is the best in the world, and the return on the money entrusted to them is fully as liberal as that paid by any other financial institution, and in most cases more so.

And yet there are people who will draw their money out of a building association and hand it over to one of these wizards of finance!

The motives that actuate such people completely transcend our comprehension-unless they are born suckers. But we fear we are wasting space. These reflections were occasioned by the recent revelations in New York and Chicago, concerning which the Cincinnati Times-Star makes the following additional editorial observations:

"The gigantic bucket-shop swindles in New York and Chicago, coming but a few months after the Ponzi operations, show how ineffectual is sad human experience in warning the credulous. The revelations in the Ponzi case should have made inexperienced investors suspicious for many years to come. No similar swindles ever received the publicity that was given to those of the "Little Napoleon." Newspapers, magazines, the movies, the pulpit all helped to broadcast an alarm which should have had its lasting effect.

"But Ponzi scarcely has accustomed himself to the onorous routine of his prison, when sharpers in two other great centers round up their thousands of victims as if nothing had happened, and separate them, pronto, from their millions in cash. All of the old tricks were played with undiminished success. Grandiloquent advertising, fake stocks, magnificent suites of offices, nests of dummy telephones, glib tongues, all were employed in the same old way. The comedy in all this is lost in the suffering which will follow.

"A summary of reports made to the United States Attorney General by district attorneys show that 480 swindle cases, involving $140,000,000 of losses to investors, now are pending in Federal courts, and all of these the results of but five years' crooked finance. Punishment will be meted out in cases where punishment is obtainable. But the total amount of retribution is bound to be woefully inadequate when measured by the amount of heart-break these swindles have caused.

"The courts, naturally, will do all they can. But there is no agency which can guarantee protection for simple people who are tempted to plunge light-heartedly into the bottomless pool of fool investments. If experience does not teach the public something in the way of prudence, it is difficult to see how the wolves of crooked finance can be controlled. The courts can put some of them in jail but there will be others to take their places so long as the sucker supply holds out."

R

West Coast Conference.

EPRESENTATIVES of the Western States met at Los Angeles, Cal., February 11, at 1:30 o'clock P. M. at the Clark Hotel for their first annual conference.

J. Warren Smith, of Redlands, President of the State League, presided, and Mr. Wm. Bouton, Secretary of the State League, acted as Secretary.

The meeting was a representative and highly interesting one. Visitors from the states of Washington and Utah, and from the cities of San Francisco, San Jose, San Diego and many other points were present. George W. Fritchey, President of the Montreal Building and Loan Association, of Westfield, N. J., and Mr. J. H. Butler, of the Omaha (Neb.) Building and Loan Association, were also on hand.

Addresses were made as follows:

"Value of Advertising"-Mr. S. L. Rowland, of Los Angeles. "Consistent Advertising"-Mr. Johnston, of San Francisco. "Co-operative Advertising"-Mr. Daniel Harris, of San Fran

cisco.

"Open Forum"-Mr. Chas. H. Tucker, of Long Beach. "Juvenile Savings"-Mr. Geo. E. Graft, of San Jose. "Escrows and Collections as Feeders to the Building and Loan Association"-Mr. Herbert H. Beesemyer.

"Federal Tax Exemption"-Mr. Henry S. Rosenthal.

It was decided to continue the holding of these conferences yearly on the afternoon and evening of the second Saturday of February at Los Angeles, Cal.

The following officers were elected: Mr. Warren J. Smith, Redlands, President, and Mr. R. Holtby Myers, 7405 Spring St., Los Angeles, Secretary.

Visitors from other points in the United States should try to arrange their time so that they can join in this good, progressive work during their stay in the great western metropolis.

SYSTEMATIC training in thrift is an essential part of every child's education, and our schools should so regard it. We have college courses to train men and women in the "art of salesmanship" (the art of inducing people to spend money), but where can you find a college course to train men and women in the plain oldfashioned art of saving money? And it is part of our calling to impress upon school boards everywhere the importance of trying to instill the idea of systematic savings into the mind of every child that attends our public schools.-Herbert O. Bailey.

Not Generally Known and Understood.

JOSEPH A. MCNAMEE in Atlantic City (N. J.) Daily Press.

The building and loan plan has been in operation far beyond the date of birth of the oldest living man or woman. There are many who are now profiting by it, and in the past there were many who reached a position of comfort and even affluence through it.

It would be natural to suppose that an institution that has flourished for almost two centuries, that has attracted the interest of millions upon millions of the world's inhabitants, that now has at least some representation on every continent--if not in every nation-of the world, would be thoroughly known and understood. As a rule, people, especially those in control of finance, will not tolerate the existence of an institution in their midst which they have not thoroughly analyzed and the details of whose every operation and function was not absolutely familiar to them.

Those who have given to the building and loan proposition profound thought and serious consideration are unanimously of the opinion that it is not generally known and understood, but that it is simply accepted on faith as an established fact, just as it is taken for granted that given favorable conditions, the planted seed will produce the vine. Even the active administrators of building and loan work are frequently found to be ignorant of its fundamentals and the principles that govern it. It is a great tribute to the merits of building and loan that it could attain to so high a degree of accomplishment on simple belief and confidence devoid of the penetrating research usually given to fiduciary trusts.

In some quarters the building and loan is looked upon as a good place for people without sufficient stamina to save their pennies, which, otherwise, in their lack of self-control, they would squander. Others regard the building and loan as a kind of side issue to which a number of philanthropic old gentlemen devote their time and energy because they have not the ability or activity to give to real money making. There is yet another class, who, while they grant that the building and loan is a boon to the ordinary man, to the workingman, for instance, it is not the place to be patronized by the individual of more than ordinary resources, for him who has the moneymaking capacity developed to the nth degree. Even Frank Crane, the noted sociologist, omits to mention building and loan in outlining his numerous suggestions on thrift.

Probably too much stress should not be laid upon the general ignorance in regard to building and loan, for even the more enlightened are amazed at the increased opportunities for building and loan that are constantly developing. Indeed, to the initiated, the proposition is akin to the uncharted isles of the unexplored seas, while fertile land and mineral wealth await the brain and brawn of the hardy pioneer.

President Harding Deems a Housing Conference Inadvisable.

In a letter to Senator King, President Harding declared that he considered it inadvisable at this time to call a national housing conference. He also asserted that he did not know "of a legislative palliative" to relieve home shortages, and added that he very much doubted "if we ought to try to create one."

The letter of the President was written in reply to one from the Utah Senator suggesting that a national conference to consider means of increasing housing facilities be called by the Department of Commerce.

"Building conditions are peculiar to individual communities," the President said. "In such communities where there is developed a manifest shortage of housing there have been local conferences held, usually under the auspices of boards of trade or chambers of commerce, into which conferences have been invited representatives of the material men, contractors, spokesmen for labor and for banking and building and loan associations. Whether this is not the most practical plan is yet to be determined. I cannot think of any way in which the Federal Government can help the situation other than by some such means.

"I do not know of a legislative palliative. I very much doubt if we ought to try to create one. Housing is such a fundamental need that there is seldom a lack of it under normal conditions, when building enterprises may be safely pursued.

"While some good came from the conference on unemployment," the President stated, and while he "hoped good results will follow the agricultural conference," he considered it advisable to await "substantial evidences of accomplishment" of the conferences already held, before calling any more.

The President declared the Department of Commerce has been inspiring community conferences in many of the larger cities, and for the information of Senator King transmitted a copy of a letter from Secretary Hoover.

The "blockade" in building was attributed by Secretary Hoover in his letter "to the high level of materials, wages, railway rates and shortage of home building capital."

"Prices and wages are now slowly receding," he added, "efficiency of labor is increasing and the volume of building is gaining. "The country badly needs a mobilization of home building capital based upon our building and loan associations, insurance companies and savings banks," the Secretary declared. "We have a sound foundation upon which to build some sort of structure that would cheapen home building capital, give it more mobility to all regions and afford greater security. A conference to consider this problem would be of great value."

Regarding a national housing conference, the Secretary expressed fear such a conference "would be likely to split upon price of materials and wages, and in any event, have no power to affect either one."

If President Harding and Secretary Hoover can bring the people of the country to understand that they must not look to the government for industrial or economic relief, but to their own efforts, they will not win the immediate plaudits of the multitude, but the rising generation will hold them in grateful memory. A very wise man said a great many centuries ago that "In this world a truly great work never pleases at once; but the god set up by the multitude keeps his place on the altar only a short time." And Ben Franklin said with equal truth some centuries later that "God helps them who help themselves."

It will be up to the building and loan associations to take the leadership in assisting to solving this all-important problem. Never were the opportunities greater than at present. Associations must co-operate in every way with the constructive industries to build and finance nearly two million homes so sadly needed.

Prosperity.

"In idle wishes fools supinely stay;

Be there a will and wisdom finds a way."-Crabbe.

Somewhere there is already in existence, or can be produced, a lavish abundance to meet every human need, but this can only be accomplished by righteous and rightly directed effort.

At the present time there are thousands of people out of employment in all of the larger cities of the country, and it has been found necessary to open souphouses for the relief of those who are reduced to such financial straits they cannot purchase necessary food. There are many in the bread-line well clothed, even wearing silk shirts, for many of these people earned big money until recently. Their improvidence in time of prosperity is largely a cause of their reduced circumstances; obviously to a certain extent they have themselves to blame.

If they had saved a portion of their pay envelope in a building and loan association they would not be standing in line at the souphouses.

In times of prosperity people should prepare for a change. Prosperity often inflates and puffs up people of narrow vision. They often imagine they are high and mighty, and look down on frugal people with contempt, but a truly noble and resolute character finds a valuable lesson in adversity and profits by it.

Prosperity should bring to the surface our highest and best qualities, for we are always on trial when fortune smiles upon us. Weak characters are warped by excessive prosperity.

Some one has said: "God does not send us money direct, but gives us promissory notes, and pays these notes when faith presents them at the throne." God sends us ideas, spiritual ideas, and these are sufficient for all our needs if we are incited to action

by these divine impulsions. You are not a worm on earth; you are the highest concept of the Absolute.