The times-news. [volume] (Hendersonville, N.C.) 1927-current, 1937-07-17
THE TRUE CONDITION OF BUSINESS

THE TRUE CONDITION OF BUSINESS
Statistics compiled and published by the
Bureau of Internal Revenue, taken from
the records of income tax returns filed by
corporations, show that in the year 1885
.65 per cent of the eountry's business cor
porations lost money Only a third of the
total number showed profits. Two-thirds
of the total number showed deficits in their
operations. i'".".'.
This statement applies to corporations.
Much of the business of the nation is done
by individuals, but businesses individually
owned are usually small. The country's
large enterprises are owned by corpora
tions, as rule 1t is evident, therefore,
that the prevalent view that a business is
necessarily plutocratic and prosperous be-
cause it belongs to corporation, is as false
as many other views currently entertained
in regard to industry and business.
The fact is that business in the country
as whole is little improved this year in
comparison with 1885; and when increas-
ing costs of doing business are loaded
on to the current years operations, the
chances are hundred to one that 1887
will show more corporations operating in
the red than in 1885.
The Times-News is not directing atten-
ton to this matter for the purpose of dis
couraging business men or other classes of
citizens. 1t is not done in a spirit of criti-
cism of anybody. 1t is not an expression
of pessimism. We believe the people of the
nation ought to have the facts in regard to
such vital matters; that they should not be
allowed to exist in a deluded state of mind.
The country ought to face the facts The
people ought to know the exact state of
industry and general business and the facts
ought to be taken into consideration, first
of all, in every move affecting the economic
condition of the United States. Il,
The record of business corporations for
1885 was startling. 1t was worse than that,
no doubt, to two-thirds of the corporate
management of the country endeavoring
to continue and carry on while operations
showed deficit or loss in operations. This
record of a depression" year, however, by
no means tells the whole story of business
conditions in the nation. The figures of the
Revenue Bureau show this startling fact
In the year 1929, supposed to be the
most prosperous in the history of the Unit
ed States, approximately one-ifth of the
total business of this country was done at a
loss. 49, 'r .'' ~ .,
This fact proves that the hazards of in
dustry and business must be considered in
the most prosperous times and that in spite
of the best efforts of management under
the most favorable conditions, many bust
ness enterprises simply cannot make the
grade. - So. Ole SOL. . .~H
Some simple but vital things for the pub
bic to remember in regard to business, are
That business is not successful and pros
porous merely because it is business
That business enterprise is not success
ful and prosperous because it is owned and
operated by a corporation. ."
That large majority of the industrial
and business enterprises of the country are
not wallowing in profits, ill-gotten gains OF
otherwise, but majority have been losing
money, and are still losing, on actual op.
erations. -
That under the added burdens of in,
creased costs of operations and exorbitapt
taxes, there is no probability that condi-
tons will improve, but every good reason
to believe they viii grow worse, that many
business enterprises will be driven from
&a 49, So as. Sr- s.. 81 - =.