Show W 0 F 2 I Instalment Buying I r I GUY UY y M. M V WALKER ALKER distinguished economist i f J takes exception with Roger Babson over v tt ih e matter of instalment buying which has be bc- 3 come q ne so prevalent in America since the war Mr Mj Babson had stated that the overextension over over-exten- I Ision 1 si sion n in instalment business would lead to a I t di distinct recession in business and a possible IT pl panic within two or three years year Mr Walker I however decidedly disagrees with this reasoning reasoning reason reason- ing and believes instalment business will continue continue con- con with no evil effects v Mr Valker Walker is of the opinion that theor the or- or ort t J American merican public will never go back to the J old aid that it theory was necessary y to practice great self restraint in living in order to save enough to make a purchase This used to bethe be bethe the case in order to buy a home it was necessary to produce more than one consumed until a surplus had been saved and then the tile best home possible was bought for the sum of money Now the common practice is to purchase a home on Oil a small down payment and pay for it over a period of years living and enjoying the home as it itis is being paid for The instalment system of marketing has extended extended extended ex ex- ex- ex tended so that now V almost any article for fot forthe the home can be purchased on a small down pa payment ment and paid for in monthly instalments such as electric appliances furniture and many other luxuries that under the old t tern m could not be hadIn had In iii other words Mr Valker Walker is of the opinion that the American people will never again practice the degree of self-restraint self from I luxuries ot at life that was necessary to save the price of a home hone and what must go into it If a person has the tile cash he can save mone money r by a full payment but under the present system tem tern any thrifty family under normal condi lions Hans can enjoy all the luxuries through instalment instalment ment plan of purchases that a few years ago were only for the tile wealthy or well to do And Am Andas I as long as American manufacturers have th the t facilities for tor quantity production which ha has S SS S cut the price of almost every commodity needed in the tile home and desire to continue production on a large scale which necessitates necessitate having a large and ready market for th the e products the instalment buying will cont continue nu e I popular in America It is hard to realize llo how any serious economic disaster can occur from fron 1 this if the purchasers put a definite cash value e on on their credit and use it only in the measure that obligations can be met |