The public ledger. [volume] (Maysville, Ky.) 1913-1968, 1921-12-31

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oovsry a manu| Icturs and trad ~
been alow. Une|1pIoynent In thz clllek
countries shoTD little decline from
the high pcint reached early In The
year. and It nay vsll feach new high,
figures during llnhry and February,
when normally there is an increase in
the number q those out Of WORK II
North America 4nd sEurope. Manufac-
tured gooda con(lnue to move sIowly
and uncertainty into the channels Of
consumption fi5
In last analysis, the business Of the
world rests on q physical, not fin
ancial foundation. Failure of balance
beteween worldwide supply Of and
effective demand for physical goods
forced the violent readjustment Of the
last two years; a readjustment which
will not be complete until this phys
zeal balance has again been estab-
lished. M
The wool situation Illustrates par
ticularly we'll the various factors
which have prevented return to nor
NAL conditions. 1t has Continued to
accumulate, partly because central
Europe has not been able to purchase
in the, expected amounts, partly be-
cause an important phrt fthe wool
Isupply is q by-proddct, and partly
because the building IN Of flocks is
so slow a iprocess that flock-masters
reduce them only when they have
given up hope Of profits.
With curtaifment of production and
increased demand, copper stocks are
showing reduction. The short Amer
lean and Egyptian cotton crops have
served to bring the worlds cotton
supply approximately to a prewar
normal. Stocks Of hides and skins are
large in many countries but are NOV
| ing more freely into consumption. The
price Of rubber and sugar are still
below the cost Of production. Sisal
stocks carried over from last year
now constitute nearly two-thirds of a
normal years supply. The worlds
wheat production is in satisfactory
state Of balance in that there. is an
adequate supply and sustained de-
mand. The American farmer, in the
face Of a new corn crop Of S,152,0OO,'
900 bushels, is carrying over 2S1,0Oo,'
900 bushels from the record crop o.
I1s2O. There is also an accumulation
in other less well-known commodi'
ties.
This accumulation Of physical good
| Is not misfortune. 1t assures to tn
world supply Of cheap food any
clothing, and real prosperity hd'
never rested on any other basis. b
producers Of raw materials consF
lutte much more than half Of the bur-
| ing power of the world, and the CT
|clusion is inevitable that the en4'
economic structure will gradually r."
| lust itself to the raw material n
ket.
|, The essential step toward recof "i
is removal of the burden Of expel
ures for war. The countries w.
|are wasting their money and enc ,ai,
larmaments are those whose md my
must absorb the worlds excess Y
materials, and pay for 1t With Ae'
fractures. LII.
. The terrific burden of war idTu
and preparation for war is
: shown by data recently prepa VI II,
4 the Federal Reserve Board. TN io
, INC = ,ooo 80 a total ed b.
lie expenditure by Great BIZ por
1 elias, 92S, 900, S0.5 per cent e' ! w
-, .rs AK hahn 0
puo 80 so,orse. h, Fere TO
VIZ 40, on mn fr er cent
o per cent, we're for public deb l 90
and 5O7 per cent, were fo1 90, -.
! defense. In 1919, Italy's to enc. e.
d Iexnenditures were 32,150, lO ia''o.
sApo .on, wera hl publi
J. debt charges. and 1873 pei wv ~,
n national defense. German " p'
q ures In 1920 were 6 'e"' -.
= marks, 14.5 per cent. being eAp pea 80
u'p. w for publ
Fl Expenditures for the pa{ ~
e terest and principal Of ting
n d not curtail current hen. VI
n rh., ,,.ro,v tram public deb
r curtailment occurred whe pu, :.
place the debts were incq CT ~
: Iitary and naval purposes III ~ -
e | expenditures for national
: stitute q direct levy Of Da' CUR %
7 purchasing powers of |aeienoe ~
y expended to make gun 'ne
: rines can not pay for Peop'e' iaoo
: gentina or wool fro Az anu su'a
Ell It is too much to ues i'o'" ~
-t.s.,..hron,sr ~ a ralia.
: blow, but in so far as pc " '
Q may be attained, the a'''eA' - o.
! real hope Of recover Pncre'e '''u'''
e nomic stagnation oner inc ni'
y combined. saving by rom 'ns Wv
n the United Kinsdoi tne "o'u
e ornaments Of only un''so o'A's
; single year Is equi sno 'spaa y
war value Of the ex 'OoVvV'ov0 ~
: 10 ,hres vears rs ofwooI from
s--ssass'z's isiralIa for near
9 {-