Great Falls tribune. [volume] (Great Falls, Mont.) 1921-current, 1922-12-31

very low. but the majority at pres
emit are about Is per cent above their
levels a year ago. A year from now
we shall probably find them averaging
at about the same level they stand to-
day. In between, there may be a
further rally from the low of 1892, and
agricultural products certainly should
do better"
Earnings Viii Be Higher
Earnings" continued Mr.. Babson,
in the year just passed. A survey of
100 leading industrial companies, re-
Gently made by my organization, show
ed that in 1919. SO per cent Of these
companies made a net profit, while
only 4 per cent a deficit. In 1921, the
number of firms which could show a
profit was cut down to 4S per cent.
Over half, OF 80 per rent of these in
dustrial concerns lost money on their
years business. 1929 has witnessed
a change from red ink figures into
black ink figures, but the amount of
net profits will not be large when the
books are finally balanced. We are
just getting back onto the right side
of the ledger.
"The shortage Of labor is one Of the
worst features Of the 1923 outlook. The
moment that business works up to
average activity it becomes impossible
to get sufficient workers. This raises
costs and in turn increases commodity
prices and the cost of living. The i'm
migration law is largely the cause of
this shortage. This law restricts the
number of immigrants in a single year
to B per cent Of the total number of
respective n~ationalities already in the
United States. Before the war we
had an addition OF a million immigrants
n year. Now we are receiving less
than 100000 and at least 80 per cent
Of these are women. children OF other
doubt if the epeal of this 3 per cent
immigration law is the proper solution
of the present labor shortage.
THE real solution is not the re
peal OF the present immigration law
but rather the repela of the contract
labor law for as long a period as the
3 per cent remains in force. This
would make it possible for employers
to promise selected foreign workers
employment before leaving their own
homes. The moment that the immi-
but rather the repeal Of the contract
labor law can again he applied.
There should be no great difficulty
in getting ample supplies Of bitumin-
GUS coal this winter. The car short
age is diminishing somewhat. Ample
supplies of bitu,ninous coal are being
produced, suggesting lower prices. The
mischief of this situation lies In the
fact that it will again be to the adj
vantage of both miners and operators
to close the mines for a time. The
difficulties which brought on the
strike last year have not been settled.
There Is serious danger Of another
strike in the soft coal fields.
Political Situation
Everybody is worrying about the
political situation. There il talk OF
radical legislation during the coming
YER. Most Of this IN merely the echo
from campaign speeches. II may be
a noisy year. Both the conservatives
and the radicals have a veto power.
but neither is strong enough to push
through any extreme measures Of it's
own. The only kind Of legislation that
will really be enacted is that which
Already the federal reserve board has
issued a ruling, admitting a large
amount Of agricultural paper for re-
discount in the federal reserve banks.
The Muscle Shoals problem will pro-
badly be settled. either by sale to
Henry Ford or by development on the
part of the government itself. The
Soldiers Bonus will probably he enacj
ed. although no agreement as to Il.
terms or means Of raising the money
has yet been made. 1t is improbable
that there will be any increase In the
amount of business taxes.
The political aspect has frightened
many stockholders. but IT il entirely
too early to be worried. The thing
to yatch ia fundamental conditions.
We are still in a readjustment period.