Atlanta tri-weekly journal. [volume] (Atlanta, Ga.) 1920-19??, 1921-11-15
SURPLUS Of MONEY
EXPECTED IN i. s.
EARLY IN NEW YEAR
BY BYRON ELLER
LEASED Wire Service to The Journal.)
(Copyright 1921


(Leased Wire Service to The Journal.)
Copyright, 1929
NEW YORK, Nov. 13.-There will
be a glut of money in the United
States by the middle of next Jan
uary. Leading financiers declared
today that they expected by that
time call money would be available
at three per cent. This plethora of
money available for loans by the
banks and trust companies will re-
suit, bankers declare, from the
liquidation of so-called frozen cred
it's and from initiation of the curren
cy during the war years-which has
not yet BEEN contracted.
Business men all over the country
are paying off their loans, estab
fishing themselves on a firm credit
basis. This. is clearly indicated by
business dispatches a received from
various sections within the last
twenty-four hours. Money will be
available for commercial Industrial
enterprises on <@asy terms. Even
now the necessity for, and the prac-
tlce OF, hand-to mouth buying is
passing, but the United States still
faces the danger of hand-to-mouth
production.
In nearly every line Of industry,
stocks on hand are far below nor.
mai. Production also is far below
normal. But the general tone of
business is improving and that i'm
proVemeHt is gathering momentum.
each day. Demand shortly will be
far in advance of the ability to- sup
ply it from present stocks. A grave
danger exists that before various in.
dustries could speed up production
sufficiently to meet demand, a short
age will develop which would again
send prices rocketing, places articles
out Of reach of the average buyer
and bring about further stagnation
of trade and industrial conplica-
tons.
A general and comprehensive Pc
sumption of production, therefore is
not only the paM Of wisdom for all
who are able to resume, but is an
essential safeguard for business
prosperity in the immediate future
In urging such a policy upon the
producers of hardwood lumber, w
l.. Ritterg of Columbus, Ohio, for
mer president of the Hardwood Lum
Der Manufacturers association, out
lined the situation clearly as fol
lows:
IF the hardwood manufacturers
do everything in their power to have
sufficient lumber to adequately sup.
ply a normal demand, it will be
most unfortunate. If there should
be shortage, it wMl be the manu-
facturers who will suffer most and
hardest. One effect would be mar
ket instability-a period of skyrock
citing prices-which would be inju
rious to the best interests of pro
ducers, for it would tend to a poi
icy of getting all the traffic would
bear, which is not a sound policy.
"A wise policy Of production must
necessarily involve a wise policy in
respect to labor. Just as it is. Diet.
rimental for lumber prices to go too
high, SO, too, it is destructive for
wages to go too low A fair and
just policy toward labor should avoid
wage scales based too much on I'm
employment conditions or the neces
sites Of labor. A fair and liberal
policy is the part of wisdom.
In view of the conditions regard
ing present stocks, production and
future prospects would like to urge
a prompt and general and wide
spread resumption and accentuation
of production based on firm faith in
future conditions with view to get
ting stocks up to normal volume as
promptly as possible and the adop-
ton of policy designed to preven
excessive price mutations such as
were experienced under the influ-
ence of the auction market Of late
1919 and early 1920"
Mr.. Ritter indicated his belief in
his own teachings by ordering each
Of his sixteen mills to get back to
normal production as soon as posi-
BILE. The situation outlined in con
nection with hardwood lumber is
equally applicable TO every other line
of production. The days of buying
for immediate needs only are passing
swiftly, but unless there is also d
cessation of production for imme.
date needs only, the return to nor
NAL business prosperity may be still
further delayed.
In the meantime merchants are
counting on sane and profitable
holiday business, which in many in
stances is expected to solidify profits
and turn which, has been an fndif
ferent year into aSfairly satisfactory
one