Show Promises to e e Best in Many or Metal Mining r Big Decrease Output Only Drops to Prewar Tar Limes imes Prices Are Low Lov Enough to Encourage Exportation I r By Percy J I. Cropper of the pessimism that pervades most of the expressions of banks houses and brokerage houses of the east enst the year 1920 opens ss s iter ter promise for western mining than at any other time in many Dany the from the mines from all tho the western states though reports decreases as compared to the last few previous show w enormous consideration that during the call so-call called so-called cd normal must be taken into I last of the ilie various states were about what they were production throughout the United States in all lines of business has hasness ness Hess than 10 per h cent in five years cars so that mining is actually in lent ent nt position in compan comparison under tho the extreme war var war times at most any cost production mines orts forts were made to put induction basis forced outputs e every available dump wasp was I Ip and a a. period of ot ap p p the their ther During bound to follow tollow producers 1 rather the tho big biff ir r put putto In ta taxes have e rid d money Improve- Improve ito fo to equipment and and metal situation labor iThe he be curtailed out- out las s also greatly thc tIie time looks near for the of mining activity that year will willer been as it has as as ever been period be bo slow- slow ver ver er a longer under way and be more ormal er r country has at such a high development mineral resources States und in the United scarcely any other country tho the com com- i a a position to enter r with tho the United States State ures a a. largo large export market someer somer someer some- some tho war absorbed l I r to er r GO CO per cent of ot our copper coppe er ier cent of or our lead and zinc trough rugh r ugh war will vill cause a larger if iC materials and for or these ily ty ly rule rub as high h as they ther are aret it t they are sufficient to allow of mining At the ial l i amount for- for rices and with a stabilized h lange hang tho the prices are not pro- pro made for tor large exports to be hardly possible that ex- ex ms ens s and oven much lower ll go So far W price of or tho pound sterling lowing towing the heavy 7 discount at the tho London marsh mar mar- prevails now prevails market sh cli b has been the world l quotes metals at practically practical valent val nt of or American prices price nowhere Scar t out Ices ces aro and andes Uon tion as wool and cotton tees ces es are arc soaring to of ot metals In the tho been increasing States tates has bas of ot ofU stock orts orta show that the U i hand Is considerably below i was a a. year ago aso and within month i there has been a no- no improvement duo to foreign force domestic con- con i may Into tho the market at all any time he nc and lead market has been Isome time timo and there thero has been l 1 advance Although the prices T- T copper and zinc for 1919 were in 1918 InS than prevailed every overy evidence that this year continue at the present levels Silver Sll Situation iver situation seems so 50 certain lt It does Is Is s almost threadbare as though there will bo be any like liko great advance but more ged for for somo Bome time The Tho optimist Is always look look- the tho little bit more that never nd ud silver at present prices is atay tay for somo some time History Itself and at is 19 where it l look ook ok good It stayed there for Imo once ts Is on only 1 one dark side bide to mm- mm that Is the tue tax question With Witha fa a better shape mining would be much greater The not be tal taken en off orf all together III have to be made more pro- pro tte tc Heavy taxes aro arc here to tor r twenty years at lea least t. t They slightly each year e They grease re sc that the mining man 1 problems how bitter He lie Heh matter ico ce LC no flO fust it h as well look it In the face ace ahead head the thel what doubt but tH is little will add another l that thero will to p mining and gradual rad decline in many other from rom now on but as asit the thet to mining it l. l depends upon and t for its Income Utah J ding nS' nS states are arc bound to sec fee ce aar ar a aier ier ar r during durinS' 1920 tal taken en of oC business business' jus i views vie are arc bankers and brokerage na lie s by GoodbOdY Co of or Now York ze conditions a as follows tollow ear car r 1919 has been most remark- remark wealth to brought great It t has and to some individuals r r mc poverty to other nations States and Great Britain en en most favored if It wo we can f r tho the abt absence of ot unemployment small number of or busi- busi lUres the great demand for tor all allt if t goods goodu at record high hiSh prices all Moho ho orgy orbY of or extravagance on I. I The Tue Bright Side B a i country countr p there are about 7 autos or ono one to every fifteen l 1 The Tho demand for tor cars is ap- ap apI I and most I ro o months behind in filling orIx orbe or- or be Lx Fords Forda and ono BuIck Bulck are ut t. t every minute It h is expected cars cara will be bo produced r. r gland fully tully people arc are avo vo ordered autos and paid den don dc- dc n them although many cannot red for six Ix months l country tho new capital flo- flo In in 1919 havo amounted to In Great Britain c been very great th countries havo have been i many industrial stocks and In He te Billions of of I paper fortuneS fortune KII ma It made mallo ou office and ace co la is scarce and rents have havo an i 60 per cent to por cent Ii h countries expenditures expenditure for tor jewelry furs furs pianos autos candy and other luxuries havo have been den dented ted Tho The manufacturers manufacturers of these articles for them thom can see sec no end to the demand The They are aro planning for two years of great prosperity Holland Belgium Switzerland and ana Spain are arc prosperous and France and Italy have some somo measure of prosperity with however a very dark darl background background back back- ground in their heavy debts The Dark Side If we wo turn to Germany German 1 Austria Poland Po Po- land Russia Bulgaria and Armenia we wesee wesee wesee see millions starving crime and corruption corruption corruption cor cor- with the financial and political outlook black and almost hopeless The New York Sun correspondent pictures Vienna as dark cold starving with funerals unable to keep leep pace with d deaths AU Austria's railroads stopped during Christmas week on account of or coal shortage Not only is food scarce in central Europe Europe Europe Eu Eu- rope but there is but little prospect of obtaining a fair supply in the next year or two simply because it will not beable beable be bo able to pay for It Herbert Hoover sa says s 's that starvation faces of oC human beings in central Europe outside outside outside out out- side of Germany German Lloyd Llod George says sas that world affairs are aro so Inflammable that an injudicious word may start another another another an an- other conflagration We are arc assured that if it Germany cannot cannot cannot can can- not soon obtain a big bis- loan in America she sho will become bankrupt financially and politically and will carry carryall all continental continental continental con con- Europe with her England and the United States would necessarIly necessarIly necessarily ily be much affected And yet et there Is poor prospect that Germany German will obtain such a loan of or this c country Tho The Edge bill was passed to encourage the tho extension of or credit to Europe It however gives no assurance assur assur- anco ance that the money loaned will be re re- re turned We Ye may give ghe Europe food and clothing but will not probably make matee any big loans to her on a commercial basis Viewing tho the variegated world situation situa situa- tion as it Is we are of oC the opinion that the year ear 1920 InO will bring bring- disapPointment disappointment to many of or our auto enthusiasts ts 1 Wo We e hope that it will not bring a financial collapse In Europe Eu Eu- Europe rope that will shake tho the entire world Wealth In England Tho Financial Review has bas the following following fol fol- fol- fol lowing Relative to tho the highly highl Important question of ot the tho present wealth of oC Great Britain John Moody supplies tho the following fol fol- fol- fol lowing ures tl-ures and we wo accept theta them without suspicion althou although h the amount of or British official propaganda anda now In circulation is even more voluminous than during durin the war period Total wealth Is placed at against in 1912 14 an an independent estimate Allowing for a a. a decrease in population a as a a. re result of tho the war wealth per capita per annum is placed at ai at compared with in 1912 14 Public debt however re rc- rc to dollars at ot tho mint par of ex- ex ehan change e. e Is ls of or which 8 S- S is the loans Great Britain has hall made lodo to her allies This compares With 47 In 1914 or per capita and nud wo we hardly agree ree with Mr Moody that a 10 In nur n nf rf i. i per u cent annual savIn sav- sav 1 lI WOUld serve ser to out out thi this Indebtedness n e In seventeen wipe years la W We note e that th the thc indebtedness 3 of o oo o Incurred Iconic in the Napoleonic Napo- Napo pediments wars s is st still 1 iri in n existence ImPediments Im- Im confronting on S' S Great Britain according t to Mr r Moody Moody- Jab Jab- are o or labor and r production hand under under- and ti shortage In h hr r merchant tonnage in marine We 0 the tho were ro under uner underproduCtion produCtion impression Sin of oC h that f the apparent un underproductIon under under- er- er really the tho high cost of or production lIon tion wa was duo due to 0 a si silent o t revolution I among Corkers Corkers' lion tion nn that ainis ll a at workers a revo revolution Ie ull u- u s ship hi o of K basic Inde Industries l ownerShip owner owner- combined with witia guild tl or union con control do 0 w Wo Vi do not caru care to take issue with Mr Moody in his statement nt that Gre Great D Britain rain credit cred i Is good and she he 1 is in bl able e to carry her burdens wo reo ag agree I In this and tru trust l hl that she will spare u us from t any y more croaking professional pe pessimists I of r. r tho the caliber of oC Sir G George orge Pash who 0 Insists Intal in In- In that Europe Is headed heade t towards w to total to- to tal annihilation unless this country countr comes to her assistance Nearly Break I liven Even n Great Britain alread already has recognized the tho logic loie of ot conditions conditions' Her exports exports for I November Just a year cal after hostilities I cased reached tho tIme highest figures Inthe in tho the history of ot her hel foreign trade They I stood tood at more than double November last year against Imports of oC 14 Gr Great at Britain's unfavorable unfavorable unfavorable able trade balance for 1919 is estimated at all represented by a a. visible debit Her revenue re from shipping shipping shipping ship ship- ping and Interest on foreign n Investments Invest t ments in Is placed at while her profits from banking services arc estimated at more These aro urn English estimates If It they arc even approximately correct It must be bo admitted that Great Britain is nearly breaking oven even In foreign trade Naturally we wo asic why tho the pound sterling broko broke to under such con con- This demoralization concerns only transactions with tho the United United- States In October for or Instance total British exports were Only 7 per cent of ot these came camo to this country coun coun- try Most t of br t the tho shipments went to o otho the tho continent and were sold on credit British purchases hero horo were not nol made Continued on paso page 6 YEAR PROMISES T TO BE GOOD GUU ONE UE FUR FR MINES MIMES Continued from lago ago 1 1 on credit and tile the poun pound sterling suffered st- st suf suf- accor accordingly It I has been pointed credit Is granted grant grant- out that If Ir a lon long term ed cd continental countries It will wil make e Britten credits liquid and will wil cause causo a n sharp rise riso In sterling theraCe therace the tho thorace Meantime Germany Is re entering Advices from race for tor foreign trade our consulate consulato general In Buenos DUeno Ayres Ayrea es state that German agents aro are arriving In Argentina offering goods on long term credits Prices aro ASO said to bo be credis for Cor instance VerJ r 10 low a n safety razor b being offered at GO CO cents which Is below bolow bolow bo- bo low the tho price for tor a similar article from the tho United States Other commodities of German manufacture arc are glassware china china kitchen kichen utensils aluminum ware ware furs and hosiery Genan Germany c cnn can n make mako much larger larer profits 5 selling to countries whoso whose currency is at a big premium above her own on than she can make malto at at homo home In spite of acute domestic n needs eds Help at nt Home First Firt Firt Tho The American Exchange o National atonal Before we un undertake undertake un- un Bank of oC New Xe York says to help ourselves b by helping Europe It seems that wo we must find nd a of advancing solution of or the problem o prices Unless we solve that first our efforts to help Europe would bo checked e before wo we wore fairly started that thal that Is unless we wish to deprive er e every holder of ot a n life insurance policy o er every man nIall woman and child who saved sa a dollar dolar before 1914 of ot substantially half haI their sa ns savings by permanent permanently adopting the existing level le el of or prices as a n basis for Cor future operations In that case tho the salaried workers who have been struggling through tho war salaries years on practically prewar would be bo entitled to tho the increase that quId be bo needed needer to restore them to the tho economic status tatus the they occupied be before before before be- be fore the war Public utility corporations corpora corpora- lions would have to have more compensation com coin tons pc for their services freight rates would have hayo to bo be Increased to a greater extent than Is now apparently contemplated nn and readjustments readjustments read read- would have to be made in order to do ilo o justice to the interests which fell tel behind during tho the war But Dut even then justice could coul not be done dono short short of tho the redemption o of ever every dolar dollar dol do- olar ol- ol lar ar deposited in a n savings bank or oror every Overy or b bOnd or other security issued prior to 1911 at a ratio rato sufficient to tomake tomake make e up tip th tile the In purchasing power between a dolar dollar della owned owned In 1011 1911 and a n dollar dolar owned In 1919 That solution if IC It Is a n solution Is quite too Utopian even en e for tor the most Utopian so It seems that the tho more feasible teas feas ible solution of oC deflation is tho only logical course open to us In this connection connection con con- necton it Is well to consider just how ho far tar we havo have gone gono in the tile other direction since 19 1913 In III that year cr the tho mone money In circulation in the tho United States State State amounted to while bank banI deposits amounted to All 1 of or the data for 1919 aro not available available avail avail- able but but reliable estimates place the circulation at and tho the bank deposits at at an Increase in increase increase in- in crease of or GS 68 per cent since 1913 in the tho case of oC circulation and o of 10 per cent in the case of deposits If I the physical volume of trade trad had increase in I proportion proportion pro pro- portion porton we would have havo o ha had no problem but such was not the case Estimates based on production and transportation C figures ures Indicate that the physical volume volume vol vol- ume o of tra trade |