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About The Sunday Oregonian. (Portland, Ore.) 1881-current | View Entire Issue (Feb. 13, 1921)
THE SUNDAY OREGQXIAX, PORTLAND, FEBRUARY 13, 1921 13, hi s OUTLO HAS HEALTHY CAST Federal Reserve Proves Vital System Prop. PORTLAND BRIDGES CRISIS Financiers Iook Forward With Confidence to Restoration of Fre-AVar Stability. iontlnnd From First Page.) cheer and confidence. Business will Improve from now on and prosperity should, be with us again after an other harvest" Edward Cooking-ham, president of the Iadd & Tilton bank and a mem ber of the board of directors of the Federal Reserve bank, said that business is slowly, but surely, read Justing- itself after the period of war conditions. Stabilisation Still Continue. Mr. Cookinarham's statement fol lows: "The stabilization of prices has not jret been reached. For some time past I have been watching with ex traordinary Interest the process of deflation which has been proceeding steadily and, on the whole, in an orderly way. Few, if any, are escaping its inexorable effects. Slowly but surely business Is read justing itself from war conditions banks in a much more satisfactory Position as far as liquidating power is concerned. "As to price adjustments, it Is gen erally agreed that the bottom has been reached in many lines, and as soon as people in general realize this buying will be resumed and business activity will show a corresponding Improvement. There is already an improvement noticeable, and it is ex pected that this will continue throughout the coming year. The improvement will, of course, depend largely upon the extent to which marketable commodities are moved and the credit which is at present tied up in these commodities thus re leased for use in other directions. ;"The steps which are being taken to build up, our foreign trade in the shape of the organization of large export financing corporations Indi cate that we a.r- approaching an era of prosperity which will have a firm foundation and will prove to be a much more healthy prosperity than that which we have experienced dur ing the last two or three years. General Business Improves. Edgar H. Sensenich, vice-president of the Northwestern National bank, said: "Our advices from eastern industrial centers would indicate that general business is improving. Inquiries for merchandise are increasing, indicat ing that merchants' stocks are get ting low. A number of important in dustrial concerns have resumed opera tiens and the employment problem is less severe. "The movement of raw products is still sluggish, due to some extent tu inability to finance foreign pur chases. Several of the recently or ganized financial corporations are, however, rapidly getting into a posi tion to make large advances on for eign merchandise accounts, and early commitments in this connection may be expected, which will undoubtedly have a very favorable effect. The market for copper, cotton and wool and for grain and other food stuffs will strengthen materially. "The Pacific northwest is bound to feel any improvement in other sec tions of the country, and we regard the outlook here as favorable." Nation Awakens From "Spree." "Business of the nation has been suffering severely from a case of over-indulgence," said C. C. Colt, vice president of the First National bank. "It has awakened from a somewhat prolonged 'spree,' quite nervous- and grumpy." We all have had our wor ries over the situation and have been 'whistling in the graveyard to keep up our courage," hoping always that the worst was over. At times our hopes seemed not well founded, lor we kept getting fresh shocks and the convalescence seemed unduly pro longed. "Doctors tell us the patient himself must have a certain amount of confi dence if he is to recover and this con fidence on the part of the American people has been somewhat lacking during recent months. There are many signs now that the crisis has passed and this is backed up by the fact that the terrific strain on busi ness and on credit has been endured without a collapse and a panic, which at one time seemed to threaten. "A few of the potent factors indl eating recovery may be named: "A very heavy liquidation of com modules nas taken place. The re cent decline in values the most abrupt in two generations at last has begun to stimulate buying, which has been stagnant for nine or ten months. This will help to solve many of the unemployment problems. "Inventories of industrial lines have been readjusted safely and op erating expenses reduced without a serious loss in efficiency. Important steps are under way to re-establish foreign credits and thereby provide a market for our surplus products. The United States possesses more po tential wealth than any country on the globe and as a foundation for real prosperity is as sound as the most ar dent optimist could hope for. "Great problems must be met in a great way and, although it is silly to eay 'all Is well' and let it go at that, there are, nevertheless, plenty of sound reasons why we should face the future with confidence and courage-Shrinkage Reaches Loir Levrl. 'In attempting a forecast of the year 1921, it might be Interesting to briefly review the year just past," said J. .C. Ainsworth. president of the United States National bank. "We all know that 1920 opened on a Mgher scale for every commodity, following the inflation of the two previous years, and not until the early spring, when the federal reserve board foresaw the dangers of further credit lntiation, and curtailed credits, did advancing prices reach their peak, and then only began the decline with a further tightening of money, fol lowed by the so-called 'buyers' strike.' The tremendous shrinkage in values came largely in the last quarter of 1920, when many articles, declined be low pre-war prices. This continued to the actual close of the year, after which an almost immediate improve ment was noted, not so much in price recovery, but in actual sales, and a further Improvement has been noted since February 1. ' "Actual suffering always follows stagnations when no sales are possible at any price. This stage we feel we have successfully passed., and only a . few days ago a New York banker stated that there were more buyers in New York today than for the last IS months. Foreign Exchange Is Drawback. "David R. Forgan of Chicago says the foreign exchange situation is one of the hardest obstacles to surmount, ut the $100,000,001 foreign finance corporation, just formed, should jreatly improve the situation, and he further states that if the debt of our oilea to this country could be funded In a long-time, moderate-interest-bearing, tax-free bond, guaranteed by the United States government, and sold in this country, it would be a long step in re-establishing normal conditions. The change in the ad ministration will also be a great factor for a better senitment in busi ness. "The recent decline in values has been more abrupt than any during the last 0 years, and thanks to the federal reserve system, we have safely, weathered the storm and we are all looking to the future with EXCERPTS FROM STATE MENTS OF PORTLAND BANKERS ON BUSINESS OUTLOOK. The business barometer shows unmistakable - signs that the worst of the storm Is over and that we are due for fairer weather. Frederick Greenwood, 'manager Portland branch fed eral reserve bank. The Pacific northwest is bound to feel any Improvement In other sections of the country, and we regard the outlook here as favorable. Edgar H. Sen senich, vice-president North western National bank. We are all looking to the future with cheer and confi dence J. C. Ainsworth, presi dent United States National bank. Slowly but surely all difficul ties are being surmounted and pessimism has given way to op timism. Edward Cookingham, president Ladd & Tilton bank. The records of this bank show an increase of deposits over one year ago. C. B. Sewall, vice-president Hibernla Com mercial & Savings bank. The period of excess profits Is over and business must grad ually settle upon what is de scribed as a normal basis. William A. MacRae, manager Bank of California. Citizens of Oregon should look forward to the future with con fidence. F. C. Malpas, manager Canadian Bank of Commerce. There are plenty of sound reasons why we should face the zuture witn coniiaence ana i courage. C. C. Colt, vice-presi- I ad- I dent First National bank. to those which inevitably follow such cataclysms. Iast year there were periods when gloomy forebodings in financial circles predominated and it seemed as if we were facing a con dition bordering on financial disaster. but American bankers and captains of industry are men of courage and resourcefulness and the American people possess those qualities of good sense and equanimity which have made this nation a great democracy. "Slowly but surely all difficulties are being surmounted and pessimism has given way to optimism. We still have some rough pieces of road to traverse, but the longer we con tinue the further we are getting away from our troubles. "As a member of the board of di rectors of the federal reserve bank of San Francisco, I have observed the manner in which the federal reserve systim has functioned and I am con vinced that lacking the powerful sup port of a great central banking sys tem, there would have been a con dition bordering on financial chaos following the signing of the armis tice. "Since the first of the year I have seen-many annual balance sheets of business houses, as well as agricul tural producers, and I find In them universal recognition of the fact that the values of the war period have crumbled. In some quarters realiza tion of this fact came slowly, but once fully understood it has had a bene ficial effect, on the situation and has assisted In the process 'of liquidation. We still have problems to solve, espe cially in connection with our foreign trade, which has grown to be far greater than that of any other coun try. Our productive power has be come so great that we cannot enjoy national prosperity unless we can sell the world part of what we produce. "Congress has passed an act known as the Edge law, by means of which foreign trade can be financed and already a powerful corporation with a capital of $100,000,000 and a potential loaning capacity of $1,100,000,000 is in process of organization, for the ex press purpose of providing funds to market our products in foreign lands. This company will operate under the supervision of the federal reserve board, and Its stockholders will be composed of banking and business in terests from every section of the country. It is important that the business men of Portland co-operate far as possible in this movement in order to extend and perpetuate the foreign trade which this port is capa ble of developing. However, a re vival of the country's foreign trade is dependent upon the stabilization of the international political situation, which is still in a complex state." February la Quiet Month. "February is always a compara tively quiet month," said C. B. Sewall, vice-president of the Hibernla Com mercial and Savings bank, "but a comparison of the volume of business through the clearing house for the first week of February this year shows a decline over the same period last year. This, however," can be ac counted for partially by the reduc tion that has occurred in commodity prices. There Is a general feeling of conservatism and hesitancy In buying on this declining market, but the thought is general that this hesitancy is but temporary and merely awaits the stabilizing of prices and resump tion is expected in a matter of months. Already this has occurred in certain commodities and buying has resumed where shelves were empty. "The high freight rates have af fected sales of lumber and many mills are closed; however, the stocks in the yards of the middle west are depleted and buying must be resumed '"at an early date. ' "Collections are reported slow, whereas the records of this bank show an Increase in deposits over this day one year ago, two-thirds of this in crease being in savings deposits. "Undoubtedly Portland has ridden through this deflation period , more easily than any of the coast '.cities, due to the soundness of her institu tions and to her recovery of shipping that was diverted from her during the war. "The buyat-home movement that has been instituted is a good one and should be adhered to for the commu nities' self interest." W. - A. MacRae, manager of the Bank of California, said: '. "The world is suffering ,from the dislocation of commerce. Industry and finance as a result of the war. The period of excess profits is over and business must gradually settle into what Is described as a normal basis, which means lower prices for raw and manufactured products and for ail the factors which enter into their production. "The last six months have been what is called a 'buyers' market.' The last month or two markets for all the basic products of our section have been almost lifeless, due to the hesitancy of buyers to satisfy them selves that bedrock had been reached. This situation causes delay, neces sarily, but I am informed that during tne past week Inquiries nave been more numerous than for a month or more for lumber, canned goods, etc.. and tt would be reasonable to believe that recovery of normal activity will De slow Dut gradual, depending on the readiness of sellers to accept the situation, in many cases involving serious loss which the owners of products are unwilling and sometimes unaDie to accept until forced uoon tnem. it is useless to shut our eyes to tacts; the best way Is to face them. There have been few failures so far. owing. to the fact that the banks generally have carried the burden. There Is, however, a limit to what banks can do in this way and in order that the wheels of business will continue to revolve, it is necessary that products continue moving Into consumption. I believe that this will gradually come around during the next few months, but I do not be lieve that war-time prices can be obtained for any of our products and that the shrewd merchant, or farmer, wilt take time by the forelock and adjust his affairs to existing condi tions." Thrift Lends to Stability. "Citizens of the state of Oregon should look forward to the future with confidence," said F. C. Malpas, manager of the Canadian Bank of Commerce. "The state is rich in the products of the soil, the forest and the sea. These products in abundance have during the past few years, through the ports of this country, been exported to Europe, and other parts of the world. Because, of the demand exceeding the supply econo mic laws raised the cost of produc tion, and therefore of values of these products. When the demand slack ened and finally closed, it was natural that prices should return to what they were before the commencement of the war. Manufacturers, retailers and exporters, together with growers and raisers of commodities of the state, are now holders of large sup plies which must be distributed throueh the usual channels, and will brine larce sums of money Into the state. "I think the future of the state may be regarded cheerfully by us all, espe cially those who are thrifty; In fact thrift should be a part of the motto of every citizen at the present time. Action of the federal reserve bank and other banks has placed the fl nances of the country on a sound basis, and legitimate borrowers do not find a lack of willingness to as sist by the banks of the country. "I Tepeat, therefore, that with thoughtful attention to all matters as they come forth day to day, the year will see a liquidation of the sur plus products to which I have re ferred, and difficulties met with a stout heart will disappear in good time, not as quick'ly as we would like." ft iThe Owl Drug Co. "Better Drug Stores" - - An Expert K of Rubber now oo G ledge as C THKT WAr J To intelligently buy and sell articles made of rubber, an expert ' knowledge of raw materials, processes and the finished product is necessary. In The Owl Drug Company Purchasing Division there is an expert who makes every known quality test before an order for rubber goods is placed and again before any shipment is accepted. His knowledge is the customer's protection. In every Owl Drug Store Rubber Goods Department there is always a competent woman nurse at your service. LINCOLN'S JJFE IS TOPIC Dr. W. T. McElveen Describes Spot Where Emancipator Was Born. Details of Abraham Lincoln's early life, the countrv In which hn Hub1 j and the ancestry from which, in some mysterious way, he drew his great power, were taken up by Dr. T. W. McElveen of the First Congregational church in an appreciative talk be fore the members of the - Lincoln Memorial society yesterday afternoon a- the library. Aoranam Lincoln am not come from the poor whites of the border states," sa'd Dr. McElveen. "His an cestry was from cultured Virginian stock, but from stock which was dis integrating rather than progressing." Dr. McElveen spoke from personal knowledge of the Kentucky country la which Lincoln was born and of the people among whom he was first as sociated. Particular praise was given tc the character of Lincoln's mother. Resolutions of condolence were adopted by the society for the family of Charles J. Sohnabel, member and formerly president of the society. Miscellaneous Rubber Goods Face Bottles (half pint) 75c Ice Caps., $1.25 to $1.75 Ear Syringes .25c to 50c Bulb Syringes .$1.00 to $2.50 Nasal Syringes 35c Va'ginal Syringes. . . .$1.25 to $3.50 Breast Pumps 50c and 75c Medicinal Atomizers. . .75c to $2.00 Medicine Droppers 5 c and 10c Ring Cushions for Invalids at $2.50 to $3.50 Rubber Sheeting, various widths. . yard.... $1.25 to $2.50 Heel Pads, pair 25c Crutch Tips, pair 15c to 25c ' Finger Caps, each. .5c Bath Sprays $1.50 to $7.00 Shower Caps. ........ ..... . 25c Sanitary Aprons. . . . ; .50c to $1.00 Doily Belts. . . .... .65c and 75c EXTRA TUBING Five-foot lengths; for Fountain Syringes and Combinations, each. ' 35c and 50c COMBINATION OUTFITS Five-foot lengths of Tubing and ' three hard rubber attachments, to ; make a "hot water bottle into a Fountain Syringe. . .$1 and $1.50 A Six -Day Special Sale A stock-reducing effort which means splendid saving opportunities: Hot Water Bottles They .are all seamless and guaranteed against imperfections. $1.39 "Comfort" Hot Water Bottles (2-qt.) 89c $1.75'"Lastlong" Hot Water Bottles (2-qt.) . . .$1.29 $2.00 "Lastlong" Hot Water Bottles (3-qt.) . . .$1.39 $2.50 .Todco" Hot Water Bottles (2-qt.) $1.89 $3.00 "Todco" Hot Water Bottles (3-qt.) $2.29 Fountain Syringes All have rapid-flow tube with patent shut-off and three hard-rubber attachments. t $1.39 "Comfort" Fountain Syringes (2-qt.) . . . $2.00 "Lastlong" Fountain Syringes (2-qt.) . . $2.25 "Lastlong" Fountain Syringes (3-qt.) . . $3.00 "Todco" Fountain Syringes (2-qt.) $2.29 $3.50 "Todco" Fountain Syringes (3-qt.) .... .$2.49 ..89c : ;t; 3:: r. $1.39 RHrjJ $1.59 vH: XW Toilet Articles Made of Rubber Rubber Sponges 10c to 75c Massage Brushes ... . . ,25c Cupping Ciips for Massaging. . . ,50c Chin Bands 50c Atomizer Bulbs.. . ...... 35c to 50c Sponge Bags. . . ...50c to $1.50 Rubber Goods For the Baby Pacifiers 10c, 15c and 25c Teething Rings 1 0c Rubber Toys 35c and 50c Solid Rubber Balls 10c and 15c , Nursing Bottle Caps 20c Nipple Shields 15c Nipples 5c each; 3 for 10c Infants' Syringes .............. 25c "Jiffy" Diapers 65c Combinations Silk Elastic Goods Silk Elastic Anklets, each $5.00 Silk Elastic Knee Caps, each.. .$5.50 Silk Elastic Leggings, each. . . .$5.00 Three-quarter Hose, each $6.50 Bandages for Sprains., ,85c to $1.25 Abdominal Supports. .$5.50 to $7.50 Elastic Trusses... . . $2.00 to $3.50 STUDENTS HOLD ELECTION Pacific University Classes Choose Officers for Year. PACIFIC UNIVERSITY, Forest Grove, Or., Feb. 12. (Special.) Tommy Fowler of Rainier was chosen president of the senior class at the class elections held this week Mr. Fowler is a four-year letter man in football and baseball, and a two-year letter man in basketball. Other officers elected were: Mar garet Marsh of Forest Grove, vice- rresident; Irene Bilbrey of Multno mah, secretary, and Willie Cady of Beaverton. treasurer. The other classes also elected of- f!cers with the following- results: Junior Ralph Jack of Portland, pres ident; Edith Weaver of Forest Grove, vice-pres dent; Marian Bates of Gas ton, secretary, and Manila Crabtree if Forest Grove, treasurer. Sopho more Albert Schneider of Sacra mento, Cal., president; Harry Kunkle of Forest Grove, vice-president; Lucy Morse of Portland, secretary, and Harry Broderson of Forest Grove. III T T T rnososlsk j. u. xm vastauc Syringes 'Wgt The medium through which "internal SfcStlsiv. baths" are given. This method of jVX keeping well is now well established. ffC Free booklets and information at any (j 1 1 Uwl Urug Store. 11 V4ilijt7J "ot Water Bottles with the attachments necessary I J ' Elastic Trusses $2.00 to $3.50 I- , - Y;jEyj $2.00 "Comfort" Combinations (2-qt.) .. .$1.39 J The Sorbo Sponge J $2 75 Lastlong combinations (2-qt.) . . . $2.19 New. but not so new that it is an ex- - jftltit $3.00 "Lastlong" Combinations (3-qt.) .. .$2.29 Cnvfr fnr 111 periment. It is a rubber sponge which VS., , , Vy (,nn 1(T , n ,. .. i ca VAJVers 1U1 1 has all of the virtues of the sea products , WT $4- Tdc Comb;natOI C2-) $2.69 Water BottleS j and many of its own. Lasts longer, has $4.50 "Todco" Combinations (3-qt.) ..... $2.89 I a more invigorating effect and is im- - Cloth Bags which temper and even the 111 proved, rather than harmed, by soap. I' ' heat and, at the same time, protect the j Six prices from 40c to $3.50. bottle ................ .35c I I The Cdy Illative hzm, r. P.s..o.r.cJfl For Indigestion 25C - 7t W. W. Brown, Manager . SjrW? 5c I Y&n' Broadway and Washington Streets. Marshall 20M pf&f ' g ) Mail Orders Given Special Attention . , I Rubber Gloves They are recognized as a necessity in every household. Prices on , good quality SEAMLESS rubber gloves start at 65c a pair. A heavier quality sells at $1.00 a pair. treasurer. Freshmen Norman Mace of Port.and, president; William Harri son of Forest Grove, vice-president; Dorothy Linklater of Hillsborc. sec retary, and Ellis Stebbins of Camas, Wash., treasurer. STATE BUYS 60 ACRES Land Settlement Commission Takes Farm Xear Prineville. ; PRINEVILLE, Or., Feb. 12. (Spe cial.) The Oregon state land settle ment commission has authorized the purchase of 60 acres of the L. D. Clay pool farm, two miles north of Prine ville, to be used as a model state farm. The site was Inspected some time ago by Professor Scudder of the Oregon Agricultural college, who Is general superintendent of the com mission. Plans are being made to start work on the modern farm buildings and other improvements in the near fu ture. This farm is one of five being bought and equipped by the state. Later it will bo sold to an actual settler on easy terms. The purchaser will be assisted in working out crop rotations and farm plans by the agri cultural college and the county agent For Sale PIERCE ARROW Limousine 6-38 Fine. Condition Just Painted Inquire Owner, TeL Woodlawn 2305 Salesmen Wanted We have splendid positions for four or five experienced Phonograph and Piano or Sew-. . ing Machine salesmen who have been suc cessful and who. can go out in the city or suburbs or into the country and get the business. Only those with experience and references to show that they have been successful in' the' past need' apply.. Good . salary and commission basis. TheWileyBAllenCo. Morrison Street at Broadway Spring Sale of Wa II Paper and Paints TO THE WALL PAPER CONSUMER (One Room or One Hundred): When you are in need of wall paper, no matter how large or small the amount, purchase it at the store that specializes in wall papers and serves you the best goods on the market at about 50 less than any dealer in the state. Note prices. BACK TO THE OLD PRICES 7V2C I' oGLLEt 1 5c FOR DOUBLE ROLL OF 16 YARDS Less Than lea Yard Can You Beat It? Choice of Nine Patterns Too at 15c Double Roll 10c Single Roll 12V2c Single 15c Single 25c Single 20c Double Roll 2-Bits Double 30c Double 50c Bolt Choice of dainty stripes Big assortment at this Papers' suitable for most Choice of some beautiful , . .f . popular price of 25c a any room at this price, papers at this medium and figures at these low 0ft with pretty cut.out and $2 or $3 will price in most any color prices. borders to match . paper jt. or design you want. MOIRE CEILINGS Washable Varnish Tile Best Duplex Oatmeal Beautiful TAPESTRY 35c 75c 60c 75c to 7 For 16-Yard Double Roll For 16-Yard Double Roll For Full Bolt, 30 in. wide. For Full Bolt PAINTS I $4 House.Paints Reduced to $3.25 per Gallon for Less J $5 House Paints Reduced to $4.00 per Gallon SMITH'S WALL PAPER HOUSE ; : Wall Paper Headquarters 108-110 SECOND STREET, PORTLAND Sample Book on Request 1