Evening star. [volume] (Washington, D.C.) 1854-1972, 1930-02-25
NSTALLMENT SALES.
SHOW GREAT GAINS|
Last Three Years Have Wit
messed Huge Increase in
Credit Buying.
By JOHN F. SINCLAIR.

Special Dispatch to The Star.
NEW YORK, February 25.-WTien
Prof. e. A. II. Seligman OF Columbia
University completed his study of in
stallment buying, he said that the sys-
TEN had IN it the elements OF great
development, but that it would have to
be handled with care.
The world has heard much about
American lat buying automobiles,
radios, pianos, vacuum cleaners, ana
many writers have pointed to this fact
as lncontrovertible evidence of the
prosperity Of labor.
And during this time the future earn
ings of American workers we're beng
pledged. through the process OF INSTALL
menG purchase, to an extent never be-
tore equaled.
DIR. Prank A. Fall, director of educa-
ton and research of the National AS
ISOLATION of Credit Men, has issued tlg-
ures TO show the extent of installment
buying in 1926. Later figures are not
yet available He shows that S5 per
cent OF the furniture, 30 per cent of
the monographs, rs per cent of the
Washing machines and automoblles, 90
per cent of the vacuum cleaners, 40 per
cent of the pianos and % per cent OF
the jewelry were bought during that
year on the lnstallment plan. I'm
doubtedly, the last three years have
shown a much greater proportion OF in
Stallment sales.
But look at the amazing residence of
American Industry BUILDING and loan
associations now have resources exceed
ing $4,000, 00u 600; savings bank depos-
its aggregate about S2S, 0uO, 1000, 600 more.
Hall OF the American people own their
own homes, while between 10 ,O00, 00O ana
10000 900 people own stocks and bonds
in various corporations. More than
500, 600, 600, 600 of life insurance is car
red by 60000000 people.
Installment buying carried on Tor
decades within modest limits by several
American corporations, notably the IN
ternational Harvester Co. and the Singer
Sewing Machine Co., has worked out IN
an eminently satisfactory way.
But installment buying of every lux
ury and almost every necessity OF life
on such an extensive scale as pract1ced
during the last few years does present
elements of very great danger to busi-
ness.
Extra-fare Trains.
The extra-fare train came in mod
est way some years ago to provide busl-
ness men between New York and Chi
cago with certain services that could
not be secured on train run on regular
schedule.
So popular have these specials become
that To-Day two-thirds of all trains oper-
ating on the New York Central between
Chicago and New York are Of the extra
fare class. The Pennsylvania Railroad
has much the same situation.
Now the Interstate Commerce Com
mission is investigating with view of
finding out whether the service on regu-
lar trains Is being sacrificed. Mean
while, thousands OF passengers, travelling
ira fare, are finding It more difficult to
get the adequate service they had be-
lore extra-fare trains had become so
popular
Recently the Chicago Association of !
Commerce complained that the citizens |
of st. Louis who pay for the better class |
Of service receive too many advantages |
and favoTs over Chicago citizens travel |
ing on regular trains.
The report of the Interstate Com |
merce Commission on the subject |
should prove, interesting reading.
Russian Purchases.
In these days American business is
not turning the cold shoulder to orders
coming from Amtorg, the Russian
American trading corporation, the
most active buying organization in the
United States today.
Texas is shipping SIS, 100000 order
to Northern Russia. During the year
1928-29 the total amount of American
cotton purchased by Amtorg was valued
at 10000, 000-about $4,000 900 less
than in the preceding year. Cotton
growing areas in other parts of the
world caused the decline.
The Allis-C Chalmers Co., Milwaukee,
has Amtorg orders for tractors valued at
$4,000, GOO. Throughout the Unit7d
States the total tractor shipments to
Russia before the end of March viii ex-
coed 10000 units, valued at about
SIS, 100000.
Amtorg has bought in the United
States this year 1900 plows, 1900 grain
drills and $4,000 special drills for cotton
and corn.
mo one not closely in touch with the
Russian situation can realize the ire
nendous amount of money which the
Soyiets are putting into agricultural de-
yelopment---that is, agricultural ma
chinery," says Thomas D. Campbell of
Montana, an agricultural adviser to the
Soviet government in the United States.
81 should not be surprised to see $780,
o00.000 spent in the United States for
agricultural machinery in the next 10
years"
Soviet Russia, unrecognized here po-
litically. is doing more business now in
the United States than in any other
country in the world
(Copyright, 1880. by North American News