Evening star., 1936-06-28
ADVANCE CALLED
VALUE[ESS ISSUE
|NELECT|0NDR
Most Prosperous Declared
Bitterest Opponents of
New Deal Policies.
SETBACK IN RECOVERY
MOVEMENT NOW FEARED
Belief That Pump.Priming Meth.
ods Should Give Way to Nat.
ural Trade Forces Spreads.
BY CHARLES r. SPEARE.

BY CHARLES r. SPEARE.
special Dispatch to The Star.
NEW YORK, June 27-The first
half of 1896 Is ending with all the
important industrial and financial
statistics more favorable than at the
close of 1885.
Among the significant gains of this
period is that in foreign trade, which,
in May, was % per cent greater in
exports and showed IL per cent more
value in imports compared with a
year ago, continuing the progress that
began in January and has been con-
sistent ever since.
This Is important as development
in one section of the business world
that has long been PROSTATE and in
which there Is much unemployment.
It comedies in time with the uplift
in the steam transportation and build
ing industries and will help to round
out a recovery that has been too much
in the field of consumers goods.
As an asset in a political campaign,
the fact of a rising prosperity may,
on occasions, be important. This
obviously was the belief of Senator
Barkley in his keynote" speech at
Philadelphia, in which he presented
a long list of gains in the national
economy during the Roosevelt admin
istration. Yet its value may be over
estimated.
Prosperous Oppose Policies.
Those whose business profits and
investments have risen in greatest
percentage since 1888 are the bitterest
opponents of the administration. 1t
is doubtful II the 10000, 600 or 12,000,-
900 unemployed and so per cent of
those working on Federal projects.
rather than at their own trades or in
their professions, feel deep sense Of
gratitude for having been kept from
starving.
A year ago It was common belief
that the election next November would
be determined by the degree of recoy-
cry In the months just preceding 1t.
Today other factors appear more COM
pelling. For one thing, there is the
fear that the recovery now being en-
joyed will slip away II Government ex-
penditures are not curtailed and the
budget set up so that it may soon be
brought to an approximation Of a bal
ance. Then, among those who admit
that "pump-priming" was necessary to
start up the industrial machine, there
Is the conviction that enough momen-
tum in business has been created to
carry it along and that orthodox and
traditional methods are now desirable
rather than those of an emergency or
experimental character. This new
psychology is spreading 1t will have
an important effect on prediction
forecasts in the next three months.
Farmers Swinging Right.
The Republican party platform
made a strong bid for the farmer vote.
As the campaign evolves from the
agricultural center of the country and
as the farmer is relatively prosperous
and traditionally conservative in poll
tics, he will gravitate more to the
right than to the left. On the other
hand, organized labor. under powerful
leadership. will be better satisfied with
the promises made to it in Philadel-
phia than In Cleveland, where it re-
ceived a lukewarm reception.
AS the social and economic phil
osophy of the new Democratic party
becomes clearer, 1t is obvious that it
intends to feature in the 1896 cam
paign the evils of concentrated wealth
and the crushing effect of this on the
wage Garner, the farmer and the
small merchant and manufacturer.
Such q subject gives opportunity for
popular appeal It reflects on Wall
Street and big business. Like that
of the Constitution, it is readily
translatable into terms that the mass
can understand.
The harmony in Cleveland two weeks
ago and the liberal policies Of the Re-
publican nominee Influenced a revival
of speculation in securities and a re-
turn to the high average prices reached
by stocks last Winter. Subsequently.
the market grew dull and its trend
irregular, for which the convention in
Philadelphia was held responsible. The
adjournment of Congress, after pass
ing the long-debated $500, ,000, 900 tax
bill, caused relief, but brought no more
business to Wall Street.
There has been considerably less BEN
eft to retail trade from the distribu-
ton June IS of the soldiers bonus than
had been anticipated. In spite Of this,
retail gains over last June are reported
from many sections of the country
where drought conditions are absent.
The current iron and steel output
figures are close to the best Of the
year-more than double those Of
year ago.
One new sign OF increasing recovery
is the demand for railroad equipment.
The Southern Pacific this week placed
>,lnrs For froioht rave volttod at "a