New Iberia enterprise and independent observer. (New Iberia, La.) 1902-1944, 1920-12-04
A CRIME COMMITTED.

/ wish to call attention to an
article published in the Times
Picayune Of Friday, Nov. 26th,
entitled Federal Reserve Dehatiou
Plans, and which article is this
day reproduced in the Enterprise.
TO any right thinking mind il
would show very plainly that
there has been a process Of De
fation carried on by determined
action and in an unfailimg way
and at a time when it has done
the greatest amount Of injury.
That time when all farmers were
about to harvest crops, all Of
them without a single exception,
expecting to realize at least far
prices and looking ahead to a Ger
tain amount Of prosperity to
which we all have a right.
Further in the article men
toned, we read Of the views Of
different fnancicrs accepting and
trying to explain this forced de-
dation and giving liberal advice
and encouragement This is too
late for anything like that and
does no good. The German Army
over-running Belgium has never
created any more alarm in the
hearts of the people than has this
forced dchation in the heart Of
every farmer and business man
of this section All were taken
uupreparcd and why not, money
was free and easy less than SIX
months ago, with all kinds of IN
ducements being offered. Surely
there was no financial pressure
then, and up to the present time
all big financial institutions are
showing as sound condition as
year ago. Would it not have been
proper and really merciful that
this defation be delayed until the
next Spring, allowing crops to be
sold through habitual channels
and then advise in terms that
could not be mistaken that a
complete reversal had to take
place. The worst however has
been done. 1t has developed a
storm. business hurricane. 1t
is no time to scatter but rather to
hold fast until the shifting Of the
winds.
Alexis VOORHEES,
Realizing the keen interest felt by
everybody in the results of the deflation
process, which has carried prices fer
practically all the staple productions of
the South below the cost of production,
Governor M. B. Wellborn, Of The Federal
Reserve Bank Of Atlanta, recently ad-
dressed a circular letter to bankers and
business men throughout the district
served by his bank, asking for their views
on the situation, and on the success of
the means being used TO meet the tinan-
eial pressure.
Governor Wellborn has received let
tiers from all parts Of the South from
prominent bankersi lnclualnR lHtSteStLhS
communications from leading New Or
leans bankers The views of the local
financiers will be particularly interesting
at the present iuncture, as all write in a
hopeful vein, without minimizing the eff
feet Of the deflation process they predict
an early return of normal business con-
ditions.
w. r, Irby. president, Canal-Commey-
cisl Trust and Savings Bank, New Or
leans, writes "The present situation is
caused by over-expansion, which is he
natural accompaniment of unusually high
prices, and seemingly unlimited demand
for everything at these prices. The back
ward swing of the pendulum was in
evitable.
The resources of this section are ample
TO meet all the obligations and carry for
ward the necessary work, but it is pos
sible or proper to attempt to liquidate all
obligations within a short period of time. |
consider that the only thing neces-
sary for the proper readjustment of our
financial condition is patience on the
part Of the creditor, and a unstinting de-
termination on the part of the debtor TO
reduce his obligations by the conversion
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