Daily Kennebec journal., 1922-06-19

are proper exceptions TO all culeS,
and for myself, l do not believe that
public which finds itslef unable to
buy at lower price level, is likely
to be better able to buy at higher
level, unless it's income goes up at
least little faster than prices ad-
vance.
My unalterable conviction will per-
hapS justify word to people who
seem to believe that the way to make
good times again is to start prices on
the upward grade again. In my
judgment, in an era like the resent,
the way to restore good times and
good business is to cut out the wastes
OF production and distribution, to
get profits down to basis Of the
utmst moderation consistent with
safety, and to invite the public into
the market. That is the procedure
by which we are going to get idle
hands back to work, idle capital back
to production and striking buyers
back. to buying. - -,
We are not going to restore
feeling Of confidence among the peo-
pie by presenting to them, day by
day. news of wage reductions in par
allel column with announcements of
advancing prices. There is no doubt
that good deal of wage adjustment
is going to be necessary before we
will bring things back to even an ap-
proXimately normal basis. None the
less, we will not greatly improve the
situation if the undertake to cele-
brate the downward readjuStment of
wages by announcing upward read
justment of prices. The best rule
know to govern the broad kind Of
economic readjustment that is re-
quired at this time, is the old law of
supply and demand.
appeal to and through YOU bankers
of the sound and conservative old
State of Maine for policies of safety
and moderation in these matters. You
will be able to exercise, as YOU always
do wide and potent influence upon
the business development of the
/ community. l cannot too earnestly
urge that that influence be directed to
establish and maintain such relations
between production and consumption
as viii be honestly promotive to both.
| 1t is rather too easy for country
situated as is ours, to fall into the
mistake of assuming that with our en-
olmous wealth. tremendous producing
capacity and wide range of natural
resources. we can safely regard our
selves as We'll night self contained.
and therefore capable of standing
alone. on our own economic basis, be-
fore the world.
The national situation as to en-
ployment of labor has been steadily
! improving. But we know that in part
| this Improvement has been due to the
patriotic willingness of many en-
ploycrs to.strain a point and give the
utmost employment 70 rthe sake of
the general welfare. If these efforts
are to be more or less negatived by
reason of premature advances of
| prices and consequent reduction of
the public's ability to buy, the bene-
fits will he only temporary.
Particularly is there reason to urge
an earnest effort against advance Of
the consumers prices, if that advance
is not to be so distributed as to give
Il far share of its herf fits to the far
rer He has been going through a
taId and eruelling experience and
with a crop Just coming to the har-
vest he looks out on a prospect OF
selling his Weld at prices which will
not make hi mat all cheerful about
paying more for the things he must
buy. We want the new prosperity.
which am confidcni is not very far
ahead to he distributed to all the peo-
pic. IF it is not pretty fairly dstri-
Eutod. especially, is any great and
essential sections Of the population
are denied their share. then we will
see an unnecessary and inexcusable
delay in the resumption of better
business conditions
In saying these things. would not
be understood as picturing any gcn-
eral conditions which are working in
the wrong direction. On the contrary,
the great mass Of influences. the over
whclminc array of factors, are maxi
ing steadily for better conditions.
/ There is every reason for assurance.
The country. and I am very hopeful,
the world, have passed through the
hardest part of the post-wa read
justmcnt. We need only to hold Sc
curely to every inch of ground we
occupy on the upward wav. If we do
that. we will all be amazed at the Wis
ia OF assurance. soIiditv, safety and
prosperity that will presently be un-
folded to our vision.
Urder- Secretary Gilbert
Following Mr.. Crissinger's address,
Justice Cornish introduced as the
second speaker Hon. s. p. Gilbert.
Jr, under secretary of the United
States treasury. Mr. Gilberts talk
follows in part:
1T is now clear that the Govern
ment will not only balance its budget
this fiscal year, but that there will
even be small surplus above current
expenditures.
THAT this has been accomplished
in the fact of Unfavorable prospects s
that confronted us at the beginning Of
the year" said Mr.. Gilbert, sis due
to the unrcmittnG efforts of the gov
eminent departments and establish
ments under the firm leadership of the
President to reduce current cXrcndi-
tures to the utmost limits consistent
with proper administration
"And it is no mean accomplishment
for according to the present outlook
total current expenses for the wear
will be only about $500, ,000,000 or
about $500, 100000 less than the spend
ing departments themselves estimated
would be necessary at the outset of