The Morning Tulsa daily world. [volume] (Tulsa, Okla.) 1919-1927, 1921-10-01
SOME FACTS REGARDING OIL.

II IN really amazing. the amount OF theory
INDUCED In regarding subjects OF vital concern
when substantial facta are available AL 'he
while II seems at tmes that there !" no SUB
,.ct ao abused by mere theory as tho subject OF
oil. Men engaged In the business worship the
ory and either dcspiso fear facts
No matter what theory or prejudice may as
,,r, the OIL lndustry is subject to precisely the
same general laws OF economies as IL every
other Industry. Important factors may ana
undoubtcaly do exert diaprorortonato lnilu-
cnee on tho oil industry; but not more 20 thah
IA true Of every other industry ana interest In
the nature of things there must be balance OF
power ia every human undertaking and activity
But after an is said that may in justice ana
common sense bo said, one gets back to the
lnmutablo fact that general economic laws
control in apltc OF artificial elements attempt
at control
when lcCAtion spts iu tand the shadowa OF Ia
approarn v.orr dlsccrnnhlo many months IN ud
vance OF lno ovcuD no thinking mlnd but know
that a. would eventually embrace every prop
criy value cNtaut The talk ot an oil shortagc
az that time. when Oh stood aa the one prop
or,y not yet affected puerho In the eN-
trcmc Fully as nhsurd was the argument that
oil would not respond 20 the banetul effects ~
initiation Initiation Va caused not by anything
that occurs TO commodity, hut comes stealth
ny as a result Of the changes occurring In IN"
yard atick or the measure which is used to dc
tgrnine ALL commodity values, Reference Is
had Of course. TO money and 20 credit. There
fore Initiation corrodes everything precisely M
defatlon corrodos evcrythtng
When deflation hegau In earnest the oil in.
a,,.,rv ala not respond as It should have done,
N4s.N.a act fF he
absurd belief. apparently. that oil values would
not depreclete. Thus the daily production OF
the Mld-Continent ncld actually increased from
week 10 week In face OF the eaaily ascertanable
fact that demand was decreasing at an even
greater rate.
Thus on september %. 1890, the daily pro-
ducuon estimate Tor tho preceding week stood
o., ge5325 barrels. That marked tho high peak
or daily production And values were tumhHng
into chaos AN about Nothing had escaped.
Nothing could escape II is apleudid tribute
20 tho inherent worth ~ oH Investments that
petroleum values withstood the assault as long
as they ava But thcy must urrds yield. No
value known TO man remain steady when
the demand for tho commodity ON which such
value is based Is declining ana the supply OF
that commodity Increasing az an enormous
rate. Gold and diamond values would trcmblo
aud finally crash down under such pressure
precisely as did the price OF crude petroleum.
Of wheat, OF cotton. corn. Iron and an other
commodities which go 10 make up the fabric
OF American commerce
It was inevitable that all property should
register the effect OF defiation ana depreciation
before any commodity could be expected tn re-.
cover sanely and CONSERVATORY HAD all IN,
various Interests involved promptly written OF,
their losses accepted the shrnkage as enevi
table and reeaiied their financial alignments ae