The Birmingham age-herald., 1921-08-08
Most Important NeWs Of Past Week Came From
 Famine Stricken Russia
Stage Is Now Being Cleared and Set for the Dsarma- ment Congress to Be Held in November Business
 World Is Slow to Believe Outlook Is Brighter

seHerally 10 restrain the speculative outbreak that impends may be taken TOT granted, but the opposition to this policy is growing and public opinion may compel it's abandonment now that President Harding $ boastlng of the reduction in the re- discount rate as one of the things that his administration has done tor business, and Ex Comptroller Vii iams testimony before the agricul- tural committee of Congress is at tracting ration wide attention The sensational character of MT. Will Hams statements and the effort that Governor Harding of the federal re- serve board made to answer them with his fists is in fact almost the only really exciting item in the do- mestc news of the week
 It is the abnormal that inspires the scare heads to which we became accustomed to during the war and normalcy is now general rather than exceptional In American business. Making allowance for the decline in prices the volume of business is rather above last year if bank clear ings and department store sales fer June are reliable indicators. The former are 15.6 per cent under 1920. and the latter as reported by the federal reserve bank shows de- cline of only Il per cent, the per centage in both cases comparing with an average depreciation of 40 per cent in market value.
 Money is in abundant supply at from 5s4 to 6 per cent for the best commercial paper, and the demand for high class bonds continues. The $500, 100000 treasury certificates of- fered at 5A to 51a were three times oversubscribed and Liberty Bonds have been slowly rising.
 Liberties to Advance
 As money declines Liberty Bonds are almost certain to advance and there is every indication of lower interest rates. The stock market has been dull. but steady Price changes are not important or significant. The railroad stocks continue steady with tendency toward higher prices, which reflects the improvement in net earnings and the gradual bet torment in the financial condition of the transportation industry.
 The demand for lower freight and passenger rates is. however, becom ing more insistent day by day and if the railway managers are wise they will heed 1t. Great dissatisfac- tion is expressed at the action of the interstate commerce commission in refusing to allow Henry Ford to re- duce rates on his railway more than 5 per cent each 30 days. It is re- called that an advance of about 50 per cent over night was permitted and shippers feel that 1t Is poor rule that won't work both ways.
 Secretary Mellon is apparently trying to compel government econ omy by asking Congress to spend less or raise more revenue by ad- vancing letter postage to three cents putting two cent stamp tax on checks and a federal license tax of s1O on automobiles The probabil ity is that appropriations will be re- duced, for the congressman that votes to increase taxes will probably lose his job in November, 1922,
 MT. Fordney's tariff bill seems to have been -chloroformed in the Sem ate. Whether it will survive the capital operation to which it is there to be subjected Is doubtful. There will not be much grief over it's de- mise, for in its unpopularity it IS unique.
 The prevailing opinion is probably expressed by a friend who said that if Congress would readjust taxes, re, duce railway rates and go home' business would boom. This is too much to hope for but we may at least be thankful for a temporary respite from new legislation.