ECONOMIC
HIGHLIGHTS
Happenings That Affect the Din-;
ner Pail, Dividend Checks and Tax
Bills of Every Individaul. National
and International Problems Insep
arable from Local Welfare.
To put it mildly, the business out
look today is extremely confused.
On the one hand, it is predicted
that this winter’s domestic com
merce will be the best since 1929,
with retail sales in some lines per
haps exceeding the boom-time fig
ure. On the other, business leaders
are seriously disturbed—and many |
of them are plainly pessimistic as to
the trend of future events.
This anomaly is easily explained.
For, in the view of executives, the
short-term outlook is favorable,
and the long-term outlook is bad.
Purchasing power is up, farm in
come is at a six-year high, con
sumer goods are moving rapidly.
Yet the unrest in Europe, the tan
gled political situation at home, in
cluding the threat of more govern
ment in business, the apparent cer
tainty of higher taxes, the prospect
of still more serious labor distur
bances, and the nervousness of se
curity investors and speculators are
retarding factors.
As every one knows, the stock
market took its biggest drop in
years a few weeks ago. Values are
far below thir spring and early |
summer levels. And while the stock
market is not necessarily an accu
rate barometer of actual business
conditions, it does pretty closely
reflect the views of finance on both
big and small levels, and represents
credit, capital and reserve spending
power. Explanations of the drop
varied, and disclosed the opposed
schools of thought now in existence
Stock market officials ascribe the
collapse as being due mainly to ex
cessively strict regulating by the
SEC, which has largely eliminated
speculative operators who in the
past could be trusted to take up
much of the slack in thin markets.
Government oficials, such as SEC
head James Landis, who has recent
ly resigned to become Dean of Law
at Harvard, defended the regula
tory policy, intimated that still
more stringent regulation may be
necessary. Whether the Landis’
point of view is right or wrong,
such a policy evidently has a dam
pening effect on large industry.
So far as the political situation
is concerned, all is chaos. President
Roosevelt’s sweep around the coun
try, in the view of most commenta
tors, is designed to give him a
chance to meet and see people, to
use his personality, and to enlist
public support in his campaign a
gainst the conservative wing of
his party. The President, as he has
said in almost so many words, is
now envisioning a “second New
Deal'’ which involves still further
enlarging Federal authority, new
and restrictive legislation dealing
with business practices, notably in
the field of wages and hours, and a
lessening of the power of the Fed
eral judiciary. There is still talk
that a special session may be called
late this fall. And it is known that
the Administration will present an
ambitious and inclusive “must” pro
gram before the second session of
the 75th Congress, which convenes
in January, including re-introduc
tion of a Supreme Court “packing”
bill.
Evidence is not larking that Mr.
Roosevelt’s popular following has
diminished—the Black Klu Klux
Klan disclosures are perhaps the
most serious blow he has received.
But it cannot yet be said with ac
curacy that a majority of the vot
ers are no longer willing to follow
his lead.
In some quarters it appears that
war scares have been exaggerated
—and in others they have been too
much minimized. A major war could
not help but tremendosly affect
American industry, whether we be
came involved as belligerents or
THE ZEBULON RECORD, ZEBULON, NORTH CAROLINA, FRIDAY, OCTOBER FIFTEENTH, 1937.
not. General expert view is that
(there will be no war next year—but
I that there will be one in 1939, when
Europe’s vast armament program
is more or less complete. American
! foreign policy has so far been care
ful, even timid—as it must. We are
in the delicate position of attempt
ing to keep clear of war—yet hav
ing to maintain our prestige in the
interest of American citizens and
residents abroad. Hot-heads criti
cize Secretary Hull for what they
think is vacillation. Cooler heads
generally approve his policy, think
that he is right in seeking to feel
our way gently and carefully.
There is talk of an entirely new
gross earnings tax on business.
This, coming on top of the present
corporation income tax, the profits
and loss levy, the surplus tax and
other taxes, might make it impos
sible for business to maintain ex
pected dividends, even in a time of
heavy orders. There is no organiz
ed movement behind such a tax,
however. Business is worried about
the general tax policy, and about
the continued government deficits
which will require heavy new taxes
of some kind —unless an unlooked
for retrenchment in government
spending occurs.
In conclusion, it should be point
ed out that some experts feel that
the present business news recession
is less important than it seems,
that the political and tax situation
| will work out without doing too
jmuch damage. Best guess is: The
short-term outlook for commerce is
favorable, and the long-term out
look is in the laps of the gods.
According to Business Week of
September 18. a dollar of earning
power could be bought for ? 11.49
at that time, as against $18.17 a
year before.
■—
LIVE YOUR PRESENT
During the past two years I have
asked 2.997 persons, “What do you
live for?’’ I discovered that 94 per
cent are merely enduring the pres
ent for some future event or con
dition. Poor souls! They are wast
ing today’s realities for tomorrow’s
speculations, sitting bored at a
great entertainment, waiting for a
better show which may never open.
It’s a common failing.—William
Moulton Marston.
FOR SALE. MILK COW. SECOND
Calf, heifer, two weeks old. SSO.
—A. G. Kemp. Zebulon, N. C.
''
Reduced Night Rates
in e^ect
All day Sunday
and!
Every night after 7 p*m.
on both station-to-station and person
/raygS to-person long distance telephone
calls to most places.
I Southern Bell Telephone end Telegraph H
Featured With Kay
Circus In Zebulon
October 19th .
Circus bands will play, Circus
crowds will gather, Circus Day will
.be here in Zebulon, Tuesday, Oct.,
19, when the Kay Brothers Circus
arrives in Zebulon and sets up its
massive spread of canvas tents on
the lot in rear of Privett’s garage,
offering an afternoon performance
at two and an evening show at
eight.
School will be dismissed early
Tuesday afternoon in order that all
school children may attend.
Kay Brothers augmented to a
much larger size than ever before,
offers a performance full of thrills
and surprises. Everything from ac
robats who seem to have forgotten
the word “fear’’ to clowns who
make you daffy with the dizzy
dings, led by the peer of all mimics,
“Beano”, the clown offering 1001
laughs.
A new and interesting star has
been added to Kay Brothers list of
feature attractions, none other than
Art Mix, Hollywood's most daring
stunt man and star of such western
thrillers as “Cyclone Horseman”
“Desert Pirate” and others. Mr.
Mix brings with him, his congress
of rough-riders, cow-girls, Indians,
Rodeo Prize winners and some pick
ed players from his studio cast. An
authentic re-enactment of the
“Days of the Old West” an an ex
hibition in the dare-devil stunts of
the modern rodeo will be offered
in true ranch style.
The entire globe has been encir
cled in the search and collecting of
arenic and aerial acts for the big
top displays. Australia sends
Greggs famous teter board and ac
robatic artists, Japan furnishes the
much heralded Kitchie Troupe. In
dia sends “Teddy” the world’s larg
est performing elephant, Germany,
Kay’s prize horseman and prize
herd of horses, even war-ridden
Spain is represented in the air. Not
to be out-done American acts do
the seemingly impossible to set a
fast pace for their circus cousins
from around the globe.
PIGS DUROC FOR SALE!
Cabbage Plants for Sale: 10c per
hundred.
B. B. RICHARDSON
Near Zebulon
■<- .{km
FINAL
NOTICE
All Water accounts are due and pay
able by the 10th of each month at the
Clerk’s office in the People’s Bank
& Trust Company. If not paid by the
15th of the Month services will be
discontinued without further notice.
There will be a charge of SI.OO to re
connect service.
All acconts not paid by October 15th
will be cuut olf October 16th, 1937.
BOARD OF COMMISSIONERS
Zebulon, North Carolina