Idaho County free press. [volume] (Grangeville, Idaho Territory) 1886-current, 1922-05-18
BABSON SAYS
Improved Conditions in
New England

| IL you were TO study chart show
ing the path of business depression
you would note its striking resem'
blance to a weather map outlining the
path of a storm. The present depres-
sion was first evident in New England
and has spread southwark and west
ward until it centers today in the
wheat growing section of the middle
west, " said Roger w. Babson famous
statistician and business authority.
''New England being the first to
feel the depression, is according to
the great basic law of action and
reaction, the first to show signs of
recovery. From a study of statistics
/ am convinced that the foundation
of fundamental conditions necessary
for the period of improvement is prac-
tically complete as far as New England
is concerned During this coming year
manufacturers, merchants and bank
ers of this section of the country will
struggle with their individual prob
lens. While | do not expect to see
| anything like a period of prosperity
for this section in 1929, | do feel
the worst is over and that a gradual
Improvement will will be evident from
now on.
TEXTILE INDUSTRY BETTER
GIN activity the more important
industries are already reflecting a
decided improvement. The textile in
dustry for instance, which is by far
the most important in New England,
is much buster than a year ago. Acti-
witty in cotton goods for instance, is
so percent of normal at present, where
as a year ago it averaged so percent.
Woolen goods were operating at full
capacity during the early fall, and are
still running near it A year ago most
of the woollen mills in this section
were running between 35 percent and
40 percent of normal activity. Funda-
mentally the textile industry has
turned its corner and is already in it's
period of Improvement. The executives
of New England face two problems.
First, the fact that the cotton center
of the United States is rapidly moving
south. In 1914, 1S,500,000 spindles re-
ported in the northern states as
against 12,200,000 in the southern sec
tion. At present the report shows
19,500,000 in the northern states, an
increase of 5 percent and 15,500,000 |
spindles in the south, an increase of
over 25 percent If the executives Of
these northern mills are to keep the |
textile center of the United States in
the northeast they must meet this
competition.
"The other factor that is keeping
them from full operation is heavy
imports of both cotton and woollen
goods from England These resources
of course depend largely upon the tar
iff legislation The safest way to meet
this flood of medium priced foreign
made goods is to increase efficiency
and produce Setter quality textiles in
this country.
PROBLEMS OF SHOE MEN
ffThe boot and shoe industry has
also turned a corner, and its present
activity is improving steadily each
month. The shoe men are also fac
ing the same problem as the textile
people. The shoe center of the United
States is gradually moving westward.
"Tn 1914, New England produced
50 percent of all the shoes made in
he United States: this decreased to
* percent in 1919 and the latest fig
ire shows that production of all grades
If shoes during November, 1921, was
,nly 37b percent of the total United
States production. The western man
lfacturers have increased their share
If total business by producing medium
priced, good quality shoes, which can
,e made and marketed in quantity.
.annat help but feel that this compe-
ition with other sections of the coun- ,
nv presents one of the most serious
that the New England manu- ,
acturers must produce better goods, A.,
over prices, and more efficient or
The paper industry is experiencing
marked improvement, but is now
n the trough of slight decline. Heavy /,
tocks are still proving handicap to !
his industry However, conditions
re great deal better than they were
year ago, and 1922 should be better
han 1921. :
LABOR REIMBURSEMENT
''The labor conditions in New Eng
md are experiencing a considerable
Most industries have
ad at least one cut The manufac-
1rers are also taking the same view
{ the situation and are doing every
hing that is possible to increase the
Efficiency of their workers. Overhead :
,sts will decline further throughout
ne year. Reduction of freight rates
i'll greatly help New England manu-
lcturers, who have longer average n
lul to their consuming markets than v
nv other manufacturing center in the I,
1untry. All in all most of the indi- g
idual plants in New England will
dperience better business in 1922 9,
ian in 1921. The amount of improve y
ent depends almost entirely upon the :;
ttitude of the men in charge.
Fundamental conditions have set =
re stage. New England is ready to II
me back It is up to the business -
en- of the northeast to take the ag- =
ressive course and go after their o
Problems L,
ran riphts reservedl