Evening star. [volume] (Washington, D.C.) 1854-1972, 1931-01-25
Trade Trend and Outlook
President of New York Edison Company Predicts
Period of Greater Prosperity to Follow End
of Business Depression.
BY MATTHEW S. SLOAN,

President New York Edison Co., as told to
J. v. Fitzgerald.
Special Dispatch to The Star
NEW YORK, January pa am not
a prophet nor the son of a prophet.
I will not undertake to predict when
an upturn in business is coming, though
I have a feeling which I know a good
many others share, that this year will
bring a general improvement In con-
ditionS.
This much is certain. The United
States has passed through a number
of Expressions as bad as this one, or
worse. It has come through them and
gone on to periods of greater prosper
ICY, with the benefits more widely dis
tributed than ever before. No person
of sound sense can doubt that this
will come about again. I don't believe
the most depressed and respondent
business man you can find is willing to
bet against the future of the country.
And why should he? Bad times, as
the phras, goes, are worldwide right
now. Yet of all the countries feeling
this business depre ssion, ours is the
best off. We have much unemployment
and serious suffering, it is true. We
have also business concerns, big and
little, which have kept their people on
the pay rolls when they were losing
money by doing so, and We have a
population which has given generously
for relief of the UNEMPLOYED and will
give more If it is necessary.
Expansion Of Facilities.
We have busine sses which, with full
confidence in the future, made last wear
large expenditures and will make large
expenditures this year in building ahead
to meet the business demands of the
coming years. The electric utilities made
new capital investm nts of about $780,
100000 last year and this years ex-
penditures will probably be $3.50, 000, 900
or 100000 900. The railroads and the
gas utilities also made and are making
very large CAPITAL investm- nts.
The United States has huge funds
OF capital. Its banks are full of money.
and interest rates are now low. Savings
banks deposits gained heavily last year.
The agencies of production-the fac
tories and shops and mills of the coun-
try-were probably never in better con-
dition physically and never before had
they in support Of them greater re-
sources of scientific research in engi-
neering and chemistry.
In spite Of all we have heard Of over
production, there is no general surplus
OF goods Inventories are small. Sur
pluses, where they exist, are in raw ma
CerldIS, WHICH means tnat Wnen people
again begin to buy freely factories will
have to rush production. with increases
in employment and in money in circu-
lation.
Jt'st when that will come to pass. no.
body can say with accuracy, but it is
bound to come. We Americans had one
grand spree for a while Now we are
suffering from headache and a dark
brown taste. We are gloomy. We are
depressed We are overcautious. Those
of us who have regular jobs and unirn-
paired incomes are pinching and par
ing.
Warns Against Another Spree"
That is bad judgment, but it Is nat
ural, suppose. However, 1t won't last
long. One by one, businesses which
have been hesitant will put on a little
more power and find they can make
sales. BY tens and twentieS and hum
dreds people will begin to buy the
things they want and can afford to pay
TOR, as well as those things they can't
do without. Then some morning we will
all wake up, find the sun shining and
suddenly realize that the depression is
broken and business is looking up.
When that happens, we will be at
the beginning of another period of