Optimism and Pessimism;

              HASKINS & SELLS
NEW YORK CERTIFIED PUBLIC ACCOUNTANTS
NEW ORLEANS
CHICAGO
KANSAS CITY
PHILADELPHIA SEATTLE
DETROIT DENVER
CLEVELAND BULLETIN ATLANTA
ST. LOUIS DALLAS
BOSTON TULSA
BALTIMORE WATERTOWN
PITTSBURGH LOS ANGELES LONDON
SAN FRANCISCO PARIS
BUFFALO HAVANA
CINCINNATI SHANGHAI
VOL. III NEW YORK, OCTOBER 15, 1920 No. 10
Optimism and Pessimism
THE optimist sees something good in
everything. The pessimist sees no
good in anything. Either doctrine grows
on one as he indulges in it. Optimism
conduces to happiness and success. Pes­simism
breeds depression and failure.
The present time is one in which the
pessimists thrive. With them the coun­try
and everything in it are on the way to
the scrap-heap. We are in for a period
of hard times from which we shall never
emerge. Bread lines and dire poverty for
everyone are a part of the picture.
As a matter of fact, the signs of the
times do point to some contraction of af­fairs
economic and financial, and someone
is bound to suffer by the squeeze. The
present high level of prices is due for a
decline. It is high by force of circum­stances.
It is higher than it should be by
reason of unnecessary inflation. Many
there are who, because of the opportunity,
have taken advantage of certain necessary
increases in prices. Where ten per cent.
would have sufficed to cover additional
costs, they have added fifty. Such par­ties
will have no sympathy if they are
caught in the jam.
A well-known wool grower recently
made the statement that with the present
prices for wool it is impossible to put more
than six dollars' worth into a suit of
clothes. Yet it is almost impossible to
buy a presentable suit of clothes for less
than fifty dollars. The average price
probably ranges higher.
The optimist sees nothing about which
to worry in the present situation. Ac­cording
to his philosophy, everything is
ordered for the best. If prices are too
high, he refrains from buying. Prices are
governed by supply and effective demand,
that is, desire coupled with ability to pay.
If the demand falls off, supply remaining
constant, prices decline. Recent events in
the woolen cloth industry show that if the
people stop buying, prices will come down.
It was to be expected that there would
be some increase in prices after the war.
It was conceded long in advance that we
should be obliged to go through a period
of readjustment. But it is not admitted
that the country is headed for the depths
of perdition.
A little more discipline in the order of
our lives, a little less indulgence in the non­essential
pleasures, a little harder work
and keener concentration, wearing our old
clothes and our last season's hats, are
bound to bring us safely through the pres­ent
period of relative unsteadiness. The
sun continues to shine behind the clouds.
It will appear brighter by contrast when
it emerges from its obscurity.
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