Evening star. [volume] (Washington, D.C.) 1854-1972, 1931-04-30
SERIOUS ATTITUDE
MARKS MEETINGS
Fewer Delegates to U. S.
Chamber of Commerce UtiI-
izSag Time for Recreation
BY JOHN F. SINCLAIR.

MAMA. AS entered the audi
forum just before the opening CT the
first session of the United States Cham
bzr of Commerce Convention here yes
terday overheard Western delegate
ask New Yorker this question:
Using much red ink these days2"
Nothing else but" was the reply.
The 1000 delegates seem more sober,
ouieter, more serious than they were
last year. The committee meetings are
much better attended: fewer delegates
are playing golf. Each is here to learn
whether the other fellows business is
in the same shape as his own. Gener-
ally speaking. it isl
The address of Robert P Lamont,
Secretary of Commerce. contained moth
ing new. He told how America is Suf-
fering from being at the bottom OF
business cycle. This. he said, has oc-
Cured time and again in the history Of
the United States. Perhaps some day
American business men will learn how
10 meet it. Until then" the Secretary
said, "all that can be done is to do the
best we can and hope for the best"
There were some who called this "a
6efeatist's philosophy"
Still, the Secretary had a good word
banker. the laboring man and the
Government. AS whole, the address
was the typical political point of view.
Everything will work out all right.
People out of work are suffering less
than they ever did before in a major
panic. No social disturbance of con-
sequence has occurred.
However, there was one hint OF
constructive suggestion given when the
"a odx nf
today who may find themselves in
the midst of another depression to
begin. as soon as conditions warrant.
to put away in some form OF reserve, q
small fraction of what may perhaps
have been overSpent in mechanical and
physical development" so that they
may find themselves in a better posi-
ton to meet it.
Altogether the Secretary's address
did not give much encouragement to
those who we're looking fer way out
of the present depression.
Harry A. Wheeler, Chicago banker,
first president of the United States
Chamber of Commerce. advised all
well-to-do Americans Ito loosen their
pursestrings" only the consumer"
he said, has the power to overcome
depressed conditions and restore sound
and continuing prosperity"
Mr. Wheeler doesn't think much of
vast expenditures for public works. It
is IAN artificial stimulus" and ques-
tionable procedure at best. The same
goes for large expenditures for plants
and equipments. Neither of these plans
is a solution for depression.
But liberal spending by those able to
spend Is solution, he thinks.
In 1910, the United States had $18,-
500 COO, 900 of bank deposits. In 1880,
$50 600, 000, 900. In 1910, savings de-
posts were $500 900 900, and 8,0o0..
600 900 in 1880. In 1910, the national
income of the United States was
S31 600, 000, 900, and in 1929 it was
$34, 900 ,o0o, 900.
This Chicago banker took these fig
ureS and asked that a part Of this
wealth be spent to improve industrial
conditions. He thinks this Is the only
way out.
spending by everybody who has
means to spend takes commodities out
of the market, forces the production of
new commodities to take their place,
creates employment circulates wages
and, If carried out logically, gradually
VIII improve the conditions from which
we are suffering"
It is not a new idea. But it is one
that Is receiving wide acceptance here.
Rome C.. Stephenson of South Bend.
Ind, president of the American Bank
ers' Association, came out against any
lowering of the American standard of
living. But before he was through he
qualified and limited its meaning to say
that this does not mean that ANY
worker or class of worker shall receive
any guaranteed scale of wages"
1t is well known that American
bankers generally believe that lower
wages are in the making. Labcr lead
ers have constantly charged the bank
ers, especially the Wall Street bankers,
as being responsible for the drive now
in process TO reduce wages.
So the Stephenson address was fol-
lowed closely by all delegates. When
this banker asserted that the subject
of wages is not a fetish, but prac-
tical matter of hard facts and must
be met on the latter basis TO be CT any
service to business, he was undoubtedly
speaking the mind OF the majority OF
the delegates.
The thoughtful address of Dr. Wesley
G. Mitchell Of Columbia University, an
authority on business cycles, attracted
much attention. Speaking on the SUBJ
ject Of sterilization in business. this
well known economist showed business
way of its accomplishment. He told Of
the efforts being made to Iron out the
business cycle" and he showed how
little had been accomplished along this
line Why? Because the factors which
make up business are so involved ana
intricate that no one person or group
Of persons seems to have the necessary
knowledge CT the mechanics OF the
thing to make it work successfully for
an indefinite period
Perhaps that's why President Hoo
Yer's committee on recent economic
changes suggested that the crying need
in the business world is Ito develop a
technique Of balance, based on scientific
knowledge"
DR.. Mitchell enumerating some of
the secular trends which contribute TO
the worlds business difficulties in vari-
Gus ways, mentioned:
l. The decline in the racial popu-
lation growth. which affects the demand
for all sorts of consumers goods.
2. The fear of future gold shortage,
which tends TO force down prices.
3. The substitution of tractors and
automobiles for horses and mules, which
is cutting into the market for forage
crops.
4. Technical unemployment, perhaps
the most important Of all.
Can business be stabilized? me
world of business would like TO know
The experts give various answers. Prof
Mitchell sums 1t up in these words;
I'VE need to stabilize business in the
sense of making economic progress more
regular, but to devise sterilization plans
which will work as we wish we need to
know more about economic processes
and their interrelations than we kno"
now. That knowledge Is our fundamen-
tai need"
Again the cry for facts and more
facts-not for conclusions.
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