Newspapers / The New Bernian (New … / Oct. 4, 1921, edition 1 / Page 2
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i w TUESDAY, -OCT. 4, 1921 THE NEW BERN SUN J)oftNAL e Fres en t ..'r 'Si'-. 'I T0 J 1- -I .-,4. :L .t-V.-y. .S. ,V ' J!" 1 "-v V vC'.r v, 8 !MS MSLlCAl :i IT EPDAM, HOLLAND -THE FEEDING ; C - 1UAOPS IS RAPIDLY APPROACHING I ! ,MAL CONDITIONS.. AGAIN , K ,M -Zr V ' !-"WTWm. - W f.i'.VT.'--.'.V.V.-.'.'.V.V,V.V.'f-..V.-.' . A Vf.lA. 1 7 ' i4Vi4 I ' I I . - ..'V..' . M I . 'J I - 1 . -5 MY&J?immsimmw&-'' jys f t OADK OF SOFT X WW- ry TRAr;eis?HeissoN,: : : 3 Presiisnt Guaranty Trust Pompany - cf New .York. "TOH more than a . year the - i lAjnerican. people have :been 'Slscoriitlne, the fu tare. -The '., -time has arrived when" they V-scI-a- tla to '"cash" the present. cTiere 13 &rp!a evidence, that many KZ Hla, -teaiijus'tawats " which " wa - i i to Jargons- lii "-ibff last twelve, iionths hava practically been com-; : 1 " tef, and, Ithbiigh tiers -vfll ln- -ti-tlj farther readjustment in i -er ectioss, we are rapidly sue-,-1; li laying' a foundation for u a' revival-c? business on a Baa, 'rsiild and'Btat:a"'tcc:3. f f Oaa f tbe most f' '-nt. ln t Ices of that is improvel cr lit." T : la ii.a' first place, tLa r.wio of ! "i'l,. .and.. -pther-'-: lawful rerve ; -;?'to deposits and notes out- - -i V7-:W9- -eaerai -iie-' rva ; tanks J3 In exces3 of eo.per tv nereas, a, year ago It was i tan 2 per cent. While it: Is j that this Improvement Is dne ,nrjsiy to the Inflow f gold from J oa3, whlci lias : Increased the .a. Loiings .of the Federal Ee- LOADING' COTTON FOR EXPORT AT ONE Or , OUR - SOUTHEON' PORTS- SITUATION IN EUROPE STILL DEMANDS LARGE SHIPMENTS OH TEXTILE. .; MATERIAL ROM AMERICA TRAIN" LOADS OF S( r-M OKI AK1 CMf.l C,U RAILROAD- COAL RATIONING HAS CEASED IN MOST COUNTRIES OF EUROPE ' , . . , YARD OF A BIG FRENCH" STEEL MILL-FRANCE'S INDUSTRY HAS SO FAR DFCOVERED THAT SHE AGAIN , HAS A FAVORABLE TRADE BALANCE. . 0. and the total stock cf gold i and bullion In' the United . j t7 . mora than-?3,lT5,C:a,00O - 3 lrge t amount la L nory, , ra 1 3 aLo teen a ieJ, a of , ra than nOO.OOO'D loans I f-3 Invested assets of ta i ederal . ;- .rve- tanks tlnce I"ovember 5, . i the reals wa3 reached.' And, i i' j lo ratio of-43 per cent w&3 ; i.:ir-ir of the business .de pression,, so the higher, ratio prom ises sounder conditions. 3 . , There has followed a reduction la Federal Reserve bank discount rates on 'commercial paper, with' a definite easing' of the credit' situa tion In 'generaL While this reduc tion reflects . thei ' steady Improve ment In the -reserve position of the' Federal Reserve System, It Is chief ly significant as mdlcatlng the ex tent to which liquidation has pro-. ceeded. The fact, too, that the cur- T3 Systein'to inora "than 52400,-1 rent" .easing : of xaredit rlinore or less general taronga. the world, as Is evidenced" by reductions in "bank discount rates in England,' Sweden, Denmark. ' Switzerland,. Belgium and India, increases the probability that the improvement In this coun try. will be sustained. r ' '' ' V But it should be remembered that the Federal Reserve, rate Is an. ef fect and not a cause. A high dis count rate, ordinarily results from heavy demands for funds, and, ob viously,, a high rate ddes not Create such a demand but results from It. Similarly, a low rate cannot direct ly create easy 'credit conditions, but merely reflects and ' Is a conse quence of such conditions, i . ; i .i Another ' Important 1 development In the credit situation ' should he noted. ; I refer to the fact that dur ing tne 'last , twelve months there has been' a i decided 'Shift in the basis of our credit . structure from Government ligations to business paper. In other words, there has been a marked reduction In the dis counts at the .Federal Reserve banks secured by Government obli gations. And,' despite a decline in total bin holdings, there has been an increase, in discounts secured by 'commercial paper, which Is alto gether wholesome. ' - ' . ' ' i It Is-'gratifying to observe also -that, whereas in1919 only slightly more ? than " $700,000,000 was ex" tended by "Reserve banks on agri cultural and . livestock paper, In 1920, more' thanr $1,980,000,000 was granted on that kind of paper. The farmers, In brief, ,are better financed than they have ever been notwithstanding that they have not been as freely supplied with credit as Borne of them desired for the purpose of trying to suspend the operation of Irresistible economic laws . by, artificially - sustaining prices for their products In ' a universally: ;. falling market. ; 'And that is one of the most encouraging indications in the present situation. We are witnessing the repetition of a familiar ' experience i ln the accumulation of bank' reserves Co Incident with . retarded business activity. , . Such 'conditions ordl narjlyiPrecede at period of declining Irfte'rest : rates,' which in turn tend to ' stimulate borrowings for - pro ductive purposes. This reaction is not altogether automatic, however, for the cost of borrowed money is only one of several elements in the general cost of producing goods. A downward trend of ' commodity prices and wages may wholly offset the stimulating effect of cheapened money, with receding interest rates accompanied for a time by. further depression in business. Accord ingly, it should - not be , expected that the decline in interest rates which has been recorded will suffice of Itself , to relieve business of the depression through which it is now passing. And It is better that the' liquidation should be thorough than that a premature, partial revival, which could not,' be sustained, should' engender false hopes re-H specting an immediate return of general prosperity - " . Finally, let us not forget that, a bank rate cannot create capital e'ntt credit. Only productivity and saving can do so. The' chief obstacle to a" general revival of business ii the rfifficnlty of developing an adequate demand foi goods. Superficial considera tion of that problem would suggest that the solution would lie wholly in. the readjustment of prices. But lower?prices In many lines have not aided materially In stimulating buy ing. As a matter of fact, in some instances, paradoxical though- It may seem, the lowerthe price the Jess buying' (here has been. This curious antithesis has been due, of course, to the belief generally en tertained that practically . all com-: modity prices- were certain to re cede even more than they have, which has tended, naturally,, to pro long the so-called buyers' strike. While there Is great unevenness in price levels 'and some commodi ties must undergo further liquida tion, it is equally true that other prices have depreciated, too" jquch and are. now -beginning, to ascend to their rightful level, .It is-essen-tial for the public to realiz'e'tliat the turn has arrived In the prices of some commodities! .... That which would help this Coun try most of all at present would be a national movement to buy, not "until it hurt's," but 1mtil it helps." Following ' the recent announce ment of the Railroad Labor Board authorizing a reduction of wages of railroad employees amounting "to approximately 12 per cent, and which became effective on July "1, there, has been considerable agita tion for an Immediate horizontal reduction" in freight and passenger rates. Such a reduction wonld4 be extremely advantageous ' to, -'' the economic welfare of the country, f course, if, it were possible i without further jeopardizing ,the , finances and credit of the carriers and pre cipitating receiverships to the very decided economic detriment of the" country. The wage, reduction is expected to save the railroads $400,000,000 annually, and an additional $S00 000,000 Is expected , to be saved through the ' elimination' of "waste "by the abrogation -of the" national agreements, although , how much may' be saved 'tills w"ay JgTvery problematical But even thatTvery substantial economy will not ,be sufficient to? enable the roads to earn a, n return of S1 or 6 per cent.TJpon the valuation placed on the'r -propprties b. the Interstate Commerce Commissicri, as ,'con tempiated hn. 'the EschIummins Law, on , the" present volume of traffic: Certainly, it will not justify a horizontal rate reduction now. ,' r The problem Is to bring about a rata readjustment by, which 'lower rates will he provided for coaimodt-' ties that cannot be handled at the; present rate levels, and not to effect a hor zontal rate reduction which will take awty from the rail roads all that they hope to save through the forthcoming wage re. ducrion and economies made possl-' ble by the abrogation of the na--' tional agreements. While we tan better our eco nbmic cond.tion materially through, putting our own house in order, we , cannot achieve the full measure of; possible prosperity until Ihere I.: -decided improvement in the Euro-"' , pean situation. If the remainder of the world Is economically de-i pendent upon us to a larger extent than , any other country Ve are likewise economically'- dependent upon the remainder of he world f a larger extent than we have here tofore realized. ' - f Our problem is not merply to ex tend long-temi cred ts sufficient tt get our surplus, products1 out of this country,' but also, and rather- to aid in re-establishing tbe industries of other countries so that those, coun tries can rehabilitate their general ecomtmic condit.on as quickly j as possible. '- -v . .".-t -i. Fortunately, Europe Is' no longer: going hungry. The .' rationing of i food has been abandoned among; two-thirds of the continent's popu- j lation. Anu, accoraing to mrorma tion received by the(Deparrtie.nt'6f Commerce, with the . forthcommg; harvest it s expected . that.' the. economic recovery of Europe will! Ijive proceeded so fart both In local- production and ability 'to provide). j the full amount' of .needed Imports,, that the rationing of food can "bet abandoned In all countries, except- ' , poss bty 'Austria. . .Coal Tatfonlig;' 1 has ceased In every country except - . Germany, ' Italy Poland, Austria and Hungary. ' ; v The clothing situation alone has) - tailed 'to keep . pace with thfk Mm- ? : provenient 7 of the other; baste' ;t necessities. Imp1ortsu- of ; textiles' ' . ' have been' Insufficient" to meet be' urgent flemknd , f or an. .adequate i . "amount of wearing' apparel,' arid larger Imports of textiles by Europe t ' are sure to follow wbCh; should . help materially In moving" our vast.-' . " surplus cotton out of warehouses" 1 .. r -and reviving our-textlh Industry j- v- Another important development' . , which eventually should ifeo. far1 -toward stabilizing, European ;and - :vT world conditions Is Germany's .ac-' ceptance of the Allies reparation .n 4;, demands and the measures she' is-' taking to discharge her obligations. ' The reparation payments for.' the, : most part must In effect "be made, With"" commodities exported;, from; Germany In exeess of her imports.! ; Still another encouraging feature: is '' recorded 1 In " France's ' foreign1 trade figures;.-' For the first time In! years',- the - French Republic has,; during the first -quarter bf this! yefO", acquired a favorable"-trade; balance, which bespeaks volumes for the : economic recovery of .f the-country-that 'bore the brunt of de-f: structioo In the World War."1 , . - And last,' tmt not IeaSty is" the! opent " If unwilling, acknowledge mpnt by Lenine that Communism; is bankrupt and must at last give! capitalism 'unlimited - freedom.; :2'id Specidatibns ; i Aade In Geimari Marl (By Associated Press) :: - , -".T-U' TORK,. Oct. 4. Specfulatlon 1 1 the German mark in the T'fiited "--a .vnce the armistica liav reai-; . an i nr recedented polnt,nccordii;g j international1 bankers 'here--'.. -. - '-: Thousands of pergona ui all walks of life, hoping to set rich quick, .. . it was stated, have invasisd heaviiv i-i the German currency, which,-. rfiCMit-' ly co'llaijsed to a point be-.ov one. cnt fpr the first time- in linx-ici-xl Tiistoij'. The buj'ing first startad in the 'mid summer of . 1919, when, the - mark whose pre-war value was .23. cents -wa.9 selling at 7 3-4 to 8 cents. apiece, Nevr York appeared to be the distrib uting center Banks and foreign,' ex change houses were flooded - with 'or ders' tfrom small, investors. Small for eign exchange '.houses sprang up . on other business- houses began to do a flourishing business in the mark-.. : . While, the . wave of the ,mark : buy- ' ing wns at. if height, peddler hawked-the. German- paper on the streets and on -distributor 'is. known. -to have made a house; to house . canvas. Bankers .said : this '.buying : contin ued as the value of the mark' de clined when the --German -industrial recovery". failed ''to,: materialize as quickly a the "get rich quick'' ' in vestors had expected.. Some weeks a go when the German paper began to hit new low levels, many of r the small investors, as well as otjier began . to "cash in" and they are , "believed to have, taken hundreds of thousands of dollars in losses ' Maijy , of the speculators, however,, bankers assert . axe holding f their marks for. a. .new rjsa and are buying the currency at the new.. low, rates and equalizing , their .losses.- But the wave of ,,buying ; has been greatly checked, -they declared. -. . .-, , : "While bankers are reljictapt to dis cuss the probable outcome of l these speculatipns, 'they declare, howevr,' that only . a readjustment of repara tions payments,. Improvement in Ger-v many's economic situation, ..or. the .ex tension' of commercial credits ?to Ger man . manufacturers - for - raw - mater ials, will ;bring above1 . an - improve ment in the. value of the mark. . - HARDING DTS nopr UilPL 1 0 T CONFERENCE Stated J ,That i President r Has Sent Special ; Invitation To v British Premier - Parents in. Berlin are, forced to pay the fines i when their; daughters'-? skirts are measured . by the police and are not,: foundto- be officially regulated length. ... - - . II I III II ini O 1 ft. tint ivS .U ( w tWITf 1 16 longer wonder why iV PostToasttes " best cornflakes? tfiJ.yM,! 12a thousand of others, Will remember -. py"yort:ToMtlea" to your grocer instead Jofjtwt eora flake. , , , f ft-i.-'V .- ., LONDON. Pet. 4.-r-President Hard ing Jjag made, a direct pergonal appeal to Premier Lloyd i.ieprgs to attend the disartnament .":onjV.ri.!ii:3 at Wash ington,, according :o tue iisiia;.ly w--il ipli-i ied fyundoij Chrori(t:!e; - v ..- . . -.Awn and hov the invitation was made vis not revealed, , but it ' 13 con sidered: likely here .: that this .is the basis for the.-. rejjorted anxiety of the Premier to go.x evenif onle fJn a fort night. . - ' But, the Premier. has Siec-n so busy with- the Irish and the tmrvniJloymertt quesUona, during' his-holidays at Gair loch that he-hasr.ot found an oppor-. tune conclave; Intending to call -a special-, sosion of the-Cabinet for this purpose- immediately! 'after, returning to London. v - OtiKMal tjtiarters here are shghtlv njptt'ed .by i-wports from Was!-!rss-at that -Greats .Britain is not- taking suf ficient interest in the conference..; It ' U declared that in the rext few days when the Cabinet-takes up the sub ject of -.the conference again, Down ing Street will definitely, settle the British programme. ;yjiil..ti.;-V; i.,..it- : ... UNEMPLOYMENT CAUSED HEAVY MONETARY LOSS a .WE- ARE STILL HERE! i. - 1 NOTWITHSTANDING THE FACT; THAT OUR FOES ARE EAGER TO , DRAV BLOOD WE ARE STILL HERE! FOR LEGITIMATE BUSINESS ONLY WE" ' AXti STILL H&RE! i 1 TO SAVE YOU EVEN MORE MONEY THAN. PREVIOUSLY. ADVERTIS ED. .WE WANT YOUR CONFIDENCE! AND YOUR. PATRON AGE. READ THIS: NEW ; REDUCTIONS ON THE FINEST, MOST RELIABLE JEWEL RY EVER OFFERED YOU. ff j (I-'.y Associated Press). .1 WASHINGTON, Oct. 4. Losses in earnings of : workers throughout' the country during the..- past fuscal year 4ue to involuntary idleness were put at .mere than . ?.6,50'. 000 in, an esti mate.. prepared today by economic ex peras.of the national conference on unemployment. Tins estimate, it was explained, covered the loss in wages because of .unemployment of all the jobless in the country from July 1920 to.-. August 15 ,19.21, and - was based on an '.approximation., of normal pay leve'-s ar.ther than, on the scales at the,, peak of. .high wages. VEfforts of .the conference, it was said, would be .turned toward a remedy for the eco nomic loss to the country frpm such reductions of the earning power of its workers in the future by a more stabilized industrial plan. j At Rosamond on the Mohave Des ert in uaiiiornia, is a noiei, tne en tice : front' of which is constructed" of .-..v. - - ' -1 . - - , - -. . . .. st ... , ., i ELGIN WATCHES FOR MEN LADIES' ELGIN Wrist WATCHES Guaranteed ,20 Year Guaranteed. 20 Year, SPECIAL SALE? PRICE " SPECIAL SALE PRICE j $12.30 $1480 MEN'S ELGIN WATCHES SPECIAL WRIST WATCH ' Guaranteed ' 20 Years "Y '"" ' 15 Jewels Guaranteed 10 Year$ SPECIAL ; SALE PRICE SPECIAL SALE PRICE $l7i90 1 S6.70 "- x COMMUNITY SILVERWARE . LOOK OVER QUR LINE v f.fll Of Beautiful Dmond: Rings ' SPECIAL SALE PRICE - A , ... 1 : " .j.. 1 ror Men And .Vomen - $34.10 BIG BARGAINS FREE COUPONS GIVEN ALL CUSTOMERS FOR PRIZES Indestructible Paris Pearls . ...... ,.. $5; 08 To the first 10 customers entering our store Wednesday morning after 9 A. M. I will sell to each one Solid Gold Neck Chain for 69c. w. J. KbkBirsfs RELIABLE JEWELRY AT CLARK'S CIGAR STORE XT 1 , ' I -r 31 a .j .- ,.., "'" - -- -
The New Bernian (New Bern, N.C.)
Standardized title groups preceding, succeeding, and alternate titles together.
Oct. 4, 1921, edition 1
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