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1
L /dL /
THE BUSINESS REVIEW
FEDERAL RESERVE BANK
OF PHILADELPHIA
.i'liSiS**,
JULY 2, 1945
!j
Current Business and Banking
Industrial reconversion since V-E Day has
been retarded basically by two obstacles—un
certainty of military requirements for the war
against Japan, and the shortage of steel. Clari
fication of the former is expected soon but steel
mills and the metal fabricators are heavily
booked with high priority orders so that the
makers of consumer goods must continue to
stand in line.
During the past month the War Production
Board has continued to prepare the way for
large scale reconversion. Production quotas
have been set for the manufacture of passenger
automobiles and major household appliances;
substantial quantities of aluminum and brass
have been released for civilian use, and con
sumers of copper are permitted to purchase up
to a thirty-day supply. The Spot Authorization
Plan, having largely served its purpose of initi
ating reconversion in small plants with munitionfree facilities, was revised at the end of June.
Procedure under the plan as amended enables
manufacturers to produce more items on a “catch
as catch can” basis.
At this stage of the reconversion program par
ticular attention is being paid to the needs of the
nation’s railroads. The redeployment of troops
and the mounting volume of military freight
moving westward is causing new and compli
cated traffic problems for the carriers. Recog
nizing the need for more rolling stock, the War
Production Board has placed the entire freightcar building industry and many suppliers of
R
parts on the National Production Urgency list.
The action assures priorities on materials for a
large number of producers, including quite a few
located in this district. It also assures car
builders and their suppliers preference in man
power referrals through the United States Em
ployment Service.
Cut-backs in munitions schedules are increas
ingly reflected in an easier manpower situation
throughout the country. The number of tight
labor areas continues to decline, and in many
sections, notably Detroit, controls have been
relaxed. In Philadelphia and nearby counties,
controls have been relaxed in the past month to
the extent of exempting women from employ
ment ceilings. As estimates of the labor re
quirements of war industry continue to diminish,
other manpower regulations in this industrial
area may be eased in the third quarter.
Industry. Productive activity in the Philadel
phia Federal Reserve District slackened con
siderably in May and was substantially below
the level of a year earlier. Manufacturing oper
ations decreased largely as a result of reduced
war orders. In the coal mining industry, activity
was drastically curtailed by the strike at anthra
cite collieries.
Output of factory products on an adjusted
basis decreased 5 per cent in the month and
showed a drop of 13 per cent from May 1944.
Pronounced decreases from April to May oc(Continued on page 7)
Page One
The Economy of the Third Federal Reserve District
Part II—Prospects
The economic development of this area from
its colonial origin to the present has been a
process of continuous change in adaptation of
local resources to changing needs and require
ments. In the light of a rich heritage the ef
fects of the war on the livelihood of the people
of this district and the post-war prospects may
be appraised more effectively.
The Third Federal Reserve District is a small
but highly industrialized community. In 1940
over 7% million, almost 6 per cent of the coun
try’s population, made their living in this area
which contains only 1.2 per cent of the total
land area of the United States. The 60 counties
composing the district had an average popula
tion density of 210 per square mile, in contrast
with 44 for the entire country. Although it is
highly industrialized, this does not mean that
most workers were employed in factories. On
the contrary, it is surprising how few people
were engaged in manufacturing. Of every 100
persons employed in 1940, only 34 worked in
factories, 7 on farms, 5 in mines, and 4 in the
building trades. Thus, half of the workers
were engaged in extracting raw materials from
the earth and converting them into physical
goods for immediate or ultimate consumption.
(See Table 1.)
These goods-producing industries are pri
mary, not in the sense that they are more im
portant than others but because they were the
first to be developed and still produce most of
the basic necessities of life—food, clothing, and
shelter. Of course, the economy is now so
highly specialized that the primary industries
are interdependent, not only upon each other
but also upon the service-producing industries
which employ the other half of the gainfully
occupied.
The service-producing industries are sec
ondary in the sense that they facilitate the
operations of the primary industries and also
afford innumerable ways for increasing the com
forts of living. They provide health, travel,
education, entertainment, police protection,
light, water, heat, repairs, storage, finance, and
so forth.
Business and personal services, such as insur
ance, domestic and professional services, ac
counted for 19 per cent of the total employed.
Trade accounted for 17 per cent; utilities and
transportation, 7 per cent; and Government serv
ices, 7 per cent. The importance of these indus
tries as a means of livelihood is often over
looked, perhaps because they are strictly local
industries and ultimately dependent upon manu
facturing, mining, and agriculture of the area
for their prosperity.
But this is not the full picture of the pre-war
economy of this district, for it includes only the
2,645 thousand persons who were successful in
finding employment. Actually 3,225 thousand
persons would have had jobs had there been
enough to go around; but there were 580 thou
sand persons, or 18 per cent of the labor force
unemployed.
The District’s Economy—War Peak
TABLE I: Estimated Employment in Third District
1940
1943
194X»
(Thous.)
%
(Thous.)
%
Total................................................
2,645
100
3,136
100
3,034
Goods-producing industries . .
1,324
50
1,666
53
1,548
51
Manufacturing..........................
Agriculture.................................
Mining.........................................
Building.......................................
897
174
137
116
34
7
5
4
1,293
168
116
90
41
5
4
3
1,092
174
137
145
36
6
4
5
Service-producing industries .
1,321
50
1,470
47
1,485
49
Service - business and personal
Trade...........................................
Utilities.......................................
Government (excluding mfg.).
494
443
197
188
19
17
7
7
465
453
238
314
15
14
8
10
532
507
228
219
18
17
7
7
Note: Figures are rounded and do not necessarily add to totals.
♦194X designates firBt year after reconversion.
Page Two
(Thous.) %
100
The unlimited demands of war have elim
inated this problem for the moment. Young
men were drawn into the armed services and
total civilian employment rose from 2,645 thou
sand to 3,136 thousand in the district between
1940 and 1943, an increase of almost 20 per
cent. The necessary emphasis upon fabricated
goods further concentrated the working people
of this area into manufacturing pursuits. Em
ployment in manufacturing grew 44 per cent
from the pre-war level of 897 thousand to 1,293
thousand at the war peak, when it constituted
41 per cent of the total employed, in contrast
to 34 per cent in 1940.
To facilitate expansion in this field, further
increases in the industries essential to the proc
esses of manufacturing—transportation, com
munication, light, heat, and power—were nec
essary. This group increased 20 per cent in
this district over the war period, from 197
thousand to 238 thousand. The war also stim
ulated a substantial increase of employment in
Government service; it rose from 188 thousand
to 314 thousand as a result of vastly increased
needs for manpower in administrative offices
and training centers and the migration of some
Government departments from Washington to
this area.
sion has taken place—called 194X. Since re
conversion will begin at different times for dif
ferent producers and will be of varying duration,
it is oovious that 194X cannot be associated
with any specific calendar year. However, these
estimates suggest the direction of the changes
which will take place in the local economy as the
war comes to a close.
Certain qualifications about 194X should
be borne in mind in studying the results of these
estimates. First, a considerable lag may be ex
pected between the manufacture of civilian
goods and their appearance on retailers’ shelves.
In some cases there will be even longer delays
A slight increase of employment in wholesale where stockpiles of basic raw materials for
and retail trade raised the employment level manufacturing have been drawn down below
from 443 thousand to 453 thousand. More peo normal levels over the war period, as in the
ple were required to handle the larger wartime case of lumber. Secondly, although plants will
volume of sales but most or all of the increase be ready to resume civilian production, in many
may represent part-time workers.
cases they will not be operating at full post-war
capacity
because not all manufacturers will be
The additional persons working in manufac
able
to
expand
capacity and obtain needed
turing and utilities have be,en drawn not only
from the ranks of the pre-war unemployed but equipment immediately. Third, civilian demand
also from other fields, such as agriculture, min for goods in this first post-war year will be ab
ing, construction, and service. It is priority of normally high, reflecting the accumulation of
demand rather than lack of demand which ex wartime shortages. Finally, and most impor
plains the decreases in employment. Agricul tant, despite the completion of reconversion, this
ture and mining have expanded production will still be a year of transition and adjustment.
above pre-war levels by substantially increasing There will be the tremendous job of retraining
the productivity of their workers. Construc the labor force to the normal peacetime pattern
tion, on the other hand, was operating below its of demands. Many workers losing their jobs
pre-war volume in 1943, since much of the war through the contraction of war industries will
construction had been finished and shortages be shifting from one job to another. It will
of both men and materials prevented the under also be a period when many firms will be offer
taking of nonessential contracts. In the serv ing new products and new services to the test
ice industries the basic problem was almost of the market.
entirely manpower, and as a result their level
Total employment in 194X in the district is
of activity was necessarily far below that war estimated at 3,034 thousand—a decline of 102
ranted by consumer purchasing power.
thousand, or 3 per cent below the war peak.
The over-all effect of the war has been a The 194X labor force is expected to be approxi
substantial change in the distribution of work mately 4 per cent greater than the pre-war
ers from industries producing services to those labor force, or about 3,354 thousand; hence, un
producing goods, particularly war goods, rais employment might be in the neighborhood of
ing the proportion of total employed in the pri 320 thousand, or 10 per cent of the labor force—
mary industries from 50 to 53 per cent and low a substantial reduction over the 18 per cent un
ering the share of the secondary industries employed in 1940. Allowing for customary un
correspondingly. The realignment of the econ employment due to such causes as illness, seaomy to peacetime demands at a high level of em sonability, and workers shifting from one job
ployment will be the basic problem of the imme to another, the problem of full employment
will be to absorb an additional 200 thousand
diate post-war period.
into productive occupations. To accomplish this
means raising the employment level above the
Short-Run Prospects of the Third District
war peak, but with the difference that these
On the basis of private surveys, employment human resources will be used less intensively
prospects of the Third District have been esti and in different occupations than during the
mated roughly for the first year after reconver
war.
Page Three
1400
tively large increase in employment expected in
the construction industry. Although the de
mands for building and repair resemble the
pent-up demand for many durable manufac
tured goods, like trade, this industry may be
delayed in getting its operations under way
until its raw materials are produced by manu
facturing and extractive establishments. The
number employed in construction may be ex
pected to expand as rapidly as materials become
available.
1400
The expected decrease in “utility” employ
ment primarily reflects a result of the lower level
of operations in manufacturing. However, it
should be noted that the decline is only 4 per
cent in this field, compared with a decline of 16
per cent in manufacturing. Agriculture and
mining are both expected to increase employ
ment to pre-war levels, which in each instance
will mean greater output than in 1940 as a re
sult of wartime increases in productivity. It is
not likely that employment in these two indus
tries will increase much beyond these levels in
the immediate post-war period, since neither the
demand for food nor for domestic heating fuel
is very elastic. Moreover, the long-run pre-war
trend of employment in both these industries
was downward, reflecting in both cases substan
tial increases in productivity and inelasticity of
demand. In the case of mining, the rise of com
petitive fuels produced outside the district is
another unfavorable factor.
ESTIMATED EMPLOYMENT IN THE THIRD DISTRICT
THOUS.
SERVICES
1940 1943 I94X
SERVICE-PRODUCING
40 43 Hx
SERVICE
HO 43 HX HO H3 4X Ho ’43 '4X
TRADE
UTILITIES
GOVERNMENT
40 43 '4X
'40 '43 ’4X
MINING
BUILDING
GOODS
1000
ESS
1940 1943 194 X
GOODS-PRODUCING
40 43 4X
40 43 4X
MANU - AGRICULTURE
TACTURING
mum
With the exception of trade, the broad occu
pational groups which increased over the war
period—manufacturing, utilities, and Govern
ment—will not maintain their wartime levels
through 194X. Those experiencing declines
over the war period—agriculture, mining, con
struction, and service—will be recruiting addi
tional employees in this period. Consumers’
unsatisfied demands for radios, automobiles,
good quality apparel, shoes, and the like, will be
enormous but they will not entirely replace the
needs for tanks, guns, battleships, and other in
struments of war.
The availability of manpower in 194X will
make possible the expansion of trade and serv
ices to levels more in keeping with the demands
of consumer purchasing power than was pos
sible at the war peak. The availability of man
power and materials also explains the rela
Page Four
Finally, a decrease of one-third is anticipated
in Government employment as the need for con
trols gradually declines. Military and naval
establishments will be curtailed, and certain
government agencies may be expected to return
to Washington.
The result of these shifts among the various
industries will be a distribution of employment
between the pre-war level and the war peak.
The economy will have a greater concentration
of workers in manufacturing than in 1940, but
less than in 1943. Agriculture and mining will
rank slightly higher than during the war but
not as high as pre-war.
The primary industries as a whole will em
ploy about 51 per cent of the workers and the
service-producing industries as a whole will
employ 49 per cent of the total. Only construc
tion will surpass both its pre-war and war-peak
proportions by employing 5 per cent of total
employed in 194X.
TABLE II: Estimated Manufacturing Employment in
Third District
Employment
(in thousands*)
Manufacturing...........................
Textile mill products.................
Iron and steel products............
Apparel and other fabricated
textile products.........................
Food and kindred products. . .
Machinery....................................
Chemicals and petroleum and
coal products.............................
Transportation equipment... .
Printing and publishing...........
Miscellaneous...............................
Stone, clay & glass products. .
Leather & leather products. . .
Lumber, furniture, and lumber
products......................................
Paper and allied products....
Tobacco manufactures..............
Nonferrous metals & products.
Rubber products.........................
Per cent change
1940
1943
1940194X
1943194X
+ 22
+ 10
+ 21
- 16
+ 22
- 31
1940
1943
194X
897
156
125
1,293
141
218
1,092 + 44
173 - 10
152 + 75
104
73
73
127
80
137
116
87
106
+ 22
4- 9
+ 88
+ 11
+ 20
+ 46
- 9
+ 10
- 22
62
59
42
36
36
33
83
241
40
50
40
30
75
99
49
39
41
40
+ 34
+307
- 5
+ 41
+ 12
- 8
+
+
+
+
+
+
22
67
15
10
15
20
+
+
+
9
59
21
22
2
30
30
27
21
13
8
29
27
20
17
11
34
32
24
14
12
- 2
+ 3
- 4
+ 36
+ 25
+
+
+
+
+
13
20
15
13
47
+
+
+
+
15
16
20
17
18
* Figures are rounded and do not necessarily add to totals. Per cent changes
are based on full figures.
This analysis greatly over-simplifies the vast
shifting process in the distribution of the labor
force which will occur during the transition, as
only broad occupational groups are dealt with.
An examination of the changing employment
needs of the component industries making up
each of these groups, or better still of the indi
vidual firms in each of these industries, would
reveal the complexity of readjustment. Al
though it is impossible to break down each item
in the foregoing table into smaller segments, it
has been possible to construct estimates for 16
major industries making up the manufacturing
group. These are shown in Table 2. Nine of
these groups, headed by the textile industry,
anticipate increases in their employment over
1943, amounting to 74 thousand in all; but total
employment in manufacturing will decline be
cause this is not enough to offset decreases of
142 thousand in transportation equipment; 66
thousand in iron and steel; 31 thousand in ma
chinery; and declines in other “war” industries.
Long-Run Prospects
A great deal of thought has been given to
planning for tomorrow, that is, for the year or
so immediately after the war. It is just as
important, if not more so, to lay plans for the
day after tomorrow, that is, several years after
the war—say 1950. In 194X, the year after
reconversion, it may be assumed that most of
the major readjustments from war to peace will
have been made. But it cannot be assumed
that a condition of normalcy will prevail. While
perhaps the majority of business enterprises will
have done their retooling and made their plants
ready to cater to peacetime markets, the flow of
goods may be insufficient to satisfy the demands.
Residential housing will be inadequate. High
way construction will be unfinished. Railroads
and other utilities will not have completed their
programs of catching up on long-deferred main
tenance and renovations. For lack of machin
ery and equipment, numerous manufacturing
enterprises will not be geared up to a capacity
sufficient to meet the needs of products which
civilians have had to forego for a number of
years. For lack of raw materials such as lum
ber and leather, some producers will be unable
to supply their market. Just as in the early
part of the war a great many munitions items
were “on order,” so in 194X numerous civilian
goods will have to remain “on order!’ until the
readjustment process is completed. It will be
a sellers’ market as long as these conditions
prevail.
By 1950, all or most of these conditions prob
ably will have changed. Productive capacity
will be adequate—perhaps more than adequate
—and the delayed demands for durable goods
of both producers and consumers will be satis
fied. It may be assumed that every industry and
every area will have fully developed potential
ities for peacetime production. Competition
may be expected to attain a high pitch. It will
be a buyers’ market, and only those producers
who can turn out goods at low cost will survive.
How will the Third District fare in 1950 and
beyond? Here, as elsewhere, the common goal
is to provide jobs for all who seek employment;
but the attainment of substantially full employ
ment presents some problems peculiar to this
district. Although it is impossible to ascertain
how many people will be employed in 1950, it
is possible to obtain a broad perspective of how
the people in this region will be making their
living.
On the basis of past trends extending over a
great many years, further contraction may be
expected in the proportion of workers in the
goods-producing industries and an increase in
the proportion in the service-producing indus
tries. It is estimated that by 1950 about 48 per
cent of the workers will be employed in produc
ing goods and 52 per cent in production of
services.
In the goods-producing industries the longrun prospects for expanding job opportunities
are most favorable in manufacturing and con
l
Page Five
struction and least favorable in mining and
agriculture.
Agriculture in this area affords very little,
if any, opportunity for increased employment.
For several decades agricultural employment
here has been almost stationary, though physical
output has been steadily increased. Expanding
output with a substantially constant labor force
has been achieved through mechanization, soil
enrichment, and scientific practices in plant and
animal husbandry. During the war, our farm
ers increased their output materially with a
smaller labor force than they had in the period
immediately preceding the war. After the war
some of the workers in war industries and some
veterans will return to the farms, but most of
them will take the place of older workers who
carried on patriotically during the war.
country’s most important areas in production for
war can be utilized to make it an equally im
portant area in production for peace. It has a
highly skilled and well trained supply of labor.
It has a great variety of established industries
which make for the stability which goes with
diversification. It has a vast accumulation of
capital and abundant credit facilities. It has a
highly developed and integrated system of
transportation, both land and water, which af
fords easy access to world-wide markets and
raw materials.
Whether local industries can create expand
ing employment opportunities depends very
largely upon the breadth of vision used in the
plans for reconversion. Planning on the basis
of pre-war products is not enough because many
will be obsolete. One of the few useful by
products of war is a pronounced acceleration of
technological developments which will give rise
Mining, likewise, offers little opportunity for to a great variety of improved and new prod
expanding employment. Any appreciable in ucts. For example, the development of radar
crease would have to come from anthracite,
will have a pronounced effect upon the com
which accounts for almost two-thirds of the munications industries. Similarly, other indus
mineral output of the district. This is unlikely. tries will be affected by wartime developments
The market for anthracite has been contracting
in the production and use of plastics, plywood,
ever since the First World War, and further
light metals, synthetic rubber, high octane gaso
more, the moderately increased production stim
line, and new textile fabrics.
ulated by the present war was obtained with a
smaller labor force due, in part, to mechaniza
Every job created in manufacturing leads to
tion of the process. Prospects for greater em
the
creation of still more jobs in the service in
ployment in this field are not very favorable
dustries.
The manufacture of goods requires
unless chemists develop some new uses for
the
use
of
power produced by utilities; trans
anthracite, such as converting the mineral into
carbon black or liquid fuel. There is also little portation furnished by railroads and motor
likelihood of greater employment in the district trucks; money and credit supplied by banks;
bituminous area. It is on the marginal fringe protection from certain risks provided by insur
of the vast Appalachian beds whose richest de ance companies; distribution effected by whole
posits lie outside of the district in Kentucky, salers and retailers, as well as storage, repair,
Ohio, western Pennsylvania, and West Virginia. and allied services contributed by a host of re
lated specialists. In addition to these services
facilitating the production and distribution of
The building trades afford growing job op goods are numerous independent services, such
portunities. In addition to expanding needs as education, travel, and entertainment—all of
based on normal growth of population, the long- which make for higher standards of living and
delayed construction program will hardly have well-being. Trade and services, as a whole, are
been completed by 1950. Operating processes occupying an increasingly important position
and traditional practices are not likely to under and may be expected to employ more and more
go change so radically as to cause technological people in the future. While some of these serv
displacement of workers. In the event that ices are dispensable in times of adversity, im
construction costs are reduced substantially by proved standards of living are reflected in em
prefabrication or other means, lower cost hous ployment of a larger proportion of workers in
ing might stimulate still greater employment.
these fields.
Manufacturing has been the basic economic
activity of the district for many years. The
same factors that made this region one of the
Page Six
The Third District, which is part of the oldest
industrial region of the United States, has all
the characteristics of a seasoned economy. It
has passed through the stage of most rapid
growth, it has greater stability than more re
cently developed areas, and it has a large ac
cumulation of wealth which makes for a high
standard of living. Numerous yardsticks may
be used as evidence of a higher standard of
well being. Compared with the country at
large, the people of this district file more income
tax returns per 100 of population; they have
more telephones and radios per capita; they
have better housing, as shown by the smaller
percentage of homes in need of major repairs
or the larger percentage of homes equipped
with such conveniences as running water and
electric lighting equipment; and relatively more
people are home owners.
Perhaps the greatest danger is the possibility
that these higher standards may foster an at
titude of complacency. Other areas which are
not as highly industrialized will, of course, grow
faster but that is no reflection upon the older
and more industrialized regions. In an area
such as this, the major problem is to maintain
or raise existing standards by continuous ef
fort to improve and adapt productive facilities
to the constantly changing conditions of the
economic environment.
Current Business and Banking
(Continued from page 1)
curred in heavy industry lines, particularly at
plants turning out transportation equipment.
Production of nondurable goods in the aggre
gate was only slightly smaller than in April, but
decreases were widespread, occurring in all
lines except leather and paper and printing.
Compared with a year ago, the production of
durable goods was down 18 per cent, in contrast
with a decrease of only 5 per cent in nondura
bles. Through the first five months of 1945
declines from the preceding year have con
tinued more pronounced in heavy industry than
at plants making lighter products.
Wholesale prices rose slightly during the sec
ond half of May and in the early part of June,
reflecting advances in certain foods and an in
crease of one dollar a ton in the price of anthra
cite fuel at the mines. Retail prices also moved
upward a little in the month ended May 15,
when the cost of food purchased by wage
earners and lower-salaried workers showed an
average rise of nearly 2 per cent in large cities
throughout the country. In Philadelphia, the
advance in food costs was close to 3 per cent in
this period. Minor increases were reported na
tionally and locally in retail prices of clothing.
Employment and wage payments in major
lines of industry, trade, and service in Pennsyl
vania decreased somewhat further from April
to May and in the aggregate were down 6 and 8
per cent respectively from levels prevailing a
year earlier. Payrolls at bituminous mines rose
steeply in May with the resumption of normal
operations under a new working agreement, but
at anthracite mines the strike reduced wage
disbursements to a fraction of their April vol
ume. Changes in most trade and service lines
were rather narrow.
Factory employment, payrolls, and total
working time in Pennsylvania continued to de
crease in May reflecting in part declining pro
duction schedules in several munitions lines. The
number of production workers, which has shown
a gradual but uninterrupted decline since early
last summer, was reduced 1 per cent from April
to a level 7 per cent below a year ago. Wage
payments and employee-hours worked de
creased 3 per cent in the month and were re
spectively 7 and 9 per cent less than in May
1944.
Previously the volume of payrolls had fluctu
ated rather narrowly a little below the wartime
peak reached early in 1944. The decline in May
was quite general; it was especially pronounced
in the transportation equipment industry, where
wage payments to workers in shipyards and
automotive plants were reduced nearly 15 per
cent, as some contracts were completed and
others were cancelled. All other major indus
try groups except stone, clay and glass, and
paper and printing reported smaller payrolls in
May than in April. In the case of the textile,
clothing, and leather groups, however, the de
creases were of much smaller than seasonal
proportions.
The weekly income of wage earners at report
ing plants in Pennsylvania decreased to an aver
age of $47.96 in May from $48.96 in the pre
ceding month, and $48.14 a year ago. Average
hourly earnings remained at the record high
Page Seven
METAL PRODUCTS
PRODUCTION AND PRICES
EMPLOYEE-HOURS IN PENNSYLVANIA
1932 AVeLiOO
PERCENT
PRODUCTION *
IRON AND STEEL
PHILA. FEDERAL RESERVE
WHOLESALE
COMMODITY PRICES U.S.
METALS
COST OF LIVING
IN PHILADELPHIA
1939
1940
1943
1944
1945
of $1.09 reached in March. Average working
time, which had approximated or exceeded 45
hours a week for nearly two years, was reduced
to about 44 in May.
Production of bituminous coal in Pennsylvania
increased considerably in May from the small
volume of the preceding month, when opera
tions were curtailed by work stoppages. Output
continued at a high rate through the first half
of June. The tonnage mined in the five months
ended May showed a decrease from a year ago
of 12 per cent in this state, and 8 per cent in the
country as a whole. At Pennsylvania anthra
cite mines, production in May declined dras
tically to the lowest level in two decades, as
operations at most collieries were virtually sus
pended until a new wage contract was signed.
Output of hard coal was 28 per cent smaller in
the first five months this year than last and
below that of any similar period since 1940.
Although restrictions on new construction
have been eased somewhat, increases in activity
in this field may be limited for some months by
the tight supply situation in key building mate
rials, including lumber, most forms of steel,
and plumbing and heating equipment. Port
land cement, face brick, and certain types of
wall board are available in sufficient quantities
to permit a substantially higher rate of construc
tion activity than now prevails. Manpower pre
viously lost to war industry may be recovered to
a considerable extent by munitions cut-backs
scheduled in coming months.
Total expenditures for construction in the
United States increased about 6 per cent in May
Page Eight
1939
1940
1941
1942
1943
1944
1945
to an estimated $444 million, and were nearly
15 per cent greater than a year earlier. The
gains in both the month and year reflected con
tinued expansion in the dollar volume of pri
vately financed undertakings. With most of the
military installations and facilities for expand
ing productive capacity for war material com
pleted or nearing completion, publicly financed
construction is declining rapidly.
In this district the dollar volume of new con
tracts awarded declined sharply from the excep
tionally high level reached in April. Awards
for all types of construction except factory
building and unclassified projects, which include
municipal and other public buildings, showed
large percentage decreases from May 1944. Ac
tivity in residential building is expected to in
crease soon owing to a recent authorization for
the construction of some 2,000 dwellings needed
to relieve the tight housing situation in the
Philadelphia area.
Unseasonably cool weather in May continued
to retard the growth of crops, and frequent
heavy rains further delayed field work in most
parts of this district. Late frosts again damaged
some orchard fruits and garden vegetables.
Higher temperatures in June resulted in a de
cided improvement in the condition of most field
and truck crops. Pastures have continued to
furnish abundant feed for livestock, and pro
duction of milk has risen to a high level.
In spite of the repeated interruptions to sea
sonal farming operations, the demand for work
ers in most sections still exceeds the supply by
TEXTILE ACTIVITY
VALUE OF BUILDING CONTRACTS AWARDED
EMPLOYEE - HOURS IN PENNSYLVANIA
$
PERCENT
third federal reserve district
TOTAL
COTTON
GOODS
{
, WOOLENS
/'"'AND WORSTEDS
VvPUBLIC WORKS
J—AND UTILITIES
1939
1940
1941
1942
1943
1944
1945
a wide margin. Employment on farms increased
less than seasonally from May to June in the
country as a whole and was nearly 3 per cent
less than a year earlier. The difficulty farmers
are experiencing in meeting their labor require
ments is reflected in a continuing advance in
wage rates, which have almost doubled in the
past three years. By June 1, monthly wage
rates, with and without board, had reached the
highest levels in records covering over two
decades.
Farm cash income in Pennsylvania, New Jer
sey and Delaware declined somewhat in April
and was a little less than in the same month last
year. Receipts from the sale of both crops and
livestock products showed decreases from
March, and income from livestock products mar
keted was below the level of April 1944. In
come in the four months ended April was $236
million—about 5 per cent greater than a year
earlier.
The movement of rail freight in this section
increased less than seasonally during May, fol
lowing the reversal of traffic originally sched
uled for trans-Atlantic shipment. Freight-car
loadings, on an adjusted basis, declined 5 per
cent from April and were 4 per cent less than a
year ago. Decreases in the month occurred in
all commodity classifications, except coke, which
showed a larger than seasonal rise. Shipments
of merchandise and miscellaneous freight were
somewhat larger than in May 1944, while in
other categories declines ranged to nearly 20
per cent. Total loadings in the first five months
were down 3 per cent from a year ago.
1940
1942
Til
iJ I
1943
1944
Wholesale trade sales decreased some
what in May following a sharp rise in the pre
ceding month. Smaller sales of drugs, dry
goods, hardware, and paper more than offset
increases in other lines ranging from 4 per cent
in shoes to 13 per cent in groceries. Total dol
lar volume was 3 per cent less than a year ago,
although sales in the five months ended May
showed an increase of like amount over the cor
responding period of 1944. Wholesalers’ inven
tories in the aggregate did not change signif
icantly from April to May, but they were about
one-tenth smaller than a year earlier.
Trade.
Retail sales generally increased in May from
unusually low levels reached in April, when
stores were closed for one day, following the
death of President Roosevelt. On an adjusted
basis, the dollar volume at department stores in
this district increased 4 per cent in the month
to about the level of May 1944. Sales by
women’s apparel stores were about one-fourth
larger than in April, and they exceeded those of
a year ago by 12 per cent. At shoe stores, the
gain was 6 per cent in May, but sales were down
by that percentage from a year earlier. Busi
ness at establishments specializing in men’s ap
parel remained near the April level, and was 7
per cent less than in May of last year.
Inventories at retail stores in this district in
creased contra-seasonally in May, with gains
over the twelve months indicated in all report
ing lines but shoes. The value of orders out
standing placed by department stores has been
declining for three successive months. At the
close of May, nevertheless, commitments were
nearly one-fifth greater than a year ago.
Page Nine
By the latter part of June,
sales of E bonds, so important in the over-all
objective of holding down inflationary pressures,
were still materially short of the quota set for
this security in the Seventh War Loan. Total
sales to individuals, however, had reached quota
and sales to corporate investors were double
the goal. Loan drive results in the three states
of the Third Federal Reserve District were simi
lar to those shown for the country as a whole.
Banking conditions.
DEPOSITS AND EARNING ASSETS
THIRD FED. RES. DISTRICT
REPORTING MEMBER BANKS
MILLIONS
3000
DEPOSITS
2800
2600
2400
2200
No small part of the huge volume of sales
was made possible by active extension of bank
credit. This credit was made available both
through loans and through purchases of out
standing securities. Reporting banks in leading
cities of this district increased their holdings of
Government securities by $310 million or 17
per cent over the four-week period ended June
20. Allowing for exchanges of maturing cer
tificates and guaranteed bonds for Treasury
notes on June 1, it appears that the largest pur
chases were of certificates and bonds.
Loan expansion was less of a factor here than
in the national totals. Nevertheless, loans on
Governments to brokers and dealers by report
ing institutions moved up from an average of
$6 million in May to $19 million on June 13, and
dropped back to $11 million on the 20th. Simi
lar advances to other customers increased slowly
early in June from a.level of approximately $5
million and then jumped to $35 million on June
20. Even at these expanded levels, loans to
purchase or carry Governments accounted for
less than 2 per cent of earning assets, as against
6 per cent for all reporting banks in the United
States.
The increase of $367 million in total loans and
investments over a four-week period was the
largest in any loan drive, and it was paralleled
by corresponding growth in deposits. Material
changes were shown in the deposit structure.
Customers’ balances, as reflected in adjusted
demand and time deposits, increased $100 mil
lion over the first three weeks to a record high
point of $2,244 million. But in the following
week they dropped $240 million as quarterly
income taxes were paid and marketable secur
ities in the loan drive were opened up to cor
porate and institutional investors.
United
States Government deposits at reporting banks
increased over $450 million in this week. Wide
spread use of credits to war loan accounts in
Page Ten
LOANS AND
_ INVESTMENTS
2000
J JASON 0AJ FMAMJJASON 0AJ f M A M J J A S O ND,
1943
1944
making payment for Government securities was
reflected for the district as a whole in an in
crease in balances with depository banks from
$398 million on May 23 to $1,074 million on
June 20.
The record shows that payments out of bank
reserves also were in substantial volume over
the four-week period. Treasury receipts in the
Third District were $100 million larger than the
continuing heavy disbursements characteristic of
the war period. Currency in circulation in
creased, but the amount involved was less than
usual, suggesting that hand-to-hand money had
been used in part for security purchases and tax
payments. These transactions, tending to re
duce member bank reserves, were much more
than offset by heavy gains in interdistrict com
mercial and financial operations, probably re
sulting in part from sales of Government se
curities by investors who were adjusting their
portfolios in anticipation of purchases during
the Seventh War Loan.
Surplus funds were absorbed in part by a re
duction in Federal Reserve credit extended
directly in the district, with the result that bank
reserves increased only $23 million to $795 mil
lion. Reserve Bank advances to member banks
reached a 1945 high of nearly $40 million in the
middle of June, but by the 20th of the month
had declined to $3 million, showing a net de
crease of $8 million over the past four weeks.
The principal change in credit supplied locally,
however, was a decrease in Treasury bills held
under repurchase option from $200 million to
approximately $162 million.
BUSINESS STATISTICS
Production
Employment and Income
Philadelphia Federal Reserve District
in Pennsylvania
Adjusted for seasonal variation
Per cent change
Indexes: 1923-5=100
May 1945
from
May Apr. May
1945 1945 1944
INDUSTRIAL PRODUCTION
MANUFACTURING............
Durable goods......................
Consumers’ goods..............
Metal products.....................
Textile products...................
Transportation equipment.
Food products.......................
Tobacco and products........
Building materials................
Chemicals and products....
Leather and products...........
Paper and printing................
Individual lines
Pig iron......................................
Steel............................................
Silk manufactures..................
Woolen and worsteds............
Cotton products......................
Carpets and rugs....................
Hosiery......................................
Underwear................................
Cement......................................
Brick..........................................
Lumber and products...........
Bread and bakery products.
Slaughtering, meat packing.
Sugar refining..........................
Canning and preserving....
Cigars.........................................
Paper and wood pulp...........
Printing and publishing. . . .
Shoes..........................................
Leather, goat and kid...........
Paints and varnishes.............
Coke, by-product...................
COAL MINING........................
Anthracite.................................
Bituminous...............................
CRUDE OIL..............................
ELECTRIC POWER..............
Sales, total................................
Sales to industries..................
BUILDING CONTRACTS
TOTAL AWARDSf.................
Residential t.............................
Nonresidentialf......................
Public works and utilitiesf..
126p
133p
195p
90p
171
63p
428
ll7p
93
35
165p
87p
96
136
140
210
92
179r
65
481
120
99
36
174r
82
94
149
153
237
95
185
70
604
123 r
96
35
159r
U3r
94
89
86 r 97
127 130r 131
84
83
86
62p 64
64
42
40
46
53p
54
54
61
65
70
130
138 142
23
27
29
48
50
47
35
33
33
Mo.
ago
Year
ago
- 7
- 5
- 7
- 2
- 4
- 2
-11
- 3
- 6
- 1
- 5
+ 5
+ 2
-
15
13
18
5
7
9
S3
5
3
0
+ 4
- 23
+ 3
+
+
+
+
+
-
+ 90
- 70
+ 25
+262
104
101
95
105
165p 166
92
98
82
83
99
96
108
99
66p 66
86
86
150p 155
39
83 r
31
82
103
95r
323 322
446 431
435 424
326 350
126
107
163r
95
84
96
131
96 r
94
164
88
84
116
366
439
441
341 r
+ 3
- 2
+ 2
- 3
+ 4
- 3
- 6
- 6
-13
- 3
+ 5
- 4*
+ 3
- 9
- 1
- 7
- 1
+ 3
+ «
+ 1
0
- 3
-53
-62
+ 9
0
+ 4
+ 3
- 7
74
4
56
425
39
14
44
117
- 9
+n
-26
+30
81
4
75
327
* Unadjusted for seasonal variation.
13-month moving daily average centered at 3rd month.
8
4
2
4
8
2
13
8
19
2
8
1*
18
11
i
4
2
3
18
31
8
8
55
63
11
12
2
1
5
Not adj us ted
1945
from
5
mos.
1944
10
- 9
- 13
- 3
6
6
- 21
0
- 3
-
- 1
+ 5
- 16
+ 1
-
6
-
3
3
+ 1
+
+
+
+
-
23
10
8
4
- 21
+
-
10
- 23
- 4
- 4
- 21
- 23
-
12
- 15
+ 2
0
- 1
+ 41
- 82
+ 41
+200
May Apr. May
1945 1945 1944
Factory
employment
April
1945
May
1944
Fac■tory
payrolls
April
1945
May
1944
Building
permits
value
April
1945
May
1944
125p 134
131p 137
147
151
169
61p
445
112p
90
36
167p
79p
97
172r
63
498
115
90
35
176r
81
96
182
67
625
115r
93
36
I62r
103r
95
92
133
81
58p
41
52p
61
131
26
51
33
121
105
117
134p
89
82
100
98
60p
91
156p
38
31
93
335
415
417
332
97 r
136r
81
59
42
53
65
135
26
52
32
127
99
136
140
89
84
98
99
64r
91 r
161
82 r
82
87 r
332
422
436
353
101
138
83
61
45
53
70
143
32
50
30
123
126
132
125r
92
84
97
119
87
100
170
86
84
104
381
409
423
348
71
4
59
298
78
3
77
301
38
15
47
82
April
1945
+
+
+
+
+
2
5
1
9
2
0
2
1
6
7
- 6
+ 9
- 3
- 1
-88
+ 7
+ 1
+ 2
- 1
+ 1
0
- 1
+ 2
+ 1
- 1
- 6
- 7
-89
-12
- 3
-10
- 4
0
+ 9
- 1
+ 2
- 3
- 9
310
468
9
330
110
252
258
152
159
150
183
182
182
— 2
- 3
-90
+62
- 4
+ 4
+ 3
0
— 1
- 2
+ 4
— 1
- 2
— 7
—91
-10
—17
— 10
+ 8
+ 5
+ 2
+ 8
- 5
Employment*
Payrolls*
Per cent
Per cent
May chang efrom May changefrom
1945
1945
index Apr. May index Apr. May
1945 1944
1945 1944
Indexes: 1923-5 —100
TOTAL.....................................
Iron, steel and products...
Nonferrous metal products
Transportation equipment
Textiles and clothing..........
Textiles.................................
Clothing................................
Food products.......................
Stone, clay and glass............
Lumber products.................
Chemicals and products. . .
Leather and products.........
Paper and printing..............
Printing.................................
Others:
Cigars and tobacco............
Rubber tires, goods...........
Musical instruments.........
110
120
220
141
75
69
97
120
80
50
115
70
99
94
- 1
- 1
0
- 4
- 1
- 1
- 1
- 2
0
0
0
- 1
0
+ 1
- 7
- 6
+n
-18
- 6
- 5
- 9
0
- 7
- 1
- 1
- 4
- 1
+1
191
263
462
253
118
110
157
186
128
85
212
117
155
141
-
3
2
2
8
2
2
4
4
0
1
1
2
2
3
- 7
- 6
+ 9
-20
- 2
- 1
- 6
0
- 3
+ 5
+ 2
+ 3
+ 5
+ 8
48
144
86
- 1
- 1
-14
-10
- 3
+1
74
305
113
- 1
- 3
-18
- 1
+ 1
-25
+
+
* Figures from 2800 plants.
Hours and Wages
Debits
May
1944
124
171
5
69
45
76
130
97
121
102
103
99
97
Manufacturing
Factory workers
Averages
May 1945
and per cent change
from year ago
Retail
sales
Payrolls
Per cent
Per cent
May chang efrom May changefrom
1945
1945
index Apr. May index Apr. May
1945 1944
1945 1944
GENERAL INDEX............
Manufacturing......................
Anthracite mining................
Bituminous coal mining. . .
Building and construction..
Quar. and nonmet. mining.
Crude petroleum prod.........
Public utilities......................
Retail trade...........................
Wholesale trade....................
Hotels......................................
Laundries...............................
Dyeing and cleaning...........
p—Preliminary,
r—Revised.
Allentown...........
0
0
- 8
+ 2 - 57 - 95
+10
Altoona................
0
+ 3
- 2
+ 8 +132 +169
+ 6
Harrisburg..........
— 3
— 3
+ 1 +117 +336
+
6
Johnstown..........
— 2
— 7
0 - 26 + 47
+11
Lancaster....
+ 1
—13
0
-12 - 22 - 49
+
5
Philadelphia. . . . - 1
-10
- 4
-10
+ 7
Reading............... - 1
- 2
- 1
+ 2 - 3 +183
+
9
Scranton..............
0
+ 2
— 4
+ 2 - 16 - 2
+ 2
Trenton...............
- 14 - 32
+13
Wilkes-Barre....
0
+ 4
- 2
+12 +209 + 87
+
8
Williamsport... .
— 9
— 5
- 8 4- 34 + 38
Wilmington........ - 5
-18
- 9
-23 +229 + 42
+
3
York
— 3
- 1
- 3
4- 4» —
- «iy
59 —
- 49
+15
............................... ....................... *"____r
* Area not restricted to the corporate limits of cities given here
Employment
Indexes: 1932 =100
Local Business Conditions*
Percentage
change—
May
1945 from
month and
year ago
Industry, Trade and Service
1945
1944
+ 7
+ 6
+ 4
+ 6
- 1
+ 8
- 4
+ 9
+28
+ 9
+ 4
0
+ 8
+22
+33
+10
+12
-10
+18
+14
+13
+17
+18
+18
+ 18
+32
Wee kly
work ing
tim 5*
Hourly
earniilg8*
Weekly
earningst
Aver
age Ch’ge Aver Ch’ge Aver Ch’ge
hours
age
age
44.2 — 3 $1.092 + 3 $47 96
0
45.7 — 3 1.151 + 3 52.58
0
45.2 — 2
1.022 + 3 4-6.19
+ 1
44.0 — 8 1.307 + 4 57.47
- 4
39.1 — 2
.814 + 7 31.66
+ 4
40.1 — ]
.814 + 4 33.16
+ 5
36.5 — 2
.783 + 8 28.45
+ 4
43.1 — 3
.831 + 2 36.38
0
41.7
0
.955 + 4 39.68
+ 5
43.1 — 2
.799 + 5 34.21
+ 3
46.5 + 2 1.074 + 2 49.84
+ 3
42.4 + 1
.788 + 5 33.46
+ 7
44.6 + 2
.946 + 5 42.42
+ 7
42.2 + 4 1.106 + 6 46.85
+ 9
TOTAL.............................
Iron, steel and prods.. ..
Nonfer. metal prods.. .
Transportation equip..
Textiles and clothing. .
Textiles........................
Clothing.......................
Food products..............
Stone, clay and glass..
Lumber products.........
Chemicals and prods...
Leather and products.
Paper and printing. . .
Printing........................
Others:
Cigars and tobacco. . 42.3
Rubber tires, goods. . 44.2
Musical instruments. 38.7
* Figures from 2656 plants.
+ 1
.662 +K) 28.01
+ 11
0 1.060 + 3 46.87
+ 3
-20
.885 - 8 34.26
-26
t Figures from 2800 plants.
Page Eleven
Distribution and Prices
Wholesale trade
Unadjusted for seasonal
variation
Per cent change
May 1945
1945
frt>m
from
5
Month Year mos.
1944
ago
ago
Sales
Total of all lines...................
Boots and shoes..................
Drugs.....................................
Dry goods........._..................
Electrical supplies.............
Groceries...............................
Hardware.............................
Jewelry.................................
Paper.....................................
- 2
+ 4
- 5
- 6
+ 5
+13
-16
+ 5
- 3
- 3
-15
0
-19
+18
+ 7
+ 4
-15
-17
+ 6
-14
+12
+ 11
+ 10
-14
- 7
184
0
106
130
107
99
0
+1
+1
0
128
+
127
+
138
+
146
109
144
121
of Labor
+ 84
+
+
+
+
+ 41
+113
+ 59
+ 24
+ 2
1
+ 3
1
3 + 4
+ 6
0
0
0
0 + 8
+ 1
0
Statistics.
May April May
1945 1945 1944
Sales
Department stores—District........................
Philadelphia...............
Women's apparel..............................................
162p
151
180
138
147
152
143
158
129
125
161
154r
161
148
157
159
156
197
69
153
152
181
64
150
149
177
76
- 3
+1
+1
-13
+ 9
- 7
-18
0
-11
146
139
92
133
288
209
109
135
107
144
140
96
141
208
178
103
147
111
152
137
89
165
301
216
131
137
127
+19
+n
134
140
113
-73*
-81*
+17
4
2
-63*
+ 7 191
3
1
184
16
10
163r
168p
163
189
148
119
162
152
150r
150
112
168
165r
169
160
127
+ 4
+ 7
+26
- 1
+ 6
+ 8*
+1
- 2
+12
- 7
- 6
- 7*
158
156
205
63
149
14Q
181
58
150
149
183
69
+ 7
+ 4
+13
+ 9
- 2*
+ 6
+ 5
+12
- 9
+ 5*
144
135
92
150
227
246
113
145
117
151
141
96
177
401
220
123
158
121
151
133
89
185
237
255
136
147
140
- 5
- 4
- 4
-15
-43
+12
- 8
- 8
- 3
- 4
+ 2
+ 3
-19
- 4
- 3
-17
- 2
-16
MISCELLANEOUS
Life insurance sales..........................................
Business liquidations
136
140
114
- 3
Check payments..............................................
191
163r
+50*
+67*
+ 2
+ 10
+ 8
+17
+13
+ 6
Inventories
+1
2
6
2
1
Not adju sted
RETAIL TRADE
Shoe......................................................................
Per ce it chan ?e from
May
Year Aug.
Month
1945
1939
ago
ago
Basic commodities
(Aug. 1939=100). .. .
Wholesale
(1926=100)................
Farm.............................
Food..............................
Other............................
Living costs
(1935-1939=100).. . .
United States.............
Philadelphia...............
Food............................
Clothing.....................
F uels...........................
Housefurnishing8. . .
Other..........................
Source: U. S. Bureau
Indexes: 1935-1939 =100
+ 3
Inventories
-10
Total of all lines...................
+1
Dry goods............................
-43
+14
Electrical supplies.............
+23
+«
- 2
Groceries..............................
-ii
- 4
- 2
Hardware.............................
0
-19
Jewelry.................................
-22
0
Paper.....................................
Source: U. S. Department of Commerce.
Prices
Ac juste d for a easonal varial ion
Per cent ch mge
May 1945
1945
May April May
from
from
1945 1945 1944
5
Month Year
mos.
ago
ago
1944
+
+
+
+
+
+
+
30
30
48
47
13
43
20
FREIGHT-CAR LOADINGS
Merchandise and miscellaneous...................
Merchandise—l.c.l............................................
Coal......................................................................
Coke.....................................................................
Forest products...................... ■.........................
Grain and products.........................................
Livestock............................................................
* Computed from unadjusted data.
188
p—Preliminary.
r—Revised.
BANKING STATISTICS
MEMBER BANK RESERVES AND RELATED FACTORS
Changes in—
Reporting member
banks
(Millions $)
June
20,
1945
Assets
Commercial loans................ $ 202
52
Loans to brokers, etc..........
48
Other loans to carry secur..
33
Loans on real estate...........
1
Loans to banks.....................
141
Other loans............................
Four
weeks
+
+
+
7
33
19
Oue
year
-$
+
+
+
38
18
35
3
5
39
Third Federal Reaerve District
(Millions of dollars)
May 30
June 6
June 13
June 20
Changes
in four
weeks
Sources of funds:
Reserve Bank credit extended in district...........................
Commercial transfers (chictly interdistrict).......................
Treasury operations..................................................................
+12.2
+27.0
-31.9
- 9.0
+25.3
+16.9
-17.7
+45.5
- 1.7
-28.8
+85.2
-85.5
- 43.3
+183.0
-102.2
Total.............................................................................................
+ 7.3
+33.2
+26.1
-29.1
+ 37.5
+
+
+
-
5.3
1.6
0.5
0.1
- 1.6
+35.4
- 0.6
+ 0.0
+ 8.7
+15.7
+ 1.8
- 0.1
- 5.0
-29.6
+ 5.2
+ 0.3
+ 7.4
+ 23.1
+ 6.9
+ 0.1
+ 7.3
+33.2
+26.1
-29.1
+ 37.5
Changes in weeks ended —
Uses of funds:
Currency demand.................. ....................................................
Member bank reserve deposits...............................................
“Other deposits” at Reserve Bank.......................................
Other Federal Reserve accounts............................................
Total loans........................... $ 477
+$ 59
+$ 46
Government securities.... $2100
Obligations fully guar’teed.
173
Other securities....................
+$364
- 54
2
+$529
- 54
Total.............................................................................................
Total investments............. $2273
+$308
+$475
Total loans & investments. $2750
Reserve with F. R. Bank.. .
448
30
Cash in vault.........................
Balances with other banks..
85
43
Other assets—net.................
+$367
+
2
+$521
+ 27
Member bank
reserves
(Daily averages;
+
-
+
-
Liabilities
Demand deposits, adjusted. $1796
208
Time deposits................. .. • .
U. S. Government deposits.
687
Interbank deposits..............
404
Borrowings.............................
16
Other liabilities.....................
245
Capital account....................
Page Twelve
6
5
Ex
cess
5
10
1944: June 1-15..
-$138
+
i
+ 455
+ 60
8
Re
Held quired
+$ 16
+ 29
+ 437
+ 47
1
1
+ 16
May 16-31. .
Country banks
May 16-31. .
June 1-15. .
$403
430
438
465
$394
421
428
450
9
9
10
15
283
335
336
346
228
271
271
269
55
64
65
77
Federal Reserve
Ratio
Bank of Phila.
(Dollar figures in
of
millions)
excess)
to required Discounts and
Industrial loans....
2% U. S. securities.........
2
Total.........................
2
Note circulation.. . .
3
Member bk. deposits
U. S. general account
Foreign deposits... .
24
Other deposits.........
24
(iold certif. reserves.
24
Reserve ratio.............
29
Changes in
June
20,
1945
Four
weeks
2.6
1377.3
$ 8 3
-J 1.0
+ 18.9
+$ 1.1
2.2
+ 358.8
+$ 9.6
+ 10.4
+ 23.1
+ 6.4
+ 6.0
+ 6.9
+ 38.3
+ 0.7%
+$357.7
+ 255.1
+ 100.0
+ 33.6
- 34.2
+
2.6
+
4.0
7.1%
$1383.0
1508.1
794.6
34.8
106.7
11.2
1057.9
43.1%
One
year
@FedFRASER