Evening Star Newspaper, February 21, 1927, Page 13

TIRE PRE UTS * THOUGHT UNLKELY Reduction Under Steveson Plan of Output Probably Will Hold Values Up. BY J. C. ROYLE. Spectal Dispatch to The Sta NEW YORE} el output of the Ind lations, n which America depends for her crude rubber supply, will be vestricted to 60 per cent of capacity May 1. This will take place as a re- pstriction of exports un- o-called Stevenson plan. Tt will not be announced by the British government until April 30, but rubber importers, deal nd tire manutac- turers regard it already as an accom- plished fact. The price of rubber today is well under the pegged price which must ned in each three-month period to avoid a 10 per cent additional restriction. The average is destined to remain below that price. Produc- tion today is limited to 70 per cent of But the unused permits for which had imposition of > 70 per cent restriction February 1, added to present permitted output, amount to practically 100 per cent of production capacity for the next two months. awry 21.—The an rubber plan- Six Months' Supply. | Today there is in London, in hands of dealers in America and afloat approximale x months’ supply o crude rubber for the entire world This amounts approximately’ to 000 tons. Consequently know where they can get material supplie: worried as to a possible squeeze and are buying as and when the crude instead of laving i future requiremen Th stabilize rubber prices, and only an unlooked-for upheaval, according to factors in the trade, could raise prices to such a point as to avoid a further 10 per cent restriction 10 weeks from now. Tire manufacturer have been caught before more than once by buy- ing high-priced rubber for futuve needs. They are naturally of buy- ing futures. So far is known, there is no record of any large manufacturer buying rubber, either spot or futures. on’ the rubber exchange. They will put out hedges to protect themselves on the fluctuations of cotton for cords and fabric, but they do not follow a like policy on rubber in the present extremely competitive condition of the tire market. All this makes it look rosy for the tire manufacturers. About 40,000 vehicles will be in the market for tires. But they have not everything their own wav. Rubber stocks in London are large, it is true, but they are in strong hands. Control has passed from the speculators to the holders. These men have money enough to hold their rubber if necessary. They they a > going to hold it pence, or about 43 cent If they hold ~f flve or six months, consumption will have licked up present stocks and they may see their hopes fulfilled. Reclaiming Strides Ahead. Not so much rubber is needed, on the other hand. as in previous years. Reclaiming of rubber has made long sty in two vea The Mexican guavule rubber is being extensively used for some purposes. However manufacturers have found there is a point in the use of reclajmed rubber beyond which they cannot go if they hope to retain their positions as qual ity manufacturers The increased demand for replace- ments indicates that the cheaper grades of tires sold in the last year have not “stood up.” It is conserva- tively estimated that 70,000,000 to 75.- 000,000 casings will be required in 1927, Akron, the backbone of the industry, ix now turninz out about 115,000 to 120,000 casings a day. That rate would seem well warranted, although the situation does not lend itself to hopes of price reductions for consum- ers. pound. FUR MARKET CLOSES. ‘Winchester Bartering Ends—Aver- age Price Hard to Strike. CHESTER, Va., February 21. -ations wer - suspended Saturday night by the local fur market until the 1st of next December. The trapping son closed February 15, but those with pelts to sell were given until yes- terday to clean up their stocks. Au- therities said they had found no evi- dence of any trapping being done after the final date allowed under the law. The last day of the market saw a large crowd attending the curb trans- actions in the vicinity of the county hitching vard, headquarters of the trappers and buyers. Agents of New York, Philadelphia and Baltimore firms were on the ground negotiating with the trappers, and virtually afl stocks were cleaned out. Most of the pelts were those of red and gray fox, minks, skunks, bobeats, wildcats and weasles. Prices varied to such an ex- tent on all skins that L was difficult, if not_impossible, to strike ¢n aver- age. Most of the truding is done in little grouys scattered here and there over tne uid hitching yard, lald out many years ugo, when horses still vere useo to haul farmers to town on Saturday EXPAND SILK PRODUCTION. TOK10, February 21 (#).—Increas- ng demand for artificial silk in Japan 1s expecied to bring about a decided ision of the industry in the em. pire this year. The country's present output of the product is around 00,000 pounds annually, but vearly consumption is estimated at 11,450,000 pounds. This necessitates heav portation of foreign ce new large mills cted soon and it is 7 production near 10,000,000 u bon’t Fuss With Mustard Plasters! | Don’t mix a mess of mustard, flour and water when you can reljeve pain, to be con sped that the | somewhere | { sorencss or stiffness with a clean, white Musterole. Musterole is made of pure oil of mustard and other helpful ingredients | and takes the place plasters. Musterole usually gives prompt relief from sore throat, bronchiti tonsill croup, stiff neck, asthm, neuralgia, headache, congesti pleurisy. rheumatism, lumbago, pa and aches of the back or joints, sprains, sore muscles, b el blains, frosted feet, col e chest (it may prevent pneumonia). of mustard o i MEN AND MONEY By M. S. Rukeyser. (Covyrixht. 1927.) America s today experiencing a golden age In business management. Responsible managers of important enterprises are better versed in the fundamentals of business sclence than their predecessors. In assaying trade prospects, many are falling to allow for the new factor of the growing economic culture in the United States. Frank A. Vanderlip. ‘former presi dent of the Natlonal City Bank, in a speech In Chicago fn 1916, complained that America was a Natlon of “eco. nomic flliterates.” The phrase be came & part of the language of the Nation—and was perhaps mc quently quoted than any othe concerning the financi; f Americans, . Vanderlip revealed a new view point in an interview granted the writer late last week. “America,” he told me, “is no long er a Nation of economic illiterates There has been & marked rise in the average of financial knowledge and intelligence on the part of managers and bankers. The general public. too, has widened its scope of information on economic subjects as a result of the popularization of the habit of investment. Before the war “here were fewer than 400,000 bond buyers in the United States. 'he Liberty loan campaigns taught 20, 100.000 indivtduals what bonds were, 1nd many of these have continued ~curity buyers. The widespread prac ‘ice of thrift, which is facilitated by current high wage, {8 an important influence in the unprecedented flow of funds to the investment market. Management More Scientific. think that. In judging prospents allowance should be made for the better grasp of managers of economic principles. Business man- agement is more scientific than ihe past. Therefore, observers of the business situation, who are looking at charts, measuring the fluctuating curves of the past, and who believe hat the current prosperity must short- 1y be followed by a depr wrong. “I think it wholly possible that we are in for a prolonged period of rather good times, although perhaps we are at the peak in respect to volume and profits for a time.” Mr. Vanderlip, who in 1919, after first-hand observati abroad, took a pessimistic view of the outlook in F rope, now sees signs of sub: 1 coveries. He is particularly with the renaissance of economic ener- gy and power in Germany. I asked Mr. Vanderlip whether he thought that Europe would be able to compete with us in our own spe- cialty—mass production. Luropean engineers—particularly from Germany —have been coming to this country in large numbers to study Ame Industrial methods in recent months. Market of Magnitude. Mr. Vanderlip asserted his confi- dence that America would remain pre- eminent in mass production. because of the fact that its factor rely on mass consumption, which must go hand in hand with mass production. No other country, he pointed out, h: 2 home market of comparable magni tude. Without assured volume the in vestment in expensive _machinery might not be atractive. Volume, of course, reduces the overhead cost of the investment in machinery for each product. Unquestionably, the more progre: e BEuropean nations will turn in- reasingly to labor-saving machin In England. this development was delayed by the general e and the coal _ strike. were _looked hon by employers as turni . n labor poli ’ i ac- turers of coal-mining machinery report teen interest from British sources in ‘heir products, It will be good news to Mr. Vander- lip's friends throughout the country that he has completely recovered from his recent serious iliness and looks more vigorous than he has in year Although only 62 years old, Mr. Van- derlip has. long had white hair. 1e has vivacious blue eyes and a ruddy complexion. Mr. Vanderlip was one of the few individuals who were able to rise to the top in private enterprise in Wall Street without losing his public view- point. He regards banking and trade developments from the standpoint of their social importance—as well as from the narrewer standpoint of pub- lic gain. Brings Statesmanship to Street. Mr. Vanderlip brought to the finan- clal district statesmanship and the| courage to criticize. Having recently returned from his ranch in California, Mr. Vanderlip is enjoying kis leisure. “After 30 years residence here.” he said, “I am just beginning to learn about New York. Formerly, I shuttled from my office to my home. Now I have time to stroll leisurely about, and really learn the business | in | on may be | ¢ PWE EVENING STAR. WASHINGTON, D. C. |U. S. Earned Income city. And I want to tell you it is a corking good place.” As former head of the largest bank in the country, Mr. Vanderlip never igst his touch with the people. Be- fore he became a banker, he was a newspaper man, having served as financtal editor of the Chicago Trib- une. He left his editorial desk dur- | ing McKinley's administration, first to |serve as secretary to the late Lyman | Gage, who recently dled, who was then Secretary of the Treasury. Mr. | Vanderltp was promoted to the rank {of Assistant Secretary of the Treasury, | 1nd then was invited by the late James Stillman to become vice president of | the National City Bank tn 1901. In {1909 he became president of the bank. | | THE BUSINESS OF GETTING | AHEAD. | Small Business Man's Investing. The small business man necessarily | assume trade vizk In his own enterprise |and 1s In that sense a commercial speculator. 1f he s a groceryman, he is assuming the hazards of being able to meet rent, clerical salaries and | other overhead charges out of current | sales after paying_ wholesalers _for | merchandise. The storekeeper specu- il:m-\ on his capacity to compete with | low-operating-cost chain steres, on the buying mood of customers in his dis- trict and on his own ability to fore- of Risk is inherent tn busi- 1m0 business man can 1s | cast styles and changing whims | the public. | ness and avold it. However, inde- pendent structure of investment se- } in | curities on which he can draw in case | building up an of trouble in his own business or in e of emergency in his family, he buld grade. | should select securitfes of a high In his role of investor he look largely for safety of principal and assured regularify of | income, being satisfied with the pros- | pecis for profit in his own business ather than in some other large and publicly owned enterprise, about which he cannot be as well informed. Must Consider Collateral Value, | Unlike the employe whose thrift | fund is solely for personal and fam {ily uses man must con | sider the collateral value of his se- -the acceptability of the and bonds which he brings to | the banks as a basis for loans. Apart from other considerations, securities to have a high collateral value must | b€ readily marketable. Banks ordi- | narily will not lend on securities, {whatever their merits otherwise, which cannot quickly be converted into cash. On short notice the small business man may need additional {cash for his business or personal ex- penditures and he should have in his strong box investments at least part | of which can be quickly realized upon her by sale at the stock exchanges fr by means of a secured loan at the In other words, he v among his holdings a aut?shv::,'tduaxhl?r‘: { portion of issues which are listed in |the New York Stock Exchange, one | of the out-of-town exchanges, or which have a ready market over the counter. Otherwise sound securities which lacl ready salability might be unsuited to his pecultar needs. However, if a busi- ness man has 50 per cent of his funds in readily marketable securities, he an afford to keep part of the remain- der in less liquid form, such as high- grade mortgages, particularly becau ||ml'}épn‘im‘1]| v, like all other invest- ment attributes, must be bought | paid for and is reflected in m:“p‘}m?“" The competent business man can { ordinarily use capital on which he can | afford to take risk in his own business | more effectively than any other place Accordingly, he has little to gain in placing his thrift funds at the disposal of other speculators, as the heads of corporations whose securities are sold to the public. Instead, he - should place his savings:in safe -bonds and the best grade of common and pre- ferred stoc Speculation on Margin. Pinance as conducted at present is a highly specialized activity, and the t that the small business man ha made a success in his local butcher shop ar haberdashery store is no indi- cation that he can succeed in out- guessing the professional traders and | insiders, to whom speculation in stocks is a regular business. More- | over, speculation on margin is likely | to distract the attention of the small business man from his own enterprise, {and in that way to have a deleterious effect. Being able reasonably to expect a continued income from his own enter- prise, the small business man need not select such gilt-edged securities as the widow and orphan, whose sole means of livelihood comes from investments. Though avoiding hazardous specula- tions, the small business man can af- ford to buy securities of medium be amply covered by present earning power. ~Being a business man, he should be able to keep in touch with developments of the companies in which he has invested by reading a well edited financial page and by fol- lowing the financial reports which the corporations send to stockholders. We Close Tom .{‘} Ford and Play safe! Weed of $3.95. Other sizes First Floor, $ 3.9 justed and take up very little room in the car. Have them with you for emergencies. Sizes 30x31, and 29x4.40 at this low price The Hecrr Co-F STREET orrow at 1 P.M. Weed Non-Skid Chains Chevrolet Sizes chains are easily ad- proportionately low. The Hecht Co. grade on which the return seems to | Was $89,682,000,000 In 1926, Gaining By the Associated NEW YORK, February Farned income for 1926 United States amounted to $89.- 682,000,000, according_to prelimi- nary estimate of the National Bu- reau of Economic Research. This compares with $6: ,000,000 for 1921, indicating the possible condi- tion of every man, woman and chiid has been fmproving at the rate of about 7 per cent a year in terms of constant dollars for the last five years, according to the estimate. Last year, the 44,600,000 persons engaged in activities ylelding direct ~money income, the average of which was slightly over $2,000. In constant dollars this is_a gain of per cent since 1917 and 44 per cent since 1909, the estimate states. 21— in the bureau says, TEXTILE MILL CLOSED. “Social” Unit of Manville-Jenckes Co. Is Shut Down. WOONSOCKET, R. I, February 21 (#).—The Soctal mill of the Manville- Jenckes Co. was closed down this morning. The employes reported for work as usual and found the following notice posted in most departments: “We are very sorry to be obliged to inform the operators of the Social Mill that inasmuch as we haye apparently failed to get thelr co-opeération in our efforts to improve its operating condi- tions we shall be obliged to discon- tinue operations.” Some of the departments are continue until the present stock exhansted, but they require the ser ices of only 2 small proportion of the 1.200 operatives employed in plant. F00D EXPORTS DROP. BALTIMORE, February (Spe- clal).—Foodstuff exports last week show a decided drop from the pre- vious week, according to the Maritime Exchange. Against 1,048,565 bushels of grain announced as being exported the previous week were 195,741 for the week just ended. They were repre- sented by 99,543 bushls of wheat, 50,- 545 of barley, 44,753 of rye and 800 of carn. Only 912 barrels of flour were exported, 100 barrels of lard and 1,804,228 pounds of copper, all of which showed a decline. NEW YORK, February 21 (#)— Crude oil production in California last week averaged 640,800 barrels v, & decrease of about 700 barrels WILCOX OIL PROFIT UP. NEW YORK, February 21 (#).—H. F. Wilcox 0il & G ports net profit of $1,058,485 for 1926 against $972,005 the year before. R (from 8 a.m. (s Overcoats Formerly . Now .... Suits Formerly . the | Sizes 35 to 42 11 KUPPENHEIMER & GROSNER Fisher’s Price Index The folldwing table shows the av- erage mevement from week to week (1) of the wholesale prices of 200 rep- resentative commodities (from Dun’s Review) and (2) of the purchasing pow- er of the dolls Purchasing we oftha ol- lar in pre- Index No. of prices in par cent of pre- ‘Averago . First quarier. Second" quarte: Chird quarter Ourth' quartér Average First quarter nd quarter attarter.. . Fourth 'auaricr Qctober Third weel . . Fourth ~ week. .| January average... February— First week........ Second woek : Third week. . Foreign Weekly Index. Crump's (London Financlal Times) index number for England: Index No prices in gor con of pre-war Date— 1e. 1913~ 1974 Average 1925 Avcrage.. First quarter Second . quarter “Third quart 3 Fourth quarter. Average First quarter.. " Second quarter Third quarter. Fourth' quart toher 1926 Second week : Third week. ¢ iy, (Copyright, 1927.) TOBACCO QUOTATIONS. BALTIMORE, February 21 (Spe- cial).—Receipts of Maryland leaf to- bacco last week totaled 147 hogsheads, while sales amounted to 476 hogs- heads, but were mostly of lower and medium grades. This leaves a stock in State tobacco warehouses of 2,187 hogsheads and 726 hogsheads of ground leaves. Quotations today: Interior and frosted, firm leaf, 3.00a8.00; sound com. mon and greenish, 9.00a14.00; good common, 15.00a24.00; medium, 25.00a 34.00; good to red, 35.00a51.00; fanvy, 52.00: seconds, common to medium, 6.00220.00; seconds, good to fine, 21.00a40.00; upper country air flnl‘éd‘ 7.00a35.00; ground leaves nomi- nal. A PR POULTRY MARKET FIRM. CHICAGO, February 21 (#).—Poul Alive, firm; receipts, 2 car: springs, 27; turkeys, 30 ducks, 20a82; geese, 20. y fowls 23a26; roosters, 18; 0 Half-Day Sale! Tomorrow our store will be crowded to 1 p.m.) with thrifty folks who are interested in such savings as are offered in these Holiday Specials! 38 KUPPENHEIMER & GROSNER ceeenen....$40.00 to $60.00 coos $19.75 ceensen...$40.00 to $60.00 $19.75 Formerly Now Now .. 52 Shirts Now Now Formerly . Now Formerly . Now .. Formerly . Now . Formerly .. Sizes 135 Formerly .. s enaeessenaescddc 08 '3 oD SEOD 2 KUPPENHEIMER Tuxedos Sizes 37-40 1 KUPPENHEIMER Full Dress Formerly . Size 37 .$3.50 to $5.00 95¢ to 167 44 Silk and Wash Four-in-hand Ties 75¢ to $2.00 17 Wash Bow Ties ++...29c Each or 4 for $1.00 14 Fancy Handkerchiefs Vi g ge ....29¢ Each or 4 for $1.00 11 Dbz. Ide Stiff Collars, including wing collars ..5¢ Ei or 6 for 25¢ Sizes—13%%, 13%, 14, 15%, 167 and 16%. . 0. Ds HARGES I rosner 1325 F STREET MONDAY, FEBR JARY 41, GGL 1927. Iih it Aisles of Smiles Clean Stores, Courteous Employees, Quality Merchandise, Freshest Fruits and Vegetables, Low Prices. No waiting to be waited on. WASHINGTON’S BIRTHDAY —being celebrated Tuesday, February 22nd, our stores will remain open until 1 o’clock. This will enable our customers to do their shopping and our employes to enjoy the holiday. ORANGES CALFORNIA s doz, S0c NAVELS E=. .. 60c POTATOES |CAULIFLOWER 1 0 Lbs. 2 9c Large White 2 lc APPLES 6 Lbs. 25¢ Libby’s Milk | COFFEE Small Can Large Can Our “Lady Alice Brand” 5c 10c Lb. 35¢ FLOUR 241b. Bags$1-10 SoP. |HEINZ| RICE ampbell’s Tomato Astor Brand 57 Varieties 3 cans, 25¢ 12-0z. Pkg., 9¢ SHRIMP | o Fieers Wesers Sneies PRUNES Sea Garden Brand BOSTON BEANS, 2 for 25¢ Lb.,11¢ Lb.,17¢c 6-0z. Jar, 29 | JoiranBiANs 2 er25c CORN RED KIDNEY BEANS 15¢ SPAGHETTI, Smat 10c PEAS Monocacy Valley Del Mont ! - No. 2 Can, 10c SPAGHETT] Medium 2 for 25¢ Tomato Soup S!! 3 for 25¢ No.2Can, 18¢ OAP SUGAR TOMATO SOUP Medium 14¢ 6-oz. Ivory 5 Lbs. 330 4 cakes 25¢ 10Lbs.65¢ KRUMMS "TOMATOES CHILI SAUCE 29¢ Macaroni, Spaghetti Large Cans CHILI SAUCE 37¢ INDIA RELISH Small 17¢ or Noodles . 3 Pkgs., 25¢c rxféfislglffiacs",nrkg. 2 for 25¢ INDIA RELISH Tlarse 29 PICKLES, 5-oz. 20c BUTTER Our “Sunset Gold” Every Egg Guaranteed Dozen, 38¢c Lb., 58¢c FRESH MEATS 30c | PorkRoast ....... CIDER VINEGAR Pint 16¢ Tarragon VINEGAR *t- 30¢ Prime Rib Roast. . .Ib. Sirloin Steak ......lb. Smoked -Ham .. .. Smoked Calas . .. APPLE BUTTER, Lb. 26c burg Steak ."..Ib. Fresh Shoulders . CELERY SOUP . ......21c MUSTARD, Jar 25¢ BeefLiver .........lb. 15¢ OLIVE OIL, 4-0z. Large Size Stayman Winesaps Large Medium Large 26¢ 18¢ Ib. 30c Jb. 29%¢ Ib. 18¢ b, 22¢ 45¢