La Grande evening observer., August 11, 1913, Image 2

MONDAY, AUGUST 11, 1913.
PAGE TWO
r OfMVTir FVENirO OBSERVER
CON
FIDENGE
IS
Iutes to a strain on credits during the
period of marketing. But even this
varfta with conditions and years.
New Crop Wealth Near That of 1912.
Advances from all sections of the
tions have proceeded slightly'helow the
ordinary activity but the industrial sit
uation as a whole seems to' be good.
In fact, the- correspondence to the
Continental and Commercial National
bank indicates that manufacturing in
dustries, ' commercial establishment
and agricultural resources of the west
n-ere never in a healthier condition, ex
cepting, of course, those lines of trade
which depend almost wholly upon the
railroads; for orders.
Weighing Various Factors.
In an analysis of a financial and
business situation such as exists at
the present time, the chief difficulty
lies in determining with any degree of
accuracy just what weight should be
given individual fundamental fac
tors. Nor can the experiences of the
past be accepted as an accurute crea
tion, for the reason that these factors
immediate and future delivery in all of credit among interior merchants
sections of the country are holding np,than there was a decade ago.
in a way that is reassuring, especially New Railroad Era Appears,
in view of the period of rather high There has been a decided change in
money, which has been experienced ISL.JJflf. ,i
country indicate a production from practically since the beginning of sum , making itself felt Expressions in a
the soil this. year which, barring acci-! mer, although there has been some, vast majority of instances in reply to
dent or serious damage f'om the hot, reaction from the rather abnormal ac-1 inquiry along this line favor a mod
dry weather since these report. W vity of last fall and winter. ,
collected, may be reasonably expected The consensus of opinion of a large re tnpjr needs affording better fai
to approximate in value the creation majority of all classes of business men cilities for the handling of business.
S? n.rml8weJni'; eems to be hopeful of a satisfactory This need of more income is reflected
dinary years. This mean, that we wi,l . , ... t . j the letdown in orders for equipment
produce material wealth during thej volume of business this autumn. notjceab)e , ft iines of trade
current year somewhere between $8,- Collections Are f.ood.' ' denendent lrnon the railroads as con:
000,000.000 and $9,000,000,000 from the Another noteworthy feature is the aepmdent upon tne railroads as con
soil. The recent hot weather has hadi deposition and ability of consumers , r'. pii-j t..r!- r,
a serious deteriorating effect on the1 to pay their bills, for collections arel' uros8 Kturoaa earnings urow.
corn crop and, when it is recalled that ! reported good. Ther are some ex-1 Fortunateiv the large volume of
there is a considerable shortage in the ceptions, of course, due to peculiar traffic resulting from an active gen
oat crop, resulting from a similai . ..u.uuns in localities, but generally eni business has tided the, railroads
cause ealier in the season, it is not4 speaking manufacturers, wholesalers, over .a critical period without serious
improbable that the impairment to and jobbers report collections satis- impairment of their physical proper-
porn will Affittt the volume of nro- faetorv. - ; , i tles- VKh curtailment as has taken
duction very considerably, but any
shorty? in the crop is likely to be off-u-t
by an enhancement in market val-
so that the valuation of the total
Mnnev haa Vie. mmmandmr a ' place has been in the direction of new
higher return during the current year extensions rather than in the main
than it has for some years past. The tenance of a fairly high standard of
foreicn situation has contributed very ' existing properties.
crops chould not be iueh below Inst; largely to the strain experienced In; , It may be noted that the fiscal year
year. - our money market. Tne BaiKan war) J" urougnt me gn irirum w
,Another feature to be kept in mind and the political unrest in Europe, re-1 railroads of the countrv for the
is that the hesitancy in marketing ' suiting in a heavy demand for capital first time above the $3,000,000,000
last year's crops resulted in a larger i in non-productive lines of employment ; mark. In 1905 the gross eajnws was
proportion of the 1912 production be- such a the preparation for war and or the railroads cussed $2,000,000,000.
ing carried over to the current year', the attendant-waste resultant from I while in 1903 $1.noo.000.ono was reach
than in normal vears. ' This new : actual conflict of arms, diverted a i ed so it, is evid; that the volume of
in similar Deriods do not fit in with wealth, therefore, is becoming avail- larpe volume of caDital from normal business m this country, as reflected
the same exactness. I able this" vear to the extent of the channels of trade at a time when gen- Hr railroad "-oss wwns. is mcreas-
It is generally accented amone eco- excess of the carryover of this year's;, eral industry both here sna abroad j inp more ranidiy than in termor years.
nommsts and business men that the crop. , Of course this will be a factor
crops are .the dominant factor in this in determining market values but such
country in determining the trend of an addition of material wealth as the
Dusmess ana security values, as large, crops now promise can scarcely fail Interior Merchants conservative.
crops tend to stimulate business activ-1 to be a strong stimulus to activity,
ity and increase the earning power of 'proving as it does the means and in
corporations, which, other conditions cntivo. of the consumer to buy more
being normal, enhances security val-j liberally. 'v.
ues. At the same time the production Prospects Are for Good Fall Trade,
of a large crop, owing to our defective The merchandising situation seems
banking system, frequently contrib- to be exceedingly sound and orders for
"7
- YOU MIGHT HAVE CAUGHT THAT
FINE
I Dolly Varden Trout j
was exceedingly active and prosper
ous, and was making abnormal de
mands for money and credit.
Interior Merchants Conservative.
Judging from advices from leading
merchants as well as bnkes fliyoufrl',
out the country it- is reasonable 'o
conclude that the volume of business
Monuments Concrete Blocks j
" : ; ; Made In La Grande i
LATEST DESIGNS Best Building Material j
Made In La Ornnde. KnOWfl .
E. C. DAVIS Cor Greenwood & SJAve. j
11 L" Grande.
One rhino- Woueht out bv corre-.' nee-lv nil imps un to the nresent
sponde nee is the fact that ' interior time, during the current year, has ex
merchants have changed their meth- ceeded that of a year ago.
ods of business in recent years and not Manufacturers Stocks Small,
since the middle nineties have they) Nor are manufacturers generally, eo
carried as small stocks as they do far as our information permits us ,
now. This is not entirely due to the nidire. carryinir Inrpe storks of goods,
tariff for long before it became, evi- or raw materials, but instead Uicv
dent that the tariff revision would seem to be pursuing the same hand to
take nlace. country merchants', for- onh polW of merchandising that
merly in the habit of carrying stocks, has been adopted bv the retailer.
of merchandise running from $40,000
to $60,000, maintained stocks of be
tween $20,000 and $30,000 on their
shelves, replenishing their needs as
the trade demanded. This naturally
reduces the amount of credit they re
quire and distributes their buying
more generally through the season
One reasoy for this development has
hoen tfco attitude of the country banks
in seeking to limit credits and keen
-heir customers on the safe side
Hence there is a greater spirit of con
servatism and of economy
IF YOU HAD LILLY'S FISHING TAC-4 !
ELE. THE TALK ABOUT BEING A !
GOOD FISHERMAN IS A D REAM
ANYONE CAN FISH SUCCESSFULLY
WITH LILLY'S FISHING TACKLE.
CAMPING SUPPLIES OF EVERY DE,
SCRIPTION ALL LABOR SAVING AP
PLIANCES. .
AFTER YOU GIVE ED WRIGHT A DOL
LAR FOR YOUR LICENSE, COME TO
! ME AND I'LL TAKE CARE OF YOU.
jin
8 31UU Xja&IL' o
aiance
$25.00
per month including interest
New modern five-room house, full basement, bath toil
et, plastered, built in wardrobes, up-to-date kitchen, two
lots, nice lawn, faces north. If you have the germ,
however small, to ever own your home, this should
awaken sufficient interest to call and thoroughly inves
tigate, for somebody will surely nab it. The last two
properties we advertised, one for $2100 and the other
for $UU, have both been sold. Here is another mid
summer bargain.
Ca'tle Market Good
There is a shortage in live stock
but the general cattle market is good.
Under ordinary conditions the actual
importations of live cattle, free of im-r"-vt.
d-.,tv. wild make considerable
difference in the supply of meat, but
the ono foreign countrv fr-.m which
live cattle, in anv considerable oan
titv. are likely to be imnor.ed is Mex
ico. Owing to the conditions prevp.il- j
intr in tbt country, importations
are not likelv to' be r-reat m tbe neor
future. Cattle have been brought out
; of Mexico during the last two or three
i years in as great numbers as they
could be moved and have been absorb
! ed in the southwestern markets. This
; movement has been due to the disturb
j ed' condition in the southern republic
1 cousin the Mexicans to got rid of
I teir movable pronerty ns fast as the' ,
crippled transportation tacilities would
: permit. For a time, after conditions
'itdnaTMa rtftt-TYlol in Afovi(n ,11 the Ciltfln
available in that country will be need
ed to restock the ranges.
jM-esunent Situation Is Stagnant.
The investment situation is far from
-. sf.i'.'-tmy. Bonds are now practi
cally at the level reached in 1910. In--rrtos
sti'l s?em more inclined to ab
sorb investment securities affording a
high yield of interest and in conse
quence the high grade bonds, Bearing ;i
a longer rate '," interest, ' have been,'
sacrificed until the market value has j ,
declined to a basis now exceedingly! I
attractive. At the same time the in-1
vestment market is reflecting the;i
world coufesierl condition of the new ,
security markets. There is a steady
absorption cf investment securities at
the lower levels, but this is not broad.
The absence of institutional buying
niid of a broad market has restricted
new offerings largely to refunding operations.
Unsatisfactory to the Small Banker. I J
It appears to be especially unsiftis- Ji
factory to the bankers in the smaller i J
cities and towns. They take the po-1 (
sition that the plan will deprive them
of opportunities which they now have
of serving their customers, compel a
shifting of reserves which will result
:n loss of interest, and w'U not bene-,
fit them in any wav, while under itsj
provisions, they will have to contrib-'
ute part of their capital to the fund
L Lilly
i t
i
GEOH-CU
Fa CLi
HE WHO SELLS
108 ELM STR. ET t REAL ESTATE LA GRANDE, ORE,
If
now lie iGuftnend
Are you doing it in a way to receive substantial bene
fit? Are you laying aside something for a "rainy
day'.y? If not, you will never have a better time to
beg-in than now. To get quickly started, begin the
easiest way; come to ,
-
aces
The United St
National Bank
for establishing the regional reserve j J
banks. , ,
ye feel that this subject is of such j I
n-rnt the most care-! !
ful consideration of any proposed lec-l i
l
and open a Savings Account. Do not wait for a large
sum, for it may never come; just deposit whatever
you have to spare, no matter how small .the amount.
We will gladly assist you in trettinjr started. "R.nph
pay day when you get your check, deposit a portion of -
ii "iinu.tw -x (jer cent irom tne uate
it is deposited. This bank is owned and controlled
by local people.
islation with a view of providing the
best system of currency and banking j
obtainable, tl "is worth;; of note that
the insistence of bankers and business
men, especially in the smaller cities
nd towns, nnon currency reform is
tempered with the idea that it would ,
(-e t.vr hotter that no legislation be
adopted dunn the extra session ofi
congress, unle;s founded upon princi-l
"tos ijrwn by experience to be ade-;
quate, and that does not have due re-,
r-ufi for all ou" necessities. The coun- ;
try has waited too long to accept, as'
satisfactory, any measure that em-1
bodies fentures that are likely to seri-j
ously disarrange our credit machin
ery. . i
There is a more widespread spirit
of co-operation and desire smonp the
bankers and business men to help
remedv the defects of the pending cur
rency bill than there is of antagonism,
;f the tone of the letters received in
reply to the inquiries sent out can be
"crntd -q an indication of tbe ntti--" I
tude of the various business commun-
itics, but M ere is no longer doubt of a I
remarkable unanimity of opposition
(Continued on page seven.)
N. K. "WEST. President.
T. J. SCROGGIN,
Onsbier.
WM. MILLER. V.-Pres.
C. R. HARDING,
Asst. Cashier.
LUMBER
than
WILL NEVER BE
CHEAPER,
As you know, the
... .
,u,"uw 111 milling is getting J
farcer every year. Then why "
not begin buihPng now and tak J
advantage of the present mr-.
ket? Later o hyou will regretV J
it- We have fall supplies for 1
bigh-grade lumber for both ex- I
terior and inton'nv : !
- - - " WMliavi ULVlUIli
.t.UMBER COMPANY I