Evening star., 1922-12-11
BUSINESS REPORT
SHOWS OPTIMISM
Mr.. Hoover, Commerce Head,
Tells Of Improvement
in Past Year.
PROPOSES NEW GROUPING
Oil Sources Limited, But Measures
to Expand Holdings Abroad
Are Encouraging.

| Observing that the general business
condition Of the United States was
| so improved over a year ago as to be
Incompatible" Secretary Herbert
! Hoover transmitted to President Har-
partment of Commerce. in which were
included an encouraging summary of
| the accomplishments and expansion
| of his department, together with
long list Of recommendations for i'm
provements in the various bureaus
looking toward their furthef useful
ness to the country at largo.
| Chief among his recommendations
! was that Of reorganizing government
agencies dealing with commerce. min-
| ing. manufacturing. transportation
and fisheries into three groups, each
under an assistant secretary.
To Eliminate Overlapping.
whether these groups, designated
as industry. trade and, navigation
| Commerce." he declared. was second
ary to the necessity Of grouping, in
/ order to obtain concentration of pur-
pose to eliminate overlapping. Ad-
ministration of these functions at
| present Is divided among seven dlf-
!
ent major purposes. Under the new
| grouping O direct saving Of over ST.
! 100000 4 year in administration
! would be possible, while many times
! that amount would he given the pub
, lie in increased values and services:
| Reorganization measures already ef-
| fected in the Commerce Department,
/ AIR. Hoover reported, had resulted in
year. Appropriations available. he ex :
planned, amounted to $.4.32o.192. ana
the actual expenditure was only ST.
| 024.s10.
During the year" he said, the
| bureaus Of foreign and domestic COM
merce. census. fisheries and navlga-
tion have been rcorsanized COM
pletely as to personnel. administra-
| tion. policy and method. The person
mel of the other bureaus has been
| found efficient and their methods
progressive and helpful.
Mr.. Hoover reported. among other
things. that investigation by his de-
partment had disclosed that the coun-
try's domestic sources Of oil could last
only u generation. and that foreign
nations were rapidly pre-empting the
available foreign oil-bearing terri
| tory. He added. however. that
| through the voluntary measures taken
by the Oil industry to expand its
| holdings abroad there is measurable
assurance of future supplies under
American control.
Transportation Needs.
Some relief" he said. could be
| given to the farmer by readjustment
of railway rates in such fashion
as to impose larger burdens upon
high priced commodities and lower
rates on primary produce. A greater
relief would be given II he were pro-
vided with adequate transportation.
Further relief would be given by the
provision Of an adequate credit sys-
; tenn to meet his needs OF loans for
periods in excess of federal reserve
facilities and at nearer the CONNER
cial rates Of interest"
tariff law. Mr. Hoover asserted that
generally the volume of the country's
exports is likely to be increased by
the increasing prosperity at home.
In q critical examination of the
railroad situation the Secretary de-
scrihed the needs for revision of
railway legislation to prevent the
strangulation of industry and COM
merce through a shortage of trans
portation.
I'VE must have increased trans
portation." he said. IF we are to
We must. therefore, find a way ont
of the cycle of systematic starvation
of a large part of our mileage and
the denudation of our railway man.
ayers of their responsibilities and
initiative
Stabalization of the bituminous
coal industry. he asserted. would
eliminate fully one-third OF the ma
tional coal bill. Unless there is
economy in labor through less lost
time. he contended. the ranks of the
miners will be difficult to fill. while
the very real human suffering. due
to part-time employment and strikes
presents a national problem warrant
ing every effort toward stability.