Evening star. [volume] (Washington, D.C.) 1854-1972, 1929-12-15
ECONOMIST FINDS
LONG PULL BULLISH
Gage P. Wright Sees No
Reason for Liquidation
in Stock Market.
BY JOHN F. SINCLAIR.

Special Dispatch to The Star.
NEW YORK, December 14.-Gage P.
Wright, the New York economist. does
not believe that the current temporary
hesitation In business conditions war
rants the present stock liquidation.
He does say, however, that wide
fluctuations in stock prices should be
expected and the relative price changes
| will appear more severe when measured
in terms of points rather than by the
! true measurement of per cent.
stock, for example, that is selling
| at $50 which breaks to $40 means 20
per cent break But a stock selling at
$500 that breaks so points is only
| 10 per cent break So when newspaper
headlines announced break OF 80
points in a certain stock 1t looks bad
for the party who is interested IN
| stocks. but it may not be anywhere like
as significant when the drop in per-
centage is considered.
Mr. Wright, who measures the op1n-
ions of all of the outstanding market
experts in the country into composite
one, says that their recommendations
continue publish on recommended
stocks for the long pull.
But very few of the well known ex-
perts predicted any such crash as oc-
Cured in the stock market.
The rise of stocks during the last
three weeks is to. be short lived-if the
prediction of Roger Babson proves cor
rect-"just temporary rally in a bear
market" is what he calls 1t.
Insurance and War.
DR.. John G. Hibben, president of
Princeton University, told the insurance
presidents that success in life can be
measured only in one way-"aS to what
extent living brings enduring satisfac-
ton"
mo one can be successful in business
if his activities bring him little pleasure
and if his nature becomes soured, mo-
rose, cynical and life itself futile
thing.
THE fundamental principle of all
business is reciprocal advantage-ad-
vantage to him that sells and to him
who buys. Otherwise he who sells is
exploiting the credulity and ignorance
of the buyer-the one Is gaining and
the other is losing" said this university
head
Urging the life insurance men to use
their tremendous power in the inter-
national field for the cause of peace,
this successor of Woodrow Wilson de-
clared that nations, as well as indl-
viduals, are now confronted with the
serious problem of the business Of life
problem not merely of living, but of
survival. 1t Is new world order In
which there can be no place for war.
No organized group Is more power
full in the development of public opin-
ion against war than the officers and
directors of life insurance companies.
Art Treasures Escape Storm.
The devastating storm raging around
Britain'S shores this week, causing the
loss of hundreds of lives and untold
property damage, did not, much to the
Of of fhFNllOhniIt
world, wreck the Italian treasure ship
Leonardo da Vinci, which arrived in
England, during the storm, with one of
the most valuable collections of art ever
assembled on one ship.
The total cargo of these valuable
sculpture, drawings and tapestries,
probably exceeds $50,000,0O0 in value
One Giorgione picture is insured for
$4,000 900.
Had these works of art, some of the
finest In all Italy, with 10 from the
Ufizzi, 10 from Pitt, IL from the Cor
SIM Gallery, IL from the Venice Acade-
INV, 20 from Brera and $50 from private
and municipal collections throughout
Italy. gone down at sea it would have
been an international disaster.
These precious works of art were sent
to England for an italian exhibition at
the Royal Academy of London, begin
! uulS JdIludIy l.
New York Bond Sale.
New York City borrowed $65,000,00O
this week and agreed to pay 4.35 per
cent annually for it.
When the last big New York bond
sale took place, on May last, an issue
of $4,000, 900 of 4.25 per cent subway
corporate stock was sold on a 40 per
cent basis. About year ago, Novenn-
Der 20, 1928 an issue of $55,000,000
was sold on 4.20 per cent basis.
For the issue of $65.000,000 of $50
per cent bonds, premium of 81 ,526,655
was obtained. This makes the cost
to the city 1881 per cent annually. 1t
Is the highest rate the city has paid IN
many years for long-term financing:
Nevertheless, Controller Berry consid-
cred the sale highly gratifying"
The issue was oversubScribed four
times. with total bids amounting to
1855 900 O00
New York City's financial statement
of December l showed an assessed VAL
uation of taxable realty of $17,l33,-
$4,000, while the net debt amounts to
$1,245, 524,515.
New Labor Leader.
coming labor leader! His name
| is H. H. Breach. and he has just
been elected to the presidency of the
International Brotherhood of Electrical
Workers, succeeding the late j. P.
Noonan.
Young Breach. now 81, has been vice
| president of this union for 10 years.
He has travelled extensively, knows the
country, has an engaging personality,
and unusual ability as a speaker.
Mr.. Breach began his labor union
career as a member of the Oklahoma
City Union, where he became record.
! ing secretary. A few years later ne
became business representative of the
Des Moines 1owa) local. then national
organizer and finally vice president in
| 1919.
This dynamic leader of the 15O,0O0'
| electrical workers, scattered all over the
United States and Canada, looks much
younger than his age. In union circles
| he's known as a progressive and a
hustler, the new business type.
| Three years ago he entered New York,
where the local union was badly disor-
| gained. After a terrific fight, he won
out, reorganized it and made it a
prosperous institution.
! He is an outstanding champion of the
5-day week-a labor leader whose
career has only started.
! (Copyright. 1929. by North American News
| paper Alliance