Indiana daily times. [volume] (Indianapolis [Ind.]) 1914-1922, 1920-12-31

changes as were witnessed in 1929 cui-
minated in acute financial disturbances,
followed by prolonged business depres-
sion In this instance, the banks, largely
due to elasticity OF credit provided by
the Federal Reserve system ar to their
foresight in accommodating ample re-
serves, have maintained their essential
strength and capacity for service.
by the combinat ton Of clear thinking,
bard working and courageous acting, l
believe that greater rewards will come
to this nation, and that. in response to
the combined call of duty and oppor-
tunity, service and profit, which the sit
uation offers. there will follow constant
II expanding powers OF service which
should mark the goal of every progress
Sive people"
THE first thing to understand about
this depression" said George r. Roberts,
vicy president Of the National City Bank,
is that it is not confined to the United
states or to the products of this coun-
try. 1t is worldwide and is an effect of
disruption Of industry and trade by the
war. We have a country of wonderful
resources and are in a better position
to stand Il than most other countries.
FARMERS LOSS HITS
ALL BUSINESS.
"Other people cannot buy of us until
hey are producing goods they can trade
10 US. And just as the world is interde-
pendent in trade, so are We at home inter-
dependent in our various occupations. The
farmer has been hard hit by the decline
in prices Of his products and his loss of
purchasing power affects all the indus
tries. The Department of Agriculture
estimated the value OF our farm products
for 1919 at nearly S25, 600, 900, OO0--about
a third Of all the wealth that was pro-
duced in this country that year. The
value of 1920 farm products probably was
less by one-fourth or one-third.
Industry, like world trade. cannot
prosper unless it is in balance. The
various classes of producers must receive
compensation upon approximately a
stable and uniform basis. or there can
not be free circulation and exchange OF
products. II farm products are to stay
down, prices and wages in the other in
dustrieS will have to come down also. or
there Will be q great amount OF unem-
ployment. The industries cannot run
full time unless the goods can be sold,
Therefore, employers, wage -earners ana
merchants should cooperate to reduce
the prices OF other goods to correspond
.
wages and prices come down togetheS
nobody Will be worse of This IS the
secret Of getting industry started again.
We have 4 country Of boundless re-
sources and there is plenty OF work 10
be done and IL will 20 ahead as soon as
the natural balance between the indus
tries is restored"
The business year 1921 can be faced
with confidence, according to L. G.
Kaufman president Of the Chatham and
Phoenix National Bank, which has So
GOO accounts Of firms doing business
throughout the country. because Aneri-
can firms have had the foresight to de
fate.
Manufacturers. wholesalers and job
Z bers are past the peak Of liquidation.
be said. Their speed in getting back
I 10 a pre-war basis has been amaziuG
But I am not so sure all the retailers
+ have been 50 prompt to give the buying
Dubl-c the advantages Of manufacturers
and wholesalers cuts"
Mr.. Kaufman said he believed that be
f fore 1921 is ha'f gone. the whole coun-
/ try would witness revival 81 bushes.
along normal lines
+ James :. Alexander, president Of the
+ National Bank If Commerce. believes