The watchman and southron. [volume] (Sumter, S.C.) 1881-1930, 1921-01-05
MORE WORKMEN
THAN JOBS
Price Recession Enlarges Army
of Workmen Without Jobs
FEDERAL RESERVE
ISSUES STATEMENT
Board Gives Review of Business
Conditions. Commodity Prices
Declined Eight and One-Half
Per Cent Last Month

Per Cent Last Month
Washington, Jan. 2.-Further de-
cline in price coupled with Increased
unemployment accompanied the cohn-
try's continued progress In >readjust-
ment during Dccem ember. according to
the monthly review Of general bus
mess and financial conditions issued
tonight by the federal reserve board.
The price decline during the month
was placed at s l-2 per cent by the
board which added the observation
that the decrease IN prices was main
ly confined to commodities which had
shown q decline previously rather
than an extension of price cutting
10 other Industries.
'fhe decline was reported as liS)st
married. ia ugriculturai products, FIX
tiles hides. leather and iron and
steel products, Will, coal petroleum,
gasoline, paper, brick and cement he
n ained largely unaffected. Some fe-
duc,tons were reported In the open
market in the latter group Of com
noditics, the board said, but con
tract prices appeared to De ut the
same level rs IN earlier mouths.
Hed1crd bns.ncss activity, thr
hoard stated, cut operations in many
lines from 20 pnr cent. 70 -. per
cent, of normal and brought. accom-
pa'Wins uIeinp.oyRie The shrink
age OF demand. the board reporte d .
$50 WAS responsible for wages cuts
'rJnnise rs high as IS per cent, In
sE,pcsiites. 49, t' - = -
EMaing pewerl on the othor ,hnad
was We'll maintained. the board as
tried. nOrrnol credit accommodation
extended To legitimate business, the
reserve ration growing stronger aud
inter-reserve borrowing in part
liquidated. With liquidation of loans
a the member banks beginning, the
board forecast better conditions.
business in wholesale and 1frfssnaI-
facturing lines WIS reported inac-
I'VE in the Richmond district 'bjtii,l-
ing operations a minimum and
unemployment prevalent but signs
Of Improvement are noted.
Most Of the. cotton crop has been
arvested in the Atlantic district,
hut Is being largely held, while
farmFr9 generally feel the effect Of
low prices. other markets In the
districts are quiet, coal production
has increased end lower prices Of
pig iron have not produced any
great Amount Of business. -"
Thgpughont the cotton belt rains
rave delayed. picking to some extent.
while in some sections farmers are
reported to be abandoning because
or the decline in price and the rela-
tive scarcity Of pickers, together
with the high wages demanded.
There has been considerable dcte-
rioration in the quality OF the lint
due to the wet weather. and the
bulk OF the ginnings Is reported to be
grading below middling.
Movement Of cotton has been rela-
lively slow. receipts showing a sharp
AID 80 unreasonable falling off. In
some sections 1t Is reported that
sellers have complained that they
were unable to sell their cotton at
any price unless It was OF superior
grade. However. cotton farmers In
many. sections show a. tendency to
hold 'as much as possible Of their
crop off the market in the hope Of
an advance. Considerable thought
has been given TO the reduction OF
next years acreage.
The tobacco situation has shown
but very little change. Opening of
the Western dark markets i'm Ken
lucky was disappointing to the
farmers because of the prevailing
low prices together with the de-
creased demand.
in the Richmond district, the re-
port says. "the farmers have shown
q tendency TO sell their off color and
poorer grades, apparently holding
Their best tobacco until after the
no days in the hope Of better
prices Export demand for leaf to-
hacco is very small while manufac
turers stocks are reported large and
'heir purchases have been kept at
minimum. The slackcning OF de
mahd FOR manufactured goods con.
t'nues with the result that some fac.
tories are closed while others are
running only part time. The de-
crease In demand is most noticeable
In tho case Of cigars and the retail
crs orders are. falling off in con-
sequence.
N'houch . rjr!,' iltyc,-, in IN,
'h'Ih' OF roltot bN N"t, tr..laq4
i"'''' o"N o'"'ur.d Nlrin. iuc last
month purchases have been below
normal, while mills i'm the Carolinas
are said ito have been out of the
market sfor some time"
In view OF the limited demand and
the size Of the crop. it is not SUR
prislng that price declines have been
continuously recorded New Eng
'and mllls are estimated to have
n"cn operating at even lower Capac-
ity during the middle of December
than during the previous month and
IL In stated I'm CASTOR county, North
Carolina, where the fine yarn indus
try of the Richmond district is large
lV concentrated tho p,iIl, b,,c