Eagle River review. [volume] (Eagle River, Wis.) 1890-1927, 1920-12-31
U. S. FINANCES
ON SOLID BASE
Nation win Weather Any Storms
of Future, Say the
Experts.
NOW AT The TURNING POINT
Banking Head, Secretary of Treasury
and Comptroller of Currency Will
Iiams Have Optimistic Message
on Financial Situation.

Washington, Dec. 28.-The nation is
safe financially. 1t will weather the
storms of the future. 1t is better able
to care for itself than any other ma
ton on the globe. The United States
is the greatest financial and economic
power Of the world now and will con-
tinue to WELD that power far into the
coming years.
This was the holiday message given
in composite form to the people by
Secretary of the Treasury Houston,
Governor Harding of the Federal Re
serve board, Comptroller Of the Cur
rency Williams and others.
Optimism features all of their ex-
pressions in summing up the year 1920
and the business outlook for the new
year.
Banks and business concerns, in re-
ports to these guiding forces in gov
eminent finance, discount the impOr-
lance Of the few recent bank failures,
present unemployment, which is adj
mittedly great, and business reactions
which are noted as result of the
credit strains incident to reimbursement
back to peacetime basis.
Transition through which business
is now passing, these officials said, is
uncomfortable and involves possible
loss in some directions, but they all
contend that it is healthy process"
far more helpful economically than
continuation of the mad race In prof.
iteering," the chief factor in the inf1a-
ton evil, now sought to be checked.
These officials were frank to say
that some lines of business may be
expected to pass through further rig
Orous readjustment and reorganiza-
ton, but expressed confidence that
transition will be accomplished with
out undue strain upon the present
strong banking structure"
In a financial sense, the war is not
over, these officials agreed. The fs-
cal situation at home and abroad is
disturbed by failure to fix the German
indemnity.
Secretary Houston placed particr
lar emphasis upon the handicaps that
have been put upon other nations by
the failure to determine earlier the
amount Germany must pay.
Listen to this very carefully worded
observation Of Governor Harding:
'"The transition through which the
community is now passing, while nee
essarily uncomfortable, has thus far
been accompanied with only mini
mum of the unfavorable symptoms de-
veloped on other occasions.
'"The close of the year 1920, in spite
of the fact that in. some branches of
economic and financial life there is
still much progress to be made before
reaching definite basis for further
growth, must be regarded as the turn
ing point in the process of transition
from conditions produced by the war
to the normal economic basis of inter-
national and industrial life.'
Secretary Houston and Governor
Harding both said that the year has
been a period of decided advance in
the process of readjustment, conse-
quent upon conditions which the war
brought upon the world.
Washington, Dec. PA gross def
cheney in national fiscal transactions
of So, 1OO,0O000O this fiscal year and
$1,50O,O0O,000 the next fiscal year was
forecast by Secretary Houston in
speaking on the soldiers bonus bill.
He said the government must find
new sources of revenue and incur no
new burdens.
Considered aside from the public
debt, Mr. Houston said, the ordinary
receipts for this year should exceed
ordinary expenditures by about $780,
100000, and next year the excess
should be $556,000,OO0 These sums,
however, are inadequate to take care
of the interest on the public debt,
which is about 81, 200, 100000 annually,
Mr.. Houston said, as well as the in
terest on the current floating debt and
the total laid aside annually for re-
firing the public debt.