The Indianapolis times. [volume] (Indianapolis [Ind.]) 1922-1965, 1930-07-30
EXPLANATION is
GIVEN FOR LATE
DROP IN STOCKS
Growth of Stockholders in
Great Corporations
Is Cited. eai
BIZ Times Specinl

bW Times Special
NEW YORK, July 30.-The ques-
ton, who bought the stocks every
one Sold?" came into the minds OF
many people as soon as they recov-
cred their bearings after the last
October-November stock market
crash. They realized that while so
many were selling all they had,
others were as eXcitedly buying all
they could pay for. Who we're theyp
An answer is given in George Put
man S article, Who owns the stocks
everyone Soldq" in the World Work
for August. 1t turns out that it was
not, after all, titanic struggle be-
tween the bulls and bears of Wall
Street, as was the case in most of
the old-time stock panics, with the
populace looking on merrily, but a
terrible competition between such
folks as the dry goods merchants
who forsook their counters for the
ticker and the real estate dealers
who turned to the financial pages
before they read the classified sec
tion, and other "worKaday people
who grind the grist of production"
In short, 1t was various plain peo-
pies for whom the bulls and bears
OF Wall Street worked themselves
almost to death in handling the
many thousands of orders which
haShed IN from practically every
city and town in America.
Stockholders Increase
IL is not possible to locate indi-
vldual sellers and buyers of Sc
curitleS, so the merchants and real
estate dealers and the workadav
people will remain anonymous. but
1t Is quite easy, in the light OF
events as they can be reviewed now.
TO see what securities they bought
comparing the stockholders list Of
ten leading industrial corporations
as OF February, 1929, and February.
1881, 1t becomes clear that their
average number Of stockholders IN
creased 85 per cent in that one wear.
or from 333,l98 stockholders in these
ten concerns Montgomery Ward.
General Motors, Continental Can,
Woolworth, Standard Oil of New
Jersey, Sears, Roebuck, Texas Cor
poratlon, Westinghouse Electro.
General Electric and United Fruit
In 1929 to 1882 in 1880.
Much of the excitement cer1tered
around the great public utility
houses, which were largely new.
corners to the stock panic struggle
and among them the increase in
stock ownership was also verv no.
Clceaole. Ten such concerns showed
an average increase of stockholders
VI ~ per cent in one year.
Barriers Lowered
In The case of Radio Cornoration
OF America, there was a time when
they were adding new stockholders
at the rate of 900 day. In the
North American Company, the num-
per OF stockholders increased about
5000. Packard Motor Car Companv
Jumped from some 1000 stockhold-
ers OF Aug. 81, 1929, to approximately
$4,000 in four months.
Putnam, an investment banker
believes that the general effect of
this wide dispersion of ownership OF
corporations has contributed ma
terially to the development of the
country as a whole. He saws: "The
Ill wind has aided the indignation
OF the nation. 1t has helped push
down some of the old barriers be-
tween capital and labor. We are
rising up more closely knit than we
went down. We are developing a
new and better understanding of hui
man relationships and new con-
ception of economies"