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By J. B. Austin

It is now well established, chiefly through the work of Davenport and Bain,' that the influence of temperature upon the rate of transformation of austenite to ferrite at constant temperature is represented by a curve of the type shown in Fig. 5 on page 295 and the reasons for this general shape have been discussed by them in a qualitative way. Thus, the upper part, or nose, of the curve is the resultant of two factors of which the rate of change with temperature is not the same, and by analogy with other like cases it is almost certain that these factors are: (1) the chemical potential, or driving force, of the transformation, which is zero at the equilibrium temperature and increases rapidly as the temperature falls below this point; and (2) a factor analogous to viscosity, or resistance of the crystal lattice to a change in structure, which also increases as the temperature is lowered. Just below the equilibrium temperature this virtual "viscosity" of the metal is relatively low—that is, the metal offers little resistance to a change in lattice—but the driving force is also small, and the net result is that the reaction proceeds slowly. As the temperature is lowered the magnitude of both factors increases; but at first the driving force increases more rapidly than the resistance and the reaction is observed to proceed more rapidly. At lower temperatures, however, the resistance begins to increase faster than the driving force, and eventually, at the nose of the curve, overbalances it, causing the reaction to proceed more and more slowly thereafter. This concept is somewhat, though not completely, analogous to that employed in certain electrical cases where the precise factors are known and are separately measurable. The current I (in amperes or coulombs per second) flowing through a given wire is proportional to the impressed potential, or driving force E, and is inversely proportional to the resistance R of the wire; that is, I = E/R. Stated in a slightly different way, the time required for one coulomb to pass a given point (1/I) is equal to R/E. If the temperature of the whole circuit is changed, the resultant change in 1/I will depend on the relative rates of change of R and of E,

Jan 1, 1935

By J. B. Austin

It is now well established, chiefly through the work of Davenport and Bain,' that the influence of temperature upon the rate of transformation of austenite to ferrite at constant temperature is represented by a curve of the type shown in Fig. 5 on page 295 and the reasons for this general shape have been discussed by them in a qualitative way. Thus, the upper part, or nose, of the curve is the resultant of two factors of which the rate of change with temperature is not the same, and by analogy with other like cases it is almost certain that these factors are: (1) the chemical potential, or driving force, of the transformation, which is zero at the equilibrium temperature and increases rapidly as the temperature falls below this point; and (2) a factor analogous to viscosity, or resistance of the crystal lattice to a change in structure, which also increases as the temperature is lowered. Just below the equilibrium temperature this virtual "viscosity" of the metal is relatively low—that is, the metal offers little resistance to a change in lattice—but the driving force is also small, and the net result is that the reaction proceeds slowly. As the temperature is lowered the magnitude of both factors increases; but at first the driving force increases more rapidly than the resistance and the reaction is observed to proceed more rapidly. At lower temperatures, however, the resistance begins to increase faster than the driving force, and eventually, at the nose of the curve, overbalances it, causing the reaction to proceed more and more slowly thereafter. This concept is somewhat, though not completely, analogous to that employed in certain electrical cases where the precise factors are known and are separately measurable. The current I (in amperes or coulombs per second) flowing through a given wire is proportional to the impressed potential, or driving force E, and is inversely proportional to the resistance R of the wire; that is, I = E/R. Stated in a slightly different way, the time required for one coulomb to pass a given point (1/I) is equal to R/E. If the temperature of the whole circuit is changed, the resultant change in 1/I will depend on the relative rates of change of R and of E,

Jan 1, 1935

By S. C. Langdon, Henry S. Rawdon

The following note describing the behavior of copper under rather unusual conditions is offered for its suggestiveness rather than as a complete study of the question. The examinations described were made because of a request for information concerning the embrittlement of copper when heated in a molten salt bath (sodium chloride) for the purpose of cleaning, as well as softening it. It is well known that metals may be rendered very brittle by electrolytic action in aqueous solutions, in all probability by the action of nascent hydrogen, and it was suspected that perhaps the embrittlement of the copper by means of the molten salt was produced in a somewhat similar manner. It was found that the copper was in contact with iron (or steel) while immersed in the molten salt, through the occasional use of an iron stirring rod, iron forceps for handling the pieces, and an iron pot for containing the fused salt. In the electrochemical potential series iron and copper stand some distance apart, copper being electronegative to the iron. Assuming that the two metals bear 2 similar relation to each other, when immersed in a bath of molten salt, as they do in an aqueous solution, they would be expected to form a galvanic couple, the copper being the cathode. By this means the copper might be embrittled, as often happens in aqueous solutions, by the action of the liberated hydrogen. In this case, however, the embrittlement must be attributed to some other agent than hydrogen. TO demonstrate how copper may be embrittled under these conditions, two small rods, one of copper and the other of mild steel, approximately 3/8 in. (9.5 mm.) in diameter, were immersed in a bath of sodium chloride that had been heated somewhat above its fusion point (melting point of sodium chloride is 801" C.) and an electromotive force of approximately 6 volts from a storage battery was impressed upon the system. The copper was made the cathode and the action was continued for several minutes. When removed from the bath, cooled, and tested for brittleness by bending the specimen back and forth, while clamped firmly at one end in a vise, the copper rod was found to be very brittle, as compared with a rod of the same length of the untreated copper tested

Jan 1, 1921

By A. W. Doepke

CLIMAX is situated in the heart of the high Rockies at Fremont Pass on the Continental Divide. This setting naturally throws some of the romantic aura of the old mining camps around the town. In its early days it was much like them, even to its air of impermanence. Its founders had faith in the future-as did every adventurer who started a hole in the ground and called it a mine. In those days, however, all available money was expended on the mine, and those who labored on the job had to he content with rugged living arrangements. The visitor at Climax today. however, sees a townsite carefully laid out to enhance the natural' beauty of the surroundings. There are 250 houses and 43 apartments which have been carefully designed by an architect, and missing is the long line of houses of the same type. Every house is of a different design, all being modern in every respect, with haths, running water, electricity, and .sewage disposal. They vary in size from three to six rooms and rent for $5 per room per month. A complete, well-designed water-treatment plant supplies water for domestic purposes.

Jan 1, 1946

By F. R. Hewitt

The methods of mining talc are simple, and in western North Carolina are almost entirely by open cut and quarry. The larger part of the talc of this section lies in various-sized "veins''. inclosed in quartzitic walls, the majority of which have by folding been thrown into a perpendicular position, or nearly so, and the exposed edges of which have been covered by debris from erosion of the mountain above. This covering of loose rocks and earth is from 5 to 25 ft. thick, and in most cases has to be removed because it is difficult to support. Sometimes the covering is heavy enough to "catch" and timber successfully, and in this case the talc can be worked out by the usual method of following the "vein," using stulls for holding up the walk until the vein is worked out, and then allowing the cut or drift to fall in. In some cases it proves more convenient to sink shafts and run drifts, following the talc "veins" until exhausted. The talc deposits of this section are badly broken and faulted both laterally and perpendicularly, and in some cases are found many feet below the level of drainage, necessitating pumping at considerable expense. My own experience in mining talc has been that the chief point is to get a reliable "vein," and that then the mining is not as difficult, or any more so at least, than that of any common ore. If the "veins" are pure talc it is simple; if the talc is admixed with foreign matter, such as tre-molite in excess, or stains of iron or manganese, as is often the case, one had better abandon the deposit. Methods of Manufacture Talc, being a soft mineral, is not difficult to reduce to the condition desired by the trade. Powdered talc is admitted under low duty from France, Italy and Austria, and some is being imported from Asiatic points. Talc is usually ground and bolted in any simple reduction mill. That mined in this section is hand-sorted and the quality that will make good powdered talc is ground for use in the manufacture of talcum powder, cosmetics, etc., while all that is hard enough and has sufficient strength is used for crayons and blanks for gas burners and electrical work, being sawed into the shapes desired. The rest that is clean and pure is ground

Jan 1, 1917

By Max Roesler

W. L. CUMINGS,* Bethlehem, Pa. (communication to the Secretary+). -In this discussion of Mr. Roesler's paper, I shall follow Kemp in using the term "granite" to refer to the acid rock called syenite by Kimball. Diorite, as I understand it, is the dark basic rock invariably closely associated with the orebodies. The types of rock of intermediate composition, mainly intrusives, are not under discussion. It is difficult for me to conceive that this granite is the ore-bearing agent, for the following reasons: 1. No isolated orebodies in the granite are known. It would seem that if this rock is the mineralizer, some small bodies, or at least patches and small masses of ore so situated would exist. 2. In 1909 the writer conducted explorations on the Pequena and Grande claims about 1 mile north of West Mine No. 5. This work was done after a very careful magnetic survey had shown a large and uniform area of attraction. As exploration progressed, it became evident that in this case the magnetic attraction was due to disseminated magnetite. Much ore of 40 per cent. Fe was found, but very little commercial ore was shown up. This ore was entirely in the diorite and no granite outcrops are near. The occurrence could easily have been described as "ore formation but very little ore." I cannot conceive how a remote granite intrusion could impregnate a diorite mountain with 40 per cent. of Fe, and prefer to believe that this 40 per cent. of iron was in its real home, rather than in a sort of dioritic "boarding house" after having been evicted by granitic parents. 3. The Ocaña mine, which has produced nearly 500,000 tons, shows no evidence that the granite is the mineralizer. This is admitted by Mr. Roesler on p. 1827. 4. I believe it will not be disputed that all the iron-ore deposits extending along the south coast for 60 or 70 miles are of a similar origin. Evidence available at other points might properly be referred to in discussing the article under review. At the La Plata mines, about 60 miles west of Santiago, the writer has also made explorations. No granite is in evidence. At one point in the bed of a creek is a small body of magnetite about 10 ft. long, entirely surrounded by a hard fresh diorite. To me

Jan 3, 1917

By Carl S. Westerberg

Coal preparation practice and trends follow, among other factors, production trends in any given area. Considering an area the size of a state, some broad predictions may be made after a review of the annual production records. As this paper is concerned with coal cleaning in Utah, data on its production record are pertinent. Table 1 shows the percentage relation of coal production in Utah to the national total as a single figure up to 1935 which includes all recorded production. From 1935 through 1947 these data are presented by years. It is evident from these data that the production of Utah coal is ascending. The reason for this trend is industrial growth in the West resulting in a population shift which accounts for more people than the normal increase would supply together with Utah's relatively fortunate geographical location and its abundance of good-quality coal. Utah is also hopeful of supplying more coal in the future for West Coast power generati0n.l

Jan 1, 1949

By PHILIP N. MOORE

IT is a pleasure to realize even at that day the dignity of the engineer's calling was upheld. May I also add my firm belief that today there be many engineers who will qualify to the specifications of our interesting author. Since that time, the development of the world has been chiefly due to the engineer, and so far as human brain can foresee, the material tasks of the future will continue to follow the directions of his judgment. Popular opinion says this is the age of the engineer; literature, which in the long run, voices public sentiment, shows it in the number of engineers who figure as characters of fiction. The engineer has been doing the big things necessary to increase the comfort and efficiency of mankind, but while a certain amount of fame and repute falls to him, too often he figures as the hired man of the entrepreneur, using that term not in the offensive sense of a mere promoter, but to mean the great visioned master of enterprise who has seen ahead of other men, recognized the coming needs of the world, and through ability to inspire others and to hire capital for his use has also been able to hire engineers as needed. Justly enough, therefore, to such men comes the fame as well as the prize of the game.

Jan 1, 1926

The resignation of Herbert Hoover, Director General of Relief in Europe, from his post as Chairman of the Board of Directors of the Food Administration Grain Corporation, in which capacity he had served for nearly two years; and the reorganization of the corporation under the name of the United States Grain Corporation, with Julius Barnes, United States Wheat Director, as its new head, took place at the annual meeting of the stockholders, held in New York, July 1. This action on the hart of Mr. Hoover is believed to be one of the first steps in his intended withdrawal from public service upon the conclusion of the war service of the various departments of the Food Administration, or as soon as they shall have been absorbed by other agencies. The Grain Corporation has been, for the past two years, a vast collection and distribution agency. Its function has been to assist in supplying to the Allies and the American Army and Navy large quantities of wheat, wheat flout, and other foods, with very little disturbance of American prices, and with such an even control of American distribution that reserves from one crop to another have been brought down to the lowest possible compass and without the dvelopment of actual scarcity anywhere in the United States. In the year just past, it carried on all the buying and the shipping for, the Belgian Relief Commission, until the commission retired on May 1 and the Belgian Government itself undertook its own overseas supplies. During the twenty-two months of its existence the corporation had disbursed $3,500,000,000 and collected an equal amount, selling for over-seas shipments commodities valued at $1,800,000,000, at an operating expense of about $3,250,000, or one-sixth of 1 per cent. During this time it has not lost a single dollar through fire loss.

Jan 8, 1919

By D. I. Bardos, F. X. Spiegel, R. K. Malik, Paul A. Beck

Study of the occurrence of elongated ß-Mn phase fields and of their direction of extension in fifteen ternary systems indicates that the ß-,mn phases formed by manganese with other transition elements and with either silicon, germanium, or tin may be considered as electron phases. In these phases the alloying behavior of silicon on the one hand and of germanium and tin on the other shows a significant difference . Formally all observations can be satisfactorily described by attributing to germanium and tin an apparent electron concentration of nine electrons per atom. This behavior may be interpreted by assuming that germanium and tin exclude itinerant electvons because of a strong repulsive potential arising fromthe requirement that their wave junctions be orthogonal to those of- the closed d shells of these atoms. The absence of a d shell in silicon allows this atom to admit itinerant d electrons. The following new ternary phases of unknown structure were identified by means of their X-vay difjraction patterns: (Mn,Co,Si)I , (Mn,Co ,Si)Y, (Mn.Co,Si)Q , (Mn ,Ni ,Si)W , and (Mn, Ti ,Si)A. The X-ray data suggest that these phases have large unit cells and that to some extent they may he related structurally to the 0 phase. The a phase and certain other phases formed by transition elements are characterized by their preferred occurrence at a constant electron concentration. AS a result, these "electron phases" have relation to electron concentration. The tendency of the B phase to form elongated phase fields in ternary systems along the directions of constant electron concentration has been previously demonstrated. The occurrence of an elongated 0-Mn phase field in the ternary system Mn-Co-Si was schematically indicated by Cherkashin et al.l0 The present study includes fifteen ternary systems, each containing in addition to manganese a second transition element from the group Ti, V, Cr, Fe, Co, Ni and one of the nontransition elements silicon, germanium, or tin. In each system the boundaries of the B-Mn phase were determined in the 900°, 950°, or 1000°C isothermal section, the temperature being dictated on the one hand by the requirement of sufficient rates of diffusion to approach equilibrium conditions in reasonably short annealing periods and on the other hand by the need to avoid as much as possible the partial melting of alloys during annealing.

Jan 1, 1967

By Richard W. Markley

A centralized online data acquisition system has been developed by the U.S. Bureau of Mines Pittsburgh Mining and Safety Research Center for rapidly digitizing, storing, and processing experimental signals originating up to 1100 feet away from a central computer. This system, which services seven laboratories, is currently based on a CDC System 17 1/- computer with 56K of semiconductor memory, four disk drives (one shared online with a CDC 1700), two magnetic tape drives, high-speed A/D hardware, and other input/output peripherals. The laboratories are linked to the central computer by 15-pair cables and signal conditioners and to the computer's communications controller by modems and current loops. The A/D throughput rate is approximately 30,000 samples per second (9 bit plus sign resolution) and permits scanning about 30 instruments once every millisecond for up to 100 seconds, being limited only by disk capacity. The laboratories serviced by this facility conduct explosions research and include such facilities as an Experimental Coal Mine Explosion Facility (45 channels), a Constant Volume Combustion Laboratory (4 channels), and a Simulated Coal Mine Laboratory (15 channels). Personnel support includes one systems analyst, two applications analysts, one operator, and a hardware technician. The system has performed adequately for burst-type data acquisition, but due to a lack of long-term reliability (24 hours) of the real-time multiprogramming operating system and unpredictable power failures, slow phenomena signals are generally digitized and stored offline. This latter data is input to the computer through peripherals such as a high-speed paper tape reader, or high-speed asynchronous communications ports. Processing of data is done either in real-time (as soon as data is collected) or in batch mode. Smaller batch jobs are run on this computer, and all others are transmitted by means of the system's high-speed UT 200 terminal simulator to a CDC-6000 series computer.

Jan 1, 1977

By Henry S. Drinker

(Canal Zone Meeting, November, 1910.) FEW men reach middle life without having had the experience of failure in one or more undertakings; and most of us can look back with gratitude to help or advice given us by friends at critical periods of our lives. If, as men, we ask and take the benefit of such aid, why should we expect our sons to be stronger? A parent can make no greater mistake than to send a boy, however steady and intelligent he may be, off' to school or college, and expect the boy always to cope successfully with all the new conditions and new difficulties that may confront him. This is undoubtedly more the case with a freshman, in his first year at college, than in later years, or than it is with a boy at day- or boarding-school, where the boy receives a greater degree of care and oversight than can be given to the young man entering college; of all periods in life, the youth in his freshman year-fresh from the overshadowing care of home and school-may need judicious advice and timely aid. The change from the restraint of home and school to the freedom of college life is sudden and marked, and it is in this the first year of the boy or young man of 17, 18, or 19 years of age, that some tactful, judicious aid should be near him in his work and course. Some boys go to college so well prepared that they become careless and finally fall behind in their work from over-confidence. Others meet trouble from ambitiously trying to do more than their previous preparation, or physical or mental strength, can sustain. Others fall behind from illness-from injuries-from natural inability to grasp at first, without more aid than comes to them in the regular course of instruction, the higher mathematics-or mayhap the modern languages, or other subjects presented by the advanced curriculum of the present day. When a boy or youth begins to

Jan 1, 1911

By Vernon Taylor

CANADA'S oil production is obtained almost entirely from the Turner Valley gas and oil field, in the Province of Alberta. This field, about 30 miles southwest of the city of Calgary and approximately 115 miles north of the United States border, supplied 92 per cent of production in Canada during 1937. In 1938 considerable development took place in this field and total production for the year amounted to 6,688,716 bbl., an increase of 3,922,146 bbl. over the production in 1937, which increased the percentage of production to approximately 97 per cent of Canada's total. In the British Empire, Canada's production is thus comparable to that of Bahrein Island and Burma, each of which produced approxi-mately 7,800,000 bbl. in 1937, being second to Trinidad's production of 15,500,000 bbl. The total production of the British Empire in that year amounted to 2.07 per cent of the world's total. HISTORY Development of the Turner Valley field commenced in 1913, when a well was started near a gas seepage on the banks of the South Fork of Sheep River in the central part of the Valley. This well found small quantities of a light crude oil in beds of Upper Cretaceous age and pre-cipitated a wild boom in 1913-1914 which ended with the beginning of the Great War in 1914. A small amount of drilling was done in the years from 1914 to 1922 and a few wells found small crude-oil production in the upper sands. In 1922 a few wells were started, including the Royalite Oil Company's No. 4 well (R, Fig. 1), which became the discovery well of naphtha pro-duction from the Paleozoic limestone. In October 1924, this well was completed at a depth of 3740 ft., being approximately 300 ft, in the lime-stone, with an initial flow of 600 bbl. of 72° A.P.I. gravity naphtha and 20,000 M cu. ft. of gas per day. Intense activity was not started until the latter part of 1928, when the Okalta No. 1 well (Q, Fig. 1) was drilled, with an initial production of 500 bbl. of naphtha per day. This well was only 1 ¼ miles from Royalite No. 4, but it was approximately 1300 ft.

Jan 1, 1939

By F. N. Rhines

I. An Outline of the Theory of the Sintering of Pure Metal Powders SINTERING may be defined as the process by which powders bond themselves into coherent bodies, usually, although not necessarily, under the influence of pressure and elevated temperature. For the sake of clarity and simplicity, the present survey will exclude from consideration the sintering of mixed or alloyed powders, with attendant complications, but at the risk of overlooking information of general applicability. Sintering in the presence of a liquid phase is thus automatically eliminated. The sintering of alloys involves much additional subject matter and deserves separate consideration. Since the literature of the subject is extensive and widely scattered, it will not be feasible to consider the contributions individually. Instead, the subject matter will be classified according to experimental observations and theory, and will be presented in summary form. It should be noted that the appended list of references does not constitute a complete bibliography; it includes only those works quoted below. More extensive bibliographies are included in several of the references; see particularly references 7, q, 28, 34, 38, 50, 52, 54 a "Bibliography on Powder Metallurgy" published by the Library of Congress and a pamphlet published by the Metals Disintegrating Co. entitled "The Field of Powder Metallurgy and Bibliography." II. Summary of Experimental Observations The following classified list is composed of general statements of established fact derived from the experimental results reported in the published literature. A few contested observations are included, because of their potential importance; these are labeled as such. Any satisfactory and complete theory must be capable of explaining all of the uncontested facts. Obviously, some important facts may be missing from this list and these may hold the key to the correct explanation of the sintering process, but the possible lack of such material should not deter attempts to understand the subject on the basis of what is available here. A. The Initial Bond at Room Temperature a. To a limited extent uncompressed powders and massive metals adhere at room temperature.28 Clean tin powder forms a weak "cake" on standing at room temperature, the strength increasing with time. Clean gold surfaces adhere on light contact,"' as do those of many other substances, including nickel." b. Upon compression the strength of the bond is increased progressively.28 There is a limit of pressure

Jan 1, 1946

By R. F. Mehl, W. Batz, C. Wells

Diffusion coefficient values for carbon in austenite covering a wide range of temperature and composition have been determined employing statistical methods. In addition, the relation between concentration and each of the following, D (diffusion coefficient), Q (activation heat of diffusion), and A (the constant in the diffusion equation), has been obtained. A study of the rates of diffusion of austenite was published in Metals Technology in 1940.' The present investigation is an extension of the earlier work, undertaken (1) to obtain values of the coefficient of diffusion, D, over a much wider range of carbon concentration, and (2) to provide data in all ranges of concentration and temperature in such abundance that statistical methods could be employed to evaluate the accuracy of the data with unusual precision. Composition of Materials: Composition of materials used in this research program are listed in table I. These materials, all forged to about 1 1/4 in. rounds, consist of a high-purity iron, Armco iron, a large number of laboratory-made plain carbon steels containing amounts of impurities normally expected in high-quality commercial steels, and three silicon steels. Since it was known at the time these steels were being made that impurities in the amounts present were unlikely to affect carbon diffusion rates' significantly, the effort made to obtain high-purity steels was not as persistent as it otherwise would have been. Procedure: In general, the procedure followed by Wells and Mehl and described' in detail in an earlier publication' is the one used by the present authors. However, certain modifications have been made which it is believed allow diffusion data to be interpreted more objectively and correctly. These are described completely under appropriate subheadings which follow. Experimental Procedure: Experimental procedure includes (1) the preparation of specimens by welding steels of different carbon contents, (2) the heating of these for certain times at selected temperatures in order to diffuse carbon along the specimens across the welded "interface," and (3) the determination of the carbon distribution across the diffusion zone. Preparation of Specimens: Prior to welding steel of one carbon content to iron or steel of another carbon content, surfaces to be welded are machined perpendicular to the longitudinal axis of cylinders which are about 3/4 in. in diam and 1 1/2 in. long. The prepared, flat, parallel surfaces are brought together and butt-welded electrically. Evidence of a good weld is given in fig. 1. Welding temperature

Jan 1, 1951

By AIME AIME

BERYLLIUM is one of the most interesting of the minor metals and distinctly a modern development, for until the last two decades it had practically no commercial importance whatever. Then it was discovered that when small quantities of it were alloyed with copper, a copper alloy of unusual and valuable qualities resulted. This is by far its major use-in the manufacture of strong, heat-treated copper-base alloys in which the beryllium content varies from about 0.3 to 2.5 per cent. Its second most important use, though much smaller, is in the form of oxide or other nonmetallic products in the fluorescent lamp, X-ray, cathode ray, and television industries. Certain beryllium salts have the quality, in common with several other materials, of transforming short-wave radiation and cathode rays to visible radiation. Such materials are commonly known as phosphors, and the beryllium salts are the most important phosphors now in use. The third largest use for beryllium is for ceramics, including refractories. Beryllium is also used in small quantities in the form of the metal itself.

Jan 1, 1943

By Simon D. Strauss

Production and consumption of nonferrous metals in the United States during 1950 were at peak levels for the postwar period, as is shown in Tables I, II, and III. The trend of production was upward through most of the year. At the year end, with the possible exception of the Tri-State zinc-lead district, the large mining operations in the country were running at capacity. The absence of serious labor interruptions during the year was an important contributing factor in the increased out-put of metals, since in each of the previous postwar years there had been a number of major strikes which affected production adversely.

Jan 2, 1951

By Dennis Peterson

INTRODUCTION The business arena has dramatically changed for most producers and consumers of commodities. International debt, currency shortages, political upheavals, etc., require corporations today to be sophisticated and flexible enough to change their purchasing and sales techniques in order to maximize returns. Many external factors, such as interest rates, trading partners, currency changes, and government edicts, can have an adverse effect on a company's bottom line. Totally out of a company's ability to control or predict, these. factors force the commodities based corporation to constantly re-evaluate its operating scope and domain. The principle of back-yard only operations and the laissez-faire with blinders style of management is no longer a viable way to run a business. The industrial world has been operating for the past 10 to 15 years as though there were no commodity nor raw material crisis. For developed countries the primary products sector has become marginal, whereas it was central in the first half of the century. A radical change in the method of doing business is necessary to offset a depression in the industrial economy. The risk of collapse may be heightened by a banking crisis caused by massive defaults on the part of commodity producing debtors, whether in the third world or in our own farm producing sector. The raw materials economy has become divergent with the industrial economy. This is a major change in the world economy with tremendous implications in both developed and developing countries for economic and social policies and economic theories. Basic competition issues, such as low labor costs, are likely to become less of an advantage in international trade. In developed countries these costs are going to account for a smaller portion of total costs. The total costs of automated processes are lower than those of traditional plants with low labor costs. Automation in the commodities sector eliminates the hidden but high cost of not processing at capacity created by poor quality, rejects and maintenance for product change-overs. The cost of capital will become increasingly important in international competition. Over the last ten years the U.S. has become the highest cost country in this area. Reversing the U.S. policy of high interest rates and costly equity capital should be a priority for management decision makers. In the rapid industrialization of this century, Japan developed by exporting raw materials, (principally, silk and tea), at steadily increasing prices. Germany developed by leap frogging into the high-tech industries, mainly in electricity, chemicals and optics. The United States did both. Both avenues are blocked for today's rapidly industrializing countries because (a) the deterioration of the terms of trade for primary products, and (b) it requires an infrastructure of knowledge and education far beyond the scope of a poor country. Many explanations exist for the explosion of international money flows. The shift from fixed to floating exchange rates in 1971 may have given initial impetus by inviting currency speculation. The surge in liquid funds flowing to petroleum producers after the oil shocks of 1973 and 1979 was definitely a major cause. There can be little doubt that the U.S. government deficit also played a big role. The American budget deficit has become a massive void, sucking in liquid funds from all over the world and making the U.S. the world's major debtor country. In reality, a trade and payments deficit is actually a loan from the seller of goods and services to the buyer, that is, to the U.S. From now on, the global ramifications of business will have to be treated in economic theory and business policy alike. Economic theory teaches that the comparative advantage factors of a real economy determines operative and financial policy. These comparisons -- labor costs, productivity, raw materials cost, energy costs,

Jan 1, 1990

By Oliver S. North

Reserves of perlite rock in the western section of the United States are immense. A geological report prepared for the Union Pacific RR showed proved tonnage of over 400 million tons in southern Nevada alone. Yet the perlite industry is not large, and most of the mines are relatively small. There are indications that perlite processing, thus far largely in the hands of relatively small com¬panies, is becoming concentrated in a few large companies. For economic reasons the bulk of perlite sold in crude form has come from three or four pro¬ducers, although many individual operators have sold small quantities to limited lists of purchasers. Perlite is one of ultra-lightweight aggregates. Owing to its outstanding qualities as an aggregate, variety of uses, and ultimate economy of use, it has enjoyed considerable popularity in this country in recent years. Marked foreign interest also has been evinced in this material.

Jan 2, 1955

By J. T. Ryan

SAFETY practice or the elimination of accidents in our coal mines is specifically a problem of management. It cannot be delegated to any governmental agency except that the various coal-producing states do and should have some minimum safety standard laws. However, the legislative method of attempting to control mine accidents is ineffective because of the delay between the necessity and the action. It will always be impossible to keep our various state mining laws up to date; and when the law says you must do a certain thin there is a tendency to do this and no more. Unless the scheme for setting up state regulations is so flexible that when a new hazard develops it can be immediately and adequately covered and the whole responsibility for accident elimination placed undivided on the

Jan 1, 1937