Idaho County free press. [volume] (Grangeville, Idaho Territory) 1886-current, 1922-11-23
BABSON SAYS
Business Imitation Tenn
pOrary

Wellesley Hills, Mass. Nov. 2o.--
Discussing the statement of certain
bankers that the country is headed
for another period of imitation, Roger
w. Babson issued the following state
ment:
"For readers who are not bankers
and economists, let me first explain
in a simple language, what is meant
by imitation. Men who are acquainted
with the Babsonchaft of business con-
ditions know it is made up of two
lines-frst a normal line, representing
the permanent growth of the country
which looks like simple uphill grade,
and a second line which looks like
the outline of hills and valleys. This
second line represents temporary bust
ness conditions. For few years it
is above the normal line and then for
few years it is below the normal
line. When the two lines coincide,
business is normal; but when the sec
ond line is hbove the normal line,
bankers say we are having imitation,
while when below the normal line,
bankers say we are having defation.
Just now they say that we are threat
ened with another period of imitation.
EFFECT OF STIMULATION
''The normal line of business is de-
termined by the honesty, intelligence,
industry, and thrift of the people.
the health of business with
the health of person, we would say
that the normal growth depends upon
how we behave and how we take care
of ourselves. The temporary business
line, however, is affected by stimuli
the same as our body. A stimulant
may greatly exhilarate us, but we
known the effect is only temporary
and the reaction afterwards is very
feel much worse in
few days. This is the scientific ex-
PLANTATION of the common saying, Il
feel like the morning after. There are
several reasons why the bankers may
be right in saying that temporary
period of imitation is at hand. The
country during the last year has been
given three distinct stimulants, which
should artifcially help business and
thereby cause imitation.
"The first of these stimulants was
The immigration law passed year ago
and which was recently reenacted. |
This is known as the 3 percent law,
which limits the immigration from any
country in one year to percent OF
The people now here from that coun-
try. Tt is practically a tariff on man
nal labor and on common labor. If i
continued, it will cause a famine of |
common labor in this country. It is |
The reason why the United States |
Steel corporation and other concerns
are increasing the wages of common
abor. IF this law continues very
much longer, it will cause an imitation |
n the wages of common labor and
hereby tend to bring about general
INITIATION IN TARIFF
"The tariff bill, which was passed
n September, is second cause of in
iation. Whether OF not such tariff
$ good for the country is political
question and is not for me to discuss,
mt all students are agreed that it is
argely temporary stimulant. The
ariff helps the manufacturer the same
Is the immigration law helps the wage
worker. But neither the tariff nor
he immigration law increases produe-
ion nor makes two blades of gass
ROW where only one grew before.
rhe tariff will cause an increase in
he price of goods the same as the i'm
migration law will cause an increase
n wages. Increasing prices and in
reasing wages, however, do not make
6a oounfr~- 49, ~ mho oorof~x |