Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1924-10-29
Sec. Hoover Talks
On World Commerce
In Trade Year Book

wv AAOOVSA OANS
On World Commerce
In Trade Year Book
Washington. Oct. 2S-Activities of
the United States in world commerce
which have transformed the country
from a debtor to a creditor nation.
were discussed by Secretary Hoover
today in a statement attached to the
second annual yearbook of world
trade issued by the Commerce De-
partment.
The year book contains a general
survey of world trade for 1923, pre-
senting for the first time complete
statistics and summary of funda-
mental economic data in all the
foreign countries where American
products find their market. 1t was
issued in response tC a demand from
American business interests for a
consolidation of all such data, to aid
them in laying out long range pro-
grams for the sterilization Of bust
ness and industry so as to minimize
the economic losses resulting from
the recurrent extremes of the bust
ness cycle.
Secretary IIoover's statement de-
Su llldl Sftt NSdI iV-o, lIoIll tlS
economic point. of view. was charac-
terized by three major features as
I follows:
G) Full employment of labor
and the continuance. especially dur
! ing the early part of the year, of
the upward swing of the business
cycle in nearly all branches OF in
dustry and domestic trade under the
lead of the construction industries;
CD The continuance. as was ex-
TeCted, of the narrowing OF the
balance of trade, or excess of eX-
ports over imports;
60 The continuance of con-
siderable degree of depression in
certain branches OF agriculture. al
though in other branches the situa-
ton improved.
"Throughout the year." the Secre-
tary declared, there was practically
no unemployment. and wages con-
tinued at remunerative levels. Proc
duction of manufacturing. mining
and forest Industries during 1923
surpassed that of any previous year,
and on tine average was at least
one fifth greater than in 1922. Al
though there was some recession
during the later months of the year,
the output of these industries In the
last quarter was greater than during
the corresponding quarter of 1922.
Construction. especially of resident
ial buildings, the expansion of which
had given the first impetus to
general industrial recovery from the
, depression of 1921, showed great
activity throughout the year. the
volume surprising any previously
; recorded.
The business activity of the past
year. however, did not take on the
speculative boom. There was no
violent imitation Of prices and credit.
! or any undue accumulation Of stocks.
A spirit of caution. born of the
general European situation and our
domestic agriculture situation, domi-
mated the business world. The
general level of wholesale prices
continued until April the gradual but
small rise manifested during 1922;
thereafter it fell off slightly. While
the average for the year as whole
was n little higher than for the pre-
, ceding year. the price level at the
close of 1929 was Il trifle lower than
in the previous December. The year
was one Of advancing standards of
| living throughout all sections, eX-
During the early months of 1923
the shift in the relation of exports
to imports, which had been going
on for some time. continued until
for the three months March to May.
the imports of commodities actually
exceeded exports materially. There
after was noted n decline in i'm
ports ana increase in exports. but
for the year rs a whole. the excess
OF commodity exports over imports
($316, 000,000), was only half as great
as in 1922: There was also a large
net importation H296. 000.000) of gold
and silver. and the excess of COM
Lined exports of merchandise and
precious metals over imports was the
smallest since 1890.
Although the large imports OF the
first half of 1898 were abnormal.
some diminution, as compared with
| war years and pre-war years in the
excess of exports is quite what was
10 be expected 1t Is the result of the
changed position OF this country in
the world. Frn:~ a debtor we have
become a creator nation. We no
longer have to pay large balance
to foreigners for ocean transpOrta-
ton. Our population has increa sed
| materially, and our standard of liv-
ing likewise has advanced, so that
we demand more raw materials and
tropical foodstuffs from abroad. and
so that we consume more OF our
own materials and foodstuffs. Finally
during the past two years, the United
States has been sought extensively
as & field for investment of capital
from countries with deprecated cur
rency. All of these causes have
tended to bring about closer
balance between exports and imports
than formerly existed"
The net balance of trade and in
visible items against the United
| States in 1928 was but a third OF
that for 1922. the Secretary declared.
while for large fractions Of the
agricultural community the year
1923 witnessed a continuance OF the