Show 6 t a RD r I ti is J y 1 HIGH C COST COSTIS 1 5 SI I IS MENACE IT 11 CLAIMS ClAIM of Great Business Growth I Is S Sin in Terms of Dollars Not T Production Body States in Review of December x er k n By fly Associated ci rrt Press W WASHINGTON TON Dec 31 General General en al alI I anxiety ty prevails throughout ut American business basins b sin concerning t the fl ho o continued advance nd in prices and a re 1 adjustment appears imminent the thee thel e s l l rE serve reserve board reported ported r tonight in its review rc renew of t 1 s 3 con conditions The inference was strongly strong strong- ly y g given that a n. reduction in price is due because of a n. recognized curtailment curtail I ment ent of buying IHling pow power r coupled with wit witha a lack luck of unanimity of opinion as ns to what at the future holds While Philo retail trade shows cr great at activity and wholesalers and manufacturers tUr rs were represented as s unable to supply tho the dem demand nd the great growth Crowth in business was shown hown to have ha been in terms o of dollars and not in units of or production High wages further complicated the situation according to tho the boards board's view Practically lly er c every ted federal ral reserve district reported that skilled killed labor wits wis w s working working- only sufficient sufficient clent days to keep going resulting Ina in ina ina In production a consequent falling ort oft pro In taco face of or heavy d demands cautious manufacturers were d described as disinclined die die- inclined to commit themselves 9 for far in an ad advance o. o Credits have been shortened and uncertainty as to the n next nett three months is forestalling tho tiro expansion In trade naturally to bo he expected as tho the nation nanon settles Bottles toward its peace time timo The high cost of ot living was activity men men- referred ri A tb In n o 5 q nn In an unquestionable I ace acc nce Value at atThe p Peak lIk lIkI I The The Tho board noted that real rUI estate state valued alue 1 in hundreds of of- communities seem seam to have r reached ched the peak fleak This true of ot tho the said to be particularly was s Chicago district where here building building- operations oper oper- have havo ceased Tho The housing situation was said to have havo reached a n critical stage west of ot the Mississippi river resulting in an nn increase in rents Relief was expressed that the combination of or anticipated te greater returns on investments with witha a n. probable drop In values alues would bring relieve o ton- ton new construction an and 1 thus ants Grain shipments were very crr low during durIn dur- dur ing In ng th thy the 1 mon month ll partly because of tho the fuel shortage and the consequent reduction reduction re- re of ot war warehouse accommodations grain and nn 1 County Count elevators ar arc full tull of oC ha has federal reserve agents said there been the tha utmost difficulty in obtainInG obtaining obtain obtain- coast farmers farm farm- CarmelS Carmel'S farmers InG ng cars On the Pacific ers elS arc are hold holding InS InS' spring see seed 1 wheat in anticipation of ot having hl to re re cd Winter Winter Win Win- V iner in- in ter er feeding of or live lI stock b began much earlier than was expected and conditions conditions condi- condi lons as to the tho live Iho stock industry generally are regarded as satisfactory Unrest I JILl Is Lc Lu Labor L unrest t the tho review said eald showed some omo abatement but the tho production was ras rc reduced over oyer tho the preceding month and 1101 the tho Settlement nt of ot the coal strike in the steel strike of ot activity cessation Increased number numer num num- as B well us ns the greatly ber bel er of ot men employed In lines inmany In many nany districts accounts for lor lessened lessoned unemployment tho board said From man many sections tho the board boat 1 asserted MA aa- aa A It is Js reported that the chief ehle I difficulty does not lie 1113 In systematic strikes but in tho the Indisposition of ot workers to increase pro production and work The reduced steadily at J keep ep result of or short hour hours or tho the output a as ag a suspension of or work a given nun number bor PC ot has proved pro to 10 be a a. national na days a week weck of ot Tho The disposition lonal lional problem m Policy t. t labor to such Bu h a a. w Continued cd on oa Paso Page 2 r. r READJUSTMENT SEEN SEEM BY RESERVE RESER YE BOARD OARD B Continued from front PI Page C I 1 by 11 many mans to hl high h wa wages cs and tho desire to employ increased purchasing purchasing pur pur- of oC lets leis leisure In the purchase chasing chasin power ure uro rather than goods Secretary Alc Alexander of the depart department ment merit of commerce today toda summed J up tho the commercial outlook for 1920 aa s fol I ow s The Tho closing year rear witnessed a 1 fabulous forel commerce com corn lous bus growth oth of oC American merce Our trade balance balanco for 1319 1919 will be approximately four billions billion A great fleet of merch merchant nt ships new in industries In- In new of oC supply and Increased knowledge of ot our own re resource resources resources re- re sources source are sonic some of at the tho assets t pained gained Before Defore the thc from our war var experience war wo we were engaged for the most moat part in the development of our own I business s wl with little serious I thought o u of ot j extension O ot our uw u n v wn markets and wo we were too Indifferent as regards d our position of inferiority on the high seas seas- Today we C are arc awake aa s never Ocr before beCore The Tho pride of antebellum antebellum antebellum ante ante- bellum days Is revived and we look to see our flag laS at tho the masthead of an nn American merchant ship In every ery Im Important Important important Im- Im seaport of or tho the world carrIn carryIng carrying carry carry- Ing In American goods wherever markets mJ may be found Abnormal conditions we q hope are arc passing The Tho tremendous ous increase In inthe tho the exports of ot the war period made mado up br largely rel of military supplies and tho the still greater exports of of the tho months following tollo tho the war var In which foodstuffs tI figured ur d largely larrel ma may not continue continuo In In- In definitely These tremendous figures have brou brought ht satisfaction to all aU but rave grave concern to those thoo who look forward forward for for- ward to 1920 e I J. J Ta Problem The Tho exchange o situation In Europe Is a grave rave problem and Is so uncomfortable uncomfortable for foreign buyers buers as to necessitate In some tome cases government gO restriction on buying If It we would continue our foreign trade at its Ha present pros pres ent high level leel there must be a freer neil and fuller exchange of or commodities and nd a l large r e extension of or credit to European buyers So let Id us look for fora a condition In which buln buying and sellIng selling sell sell- ing will be of oC profit proUt to both sides On that basis wo we m may mv build a Do commercial structure on a I. I t firm l rm foundation It Is la too much to cp ct that thal normal normal normal nor nor- mal conditions for which we all are arc so Impatient should comm come comp within the thc fourteen months since e the sl signing of the armistice The wonder Is that the situation Is not more moro un unsettled Existing Existing Exist Exist- In ing conditions are arc not nol unlike those following other wars only the problems problems lems ems are aro of ot greater proportions I and more complex Our dome domestic tlc situation Is not free from torn difficulty Let Lel us hope that in the year ear 19 1920 0 there will willbe willbe willbo be bo less Ie social unrest that production will Increase and HUng costs be gradually grad crad- frad- frad reduced and that b by Intel intelligent coop operation co-operation and unselfish regard for forthe forthe forthe the public welfare our national nation prosperity prosperity pros pros- may maO continue |