Maximum Industrial Activity
But Only Moderate Crops
(By Associated Press)
SAN FRANCISCO, June 4. — The
twelfth federal reserve bank district
report, issued today, takes cognizance
of the Liberty loan and explains in
detail what effect it will have on the
general financial aspect of the dis
trict. A maximum of industrial activ
ity is predicted, but the crop estimate
is placed at "only moderate, with gen
erally high prices.” The report fol
lows:
The offering of $2,000,000,000 Lib
erty loan bonds has commanded chief
attention in the past month. If each
person in the United States made
equal subscription, the share of each
man, woman and child would be $20,
or. on the average, $100 for each fam
ily. If apportioned according to the
amount of deposits in banks, each
bank would sell to its customers an
amount approximately equal to ,10
per cent of its deposits (excluding de
posits from banks). This would ag
gregate $42,000,000 for San Francisco,
$18,200,000 for Los Angeles, $8,000,000
for Seattle. $6,000,000 for Portland,
$3,300,000 for Spokane, $2,200,000 for
Tacoma, and a total of $166,000,000
for the twelfth federal reserve district.
Apprehension that bank deposits
will Bhrink as a result of such financ
ing seems ill founded. Bonds will be
paid for chiefly by checks on banks,
being a transfer of balances now at
the credit of individuals to the credit
of the government. When disbursed
by the government for services and
materials the amounts will reappear
as deposits of individuals. Such a pro
cess will inevitably increase, not di
minish, the total of bank deposits.
No export of gold is involved. That
payment for bonds may be a mere
transfer of bank balances from one ac
count to another, and not a transac
tion in actual money is well ilustrated
by the fact that when the Federal Re
serve Bank of San Francisco recent
ly received payment from banks and
individuals of $20,000,000 for treasury
certificates sold them, the reserve
bank had $600,000 less gold at the
close of business that day than be
fore the $20,000,000 was paid to it,
payments having been made in east
ern exchange.
Our hazard would appear to be not
that bank deposits may diminish under
war financing, but that they may ex
pand toe greatly, enhancing the diffi
culty of readjustment after the war.
If, for illustration, we assume that
our total expenditures last year were
$25,000,000,000, and the government
now is to spend $10,000,000,000 this
year for war, this latter sum could
be supplied, either by curtailing our
expenditures to three-fifths those of
last year, viz., to $15,000,000,000, and
giving two-fifths, viz., $10,000,000,Ot.O
to the government, leaving the com
bined government and private expen
ditures the same as last year; or, we
could avoid curtailment and lend the
government $10,000,000,000, bringing
the combined government and private
expenditures up to $35,000,000,000.
This latter course would mean that
we would this year pay $35,000,000 000
for the total products of all the labor
of the country which were paid for
with $25,000,000,000 last year, the to
tal products probably varying little in
quantity. In other words, this would
advance prices on the average 40 per
cent. To curtail two-fifths would be
a tax equal to 40 per cent of all expen
ditures, but the price level would net
be advanced and there would be no
government debt. To increase the
price level 40 per cent by clsburae
ment of government borrowings with
undiminished private expenditure
would likewise impose a tax of two
fifths, since as a consequence a dollar
would on the average buy only 60 per
cent as much as before. Besides this
the resulting government debt would
entail years of heavy taxation to pay
interest and principal, and the higher
price level would intensify the diffi
culties of the period of contraction and
readjustment and inevitably folio .v the
exuansion.
.. A middle course-ha-s been chosen,
providing war funds partly by tax
ation and partly by bond issues.
"Business as usual” would aggra
vate every evil growing out of a
period of expansion, causing '.he gov
ernment to receive least value for its
expenditures and hampering it at
every point in the conduct of the war.
Every economy in the use of the pro
duct of labor and every increase in
the efficiency and output of labor can
not fall to be directly helpful to the
government in its war efforts and will
render easier the industrial and com
mercial, but it is inevitable that the
diversion of effort from channels of
peace to those of war will occasion in
dividual hardships.
Credit is easy and conditions are
generally favorable for the flotation
of this district’s share of government
loans. With such huge financing, tem
porary dislocations of funds can hardly
fall to appear here and there, but the
secretary of the treasury will deposit
in member and non-member banks the
proceeds of payments on Liberty loan
bonds, withdrawing the funds as need
ed. Banks generally have exception
ally heavy reserves, but rediscounting
with the federal reserve bank should
unhesitatingly be availed of when re
quired.
Both to extend its service and as a
safeguard, it has been determined to
establish branches of the federal re
serve bank at Seattle, Portland and
Spokane. Plans for the branch at
Spoknne are well forward. The eli
gible state banks of that city have
given assurance of their intention to
make application for membership and
the clearing house banks have offered
to employ the branch to conduct the
examinations hitherto conducted by
the clearing house examiner, paying
the branch for this service an amount
equal to the present cost of conduct
ing such examinations, It bolng as
sumed that the clearing house exam
iner will be appointed branch man
ager. It is anticipated that Seattle
and Portland will offer similar co
operation.
The May 1 government report esti
mates the winter wheat crop for this
district at .19.250,000 bushels, against
53.330.000 last year and a five year
average of 62,235,000. According to
reports from the Spokane section, last
fall was unfavorable for planting win
ter wheat, and this spring has been
so cold and backward that it has pre
vented planting a full acreage of
spring wheat. Private estimates indi
cate a total crop perhaps 30 per cent
below normal in amount.
The acreage in beans has been in
creased about 50 per cent over last
year, that in California alone being
estimated at 400,000 acres. Last year
over 260,000 acres were in sugar beets.
The acreage this year has been largely
increased in Idaho and Utah. Last
year Oregon and Washington produced
about 10,000.000 bushels of corn. This
year 190,000 acres have been planted
as compared with 121,000 last year. A
recent survey in California shows the
wheat crop about 90 per cent of nor
mal, pasture grasses 75 per cent, rice
130 per cent and potatoes about
normal.
A report from Idaho estimates that
120.000 acres in that state are planted
in fruit, 115,000 acres being in apples.
Prospects for deciduous fruits are for
only moderate crops. Apricots and al
monds have suffered from frost. Gen
erally speaking the increase of new
rcreage coming into bearing will to
i considerable extent offset losses by
frost.
Railroads are preparing to provide
2ars for large shipments of fruit from
California, 15,000-18,000 being the es
timate for deciduous fruit, 14.000-15,
000 for Valencia oranges (2,000 more
than in any previous year), besides
10,000 for cantaloupes.
A large salmon catch is anticipated
this year because of the quadrennial
run of the sockeye and the biennial
run of the humpback varities.
It is said that 315,000 head of sheep
are grazing on the Humboldt national
forest in Nevada, the largest number
on any single national forest, while
the largest number of cattle, 76,000
head, is found on the Tonton In Ari
zona. Both cattle and sheep are com
manding extraordinary prices and
wool contracts have been made at
50 to 52 1-2 cents.
Potash, formerly obtained from Ger
many, is now being obtained from the
kelp along the California coast; while
at a much higher cost, the availability
commercially has been demonstrated.
In California $2,000,000 worth of
quicksilver was produced in 1916.
A Los Angeles shipyard has received
an order for eight steel vessels of 8,
100 tons each.
The lumber output of this district
during the past year has amounted to
9,070,000.000 feet, about 1,500,000,000
more than last year.
Production of petroleum in Califor
nia in April amounted to 269,085 bar
rels daily, shipments being 309,001
barrels. On April 30, 1917, stored
stocks were 39,976,386 barrels, com
pared with 60,820,315 barrels on April
30, 1915.
Pacific coast banks, particularly
those of San Francisco, are steadily
expanding their acceptance business.
From April 1 to May 15 the federal
reserve bank bought their accept
ances, covering the following importa
tions; rice from China and South Am
erica; beans, raw silk, pongee, curios,
surgical instruments and buttons, hats,
and cigars from the Philippines; tea,
cotton goods, toys, walnuts, carpets
and peanuts from China.
Loans and deposits of member banks
in reserve cities in this district each
expanded more than 25 per cent from
May 1, 1916, to May 1, 1917.
The prospects at this time are for
maximum industrial activity, but for
only moderate crops, with generally
high prices.
■v-"
MINING MACHINERY
FOR THE YUKON.
The Harmon Machinery Company
has received an order from the Nis
lutln Gold Mining Company, in the
Yukon territory for one of its type
“H” standard drills, which is now
being built, and when completed will
weigh ten tons. A hydraulic plant
has also been purchased by the same
company from the local concern.
-«
Mary TaBsell, wife of Alexander Tas
sell, who is alleged to have been
drowned when the Treadwell mines
were flooded, and whom the mine man
ager asserts was seen on the surface
following the accident, has brought ac
tion in the district court at Juneau for
damages amounting to $5,400.
TO THE POTATO.
Twinkle, twinkle, little spud,
As up among the clouds you scud;
You are doubtless feeling gay,
Chasing round the milky way;
You have reached to such a height
You are securely out of sight.
Like a diamond now you seem
In your price—and that’s no drean
Twinkle on another twlnk,
But you'll drive us all to drink
As we chase for needful chink
You are sailing rather high.
As you wink your shriveled eye
Up there somewhere in the sky.
As a flyer you're a bird,
Spud so mighty, though so small.
You make diggers of us all;
If you keep on. I'll be bound,
You’ll bring bullion pound for pound
You'll fill the adage old.
That you're worth your weight In gold
Tuber, since the coop you flew,
We have only longed for you;
That our fireside you forsook,
Broke our heart and pocketbook.
Never felt how we could love
Till you left and went above:
Never felt how dear you were,
Till we paid three dollars per,
Small potato, please come back.
For your presence we so pine,
That our stomach hits our spine.
We are tired of eating greens,
Stewed prunes, sauerkraut and beans
'Tis for you alone we yearn,
Darling tater, please return.
—♦
RESPOND TO THE CALL.
A special meeting of the Cordova
fire department will be held at head
quarters tonight at 8 o'clock. Every
member is requested to attend.
-«
The coast and geodetic survey
steamer arrived at Juneau recently,
and will make that place her head
quarters during the summer, the crew
of the Patterson will commence the
season's work at Cape Spencer and
will survey the coast and take sound
ings between that point and Cape Fair
weather during the summer.
-«
The steamer Admiral Evans recent
ly brought several mining men to re
port on the Scotty McRay iron prop
erty at Port Chatham. Thirty tons o
this ore was recently sent east for tes
and if the ore comes up to expecta
tions it is hoped that the property
will become a big producer of chrome
iron.
THE MILKMAN.
"The milkman goes his weary way
before the rising of the sun. he earns
a hundred bones n day, and often
takes In less than one. While lucky
people snore and drowse, and bark In
dreams of rare delight, he takes a
stopl and milks his cows about the
. middle of the night. If you have milk
ed an old red cow, humped o'er a big
six gallon pail, and have her swat you
on the brow with seven feet of
burry tail, you'll know the milkman
ought to get a plunk for every pint
he sells; he earns his pay In blood
and sweat, and sorrow In his bosom
dwells. As through the city streets
he goes, he has to sound his brazen
gong, and people wake up from their
. dose and curse him as he goes along.
He has to stagger through the snow
when others stay at home and snore:
and through the rain he has to go, to
take the cow Juice to your door.
Through storm and flood and sun and
rain the milkman goes upon the Jump,
and all his customers complain and
make allusions to the pump. Because
one milkman milks the creek Instead
of milking spotted cows against the
whole brave tribe we kick, and stir
up everlasting rows. Yet patiently
they go their way. distributing their
healthful Juice, and what they do not
get In pay, they have to take out In
abuse.”—Ex.
--♦
Printing and developing. Mrs. Paul
Beran. Phone 73-3 rings.
EXPERT
PIANO TUNER
George Anderson, piano expert and
factory representative, will be in Cor
dova this coming summer. Expert
work in piano and organ tuning and
repairing guaranteed. For prices on
new and second hand pianos and or
gans, also pianos for rental, address,
P. O. BOX 991, JUNEAU, ALASKA.
: BATHS
♦
♦ Tub and Shower.
♦ Batli House Open Day and
♦ Night.
♦ First Class Barber Shop in
t Connection.
♦ ALASKAN HOTEL
l BARBER SHOP,
♦ Frank Cunningham, Prop.
♦♦♦♦♦♦♦♦♦♦♦♦♦♦♦♦♦
♦♦♦♦♦♦♦♦♦♦♦♦♦♦♦♦♦
l Northwest
l Soda Works
♦ Manufacturers and
♦ Bottlers
♦ Soda Water, all Flavors,
» Gingerale,
♦ Root Beer,
♦ Coco Cola.
♦ Mail Orders Given Prompt
♦ Attention.
+ Cordova, Alaska.
♦♦♦♦♦♦♦♦♦♦♦♦♦♦♦♦♦
g" -1 - - m I
INSURANCE
FIRE, MARINE, LIFE and ACCIDEN1
Insure your property against nre It
reliable Insurance Companies.
We represent the Niagara. London
Phoenix, Hartford, Northern, Glolw
and Rutgers, and others; all stronj
Board Companies.
We also represent the Marylant
Casualty Company, and Issue Fidelity
and Surety Bonds.
Northwestern Realty & Trust Co.
Windsor Hotel
L. Wain, Prop.
Where You Get
Comfort and Service.
And the Rates Are Right.
Cordova Alaska
t
icity uuifonr
PHONE 127.
Second St., opposite Postoffice.
Best of Hand Work. Give Us
ft Call.
I
>3-0
When Ordering Job Work Don’t
Think It is Your Duty to Build Up
Concerns In the States, But Give
The People Who Are Paying
Wages and Spending Their Money
In Cordova a Chance to Live.
Si-0
THE MODERN
ELECTRIC LAMP
reduces the cost of electricity
amazingly. It may be said
that no modern home can af
ford not to have electricity
for lights and other purposes.
We shall be glad to show you
how really economical elec
trical service is.
Cordova Power Co.
LIGHTS WATER PHONES POWER
Office: FIRST STREET
E. A. HEGG
STATIONERY AND PHOTO SUPPLIES
Developing and Printing Phonographs
Views and Postcards ; Cotabla Se<;ordli
Art Pictures, Art Supplies a „ .
«. _ Sheet Music
Picture Frames
Picture Framing Candies Always Fresh
Cigars and Tobacco Toilet Articles
MAIL ORDERS GIVEN IMMEDIATE ATTENTION.
' —————...
I SAFETY FIRST
MODERN LAUNDRY
. F. A, Jkmes, Proprietor---1
An Up To Date Steam Laundry
I Experienced Capable Employes
SANITARY
Clothes Thoroughly 'washed and
Sterilized No Contamination
SERVICE |
Quick Work - Reliable - Courteous i
p Out of Town Work Given
| Careful, Prompt Attention
I PHONE 66 |
I WE AIM TO PLEASE
I 1st Avenue Below Alaskan Hotel
■
*
Eternal vigilance is the price of financial safety. ’
j Cleveland.
gg The tows of the country, the statutes of the common
ly wealth, the untiring efforts of watchful eyes safeguard
v every bank transaction. £jj
J Moral: Unquestioned safety is this institution’s
2 proudest asset. ^
i The First Bank
l of Cordova t {
|o Territorial Depositary. til
£ United States Depositary for Postal Savings Funds. & i
Ml Commercial Department. Savings Department. |g
Alaskan Hotel |
ROBERT GOTTSCHALK—Proprietors—ART CLONINGER |jl
“The House of Comfort." :-:i
THE BEST EQUIPPED HOTEL IN
ALASKA
ij;i Bar and Barber Shop in Connection. I
;i|: Hot and Cold Water, Electric Bells,
Electric Lights, Steam Heat, Suites
| With Bath. |
CORDOVA . ALASKA
— 1 _______
—
An Alaskan Product
Real Old German Lager
A Refreshing Drink
The Valdez Brewing Co.
Under New Management
Patronize Home Industry
On Tap In Every Saloon
Cordova Mill & Lumber Co.
LONG AND SHORT MILL WOOD FOR SALE
Manufacturers and Dealers in Rough and
Dressed Lumber.
Also Outside Lumber
We Have Succeeded the Arctic Lumber Company and
All Mail Orders Should be Addressed to l's.
Orders From up the Line Office and Mill Opposite
Promptly Attended to. Railroad Depot. Phone 5
Copper River
& Northwestern Ry.
”FOUR TRAINS WEEKLY BETWEEN
CHITINA AND KENNECOTT
Leave Cordova, Second Street Depot, on Mon
days, Thursdays and Saturdays.
Leave Chitina for Cordova Sundays, Tuesdays
days, Thursdays and Fridays.
Leave Chitina for Kennecott Sundays, Tues
days and Fridays.
Leave Kennecott for Chitina Mondays, Wednes
days, Thursdays and Saturdays.
The above schedule subject to change with
out notice.
Dining Car in Connection With all Regular
Passenger Trains Between Cordova and Chitina.
Freight received and delivered at Cordova
Wharf from !! a. m. to 5 p. m., except Sundays.
Tickets on sale at Second Street Depot
office, one hour before departure of trains.
CALEB CORSER, W. E. BROWN,
Superintendent. Agt. Cordova Wharf
R. K. BROWN, Jr., Ticket Agent.
0