Evening star. [volume] (Washington, D.C.) 1854-1972, 1930-01-26
COLLAPSE PROVES
BUSINESS SOUND
Nash Sees Industry Settling
Down to Constructive
Building for Future.

American business has busted of its
neglected desk, packed its dress clothes
away in moth balls and settled down to
the good old fundamental rule of "a
good days work for a good days pay"
according to G. W. Nash, president OF
the Nash Motors Co.
"InduStry--the automobile industry,
with other lesser branches-has thor
ougnly revived from the morning
after feeling which followed the coun-
try's greatest speculation spree. 1t has
had time to check up on the situation.
Conditions that looked bad on the gray
morning after the recent stock market
def1ation have been clearly analysed.
Stripped of the mental panic that
shook the country back to normal
processes of thinking, it has proved
that business in America is basically
sound our banks are loaded with cash,
and that business conditions generally
are on the firm and steady footing
which offers a fine challenge and the
biggest kind of opportunity for the man
who asks no favors and who is willing
to work for his prosperity"
In my judgment" he continues. the
countrys financial foundations are firm.
Almost all of her financial troubles
have been mental. In many sections of
this great and fruitful land people do
not know, neither are they interested,
in what has been going on In the stock
market. 1t is estimated that only a
small per cent of our population was
actually involved in the stock gambling
Sprees and that about / in 10 Of that
group lost his holdings. The rest. after
writing OF paper profits, retain the &C
tual securities they purchased. which,
in many instances. are more stable now
than they were at the peak of intoxi-
cation.
1.-THE country has been blessed with
q bounteous harvest. Prices Of farm
products are at satisfactory levels. Live
stock prices are excellent. Our natural
resources, such as iron. copper and
other commodities, are bringing very
good prices. Indications are that we are
going to have cheaper money in 1880
than we had in 1929. There is no short
age of money, and the entire history of
the American people has been that
when they have money they spend it.
1T is on these ample facts that base
my opinion. I foresee plainly that the
organizations which 60 out after BUSH
ness in an aggressive way will be sur
prised at the success which awaits them
in 1880. believe that next Spring will
see normal business conditions and that
those who have confidence in our coun-
try will find their prosperity exactly
measured by the amount Of hard, in
telligent work and effort put behind
their jobs.
Concerning the automobile industry.
I feel that we are facing a clear and
acid test in 1880. The motoring pub
lie Is going to be referee and judge and
there will be no handicaps worked out
for weak companies. Automobile man
ufacturers are going to survive and pro-
gress only in so far as they build ac-
tual values, service and comfort into
their products.
THE industry reached the legendary
'saturation point some time ago-that
is, it reached the point where manu-
featuring facilities in America had fully
caught up with the public demand. The
trend of automobile design and demand
today is toward not faster car, but q
more faithful and comfortable ma
chine that will deliver every ounce and
more Of the price put into 1t and viii
serve its owner brilliantly at the least
possible cost.
I'm my opinion, the automobile In
dustry is on the eve of general reor-
ganization The weak firms will have
q terrific battle on their hands during
the months to come to keep from being
weeded out. In 1916 total Of ITO
manufacturers exhibited at the national
shows Last year 43 lines of cars were list
ed. This year manufacturers with AZ lines
drew for space. I do not believe that
there will be as many manufacturers
In the field next year, but I am GER
tain that the buying public will bene-
ut highly from the keen competition
which Is inevitable.
"AS to production in 1880, the more
optimistic men of the industry are pre-
dieting that the market viii absorb q
greater number of automobiles than I
personally believe it will actually take.
will be nightly pleased If the market
in 1880 should ind itself capable Of alb
sorping as many cars as it did in 1929.
1t is pretty well established that the
American industry has top production
capacity or potentialities considerably
above the actual demand However, /
believe there will be more cars sold
than many predict at this. time"