Every evening, Wilmington daily commercial., 1922-09-16

Wellesley Hills, Mass. September
l6.--Roger Babson evidently Ia not
upset by labor difficulties and the
threatened dcoal shortage. In state
ment issued today he forecasts good
business for the next few months.
"Go after business now!" says Mr..
Babson. Buyers during these past
two years have been following n hand
to mouth policy. Everyone has pur-
chased as little as possible because
a delay has meant lower prices and a
consequent saving. With the turn OF
the business tide, however. prices
again tend up and both business man
and individual viii make more money
by buying ahead rather than by fol-
lowing the more conservative policy.
An analysis OF 76 basic materials, for
instance, shows that As are higher to-
day than they were a year ago, "a
are lower than year ago. while four
commodities show no change. Price
increase will be felt most on the raw
materials that have been completely
debated, but finished goods in prac-
tically all lines will show some
strengthening during the next few
months.
1T is particularly important that
retail merchants fully grasp this
| change in the situation. They must
turn with the tide. The retailer should
plan on substantial increase In
| trade between now and Christmas. If
| he does not he will he caught with
| a shortage rather than n surplus OF
goods. and a transportation tie-up will
make it difficult toget more on short
notice.
This increase in business will be
| due to a combination Of increased pur-
chasing power and change in the
attitude of the general public. In spite
of the strikes and labor unrest there
is relatively little unemployment at
present. On incomes over $1,000
| figures show that As per cent of the
purchasing power of the country
comes 10 the individual as wages and
salaries. This makes up the bulk Of
! the purchasing power upon which the
| average business man must depend,
4 drop in the cost OF living and pros
pect OF steady work Is rapidly turn
| ing a majority OF these people into
ready buyers.
"In the farming field. bumper crops
and better prices promise to class the
| farmer as good prospect. lie has
bought very little since 1920 and his
accumulated needs should absorb n
tremendous quantity OF farm machin-
cry and supplies. The plans OF the
business world accumulated during
these past two years will also be put
into operation this fall.
THE combination OF these several
| factors points 10 merchandising
shortage. II l were a retailer |
should certainly buy all goods neces-
sary for Christmas trade now and IN
sist upon early deliveries.
This general increased business
activity VIII lead In turn TO the In
creased business and Industrial profits
that are already being reflected IN
the action of the stock market. In
creased profits, OF course, mean NOR,
, money for expansion and equipment
Rents and money rates, In the mean
time. are tending gradually downwar,
relieving both individual and bushes
, house in the matter OF overhead
Banks have ample funds TO meet al
: commercial and investment require
ments. In many localities money is
( drug on the market The slight sea
sonal tightening Will doubtless be ex
! perienced at crop moving time. bu
taking the fall season as a Who'll,