The Kennewick courier-reporter. [volume] (Kennewick, Wash.) 1939-1949, 1939-02-09

4 SApoAAoAAS uIdIkc@duO, finally, ]
the heavy goods industries are abb,
to continue their slow march III
from the bottom.
It seems certain that government
spending will be lavish and this i.
OF course highly favorable short.
term factor-even as, in the view
OF many, it is an unfavorable long.
term factor, because of it's unpleas.
ant influence on taxes and public
debt. The forecasters predict there
seems to be no reason why purch.
asing Of consumers goods should moi
be at good levels for most Of the
year. But-and this is a very biz
but" indeed there are many rea.
sons why the heavy goods industries
may find the going tough.
The railroads, for example, are
one Of the biggest customers. OF
these basic manufacturing indus
tries. And great deal must be done
and quickly before the railroads will
be in any position to spend money
for expansion and betterment on q
big scale. 1t is believed certain that
congress will tackle the railroad
program this session, and some good
groundwork has been laid - the
Presidents special committee Of six
has made an exhaustive report
which has met with wide approval,
and contains many basic suggestions
for legislative and regulatory
changes. But, even if some such
program IS quickly enacted, it will
take a considerable time before It
can bear much economic fruit. It Is,
therefore, argued in some quarters
that the government, through the
RIG or some similar agency, must
make loans to the lines for purposes
Of expansion and improvement, both
In the interest of economic recovery
and national defense. What hap
pens here remains to be seen.
Equally important customers Of
the heavy industries are the light
and power utilities. AS everyone
knows. without arguing the merits
OF the case, the utilities are bedev-
lied by government competition and
political attack. There will be some
utility expansion this year to care
for the normal growth in demand.
But, until the differences between
the utilities and the Administra-
ton are settled, there can be no
big-scale expansion Of the kind that
would really invigorate the heavy
goods makers. We have heard for
years that these differences are
about to be settled, but nothing def
Unite has happened. So here Is still
place where big "if" must
be eliminated before anyone can
honestly say that the sailing is clear.
Automobile sales have not come up
to expectations. Some say this IS
due primarily to the used-car prob
m-others attribute it to the eau
tiouS attitude Of q public which
doesn't know what IS going to hap
pen tomorrow and is hanging onto
It's money. Whatever the reason,
the failure Of sales to reach fore
casts greatly reduces the output Of
those vital, long dormant heavy
goods industries.
To end this piece on more opti-
nistic note, it can be said that the
outlook for construction, especially
N the residential field, Is bright.
And this Is a real help to the heavy
goods manufacturer. The urge to
build homes Is widespread and the
ong-tem, low-interest loans avail
able now are enabling hundreds Of |
thousands Of families to turn their
hopes into action.
No discussion Of business pros
,ects and actualities, even SO brief |
J one as the foregoing, would be