The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1922-10-04
THE BUSINESS REVIVAL.

THE BUSINESS REVIVAL.
Traffic returns show that the rail-
roads increased their business nearly
s per cent in the first seven months of
1922 as compared with the CORE
spending period last year. These re-
suits are based on reports from rail-
roads having an aggregate mileage of
1851. The most suggestive feature
in current railroad reports is the con-
sistent gain over last year in the vol
ume of general merchandise freight
handled. This showing offers impress
sive testimony to the increased pur-
chasing power of the people and the
broader activity that has come from
increased employment and the virtual
wiping out of the labor surplus. 1t is
altogether probable that the railroads
will show new high records for traf
fic handled during this autumn and
the sensational gains will be reported
in general merchadise freight. These
nsigs. says the National City Bank of
Chicago, point strongly to increased
prosperity for the nation and suggest
that increased Industrial revival is i'm
minent.
Publication of the earnings of some
of the principal railroads for August
shows satisfactory increase in gross
income. Recent computations of the
figures for about a dozen of the lead
ing lines indicate a growth of about
IA per cent in gross earnings and 80
per cent in net after payment of taxes,
as compared with 1914. The August
net figures, however, show the de-
cided effects of the recent strike, re-
cessions being due very largely to in
creased expenses. Taken all in all,
however, the effect of the strike upon
railroad finance, so far as present in
dications go. appears to have been less
than had been supposed.
No surplus of cars now exists on
any of the railroads, while the spread
of freight embargoes shows that the
volume of traffic is already well up
toward the full transportation power
of many of the lines. Receipts of
staples at primary markets are excep-
tionally heavy, with the result that
business in the western centers has
been decidedly good.
The effect of this situation on
wholesale and retail trad% says Henry
Clews, has been highly stimulating,
and orders in many lines are ahead
of expectations; the declines which
have occurred therefore in actual quo
tations have been the result of techni-
cal and financial conditions. rather
than of industrial or business factors
Lack Of labor, even at high wages, IS
already an existing condition in a good
many branches of trade, and further
wage increases are now predicted. The
situation in this respect is not alto
gether satisfactory. he continues, since
it tends toward an aggravation of the
already high prices of manufactured
goods, despite the fact that agricul-
tural values are in most lines low, as
compared with costs.
At the close OF the last week Brad
streets summarized the business sit
Uation as follows:
Trade and industrial conditions very
generally show further improvement
Expansion in fall buying, steady to
higher commodity prices, a still faster
pace in industry, employment about
the most widely diffused of the wear.
collections better and late northern
crops ripening with trifling frost dam
age, are among the notable features
of the week.
| Outstanding special features IN a
week which has seen some of the late
ness of the season made up for by
more confident buying, are the re-
/ ported heaviest purchasing of steel
rails ever witnessed in one week; a
very general increase in buying at pri-
mary markets OF all the leading tex
tiles, with important advances wit
messed in several kinds of cotton
goods, raw silk and raw wool; the dis
appearance of the. idle car from the
railway records, with the largest total
| of loadings witnessed for eleven
months past, and an increased coal
output, this more especially visible in
the anthracite branch. Trade and in
duStry are evidently better than a year
ago at this date.
Locomotive works are crowded with
orders. and leaders are operating at
so per cent capacity. compared with
as per cent by one of the leaders on
September 1, and is double that of
| early in the spring. Buying of auto
mobiles continues Of liberal volume,
which improved business conditions
have brought an enlarged demand for
motor trucks. Production continues
at a high average. with liberal sup
piles OF coal. Manufacturers in all
greater freedom, altho car scarcity
tends somewhat to restrict shipments
of finished products.
|
Please do not overlook the fact
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