Show INEQUALITY IN SUPPLY AND DEMAND SHOWN Firestone Factor Factory Y Yi Credit i Tanager Manager Gives Out Interesting Interesting Inter Inter- esting eating Production Data b bl TV w. H. H House Firestone credit Il manager mana mana- ger gor er in conference with H. H C. C Detz Betz I I northwestern st rn credit manager and II IT II IL Halverstadt r southwestern t dl district trl-t trl I credit manager brings brines from tho the cast interesting credit Information as to tho the 1920 1020 outlook of or general business and I credit problems problem He Hc says sas The supply of or almost over every kind of or goods Is less Jess than the demand deman at present present pres pres- ent both manufacturers an and merchants are aro un rather than over over- stocked Output Is restricted by labor and other difficulties Pro Production of principal raw materials during durIng- 1919 has run but larger than in 1913 although h the tho average rate of growth g of over er tho past twenty years ears would call caH for an Increase of or 5 S to 20 O per cent a n year In tho the various commo commodities In order to keep up to the tho normal rate of growth production should be at least 30 per cent larger than in 1913 Tho The figures below show that no such output output out- out put has been obtained during the past year year car Individual ual reports indicate a alike alike like 1110 shortage in output of nearly all aH finished pro products Production of oC Important materials materialS' follows Pig Iron tons Increase 2 per cent normal growth should bo be 50 GO GOper per cent steel ingots gross ross tons in increase Increase in- in crease 1 12 should bo 5 55 bituminous coal short tons increase C G should be e 4 45 petroleum barrels increase I 45 45 shou should be lu lumber tuber board boar feet increase 26 6 should be bo 12 woo wood pulp tons tOilS ons increase 1 12 copper pounds I increase 31 should bo ho 35 33 e fi crops bushels increase 18 13 should bo be 12 In tho the face of smaller maer production there Is a much lar larger er number of ot people people people peo peo- employed at high hiS wages The railroads railroads rail rall- roads road for example to today a employ a about out l 15 per cent more men than they did ld in 1913 tho the net ton miles of oC traffic is 7 per cent less than in 1913 Factories lof of New Ne York state are aro employing 20 I per cent more workers than in ill 1914 but the actual amount of or goods produced I according o to individual d reports docs does snot not mot snow show an near a correspond correspond- lag ing increase General statistics on employ emlo employment em em- ploy lo ment are meager yet et every cm- cm er knows b by his own experience that he is not getting as groat production production production tion per par worker ho he as did ld four years ago in most cat cases es he lie is IS' employing g more moro men and getting less Jess out output ut This means mcana higher his production cost costa Europe's s conditions so fa far I give ive no visible sign of improvement The l fad ing governments g have hae not yet ot set upon a n plan whereby they can meet current expenses out of current t revenues Even England Englan the strongest financially y shows a deficit of more than 2 2 for 1 1919 On the continent r a Lion tion threatens to drive whole hoo peoples to revolt and anarchy Tho Tito statements b by Mr Hoover r and Secretary p Glass arc are in nowise exaggerated The Tune American financiers are afraid of oC collapse if It they the do lo not extend credits to Europe But Dut tho they are arc afraid o of a banking crash In the United States If It they do Meanwhile Mean Mean Mean- while low exchange rates aro are always I causing causIn some ome bac backing ln up of ot goods intended in- in I tended for European shipment It In-I In Is isline stated that to a largo extent the line shipments ship ship- ments monts which are ar being benH ma made o are ar financed by the lie Individual manufacturers ers erR and merchants themselves The United Stales State bank ank credit has been extended to a point be beyond ond which leading cm bankers are afraid to go Tho The federal reserve board Is trying to brin brinG brinGa C a about out a curtailment nt of loans Except for temporary liquidation elation tho tine New ely York stock market however howo the loan loam expansion continues and noar nearly or e every evory report t shows a further decrease In th tho e ratio o of reserves Reports of ot leading leadIng lead lead- Ing banks show a ratio of reserves to tod I d deposits posits of ot Oll only p 13 11 per cent The average aver aver- ago age local requirements for or the these o lit lit- different dif ferent banks hanks are arc between 11 and 12 2 per percent percent cent cent Several of or the reserve reser banks are arc l down own to within 3 or 1 of per pcr cent of ot their legal reserve limits It should be re remembered remembered re- re however that this Is the season of oC tho year ear when the strain on the banks s Is usually the greatest g |