine into the heart of Europe.
When the clouds of bankruptcy doomed
upon the horizon in Europe American
bankers began active operations to help
stave ii off,
Labor unrest, accompanied in some
quarters by threats CT bolshevism, has
caused apprehension in both America and
Europe Hasty steps have been taken 20
combat 1t on both sides of the Atlantic.
The fears were about equally divided.
Europe knew that tie-up of American
industry would prevent shipments of
I goods that Europe must have If she is to
recover And America knew that indus
trial paralysis in Europe would choke off
reduction that must be forthcoming IL
commerce is to be stabilized and the ex-
change rates restored to normal.
BUSINESS GLUTS
u. S. FACTORIES.
Here, then, was the situation in brief.
American factories were glutted with or
Gers from at home and abroad, but labor
would have to be brought back to con
tented frame of mind; ships must be Sc
cured; exchange rates must be equalized
so that an English pound sterling would
be worth S4.s6 in the United States in
stead of less than 81, to which 1t had
dropped; credits must be arranged so
(. that the needed raw materials could be
secured by Europe In the United States
without immediate payment. Those were
the big problems upon which the cap
tains cf industry and finance were at
work ct the end of this year.
The high cost Of living has been a
problem everywhere and has contributed
to the general unrest. Coupled with high
prices was A general increase OF tn xation,
adding still further to the popular dis
r satisfaction. There Is little likelihood of
a return to pre-war conditions for long
while. When congress opened it was
estimated that 1t would cost 5000. 900 900
to run the country through the coming
fiscal year.
However, these were difficulties which
4.
naturally adjusted If production were in
creased in every branch Of activity-in-
dustrial and agricultural
COOPERATION IN
WORK NEARS.
There has been a curious intermingling
of business and politics in this connec-
ton but there are now evidences of CO.
operation between the two factions of our
national life In an effort to allay national
unrest, which, IL not checked, might prove
fatal to both
American business interests have been
doing their utmost to take advantage of
foreign trade openings. not only in En-
rope, but In the orient and South Amer
lea Large difficulties have doomed up
here, among them one that has never
bothered the United States before in all
OF Its commercial history; that is, the
balance of trade During the last few
months 1t has been shown that the trade
balance in favor of this country has been
running forward at the estimated rate of
50, 100000 a year and there is no
ilminution in sight
In the single month of October 13, $50 675
bushels of wheat, valued at $50, 01o, S72
were exported. In the ten months up to
Nov l, s793S14,O20 worth of breadstuffs
$77443,702 worth of cotton, and $1,OS5,-
1929 worth of meat and dairy products
were exported from the United States
All of these figures show big gains over
the same period of last year
FARM PRODUCTS
WORTH 81 600, OOO,O00
1t is estimated that the farm products
this year approximate $1,000, 900 900 in
value. Corn led the cereal crops, but the
cotton yield was one Of the shortest in
volume and medium grades in the recent
history of the country.
europe has not got the goods to send
10 this country to stabilize exchange
rates. II European factories and farmers
We're producing in large amounts their
exports to America could be used to
meet the cost of our exports to Europe
and the exchange rates would fall to
the pre-war level. The English pound
sterling dropped last month to $685.
which Is just dollar below It's pre-war
value
The gold standard has already been
suspended In most Of the European.coun-
tries.
In the meantime Europe is calling for
iron and coal, wheat. corn, cotton. COP
per, meats and manufactured products.
American, British and French econom-
ic experts have united in predicting dis
aster for rope unless there is a change
from prest At conditions.
BANKERS MOVE
* TO AID EUROPE
Steps have been Nken by a group of
bankers to remedy This state of affairs.
natSonal committee on European finance
has sEp4fJEhed with Harry A. Wheeler,
>CleeSgo banker, at It's head, to study
European problems
One complaint of economists is that the
American people do not give sufficient
consideration tot the dangers of the inter
national situation.
Despite strikes, hampered production,
excessively high prices and uncertainty
over peace problems, this country is en-
joying prosperity. United States has q
bumper wheat crop this year of S.471 900,
bushels, against 9f7, Toe, 600 bushels last
year. The corn crop was bigger, too,
being 2,910, 100000 bushels, AGAINST 2.5s2.-
S14 900 bushels in 1918 The oats cron
was about S00,000,0OO bushels lower than.
/ 1913. while the cotton crop. fell off about
n ,345 GOO bales from lal Z However. laxae
years cotton YIELD bales.
w &ptiRnall Never.