Montgomery County sentinel. [volume] (Rockville, Md.) 1855-1974, 1945-12-27
BabsOn Predicts
For Coming Year
(Contin1ted From Pnne !
RETAIL SALES

s-DONS WIG SAINT dS ia 1O4O. OdleS OF
ladies' apparel and general luxur-
les will suffer, but many items now
unavailable will be purchased.
The total dollar retail sales
should exceed 1916 with an in
creased demand for wooden and
cotton textiles.
There will be a great demand
for mems clothing and especially
for shirts with honest standard
length tails"
Wise shoppers will buy only
what they need and not grab to
stock up unnecessary supplies.
FOREIGN TRADE
The United States will own over
500 of the worlds shipping in
1916.
We will make England and some
other countries loans provided they
will agree to spend a fair proper
ton of the money in the United
States.
Both the British Empire and
Russia will keenly complete for
foreign trade during 1916; but car
tells and government monopolies
will be frowned upon.
Russia, Germany and England
may try to "gang up against the
United States but we will fearless
ly oppose such actions if they oc-
cur.
LABOR
The Little Steel Formula will be
forgotten during 1916. The year
will be noted for strikes and labor
troubles.
Industrial employment during
1916 will be off both in hours and in
pay rolls, labor leaders efforts
notwithstanding.
Many industries, now operating
on forty-eight-hour week, will
return to forty or forty-five-hour
week during 1916.
Hourly wage rates will increase,
but "take-home" income will be
less. Labor will demand better
management and closer labor
management relations.
INITIATION
The Initiation Era which have
been forecasting for several years
will be very evident in 1916. The
purchasing power Of the dollar will
continue to decline.
Both wage and price controls
will gradually be removed during
1916 until the government throws
up its hand and let's nature take IFS
course.
Some time after 1916, production
will catch up with consumption,
people will have spent their money
and then there will be1a surplus of
goods. By 1850 there may be much
unemployment. Then may come the
severest initiation by Congress at
tempting to check the decline by
printing currency. But this is
something we need not worry
about for two or three years.
If Stains health continues good,
he will be the worlds most power
full man in 1916 and may be a
factor in determining world prices
as well as production. The markets
may even witness a "communistic
scare" during 1916; but they should
recover soon thereafter.
STOCK MARKET
The rails will decline some time
during 1916. Certain airplane man.
ufacturing, shipbuilding and other
stocks may decline; but the Dow
Jones Industrial Averages will
reach higher figures some time
during 1916 than at present.
The safest stock to buy-con-
sidering value, income and safety
will continue to be the merchand-
Using stocks, especially chain store
stocks.
1916 saw large increase in the
demand for initiation stocks with a
lesser demand for non-inflation
stocks; but 1916 should witness
both groups moving more or less
together. Switching has been over
done in many cases.
Stock markets will continue to
witness creeping general initiation,
although the stock market as a
whole may appear to have reached
its peak before December 81, 1916.
BONDS
Although bank loaning rates
should have an upward tendency,
interest rates in general will re-
main low through 1916. The money
supply is now $3.50 above normal
and government financing demands
continued low rates.
Anticipating the expected decline
in Federal taxes, 1916 should see
a falling off in the price of most