Grand Forks herald. [volume] (Grand Forks, N.D.) 1916-1955, 1922-08-29
PREVENTION
OF STRIKES
IS NECESSARY
Guaranty Survey" Says Re
petition Of Present Tie-up
Must Not Come.

petition Of Present Tie-up
Must Not Come.
New York, Aug. 2s.-.once again
the country has been subjected ia
grave economic injury through inter-
ference with essential services-the
provision OF fuel and Of railway trans
portation," states the current number
OF The Guaranty Survey issued by
the Guaranty Trust company Of New
York: The time has como not
merely to recognize passively the de-
pendence of the general welfare upon
coal and upon railway transportation,
put to provide positive safeguards
against a repetition Of such conflicts
as have recently ar~isen.',, = THE Sur
vey" continues. IF 10
Government regulation of railway
rates Is an established and accepted
feature Of public control of the rail-
ways To an increasing. number of
the public there seems to be a corre-
spending Justification for authorita-
conditions affecting employees of the
railways. President Harding's in
slStence upon the duty of employees
and managers alike to accept the de-
cisions OF the railroad labor board is
timely:
There are reasons scarcely. less
compelling which seem to many to
justify subjecting the coal Industry
to such a degree of governmental
ership or control-as would prevent
a repetition of existing conditions. All
such regulation of industry IL neces-
sarily irksome in some degree to
those whom 1t restraints I'm the inter
est of h public; but the alternatives
are harmful in greater degree. In
services essentially public in their ma.
ture, strike settlements which bring
only temporary relief do not suffice.
Measures. proposed by the president.
to assure ar uninterrupted fuel sup
ply are necessary.
Tho Industrial situation.
While 1t Is difficult to estimate
how far-reaching are the effects OF
the strikes. to date the curtailment
Of industrial production because Of
scarcity of fuel 10 shown primarily
in the output of iron and steel. Dur
ingJ July more than 10 per cent of the
there was a ne loss of 81 furnaces,
the majority Of which were blown out
In the last week of the month-and
this followed about six months Of
steadily increasing output. Many
furnaces were obliged to bank. a. the
railroad strike prevented the trans
p%ortation of coal to the ovens.
Fundamental Business Factors Inn.
I'm spite Of t R,os Seriousness. o, tn.
coal and railway strikes, Improvement
in fundamental factors in the busi-
ness situation continues. OF special
Importance Is the crop outlook. The
governments reports Al Of August L.
promise unusually good crop yields.
Moreover, in western Europe the
grain harvests have been injured by
cold rains following a period Of
drought. which will increase the need
for grain exports from the United
States. -
The consumption Of cotton In the
United States, for the year ended July
81, 1922, wal a million bales greater
than for the previous year. The esti-
mated ~carry-over on August I, 1922.
was about 100000 bales less than
for the> previous year. The indicated
20 Is. therefore, less than that for
1929. while consumption has in
creased greatly. Exports of cotton
yarns from Great Britain in July of
this year were more than double
those OF July a year ago. and exports
OF cotton piece goods were IN times
the amount for July. 1921. The strong
demand both for domestic consump-
ton and for export gives promise of
continued support for the cotton mar
ket.
influence of Better Crop Prices.
Prices of farm products generally
are higher than a year ago The ef-
feet of bountiful crops and fair prices
upon the purchasing power of agri-
cultural communities. would so far
toward the restoration Of as nearly
normal prosperity in this country as
Is possible until the European politi-
cal situation is clarified.
The movement of prices in gen.
eral continues upward. Recent wage
advances. particularly the increases
announced by the United States steel
corporation and other steel COM
panies. + especially significant at
this time. This would seem to indi-
cate that leading business interests
prices to continue for some. time.
They will undoubtedly strengthen al
so the belief that the present prog
ress OF industry In general has sub
stantial foundations.
Further evidence Of the strong un-
dercurrent toward industrial recovery
Is found in the reports concerning
employment. And extraordinary &C.
tivity in new construction continues.
The Tariff. .
THE tariff bill which the senate
has just passed IL an improvement
over the house bill in It's rejection
Of the so-called American valuation
provision. On the other hand. in
many cases its rates are 20 high as
to amount to \ virtual embargo on
our foreign trade and to encourage
the larger production of foodstuns
and raw materials in European COL
onial dependencies. Compromises
will necessarily be the result Of con-
ference between representatives of
the two houses Of congress. but tho
which Ia about to be enact
ed promises to be one which ignores
the position Of the country az the
leading creditor nation Of the world
and which will bring certain injury to
American trade a. q whole.
Very little discussion preceded the
senate's adoption Of the provision for
the establishment of free sones-
regions within which foreign goods
may he imported free Of duty for
manufacture and re-export-Althou9h
such 4 provision must have far-reach-
ing effects on our trade and industry.
"Of even greater importance. how
ever, 10 the senAts's proposal to grant
to the executive the power to raise or
lower tariff rates. It II true that tho
executive would be restricted to in
~ or decreases Of not more than
SO per cent and the rovisions are to
be based Npon differences in cos Of
production n this country and