Evening star., 1921-08-28
SOME SIGNS OF BETTERMENT:
MORE ADJUSTMENT NEEDED
Business Vitally Interested In Tariff and
Tax Reform-The Disarmament Con-
ference-Action Needed.
BY L A. FLEMING,

o1 l. A. FLEM1NGs
There have been some factors that
made for encouragement Of the tired
business world during the past week,
but 1t still requires faith in the re-
Operative powers of the American
people to look forward with growing
confidence into the future. and many
people are possessed Of that faith.
encouragement came from the
northern agricultural section. where
from the cotton sections of the south,
where the shortage in the crop is
giving promise of larger returns in
actual cash.
Further satisfaction was found in
the money market. whore the reserve
selves exceptionally strong, with
largely reduced obligations and ready
for any new demands that might
come from business.
Wall street, for days and weeks and
months . market In which only the
hears and short sellers have been
able to mako . dollar. gave what
appeared to be q notice that values
were either at the bottom or grind
ing along the sand. It may have
ter Friday than for many a day.
But back Of that is the fact that
many industrial corporations arc
still going through the sweating
process, paying on loans when they
slowly reducing inventories that have
strained their resources to carry.
This would seem to indicate that
while sentiment is better, actual facts
have to be considered for many weeks
to come. SO that . substantial re-
t. lral~ tPA "a q
of liquidating has gone further to-
ward the depletion Of stocks. the re-
duction Of wages where they have
not been liQuidated and the lowering
OF rents and the cost Of living gen
orally.
In eome setions Of the country the
public ID buying q little more freely.
In others only as actual requirements
neceasitate. and. as q general rule.
with conservatism. and q determine
II is also q fact that some retailers
are still working on old stocks at
prices which discourage. rather than
taking the cut-price method OF get
ting rid of old stock and pushing new
goods at a time when new goods may
be wanted.
Business men. as a rule. are not
satisfied with the tariff measure as
it passed the House. 1t would be q
matter to satisfy even q ma
ority, but in this case the majority
seems to be against the continuation
the current year and demand
that the measure be retroactive SO as
to be effective from January I, 1921.
Merchants and manufacturers insist
that this is ore OF the essentials to
recovery. John G. Shedd. head of
Marshall Field & Co.. declares that
industry and the public at large will
hA
will promptly and ably revise our
tax laws, effective January 1, 1921"
He also holds that transportation
rates must be lowered. but that the
capital in the great transportation
systems must be enabled to show q
profitable return. The rules govern
ing the working hours and pay OF
workers must be changed
80 that the tremendous existing
waste of man power shall be elimi-
mated. which in itself would warrant
much lower rates and yet permit the
railroads to operate profitably."
Everybody also seems to agree with
70 the Const4tutioa should be sub
mitted to the states seeking an end
Of the privilege OF issuing tax-free
a. the flow of Investments
Into these securities takes much Of
the new money from the Develop
portation 1ines-
Just how the tsrfH bill win emerge
from the Senate remains to be seen,
but business men express confidence
that some radical changes will be
made before 1t IL sent back to con-
ference with House eonferees.
Railroad earnings are increaang.
the gains have been made in net and
not in gross, which suggests failure
In the matter Of maintenance and
eGuipment which must ultimately be
remedied.
Dun's Review finds hopes Of fur
ther gains in business strengthened
Ind sentiment more confident" as the
more definite evidence Of bettermeat
IN iron and steel. The situation still
leaves much to be desired. but the
trend 10 In the right direction. and
sentiment Is increasingly cheerful A
-ise of SO Q bale featured the specu-
at1ve cotton markets" and the south
will profit thereby.
Ranks aAA 1ankinE.
It has been ths dullest week Of the
rear at ths banks and here the prom
- Of increased activity has some
hing substantial Tor its basis in the
'eturn Of many business men from
heir vacations ana some Improvement
n the demand for financial accommo-
lations.
washington. despite the dullness,
las q number of Interesting develop
nents under way in the banking line.
Progress Is reported In the forua-
ion Of the Bankers Trust and Mort
age Company, with prospects for a
all for an additional 50 per cent on
Itock subscriptions in the immediate
'uture. 1t is not believed that the
rust company win be ready to open
or business untu November.
It Will start business In the build
Ag adjoining the New Willard Hotol
n the = street side, formally occupied
y the AerchantS Bank, and rsuain
hero until the completion Of its per-
nanent home. in the big business
lock to be erected by Willard on the
ast side Of 14th street between G and
I streets northwest
MercAants'' Bank.
It u understood that the Merchants
bank will soon be housed in the
sortns.n s,n .3. buadias perm.nsntiy r car
lat1sfact1on OF the bank.
Plaa View Iastitutisn.
Tho business men Of Woodbridge, d. |
:. win hold . meeting next Tuesday
vening at Odd Fellows Hall, 1ls4 |
rhode Island avenue northeast, At 8 |
'caocak. for the purpose of discussing |
no details Of q new financial institu-
ion which IL planned tor that COM
nunity. The people of that vicinity |
Re said to be deeply interested in !
ho proposed hank.
Ana Stm They Come.
Persistent stories Of q new trust |
ompany are current on 18th street |
orthvest. despite the fact that the |
anturo WA auunosed to hHya heon
turned down" rSther hard not % |