Arizona republican., 1922-03-20
THE ARIZONA REPUBLICAN, PHOENIX
ARIZONA REPUBLICANS WEEKLY BUSINESS
Roger w. Babson Finds
Bright Spots In Rockies

get discouraged. One thing is GER
tain, timber is growing all the time.
This means that the tracts will grad
ually become more valuable. Every
time I take a trip throughout the
country l am astonished at the fewer
and fewer forests that remain.
"The brightest spots are those sec
tions where oil is being found. In
nearly all these mountain states
there are certain sections where oil
developments either exist or are con-
templated. The very act of boring
for oil creates a temporary prosper
ity. AS people come into the terri
tory a demand for supplies and labor
is created while a general optimism
pervades the community. If oil is
finally discovered this means real
new source of wealth. These towns
where oil developments are being
carried on are the ones that sales
men should seek. For this reason
Texas Oklahoma, and adjoining ter
ritory were for some time the most
prosperous of the southern, western
or mountain states. OF course even
in these oil communities money is
not being spent today as IL was a
couple of years ago. They are now
buying Dodge cars instead of Pierce
Arrows. But the oil is still coming
out Of the ground. cash Is paid for
the product, and there is no distress
excepting among the SPECTATORS who
deserve it.
"One cannot help but be optimistic
on this country considering the won
derful undeveloped water power re-
sources. Many sales managers would
be interested in securing from the
federal power commission in Wash
ington a list of these projects. Ger
tainly the list should be interesting
reading to those engaged in the sale
of machinery, contractors supplies
and the like. Not only does the con-
struction of these plants produce a
certain amount of business but they
continue forever as a source of great
wealth. In the long run a. water
power is muclfe better for a COM
munity than mines or forests and oil
wells, which in time become depleted.
permits applied for already to
cover projected developments from
Alaska to Texas and from the Allan
tic to the Pacific. These develop
ments will involve hundreds OF mil
lions OF dollars worth of equipment.
Hundreds of applications for per-
mits to construct dams, power plants,
transmission lines, locks, tunnels, and
other work associated with power
development. are now before the
commission. interested people should
make arrangements to receive the
weekly list of applicants issued by
the federal power commission.
During the war the beet sugar
districts Of Utah. Colorado and Idaho
profited greatly; but with the decline
in the price of sugar this industry
is absolutely flat today. During 1921
the beet sugar growers nearly all
lost money, but by drastic cuts in
operating costs they will do better in
1922. The sugar industry is basic
industry and will receive protection
from congress. Good sugar securi-
ties are now an attractive purchase.
THE most prosperous industry OF
the mountain states last year was
the tourist business. This will not
be especially active during 1922, but
no one loses money on IL. Whatever
money comes in is pretty much prof.
it. II the Western Pacific railway
succeeds in taking over the Denver
and Rio Grande railroad, consider
able money will be spent upon II
Which directly and indirectly Will
benefit this section. Although our
sympathies must go out to Pueblo.
vet this section will ultimately bene-
fit from the disaster. Pueblo is a
good city and win come back all
right.
compared with conditions a few
years ago. the corn belt of the CEN
trail west shows up worst on the Bah
sonchart of any section Of the coun-
try. The reason for this is largely
owing to the great prosperity which
the corn belt enjoyed during the war,
Actually, however. the conditions IN
the central western states are not so
bad as in the mountain states. More
over. their recovery should be more
rapid. While impossible 10 honestly
write optimistically regarding pres
ent conditions in this section. the fu-
ture looks better. Stockraising, lum-
bering. mining and the beet sugar
industry are all at a very low eDp.
Yet the storm is continually moving
westward and these are all indus-
tries which will quickly recover when
the turn comes. Hence, banks ana
other creditors should be patient
Those who are dealing with honest
people should not lose any money.
Moreover. those who are now willing
to extend new credits to these Sec
tions may some day be greatly re-
warded for their courage.
The index of the Babsonchart
shows some Improvement this week
Business stands at IL per cent below
normal. compared with 13 a week
ago. This improvement is encourag-
ing and may indicate the seasonal
quickening which should be expect
ed during the early spring months.