davidaulloa/AmericanStories huggingface dataset:
New-York tribune., 1921-03-27
To Continue Silk Syndicate
.Japanse Government Votes AID.
ditional Credit

The. Imperial Silk Syndicate in Japan.
which has been holding the price of
raw silk at basis OF 1900 yet bale
for Shinshu No. l, will be enabled to
continue its operations, according to
a cable received from Japan by the Silk
Association of America yesterday, say
ing that the bill delegating the govern
ment to give the syndicate an addi-
tlona! loan of 30,000,0O0 yen {si5,000,-
0o0) had passed the Diet
To date the syndicate has purchased
$4,000 bales of silk. 1t began opera
tions last September, following the
dropping of Shinshu No. to 100 ven
per bale in July. The peak price for
this grade on. the Japanese market was
reached in January, when it touched
1850 yen per bale.
New-York tribune., 1921-03-27
Court Refuses Pleas of
ID. & r. G.. Stockholders
Stay of Confirmation of Sale of
Road Not Granted; Cash
Bond Demanded

DENVER, March 26.-Application for
a stay of confirmation of the sale of
the Denver & Rio Grande Railroad to
the Western Pacific Railroad COMPANY
was denied by Judge Robert E. Lewis
to-day in the United States District
Court: The court also denied the ap-
pllcation of stockholders for permis-
sion to file bond of 100000 in lieu
OF cash as guaranty of good faith in
asking stay of confirmation.
Confirmation of the sale of the road
at auction last November for $4,000 900
to satisfy a judgment of bondholders
was not given. A further hearing on
confirmation is to be held.
The stockholders were given until
March 25 to make their deposit of
100000, which was made a REQUIRE
ment to reopening of bids for purchase
New-York tribune., 1921-03-27
Financial Items

The Guaranty Trust Company OF IN N.r
2S 1t will be prepared to deliver AZ -
trust department, i4o Broadway. IN -. %.
change for its outstanding bankers
ceipts for Bethlehem Stesl COMPANY
ffteen-year per cent marine equipn,snas.
trust certificates due 1895. tho defsMs efaps
certificates of this issue with coupons o''
April I, 1921. and subsequent attached.
The Mechanics and Metals Nationssss
Bank has been appointed registrar for ths
capital stock OF the General Syndics'''
Inc.
The Guaranty Trust Company OF ~
York has beea appointed trustee unos.
the Thomas Healy indenture of morttsss
dated March Is. 1891, securing an ausno..
lied issue of $3.50, 900 par value nret Nvss mossst
gage per cent gold bonds. due Astss
New-York tribune., 1921-03-27

we NUM- at random lot the "luckyS
strike" rather than tackle a painstak-
ing investigation. In new country
of fabulous natural resources and in
technical fields in which the simplest
scientific facts had but recently be-
come known, the "lucky strike" of the
prospector and the "happy though" of
the wizard" brought so many stratlinp
results during the past half century
that we came to depend upon them.
But our primeval forests, our virgin
soil and our rich mineral lands have
been 50 thoroughly explored and ex-
poited that chances for "lucky strikes"
have been greatly reduced.
With this chage of circumstances
has come the need for research-pa-
tient, systematic, untiring, ingenious
pursuit of natures hidden principles
concerted endeavor to win new facts
from the unknown. To meet this
need the satisfaction of which is vital
to the country's continued progress,
engineering foundation and other en-
dowed foundations have been estab-
lished, governmental technical bureaus
have been created, funds for fellow
ships have been given to our uni
versities and enterprising industrial
corporations have built, equipped and
manned laboratories.
II truth. were known most of the
lucky strikes" and HAPPY thoughts"
would be found to have been based
upon the tedious hard work of the sup
posediy lucky one or of those who had
preceded him.
During the war, and for years before
It, Germany had been conducting sys-
tennatic researches in all fields of science
and applying the results to military
and Industrial purposes for national
supremacy. Budding genius" was rec
ophized and given special training and
opportunity. knowledge from all
sources in the world was accumulated,
classified and made quickly useable.
In response to requests of the United
States War and Navy departments for
ventions and suggestions for devices or
processes were received. Among this
mass those that were worthy even of
csusideration were but small frac-
tion Of ! per cent of the Offering, and
those that proved really useful could
have been counted by a child in
Scores of thousands were
HAPPY thoughts" proposed in blissful
ignorance of simple scientific facts.
Other thousands lacked novelty be-
cause their authors did not know
What had been done, perhaps long
,efore. and had no readys means for
indinx out.
Fortunately there were few Ameri-
.an and English and French and italian
scientists and engineers who had not
'een depending on "happy thoughts"
lone, but far from the limelight and |
lnnoted in metropolitan headlines, in
aboratories and in the field, had been
earching for the facts of nature and.
he principles Of science.
Humanity's debt to these scientists
nd engineers can never be known, but
heir work would have been impossible
they had not been given support--in-
dequate as it now appears--by bcnevc-
ent foundations. Athe universities, the :
New-York tribune., 1921-03-27

Ever since the passage OF the Hep
burn law in 1906 and the amendment
of 1910 giving the commission power
to suspend advances in rates the COM
missioners have been the supreme regu-
lators of 100000 miles of railroad.
The transportation act of 1920, gen
orally spoken of as the Esch- -Cummins
act, enlarging the membership of the
commission from nine to eleven and
greatly increasing its powers, imposed
for the first time a measure of re-
sponsibility. 1t gave the commission
power to grant or refuse permission to
any railroad to issue stocks or bonds
itself, or to guarantee the securities
of another company.
Not only can the commission deny
an application to issue and sell securi-
ties, but it can deny in part or grant
in part such permission and make such
notifications and such terms and con-
ditions as the commission may deem
appropriate, and may issue supple
mental orders, modifying previous or
ders.s This virtually gives the com
mission the right to say how, when
and where any railroad company can
raise money and to continue the power
Of supervision indefinitely.
Can Regulate Rates
i
both maximum and minimum rates, and
it can prescribe the division which
shall be made of through rate par
ticipated in by two or more railroad
companies. 1t can forbid the consoli-
dation of railroad companies, and it
has interpreted the transportation act
as giving it the power to and duty to
lay out a scheme of consolidation of
railways into a certain number of great
systems. It's permission is necessary
for railroad extensions or for building
new railroad facilities, such as ter
minals. 1t can compel one railroad to
share its facilities with another. It
has jurisdiction over car service, and,
as corollary of all these, has both
mandatory and inquisitorial power over
the keeping of railroad accounts.
The most radical departure in the
transportation act is placing on the
commission the responsibility to see
that the rates that it prescribes shall
be sufficient to yield the railroads as a
whole in any one section of the coun-
try 51A to 6 per cent interest on the
valuation of the property, which valua-
tion, however, is matter for deter
mination by the commission itself.
There are two vacancies still to be
filled on the commission, but the nine
men now members are likely to retain
New-York tribune., 1921-03-27

cars to people Of smaller ,nesas. ussA
car outlet is still clogged. Reaction ~
new car buyers 10 to drive old cara
for another six months or year. This
slows up new car sales. Banking at-
titude is not as yet sufficiently favor
able to meet requirements of normal
retailing of cars. Every fndication
points to very large demand for auto.
mobiles as soon as buying confideuee
is restored and incomes and assets ars
adjusted to more normal conditions.
Franklin factory went on 100 per
cent production on February 10. e..
tail sales for that month exceeded pro.
duction about % per cent We pisn
producing more cars in the second half
of 1921 than in the first half Of tho
year, or about 80 per cent more than !.
the last half Of 1890"
Stocks Are LOsu
From ST. Louis r. E. Gardner 4,
vice-president Of the Gardner Motop
Car Company, thus told he sorry Of rs.
cuperation:
"Unmistakable signs Of steady i'm.
provement in the automotivs industrv
indicated by our March shipment Of
over double February and three times
that of January. For the first time in
SIX months we have a large number AZ
orders in advance for immediate shin.
ment. Territory north of Ohio and
east Of Mississippi, as well as the
West Coast, seems to be strongest just
now, with the Middle West sections i'm.
proving gradually but surely. Present
stock of cars in hands of dealers less
than one thousand, or weeks supply
Really believe there is quite a posi-.
billty of actual shortage of popular
makes for period this spring. Reports
from our dealers indicate retail sales
have increased in volume during the
last few months and at the time are
running ahead Of the factory production
This will result in the elimination Of
the entire stock on hand, and within
lew weeks. and we are now planning to
increase our production in April to
normal"
Out Of Detroit, the capital of the in.
dustry, wire of similar purport came
from William c. McAnneny, president
of the Essex Motor Car Company, who
said: Reports from our sources of in.
fforma alton all point to a very healthful
Improvement in the business. Our own
business reflects this condition. and
has caused us to increase our scheduls
for this month and to consider general
increase for the remainder of the sea.
son. Dealers are generally more opti-
mistic"
Also from Detroit, this telegram
from the Hupp Motor Car Corporation;
February production so per cent larger
than January; March double that Of
February. Expect so per cent increase
III April over March. These figures re-
feet our increased operations. Cars
are being sold regularly to consumsn;,
no stocks are accumulatiag
on dealers hands. Look for car short
age April, May and June. Our opinion,
looking at year as a whole, is that the
better trend is permanent, although
there will undoubtedly be reactionsry
no rindS :,
New-York tribune., 1921-03-27
Big ornaments Obstacle
To Recovery in Europe
Hartman National Bank Vice-President After
Survey, Finds Nations Decidedly Pessimistic,
industrially and PoliticaIIy-Travel Checked

lndustrially and politically Europe
is still decidedly pessimistic, according
to Charles f. Koth. vice-president and
manager of the foreign department of
the Hartman National Bank, who has
just returned from two months eco
nomic and financial survey of condi-
tlons in the larger European centers.
The chief obstacle to more rapid
reconstruction of the economic life Of
the people of Europe, he found. lies in
the heavy taxation policies of most
countries, necessary to maintain the
large military establishments, which, in
turn, are the result Of a wide diversity
OF political aims among the various ma
tlons tie believes that until the many
pending political problems are settled
in definite manner there is slight
chance of a real revival of business in
Europe or stabilization of foreign
exchanges necessary to Americas for
elgn trade growth.
1T may be safely stated" he said.
that general conditions in Europe re-
Gently, and probably at the present mo-
ment, continue in an uncertain state
politically, industrially and economi-
cally.
Military Burden
POLITICALLY and otherwise matters
continue In suspense awaiting the re-
suit OF measures to be enacted in diff
ferent parts OF Europe and accentu-
ated by the diversity in the political
aims and interests of the principal Eu-
ropean nations, all of which resulting
&c
tary establishments, which add heavily
to burdensome budgets required to meet
current governmental expenses and
wartime expenditures, and which, in
turn, are causing a taxation policy dis
astrous to business enterprise.
"lndustrially speaking, statistics seem
to prove that unemployment and labor
unrest are increasing in western and
southern Europe. AS to the outlook.
pesslmism is generally expressed, and
retrenchment policy to the point of
increasing shutdowns is noticeable,
especially in France and England.
where, partly owing to the recent heavy
deAation, capital is timid resulting in
scarcity of loanable funds.
Labor conditions in central Europe
tGermany and Austria) seem to have
undergone during the last year or so a
substantial Improvement, resulting in
increased factory outputs of satisfac-
tory quality, largely attributed to the
carrying into effect on a considerable
scale of the factor idea Of manu-
facture, whereby foreign consignments
of raw materials are turned into the
finished product under special agree
ments for foreign account.
However, the mental attitude of en-
ployers, as we'll as employees, owing to
the uncertainties of the political out
look. seems to be quite gloomy and de-
pressed, but it is generally hoped by
with the foreign repara-
tions committees will have been
reached, America will see her wav
clear to extend them financial support.
so that economic and political disaster
Germany's boundaries may be
averted.
New-York tribune., 1921-03-27
Who's Who on l.C.C
Power is Increased
Esch and Potter New Members of Body
Regulating Railroad Affairs
in Many Phases
BY William E. Hooper

FTSHE INTERSTATE COMMERCE COMMISSION power
the detailed Of American railroad
vitality respect president
the 1t probably has
detailed railroad
authority
subject possibly jurisdiction
matters Of law, whether railroad
unrestricted
by of the and stockholders.
New-York tribune., 1921-03-27
Spring Rouses Auto
Industry to Activity
Noticeable Improve ment in Production
Reflected in Upward Swing
of Stocks on Exchange

slumbcrng giant Of industry-he automobile trade-
beginning with activity again After the high tsnon
the middle Of last heean
industry by general business depression began
zephyrs spring disturbing this serenity Of
the by the stimulus from
he automobile
New-York tribune., 1921-03-27
Effect of Exchanges

Economically speaking, and with
particular reference to the foreign ex-
changes, those European countries en-
Joylng comparatively high level of
as much as those whose currencies
have become more heavily deprecated,
New-York tribune., 1921-03-27
Substituting Science for
Luck in Business Urged
Research as Means of Speeding Development of
Industry Coming To Be More Generally Adopt
ed in America as Factor i'm Holding Leadership
By Alfred D. Finn

Secretary Of the United Engineering Society
T lESEARCH much be the
United States hold its of leadership
nations Americans desire results upon getting
financial ncdentaly
large Sports with rapid
pep have long been
during the
New-York tribune., 1921-03-27
Normal

Another message of vibrant good
cheer came from George NJ. Graham,
vice-president of the Pierce-Arrow
Motor Company, who sent this state
ment from Buffalo, after returning
from trip through the West: 1--WE
have noticed within the last month
marked signs of recovery in passenger
car business. March orders will be not
less than 80 per cent of normal. We
now have three months business on
books and feel sure of reasonable and
steady increase. Response not so good
on motor trucks, although March shows
increase over two preceding months.
Truck business cannot be normal until
manufacturing plants, by again oper-
ating at capacity, restore full demand
for transportation"
And from Syracuse came these It'd
ings from A. G. Nancy. director of dis
tribution of the Franklin Automobile
Company:
Desire to own automobiles, par
ticularly high-grade cars, is greater
than ever. Normal tendency is to
purchase better cars, passing on old
New-York tribune., 1921-03-27

them Will in the Ssats eeetvensss sa snas
the transportation act. Four of the
nine are lawyers, one is an ex-railroad
conductor and brotherhood leader,
one is lawyer and ex-railway presi-
dent and two are college professors.
The chairman of the commission is
E. E. Clark, who as railroad conduc-
tor was grand chief of the Order of
Railroad Conductors and was a men,
ber of the commission appointed by
President Roosevelt 10 settle the an
thraclte coal strike. In his work on
this arbitration commission Mr.. Clark
| showed spirit of fairness and first
hand knowledge Of relations between
employees and employers which won
| the respect of the coal operators and
the public generally as we'll as that of
sympathizers with organized labor.
He has been conscientious Interstate
Commerce Commissioner and, though
not credited with rendered any de-
cisions of striking brilliancy, has the
respect of both shippers and railroad
men generally.
Next in power probably is John j.
Esch, who has just been appointed
commissioner and was chairman of
the House Committe on Interstate and
Foreign Commerce during the forma-
tion of the so-called Esch bill, which,
when combined with the Cummins bill
and modified. in committee, was passed
as the transportation act He had
been Representative since 1899, and
as far back as the passage of the Hep
burn law had been one of the most ac-
tive members of the lower house in
framing laws dealing with railroad reg
ulations.
another NesU One
Ranking with Mr.. Esch is Mark W.
Potter, who. prior to his appointment
by President Wilson was a corporation
lawyer, representative of Blair g.
Co, and was president of the Carolina,
Clinchfield & Ohio during the years
that the road was extended and devel-
oped into an important coal carrier.
Having been on the commission such
short time his qualifications for the
judicial duties of a commissioner have
not had a thorough test. In equipment
for his work, and especially in knowl.
edge of the complexities of financing
railroad, he stands out as a contrast to
most of the men who have been ap-
pointed since the commission was
formed in 1887.
w. M. Daniels was, before his ap-
New-York tribune., 1921-03-27

rates without the prior complaint of
either shipper or railroad company
would appear as an administrative func-
tion rather than a judicial one. Its
position has been recognized pretty
generally by the commissioners them
selves, and Commissioner Prouty in
some of his addresses has laid stress
on this fact and showed how the two
responsibilities were inconsistent and
acted as handicap in carrying out the
judicial functions. The commission new
ertheless has consistently refused to
regard itself as a purely judicial body
and has thereby failed to gain the emf
inence and commanding position which
1T could have had for the taking
er's salary is now $4,000. This is the
same as that Of an Associate Justice
of the Supreme Court. The power and
the moral, if not regal, responsible
ties of the Interstate Commerce Com
mission, rank it next only to the Su-
preme Court, yet there have been but
three members of the commission who
could in fairness be considered unques-
tionably of Supreme Court rank. T. M.
Cooley, first chairman; Aldice Walker,
a member of the original commission,
and Martin K. Knapp, for years chair
man and appointed to the Commerce
Court by President Taft when that
court was created, were men who might
have been considered of Supreme Court
caliber. The two recent appointees-
John j. Esch and Mark w. Potter-have
not been in Office long enough to give
an indication of their ability.
New-York tribune., 1921-03-27
Multitude OF Duties

The commission has a multitude of
duties. 1t is unfortunate and in no
way the commissions fault. Many of
the duties are Of a petty nature. A
shipper has trouble collecting an over
charge of $36.21 and he goes to the In
terstatc Commerce Commission. AS
sumo that the commission took view
of its duties which would confine them
to the judicial, it would in a case such
as this be in the position of magis-
trate, who might quite properly bring
the two parties Of the complaint togeth.
New-York tribune., 1921-03-27

pointmcnt as a commissioner by Pres
ident Wilson, professor of political
economy at Princeton. B. H. Meyer
was professor of economics at the
University of Wisconsin and mem
ber Of the now almost forgotten Had
ley Securities Commission. which made
an exhaustive study of railroad finance
under the Craftsmanship of President
Hadley of Yale Bankers who followed
the work of this commission closely
were generally Of the opinion that
Commissioner Meyer showed uncom-
promising integrity in his attitude
toward railroad finance, but a lack of
grasp of the broader aspects of the
subject he was an appointee of
President Taft, backed, it was gem
ington, by Senator La Toilette. Henry
c. Hall was lawyer and has shown
grasp of the complicated questions
which have been presented to the com
mission since he became member
in 1917.
c. B. Aitchison was lawyer and
twice chairman Of the Oregon State
Railroad Commission. He is thorough
ly familiar with the feelings of local
communities toward state railroad
regulation and with the course of such
regulation.
j. B. Eastman was member. of the
massachusetts, State Railroad Com
mission, one of the best of the state
commissions.
= Charles c. McCord was lawyer,
State Commissioner of Kentucky,
and was the. principal author of the
Kentucky railroad law. He had the
reputation in Kentucky of having a
keen eve toward politics
New-York tribune., 1921-03-27
Holds Dual Position,

The Interstate Commerce Commission
is in dual position in its relations with
the railroads. 1t acts as judicial body
in determining matters of fact ard in
terpreting questions of law. 1t is also
an administrative body. This is en-
phasized by the work that it is now
engaged in laying out a scheme for
the consolidation of all the railroads
OF the country into comparatively few
great systems. It's ability to initiate
New-York tribune., 1921-03-27

- Morpheus has been dragged into this.
discussion to give one a sense of per-
spective when directors Of the auto
mobile concerns give new data on
+ heightened productive schedules. Many
Of the companies report that they pro-
duced so per cent more cars in Feb
ruary than in January and expect to
show similar increase in March over
February, and in April over March. In
vlsualizing this series of geometrical
progressons it is well to remember
horseless industry was lying prone. On
the other hand, fact of at least equal
significance is that a definite turn for
the better in this industry has come.
Perhaps the cause is seasonal = the
spring is always the time when the
motor business is good-but, whatever
the Interpretation given to the facts,
the outstanding element is that the
manufacturers are increasing their
production, that sentiment is more
cheerful and that business is better.
This set of conditions marks wide
transition from last December, when
dire predictions of the collapse of the
industry and wholesale bankruptcies
were afoat. Fatalists among the auto
mobile philosophers assert that the
CIauSe ioE IHe Detter mas come from
the working out of natural forces.
Noarly all agree that the industry has
touched the bottom and is now in quest
of hew normal. The sensible opti-
mists do not anticipate this year or
deys on the scale that came before the
recession last summer. The highest
gcal that most men hope for is 65 per
cent of peak production for the indus
try as a whole. Evidently some will
do less than this, if 65 per cent is
correct average, because several auto
mobile presidents have informed The
Tribune that they expect to get on a
100 per cent production basis.