The Lakeland evening telegram. (Lakeland, Fla.) 1911-1922, 1921-11-07
New York. Nov. 5. 1921.

New York, Nov. 5, 1921.
With the railroad strike definitely
h disposed of, financial conditions have
naturally shown a tendency toward
betterment during the past week. The
economic side of the approaching
arms conference assumes more and
more significance, not only because Of
Its bearing on taxation but also in
its foreign exchange aspects. Con-
gress is being strongly urged to pass
the international Debt Funding bill
and there is fair chance that the
measure may be adopted prior to the
opening of the conference. This
should give our representatives a
very large bargaining power.
The Sales Tax Gaining Friends
There has been decided growth in
the strength of the sales tax plan in
congress, and while it has been tecl.
nicaily beaten on the floor, the de-
velopment of a strong support in that
body greatly increases the chance of
substituting some form of ii before
the work of the conference committee
CT the two houses is over. AS a re-
suit of the addition of high surtax
rate and still other amendments tend
ing to make the administration of the
income tax even more oppressive, dis
satisfaction has become much more
pronounced in many parts of the
country. Accordingly members of
congress are now searching for some
alternative which even at this latv
day might serve as an acceptable
plan that has been worked out during
the income tax discussion. The point
at which most serious uncertainty
prevails today is in connection with
the attitude of the administration, but
the bill as now before congress has
departed so widely from what had
been planned by the administration
that the hope OF securing the adop-
tion of anything like the original
measure has long since been given
up.
DailrOad Developments
The railroad stocks have OF course
shown the good results OF the renef
from strike threats. Owners, how
ever, are very desirous to find out what
is to be done regarding the question
of rates and wages. Informal plegdes,
given by members of the railroad La
Dor Board, seem likely to stand in the
way OF satisfactory adjustment OF
the differing points OF view as to labor
expense. 1t appears likely that a
sort of promise to defer further con-
Sideration OF wage cuts until several
months from date has been extended.
II this is actually the state of affairs
Notwithstanding that rate cuts are eX-
pected to become operative in the
near future, the effect upon the net
earnings of the roads may be unsatis
actly what the outcome of existing
conditions will he. Meantime, the de-
mand for the adoption of the railroad
funding bill continues to be active.
Business OH the Upgrade
The monthly business report of the
Federal Reserve Board, made public
this week, points to a general growth
all lines of activity, although basic
manufacturers are not in as forward |
a condition as businesses producing
finished goods Particularly hopeful
is the fact that prices are apparently |
reaching much more stable or nor
NAL condition than any that has pre- |
vailed for a long time. There is an
increasing degree of activity in retail
trade in almost all parts of the coun-
try which grows out of the larger pur
chasing power placed in the hands of
farmers through the sale of their
crops at good prices. During the
past week, copper shares have re-