The Mankato free press. [volume] (Mankato, Blue Earth County, Minn.) 1879-1924, 1920-02-06
John n. Rich, the Federal
Agent, States Case
NORTHWEST SITUATION
Transportation Conditions Not
The Best; Mills and Factories
Are Operating
ASSOCIATED Press Dispatch.l

month of January Of impending
changes in the very high price levels
which have continued for a long
period. Efforts to market merchan-
disc have been more vigorous, sales
have been more numerous, and ad-
vertising more extensive, according to
a statement made by Federal Re-
serve Agent John Fl. Rich. Some
price recessions have resulted and in
a limited way, there has been a
marking down on certain classes of
goods. The result is not SO inter-
esting in connection with any reduc-
ton of consequence in the cost of
living, as it is when considered in
its relation to probable conditions
during the next six months. Some
change has undoubtedly occurred, and
indications are that it will continue,
exercising corrective influence un-
on high prices, and encouraging a
gradual return to a more reasonable
basis. Upon the other hand, there
is a heavy shortage of production,
and the transportation system, over
the entire country, is heavily over
burdened. Mills and factories are
employing all the capable help they
can obtain, but it is clear that con-
siderable period must still elapse be-
fore production catches up with the
demand. Progress is undoubtedly
| being made, and some authorities
| are strongly inclined to believe that
price levels by July will show
changes of consequence as compared
with the present time.
The Transportation Situation.
! In the northwest, the transporta-
ton situation is serious. The amount
of empty car equipment provided at
terminals for the movement of grain,
| -four, and other important commodl-
ties, was very limited during De-
cember, and has improved to only a
moderate degree since then. Country
elevators, terminal elevators, and all
the larger interests are in urgent
need of relief. The general shipping
situation is still suffering from the
effects of the coal handlers strike
at the head of the lakes, which has
seriously delayed the distribution,
| of coal to interior, points. The
process of dj.strib ution in
fact, has not yet. been completed,
and it has beeni difficult during the
past thirty days to keep up with the
demand from the country. The ma
| ton wide coal strike created many
unusual transportation problems. and
necessitated shipment of railroad fu-
ell over abnormal routes and to ab-
normally distant GpOints. This drew
heavily upon the car supply at a
| tine when available car equipment
was needed to handle other business,
and the resulting difficulties have
been reflected back into the North
west in the form of very light sup
ply of empty equipment coming
| through the Chicago gateway into the
states of the Ninth district, and small
relief through the Omaha gateway.
| The larger cities in this district have
Teen compelled to rely to very
large extent on such empty cars as
could be obtained through the handl-
ing of incoming loads.
improvements in the traffic situa-
ton resulting from mild weather
during the latter part of December,
continued during the early part OF
January, but was followed by heaVy
SHOWS and colder weather, which al
though it has not impeded traffic TO
the same extent as before, has still
put a burden on rail transportation at,
a time when a free movement is ur-
gently needed. ...
The Labor Situation.
Sufficient work for call who care
to work." using the words of labor
union official, describes the present
labor situation in this district, ex-
cepting for occasional instances
where owing to local conditions, en-
ployees in a particular trade are
temporarily out of employment. From
the labor standpoint the year should
be a favorable one If the bulldlnS
program that is ahead materiallzes.
Recent Investigations show that al
Minneapolis, St. Paul and Duiuth,
the three large centers of this dis
trict the normal, building program is
short 1880 residences, involving
construction cost OF not less thah
SAC, 100000 This condition is re-
fiected in higher rents and an al
vance in real estate values through
out the district in proportion TO the
size of the community. The shortage
of housing is proportionate to the
sluggishness of construction. work
and increases steadily from month 10
month. At the larger centers resi-
dence construction is at the present
time far below normal, although
there has been throughout the WIN
ter so far much activity in the con-
struction of flats and apartments.
In labor circles there is much as
cussion of the cost of living, and
more thoughtful men are inclined TO
take the position that there must pc
increases in wages or an increase IN
the purchasing power of the dollar.
Radical propaganda is widespread
and is making itself felt.
The industrial situation in the dis
trict remains about the same as dur
ing the past few months. Factories
are running full time and booking
all orders they can fill, while there
is a continuous demand for a larger
supply of skilled labor Individual
production is not increased to any
great extent, although an improve
ment is noted in some of the larger
concerns. A number of important
industries have been giving especial
attention and study to the problem
of Industrial relations, and in many
plants new plans for closer relation
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