Evening star., 1925-12-31

corporations show
ed greater net 3&S 4Sll5y
earnings than in IS N&&W W I'll
The great postwar E$S I'll
Imitation of 1920 or E$
in any year since En--.-..-..... ss.4...k
the peak of war JC Roy1r
profits in 1917
New records We're established in many
lines for industrial earnings and in
dlVidual incomes.
Better than all. these earnings were
accumulated without pressure of a
boom, without the imitation of in
NentorleS or prices and without the
proba bility of a disastrous reaction.
There was no headache in the busi-
ness party of 1928. Industry, COM
merce and trade will not awake TO re-
action and regret in the cold dawn of
the New Year
1T was not a period of commercial
orgy or industrial excess. Business
foresight exercised d more drastic pro
hihition of artificial stimulation than
the EolSteitd act. In consequence this
country starts 1926 with high hopes
of future prosperity rather than with
regrets for past mistakes.
Had Great Finish.
The year closed with the heaviest
buying in consumers goods on record
but with potential buying power un-
diminished. Business activity in De-
Cember was running fully 10 per cent
ahead OF the corresponding period of
1924, and 20 per cent above that of
1923. Wage earnerS We're fortified by
stable earnings over a long period
and they ended the year with pockets
full, not empty.
These facts must not be taken to in
dicate that every business man and
worker in the United States had a sue
Cessful year. But in no annual period
in history did so many lines of en-
deavor participate III the general pros
pertty. With but few exceptions even
those industries which did not rise to
firm profit footing bettered their
positions materially. The weak lines
or 1924 in general adjusted them
selves adrantageously to new methods
and policies
Big Building Operations.
The factors which contributed to
these results were many Probably
the most potent was the tremendous
volume of building construction. The
amount expended on building in 1925
exceeded $3.50, ,000, 900 and represent
I'd the greatest construction year since
man began to pile one stone on an
shows no immediate signs of slacken-
ing, although the building needs Of
some communities undoubtedly have
been filed. Building material produc-
ton and costs, labor costs and money
supply We're favora BILE throughout the
year.
Building had wide influence on in
dustry in general. 1t stimulated the
production of raw and manufactured
1I1
high wages. increased buying power
and offered profitable outlet for sur
plus funds. Wage scales showed
some advances, but there was a mini
mum of labor disputes and an increase
In individual worker efficiency, which
banished the bonus evil pretty effec-
tually. 1t was a year of home buy
ing and home building. and that class
Df demand Is still untitled.
Farmers Had More
Farmers of the United States re-
ceived less money for their big money
crops-wheat, corn and cotton-in
1925 than in the previous year, but
they had more money to spend, since
less of II went to pay old debts, and
it bought more than at any time since
1920 The relative exchange value OF
farm products for what the farmer
buys was approximately 90 TO 100, the
highest point reached in FIVE years.
The farmer had fewer debts and con
seduently more ready cash for manu-
factured products, owing to his i'm
proved financial position. The total
return from all the agricultural prod
ucts Of the country to growers was
not far from $12 900 .00o.00 according
TO estimates by Government observers.
The wheat crop was short, being
estimated at 697 100000 bushels, as
compared with 100000 bushels in
1924, but prices were high. One late
lot of white wheat, for example, sold
in the Pacific Northwest at s1.50 a
bushel ungraded at primary terminals.
Two dollar wheat was regarded as a
possibility, owing to late damage to
Argentine and Australian crops.
Corn and Cotton.
The corn crop totaled over 5000, ,000.-
600 bushels. compared with 2,437.000,
900 in 1924. Prices dropped sharply.
None the less, profits were not lack
ing. as live stock prices were all well
above those for the preceding year
and most of the American corn is
marketed in the form Of meat.
The cotton crop was estimated at
15, 100000 bales, as against 13.630,00
the previous year. 1t was the second
largest ever pTOuOCSu. buI d LII 6o
part of the crop was damaged by
cold in the Fall and was Of inferior
quality. The first third Of the crop
was marketed at high prices, but later
the levels dropped sharply. According
to Secretary Hester of the New Or
leans Cotton Exchange. recognized
authority, the crop will bring the
planters about $4,000 900, 900, as com
pared with s1,9s0,000,0 900 in 1924.
The position Of the agriculturists
was bettered, as compared with last
year, by the increase in valuation OF
farm lands. Sales of farms increased
%B per cent in number and total con
aideration jumped 121 per cent dur
sng the year, indicating higher prices
little Unemployment in Year.
Unemployment in most lines pract1'
bslly ceased to exist in 1925. There
vas the usual labor turnover incident
co transfer of itinerant workers and
~suit case" mechanics. But in gen
sral workers were fully employed at
q level of remuneration never before
auualled in the history of the world
Building, road construction, which
called for expenditure of over $1,000.
900, 900; railroad improvements and
public works absorbed the unskilled
workers, while skilled men were In
steady demand. This served to main
tain buying power without Interrupt
ton.
There was a notable lack of labor
disputes The largest strike, that In
the anthracite coal fields, kept ,0OC