Richmond times-dispatch. [volume] (Richmond, Va.) 1914-current, 1922-12-31


ness prevails. Bv all outward ap-
pearanccs the revival Of 1922 prom
ises 10 develop into prosperity during
1922.
What arc the forces behind e..s
revival? VIII they endure? II not,
Will their places be taken by Others?
Relief or certain war-creatcd short
ages clearly has been one Of the
chief stimulating Influences. The
building OF great number OF living
houses, construction OF which va.
suspended by war restrictions. has
enormously increased employment,
has created an insistcnt demand for
All kinds OF building materials. and
mas swollen the volume OF traffic Of
Tered To the railroads. related fac
tor is embodied in heavy State ex-
pcnditures for road building.
second major source Of indus
trial activity Is the deficit in railroad
maintenance accumulated during the
war. Both with regard to roadway
and equipment. the carriers were
returned 10 their owners in a condi-
tion demanding rehabilitation. The
resulting orders have contributed
greatly 10 the business OF companies
manufacturing steel and machinery
one other outstanding influence Is
the surprising and extraordinary de-
'nand FOR automobiles. While tho
question AS to whether a shortage OF
automobiles really existed can be
argued. II Is clear that the ultimate
result VAS the same. The actual
buying which developed exceeded all
expectations; II stimulated vast
number OF allied Industries and
created very great volume Of en-
uioymcnt.
Contra,h During Yrnr.
In tho revival OF the past year q
striking contrast has been appa-
rent between the citic. and the coun-
try. between industry and agricul-
tura~ between the East and west. The
several shortages enumerated above
have been concentrated in tho indus
trial East The purchasing power
O! the latter region has been mark
c?ly higher. In II sense the indus
TRIAL East has prospcrcd of Itself
The revival has proceeded without
the proporiionStc assistance OF the
:armcr. although the latter repre-
scnts two-hfths OF the country's pur-
cHasinG power. How long thi. con
".tior can persist Is. perhaps. omen
TO question. sun. IL must be noted
tIat tn" years sharp rally in cotton
prices greatly Improved conditions
~ the agricultural and business
-
tween the pride OF farm products and
manufactured goods IS less as the
year ends than when it began
similar question arises when IL
Is recalled that the revival has de-
Nclopcd with little aid from Europe
Where the situation remains ,rou-
bied. Politics, intcrtwined with the
tfca, problems Of PREPARATIONS and
international debts. continue 10 hold
m
pended animation. Germany has vet
To balance even her domestic budre,
ana tn 60 through tho painful proc-
css which probably will accompany
the stoppaEe OF imitation Political
'louoieS sun arc numerous. and the
'Nthahscs huctuatc in such a man
hcr as to restrict commercial enter
prise. At the same time IL has becn
demonstrated conclusivcly that the
world has reached stage of eco
monte development at which the CON
dition of world business affects thar
IN any particular country. Our farm
cFS cannot expect to receive salts
i"ctorE prices FOR their farm prod
uctS until Europe is able 10 buy thex.
products freely. Nearly onc-third OF
our wheat must be sold abroad and
as the price OF wheat is determined
J" INC world market, IL follows that
our farmers suffer when Europe is
Impressed notwithstanding this
STATE OF aHairs. our Government is
Hlahihs the recovery or European
calling for payment OF the war debts
purchasing power more dfiicul, nv
ny erecting tariff wall. and by at
tempting to take away substantial
part OF the ocean-carrying trade
"hich our debtor countries formerly
possessed Such factors must OF
course, he considered unfavorable.
Confronted with Lnbor Shortage.
Another situation. and this one
purely domestic, serves TO raise mis-
SivinEs. Even with the existing. vol
ume OF Industrial activity. the conn
try Is confronted with labor short
age. The condition is endowed with
certain degree OF permanence. fur
thermore, by the existing restriction.
on immigration. Bidding for the
available supply of labor already had
become disturbing factor during
the latter half of the past wear An
exaggeration OF this tendency during
the coming year will diminish labor's
e'hciency. create unrest and increase
production costs. This in turn might
eStinGnish profits il consumers con
tinuc their resistance to higher
prices. or might provoke an un-
healthy imitation IL consumers bough,
recklcssly. There is besides tho rcaI
Very likely, large part OF the
troubles which may be conjured nm
IN this connection will not material
lHe; 1t must be admitted. however
that the country's labor supply is
uncomfortably short
For the rest. possible unfavora HE
developments at home threaten chief
~ from the domain OF politics. II the
administration should weaken be-
tore partisan pressure and permit un
!air treatment of the railroads, so
mat the earnings Of the latter should
ne further diminished, the effect
would be most unfortunate. Lower
purchasing power for the carriers
inevitably would react on the steel
ana equipment companies. Or II the
oohsIess wero to pass and sustain
ponms bill. or were to interfere
win the sound management OF Tho
eountrys banking system, or were
TO formulate uneconomic ta,a,ihn
measures. business would smtrar
Ihese contingencies are, bowever
improbable OF fulHllment. The "a
uiinlstratton was. 1t is true. badIv
shaken by the fall election; lis ahi,,
1ty to carry out it's own lerislatiu.
program admittedly is impaired ~
is equally clear, howeyer. thst 49,