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Show FINANCIAL LEADERS SEE BRIGHT LINING TO CLOUDS Prosperity in War Time Not Unnatural; Stock . Markets Reflect Optimistic Business Sentiment. NEW YORK., May 26. It may not be ' considered logical to speak of prosperity and plenty simultaneously simultane-ously with the expensive programme pro-gramme of military preparation which this country has undertaken. Many people fail to see the connection between an enormous increase in income and corporate taxes and a high degree of personal prosperity. Yet after the wave of fear and uncertainty which swept over the country when we entered the European Euro-pean war has subsided, it will be perfectly per-fectly clear to all concerned that this j country is on the verse of a period of great economic activity. Without minimizing- the terrible sufferings and priva- tions which each of the belligerent nations na-tions have endured during- the past three years, economic leaders are calling our attention to the fact that the individual savings of their peoples have in every easo increased. The financing plans of our own government govern-ment call for tiie appropriation of huge sums of mdney. but these funds will' find their way back to the channels of domestic domes-tic trade, stimulating industrial activity and providin ? employment for thousands of workiugmen. The funds which are to be advanced to our allies will also remain re-main in this ' country as payment for American supplies. Jn fact , the function of our government in these foreign financing operations is nothing more than an lndorser of Great Britain's promissory note, payable to American commerce and trade. Realization of these simple facts has been responsible for an active and buoyant buoy-ant stock market In all the principal exchanges ex-changes during the past two weeks. Advances Ad-vances have been made in nearly all the important IndusfriaT issues, under the leadership of United States Pteel common, com-mon, the market price of which is still considered by many conservative investors inves-tors to be far below Its real value. Market Mar-ket leaders are seriously debating the possibilities of another upward swills' in the so-called war industrials, in vft-w of the prospects of darge orders from t he allied governments, which, of course, now include our own. It is understood that h. number of our giant corporations have already booked up their expected output for from one to three years in advance, and at fairly satisfactory prices. While it is absolutely essential that the brakes be put upon speculation in government gov-ernment necessities in this period of national na-tional crisis, it is also true that wise and conservative investment in properties proper-ties tha i are essential to the fut ure development de-velopment of our national resources should he very much encouraged. Iarge interests arc taking a more optimistic vir-w nf the General business situation and thevp is little danger nf a wholesale liquidation of their holdings of stocks and bonds in order to escape, war taxation. The wealthy class have not hesitated to place their resources at the disposal of the country, as well as to give up their spns for active military duty. Current Business. What has been said of the general financial r.ituarion as applied to investments invest-ments and corporation activity applies equally to the realm of retail business. Increasing income means increasing ability to buy, and the wholesale avenues ave-nues of trade cannot respond to better conditions unless the retail branches are maintained without clogging. The grocer and the baker have been feeling the adverse ad-verse effect of high prices for their commodities, com-modities, and in ma ny Instances have borne the brunt of the violent criticism of consumers. Nothing can check the tide of nationwide nation-wide business activity except the cessation cessa-tion of the demands for goods. While the regula r process of buying and selling sell-ing continues at high-water mark there will be rhe activity which constitutes this prosperity. There pmst be universal univer-sal activity because the United State.-! is in the war, and the farms and ranches of the west and the plantations of the south, the iron and steel plants and the manufacturing establishments everywhere every-where will scarcely be able to produce what will be demanded for the supply of the market at home and abroad. When the demand exjeeds the supply, and the supply is pushed up to the top notch, trade and industry are at their best and everything is going well for the United States. 1'erhaps it may seem inhuman to speak glowingly of the period pe-riod of the war which the country is now entering, but to this it may be replied re-plied that the president and congress deemed the war inevitable, and regarded regard-ed remaining aloof from the European struggle as a greater calamity than participation. par-ticipation. War with flush times is far better than war with a period of general depression. By comparison the former situation is to be hailed with satisfaction, satisfac-tion, since it presages victory arrd the rescuing of the people of this country and, in fact, all the world from the greatest calamity which they ever experienced. ex-perienced. Liberty Loan. General satisfaction is being expressed over the results of the efforts thus far put forward for the sale of the Liberty bonds. The "assignment" by treasury experts has placed the duty of each section sec-tion of the country squarely up to the people thereof, and it will be surprising if anv section does not measure up to its full responsibility. The New York district, to which has been assigned a little over half a billion, may confidently be expected to offer the government a billion or more. A plan which is being put into effect by the reserve bank of I be second district dis-trict might well be followed by the entire country. This is the issuance of HO participation par-ticipation cert i fit a tea, exchangeable for che bonds when the requisite number have leen obtained. These certificates are to he placed on sale in the department stores and principal markets of the cities In the district, as well as distributed as Ponuses to employees of business organizations. Not only will the Liberty certificates he an Important stimulus to thrift, but they will also serve as an educational factor for men and women who have heretofore been uninterested in prime investments. It is predicie-1 that the purchase of Liberty Lib-erty bonds will set an example which will make permanent investors of many peonle whose resources are sufficient for a modest Investment. Dividend and interest disbursements next month will reach $fi,.0-M--'7.', according ac-cording to the monthly compilation of the Journal of Commerce. This is by far the largest total tor June on record, and compares com-pares with Si;i".7vlo3 in the same month a year ago. Stockholders will receive in the way of dividends Jn7.sM.27v... against $,"'5."7s.I'i: in IMS, an increase of S22. -77.".. 17.. This is due in large part to the fact t hat t he United Stales Steel corporation cor-poration will disburse 3 per cent In addition addi-tion to the regular quarterly rate or lli per cent, or $2.6i.i2.S."ti. In June a year auo the corporation paid a quarterly dividend divi-dend of t T-4 per cent, involving $S,'!53,7P1. In'erest payments will amount to $..-20ft.O'i). $..-20ft.O'i). against $72.".ii,f",i) in the eorre-tspondmy eorre-tspondmy month a year ago, the increase representing new bond mid note Issues. Interest on the J.Vi.Oftn.nOi) imperial Russian Rus-sian government external loan five-year H per cent treasury cold bonds, which calls for Sl.T75.0fti. will be paid next j month. These bonds did not figure in the returns a year ago. The city of New York will distribute SS.ftOnuv) in interest in-terest and will pav off $74,000,0'" in the; way of revenue bonds. A summary of June dividends, with comparisons a year ago. follows: Industna I' and misc. pos $..?4 4.159 $47.:4S.47S Steam railroads 17.l:i2.7: 1 5 .".. i ,.1 1 3 fctrcet railways ... 2.474,434 2.10. '-112 Total SSI.?:. 1.275 $rt5,ft7$.l'Kl |