The Washington times., 1921-09-05
R. R. AID KEY TO
BUSINESS BOOM,
ASSERTS MEYER
War Finance Corp. Head Says
Step Would Mean Employ
nent Of Million Men.

NEW YORK. Sept. 5.-"Labor Day
this year finds the country confronted
with a problem Of unemployment un.
precedented In magnitude within the
experience Of the last quarter of a
century. II behooves ell good citizens
to consider proper steps to remedy
this condition"
These words opened q statement on
railroad relief made today by Eugene
Meyer, IT., managing director Of the
War Finance Corporation.
"A considerable part Of the existing
unemployment Is due" he continued.
ito the position in which the railroads
find themselves-short Of funds and
unable to make their normal purchases
and do their normal repair and equip.
ment work. Employment Of q million
men would. in my opinion. follow the
passage of the ownsend. Winslow rail.
road funding bill.
Not only would the railroads, by
the passage OF the bill, be put in the
position VI meeting their unpaid
accounts already past due, but they
would be able to go ahead with their
maintenance-of.way and repair-of.
equipment work. This would directly
employ a very large number Of men,
and greater numbers indirectly.
1T would appear Illogical to resort
to public works not actually essential
when there 10 so much that IL imne.
diately needed.
But there are prospects for a great
er degree of employment in other direc.
lions. There are indications Of a re-
sumption in general business. The
War Finance Corporation, under its
new powers to assist the agricultural
Qitnatinn affantfu0 In
speeding up the revival Of business.
The recent change in the demand
for raw cotton and cotton goods con.
stitutes q fact OF fundamental i'm.
portance with far.reaching conse.
sequence to the whole country. The
increasing movement OF cotton will
permit the Southern banks to liquidate
loans and frozen credits will be thaw.
ed out. Business will be restored In
buying as well as in selling.
The revival OF Southern bushes
will be a great factor in rehabilitating
industry throughout the whole coun.
try.
Business has gone from an ex.
treme OF over.stocked warehouses at
high prices to an er-stocked con.
dition at low prices. There Is moth.
ing now in this. It is the usual
result Of declining prices and the
lack OF confidence produced by losses.
but the sooner we get over our fear
about commodity prices, the petter
for the whole country.
With improving money markets
and the carrying out Of the Senate
program on tax revision We may
look forward to funds becoming
available on such a reasonable basis
as to encourage the hope that there
may be an adequate supply Of funds
for public utilities, for industrial,
plant expansion. and especially for
housing needs.
The housing needs are large but
building still awaits a supply Of
money on mortgage at rsasona BILE
cost and a settlement OF labor con.
ditions, as we'll as a rcadjustment In
the cost of the building materials
THE revival Of any other ons In.
dustry. 1t would mean direct AID
indirect labor in great volume.
To sum up. I believe the posstbil.
ity Of meeting the unemployment
situation promptly and effectively
lies in the revival OF those fi,nda.
mental and essential activities which
Involve large quantities Of raw and
finished materials. transportation,
and labor IN construction. believe
that Il II within the power OF those
responsible in the Government to
make actual the things which are
possible -