Evening star., 1924-03-08
BY ROGER w. BABsoN.

Special Dispatch to The Star.
BABSON PARK, Fla, March s.
The south will enjoy a tremendous
development and expansion during
the next twenty years. The immedi-
ate outlook for the states comprising G
the west central group of the, south.
however, is about average with that
of the balance of the country.
The four principal products of this
section are cotton, lumber, petroleum
and cattle. It SO happens that these
are diversified to such an extent that
they are almost never depressed at
the same time. This season, for in
stance, producers of cotton have been
very successful and have received
high prices for a good average crop.
The lumber business has been fairly
prosperous and Louisiana, leading in
this field. receives more income from
lumber than from crops. The build
ing boom has, of course, contributed
and the tendency to move from con-
gested city districts to suburbs. as
made possible by the automobile, will
stimulate residential building for
years to come. Cotton and lumber,
then. have prospered this year.
Oil Industry Depressed.
The petroleum industry, in which
Oklahoma holds such a prominent
place, however, has been consider
ably depressed, due to overproduction
of southern California oil. Prices
have fallen below operating costs
and the oil section of the south has
suffered. The fourth industry. the
raising of cattle. has also been handi-
capped by the low prices offered for
beef. This industry has not recov-
cred from the sudden slump it suf-
fered at the close of the war Chick
ems. hogs, sheep and other small live
stock are getting back onto pay
ing basis, but the cattle raiser is
Stlll suffering from 4 poor market.
Eventually, of course, this situation
Will right itself and the cattle rails
ers of the southwest will again pros
per.
Failure Statistics Reviewed.
An examination of the failure sta
tistics shows how these changes in
sources of income affect conditions
an and genera, business in these states.
In Texas there has been a decrease
OF 80 per cent in the number of fail
ures compared with last year Arkan-
sas has enjoyed a decrease of 80
per cent in failures: Louisiana has
Jared best of all with a decrease of
50 per cent, while Oklahoma with its
depressed oil industry has suffered
an increase of failures of l0S per
cent
1t is apparent from this survey that
The cotton growing sections and the
lumbering regions enjoying an in
creased purchasing power should
prove the best section for any sales
effort. The increase of around 25
per cent in income fom cotton is prac-
tically all profit. The Arkansas cotton
crop-for instance, shows gain of so
per cent in value over last year. the
Texas crop a gain of % per cent in
value and the Oklahoma crop a gain
OF 20 per cent in value. If it were not
for a decline in the oil industry Okla
homa would be in wonderful shape
today.
Many Splendid Markets.
The larger cities of this section
which serve diversified areas always
offer a good market for retail mer-
chandise. The chief cities of Texas.
Tor instance. should enjoy a retail
business at least 10 per cent ahead
of last year during the remainder of
1924. The Louisiana cities may be
expected to Go volume Of about 5