Trusts A Blessing, Is German View.

New York Times 100 years ago today, August 15, 1912:
Country's Great Prosperity Attributed in Large Part to Business Combination.
EVERYTHING NOW BOOMING
Wages Rising, Firms Enlarging Premises, and Only Need Is More Capital
Special Cable to The New York Times.
    LONDON. Aug. 14.— Many remarkable statements regarding the prosperity of Germany are contained in the annual report, just issued, of Dr. Koenig, the British Consul General for Westphalia and the Rhenish Provinces.
    The report shows how the wages of the German people are still rising, enabling them to buy better food and better goods; how almost every industry improved in the last year; how firms are enlarging their premises everywhere, necessitating more houses for workers and bringing prosperity to the building trade; how the tariff is keeping out foreign goods and stimulating home trade; how everywhere the only need is capital, and how the German Government is fostering progress by canal schemes, involving enormous expenditures.
    One of the main reasons for the satisfactory state of affairs is declared to be the stability of trade through the beneficial influence of the syndicates in keeping prices at a reasonably steady level and preventing undue speculation and excessive competition. Amalgamations of coal mining companies, iron ore companies, blast furnaces, rolling mills, and steel works are the order of the day. Home-made sewing machines are gradually excluding American machines from the market. The German electrical works have found sufficient outlets in the home markets, and do not need to look to foreign markets.
    Exports to the United States, France, Sweden, and Japan are getting more difficult of increase owing to the protectionist policies of those countries.
    Commenting on the general financial condition of the country. Dr. Koenig states that the extension of credit is a matter of the utmost and increasing importance. A great deal of foreign money, especially French and American capital, is invested in German firms, and last Summer, when foreign banks began to withdraw their credit. it looked at one time as if a financial crisis were about to occur all over Germany. "It will be a long time," adds Dr. Koenig, "before Germany can dispense with the foreign capital."
    In order to prevent German dependence on foreign capital, the Government of late has refused to sanction the issue of certain foreign loans in Germany. It argued that German capital should find outlets at home in manufactures exported to foreign countries. and should support German industries and commerce.
    The report also states that the policy of canal development is going strongly ahead. There is now proposed the construction of a transcontinental canal due east beyond Dortmund. All the rivers running from south to north into the Baltic and North Sea are to be joined together, thus bringing the east and southeast into direct communication with the North Sea. The Rhine itself, which so far is navigable for large ships only as far as Strassburg, is to be made navigable as far as Basel. The Mosel and Saar are to be deepened and canalized as well. By this means the industrial districts of Alsace-Lorraine and Luxemburg will gain immensely. All three provinces have been developing their industries by leaps and bounds during the last ten years, and will get a fresh impetus by getting cheaper canal freights.
    The Consul adds that so far experience has proved that the existing canals have not in any way lessened the Government's income derived from the State railways.