BUSINESS IN U.S.A.

Auckland Star, Volume LVI, Issue 259, 2 November 1925, Page 4

BUSINESS IN U.S.A.

THE CREDIT SYSTEM. Reporting on general market conditions as on September 19, the National Bank of Commerce in Xew York says:— Expectations of active autumn business are now in process of realisation. Wholesale and retail trade are excellent industrial output is being maintained at high levels, and the volume of business doiie during the last three months of this year will probably exceed that for the corresponding quarter of any year since 1919. Retail trade has been good in most urban communities throughout the year, primarily because of satisfactory conditions as to employment in industry and in building- and construction, and there is no reason to doubt that it will continue active through the holiday season. A factor to be considered in relation to it, however, is the volume of purchases made on credit, the leading form of which is buying on the instalment plan. There is no doubt that an important proportion of the urban population of moderate means is already obligated heavily for instalments on homes, automobilesi radio outfits, furniture, and even clothing. The chief basis for the prevailing optimism is the improved agricultural situation. Although „cotton and corn yields have been materially reduced by the drouth, it still can he said that there are good crops of both, and prices are satisfactory. Minor crops are also good, and prices high enough to compensate farmers foj - their outlay of time and money.