The daily star-mirror. (Moscow, Idaho) 1911-1939, 1923-12-29
PROSPERITY IN MOST INDUST-
ES-AUTOMOBILE OUTPUT
=. GREATEST IN HISTORY

New York-(A. P.)-Business in
the United States during 1928 was
good in most lines, with the outlook
for 1924 regarded as encouraging by
many business and banking leaders.
While opinion is divided as to the ex-
tent which domestic business has suf-
fered by the unsettled economic con-
dition of Europe, there is a unanimity
of opinion among Industrial execu
tives that a satisfactory solution of
the troublesome reparations problem
would stimulate business and in
crease Industrial activity in this
country.
Freed, from. the heavy expenses en-.
tailed by the prolonged sbopmen's.
strike and the loss Of revenue from
the miners strike, which caused
enormous losses in 1922, the railroads
generally enjoyed prosperous year.
Net income of Glass One roads for
the first ten monthe of 1928, the lat
est figures available, totaled approx
mately $820,00O,O00 over the cores
ponding period of 1923, with indica-
tions that the years total net income
would reach $1,000,0O0,O00
-. Record Freight Business
FreighA traffic reached recOrd-break-
ing proportions, the weekly car load
ings exceeding the million mark more
than 20 times. The Increased eff
cheney In loading and moving cars
was, shown by an. increase OF, approx
imately 80 per cent in met ton miles
over, 1922. Huge sums were spent
for new equipment, the purchase of
WHICH was financed largely by short
term obligations known as equip
ment trusts. The Baltimore & Ohio
railroad resumed dividends on its
common stock during the year, the
New York Central increased its an
nua1 dividend from to 7 per cent,
and the Gulf, Mobile & Northern de-
clared an initial dividend of L per
cent. on Its preferred stock. The
Louisville G Nashville railroad de-
clared stock dividend of 621a per |
cent.
For the first time since 1917 the
railroads showed an increase in the
construction of main line mileage.
Important construction developments
under way include the link up of the |
Southern Pacific with Mexico City,
the double tracking of the Santa Fe,
the cutoff operations OF the New
York Central at Albany and of the
Illinois Central on its main line.
Eliminate 12 Hour Day
Elimination OF the IL hour day at
the suggestion of the late President
developments of the steel industry in
1923. E. H. Gary, chairman of the
United States Steel Corporation, es-
timated, when the announcement was
made, that the change in working
hours would increase the cost OF
production by Is per cent. Record
breaking building construction, much
of which was delayed by the war, and
unusually large railroad orders help
ed to offset the loss of export bust
ness through the economic disturb
ance of Europe. Material for re-
construction work in Japan was an
important factor in the closing
months of the year. The declaration
of an extra dividend of one-quarter of
1 per cent by the U. S. Steel Cor
poration on October 80 was generally ]
construed as an expression OF con-
fidence in the immediate business
future.
Heavy over-productiOn of crude ]
oil in California followed by the dis
covery of big productive field
market, forcing crude oil prices to
very low levels and bringing about
gasoline price-cutting war in various !,
sections Of the country, despite the
fact that consumption was greater ,
than ever before. The increase IN
domestics production more than off
set the loss in Mexico where many :
wells ran into salt water earlier in :
the year In order to conserve their :
cash resources and finance huge
quantities of oil and gasoline in stor- z
age, several of the smaller companies 7
were forced to suspend or reduce T
heir dividends. n
Auto Industry PrOspers
The automobile industry had the F
pest year in it's history, nearly 4,OOO,-
700 cars and trucks being manufac-
.ured during the year. This brought !
he total cars in use in this country '
% approximately 14,000,0OO, or ~ Y
per cent of the worlds supply. Pro- T
1uction schedules recently announc- z
I'd by the larger companies indicate
hat the output in the first three "
months of 1924 will exceed that of z z
he corresponding period in 1928. D
Production of railroad equipment y
also reached new high records as
'esult of extensive requirements =
made by all the leading railroad sys- N
ems 1t is estimated that the rail-
oads of the United States spent ap- N
$3,100,000,000 for equip
nent in 1928. Forward buying thus
ar indicates another huge outlay
lext year.
Importation of large quantities OF l.
heap copper from Africa and South d
america unsettled the domestic cop al
'er market, despite the fact that con- q,
umption was greater than ever be-
ore, and in excess of domestic pro- "
uction The sharp diminution in N
xport demand, due to the unsettled r,
conomic conditions abroad, sent the y,
4 10 II nr-,