The public ledger. [volume] (Maysville, Ky.) 1913-1968, 1921-11-23
MONEY AND MARKETS.

Business 10 better and sentiment
throughout the country reflects cour-
age. Such progress as has been made
by the business community toward
normal conditions results from q real
ization that artificial levels OF activity
will not again be reached In any
periad near enough to AFFECT the
problems OF today, and from deter
mination to practice economies OF OPP
Grafton more rigid than heretofore
thought possible. The need OF per-
son effort and economy Nv also being
Increasingly recognized In giving a
days work for days pay and In care
az TO personal expenditure, Business
men and executives now recognize
that henceforth they must give the
most thorough persona lattentlon and
application to their enterprises.
Some part fthe recent gain In bus
mess Is unquestionably result OF
seasonable demand. Permanent i'm
provement depends to large extent
on foreign buying power, and even
more on the adjustment Of conditions
under which the farmer operates. The
last three years have clearly shown
that the European situation can be
stabilized only by the political and
economic efforts OF the countries con-
cerned. Domestic conditions can be
bettered by steady determination on
tn epart Of corporations and individ-
uals to secure greater economy. This
will result in gradual readjustment Of
the burden Of price inequalities now
resting on the farmer.
The unsatisfactory situation in ag-
riculture dominates the business out
look. In the cotton states the rela-
lively high price OF cotton has encour-
aged the farmer, but uncertainty both
as to demand for cotton goods and as
10 the size of the admittedly small
crop has minimized the beneficial eff
'ects of better prices. Farmers in the
grain states will hardly break even
On 1921 operations at current prices
Of corn and wheat. While it is true
that the prices Of goods used by farm
ers have fallen, they are still we'll
above the 1914 level. Grains as all
close to or below prewar prices. In
III efact of these facts, the contention
Is not we'll founded that the farmer is
refusing to buy, thereby de-
laying the return of better times.
The farmer represents about half
the consuming power Of the United
States. The prices of crops are de-
termined in the international market.
and there are no reasonable grounds
for an expectation of marked increas
es in those prices at an ytime in the ,
future. Reduction in the
prices Of what farmers buy would
have exactly the same effect as higher
prices for agricultural products. 1t is !
futile to contend that because of high |
labor and transportation costs the
prices of other articles and commodi-
ties cannot decline to the level of ag-
ricultural prices. If ways are not
found to lower the prices of all class |,
es of goods which they need, and |
would like to buy, by means of lower
money wages, higher labor efficiency,
cheaper transportation and lessened |
costs, the farmers them |
selves will not suffer greatly, but bus
mess of all kinds will be forced to |
operate on restricted basis.
In the period Immediately ahead,
will face the most Sc
we're competition in generation. 1t
Is now clear that many important in
1ustries are seriously overbuilt, when
measured in terms of effective demand
here and abroad There is no method
BY which competition can be avoided,
but there are methods by which It
IAN be successfully met. Overhead
charged should be rigidly examined
md cut to the lowest point consistent
with productive efficiency. Costs /