this class is able to put by is influenced, to a 
predominating extent, by the state of trade 
of the country ; for the members of this large 
class are only in a position to invest part of 
their earnings when the latter exceed their 
daily wants. To the great majority this is 
only the case when trade is good ; hence they 
seek an outlet for their savings at a time 
when the public at large can afford to be 
considerable spenders. 
Nowadays the greater part of every nation’s 
savings is invested in stocks. It therefore 
follows that towards the close of a trade 
boom there arises a constant and increasing 
demand for stocks to serve as receptacles for 
the nation’s savings, whilst when trade is 
depressed for any length of time this demand 
for investments first slackens, then entirely 
ceases, and is finally succeeded by a small 
trickle of realisation, which increases in 
volume until the next trade boom is well 
in hand. 
In this way the floating supply of stock 
promptly satisfies any few chance buyers who 
may be about in bad times, and then the 
surplus supply hangs over the market and 
seriously depresses prices. The whole ques 
tion simply resolves itself into one of supply 
and demand ; so that stocks are steady in