Full text of Commercial and Financial Chronicle : October 31, 1946, Vol. 164, No. 4538, Section 2

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EDITORIAL

Communism and Free Enterprise
The

activities

of

organized

:

and

communism

closely
political campaign: the in¬
creasing evidence of a disposition on the part of the Russian
authorities to inject their
"ideologies" and their preferences
allied elements in the

" current

into

our domestic
scene; and, finally, campaign speeches
(via radio beamed to this country) from Moscow are appar¬

ently having the political results to be expected of them.
At least, such must be the hope of all good and true Amer¬
icans.
The general behavior of the only first class com¬
munist

power

on

question, tended to

earth has, without

intensify the effect of these other developments, and to make
doubly

sure

that they would promptly have the repercus¬

sions inevitable
Ail this is

of

direct

sooner

as

or

later in any

it should be.

communist

event.

Whether

influence and

or

"
not the

weight
its

of the potency of

organized activities in this country, is now or ever has been
as

excellent thing for

great as commonly believed, it is an

the American

people to have an opportunity to see Leninism,
Stalinism, or whatever kind of "ism" it now is, in all. its
naked unpleasantness, and to be aroused fully to the fact
that it is directly interesting itself in our domestic political
scene

virtually without camouflage. It is wholesome for the

American

people to know who are in, effect, if not tech¬

nically, the spokesmen of the Soviets in this country.
-

But

we

this is the

Controlled

traditional ways

versus

Editorial

Regular Features
From, Washington Ahead of
.News

...............

Moody's Bond Prices

v

the,

i... k:V....

*-«

.2265

^nd Yields... .2275

Trading on. New York Exchanges.. .2278
NYSE Odd-Lot Trading............. 2278
Items About. Banks and Trust Cos..2280

-,

State of Trade

,

.2267

General Review

Commodity Prioes, Domestic Index. 2277

Weekly

Carloadings................. 2279

Weekly Engineering Construction...2277
Paperboard Industry Statistics.

.

.

.

.

,2279

Weekly Lumber Movement..........2274
Fertilizer Association Price Index...2275

Weekly Coal and Coke Output..... .2275

Weekly

Steel

Review..

.2268

Moody's Daily Commodity Index... .2275

Weekly Crude Oil Production.......2276
Non-Ferrous Metals Market.........2278

Weekly Electric Output... yi.,......2274
Bank Debits for

September.....,; ,1.2277

Curb Short Positions at Sept.

13....2277

Agricultural .Crop Report as of
•

Sept. 1.........

4 .<.

,v. .i*-»

.

.

* • * *

.2270

of supposing that

the most serious, danger to our
of doing things. Other and far more subtle

the more dangerous

(Continued on page 226$)

GENERAL CONTENTS

;

or, even

enemies lurk in the shadows. They are

Uncontrolled Economy




must not make the mistake

only,

,

More Subtle Dangers

,

•

41*:-

**.

THE

2266

countries, by. which their economies can
complement eacfi. other's r&sburces.
t
"Due to its geographical position, its economic
resources arid the exploitation of its political power,

by Thomas-W, Rogers,

present, Germany is an

and other countries have

automobile

manufacturing

and

Dunham
Corn

'side, immediate malnutrition arid intensified short-:
ages of clothing find other, essential^; on. the other
side, prolonged unemployment, - delay iri the" re¬
covery of agricultural. arid industrial prodiictipti

in

excess

dollars.

Of four billion
\V

H.

and

The

National

Company;

% liabilities

Business

Atigust
involved

khd'in'August, 1945.

fmlure^iq ? August

ac¬

cording to Dun & Bradstreet, Inc.,
totaled 92 and involved

liabilities

as

$3,434,000
compared with 74 in

II. S.-Brazil-Argentine

Rub. Pact Terminated
The State Department at Wash¬

'

,

U.

Kansas

1,600

James*

;

A.

City

Barr,

employes

by

of the company, Jan. 4
1944, prior to an NLRB

and

5,

election to select a

collective bar¬

gaining representative on Jan.

from

"The

United

States

C;

.

-

and. Brazil

petition

the

end

of

ures

,

were

7

in

July % and

liabilities

to $459,000 in
$413,000 in July.
up

from

total

The

$487,724,757.00*

J

1945)

total

lapp,

tional

Corn Exchange Bank Trust Com¬

$506,532,648.9^

the

Item

Exchange

—

J-,—:

VaS

the

In

of

amount

Return

;

the

of

amount

Exchange was.:

Coupon

The

past

year
handled

Department

v,

;

,

$15,304,994.48*

the^ Night Exchanged
687e

daily exchanges;

.

of

the

total
^ • -

•

transactions since organization of
Clearing House (93 years):
Exchanges
$9,933,197,-215,185.67;Total

Balances

———^-A'l.lOS,633,162,909.28.

Committee on Admissions:
Total
:
$11,041,830,3.78,094.95
H. Donald Campbell, Chairman,
Lajrgest*
exchanges
-on
>.
Vice-Chairman of Board, Chase
record (Oct. 31, 1929)- $3,853,049,114.48*
National Bank; Chester R. Dewey, Largest balances on record
President,, Grace National Bank;
(March ,16, .1944)
~$455",123,14Q;02L
N.
Baxter
The
Jackson,
President,
figures of the Clearing
Chemical Bank & Trust Company; House' for the year ended Sept.
B. A. Tompkins, Vice-President, 30, 1945, were given in our issue
Bankers
Trust
Company;
E. of Oct. 11, 1945, page 1747. ^ V
pany.

„

—

—-

—

Appeals CourtRuies for Friendly Aliens
Reversing
ruled

on

a

decision, the

lower court

Circuit 'Court of Appeals

Oct. 21 that the Alien Property Custodian must return prop¬

erty seized by the government during the war emergency, of which
the owner is si friendly foreign

of the Uebersee Finanz

•

vided
whose

that

a ^non-enemy
alien
property had been seized

August

for

equity.: The

continued:.

>/.

v

"Times

^

account

Attorneys for Uebersee

seized

the

They con¬
should be re¬

property.

tended that property

turned to the # owner.
c

,

opinion by Associate Justice
Bi' Barrett Prettym'ariY': Associate
•

Justice

Henry W.: Edgerton

sented.*

■

i

'

dis¬

f

'

..•

a

1 \

■

;

•

>

■

„

;: -

.

>

Sugar Industry

Advisory Committee
r

At

the

a

special meeting on Oct. 21,
of Managers
of the

Board

New York

change,
mation

Coffee

Inc.
of

and

approved

Sugar Ex¬
the for¬

Sugar Industry Ad¬

a

to counsel, visory Committee to advise
holding concern the* prospect of decontrol

Uebersee, according

$4,000,000
with interests in several proper¬
ties. Among these is a chain of
Midwest filling stations, the Har¬
vard Brewing Company of Lowell,
is

in his

7V

procedures to integrate Argentina
coercion.
ties involved is considered it is
opinion, the Court stated into the existing inter-American
covering the supply of seen that only the New York, Mass., and the Spur Distributing
that "the right of free speech guar¬ system
Company of Nashville, Tenn.
anteed-by the. Constitution is not rubber and rubber products. The Philadelphia,
Dallas ; and
Sari
Uebersee is headed by Fritz von
limited to any class and is not purpose Of the arrangement was Francisco
Reserve
districts hqd
Opel,* a citizen of Lichtenstein,
to conserve the maximum quan¬
denied to an employer."
less liabilities involved in August |who' now lives in New York,
The Court pointed out that a tities of natural rubber, for the
than in July.
In deciding in favor of the
union-organizing publication cir- prosecution of the war."
In its




-

balances on any
;
one:
day
during
the
v
year (July ir 1946)$441,333,309.70*
Smallest balances on any - < V'
-r
one
day
during
the
$140,335,257.05"
year (Oct. 8, 1945)
:

A

constituted

■,

(Oct. 8,

year

] in- * August' "were ' up vto, 12 presumably by mistake could- sue

•

,

v;

$2,237,357,014.75^

Largest

^

.

"Changed

-

day during the

any one

>

argued
When the country is
divided that Congress,: in amending the
into Federal Reserve Districts,, it act the day after the Pearl Har¬
is found that' the Philadelphia, bor attack, did not intend that
Dallas and San Francisco Reserve aliens of friendly powers should be
conditions following
in compelled to sue for payment of
hostilities have re¬ districts -had fewer failures

notes cancelling the
Agreement,
effective '• Aug.
29
(press release No. 611, Sept. 4,
1946). *
; • " .

•

*

in July with liabilities of

9

alleged that Mr.
August than in July and the Bos¬
-Barr's
speech,
by
implication, moved, the need [ for the Agree- ton and Kansas
City Reserve Dis¬
ment.
:
1
^
sought to prejudice the employes
tricts had the same number of
"The Tripartite Rubber Agree¬
against the CIO United Mail Orin
August as in July
ment was concluded May 2, 1945, failures
*.der, Warehouse and Retail Em.ployes Union, Local 131, and that by representatives^ of the Gov¬ while the remaining districts had
ordering the employes to attend ernments of Argentina, Brazil and more failures in August than in
the speech during working hours the United States. It established
July; When the amount of liabili¬
The

*

11.

with

nouncement addedf

labor: relations exchanged

manager

'

$162,000; CrimirierciaLSerViide fail¬

„

(Dec. 4, 1945)
J
exchanges s; on

Smallest

President,
United
States
Company; "Carl J. Schmid-

-

day

year

C.

during

the

one ;
•

national. The case involved was that
Korporation, a Swiss holding company,: iri
which arguments turned upon a.question of whether a 1941 amend¬
ment to the Enemy Trading Act<£nullified a section of the original Uebersee
Company, Washington
act
passed by Congress during advices to; the : "Times" ■ added,
World War I. The amendment said the Appeals Court rejected5 the
the'New York "Times" Washings position* of" James E. MarkhamV
Alien. Property
Custodian,• that
ties were up to $414,000 in August ton advices empowered the Alien
from $76,000' in ;Jtily. Retail fail¬ Custodian to seize property, of any the seized property could be dis¬
ures
in August rose to 26 from foreign government or alien; posed of for "just compensation."
The District Court had found for
17 in July but liabilities fell to friendly or enemy. This provision
the; •Government.v The;,three Ap- £
$297,000- in August from $835,- was superimposed on the previ¬
which empowered the peals-justices .sitting in the■ case
;000 in- July. Construction failures ous law,
decided two to one!, Chief Justice
in
August
numbered
12
with United - States to seize only the
D.-;Lawrence Groner- was joined
liabilities of $516,000 as'rompared property of enemy aliens; and pro--

S.-Brazil-Argentine R u b b e r
Agreement. The Department an¬
/

Largest exchanges on any

Trust

;

his disington announced on Oct. 16 that
charge:' The Associated Press adthe American Embassy at Buenos
;vices further stated: :
fj. > -c
Aires has advised' the Department
Three others,
it said, refused
that notes have- been exchanged
to fill mail orders from Chicago
with the Government of Argen-I
"during a union strike there air
tiha
terminating the Tripartite;
though the Kansas City employes

volved

Henry

and

$l,527i451,277.54

.

July, involving $3,434,000 liabili¬
ties and 56

'

6f free speech was in¬
by a talk delivered to the

Bank

—

Kimball,

G.

Chairman of the Board, Commer¬

Vice

involving $1,166,000 in
August a year ago.
All groups into.,which the re¬
port is divided with the exception
of the" wholesale group which had
also refused to order the company which' indicates that Montgomery
Ward was meeting and joining an the safrie number; had more fail¬
; to rehire "six employes whom the
issue before its own employes with ures ; iri : August than ;iri * July.
I NLRB accused it of having disthose who were -assailing it," th£ When the amount* of liabilities is
l charged because of union -actmconsidered only the retail. group
r ties. The opinion went on to spe- opinion read. "It confessedly had
had less liabilities ' involved in
cifically exonerate the company of a right to defend its reputation, to
'
its em¬ August than iri July;;
anti-union motives in letting the speak for 1 itself before
'
"Manufacturing failure.s. in
irien out. The Court declared,, the ployes, whose loyalty it had a
same
advices continued, that1 one right to ask and a right to proVe August increased from 36 in July
to
37
in August
itself worthy of- that loyalty."
■'
and liabilities
organizer had defacfed- the com-'
were rip to $2,113,000 in August
pany furniture by pasting union
from $1,948,000 in July. Whole¬
propaganda on it, another fought
sale failures in August numbered
on
the premises
and -neglected
5 the same as in July but liabili¬
his work,
and a third was no

The issue

Walter

Company;
■

242,358,136.86

Total

-

than in July

as

dally transactions:
•
$1,285,093,140.68

Exchanges
Balahces

Chairman, Chairman of
thq Board, Bank of the Manhattan

."

in

and

continue

transactions1-- $433,'798;162,823.00

The' average

Vice-President, Chase Na¬
Bank; John E. Bierwirth,
Business
failures
ih rAu|Usf
President, New York Trust Com¬
were
higher
in -number
and
pany; Ralph Peters, Jr., President,
amount
of

Business Failures

Hinrichs

A.

Man¬

as

Clark

68,829,710,868.78

"tfotal

follows—

McCool,' Chattanooga!
; Chattanooga;:
Tenn,; Vice-Presidents; Jt W. RL
Tennant,
Chicago;
Secretary- mittee: S. Sloan Colt, Chairman,
Treasurer; and Thomas W. Rogers, President, Bankers Trust Com¬
Chicago,
Executive.; Vice-Presi¬ pany;
Benjamin
Strong,
First

Employer

Russell

Balances

art- Baker,

AhgOlb^ Calif.;

"

Secretary. ' Ed- :

continues

C.

the*

Trust

Assistant Managers.
Extracts
from Mr. Beck's reports for ; the

Conference Committee: J. Stew¬

Cor p.,

-

Beck

Charles

Chairman,

Board, National City Bank.
membership of the other

committees

F.

Discount

"

not involved.: ;

and

of

■

President; J. I. EdSon,. National
Discount Corp., South Bend^ Ind..

si-ruling t)ct. 23 by the United Stated Circuit Court of Appeals
in St*.' Louis, a request by the*- National Labor Relations Board for
^enforcement of a directive against Montgomery, Ward & Co., Inq.,
:* ©f Kansas City,* Was denied and the company's right was upheld* to
present its views to employes before an NLRB collective bargaining
'election. The Court decided, according to Associated Press advices,
that an employer accused of lin-^
; fair
labor practices is "not re¬ culated among Montgomery .Ward
quired to stand mute" because of employes termed Sewell Avery,
the National Labor Relations Act head of the corporation, "Fascist
and has the right of free speech minded," and called the company's
'to defend himself and maintain working conditions "rotten."
"We think they furnish a setting
his employes' "loyalty. The Court

were

L.

Von Elm,
Vice-Chairman of Board, Manu¬
facturers Trust Company; George
Whitney, President, J. P. Morgan
& Co., Inc.; George V. McLaugh¬
lin,
President,
Brooklyn" Trust
Company.
Nominating
Com¬

LOS

chosen

was

,

Bank- &

i.Luther

Trust

longer heeded because his special¬
ized' work
Was
completed and

Sherer,

cial

dent.

.'none has been-done since

B.

Exchange Bank Trust Com¬

of .the

of ,the conference in¬
Maxwell" C.' King, Pacific

iftnaricriCdf

won.

*

Clearing

clude:

hardships."—Report of UNRHA.
If all this is at length seen riot so much as represehtiiig a need for "foreign assistance" as pointing
up the burning necessity for coriimott sense in deal¬
ing with Germany, the Battle will he more than

Co.*
ward

ager,

the

-vOfficers

with its consequent

Court Denies NLRB Request: Upholds

of

Vice-President
Hanover

year ending Sept. 30,
1946 are
Cleveland, President, made available by the Clearing
*
\
Guaranty Trust Company, and W. House as follows:
JVVVA- '--'V'/Vo'-.
.-5
V.':. ; * < •
7\
Randolph Burgess, Vice-Chairmau Exbhangfcs
$364,966f;451,954.22

J.

operations' blanket
the - entire
country with more tliari 1,000; of¬
fices. Before the war, the; indus¬
try handled the fihdtt&ng" of pur¬
chases by more than six million
instalment buyers for an aggre¬
sum

Central

the

The

pany; James G. Blaine, President,
Marine Midland Trust Company;

financing- companies; has ameiribershipVof 350 companies whose

gate

Thomas,

of

House Committee are:

Finance Conference, national as¬
sociation
of d instalment
sales

V "Without foreign assistance, • Governments will
•be faced with an inexorable choice: Oil the one

K. Houston,

board

& Trust Co.

members

other

seatth; and from the salesrfinancr
irig- industry, itself. The American

the 1947 crops.

the

Chemical Bank

ing field, the field of business re-

for full

of

Chairman

'distribution industries, the bank¬

industrial em¬
ployment and agricultural supplies to maximize the

half

the committee Frank

buyers. .Speakers at the conven¬

enough foodstuffs
themselves to provide their people with an adequate minimum diet arid at the same time to import

•

Executive

tion will include leaders from the

exchange resources will

materials and equipment

transactions

total

port was presented at the annual^
^—
will be de¬ meeting of the Association held Chester1- defsteri, President, RublicT
voted tc* discussionplans for on Oct. 1, at which time Alexander National Bank and Trust Com-,
the <*xpan*slbri;bf inist|drtienT sales C. Nagle Was elected' Chairman riahy.
of the Clearing Couse Committee:
Harry E. Ward, Chairman of
financing ,services
which
/the"
the
Board
of the
Irving Trust
members of the Conference ren¬ Mr. Nagle, who is President of
der to the retail merchants and the First National Bank of New Company, was reelected President,
of the Association; Frederick A.
their
customers, the .instalment York, succeeds as Chairman of

permit countries to import

raw

exchanges

The two-day meeting

supplier of coal, specialized semi¬
industrial machinery and parts.

tions, the available foreign
not

$433,796,162,823,. of which- $364,966,451,954 represented
and $68,829,710,869 balances. For the previous year the
amounted to $376,000,693,226 consisting of ex¬
changes of $318,896,843,205, and balances of $57,103,850,021. The re¬
as

Vice-President of the Conference;

economic vacuum in
not
yet replaced it. As a result of these and other fac¬
tors, production is still well below prewar levels
and consumption precariously maintained.
"It is clear that, with one or two possible excep¬
"At

report of the New York Clearing House Association
year ended Sept'. 30; 1946'

Clearing House transactions for the

shown

are

at the Palmer House, Nov. 12
and 13, it Was announced recently

G&Triariy hady before the faai?, a central place in this
as a .market for a great variety of com¬

the middle of Europe;

total

go *

network both

as a

In the annual

Con¬
vention of the American Finance
Conference will be held in Chica¬
The 1946 Annual Business

ropean

manufactures and

September 30 Over $433 Billion

Conference in Chicago

"Only the very first steps have been taken to
rebuild the intricate network of trade among Eu¬

modities and

Clearing House Transactions in Year Ended

American Finance

if---

■

'4**, '

Thursday, October 31, 1946

FINANCIAL CHRONICLE
&

COMMERCIAL

prospective

sugar

in

proposed
James

H.

a

legislation,

recent

on

and
hs

letter

by
Director of

Marshall,
the United States Department of
Agriculture, Production and Mar¬
keting Administration.
John C.

Gardner, Vice-President,
pointed

as

Exchange'
tee.

.

..

was

representative
on

of

ap¬

the

the above CommiU:

Volume

Number 4538

164

THE COMMERCIAL & FINANCIAL CHRONICLE

Finland's Reparations

Uredils to Ghlle

Excessive: Hoover

v%r'v Asserting that all of Finland's difficulties'traced back to Russia's
"aggressive" attack of 1939, and that it was merely the hope of re¬
gaining some of the-losses to, Russia .which induced Finland to go to
war against Russia in 1941 on the side of "CefnTany,-Herbert Hoover
on Oct. 13 urged the United States to intervene in the proposal that
Finland pay Russia $300,000,000 in reparations. "They, (tne Finns)
cannot pay
this indemnity and$>
buy the food and clothes' they suit it was not feasible or prac¬
must import to live.
If they de¬ ticable^ to maintain: price control
fault they, too, will disappear be¬ on the remaining few food prod¬
hind the iron curtain.
Is the ucts except in a few cases where
Atlantic Charter, signed by all the special reasons exist for retailing
United
Nations,
really
dead?" controls. Morevover retention of
said Mr. Hoover, according to an control over the products being
item appearing in the New York decontrolled would not make a
...

"Herald Tribune" of Oct. 14. That

stated:
,
•
"Today," Mr. Hoover continued,
had 800,000
destitutes

paper

.

"Finland

v

dependent

the remaining 2,-

upon

600,000 of its population," and he
added:
Mr.

the "fear¬

recalled

Hoover

sufficient

contribution

stabili¬

to

-

Authorization

Directors

of

the

Export-Import
Bankyof two credits aggregating
$10,350,000 /to
Chile
was
an¬
nounced on Oct. 19 by Herbert
E.
Gaston, Acting- Chairman of
the

Board.

The

first

credit, for

$5 million is to the Chilean State

Railways for the purchase in the
States of equipment and
materials required for general im¬
provements, including diesel elec¬
United

tric

/trains,

nents

-

motor ;ears,

compo¬

.

for

maintenance,

addition, most of the com¬
modities
exempted are handled

The second credit for $5,350,000 is
to the Fomento Corporation, the

OPA said.
"In

by the- same distributors

J food products previously removed
from

control.

The • confusion ' re¬

said.

.

.

1941,

"In

.

maintenance Of* Workable controls

additiohal

equipmentt for popper

hopes of righting this were also factors considered be¬ wire and cement plants and agri-f
Cultural machinery. 'The/ advices
they made the'-mistake of fore- today's action.
from the Export-Import Bank alsd
joining the Germans in war on
'The lifting of restaurant price
state:
i Russia. -They were never Nazis.
f-M
f
controls' is necessary because the
"Advances 'under -the* Credit -td
Thfey
wanted to
regain their decontrol of almost all* foods and
the / Chilean " State Railway s Will
homes."
beverages would make lt impost be
/
repayable in equal semiannual
"America never declared wap
sibie to do ritirru e r enforceable
instalments over a period. Of five
upon Finland.
We. are the only controls.
with

the

-'wrong,

,

^possible friend they have left.
'Trice
They are now/ in addition to all
rice are
the^ Russian annexations of their

;

proportion to their national
this ! amount would • be
^qual in Vize to an indemnity of
/ $200',000;000;000 tipori the United
-'^States. ' Italy/ with ten times the
^population, is required'to pay lit?
tie more than Finland.' In propOrtiOrf td !their population, the terms
Sre very hiuOh more hard than
"In

*

wealth,

-

♦

imposed
Romania."

those'

on

Bulgaria land

mm

controls

Reihoyal of price cbhtrol of all
sugar

-•

arid/molasses), corn/sugar
viand/corn syrup. and - rough /and
-syrup

by '-the

-

-announced /on
Office of -Trice

/Administration. The - action be^me leffective;
a.m.j^ct^
price con¬
trols-were lifted from all sales of
tobd' and • beverages by restaur.ants arid other sellers.
'■>: The action completes the * rcVinoval-of price control on all raiv
and processed foods, both domestic

*

ing

attorney

was a

before

-

practic¬

canned, tomatoes and
•tomato
products; - canned pine¬
apple and pinapple juice; break-

"01'A

said

going

the; paper

to

cated, which also stated:
"Mr.

Comp¬

Ripe, who after, serving 12*

years

the

bankFarm

Oct.

and

Southern 'National

UHaSf
HoiTarBank^and^riLTco"6™3"
delphia, Pa.; Secrearv Mmli

livestock and food and

r

of

arid

General Agent

Credit

Administra¬

nedy

as

retary

Vice-President and Sec¬

was

John A. Moore, who

has been Assistant Vice-President
for

lich,

seven

yearft

who

came

C., B. Wunderto

the

Federal

products made from livestock hyle, Comptroller ■ ™,7 r r
Land Bank-as Assistant Treasurer
coupled with the removal of most Bank and Trust C«
and Treasurer, Harold
E.' in 1934 and has been Assistant to
edible oils and oil products last Mo.,
week left only a small portion of Randall,
Vice
President, " First the President since 1943, was
elected Treasurer."
'foods under price control. As a re- National Bank,. Boston, Mass.
feed

Natl°"al

*




.

are

ucts

not

recent

cus¬

weeks/ sobered
the

and

were

inflated,- have

elimi¬

nated

their practice of
attempting*
to obtain every available
pound of
Isteel regardless of its

type, states
national metalworking paper, in its summary of

^The iron Age,"

tern for steel contracts which will
be * opened ■ up
for /negotiations

the steel trade for last week.
Demand for steel products * in
'

about the middle of "January next

general/continues
there is

turers

unabated, /but

trend among manufac¬
build their production

a

to

schedules

the

on

availability

ofJ the

basis

of/the

"hahl-to-get

items" rather than to continue the

policy of further unbalancing in¬
ventories by building up to dan¬

.

gerous levels

products Which

are

more

easily obtained. ;;
..This trend in a more orderly

steel

market

is

expected

to

as¬

-much

sume

/larger /proportions
months, and
by the first of the year or shortly
thereafter considerable
headway
will be made in
cleaning up the
duplication of. steel orders/deduc¬
ing carryovers and paring down
substantial backlogs. A large
seg¬
the next several

over

ment* of

signs; oLneW life;/

steel

I

P&

..United; States: and Canadian fac¬

have

tories should approximate 400,000
units With prospects for November

ministration

War

Kennedy succeeds Ernest

of .'the

City,

Senf1 piui

explained that the de-

VAiW

also

Unmindful,
the magazine points
out, of the
current Detroit wage
trends, the
results of which/may form a pat¬
-

in

probability that / some potential
demand figures for finished
prod¬

ning to take on the aspects of a
"normal--distribution.' Steel

indi¬ good in establishing another post-

in/the dual capacity ? of President

Citizens

nv\r\

spa-

control of

Louisville

tion, askbd to be relieved of his
President, Arthur -R. Burbett,
duties as President. Mr. Rice will
Comptroller, First National Bank,
Baltimore, Md.;'1st Vice Presi¬ continue to serve as general agent.
dent, Mills B. Lane, Jr., President,
"Elected to succeed Mr. Ken¬

as; oranges;

.

begin¬

more

officials

Industry—Many steel

by inventory: figures

consumers

is

<

ex¬

-

meeting in Oklahoma
25, follow:

flour, bread and bakery prod¬
ucts; canned, fish; candy; banan¬

rl

Steel

tomers

•

trollers elected for the 1946-1947,
term at the Association's annual

23

are

^

now

buying of

^

Pulaski, Tenn., he

tion of Bank Auditors and

food products afifected* by- today's -decontrol, action

—

tiles and the increased

prolonged tie-up at the mines
.again demoralize a steel
only

ago.

many durable goods.

would

market which is

year

-

added.

"Principal

—

•

The coal strike earlier this
year
aggravated the loss of steel sus¬
tained during the steel strike and
a

a

rose
moderately
by the' quick acceptance
of large
offerings of cotton tex¬

-

i

-

,

week

.volume

spurred

-

Rough and milled rice.

—

corresponding
Order

-

nation; and

'added:

above that of the
preceding week.

are

1945 in-', It remained well above that of the

;

Officers of tlie National Associa¬

Oct.

hand

on

line with

.

x

advices

of

pected to continue ordering/ for
principally by 1 those / The /picture d'or "carloadings of inventories
after
production
two agencies in Chile. Not includ¬ teveniie " freight "last Week -was
quotas have been met as a hedge
ing ;the;:newly announced credits, somewhat1 brighter and reflected
against probable pYice rises next
an increase of 32,323 cars or 3.6%
a /iptaLpf -almost? $70/niillibnvln
year, /'The1 Iron Age"" notes.
- >
The Three-man-Economic*Ad- ■credits
above the preceding TWeek./ Deliv¬
to^he-rRomeAtovrjCpipo^af eries of durable
Probably at no other ? time in
•ylshryfCbUftbil headed by Dr^ Ed¬ tion and the Chilean State Rail¬
goods continued to
steel market history is there less
win G.' Nourse submitted on Oct.
ways has been "authoriied.rOf this improve; steadily/with.'' automobile
probability of /unreasonable price
16 a report to; President Truman
amount; .$26 million has been dis-1 supplies / arid / accessories ■ more advances
than
in A the
of progress made in its organiza¬
coming
bursdd 'v to i date ' and ValmOst ,* $ 1$ pleritiftil : the jjpastw/eOk: thaii in
months. A decontrol of steel prices
tion since it was set up by Con¬
million: has! been repaid."
/ " :
' m^ny - pi^viOusjweeks.
would find producers primarily in¬
7:>*-v;*-.
./
.4.
aw.V*
'//-v
gress during the last session. De¬
^Automobile -production
was terested in
re-establishirig a sound
signed to promote maximum em¬
estimated* to have risen 5.1% in economical; balance
between the
ployment, "production / arid > pur¬
the week and accordingto Ward's
quotations % of various
products
chasing .power, -the -Council,
AutomotiveReports;output of cars rather than a move for a
general
according tolAssociated Press > ad¬
arid tfUcks iri the United States and horizontal
"'hike. in
vices Of Oct. 16, is to submit a
prices, A the
Canada was estimated-at 87,240
magazine- observes.
confidential- report to the Presi¬
^
MI S; Kennedy," Jr., pn Sept. 17, units. The previous week's re¬
The meeting between the Steel
dent
in .-December,
and
Mr. was elected President of the Fed¬
vised figure is 89,540. Last week's
Industry Advisory Committee and
Truman will pass on its recom¬ eral Land Bank of
Louisville, Ky. total includes 61,070 cars arid 23,the OPA on the general question
mendations to the new* Congress. by the bank's board of
directors, 195 trucks built -in U., S.
plants, of -steeL prices early last week
The preliminary report of Oct. 16 it was
stated in the .Louisville
together with, 1,465 Cars and 1,510 gave little/indication of an
is said to haVe stated that the "Courier
early
Journal", on Sept: 18.
trucks turned out in Canada. '*
decontrol of all steel prices. Even
Council had selected a staff of
•An official of the. bank since
seven
persons "with broad eco¬
0 6 t o b e r automotive' olitput though total price control will be
nomic and business training" and 1933, Mr. Kennedy was Vice-Rre- based on average daily produc¬ completely
eliminated
in
this
that several others soon would be sident and rSeqretary. A- native of tion thus far this month for both country long before what would

which contain
at least 20% by weight or
Bank Auditors Elect
volume of sugar,; sugar solutions, corn sugar or "corn syr¬ New Officers
up, either singly or in Combi¬

dPA's

far Out

undertaken

**3. Blended syrups

The

in¬

.

Cblackstrap molasses.

*'4

week

Banlrof Loiiisville

*% Corn sugar and corn syrup.

r.

not

Kennedy; Heads'Land

/imported, arid -all* beverages
-including whiskey, beer and soft
/■drinks with* the following excep¬
tions:
*'1.- Sugar and sugar solutions in¬
cluding 'all grades of - edible
syrups and m o l a s s e s and

]

reports. While stocks

'

iarge scale development program

last

moderate

a

was

~

■A*

.and

'

-

production

.

"tH4. At the saihe time,

,

-

industrial

substantial.:, Some
noted in steel ingot production which declined
to 90.3% from the postwar
high of 90.5% of capacity.
Scheduled
output of steel for the current week also indicates a further
modest
decline. With respect to the
ap-'^--—
——
proaching winter months and th
continued to be an important fac¬
progress of steel output for that' tor along with the
rising price of
period grave concern has already some
commodities
and
the
in¬
been expressed by the steel in¬
creasing supply of others.
dustry as to the supplies of coal,
Wholesale volume rose
again
to be available, "The Iron
Age," during the week and was slightly

slight tapering off

sugar

ReporfsProgress

sand^ sugar /solutions f (including
rice /was

on

Economic'Gouncil

"

Oct. r-23

Advances under the credit

years.

-

.ihilled

overall

very high level.
There was
and backlogs remained

-

i

still Worse.

a

and to: the Fomento* corpofatidn will year.
In 4bievweelc just passed electric
being retained because be repayable in equal semiannual
it is necessary to /keep > them tp instalments over a
power production rose 1% to a
period,: Of ten
implement ^ the; present rationing years. '/The ihterest'rate'on ;bbth newr-postwan -high, while bitumi¬
nous coal output also mbved up¬
and set-aside i programsv of these credits ' Will- be 3per- arthUhi!
Critically rshort s Commodities, > If Both carry the unconditional guar¬ ward, * advancing 2.5% 5 in "the
Week, j Daily average crude Oil
sugar /were taken off /price. con¬ anty of the Republic .of Chile, s
trol while the supply is so. Scarce,
production, ^ ^hoWevery j^ declined
/ "Establishment of 'these credits
it-is believed that high bidding
modestly to 4,732^00 barrels from
represents a continuation of a mu4,737,400 barrels'a week ago.'The
by 'users hnd buyers would exert
recent threat-/Of John * L. Lewis,
tOo^great -pressure 'on the ration¬
tionship which was initiated with
heading; the/ U.- M. • W. union of
ing controls.'Similarly,. failurevtq the1
exfei^ippJbf.-aKcredit to,* thd an imminent; strike' in the coal
maintain " price - Controls on * riCe
Fpmento 'Corporation
In
T939,
would make the present set-aside
fields, unless the government re¬
opens the miners' wage/ contract,
Unworkable Jahcb iuneriforceable;
;it, " the /Export-Import Bank -has comes at a;
MostAoLthe set-aside rice
very inopportune time
cpm| extended a series of credits to the
when'business and industry is* at
mitted to domestic
arid foreign Fomento
Corporation- and Chilean
areas
long Last emerging from 'the de1producing sugar for the
structive influences of price con¬
Uriite<L;StatesA'/
of materials in the United States
trol "hiid Ts beginning To ^hpw
inquired in connection With the
.

ilands, cohfrohted with-an indem¬
nity of $300,000,000 to Moscow.
Much of it has to be paid in kind
at11939/ prices, Which makes *it

previous weeks
order volume

.

•

he

in

initiating

•*

peace,"

crease

Government

with

•

•

in

,

charged

country had sulting from a situation in which
suffered in the 1939 war.
the major ^portion of foods were ment of industry in Chile.
This
I:
"They were overwhelmed and decontrolled, together with the credit says the announcement will
sacrificed one-fifth of their f arm- Close >:relationship of the decon¬ beused to purchase equipment for
« lands
of
' certain
and suffered the expulsion trolled and controlled commodities completion
power
now
under construction;
of 400,000 of their people to get Which Would seriously at f fed jt plants
ful losses" the little

As

continued to hold at

ventories, .the
most
significant
agency factor
is the
Emphasis on the"
and as-, steady production of coal rather
si sting private enterprise to carry
than the inventories on hand..
put •'a - program for - the develop¬

other Chilean

as

of Trade

by the Board of

railway freight and
passenger cars, bridge materials,
rails and repair shop equipment.

zation to warrant its

The State

iy Export-Import Bank
.

2267

was

struck

course

week

on

the

•

"sweat

the

Ad¬

changed

last

industry

it

steel is established

its

looked

it

if the steel
.

had

case

not

recently,

as

have; to

high level of production.

A cheerful note

been

as

out"
a

may
before

free

mar¬

ket, states the above trade ^au¬
Monday of the current week with
thority, ".
the
ending of the most costly
-Steel industry officials at—the
transportation tie-up New York
OPA meeting in Pittsburgh, how¬
City, has experienced. ■ With the
Settlement of the trucking and ever/filed resolutions suggesting,
rthe decontrol of all'steel prices
maritime strikes. During the fifty.and also suggesting that the cur¬
eight day strike period the normal
rent cost study looking towards
flow of food and merchandise in
an'

the

increase

in

some

metropolitan area was ob¬
ceed at a swifter
causing hardship do the
populace and heavy financial loss r] The American
structed

to

both business - and the

themselves.

Mild

„

throughout most

country favored the large
of shoppers who turned
week. Re¬
tail volume during the week rose
of the

number

out to retail stores last

slightly and remained well.above
corresponding week a

that of the
year

ago.

Consumer

pro¬

V:

Iron and Steel
strikers institute anounced on Monday of
the operating rate of
companies having 94% of
the steel capacity of the industry
will be 89.4% of capacity for the
week beginning Oct. 28, compared
with 90.3% one week ago, 90.2%
this

;V

weather

items

pace.;

selectivity

week

steel

month

one

year

ago.

ago'and

72.9%

This represents

a

(Continued on page 2276)

one

de-

THE COMMERCIAL & FINANCIAL CHRONICLE

2268

[programs such
tion
""g1.

of

other

(Continued from first page),

N3'*'

for

number of

a

end

The

reasons.

result, of their influence

grams

astray by other alien think¬

but

the* restora¬
controls, and

as

meat'7

safely unpopular, pro¬
and developments. Or

at least such

the tactics of

are

of whom have
those who are supposed to
would
in
many
instances merely been followers of na¬
have gained ground and to be
probably be of the same order tive-born "quacks" of which
as that of the Russian brand
we
have always had plenty. gaining ground politically in
this campaign. Even some of
of communism. In others, the One net result is the. strange
the others are trying oblique¬
outcome1'-in
the
long run spectacle of practical busi¬
ly to disassociate themselves
might ,be quite different, but ness men, heretofore consis¬
with
such
unpopular ele¬
would be nonetheless quite tent believers in the type of
ments in the current situa¬
destructive.
In either event rugged individualism which
ers,

many

Steel Operations 1 % Lower-Union

May Demand
Wage lncreaser--Coal Crises Temporarily Off
The

C

crisis

•

-

placed them where they are
American system of free en¬ today,
supporting
and
at
terprise to which we owe so iimes even advocating pro¬
much: Indeed, they could not grams
wholly at variance
well fail to be if
persisted in with American tradition and
long enough. They are par commonsense.
It is hardly necessary to list
ticularly: dangerous because
their approach is insidious, programs,
of
this
nature
indeed,; for many otherwise which have been adopted dur¬
able; men - often
apparently ing the past dozen or so years.
One of;the early measures of
unrecognizable.
the sort;was the NRA, which
Poisoned policies and pro¬
had wide support in the busi¬
grams during the past dozen
ness community until
experi¬
•.

,

"

,

have

years... ormore

been

name

of,

and

.y-

.

-

■

outlook
to

But how much further than

this any
,

of them

going it

are

is difficult to be certain—and
it bids fair

now

to remain

un¬

certain when the voters go to
the

polls

election day. How
the "opposition"

on

of

many

,

It took

ness.

decision of the

a

A

"

'Age,'

reformers,

v

the

•

but—with deep regret be it
Agricul¬
paid—among practical, busi¬
ture, organized labor, veter¬
ness men who
really ought to
ans^ home-owners, and others
know much better.
have been singled out for succor—usually Jby " politicians
Campaign "Appearances"
who were looking for votes—
The current political cam¬

;

but it

was

suade

not difficult to per¬

the

*

■

benefi¬

putative

ciaries; that it

all

was

quite

consonant with the

principles
private enterprise, individ¬

of

ual initiative and all the rest

have gone to make up

which

the^"economic

paign

appears

to be bringing

to '

light very considerable
changes in the thinking of
the rank and file of the peo¬

ple about such things.

We

"appears" advisedly be¬

say.

far

it' is

cause

from

clear

"In recent weeks there had been
definite trend toward; a more

a

of

the

its

feet henceforth? How

own

At

all

an

day

speed up deliveries,

.

Oct.

on

18 of the board of trustees of the

Committee for Economic Develop¬
ment

plan

evolved whereby
efforts might be made toward re¬
ducing labor strife and producing
an

a

was

economic

would

stability

tend

to

which
another

avert

depression.

The

of

announced

,

on

Studebaker
Oct.

i

,:

j

J

ii

Further Nonsense
'

'

r"

*'

-i'

"

M

' -1

bV' iv

It is but

one

more

step to

vote

is;-counted

the notion that these

This

"modern"

aids to

special
element

bitten

.*

one

group or

in the economic
tem

social sys¬

or

next

week.

nonsense

has

deeply into popular
thinking, and has in the past
so

must

inevitably spread shown such good results in
their
beneficent; influence attracting votes, that the pro¬
throughout the whole of so¬ fessional politician is natur¬
ciety, and thus provide a sys¬ ally very reluctant to discard
tem which has all the bene¬

it.

fits

to

of

"laissez

faire,"

plus

Most of them find it safer

get

obvious band

on

wa¬

others to be obtained
by new¬ gons—and not look too close¬
ly devised schemes. And it is ly pr express themselves too
the ease with which this tran¬
freely, or .fully about the sort
sition - in ; argumentation
is of wagon they are on. They

made that has been
to the full

and

others

exploited

by the visionaries
in

and

on

the

fringe of the political life of
the

nation—some

of

whom

doubtless have acquired their

inspiration
many

f

r o im

of whom 1

we

find

when

it

to ;

they

their advantage
in a position

are

Corp.*

18, according

I

jor

plants. Furthermore, such
development would force down

2.

Reduce

by

they

are

interference

and

to

both

Calm

3.

the

whole

field

of la¬

bor-management relations.
The group was

.

;

|

appointed by the

board of trustees.

The

announce¬

stated

initial

that

the

for

man

ing

labor-relations

be

undertaken

"The absolute

committee of experts

of:

Charles

Douglass

V.

program

five-

a

consist¬

Brown

and

Myers, of the Massachu¬

setts Institute of

Technology; Dr.

George W. Taylor, of the Univer¬
sity of Pennsylvania;

increase because of the low takehome pay compared with wartime
levels and because of the sudden

of

J. Douglas

Princeton University,
of Harvard

^

-

.•;

Upon completion of this Com¬
mittee's

report

will Use it as
cut

a

policy.

a

the

entire

group

basis for working

\

;

of

new

entire

demands arid

wage

cycle

will

again

be

repeated."
The

American

Iron and Steel
Institute this week announced that

telegraphic reports which it had
received

indicated that the oper¬

ating rate of steel companies hav¬
ing 94% of the steel capacity of

industry will be 89.4%

of

ca¬

pacity

for the week beginning
Oct. 28, compared with 90.3%
one
week ago, 90.2% one month
ago
and

72.9%

one year ago. This
rep¬
a decrease of 0.9
point, or
from the
preceding week*

resents

1.0 %
The

operating rate for the week

beginning Oct. 28 is equivalent

to

1,575,600 tons of steel ingots and
castings, compared to 1,591,400

1,335,300 tons

"Steel"

sharp increase in living costs
is also being given serious consid¬
eration

by those wise

consumers

who in the past have attempted to
anticipate interference with steel
output and have accordingly used

effort to increase their in¬

every

ventories before actual conditions
have forced a showdown between
the steel companies and the union.

"Any effort by large steel
to

sumers

revert

to

their

con¬

high

methods of attempting to
expedite shipments and expand
pressure

their

orders

much

will

not

in

success

meet

sales offices.

steel

with

company

The strong campaign

by steel producers in the
that all consumers re-

on

shake up the delivery picture for
1947.^ Customers who have
as¬

that

sumed

deliver
orders
will

steel

companies will

commitments
in

be

addition

to

due

on

new

all

ones

disappointed if the steel

companies find the total of such

tonnage
"It

exceeds the
f. '
;
'

apparent last week that

if the unbalanced

Cleveland,

in

its

dustry,

Oct. 28 stated in part

on

follows:

"Another coal strike this
year, as
now

threatened, would cause cur¬
tailment in steel production with¬
in a week. While coal
output over
the past few months has.

been

substantial,

considerable

a

ton¬

nage has been moving abroad and
steel producers
generally have not
been able to build normal inven¬

tory since the 59-day suspension
spring. Some steel mills are

last
in

better position than others

a

coal, but nearly all would start
reducing output promptly in the
event of

soft

a

general walkout at the

coal

mines,

especially

winter near at hand,
"A

coal

aggravate
tion

in

which
their

time

recently

prorate

this

broken

further

already tight situa¬
metallurgical coke, on

for

the

Because

year.

anthracite

sizes,

be¬

with

*

second

in

of

coke

are

sub¬

egg

foundries

some

it is said.

have

shipments among

customers

shortage
stituting

would

an

sellers

to

gun

strike

with

f

and

good

success,

•_

geiw
decontrol of the steel indus¬
try continue interesting but un¬
certain. Many steel interests ex¬

inventory prob¬

ing

so

obstacle after another in

to

schedules

1

-

"Meanwhile, prospects of

pect

order

as

to

lem
isn't
corrected
soon,
cus¬
tomers who have been surmount¬
one

as

,

eral

...

.

was

customer's

of

summary of the latest news deveU
opments in the
metalworking in¬

and

maintain manufacturing
will have 'to consider

lifting of price ceilings
the end of the year or

by

shifting is the attitude

the

earlier, but
of

Administration on various aspects
of decontrol that firm
conclusions
at this time are difficult to
draw.

Possibility of early action, how¬
to

conform

with

the

avail¬

ability of alT steel components.
no

steel

closer to

than it

a

price situation

was

settlement this week

weeks ago. Ne¬
still going forward
with OPA and the possibility that
Congress * may throw out price
controls before the present con¬
troversy between the steel indus¬
try and the OPA is settled is by
was

"The

some

are

steel

industry this week
rapidly finding itself placed
position of a few
years ago when it was attempting
to-obtain a price adjustment to
cover past increased costs without
reference to any subsequent wage
raises which might be granted.
The government acted so slowly
that before any price adjustments
in the identical

made

substantial

a

boost became

a

wage

fact and the in¬

dustry was forced to accept a
price increase which was sup¬
posed to have covered increased
costs before the wage raise and
after.

ever, has tended to ease steel de¬
mand somewhat and is
definitely

retarding movement
some

H

"Nevertheless,

slight easing in
for

,

of

scrap

in

there

is

quarters.

this

and

while

pressure for steel

other

the

reasons,

situation in light flat-rolled
prod¬
ucts continues

particularly acute.

There still is far

sheets

remote.

was

were

Brown,

certainty that the
a healthy

steel union will demand

studies

by

the

one year ago.

;

•

would

and

tons one week
ago, 5,589,700 tons
one month
ago, and

'■

no means

ment

higher costs

It now appears that
problem is definitely
settled the industry will be in the

this

gotiations in January had crystal¬

gotiations

labor and management.

do so to repudiate "com¬ and Summer
Slichter,
munism," the "communists," University.

Russian

showing

of

lized.-".

"The

strikes

harmful

a
a

number of blast furnaces some of
which might be kept out of blast
until the outcome of the steel ne¬

rate

Improve collective bargain-^

how

some ma¬

"

-

•

striving to:

1.

to

Russia, Russian behavior, certain ob¬
been led vious end-results of foolish




i •

year would
immediate effect

almost

an

the output of steel in

on

Commit¬

Chairman, Paul G. Hoffman,

President

claim

lower return.

the

.

.

minertieup later this

quota.

major
tee's

the task of

remain very considera¬
bly beclouded even after the
may.

»

"Because of the low supply of

survey orders on the books cov¬
ered by quotas will practically

■

"

production of steel.

question of future supplies is con¬
cerned, it can be expected that
many steel users will not resume
their pressure tactics in an effort

request

session

its

on

midst

the

steel

consumers, however,
highly vulnerable to any slight
change in the steel market and
extremely sensitive
where
the

to

consumers,<-~adds the

revisions orTsome products based

ders and

put

Strife Solution

steel

among

before

.

CED Seeks Labor

of the coal

slight damper on the optimistic
high steel ingot rate is expected

orderly steel market from the
standpoint of the placement of or¬

have

one

political whether, this is more than to Associated Press Washington
advices," that 13 business and in¬
system under which we have mere" surface
appearance.
dustrial leaders had been assigned
grown to greatness.
'
I
V <
I
This aspect of the situation
and

follows:

pering which has been

visionaries,

to be in need of aid.

as

clearly and unequivocal¬
ly denounced the labor pam¬

.,

supposed

the

which in its issue of today^

.

was

of

repercussions

coal stocks and the
precarious po¬
sition of scrap
supplies, a coal

professedly for the sake
many have demanded an end
of giving aid to the free enter¬ Supreme Court to rid us of
not only of war controls but
this nuisance, but neither that
prise system. They have, on
of the powers under which
decision nor any other influ¬
more
than one occasion for
they are exercised?
How
ence to this day has
given us
one reason
or
another, been
relief from some of the no¬ many have shown themselves
supported by thousands if not
tions embodied in that experi¬ prepared to balance the Fed¬
millions
of
perfectly good
eral budget at whatever cost?
ment.
It
was ; an
agency
Americans
who
apparently
Who has advocated a freeing,
through which the broad doc¬
were
wholly unaware of the
of the securities markets or
trine of a "managed econ¬
nature of the measures:
they
renounced the notion that the
omy" was to be given effect.
were
acquiescing in if not ac¬
The agency is gone, but many Eecjeral Government is re¬
tively supporting..' Not infre¬
vestiges of the doctrine it was sponsible for "full employ¬
quently these programs have
ment"?
Answers ; to
these
to apply are still with us, and"
taken the form of "aid" to
questions are not altogether
about as
vigorous as - they
this or that element in the
.have eyer been.' They have a reassuring. We must have
economy, or have been pro¬
more than a mere
change in
strong hold, moreover, not
posed as ra means of "stimu¬
the party in power.
"•/'?
only among the professional
lating" some department of
business which

continuation

a

immediate

(Oct. 31), further states

.

have

for

have

With

,

.

keynotes of the New Deal
program from its inception?
How many have • insisted that
flight its basic weak¬ agriculture should stand on

ence

adopted often in the

tion.

our

temporary*but politically slanted postponement

;

By

no means removes the threat of a possible
tieup at the mines
later this
year, according to "The Iron Age," national
metalworking
paper. This situation which has put a

,

they could be the end of

Thursday, October 31, J $46

handle and
of

more

and* strip
so

demand for

than

mills

can

difficult is the task

formulating

schedules

that

producers do not yet know where
they stand for first quarter.
"Mills
new

is

over

ful of

are

some

taking

producers

setting

quarter.

they

now

a

little

tonnage .and before this week

Some

may

up

are

hope¬

quotas for first

producers

believe

have five to six weeks

capacity available for

new

carbon

sheet tonnage in first
quarter, but
this would appear to be more than
average.

r

"Currently the steel industry is
attempting to get specific price

"Shape
least

one

producers,

barring

at

important interest, have

■*} '*_J "V

AT

Volume 164

Number 4538

THE COMMERCIAL & FINANCIAL CHRONICLE

*2269

set

up quotas "for &e'first three
months'of 1947 and
have little

capacity

left, .notwithstanding

further
■

drop*• in

new

activity because

;-..tions

of

restric-

Oct. 5 that labor leaders
should think twice before they again renew demands..
.
The first round has already raised the danger signal in our

Nuernberg Trial
bureau Oct.

ers

1947

must realize that such in¬

creases

this

inescapably, higher

mean

creases

■

*•

the

Robert H. Jackson as chief
American prosecutor, .'The Jour¬
nal' held that the
Nuernberg con¬
established

a

prece¬

which the President
his entire personal staff
and the

Army and Navy Chiefs
would

be

States

Staff

hanged

if the United
defeated at war.

were ever

"And

of

were

the

Associate Jus¬

tice to have his

will," the publica¬
cOmrnented
caustically, "the
general staff, too, would be
pun¬
ished."

tion

/'Frankly defending

the con¬
victed leaders of
Junker mili¬
tarism, 'The Journal' carried its

uril furtheF» arguing
The
punishment

Who

that:

of

fiscal years 1947, it was necessary
es^mate
the
effect
of
the

merely executed the policies
by their Government,"
Journal"

and

$700,000,000.
"Further

*•-

i. •

.

—^

version

the face of the

public

istration

vvr

—

publication found
lew

Politically,

British, French
ernments left
the trial,

to

no

and

the

Soviet

dirty work

the

United

nation

will

become

dare

weak,

allow

and,

to defeat.

itself

to

therefore,

Conquest would

that the victor would hold
it guilty of aggression and
conduct

mean

a

basing

purge,

the

Nuernberg

its

action

upon

precedent

a

thing

as

Jackson

If there

be

not guided

only

justified

in

World

as

In

his

man,

by any law and

act

their interests commend,

as

report

Mr,

to

President

Jackson

cated that the

further

effqct of the

Tru¬
indi¬
con¬

demnations would be to promote

disarmament,

whereas

the

con¬

trary is the fact.
"The Journal" agreed,
that:

"There

; are,

however,

of

course,

horrors,1 perpetrated' by
and

military
of

some

.

Nuernberg

officials,

those

that

civilian
such

committeed
go

far

subject

to

own

ices :

are

rules

of

drastic

conduct of

required

sentences.
war

as
a

the

are

In

serv¬

to

observe

humanitarian

conduct,

and any violation of them results
in prompt courts

martial."




increases

.

ai

announce¬

in -Govern¬

statement

on

Oct. 24 which indicated that Fed¬
eral

spending for civilian public

works might exceed the $900,000,000 he set on Aug. 1 by $165,000,000.
The President's announce¬
ment further

stated, according to

Associated Press

Washington ad¬
far as
military

vices, that so >
spending was concerned
tional

cutbacks

"are

no

addi¬

under

con¬

sideration "at this time."

Following

is

the

text

limitation

of

the

for

fiscal

1947 of $8,000,000,000 for the
military functions of the War De¬
partment,
thereby
requiring
saving of $1,000,000,000.

year

».

"At the

same

time

$5,150,000,Navy De¬
required a saving of
$650,000,000 in this' fiscal year.
000

limitation

for

a

the

partment
"These

limitations

which;I

impose a limitation,
public roads grants and

electrification loans, current
•

<

are

n.

up

have

not

.

quarter of the people
of the country approve our policy

fact that producers and

of

turers have been at odds. on. the

which take into consideration the

a

encouraging import's
petitive goods, even at

of

com-

lower

a

tariff:

on

an

affecting tariff

moves

international level.

tariffs

The

in

now

to

still

for

prepare

will
for

V 1

be

w*

w

further.

~~

When

1

our

these unavoidable re¬
savings on non-mili¬

tary public works will be $535,000,000 below the January budget
estimates."

Oct.

several

it

23' that

difficult than

more

"The ' tariff

-

benefits

farmer

/T;;,

gradually.

"5. Industrialize the South, fur,

"6. Maintain an equitable tariff
textile goods.
"7. Fight for a
so that equitable

on

can

.

-

-

A

i.U

and

tariff,

just

.

rates

be maintained.'■■■"If current
rfl
global planning is consUrtimated;

UcUI

-

1

flexible

.

A

it,

UC:

may

iff

iiiamiuiAivvn

w™

be too late. .A .strong Tar¬

Commission ds

the .bestv.place
just and equitable for the subject of tariff rates to be
one.
An equitable tariff is one handled, not in the State Depart/'
that enables the domestic producer mentv"';-//V-w4*

4: "If we

are

it should

be

to have

tariff, then

a

.;

to

compete in his home market
foreign producer;'To keep
tariff equitable requires flexibility
and
constant
study.
Decisions
with the

made under: such

a

World Bank

currently

posed,

turers want to

when

import

Receives1/

Loan Applications

ppliey would

Announcement

manufac¬

of

the

has

application

■

been" made

by France: to:

India the World Bank for a $500,000,000
short staple cotton and the " De¬ loan for reconstruction
purposes.'.
more

partment of Agriculture want to The
French
Finance ^ Minister,
place a restriction on such im¬ Robert
Schuman,
stated.: three
ports. Under a flexible tariff, im¬ weeks ago, according to.; Wash-;
ports would supplement domestic ington advices to the New York
production,
but when directly "Times" on Oct. 21, that his coun-'
competitive and damaging, they try would seek the loan* in Amer¬
would be regulated. /•
ican dollars to ease vthe.. French

months

was

of.

"Naturally,
and firms in

announced

on

the

foreign

producers

balaiice-of-payments deficitJn the.
coming year. The loan Would be

the business of for¬

con-

eign trade would want a guaran¬
teed steady business if'they Cotild

chase will be left complete with
machine guns. The present deal is

in

the

planes

apparently construed
r
ceptional case."

Although

as

an

"ex¬

.

price of $3,500 per
plane was mentioned early in the
negotiations,
on
which
basis
Sweden would pay about $315,000
plus perhaps something extra for
a

parts, it has not been an¬
the total cost

nounced .as yet what
to
the
Swedish «
•

,v:

Government
..

v

.

drive to

loiu
fold or move
iiiuvc

the

'

some
aji

—

»

_

—-—"

T

French
that

stated

Government

the

•

had

purpose,;of ;the£

cost of Jpur-chasing and importing into France
certain equipment and matetials!

required

part of

as

tion."

.

plarimoderniza^

a • general

of reconstruction and

r;.

,

It has also been announced

ceived

the

by

Bank: before that:

Denmark.for,

of France: One from

$50,000,000,
Chili

for

the,

a-loan

secqnd^ -fromr
qf

$40,000,000,.^

The advices to the "Times.",
Letters from two other

stated

have

their

tended to apply for a
000.000

.

,

Brazil, Mexico, China, India or period.

over

to

(

seek

said* it in¬

loan of $350,-

and Poland for

$600,000,000
i

added:.

epuntries.

intent

Czechoslovakia

loans.

that*

applications i.wereij'e-;

two earlier

shippers,

such country

States

loan "is to meet the

eliminate tariffs to

w
to

$1,400,000,009
United

agreed to: advance to
the
French government, for
its
program of reconstruction. In an¬
nouncing France's formal request
for a loan, Eugene Meyer, Presi¬
dent of the World Bank/said that

help them sell more cotton abroad,
are
driving the mills abroad as
well.
- Lack
of protection
here
against low-wage labor abroad,
and there is plenty of it in cotton
textiles, forces capital here to ex¬
ploit low-wage labor in
other
countries.
In other words, if a
company cannot run a mill profit¬
ably in this country, then it must
as

•.

a

the

has already

:

"The free trade cotton

the

to

which

credits

ta^iff'protection:

have to have

that

addition

in

-

would be.

.

ther in cotton regions, where culthe > Trade tivation might decline or migrate.

under

X.JL.X.

IVv

„

"4. Remove

ever

industry. to receive a sym¬
pathetic hearing pn the needs of
riff protection.*
tariff protection.^
-

which
Sweden will be permitted to pur¬

spare

eco-

"3. Remove subsidies, gradually.

State, War and
Navy Departments' Coordinating get it and they argue that a rigid
tariff gives them
something to
Committee had approved the sale
Business is subject to
to Sweden of 90 United States count on.
too many variables for the fixed
Army fighter planes listed as sur¬
rate of duty to be of much value
plus, which, according to officials
and most of them affect the busi¬
at the Swedish
Legation are to be
used to strengthen this wartime ness of,foreign trade more vitally.
"The cotton problem as a whole
neutral's air force. The planes to
be sold, Associated Press Wash¬ is a serious one affecting the lives
ington advices stated, are P-51 of millions of people in this coun¬
try.;
One; of the best solutions
400
mile
an
hour
Mustangs,
which were used effectively by offered so far, that of former Sec¬
the American Army Air Forces retary Wick&rd, in which indus¬
trialization of the South was a part,
during the war. Although regula
tions
exist
forbidding
sale
of directjy involves the tariff. Where
military type" surpluses except cotton mills might be a part of
in
"exceptional cases," it is as¬ such a development, they would
-

our

" *//

.

Sweden to Purchase
U. S. Fighter Planes
After

of

solution

price.

_

an

CAX

best

the

nomic problems.

an

that organization is established, it
tllCl
1/

^

/ /"/
Trade Organization
"2.% Solve the cotton problem by
trade agreements to permitting it to find f a" natural

is

progress

cut

.

■;

"Current
are

\

manufac-

"1. Unite the views/ of : cotton
producers and manufacturers on
the ground of mutual vital interest

price.

resolve such problems as the one

r; v.*,■

"nocniTO

sumed

President's statement, as reported
7 ■
by the Associated Press: '
"On Aug. 1, I placed an over-all

expenditure

not

visions,

1

spending ceilings during the
fiscal
year,
President
released

a^ho^Ry to place limia saving of $(>30,000,000
$630,000,000

tSideration

current

Truman

nQ

as

i'

Cx

time

Budget Increases
preliminary

in programs over which I

confusl^ 'W.OOO
"Despite

President Announces

foreign market.'" In a in session.
We suggest 4he folpoll of public* opinion, lowing goals for the committee

for TVA of

i—.•jit-'-

same

the

less than

in¬

-

■

ment

an

such

OPA, this country can get back
the stabilizing effect of indus;rial peace.
Thus free markets,
free collective bargaining and free
competition may yet get a chance
to recover the prosperity of peace
that the people have been denied."

After

with

together

'

rural

,o

ments "of

Steel-

'

"In those programs on

of

beyond

military operations and justly

our

the

Director

dis/ ■expenditure^. estimates
+h

at

and

scientific

and for new

could

the production-blighting farce

of

such

belligerents

are

last
'■

_

a
practice which is against our
foreign trade policy.: We will undoubtedly deal with the subject in
home consumption. ) They are in- • the
international trade conferterested
in
expanding
foreign ences, and it would be-easier for
business in many cases, but on our State Department' and delethe subject of tariff they believe gates if we had the cotton probin keeping a proper proportionate lem settled.
7
relationship between the domestic
"The Pace Committee is again

International

tations>
tations,

which

were

making this claim, but
"War II confirmed,

*

discontinuance

international law, Mr.

might

.

of

also* in-

problem

tariff through, subsidies,
The artificially high price of cotr
ton has evoked export subsidies,

volves

;

in

De-

the beginning.
'"The cotton

one-

War

would be made good.

vestige of wage control, and the

Associate Justice Jackson claims
accords ' with fundamental'
inter¬
national law.

"With the

V*
.

neces¬

and the re¬
only

The flow of goods is

-

_1.^

the

^ave

and every one else ex¬
cept the favored few," the "NAM
~

Steel-

sults.
kjv**vw.

.

Continuing, / Mr.
Rose
said,
"Many producers in this country
produce for export, as well as for

Engineers

creases

earners,

News" continued.

is

ness."

'

"If this should be true, it
will be good news not only for
management but consumers, wage

States. The other
Journal"
said,

preferred
"naturally to escape
German anger and to
direct it
toward the United
States./;/
"If 'there
is
one
thing the
Nuernberg condemnations show,"
the editorial
stated, "it is that no

National

putes.

"The

tariff

.

Keep
government
should
keep
hands off settlement of wage dis¬

of

1

sided, extremely active, but in the
minority in total American busi-

JL

the

gov¬

in

interest

!

J

•

ture of

Board, may come forth
recommendation, how¬

the

*

$13,000,000 and Agreements Act is rigid. /What is
Department of Agricul¬ needed is a flexible tariff, with
$5,000,000, are the only in¬ continuous studies of the rapidly
creases in expenditure limitations
changing
conditions,
a
strong
on
Federal construction projects Tariff Commission to review them,
which have been authorized to and changes in rates to meet the
date, and were it not for. in
condition^ from time to time.

for

said the "NAM News,
t a
ever, said the "NAM News," that

it held that the

including the hanging,

countries,

open

with

Corps

"These,

formerly

the

Their

$95,000,000 to $130,000,000,

crease

War Labor

international

which it could have been

on'

based.

of

'•

London Conference of nations

*

OWMR, headed by

Vice-Chairman

*•

expendi¬

the

_

Dr.

R.

man, and for the Department of
the Interior reclamation
program
from $85,000,000 to $110,000,000.

advisory

George W. Taylor,

for

Reconversion

wage

"Passing from the military to
the legal aspects of
the trial, the

committee of

whole

with an additional limited provision for new projects
approved

achieved,"
Truman's

limitation

from

pattern behind which this Can be
President

John

increasing the

partment

j

temper

new

a

for

ture

the Admin-

on

make

to

This giuup ao ^uiviuuj reXI11$
group is generally
•
f
ferred to as the 'internationalists.'
'

of production

means

Ktil.
ket.

Budget Director James

sity

So they will lean

heavily, as usual,
idtiaUWJLA

s

the

of

E. Webb has indicated the

Currently, unions may be reluctant to strike for .higher wages
against strikes.

Director

and

man

/

u-

study

public works program by Recon¬

stabilizing the wage
level.
The government's
impo¬
rente in. holding any line
tence in uuiuiug
except
the political line is an advertised
•

limita¬

from $1,600,000,000 to
$900,000,000, requiring a saving of

nor

*

These

very

programs

world that the Wage Stabilization
Board
was
neither
controlling
wages

were

rigid and reduced
the over-all Federal public works

the whole wide

tlements showed

Reconversion.

tions

special interests of a
preferred group at the expense of
all the people.
Recent strike set¬

warned,
"will
tend to cause acts of
brutality in
order the more
quickly to break
the will of an
enemy to fight.

-

•

screening of construction projects
by the Office of War Mobilization

the

serve

War

"At the time expenditure limi¬
were imposed on non-miliweie
lmpuocu vu uuu-iu...
tary Federal public works for the

coerced to

been

foreign markets
for
their goods than in the home mar¬
-

.

t

expanding

v

a

Government has

offi¬

Budget,

tations
unions

recognized fact no longer
concealable, that wage control has
been a history of retreats in which

in

officers

laud down

The

"It is

responsible

curtailments..

_t

tice

The

at

Department,
and
the
Navy Department are working to¬
gether in effecting the required

UUUl

dent under

econo¬

mists,; international bankers/for¬

—

-*i

-

-

time.

consideration

cials of the Bureau of the

prices.
"Higher wages without
higher production means lower
mouthpiece of a large number of
sales, and "can lead eventually to
this country's professional
soldiers economic bankruptcy," the NAM
and Naval
officers, charged that official said, adding: "Under the
the Nuerenberg verdicts
have pro¬ pressure of the times, workers
moted a world
armament race.
ivj.aunaturally want more pay. ManThe ~ "Herald
Tribune"account agement and union leaders should
went on to
sayi'
both help them to realize that inJXV.Xjf
"In an editorial
.p™™
bitterly critical creased pay can only come from
of United States
participation in more production
in a controlthe trial and of the role
and views free economy." Mr. Weisenburger
of Supreme Court
Associate Jus¬ added:
•

under

are

.o.,

.

Japan, where it can product "prof¬
itably. If our payrolls are driven
from this country, who is.to buy
the goods that is shipped back?
When considering tariff, not nearly
enough attention has been' given
to the international flow'of the

out.

or

traders and those particu¬
Weisenburger de-<S>—
—-—
—- eign
Employr | been changed and no further mili- larly interested in foriegn trade,
and producers more interested in
acceding to further wage in¬ tary cutbacks for the fiscal year

19; "the Army and
Navy Journal,"
but often authoritative

demnations

icy of cutting'tariffs down
They include theoretical

***.

unofficial

;

on

clared in ''NAM News."
l.JLCAJ.

to special advices to
the New York ''Herald Tribune"

Washington

declared

Policy

>m first page)
(Continued from nrst page;

Mr.

economy,

According

from its

In Tariff

Warning management to beware of the second round of wage
increase demands coming up in the present economic battle royal,
Walter B. Weisenburger, Executive Vice-President of the National
Association of Manufacturers,

Criticism of Verdicts

;;

Renewing Wage Demands Says NAM

structural

CPA

and

sharply
advancing
& building' costs.";//?,< ■'■;;
//1
<•.

At

Labor Leaders Should Think Twice Before

a

a

a

loan of

thifee-year

2270

THE COMMERCIAL & FINANCIAL CHRONICLE

average.

The commercial apple
improved with favorable Au¬
gust conditions and is now only

all-time

record

volume

of

continues

but

adverse

weather

in

the

Corn

Belt

and

Great Plains

States

Dakotas and

especially

at

of / the

production

in

been ideal for maturing corn and

4% "below average. Peaches, pears
and plums are breaking previous

prospect,
despite adverse growing conditions for late maturing crops in im¬
portant areas during August. The largest wheat, crop.-in history is
practically harvested. The 1946 corn crop will still top all others
crops

the

crop

Agricultural Department General Crop Report
As of September I
An

cated.-. r

records, grapes i and
approach
the
records,

cherries
while

favorable

production by. 125 million bushels since Aug. 1.
ducing
Prospects also declined for othersberts

such

soybeans,

poorest centers conditions change

sorghums, cotton and peanuts. In
by

repaidly to good or excellent in
most of the country. On the basis

tobacco and rice in southern areas

of current estimates, of 3.4 billion

where growing

bushels of corn, 1.5 billion bushels
of oats,
256 million bushels of

crops

gains

contrast,

as

shown

were

conditions gener¬
ally
improved,
and
by
small
grains, flaxseed and potatoes, in
northern

where harvesting

areas,

conditions

ideal.

almost

were

duction

high

tion about 1%

would

be

about

127

will

1.

But

the

still 2%

the previous peak

above

set' in

1942.

.

be

below

Al¬

and

crops,

walnuts

pecan

average.

are

pro¬

i

crop

Harvest

early part of

Dry

September has
the

Mississippi

<

the late;

of

most

in

so

;•

States

River

the: first

yield; prospects

in

all

the

North

Central States

except Illinois and
Iowa.: In
Michigan where dry
weather; still; prevails in much of
the State, ; yield per acre
pros¬
pects dropped - 8 bushels, • Frost
damaged the crop in the northern
half

of

that State.

The

per acre

estimated

dropped 7.5 bushels

Dakota,

6

California grapes has started and
will be in volume during Sep¬

96

tons of hay being
har¬
is^well above average pro¬
duction
and, augumented by a
large. carryover, indicates an am¬
ple, supply of forage, though areas

lack of moisture, may have caused
more of the- decline; There- was a

tember.; Apples/are
volume

and

moving

harvest will be

bushels in Minnesota- and Ne¬
braska. In Nebraska high temper¬
atures and hot winds rather-than

Septem¬

on

ber;

1/ exceeds -last year's
slightly, and is 18% above
Production

wheat,

of

estimated

other

at

crop'
aver¬

spring'

249,847,000v

(29%) above the 10-year average.
The average yield of all spring*
wheat, is 15.6 bushels pier, acre, as
compared with 15.2 bushelsyim/
dicated on August 1* The yield,
is

bushel per acre

below that,
nearly 2 bushels above;
average. The yields per acre of;
both
durum
and
other
spring,
wheat are the same this year at;
15.6 bushels. Last year, with aj
more favorable moisture situation;
in the
Northern/ Great Plains;
one

of 1945 but

.

in ■decline

at.

Minnesota, estimated

37,578,000 bushels

age.

during

pleted

vested

Durum wheat production in the

August* and in some areas bushels* is about;6% below, last;
throughout -; the / month reduced year* but is 56 million bushels /;

yield

by
mid-Sep.tember, but
supplies will move out. of coldstorage for some time. Harvest of

lo¬

;/'/'//;

weather

from last month in North

com¬

is

half of

continues only in late areas. Har¬

will be

east

where

acreage

vest of Bartlett pears

mil¬

The

Almonds

record

all

pleted : and plums • nearly com¬
pleted in August. Peach picking

lion,tons, 4% above the'previous
mark

in

of cherries and apricots was com¬

million

below that of Aug.
estimated volume is

areas.are

are

Prospects/

;

for; citrus

near-record, but the>

barley, but only 79 million bushels
of sorghum grain, feed-grain pro¬

These changing prospects lowered
the indicated aggregate produc¬

and' apricots

prunes

above / average.

re¬

duced the estimated

late

Thursday, October 31, 1946

-.of5; bushels

.

in

South

a

States,

durum

wheat

yield wa&i
spring

17.8 bushels while the other

wheat yield was

16.5 bushels per*

Dakota,
3 > bushels
in
Kansas acre. As/ a result of < early dry?
(which
followed
an
8
bushel weather this
year, yields for both.,
October;
;
;drop during July) and one bushel iduruni and; other?
Growing conditions were less that depend heavily upon sorg¬
spring wheat in^
An aggregate of ' approximately in Missouri,* Indiana, and Ohio. '
favorable than usual, in most pf hum forage may have local short¬
North
Dakota
are
2.5 .bushels,
9.2
million tons of l commercial
The Iowa yield shows no change
the North Central and North At¬ ages. "Feed f grain
supplies. ' per
lower; than ;la§t/ year/Tlie/r25-??
;truck • crops; for; the • fresh;, market from. August 1-but: the Illinois
lantic regions. August' tempera¬ animal unit are' expected to be
bushel, spring whe&t yield- in/
tures
were
considerably , below the most liberal in the 27: years |will be. produced on. about, 2.1 yield; is up 2 bushels. A warm Washington has been.: exceeded
September; would mature what; only
of record. Pastures as a whole are million acres in 1946. Acreage and
normal.
Instead
of
usual
"corn
twicd,. and., the.' yield - of 32*
weather,", cool nights and even reported above average for this production-, both, are,, about 10% promises to be the biggest Illinois bushels in Idaho.only once.
: /
data but below a year ago. Again above the. previous records set in corn crop in its history. Ohio and
light frosts were* experienced; as
Harvesting and '. threshing, was;
n e ed'
a
favorable,
result crops could not develop the Great Plains and Lakes States 11945, and, fOr the; first time, they, Indiana, also
largely completed; by September;
exceed 2 million acres and 9 mil¬
weather during: September. West 1.
very well in much of; the/ hiain are a
notable, exception, Range
Only a small part of the thresh¬
Corn Belt, Some late corn has pastures continued to decline as lion tons, respectively. Prospects of the Mississippi River develop¬ ingpL shocked; grain /
remained/
summer
season
been delayed so that it faces a a whole, though August rains re¬ for
production ment f is;: ahead ; of ; the usual. Corn Harvesting; was \ completed / under £
frost hazard. * Rainfall was de¬ lieved the very dry condition in changed but little during August. 'is denting. in Iowa, and iMinnesota favorable conditions. Rains which/
and on September 1; needed
plantings ,of;"green
ficient in other areas, one center¬ Kansas, Oklahoma, New Mexico, .Later
peas
only occurred before ♦ August 1«were /
attained in 1942 and 26%
than the 1923-32 average.

larger

high level in September; and early
r

,

♦

>

.

,

,

•

,

-

ing in * southern Michigan
adjacent areas, another 1 in
Plains. States..Not
few

until

days of August

was

Situation ft relieved

that

the

Arizona

held

dry

in / Kansas,

Oklahoma and western

by

the

and
the
last

-

Texas, and

time

serious, often' irreparable, deterioration of corn
and sorghums had occurred. Some
salvaging of the crop as silage, or
forage was under way. Conditions
were

of

nearly normal in most
South, an improvement

more

the

previous

over

wet

months,

and

favored

and

age in

areas

result of extremely

a

as

favorable

conditions.

The

large

volume of grain to be moved often
exceeded the capacity of trans¬

portation facilities. In

some

areas,

grain had to be temporarily piled
on
the ground. Because of good

weather,

most

been moved

of

with

this

grain

has

minimum

a

of

damage. Drought in New Mexico,
and. adjacent areas was

Arizona

relieved

to

During

some

the

month

added to the
Still

at

extent.

list of

pears

record

levels

record

were

crops.

were

corn,

wheat,' tobacco,

vested—over 3.7 million tons.
ter-wheat

all-time

production reached an
of : 880 million

in

this

rec¬

near-record

peanuts, grapes, cherries

group are

and sugar cane.
crops

Average or better
of. hay, soybeans, dry peasr
apricots, and sugar beets

completion

der

circumstances.

All

production;, amounts

1,167

to

bushels, 44 million
larger than/any.: other

wheat crop

far

belowf average.

below-average crops are
sorghum grain, flaxseed, buck¬
wheat, dry beans, sweetpotatoes,
and pecans.
are

well

Oil

below

crops

as

group

a

last: year,

with

slightly lower, prospects: for
beans

soy¬

and

peanuts andv an. im¬
but. still relatively, small

proved
flaxseed

But for

crop.

both food

grains and feed grains, aggregate
production is the largest ever.
-

Feed-crop prospects

are
are

above

well

average.

as

a

whole

Feed; grains

above

average, but hay,
forage and pastures tend to hold

down the group prospects in some
areas.
The poorest outlook is in
the Great Plains region,- partic¬

ularly
central

north

central

and

west

North,

Nebraska,
Oklahoma,

Dakota,
central
most of Kansas and
northwestern

Texas

record.

near

high mark s.et in 1942,
which was closely
approached in
1944 and 1945, and 19 million tons

favorable.

De¬

est

of

tion

record, exceeding produc¬
in 1945 by 9% and
falling

only

2%

short

of

the

1942

high.

The prospective
aggregate supply
is about a third larger than aver¬

favored

both

growth

which

exceed

million

Broomcorn

jlima beans,

that' of' 1945:

by

;

pounds, ; or
11%,
prospered with im¬

proved; growing.; conditions." and

near .records* for sweet

and

corn

tomatoes, and a crop of
beans two-fifths above aver/

har¬

and

vesting. The new record outturn
of 2,221; million
pounds is 3%
above the August.1 forecast, and

snap

!

J

Despite

,

Corn

.

4%. drop from August
1
prospects,, the indicatedvi 1946
corncrop, at; 3,371,707,000 bushels
is- still the, largest off record/It is

v-

a

production is now indicated at. ;12% more than last .year and ?29%
40,800 tons, about 8% below aver¬ larger than the 1935-44 average.
The- indicated! average yield« per
age. ' /;//-;;; v;*;/

/://// :/,////
acre of 36,9.
bushels, also a-record
production, both, per' hen
high, is:- 3.6; bushels larger " than
total, was lower; in. August
that: of: 1945 and, 8-.4*4bushels more
than in August
1945;r neverthe¬
than-average; ;
' r
less, about one-sixth more
Egg

and

-

.

eggs

laid

were

than. the.

the month.

ber
than

of
a

average

for

l.

The

a/
.decline

of..

125

million

Not only is the num¬
on
farms 4%/ less

bushels in ,the production outlook

earlier, but the

tion of late July dry weather into

layers
year

num¬

ber of potential
layers is 7%
than last year. Milk

less

was

caused

chiefly by.

a;

continua¬

,

mid-August in

the

Great

production

in

August

Plains
and northern Lake States." As Au¬

only to that
August 1945. Milk flow

gust .ended,, conditions still were
dry in some areas of. the Lake

the highest for the
22.years of record, but

States, central Nebraska,. central
;and southern
Kansas- and. uniseasonably cool. While, the un¬
seasonably cool weather of late

was second

attained in
per

cow

was

month in.
was

not

enough

to

offset

the

smaller milk.cow-numbers.
Heavy
feeding and. careful culling of
dairy herds is reflected in this

performance.
deciduous

western

record




remained

Sugar crops nearly maintained
August 1 level, with sugar,
beets down slightly. Tobacco of age, v The-outlook is for recordhigh crops of green peas and green
all types increased in
weight un¬

conditions,

Total

production
fruits

level.

August' brings
more

than

1945

is

of
at;

principal
a

near-

Improvement
in
the total to 17%
and

12%

above

that

area

since

crop in
consider¬

corn

1925.

A

able acreage; is Tate; a-Light : frosts
in August caused only slight dam¬
,

age.

Pennsylvania .and New Jer¬

sey

need

their

favorable

weather

for

large acreage of late corn.
filling, is underway through¬

3% gain over August 1 prospects.
This would give the area the larg¬

ditions

previous

August

dfcates/the; largest/

South Atlantic

spite setbacks, the supply of proc¬
essing
vegetables -4n
sight
on
September 1 was the. second larg¬

would be 9 million tons, above the

than in other
years;

prospects are up: about
1%. from August: 1 and this inr

out the area,

Arkansas, Missouri,
Oklahoma, Tennessee, Kentucky
Virginia. In other States, con¬

.

more

u-'

and

aggregate of the 8 grains (4 feed
and 4 food) is about 164 million
largest
in
history.
This

tons,

duction

Silo

reduced yields of processing crops
in Wisconsin,

The

average.

crops estimated to
smaller acreages than

to

losses of tomatoes in the North
Atlantic- States, and dry weather

production, of 21.4
million bushels is only half of
average, but the 7 million bushels
of buckwheat is

fall

with

ous

Rye

and adjacent parts of New Mex¬
ico. Other dry spots are in south¬

Michigan,
northern
Georgia, and northeastern Missis¬
sippi.
Moving out from these

snap

frosUfree

generally sufficient to, carry, the*
assure
merchantable crop through to maturity. Showers.quality. Silo filling'is in progress and the relatively moderate tem-throughout
the
North
Central peratures during August were, of %
States..
material benefit, particularly; in*
In the/Northeastern States pro*
filling of late igrain^ Tlie; grain iSji
weather

during August. Blight caused seri¬

expected 69.6 mil¬
lion bushels of rice is close to the

223

rye'are

early fall

about r two-. weeks., .of

Production prospects for process¬
ing vegetables decline about 4%

i

produced in this

ever

only

date

last year..

The

country.

still in prospect, with slight
changes from a month ago. Cotton

Other

the

million

would

and

indicated for

are

un¬

favorable

prunes,
are

materially

beans, * celery, spinach, and fall
spring; wheat improved in August
lettuce. Cabbage and carrots are
harvest neared

as

der."

closer to the

up

improved

that of 1945, Substantial increases

record

bushels. Production prospects for

toes

Others

hand,

in most eastern and 'ceptral areas*

jFor • the fall season, production, is
Win¬
expected to run slightly above

their

moved

weather in others. Onions, on the
other

largest quantity of food
grains in history is, being, har¬

peaches, plums,
and truck crops. Among the nearrecord crops, oats, rice and pota¬
ord.

!areas

The

bushels

pletion in all northern and west¬

yields

reduced, by blight; in some
and
by
continued- dry

iwere

shrink¬

the; dry; areas of the South¬

of small grains was

ern

some

west.

wheat

com¬

,

well, with

up

cotton, late corn, and the
harvesting of all, crops.< Harvest
nearing

failed to yield up to expectations
and
prospective
tomato /

parts'of Utah and
Colorado. Range cattle and sheep

August

tempered the effects of
drought, to some extent it also de¬
layed maturity. There appeared

to be

some

frost hazard in

an

area

embracing the southeastern half
Illinois, southern Indiana, and

of

parts of Ohio and Kentucky. How¬
ever

warm

sunny

The

■

„

production

short5 straw

harvesting
losses

indicates

were

-

and

the-/favorable/:

weather,
harvesting v
very low. In' some^

unusually large quantities
of:spring wheat were piled on ther
ground/after harvest owing to the*
large crop/and shortage of cars/
areas,

As

the:

in

piled

,

outlook in the

States

reportedly of; high quality. / Be/
cause
of ?. the
predominance of /

case

of:

winter; Wheat/

the grounds dry weather;
held losses at a 'minimum.
on

a

///;

Oats/////;'

An oats crop second only to the*
est production since 192J, with the record breaking 1945 production is;
exceptions of; 1938 and 1945. Har¬ indicated for 1946. The/current/
vesting for grain has started in estimate of 1,520 million bushels
the southernmost States of this is only 2 % below; the 1 ;548 * mil* <
group. In the South Central States
a

substantial August gain in Ken¬

tucky

more

than offset

a

decline

lion

bushels harvested last year /
over a third larger than *
the 1935-44 average of 1,129 -mil*;
and

is

drought
earlier in the month damaged late
corn. A large acreage of late corn
in
Kentucky,
however,
needs
warm ; weather in order to escape

lion bushels,

frost

North Dakota

in

Oklahoma

where

damage.

Harvesting

for

grain is general in Texas and has
started* in Alabama,
i
In the
Montana

dryland

West

Colorado

and

corn

in
in¬

was

In the 12 North Central /States/

which

have

79%

of

the

U.

S/

acreage,

yields well above

age

being realized except ini

are

short

in

aver- /

where rainfall

July

and

was;

August/.Total,

production estimated/ for these 12/
States alone amounts to l;255 mil-"
lion

bushels,

tion's

or

estimated

83%
1946

of the

na-.

totaL pro-.

jured by dry August weather with
jthe heaviest damage occurring, in Iduction. Yields per acre range,
from 26 bushels in North Dakota/
Montana/ The September. 1 esti?
to the season's highest yield/of?
haate indicates the., smallest corn
45 bushels in Ohio and Michigan/,
crop - in this .group of JStates since
For the United States as a,whole>
il940.
k
*
'
the average yield per acre,of 35.3/
■"'/Wheat
bushels/has-been exceeded*only 4/
;
Farmers have practically com¬
times in 81 years of recordi Only;
pleted the harvest of a new rec¬ in 1921 and 1925 has the currents
ord wheat crop of -1,167,319,000 oats
acreage been.exceeded-1//; // /
.bushels. This is 44 million bushels
i
While productionln the North;
above the previous high of 1,123,Central States will
largely/ac-^
000,000. bushels. New high records
count for this, year's/tremendous
of;;- all-wheat ^ production / were
jcrop,/yields lh ; the 17/ Atlantic
•made/.' in, Nebraska,: Oklahoma,
iStates" were; also, substantially^
Idaho and Washington. The pre.above average and a crop for, the >
liminary/r estimate ; of- the 1946
'area 34% above average and 22%
winter/ wheat crop:Of:880 million
bushels also set an all-time record. larger/than ' 1945 has been har.

.

jvested. Production in the Westerns

!/

All spring wheat is estimated ;at
jregion will.be nearly. 1%
287,425,000, an increase of 7, mil¬

lion
This

bushels

a

over

estimate

is

4%

month

ago.

below

last

above,!

the region average and about thesame as

in 1945.

In the South Gen-,

year's production of 300 million tral.area total production is above/
bushels, but is 27% above the iaverage but below the good 1945;
1934-44 average. Estimates for half,
crop.
of the spring-wheat States were
Except for, small scattered sec-^
higher than those of a month ago. j
The September
1 production of Itions of relatively minor, impor212,810,000' bushels of all spring tance in oats production, prevail-,
wheat in the three leading States
ing weather during August was,
.

—the

Dakotas

while 7%

and

Minnesota

below that of last year

-

...

,

,.

.

,

^favorable, for harvesting the. larger

weather during is 47% above the 10-year average/: oats

crop

in the more Northern

.Volume 164

2271

THE COMMERCIAL & FINANCIAL CHRONICLE

Number 4538

:•

'States. In the South
threshing and
combining of-oats had been prac¬

mid-September. A few fields have
drained. :V

been

V.;,r

tically completed by August 1.
Potatoes

Barley

weather in August but water sup¬
plies were ample in all of the im¬
portant commercial producing dis¬
tricts. The. late crop in Idaho is

Controlled

versus

Uncontrolled

several

Economy

days earlier than usual.
Utah, harvest of Cobblers and
improved
about
Triumphs in Weber and Davis
5^
million
(Continued from first page)
bushels during; August. The crop
Counties progressed rapidly dur¬ when
you
hit the ground. But recent war-making. Let us take
is now estimated at
ing August. Digging of the White it is the jump, not the ground, the first
256,334,000
concept and explore the
Rose variety in Skagit and What¬ that
.bushels, compared with 263,961,000
causes the concussion.
The body of its meaning, its corollaries
com
.bushels produced in 1945 and the
counties, Washington, is at ground is harmless if you will and economic
consquences.
the
1935-44
peak. Digging of the late
average
of
If exchanges of goods and ser¬
289,598,000
only keep your feet on it.
bushels.
The
(Russet Burbank) crop in Wash¬
indicated
vices are voluntary, then he who
acreage terioration in the central .section
V; '
The Problem
;ior harvest Js only 1% less than; of the .country, because .conditions ington/has just started.; Peak
would sell is free to choose among
;last year, but 20% less than aver¬ in the Fast wei;e quite favorable. harvest is expected about Oct. 1.
So much for the current situa¬
all buyers, and he who would buy
age. The indicated yield of 25.5 Production in 1945 was 425,131,- Harvest of thy early crop in Mal¬ tion. Beyond that point prospects
is free to choose among all sellers.
.bushels per acre is one of the 5 000 bushels and the 1935-44 av¬ heur
County, Oregon is about are dimmer, but the problems are No
seller
can
command
the
■highest since 1915. Last year's erage is 372,756,000 bushels. The complete. There have been some bigger. What puzzles the thought¬ buyers; no buyer can command
.

/

production prospects for barley

The

indicated

potato >.crop of
bushels exceeds the
Aug. 1 estimate by 10.1 millions
bushels and lacks only 9.9 milions bushels of equalling the rec¬
ord
crop
of 464,999,000 bushels
harvested in -1943.; The increase
occurred despite considerable de¬

455,137,000

In

,

r

,

yield

per

•while

acre

the

:22.8 bushels.
•

'

Harvesting

25.9

was

1935-44

bushels

average

was

was

ditions

unusually favorable for
.good yields and high test weights.
maintained

were

im¬

or

proved in all the heavy producing
States and

slight.
in

harvesting losses

Current

yields

were

per

acre

Minnesota, South Dakota and
are Up sharply from the

Nebraska

tlOfyear average. A record harvest
©f 44.6 million bushels in Califor¬
nia places that State in first
place
Tor 1946 barley production, about
-1.1-million bushels ahead of North

Dakota, the 1945 leader.

*

.«,■/■';'

V-'v :'//*

Buckwheat

-

•

The
indicated
production of
•7,061,000 bushels of buckwheat is
above last year's crop of 6,701,000

/bushels, but close to the 1.935-44
average; Because the acreage this

is somewhat lower than a
the .larger crop is due
primarily to this year's yield of
year

"year ago,

17.6 bushels per acre,
compared
With .16.2. bushels last year.
•

r

The

season

favorable

for

in general has been

buckwheat.

Com¬

paratively cool August tempera¬
tures occurred when the larger
-part of the early planted acreage
Avas in ;the blossoming stage. This
Lad the effect of improving yield
prospects in the. important buck¬
wheat

States

Pennsylvania,

of New
as

record
acre

ceeds

<

practically com¬
pleted by September 1 under con¬

fYields

new

per

well

and

York

as

in Maine,

Maryland and Virginia. The mod-

yield of 167.0 bushels

indicated

last

for

1946

ex¬

year's

record-high by
y' /V.' <>?;•,;.»
Although the crop indicated for

16.4

bushels.

'

.

.

30

exceeds

1945

been

digging

fornia,

In

reduced.

of

late

the

Cali¬

he bloom is off the boom and fear

crop

of

has begun with good to excellent

production

/harvested

t

—

k,

has started.

York

In both

upstate New

and

few days in' August. Further frost
damage occurred on Sept. 3. In

ing August. Production is now
-estimated at 69.6 million bushels

wheat arid* flour export program

They

were

made through the De¬
partment Of !State at the request
of the four nations, who are in
dire

need

of

wheat.

The

new

quarterly program of al¬

global

lotments is designed to replace the
monthly shipment program

old
?

"Covering the fourth. quarter of
1946, the. allotments were ar¬

August 1 and only 1% below
1945
record,
Improvemeh
during Ay gust occurred in Texas
Other States were unchanged. The
crop, made good progess
toward
maturity, and harvesting of early
fields was started - in August in
on

fttie

ranged

as

follows:

Much

.of

Arkansas

-

nice

is grassy;/Muclf also was

acreage

seeded

the

lata-and is /susceptible

to

/damage if early frosts should oc;cur.

A few early fields were har-

.vested in late

August, but harves*

t 'is hot' expected to become
-before

mid -September.'

genera

Harvest

ing of early varieties.is well along
-in" Louisiana and yields are sat¬

isfactory, but'the outlook for /late
is' less "promising.

^varieties

The

Texas' harvest is well under way,

"and is,in

a

volume that is.taxing

♦the capacity of driers. Yields are

To

-good.

date,

no

/.loss

has

xurred from tropical storms

fas/those

\duction

that
in

have

several

reduced
recent

oc
sue

some

varieties such
Katabdins.
in

all three southern States.
V v

benefited

North

"sharply

of the mid-season

Chippewa& and

as

The. prospective .crop
was
reduced

Dakota

by; dry weather ^during
.

.

first three weeks

the

of

August,

In the, southern half of .Minnesota,
most

of

the

crop, is mature..but
diggings have; been made only Jto
meet
current needs. The South
■Dakota ' crop is being hSryesied
-under satisfactory conditions. The
crop

improved during August in

Ohio and West
its

.own

Iowa:

' r.~

in

Virginia'and. held

Illinois^ Indiana^. and

V/'
pros-

during "August
there was little" change in potato
-prospects .in the Western-; part: of
the
country.' Oregon 'showed a
slight Improvement and Wyoming,
declines.

would

measures

*

Production

of

the

late

is

result

the

kind

from
that

such

some

"Brazil—120,000

long

wheat and wheat milled
Peru
tons

and
each

milled

tons

of

wheat

of

into, flour;

Bolivia—17,000
and

long
wheat

into

flour; Uruguay—17,000 long tons of wheat.
"In addition to the above, other
amounts
of / wheat
arid .wheat

"Br.azil-r-approximately
long

tons

milled
000

of

wheat

and

60,000
wheat

into

flour;' Uruguay—17,tons of wheat; Peru—

long

people think they would prefer to
in

which

matter

are

as

follows: You either

10,600 long tons of wheat milled
believe in a framework of law in
into flour and Bolivia—10,000 long
which your neighbor is-'entitled to
tons of wheat milled into flour."
.the possession of his property and
the fruits of his productive exer¬
tions, to consume . or to dispose of
Guests tof NY
as
he sees fit jn .voluntary ex¬
J Col. .Clarence S.-/Irvine, .pilot change for-the fruits of other's
and commander of the Pacusan
efforts; or -else you believe that
Dreamboat',s, recent non-stop 10,- you have a right through the gov¬
000-mile - flight over the top - of ernment to take .from your neigh¬
theworld, and his eleven-man bor what he produces without his
"consent -because -you or somebody
crew,;.' were luncheon guests z on
else needs Jt or wants it, or be¬
Oct. 25 of Emil Schram, President
■.

Sjtocl^ Exch.

-

t»:

f'

•*»•'

„•

..

r

.

f

T--

+

'

.*

r-

■

cause

he produces more than you

Exchange,
do. In one ;case the warrant for
Coleman, Chairman haying • something is working to
of .the Board. Accompanying Col. .produce it or Its equivalent.
In
Irvine were D e p u t y ; Mayor ,the other, the /warrant for -having
jsomething is;wanting it, plus the
Thomas L. J. Cochran, Lt. Gen.
power to take' it.' ' Vr.r *
;
G. E. Stratemeyer, Maj. .Gen. Rob¬
The fifst concept is expressed
ert Douglas, Frank Tichenor and in the
Commandment, "Thou shalt
and

John

greater satisfaction of their wants.
Satisfaction
terms

of

of

the

human

very

wants

in

them¬

wants

production is free
selves is raised to the maximum.
of direct or delegated government
The voluntary society thus results
coercion.
That
is
a
judgment in
the maximum satisfaction of
which each man must make for
human wants in terms of the exer¬
himself as a matter of philosophi¬
tion required to gratify them.
cal conviction or moral faith. But
But this is only the beginning
it is an economist's job to point
of the economic consequences of
out,- as, best he can, the economic
adherence to the concept of q
consequences of adhering to each
voluntary society. For if the only
attitude so that judgment between
way that one man may obtain the
.them may be as broadly based and
results of another's productive ef¬
intelligent as possible.
fort/(aside from gift, of CQu:se)
is to .proffer something .that satis-*,
.Voluntary vs. Coercive Society
fies the other, then there is a to-1
The .fundamentally conflicting
matically brought to bear on each
attitudes at the very root of the

of the New York Stock

J "Except in Cploradd where
pe'ctsr.. improved

Nevada, and New Mexico showed
pro

in power to: start
than / satisfied
with
their - sale.
large-scale public works, try to
Hence all whomiake the exchange
support prices "and wages, step
up
spending, increase incentive- get more in terms of their own
satisfaction
than
they give up.
destroying taxation, multiply bu¬
Those who retain what they have,
reaucracy: ynew and Compound its
preferring it to that which they
regulatory restrictions?
/can get in exchange, retain the
Perhaps the kind of country
thing:.;; which
gives -them
the
which

one

milled into flour, still undelivered
potatoes in most of the -area north because qi the ship strike, will be
of Big Rapids with
spotted dam¬ shipped to the South American
age in Montcalm County. In Wis¬ nations as follows:

consin, damage ,was /limited pri-marily to the. la^e varieties, hut
a li.ttle 'more
growth would have

ernment' then

,

Michigan, freezes haye damaged

indicated

rampant.

problem is the
question of whether the American
system of voluntary markets and

,

Prospects for harvesting a nearrecord crop of rice improved dur¬

was

becomes

sellers.
Voluntary markets
necessarily competitive mar¬
kets. They are also the only known
way of achieving fair prices. It is

.

much of the past month and there
was some frost
damage the last

about 1% more than

depression

the

are

At the root of the

both.; the

in

millions

Rice

-

not

yields

-

/

have

unfair to compel a seller to take
by
less than competing buyers are
Delta and the Coastal Counties. /,
bushels, prospective
voluntarily willing to pay. Simi¬
Indicated' production .of
218,- individual freedom is going to be
production of 335,553,000 bushels |
larly, it is unfair to compel a buyer
in the 30 late
273,000 bushels in the ,7 inter¬
producing States
replaced by one or another form to pay more than competing sellers
is only 6.6 millions bushels
larger mediate /States is rS o pi e wh a t of state-ism such as has been are voluntarily willing to accept.
: han the
production of last year, higher than the August 1 estimate sweeping across the world. If we Voluntary markets eliminate the
"ndicatqd production in .these of 36,892,009 bushels. The crop should arrive at the orjset of se¬ unfair by opening up all buyers
in
all
of
States
is
these .States, ,except rious
28.5
millions bushels
depression, it will be after to each seller, and all sellers to
ower
than the record crop of Knasas made .good progress in
having been habituated for more each buyer. Fairness is achieved
364.011*000 bushels harvested in August,;But tthe/ sharii increase in than a decade to a
step-by-step, by eliminating the unfair. The test
1943.
the New, Jersey q^imateaccounts but ever
increasing, assumption of fairness is never in comparing
In each of the three eastern for most of this increase. With at
by government of paternalistic the dollar result with this or that
surplus producing States (Maine, least 90% of the crop harvested authority.
Government has as¬ other dollar amount; the te t is
by'Sept. 1, it is apparent that the sumed
New
York
and
Pennsylvania),
authority to dictate such always in. the extent to which
prospects improved during Aug¬ New Jersey crop is yielding /things as
wages,
hours/ prices, coercion has been eliminated in
ust; Jri Aroostook
County, Maine, higher than expected earlier in products, crops; and: credits; au¬ achieving the dollar result, what¬
rains during the latter part of .the season.
thority to tax-take from the more ever it is. ;
:
;v
The increase in.(the crop esti
August furnished an abundant
productive for the supposed bene¬ ;; For those who believe in the
-supply of moisture. Aphis infesta¬ mated for the 12 early producing fit/Of the less
greatest good
for' the' greatest
productive or the
States reflects a higher yield for
tion is generally
very light and
idle; authority to distribute bil— number
without,- of
course,
damage from other insects is in¬ the Texas Panhandle crop.lions .of dollars' as subsidy induce¬ knowing how to measure it—/here
significant. Late blight does not
ment; and authority to undermine' can be great satisfaction in con¬
seem likely-to cause
any materiial US Allots Wheat to Aid
the. incentives to undertake pri¬ templating
voluntary''markets.
damage to the Maine crop this
vate, job-creating production as I Thus in those markets the terms
So. American Countries
-season.
In; the
New .England
of exchange will' balance at the
shall show in a moment.*
States, outside of Maine, the pros¬
The' United.1 States has arranged
In the light of our habituation point. where those who are least
pective cropis uhocfrtain. ftecent special allotments of - wheat anc
to'this long evolution of coercive willing to -buy, but nevertheless
rains, which at first caused con¬ wheat milled into flour for Brazil.
intervention into how much of do so, and those least willing to
siderable improvement, now Bolivia, Peru and
Uruguay, the -what is to be
produced and how sell, but nevertheless do so, are
threaten to brihg about the de¬ Department of State announced
satisfied to make the exchange as
much who is to get-^-or not get
velopment of late blight and rot on Oct. 17, Its
announcement for
evidenced by their performance
producing it, is it not probable,
in some areas.
added:
'of it. This means that buyers who
should 'depression; coihe, for' the
On Long Island, where a rec¬
"The allotments were authorized
evolution to be speeded rather /would have paid more are more
than
satisfied
with
ord-large crop is indicated, har¬ and handled by the Department o; than retarded—that
their pur-^
is, for presvest of Cobblers nears
completion Agricrilture under the>■ recently sure to :be exerted upon the gov¬ chase; while these who would
and digging of Green
announced
worldwide
have sold for less are also more
Mountains
quarterly
946

most
derate August temperatures were commercial Pennsylvania,
growers have carried
particularly
fortunate
for
the but
adequate dust arid spray pro¬
puckwheat crop in a number of
grams. Where such programs have
.other States where August was been
used, the crop is greeri and
too
dry for best development
continuing to grow .but most un¬
"Yields in prospect September
iare a bushel tower than a month stayed vines are dead.
Prospects have declined iri each
ago in Michigan^ Wisconsin aric
of the four
heavy producing late
Minnesota, and 3 bushels less in States in the
central part of the
.North Dakota. Further deteriora¬
country — Michigan, Wisconsin,
tion was checked by cool days
Minnesota, and North Dakota.
.The crop is well advanced and is
Moisture was inadequate in cer¬
comparatively
safe
from
fros
tain areas of these States during
jdamage.
'

-

light frosts in Central Oregon and ful and worries the conscientious
in the Klamath area but yields
is what is going to happen when

A.

individual those two greatest in¬
centives, hope of having ana tear
of not having.
Thus, each man

knows

that

he

can

have

every^-

he produces, or its equiv¬
alent in the combined judgment
thing

,of all those

voluntarily and ■ com¬
petitively buying and selling it.
On the other hand, since none can
what others

produce with¬
of not
each to produce
for himself. The voluntary society

secure

out their consent, then fear

having

compels

provides
stimulus

the

maximum

.

possible

to each individual's pro¬

ductive capacity without undermining a similar stimulus to other
individuals. Break that principle
—as collectivistic societies do—so
that some can take without pay?*

ing
and

for .it what

others produce,

individuals- tend

.

to

be

di¬

-

verted from the pursuant of

indi¬

It Is ' the/one upon vidual productivity to the com¬
in the 12 western States is •William Murphy. -u Following the not steal."
which the' American system
of petitive practice of getting somer
placed, at 120,788,000 bushels, com¬ luncheon the
guests made a tour
pared • - with
voluntary markets arid free indi¬
123,440,000 bushels of the
iayored California rice prospects.
.Exchange, including in¬ viduals was founded. The other thing for nothing with- the aid of
harvested in 1945.-•' •
'
.the State—that is, from exploita■Harvest will be earlier than usual
Condition of the Colorado crop spection of the-trading floor from concept lies at the roots of the

(Good

tand

v

growing "

may

be

w e a

started




years.

prop

t her' has

soon-

after

is

excellent.

Idaho had

some

hot the gallery.

:v

"collectivistic

societies

and

their

;

(Continued on page 2272)

^

THE COMMERCIAL & FINANCIAL CHRONICLE

f;

WV

Controlled

(Continued from page 2271)
Boirof natural resources and proc¬
esses to despoliation of each other.

Nbte next that in the
voluntary
human exertion is con¬

Sbciety

stantly guiaed into tne most ejjidtent, production :,of the most
Wanted goods. That means maxi¬
mum human happiness in a ma¬

terial

sense

in

terms

of

the

very

wanting to have and not wanting
to work With which

we

born.

are

As the nation's wants shifc from
horse and buggy to Detroit-made

automobiles, ior example, the
duction

of

automobiles

is

pro¬

auto¬

tary inflation. In short, by travel¬ over onto another-road to stateling one hidden road to collectiv-; ism—the road of price control/ra¬

Uncontrolled Economy

versus
something

against

his

will?

ism,

Is

sample drawn from it. v The rea¬
there not a saying to the effebt soning could have been something
that control a man s bread and he like this: Since everybody
equally
is your slave?
has one vote in choosing tne Legis¬
;

frequent, but lature, then everyone must equally
That
you pay any direct tax voted.
can refuse ,to buy u man's
goods way taxation must always rep¬
resent a burden voluntarily voted
or services, and so exert so-called
economic coercion Upon him.
But by the majority upon itself rather
such refusal to buy, is practicing, than a burden imposed upon a
not rejecting, the voluntary so¬ dissenting minority which the ma¬
ciety. In fact to suppose otherwise jority itself escapes.
The principle can be simply
is to deny its voluntary nature.
stated: In a society of free men
Remember, instead, that each who
taxation must always equally bur¬
would sell is free to choose among
In this connection

a

fallacious, contention is that

all

Attempted

buyers.

den the members of the electorate.

coercion

In

voting taxes, the representa¬
through non-buying thus becomes
tive must know that he distresses
buyer's own voluntary selfthose
of
the
majority
which
profitable to produce automobiles denial, while the attempted coer¬
cion merely diverts rather than elected him as much as those in
ihan
buggies; horsepower than
the minority opposing him.
horses. Shifts in production are prevents the sale.
No competing
Break that principle, as we did
thus automatically ihduced. Pro¬ producer—or seller for that mat¬
ters-can exert coercion in volun-* in the XVI Amendment which
duction is pushed
up in automo¬
bile^ pulled down in buggies. In :ary markets. Each man's economic gave majorities in Congress un¬
"reedom rests in mutual practice limited power to despoil minori¬
the
meantime, as you all know
very
well, producers are under by all of the simple doctrine that ties, and see what the economic

matically encouraged while buggy
sales disappear. It becomes more

the

At
business, or results must inevitably be!
pressure
great
pressure
will
be
to be productively - efficient and not to do business with others as times
progressive—or else be liquidated. voluntarily agreed—with empha¬ brought to bear upon the Legis¬
lature relatively to concentrate
sis bn the, "voluntarily."
Under voluntary markets produc¬
tion
It is simple economics rooted in taxes Upon the more productive
is, thus continuously guided
minority to the supposed relief of
into the hands of the most effi¬ human
nature,
as
I have at¬
the majority. This was feared by
cient, and people are continuously tempted to show, that voluntary
guided into pursuits in which they markets., ;mean the maximum of Madison when" the Constitution.
was written, and it was prophesied
find the greatest
rewards, while production,- justice, progress and
by Lord Macauley in 1857. It has
to al effort is
continuously appor¬ freedom: There is only one en¬
now happened.
tioned
to
tity which can destroy those mar¬
producing
the
most
The levying of taxes on minori¬
wante.d goods in terms of their kets. It is government. In other
ties by those elected by majori¬
cost.
It is a beautiful and awe- times and places it
always has.
ties has
certain ominous moral
coercive
inspiring piece of three-way, au¬ The
or
collectivistic,
tomatic, miraclefproducing ma¬ rather than the voluntary, society aspects which are very important.
But I am on this occasion seeking,
chinery,
the
contemplation
of is the typical one in history.
It
Which would, I
suspect, make, let 's the one toward which all 'others instead, to point out the cold eco¬
nomic consequences to American
Us
say, -designers
of automatic tend to revert. And that brings me
productivity, Those economic con¬
gear-shifts feel a bit humble.
to the heart
oft the matter.
sequences are almost shockingly
Price and production
There are many.roads by which
regula¬
simple and direct.
Let me cast
ve
have been travelling toward
tions ;• prevent
that
machinery
them, for example, in terms of
If dm
performing its vital func¬ controlled economy and the om¬ the creation of productive jobs.
tions. Of this-there has
nipotent state.
In some respects
Think as you will,, but there is
recently
be e n
he broadest are the least
spectacular
per¬ no other
illustration.
way in which a selfceived. I tag them with the
When buyers are prevented from
names, sustaining
productive
job
can
'Taxation,"
paying what they are willing to
"Money,"
"Monop¬ come into existence
except for
pay then the incentive to
I have
produce oly," and "Regulation.''
someone, in the hope of profit, to
What is most wanted is denied ex¬
ilready dealt with regulation as save and
invest his money in pro¬
pression..Production is kept out of exemplified in price control. With
viding the tools of production.
balance with true demand. At the your permission, I should like
to When some John/Jones builds a
present time, moreover, the price say a few words about the others. corner - store then there is
Continuous

each

competitive

is entitled

to do

.

.

,

a

fixers have nothing substantial to
go on except the war-time or the
pTe-war prices. But the war-time

pattern

prices

of
to

production,

evoke

and

the

it,

represent an
than the now-

Unwanted, rather
Wanted pattern. The pre-war
pat¬
tern is irrelevant by reason of
the

clerking job for

Taxation

Take taxation.
adhere to the
ef

goods

He who would

voluntary exchange
services

and

must

men

an¬

nan

the

be taken from him to
support the

exercise in peace-time of warffthe powers must thus
inevitably

question

hamper and prevent
Md

and

rather

encourage the

a

great

inevitably

degenerate
bureaucratic taking from

powers,

untied

forefathers; it
written

into
some

from

the

.tronage. But, to pursue the meta¬
phor to the end, they simultan¬
eously constitute the nation's eco¬
nomic

perdibon. Eliminating co•efeive emergency powers once the
errtergenCy is over should assume
%he character of a religious habit
people desires to be prosper¬
can regard with
gratification ; t^e widening per¬
ception and official recognition of
a

and free. All

this truth.I

take time for only one more
aspect of the-voluntary society-

the most important. Strict adher
ehce to the conviction that each
is

individually entitled
of his exertion and

to the fruits
to the'r vol¬

untary

exchange is the very es¬
sence of individual freedom. You
-just cannot have one without the
other

in

Abol'sh

any
erne

meaningful

and

you

have

sense.

abol¬

ished the other. How. for
example,
you compel anyone fo do or
not do anything, in the last'an¬

ion

to that

and

Constitution

md

ever party—for power means
pa-

if

the

eco¬

"Win the war"
.purpose, become
the politician's paradise—of what¬

ous

into

answer

discovered

mr

f6f the supposed benefit of
others,
instead of taking from all to win
ifre war for
everybody. Such war¬
time

written

The

was

than

nomic readjustments called for by
pk'urn to peace. Their exercise
haUst

government?

'No

by
forgotten

their descendants.
Our
understood it so well
had a slogan.
If was,

by

then the incentive and ability to
save and invest in the
job-creat¬

ing tools of production is dimin¬
ished.
The creation of new jobs
fails to keep pace with the re¬

was

even

lease

taxation without representa¬
But how many people to-

tion."

of

jobs

workers

from

efficiency

as

existing
increases and

iay grasp the full body of mean- with the normal additions to ihe
;ng for which that phrase stood? working force.
So chronic un¬
It meant, ? of
course/ that taxes employment as in the '30s is ob¬
were

to

be

voluntary

viously invited.

determined

by the
taxpayers

consent' of

expressed/ through

their

The

elected

M:

second

quence

economic

/;

5;

conse¬

is to injure the mechanism

representatives—and that is what for; adjusting production to the
'axation must always mean in a
'changing patterns of demand.
voluntary society if such a so¬ Consider, for example, how shift¬
ciety is to endure;;
ing production from buggies to
But that raised another tech¬ automobiles
would
have
been
nical question with which
sta- hampered if the profit in produc¬
isticians, but not too many others, ing automobiles had been taken
ire thoroughly familiar.
It is the in taxes for. subsidizing, in effect,
question of the reoresentativeness the lesser profits or losses of
bf the sample selected.
In this buggy-makers. The inducements

lo, in fact, constitute

a

truly

too.

an

/

tiating body in proportion to the
taxes

to

be

collected

they

pro¬

vided that direct taxes voted had
to be distributed

according to the

representation
may
an

lapse

instant

in

into

the

the

instead

body.

If I

technical for
of

selecting a
alysis, unless, aside from physi¬ cample to represent the universe
cally injuring or confining him, from which drawn,
they changed
you have power to deprive him of the universe
to accord with the

going. That brings

to the mat¬

me

ter of money.

■

v*

/

manipulation of the money
ply is the most deceptive

sup¬

and

devastating of all the means for
transforming the highly produc¬
tive
voluntary society into the
at

authoritarian

the

time

same

popular

is

it

the

most

seemingly plausible
means for preserving private en¬
terprise by supposedly stabilizing
Over-all
production.
That
only
There

dangerous.

more

certain

are

things

must understand. The stuff

we

we use

to pay bills—that is,
money—con¬
sists first, of the coins and printed

currency we carry in our

pockets
arid, secondly, of bank deposits
subject to check, the deposits be¬
ing about four-fifths of the total.
Most

of

us

only

can

get

this

and

that, again,

duction.
.

diminished.

would

have
means

Malad¬
remained

less

pro¬

our

property

labor. If that

or our

were

always true for everybody,
be no problem.
No
one could go
into markets and
purchase something out of them
except by having
equivalents
contributed something
to them.
there would

The money
mand oyer

Breaching the principle of equal
tax burden in

voluntary society
means that the so-called "common
man" in pursuit of seeming tax
advantage is in deadly reality

writing off his

ucts,

would

would

match

one's

own

Bui;
It

the

stable

our

medium

to

printed

The

of

isn't that

money

be

can

earned.

goods

be

Money would truly be,

then, a
change.

economic op¬

portunities. That is the economics
of;

it;

More

that
than

is

the

that,

pathos

in it.
the chronic un¬

employment thus engendered
becomes,
cuse

as

soon

in the 1930's, the ex¬

for Government to "step in,"

for "deficit spending" and mone¬

pro¬

that the resulting unem-i
ployment in turn becomes the ex-r
cuse
for printing and
spending
more

while the increased

money,

spending and rising debt become
the

for

excuse

increasing incen¬

tive-destroying taxes. The
becomes self-stimulating.
The

fact

that

money

adds

to

spiral
y

printing money
markets but not

goods to match it

that the

means

money is more of a tax receipt
for goods taken away than it is a

command over goods to be had.
Subsequent spenders- of the
money find this out in two ways:
By price control- and rationing
they find themselves with money

left

over which they can't spend
buy what they want.
Money
you
can't
spend
is
relatively

to

worthless.

those

Or in

controls,

the

the

absence of

prices

go

up

and each dollar buys less.
There
is no reliable way that printed
can

ever

be

goods equivalent tq

those

taken

when it

issued.

was

Printing of money is not the cre¬
ation of purchasing power.
It is^
instead, the eruelest and most de¬
ceptive form of taxation with the
longest lasting evil aftermaths.

The burden falls most heavily
had, as a com¬ upon those with pensions, be¬
other people's prod¬ quests or otherwise fixed income,

mafch

claimed.

ex¬

way;

instead

of

first

and often least able

bear the

to

burden.

There is

aspect

one

final, truly Vicious

printing

of

money
When the

press

that should be noted.
money
enters the
market responds. It

market, the
shifts capital,
manpower and materials towards,
greater production of the particu¬

step is for the lar goods taken. The market does
government' to
print
bonds— not know the demand is false.
promises to pay. The next step is The demand is not the
expression
to take thpse bonds to the com¬
of
competitive
expenditure by
mercial banks; There these gov¬ those whose income
derives from
ernment' promises to pay in the
producing for each other what

future are swapped for the bank's
promise to pay on demand—that
is,, for a bank deposit. That is
what a bank deposit is: it is the
bank's liability to pay in gold if
called upon to do so. Since every¬
one expects that the bank would
pay if called upon and allowed by

they want most in exchange. The
is, instead, the result of
someone
getting something, tor
nothing without having to ideas-*
ure
his getting with giving of
goods competitively acceptable in
demand

Production

markets.

is

diverted

to

synthetic demand instead of
being governed by exchange for
deposits are
as equivalent values.
In short, the
money. We transfer them to each boom
financed by inflating the
ether by writing checks in ex¬
money is the relative wastage of
change for the goods and services scarce manpower, capital and re¬
we get from each other. The sig¬
sources.
In wartime, this is read¬
nificant thing is that simply by
ily apparent: printed money is
making entries in. its books banks exchanged for goods which are
can
create deposits for use as then
destroyed under compulsion.
money. The process is the mone¬ In peacetime, the process is sim¬
tary
equivalent
of
the
paper ilar though less readily apparent.
money printing press, and in fact The appearance of prosperity that
it actually starts with a printing attends this wastage is
only the
press—the one-which prints the reflection of the takings of. those
Government's
promisesi!to pay whose demand is unlimited so
law to

do so,

these liabilities
themselves used

sometime

derstand

the

in

because

or

This

future.

that people must

something

is

un¬

the process has

been

employed to multioly the
supoly
of money
sixfold since
1933, and three times since 1939,
while the right of people them¬
selves to police the inflation by
converting their money into gold
has been denied them.

There

are

certain moral aspects

of this process and

have

But

time

there

are

consequences

and

free

to

discuss

certain

them.

economic

to voluntary mar¬
individuals which

should be observed.

/

Please note that the
to

spend

in

new money

markets is obtained

Without concurrently contributing

goods
The

or

services to the markets.

balance

between

money

go¬

ing to market and goods going to
is thus destroyed.
The
extra money competing for goods
bids prices up. That is inflation,
and that is the only possible way
it can occur. Then the inflation
market

becomes

the

excuse

for

gratify

long as they- can
nothing. -

it
'

>

-

for
'

But

buying with printed money
must
eventually
end.
It
ends
either when check deposit expan¬
sion

limit under the

reaches the

gold standard, if we have a gold
standard, or when the Federal
Reserve Board
to call

"

a

own

otherwise

one

products made available to others.
The money claims against goods

kets

'.

it

money by ourselves concurrently
money, once issued,
selling something-~whether it be redeemed in

not

been

justment

goods

noted

state—while

and

makes it the

wanted

>,

motes, Just to close the spiral for
instant at this point, it may be

The economics of money is ob¬
scure to most people. That is one
reason for believing that
political

sterile

tioning, allocation, production di¬
rectives,
priorities, etc., all • of
which directly destroy the voluntary market, and undermine the
maximum production of the most

an

AMoneyvJgl

..

have

rep¬

ingenious
Instead of trying to
?ive representation in the tax irimswer

w£S

double the speed of our progress,
without knowing where we are

there are op¬
portunism rationalizations of ex¬
cuses to justify the process.
I do

and

resentative/sample of taxpayers.
Our forefathers found the
answer
'o that also, and wrote
it into the
Constitution; It

seemingly must next set

we

feet upon another broad but
even
more
hidden road, and so

our

the pressures to make pro¬
duction conform to demand wotild

base the question was how to as¬
sure
that elected representatives

can




may go to work and produce
marketable values to cover

of the Constitu-

out

"orefathers

hey

John Smith

their continuing wage
and
the
employer's profit. But if the ma¬
jority decides to tax away large
amounts; of that hoped-for profit
either directly, or by progressive
taxation
of
individual
income,

equivalent, if something jmust

War-time wrenching of the econ¬
omy which has intervened.'j The

some

to

fill.
By produc¬
tive investment alone the en¬
vironment is created in which

this question: How can each
have what he produces, or

swer

ts

thenceforth

Thursday, October 31, 1946

otherwise decides

eventually when
is printed that
substantially ,; unac¬
ceptable as a medium of exchange.
When it ends the maladjustment
between production and demand
is exposed.
Unwanted production
accumulates in inventories, liq¬
uidation sets in and spirals of re¬
cession are inaugurated.
That is
halt,

a

so

much

it

or

becomes

money

bust

why

follows

boom.

-

The

boom is the wastage of manpower
and

resources;

of

ness

the bust the idle¬

manpower

and resources.

The starting of a boom by print¬

ing

press

antee

had

a

techniques is the guar¬

of the bust

taste

of

to follow.

that

in

the

We
"we

planned it that wov" boom of '36
and the bust in '37.
We shall, I

fear, have bigger,and better ex¬
jumping amples in the days to come un-

■

i

.Volume 164

THE COMMERCIAL & FINANCIAL CHRONICLE

Number 4538

less m6re people" learn that

gov¬

ernment

monkeying with money
is playing with dynamite which
on
explosion can extinguish the
voluntary society.
c, ;
.

dependence.

book

he

is

prisoners

tively allergic. And

so

They
become
the
of the monopolies''they

create. As

s.uch side-by-side labor
monopolies employ their' coercive
obtain

to

power

above

market-

price

1

I

Monopoly

come

to

road

to

now

the

stateism.

monopoly

There

is

one

type of monopoly that is cur¬
rently a serious threat—it is labor
monopoly. I need only say a word
two about it because its nature

or

is

daily becoming clearer to

and

more

more

not

people. The laborer is
commodity, but the service

a

he renders cannot escape economic
law.
That means quite simply
that if the service is made arti¬

ficially costly, then just like

any¬

thing else, customers will buy less
than otherwise.
Labor, like
anything else, can price itself out
of its market, if given
monopoly
of it

status.

It has achieved
monopoly
In
actual
practice
this
that' in determining the

status.

rbeans
price

paid

for

labor—the

rate—manyt employers
mitted

to

deal

with

wage

are

,

but

per¬

one

en¬

tity, subjected to neither individ¬
ual

nor

group competition.

This
1 $ monopoly obscured but
monop¬
oly price control nonetheless.
It
:1s

tantamount

of

one

miust

you

pay

to

that

saying to each
the price you

for bread from whom¬

purchased is nevertheless to
fbe set by one baker, no other be¬
ing permitted to offer a lesser price
In the hope of getting
your busi¬
ness.
It is the exercise of great
ever

wages,
then some of the
workers are priced out of jobs and
find themselves with nowhere to

go—except to charity. They are
shut out from other employment

by

reason

either of the

same over¬

pricing elsewhere that is
sible

for v their

respon¬

disemploy-

own

ment and

is

the

render

simple

it

chronic.' That

is

economics

of

v

itl

there

a

any

cost

trouble

is

dispersed

the

But

costs

the

can

time

in

in

be

and so go unperceived and
untotalled in balancing the books
for net gain or loss; whereas the

advantages can be
single and apparent.

and

order to exert monopolistic
pres¬
sure.
The one is the practice of
individuals freedom in .a system

voluntary markets; the

other is

the denial

of individual freedom
the substitution of monopo¬
listic for competitive markets.
The
right to quit and the privilege of

Ly

striking

are

opposites. in

not

the

equivalents but

functioning

voluntary markets.

of

with

oach

other; in short, that in em¬
ployer-employee relations compe¬

tition suddenly
stead
of

runs

cost,rigidity

will

hamper and' hinder the re¬
alignment
of
employment and
production to meet the changing
pattern of demand as the warborn shortages are made good. It
will

act

as

a

vertically in¬

horizontally,

ployment, prices and costs.
T
Often have I asked myself why
some people who, profess to be¬
.

lieve

individual

in

voluntary

markets,

often subscribe to
state-ism.

mean

deal

of

the

freedom

nevertheless

measures

I

reason

and

think

is

which

a.

good

just plain,

thoughtlessness^

which

form

takes

the

of

"Let's

give the other fellow a break,"
not realizing that this is the giving
of

power

to

stitutions.

I

the

reason

is

undermine

free

think

more

some

in¬
of

just untrammelled

strife for personal or group power

""bargaining power" must some¬
how therefore be
equalized. The
fact is, of course, that when I

without regard to the cost to the
community. Still more of it is ig¬

and

buy

General Motors car it is not
my
relative bargaining power which

a

protects me. If it were, I would be
ciuite unprotected! It is the pres¬

few suggested principles:

a

nomic purpose of government in
a
free America must, therefore,

always be exclusively and solely
to employ its
superior compul¬
sion to prevent
fraud, predation,
coercion- and
monopoly
abuse
,

those governed.

among

(2)

To that end,

determination

amount of what¬
non-harmful goods are to be

ever

space,

and that cost in

of those children fail to

see

engage in or subsidize production
for competitive sale. -■

their

fathers at work. The father goes
away
in the
back at night.
out of

morning

to

Children

are

contact with the

(3) It

come

is the

ernment

kept

.

to

function

of "gov¬

keep honest the

na¬

tion's
money.
This :; means
it
should not in peacetime
"tolerate,
or itself ever
practice, the alter¬

competi¬

tive struggle where the rule is
that the warrant for having some¬

that taxation must equally
burden the members of the elec¬

means

torate.

It

that government

means

should

grant

gifts

subsidies.

or

ernment

tax

should

burdens

tax-offsetting-

no

It means.gov*

not

seek

to.day

minority

on

groups

which majorities escape.

f

(5) My final principle,.Is not
really a principle—it is merely a
personal definition of what, free¬
dom means in America.,. To ine
it

not

means

only

that

no

man.

must

physically injure another or
take property from him,', without j
his consent; but also and, most,
especially it

means

that not

even

,

government must do these

except

of the kind and

through

punish those
them to others.
'
Freedom is definable
the

things
who, dc

to

absence

of

coercion

.

.

only

,

as

between

It is obtainable when gov-

men.

ernment's
coerce

is

superior
power,
to
employed to cancel out

coercion between
present and

,

The ever-,

men.

awful

,

temptation of;

government is to employ or dele¬
coercive power beyond,;

gate-its

that point for seemingly benevo¬
lent purposes. '
But government

give nothing to some without
taking something from others. But
taking without paying replaces

can

freedom with despoilation and in¬
vites the
predatory toentrench
themselves

in the enjoyment of
the spoils. That is where selfdom
to the State begins. That is where
it has begun in America.

1

That.is

thing is working. Instead, they are nate expansion and contractioh of where it must be stopped if Amer¬
ica is to remain
confined to the equality phases of the money supply.
productive and
(4) Taxation by representation free, i
U
"
family life. When the candy is
passed everyone takes one apiece.
the children need something,
the .parents provide it within their
If

Frost!

Washington Ahead of Hie News

ability to pay for it—not because
the children have earned it.
We
are

a

rich

nation

because

of

:

formative

drives home

(Continued from first page)

"Saturday Evening Post" in 1939 Davis

our

specialization in productive occu¬
truthfully; to scream out that pation. So we keep our children
private enterprise has failed, and at home and in school, longer and
that government must step in— longer.
The, academically profi¬
with multiplied bureaucracy and cient often go on to
college and to
a
bigger printing press, together graduate work and then become
with their unlimited capacity to teachers in
jobs financed by the
perpetuate, rather than cure, mal- s^ate or by charity. For many, of
adj ustments in ' production, em¬ them their whole experience in

that

,

some

■

goo d-h e a r t e d

r

The second great
misconception
is that workers are in
competition
with employers, instead of

them, have
I guess, out of each man's

.

ters of all costs. This

time. That, in turn, permits those

privilege of a number of
■workers collusively to
stop work¬
ing* without quitting the job in

to

1, (1) Government is the superior
instrument to coerce.
The eco¬

who wish to do so, however un¬

the legal

deed

and

diffidence that I close my remarks
with

appealingly

Yet count the whole cost

word

to come,
own conscience. So it is with

and

space

time

a

our economy

there.

widely

that

such

as

rather dis¬

.concertingly to bear on the chalk
a
double-entry stealer's anatomy.
advantage here, '-Such principles, and adherence

under

is

came

,

a

forced servitude by quitting a
job
in search of a better one
with

of

operates

system. For

corrective force

produced, where, when, by whom
That, once again, is the pathos ultimate suffering far outweighs,; and at what price or wage, must
in it. <' \
as
I have shown, the gain in its ever be left to the
voluntary and
With this understood, the na¬ seeming alleviation. So also for competitive decision of those conture of monopoly as one of the printing press money; labor -mo*: cerned.
For government to dic¬
tate in these matters is for
great roads to state-isms becomes nopoly and price control;
gov¬
ernment itself to
readily apparent. Thus when re¬
Let's look next at another con¬
engage in the
cession
comes
these
monopolies sequence of high-level, specialized very coercion or monopoly abuse
will certainly strive with all their
production. Let's look right into which it is government's fphction
power to maintain existing wages.
the heart of the family where to prevent. »For the same feason,
Wage cost is at least three-quar¬ children grow up. More and more government • its elf 'should'' never
-

misconceptions.

The first
false identification of the
individual's right to
escape en¬

one

whole;

economy as a

percep-f cepted principle—just

so

it is for the

ment, or by the presence of sen¬ I Take, for example, the matters
iority and other rules designed to T have already mentioned:
In
protect these monopolies against taxation the apparent advantage
of "soaking the rich" is that
worker competition. Such monop¬
they
olies
operate
most
brutally have enough to get along on any¬
against competition of the non- how, and the doing of it seems to
working
with
those • working. leave more in the pockets of the
They tend to create unemploy¬ ill-fed, ill-clothed and ill-housed.

destroyer of the
profit incentive to create new
jobs. It means, in short, that we
power,
and, like all power it may have to take our licking in
tends to feed upon itself and to
be pronounced and prolonged unem¬
abused to the
injury of the in¬ ployment instead of in swiftnocent.
moving, flexible price,'profit and
I think tolerance of the
growth wage adjustments that will keep
of this power;
springs from two most people working most of the
great

which

to

2273

about

the

Davfe,

a

and

-of

oil

operations of one
Pennsylvania operator,

the

efforts

Lewis to help him.
arrange

an

oil

Germany and

of

John

L.

Davis tried to

barter

help.
»;
Senator Styles Bridges 'exposed *

between the

*

government, then
a
bosom
friend of the Washington
Leftists,

t

having

expropriated

American-

oil-.

;

have them

whole

affair

Mexico, the Mexi¬ floor, in the

can

owned

to Mexico City to meet the
Mexican officials, and Lewis contacted his labor friends there tc

the

on

of

summer

Senate

1939

and

the

New Dealers sought1 to1'take;
him off his feet. The late-Senator'
Borah intervened and
Bridges was

properties
and. had permitted to finish. But the
story
theory that the warrant for hav-r plenty of oil to - dispose of. A'Y
is there in the record.
With or
Mr. Rogge reported
ing something is needing it or
to Clark without encouragement from the
wanting it to the extent of some¬ that he didn't find out anything Washington 'p government"
;';t h e
body else's ability to pay for it. about the alleged seditionists but Mexican government had : seized
They have had' had no real con¬ he had come across ibis whale of American-owned
oil
properties,'■;
tact, as in farm life, with working a story; and only seven years old. Guffey and: Lewis had
irtterveiietj
as
the warrant for having. Is it Clark refused to permit the report to help Davis
get this oil to Ger-.
be
any wonder that many of them to
published.
Whereupon many and the New Dealers' cam-:.
should, in all sincerity, think and Rogge
sought to peddle it to ,paign coffers had profited to thte
teach the children that we ought newspapermen all over
Washing-, extent of $250,000.
\
V
all to be one great big family ton and succeeded in peddling it
Davis up until the time of'"his
j
under a benign, paternal govern¬ to a widely syndicated columnist, death claimed
Roosevelt doublement, clothed with authority J to With this start, Rogge embarks j crossed him, and he was so bit^
j
redistribute oroduction according ! upon a profitable lecture tour to ter in 1940 that he contributed
to need and with responsibility expose the "Fascists" within our
heavily to the Republican; cam¬
for keeping everyone happy?
midst, and he doesn't intend to be paign. One of his ' contributions
years

the

,

To the cynical these consider¬ stilled, not as long as the lecture was for $66,000 to pay
; for the
of the inconsistency and ations mean that we should fold fees hold out
anyway,
by; any broadcast which Lewfc: hfecte,., pa
danger . involved. And there may our hands and accept with resig¬ Tories or by Tom Clarktlr,i,
support of Willkie. Lewis, too,
be
some
Mr. Rogge is imposing a,fraud had soured on the
who, knowing better, nation the departure of individual
Great.Man?

norance

.

have

not the courage to act and
If
he
freedom from earth. I am not on his audiences.
really
It is quite an old story,; fully
speak on their convictions.
ready -to do that. Instead, I re- f never heard, of the. Davis story,
publicized in this country not once;
Perhaps underlying all of these member being spanked as a child i with Lewis' implication; < until he but
many times. It is a story that
manufacturers which keeps me
is something inherent itself in the for
having swiped a.. piece of, went,,to Germany, he is pot a
from being exploited.
very-1 Mr. Rogge did not have to go to
Similarly it marvelous mechanism of produc¬ chalk from the school room.
student
of
I close
public affairs
3s the presence of a lot of
Germany to get. But if he insists
other tion and distribution which has
realize now that no one cared Furthermore,, if he is tq prelate it
on bringing it up
little fellows with whom I must
j
now, he should
arisen from the practice of in¬
particularly about the chalk and, now as something new, her,should tell it all. It would be far more
compete to get a car which keeps dividual
freedom in America.
I no one was greatly inconvenienced tell the whole story, and partic¬
me
from
interesting to his audiences.0No>v ^ ;
exploiting the motor refer to the extreme division of
by its removal—except myself! It ularly the part played by Senator that we are
companies regardless of their bar¬
beginning to see the ;
labor, the high degree of produc¬ was the principle of the thing that Joe Guffey of Pennsylvania,; who New
Deal
in
gaining power. It always is the tive
retrospect,-maybe specialization, the singleness was at stake. The stealing of the is slated to go down to*.defeat
they would be inclined to believe.
competition of sellers that pro¬ of each
person's source pf. income chalk represented a small leak in Tuesday by at least 300,000 votes.
tects buyers; the
stories of some of the things that '
competition of and the
ever-widening area cov¬ the dike of moral conviction be¬
Davis, nowdead, had his idea of went
on,
'
>"
buyers that protects sellers; sell¬ ered
- »„
•><
-.
;
by his expenditures. I think hind which we live. And leaks getting oil for Germany, a legiti¬
ers are never in
competition with that
Lewis, incidentally, seems not?- ,\
this
has
resulted
in
tre¬ must be quickly plugged lest they mate idea at the time,; incidental¬
buyers. *.
>'
mendous bias in economic per¬ become torrents. So it is also with ly, as early as 1936. He went to to be annoyed in the slightest by-:
The same is true in labor. The
disclosure.
He s simply
ception and political judgment, the principles of a free society. I see Guffey. Guffey took him to Bogge's
counters by threatening another
<only and everlasting protection of For
example, ask anyone which think that there is some chance Roosevelt. Davis got the impres¬
the worker's independence
national coal strike.
and he would prefer, a 10% raise in that
*.«*ri
apathy towards small leaks in sion that Roosevelt was behind
economic freedom is
We see no
thp presence salary, or a 10% decrease in liv¬ the dike can be overcome before his plan. Whereupon, he contrib¬
particular* ^reasott:4
of competing buyers for his serv¬
ing cost, He will usually choose they become torrents by identi¬ uted $250^000 to the New Dealers' why Rogge should not rertell this
ice, that is, competing employers, the first,
figuring if he can get his fying them as violations of those campaign of 1936. This was the story, if he will tell it all, and 4 »
just as competing sellers are his
single-source income up, he can principles that should be regarded year that Lewis g£ve some $600,- right. But his bandying around of
protection when he spends his somehow
manipulate his" multi¬ as something sacred—principles 000. Roosevelt, Giiffey, Lewis and the names of other 'Americans,
wage as a buyer. As workers form
purpose expenditures to come out derived from having counted all Davis were all happy New Dealers mentioned by Germans as people ■ ;f
monopoly groups against partic¬ with a net advantage. He is
costs
however
deep¬ the
dispersed— at the time, out toimprpveall man¬ they thought might be- sympa-r
ular employers, they
may be shut¬ ly
concerned about changes in principles
derived from having kind. It has nevpj; been fully es-> thelic, is an example of the smear -y?;
ting off each employer from other his
income; but changes of much read and learned the lessons of tablished to what extent the New •tactics to which citizens of this ^
sources of supply to the
monopoly greater proportions in items of history—principles that in their Dealers encouraged the Mexican Republic have been exposed for v
group's own seeming benefit; but his expenditure often fail even to
14 years.
When the Republicans • >
derivation
cover
not
only eco¬ Government to expropriate Amer¬
by that very act they are also get over the threshold of his
per¬ nomic well being, but also indi¬ ican
properties so they would have been voted in, it will be < ;
shutting off other workers from ception. Yet
accumulations
of vidual rights and moral convic¬ have oil to barter to Germany, notice that the Americans are fed
access to these employers.
Thus such
unnoticed
but it is a definite fact they did up. The marketeers of the mears
changes
can tions. Then I hope the small leak,
step-by-step
the
workers
are mount up to far greater conse
instead of going' neglected, will nothing to prevent the seizure or will soon learn that their market
shutting each other out and so quence than changes in the single
Guffey, has gone. . Thus there will be
automatically bring to bear upon recover the properties.
losing the very roots of their in¬ item on the other side of the itself
the corrective force of ae- one of the top New Dealers, took nothing to support the smearers.
ence

of

Chrysler, Ford

and other

.

,

,

,

,

.

.

,

.

,

4

•




THE COMMERCIAL & FINANCIAL CHRONICLE

2274

ship
between individuals
is
that no country has given frowned upon. The Russian news¬
greater and more practical proof papers
give fantastic misrepre¬
of its desire to put these prin¬ sentation of the world outside So¬
cries

Labor Government
(Continued from first page)
in every walk of life have

employer they
of goods

vate

women

the

faced

from which

and

the

hardships

inevitably-, arising
shortages of

continued

the

from

inconveniences

many '

desirable things and by the
fact that the difficult adjustments
many

the

of

postwar period have been

attended

by

few

so

work.

-V'.'!

v-

Minister

The

stoppages of
Labor

of

re¬

counted in detail to you on Tues¬

day

immediate

of

are

matters which

the

of

many

to you

concern

of the wagecountry.
He has

representatives

as

earners

of

this

himself,

as

all who knew him ex¬

pected that he would, brought to
:the arduous tasks of his depart¬

ment-energy, commonsense; and
imaginaton backed by his long
.experience of the Trade Union
He has

on

the basis of the plans

worked out by another great

Ernest

unionist,

trade
carried

Bevin,

through demobilization the reverse
process to that which his prede¬
cessor so brilliantly directed dur¬
ing the war.
The
a

changeover from a war to
peace economy in this country

has

been

a

achievement

remarkable

very ;

reflecting

credit

are

stock

we

producing^
services

and

all derive the

ne¬

cessities and amenities of life. Re¬
strictive

practices

which often had

either

on

side

justification in
the conditions of a past economy
a

the

United

Nations

I

Organization

Our.;Vobjective

success.

establish

peace

is to
founda¬

sure

on

The pro¬ up a world organization, maintain
houses, coal, capital and the armed forces necessary to ful¬
consumer
goods
to
the ; extent fil qui' -obligations.
It is never
which the nation requires depends easy to do this in the years that
oh -the earnest efforts of all those follow a great war, but. I would
engaged in production and distri¬ ask all of you to do your utmost
bution.
Unless they give of their to ;help .us in these difficult times
best the nation will go short.
to get the men which we must
It is, therefore, natural that I, have for the Navy, the Army and
as
the head of the government, the Air Force.
We have already
should ask all of you as leaders done much despite the stringencies
of labor to do your utmost to im¬ of the present time to make con¬
for
the
press on all the simple truth that ditions
fighting forces
worker

just with his

is

not

concerned

own

still less

wage,

somebody's profit, but with

the standard of life

sons

.

I addressed you last we
just had the King's Speech
setting out labor's program. You
know bo.w the promise of that

speech
Great

has

been

social

implemented.

reform

measures

on

a

notable speech

very

by .the Foreign Secretary. There
not very much left to add to

is

what has already been said.

But

small but vociferous
country that seek
on
every occasion to attack the
policy of thjs government, and
Which seems resolved to declare
that whatever, is done, Britain is
always wrong.
I claim that we
are carrying out the principles of
Labor's international policy. That
policy is based on our belief in

there is

a

section in this

have been passed,
Labor's policy
participants, the civil and mili¬
of nationalization has been ap¬
tary authorities, the workers and
plied to the coal industry, to the
the employers. Bank of England, to cables and
But
what
has
been
accom¬
wireless.
The Trade Disputes Act
plished sO far in reconstruction is has been
repealed
The session
only a beginning.
We still have
now
coming jto an end will be freedom and democracy and the
great problems to solve.
George
memorable in history for the ex¬ right of nations to decide freely
Isaacs has spoken to you of the
all

opportunity

have welcomed every
of

between the

intercourse

closer

jsai# workers, but a contrary course if
Tuesday, no one followed. I deeply regret this pol¬
expect that all the difficultes icy, as Lam sure you do. We must

As

the

Foreign Secretary

in the House
can

of

on

tortured

a

world

be

can

hope for a change,
In the meantime, wherever it
.

.

out in 15 months.
Nor is it possible that we should

*

is

;

straightened

possible, we :must do our utinost
from the disorders of the past .to promote understanding.
Here
a complete and orderly
is one of the ways in which, in

pass

decade to

international

structure.

But

the present as in the past, the
great World Trade Union Movemen can be a powerful instrument
for promoting peace.
The discussion with men an#
women of other countries of mas¬

we

With all other nationa;in building
up the? authority of the United

opened by
When

members of the Communist Party,
their dupes and fellow travelers.

of twp great wars to take to
We cannot afford to run

heart.

believing that their system
workers, would

war,

is the best for the

have set ourselves to try to work

risks.
.
We have fust ;had a two days'
and, indeed, the very life, of our
debate in the House of Commons,
country.

had

misrepresentation to
which
we
have becoine accustomed from the

We have the les-

attractive.

more

of the nation

Pledges Fulfilled

ain.
ord

vision of

every

of, denunciation of Britain.

say

ciples into practice than has Brit¬ viet Russia. A wall of ignorance
No great power has any rec¬ arid suspicion is built up between
»
< /
comparable to it.
I notice on the nations.
tions, but we cannot ignore dis¬
:. ■
One would have thought that
turbing features in the \yorld to¬ your agenda that the only reso¬
lution on foreign affairs is one the rulers of Russia, proud- or
day.
We must, ,until we. have
made, greater progress in building Which is* filled withrthe kind of their achievements in peace and
a

out of place today.

are

with

Movement.

Progress in Britain

Thursday, October di,

Nations Organization.

We

are

.

not

following selfish arid imperialistic
aims, but that does not; mean that
at every point we jshorild concede
the claims.of others."
:Sir, you may be ^re .that the

ters ,o£ common interest, the giy>ing and receiving pf - hospitality,
.the joining in -games and compe¬
titions and the visits paid to for¬

.

eign countries, ail. serve to bring
to .promote harmony in the .home to us the great truth that in
world, but the task^bf building on the simple things of life there is
secure 'foundations': the fabric
of far more to unite than to separate
peace cannot be "accomplished by the members of the human family.
In this trade union movement
the actions of governments alone.
There must alsov;be a union of ,we address eaeh other as brothers*
hearts between p&5|>ies.
This is no -meaningless phrase, but
a continued reminder of the basic
government will do its utmost to

try

.

Soviet

It is
world

Policy

the

of the

situation

the movement, that
worker is tbe:

of

principle

the^3yagedies

of

one

of one

cause

of all.

Jhat the Soviet
appears deliberately : T look forward
in the years;
intercourse between ahead of us to a continuation of
shortage of manpower. There are
its having seen the first great acts
the Russian peoplevand -the rest the fruitful cooperation betwee%
also world shortages of food, tim¬
of the world.
me say democracy is becoming a
of socialization passed into law.
They are not al¬ the two sides of the labor move**
ber and raw materials while the
It is often lowed to know what Is being done
We have in this been faithful much-abused word.
flow of consumer
tent

of

its

achievements

for

and

goods, largely as
to the pledges which we gave at
during the past
the general election though for
year, cannot yet overtake the de¬
ficiencies due to six years of war. Some reason unknown to me our
While a good start has been made opponents seem to think this very
in rehousing, the task is immense dreadful and that we ought to
and cannot be accomplished in a have carried out a Conservative
policy.
few months.
•
j
'
- "

it

■'*

lias

increased

I have read with

admiration

and

President

the

They

view.

of

speeches

of

Citrine.

wisdom

They
of ' long

men

who

rience

great interest
speeches by
Lord

and

.fulV of

were

breadth

the

have,

and
were

expe¬

nevertheless,

kept their minds young.
They
ghowed a vivid appreciation of the
changed conditions in which we are
living in the present age, of the

problems

practical

result

that

from this and of the need for us
all to adjust our minds and actions
in order to solve them.
There

/

'•

'

-

than in all the orations delivered
at the Conservative Conference at

Blackpool.
Welfare Depends on Production
'

is

There
a

far

nomic

think

today in this

country
appreciation of eco¬

wider
truth
that

than

ever

everyone

before.

realizes

I

the

over

Health

Bill

local

and

authorities and Friendly Societies
over national insurance.
It is, of
course, a thing any sane govern¬
ment would do; yet, here again,

have

we

not

criticism.
the

escaped

The less responsible organs of

Conservative
a

seek

press

sinister

to

dis¬

conspiracy, while

papers of some weight talk
of the dangers of a State within

even

standard

our

in

war

where it met with

strictures.
I cannot

now

:

tell you

such

no

our

.

.

a, new

ment which are united in a com¬

those

by

who

or

f leclric

world the Communist Party by no
matter what means is in power, that
is democracy.
If anywhere the
Communists

fail,

then,

however

fair the conditions, it is regarded
as Fascism.
Thus, an election in
Greece

results

munist

in

is at once de¬
On the other hand, a

nounced.

are

concerned

to

sion should be

We bave

employment
full

we

need the ethics of

employment.

Employers have

to realize that those they employ
are

be

a

national asset that must not

wasted.

Labor

not

be

owing to failure
up-to-date methods.

must

see

that

,

On the other side, workers also
realize that whether they

must

work for the

State

or




for

a

economic

just and fair.

in

difficulties, in which

great

rival

communities are

na¬

The

and

this regard was received with ap¬

of the

action

or

July

not

government in

Aug.

I would like to say a

few words

7.4

6.5

4.3

12.2

14.3

"lL2

11.9

Aug.

24_i—

Aug.

31—

4,404,192

-

4,184,404
4y521,l51

:

7
—

Sept. 21—

J.

4,506,988
4517,874

Sept. 28_^__;
Oct. 'K, ■-Ti
Oct.

12-^119_———-

Oct., 26_—

1—

4478,092

.

w4<95,220
4,539,7123,914,738 :
-4601,767
3,937,420

14.4% Below Production
According to the National Man¬

not .allowed

to

Association,

ufacturers

shipments of 413
to

"mills reporting

duction for the week ending

19, 1946.
of

Oct.

In the same week-new
these

mills

were

6.9%

production. Unfilled order
of
the
reporting
mills,
to

61%

of stocks.

For

'

on

the international situation.

I stated in the

pri¬ tinue .to do

House,

our

we

utmost

shall
to

As
con¬

make

And

yet there

including
who

some

continue

still people,
m
this country,
with their
shrill
are

reporting softwood mills, unfilled
orders are equivalent to.25 days'

production

at

the

current

Ph

*"»■;

on eta

rate,

i

»l»,fcv v'»

1944

1932

1929

i

1.711.62S;
6.0
3,940,8541,415,704
1,727,225
— 3.2
4,377,152
1,433,903
1,732,031
— 2.1
4,380,930
1,440,386
1,724,728
— 1.9
4,390,762
1,426,986
1,729,667
— 1.8 t 4,399,433
1,415,122
1,733,110
+ 0.4
4,415,368
1,431,910
1,750,056
+12.3
4,451,076
1,436,440
1,761,594
+ 8.0 % 4,418,298 ? 1,464,700 :
1,674,588
+ 6.5 ■ 4,414,735
1,423,977
1,806,259'
+ 7.0 ,. ,4,227,900
1,476,442
1,792,131
+10.1 ,, 4,394,839 . 1,490,863
l,777.85i4
+ 12.1 ; 4,377,339 >'1,499,459,
+11.9
4,365,907
1,505,216f 1,819,278'
1,806,403
i+,11.2 ;,4,375,079 ,1,507,503
+14.3
4,354,575
.1,528,145
.1,798,63?
1,824,160
+16.0
4,345,352-1.533,028
.'1,815,748
+16.9
4,358,293
1,525,410
—

►

and gross; stocks are equivalent tb
40 days' production^ "
"* ,r ' ' •
For the

year-to-date, shipments
reporting -identical imiils .ex¬
ceeded -production by ;0.6%; or¬

of

ders

were

Trade

Barometer were 14.4% below pro¬

amounted

hear of it.

dumber

Lumber

the ' National

■

under 1945

3,978,426
4,295,254
4,384,547 ;
4,434,841 4,432,304
4,395,337
3,939,195 ;>
r
4,116,049 '
4,137,313
3,909,408
4,106,187 .
4,018,913 .4,038,542
4,028,286"*
v" 3,934,394 T

Weekly Lumber Shipments

files

- were

J

(Thousands of Kilowatt-Hours)
(fa

1945

—

;

Sept, 14

Oct.

...: ;•

-

"4.352,489
4,351,011
I S&411.717
4,422,242
4,4.44,040

17

Aug.

dSflHjv

4,156,386
*4,293,280

1-

10

below

the

•

16.8

16.0

i*

;

1.2

17.7

—

3

Aug.

orders

throughout

?

9.0
17.3

16.5

^;1940

27—:

the .people,

Situation

9.3
19.5

*165
16.0

r

»■<

whole

proval

The International

9.6

8.1

■;

11.7
24.1

:
•

19.1

FOR RECENT WEEKS

DATA
_•

world except in those areas where

prosperity.

10.1

14:7

7.0

Total United States

„

8.9
'

people has been formed.;; In India,
we
have formed a government,

world whereby we and other

in peace

7.8

13.3

•

9.T

9.9

28.4

.;

Sept.

great

Sept. 28

Oct. 5

9.7

.13.4

Coast

complete independence in
place of the mandate.. In Burma,
even prior to the elections, a gov¬
ernment which is designed to be
more in harmony in its composi¬
tion with the aspirations of the

given

two

,

12.8

9,7

States—

Mountain-

Pacific

.

10.9

15.4

.

Rocky

12;

8.3

7.9

.

Central—

Southern

Oct.

Oct. 19

Oct. 26

.-

West

WEEK LAST YEAR

OVER SAME

—Week Ended—

2'

England

July
6
JuljT13—;
July 20—

tions

advance

New

During this past year we have
put our principles into practice. In
the Colonial Empire new consti¬
tutions
giving wider powers of
self-government have been intro¬
duced in Ceylon and in other col¬
onies.
In Transjordania we have

in association with Britain

may

PERCENTAGE INCREASE

Major Georgraphical
Division—
'

Week Ended—

task,
internal

conditions

week in 1945.

'

after

kwh., pro¬

the

the

to

misdirected
use

and

same

-double

a

The current figure also compares with 4,539,712,000

which was 16.0% higher than,
the 3,914,738,000 kwh. produced in the week ended Oct. 20,1945.
The
largest increase was reported by the Southern States division which
showed a gain for the week ended Oct. 26,. 1946 of 31.3% over the

majority

,

To match the economics of full

OnlpyV for Week Ended Oct. 26,1946

duced in the week ended Oct. 19, 1946,

anti-Com¬

an

represented.; We have invited the
elected "< representatives
-.of
the
the one to. deal with our
people to choose freely the kind
problems, the other to play our of government they desire and to
part in establishing the political decide whether they will continue
world.

kwh.

supervised internationally

which

method of arriving at the conclu¬

'

.today of

of life

-engaged in industry, employers
•and employed alike, ■+.•>;';
'

used

understood

plebiscite taken where the Com¬
a State.
We shall not be deterred munist Party is in power is re¬
by this kind of talk from con¬ garded as the sacred voice of the
We, as democrats, are
tinuing the close cooperation of the people.
State with organized labor which not concerned to decide for other
We
is not less essential in peace than people how they should vote.

future legislative program because
depends
the
new ^ session
has
not' yet
on what we
can produce.
Labor
begun, but you ,may be assured
is the source of our well-being. It
that Labor's program, based on a
must be applied intelligently and
well-thought-out plan,
will
be
economically and energetically if
steadily implemented.
It is no
we
are
to
produce for all our
hasty improvisation of measures
people the material basis of a
designed to appeal to sectional in¬
good life; I can remember not so
terests, nor is it a collection of
long ago when our rulers told us
that it was more economical to platitudes such as was recently
served up instead of a
program
keep men idle than to find work
to the Conservatives, at Blackpool—
for them.' No one says that today.
the hungry sheep looked up, but
We-are living in a period when
were not fed—but a coherent plan
there is a pronounced shortage of
for adapting our economic and so¬
'labor. jFull employment is a pol¬
cial structure fto the needs of this
icy not only socially desirable, but
nation in the modern world, v
economically necessary. This fact
f I stress the point in the modern
requires,
outlook-from those

that

prevent

.

16.9% Ahead of Thai for Same Week Lasl Year

cover

practical states¬
these two speeches

in

Government

to

have never and thought by their fellows in
mon cause—-the service of our felrpracticed demo¬ other* parts of the world.
The growth of personal friend¬ low men and women.
cratic
principles
to
mean
the
achievement of power by hook,
or more often
by crook, by the
Communist Party, while freedom
means the denial of liberty to all
We have also, in bringing for¬ those who refuse to accept the
ward our measures, legislative and Communist philosophy. Everyone
The Edison Electric Institute, in its current weekly report, es¬
administrative, consulted as fully Who does not take his orders from
the Communists is described as a timated that the production of electricity by the electric light and
as possible with the Trade Union
power industry of the United States for the week ended Oct. 26, 1946
Movement just as we have also Fascist. " The ~criterion by which
was 4,601,767,000 kwh., an increase of 16.9%
over the correspond¬
consulted with other organizations these people judge their action is
a simple one. If in any part of the
ing week last year ,'wnen electric .output amounted to 3,937,420,00#
such
as
the
medical
profession

was more

manship

for themselves the kind of- govern¬
ment and society they desire.
Let

cause

0.3% below.

Compared to the

'

\

*

average corre¬

sponding week of 1935-1939,
duction
of reporting mills

pro¬
; was

7.0% above;.shipments were 5.9%

below;

orders

Compared
week

to

were

the

9.4% .above.

corresponding

in

1945, production of re¬
porting mills was 64.4% above;
shipments .were.53.7% above;, an#
new-

orders

were

73.3% above.

^

Volume 164

§S

Number 4538

,

THE COMMERCIAL & FINANCIAL CHRONICLE

■

pared with the output in the corresponding week of 1945, there was
a decrease of
34,000 tons, or 2.7%.: The calendar year to date shows
an increase of 8.9%
when compared with the corresponding period

Moody's Bond Prices and Bond Yield Averages

18—-

Moody's

,

computed

prices! and bond yield;

bond

giveij in the following table;

1946—
*

U.S.

Daily
Averages
Oct.

Bonds

hive

Aaa

Aa

Corporate by Groups*
Indus.

25——

P. U.

116.41

121.04

119.20

116.02

109.97

112.00

117.60

121.04

119.20

116.02

110.15

112.00

117.60

120.02

116.41

121.04

119.20

116.02

110.15

112.00

117.60

Baa

121.77

116.61

121.04

119.20

116.22

110.34

112.19

117.60

116.61

121.04

119.20

116.22

110.52

112.19

117.80

116.61

121.04

119.20

116.22

110.52

112.37

117.80

116.61

121.04

119.20

116.22

110.34

121.43

116.61

121.04

119.20

116.22

110.34

121.43

116.61

121.04

119.20

;2i—
;

-

19—

'

:

14

110.34

112.37

117.80

121.04

119.20

116.22

110.34

112.37

117.80

119.'20

11,,6.22

110.34

112.37

117.80

121.04

119.20

116.41

110.34

112.37

117.60

119.82

116.61

121.04

119.00

116.41

110.34

112.37

117.60

119.82

116.61

120.84.

119.20

116.41

110.15

119.00

116.32

110.15

Stock

10-——_

;
'

1198

116.41

117.60

119.82

"Total incl. coll. fuel

112.37

117.80

119.82

110.34

112.37

117.80

119.82

tCommercial produc.
Beehive Coke—

121.02

116.80

119.00

116.61

110.34

112.37

117.80

120.02

United

121.02

116.80

119,00

116.61

110.52

112.56

117.80

120.02

121.05

116.61

119.00

116.61

110.34

112.56

117.80

119.82

120.77

116.80

119.00

116.61

110.52.

112.37

118.00

110.34

112.37

118.00

119.00

116.61

110.34

112.37

110.15

112.37

117.80

110.52

112.75

117.80

119.61

117.00

111.44

£ 113.89

120.02

117.80

112.19

•

120.43

118.00

112.37

120.84; 118.20

—

112.37

115.04

120.63

118.20

118.00

120.22

114.46

113.60

120.84

114.85

118.80

119,00

121.23

121.46

Georgia and North Carolina——

119.20

131.46

Illinois

H9.20

121.46

119.00

121.04

116.02
116.22
116.41

119.41

^

113.12

;

121.04

117.40'm 120.29 -122.09

113.31

High

•

120.22

122.09

'

114.46

1946

119.41

115.63

122.09

r1

;

2 ,Years Ago <
Oct. 28, 1944-

■

1^1

„

'

119,36

,

."I

.

112.55

(Based
U, &
Govt;'
Bo'nds

Daily

P-'S

t

112.93

•

y

103.47

Corporate by Ratings* Aaa

Aa

A
Av

V-

-

Baa

2.60-

2.69

2.85

3.17
3.1

28—

1.59

2.60

2.69

2.85
2.85.

3.16
3.1

26—

1.60

2.83
2.83

2.60

2.69

2.85
2.85,

25——

1.60

2.82

2.60

2.69

2.84
2.84

1.62,

2.82

2.60

2.69

2.84

f

23

1.63
1.63

19——

n

V..v-

:

•■^;"V

-;V.

.

P

vr

5

2

2.76
2.76

on

2.65
2.6?

Panhandle

2.69

2.84

3.15
3.1

•3.04

2.76

2.65
2.6?

Oregon..

2.84

3.15
3.1

2.69

2.82

2.60

2.82

2.60

2.69

2.65
2.6?

3.04

2.76

2.84

3.15
3.1

3.04

2.76

3.15
3.1

3.04

2.76

2.83

3.1
3.15

3.04

2.77

2.66
2.66

2.70
2,70

2.83

3.1
3.15

3.04

2.77

2.69
2.69

2.83

3.16
3.1

3.05

2.77

2.70

2.84

3.16
3.1

2.77

2.71

2.83

3.15
3.1

2.77,

2.71

2.82

3.1
3.15

2.76

2.66

"2.82
2.82

2.59
2.59

2.71

2.82

3.15
3.1

2.76

2.66

2.82
2.82

2.59
2.59

2.70

2.82

3.15
3.1

2.76

2.81

2.59

2.70

2.82

3.1
3.14

2.76

2.65

2.82

2.59

2.70

2.82

3.15
3.1

2.76

2.66

2.81

2.59

*2.70
2.70

2.82

3.14
3.1

2.75

2.65

2.82

2.59

2.70

2.82

3.15
3.1

2.75

2.66

2.82

2.59

2.70

2.82

3.1
3.15

2.76,

2.66

2.82
2.82.

2.60

2.70

2.82

3.16
3.1

2.76

2.66

2.82
2.82.

2.60

2.79

2.58

1.63

-

1.58

.

■'

2.70
.

2.82

3.14
3.1

2.76

2.67

2.68
2.68

2.80

3.09
3.0

2.75

2.64

3.05
3.0

2.72

2.71!

2.70,,

2.58

2.54

2.65

2.76

2.52

2.63

2.75

2.73
2.73

2.51

2.61

2.74

.

:
.-

1.51

2.73

2.51

2.62

2.74 ;

3.04
3.0

2.70

2.59

■1ft 1:::::::

1.51

2.72 '?
2.72::■'

2.50

2.61

2.58

2.72

2.50
2.50

2.61

3.03
3.0
3.0:
3,03.

2.70

1.51

2.74,
2,74

2.70

2.59

26_

1.49

2.73
2.73,

2.50

2.60

2.73

3.03
3.0

2.69

2,58

1.43

V

12-'—

:

26——..

LOW;

2.69

2.58

3.03
3.0:

2.69'

2.56

3.04
3.0

2.69

2.58

2.49

2.59

2.73

3.03
3.0:

2.69

2.71
2.7i

2.51

2.58!
2.58<.

2.73

3.03
3.0

2.70

2.76'
: 2;70^< 2.49

2.59
2.59,

29,

<

2.58
2.60

•

2.73

3.003.0'

2.68

2.60

2.46

2.54
2,54,

268
268.

2.94
2.94 ;

2.64

2,55

2.67

2.49

2.56

2.70

2.94
2.9

2.64

2.55

2,50—
2£0-

2.59'
2.59'

2.70:
2.70:,

2.68;

2.55

.

,

2.70
2.70

1.68

■1,31

,

2.66
2.66,.

V'

1.31.

1946——

l year

:;

1.33

.

1946^-L^-

"

Oct.

3.04
.3.0-

2.72
2.72

2.72
2.72

1.36
—

25—-—

High

2.73

2.59
2.59
2,59
2,59

j

1.48

1.45

,

Mar, 29—

F^b,. 21,
Jan,

2.59

2.48
2.48

2.49
2.49

'j

1.47

31—

Apr,.

2.49
2.49

2.71 v
2.71..

1.46

June 28
May

2.71

2.71
2.71
2,71'
2,71

1.47

5

v

2.65

W

>

-

2.71

2.45
2,43

2.53

2,69.

•

3.1
3.17'

2.77

2.67

2.61

2.83
•

n

2.99
,2.9

2.9
2.93

2.63

2.84

318,.

2.85

2.67

2-53

j

Ago,

"1945-

1,56 w.2.83,..

2,61

.3.01.

2,83v

>>

2.6^

"2 Years Ago

Oct,
•

1,88.

28, ;1S44_

level

coupon,

or

illustrate

;

3:03_ 2.73

the
in

maturing in 25 years)

2.82/

.

on

and

3.-01.

yields

do

not

on

3.54

330 v

,

2,99,

, .

2.79

the OPA

was

index stood at
1939

average

list

used

in

.

compiling

the

averages

was

given

in

the
•*'

172.4, and

as

at 141.5, .all based on the 1935-

a year ago

and fresh killed chickens. The farm

V> Productidn of Pennsylvania anthracite for the week
ended Oct.
19, 1946, as estimated by the Bureau of Mines, was 1,203,000 tons, an
increase of 8,000 tons, or 0.7%, over the
preceding week.
When com-

a

charge,

panel, discussion:

panel members include / Richard
J. Barry, Hartford Chapter; Al¬
exander J. Guffanti, Springfield
Chapter; James MacDonald, Prov¬
idence
Chapter; and Martin J."

To

^

f

Drop NWSB Slowly

;

Although Indicating, no change
in his earlier expressed intention?

ports that no formal action

could'

expected to end the activities
the National Wage Stabiliza-:

be

of

of

controls to dis¬

would allow wage

gradually as price regula¬

appear

eliminated. Pointings
that the Government drops ap¬

tions
out

were

portion of ' wage ' control every,
time, the Office of Price Admin--,

new

a

tabulated

the- major-

follows

as

the wage

controls maintained oyer

fractionally; Most; grains: were up. Prices a^yanped < for- cattlei structure by NWSB:
bogs/ sheep^. and wool; they were lqwer, for, calves, eggsn. an4; liye. 1. Wages of construction workers

rose

poultry. The miscellaneous commodities group was higher and re¬
flected,, highep, quotations for feedstuffs* The textiles and farm, ma-?

jcbineryv indexes advanced;
V
i]y, ^puting. tb.e i week ^1 price series, in the/indest adyance<|' aiid. 1^

WEEKLY
;

Eachdiftupy 1

.

.

..

Grqup.

-

•;

"

-

i

1946

.

—

'

1946

;
;
206.2
——287.4..

Foods

--

,r> '

1946

Yeas
Ago.

245.6

WSB.

145.2

'

1 284.9

Cottonseed Oil-

i

1

Farm Products.

202.3?

213.7

?

Cotton

/•;

—

——

237.7
331.1

—

1

V

Livestock

163.1

329.0

220.3?

218.0<
224.0

215.3'

171.6,;

356.9

230,9

233.2"

Grains—
'

:,

222.4

219.0;'

' 192.3

165.2.;
166.0

i-

17.3

Fuels—

154.2.;

154.2:

154.2 '

129.9

|

10;8

Miscellaneous commodities—

149.5

144.7

143.5

132.8

Textiles-

8.2

i

7.1

207.83

—"

!

Building

—

materials—;
Chemicals and drugs—

1.3
.3

Fertilizers

.3

Farm

♦Indexes
Oct. 27,

on

1926-1928

1945, 110.2.

base

159.9

124,5
178.6
128.2

109.8
154.7

124.3

124.3

116.6 ";

'

were:

!

Oct.

26,
,

1946,
3

178.4

<

143.6; Oct. 19,
,

12?-^

1^6.2
119.9

116.5

116.5

194.4

machinery

All groups combined

100.0i

207.7

125.0
178.5
128.2
122.5

,122.5
124.3

Fertilizer materials

.3

206.0;

125.0/,
173.5'
128;2

.

Metals—

6.1

i

105.0

172.4

141.5

1946, 139.0; and
-

1

'

•

'

•

'

1945

144.4

189.7

.

if the pay

Oct. 27,

'.183.5

192.6

'

23.01

3.

'

in building,

approved by WSB only
hikes are to be used;
as the basis for, seeking ceiling
price increases from OPA.
Wage decreases below a; cer-%
tain base must be approved by,must be

■

:•

5

by the Wage Ad¬

allowed

justment Board, a part of WSB.
2. Wage increases granted by em-

>

■■

"frozen" except as increases

are

INDEX

'
' '
•
Latest Preceding Month;
^vV;:.,Week:'
Week*
Ago\
'
Oct. 26, Oct. 19, Sept. 28,

1935-11939=5=100*

?

25.3

are.

l?;v adyapcod, and 8.. declined.

WHOLESALE COMMODITY: PRICE

CompUed by The National Fertilizer Association

•

5
r

P; ployers, other than

/ajdyaniQed.andiD^e^qo^

jieclu^jjnibep^e^
%et%^;preiedlpg' lyeek

was

v-

index advanced and there

products group moved to

.

5,947,000 tons, the "low" for the year.
During the calendar year
through Oct. 19, 1946, the cumulative production of soft coal was
approximately 426,411,000 net tons, a decrease of 7.2% when com¬
pared with the 459,573,000 tons mined in the comparable period of

in

Irwin

Dr.

specific as to when and how that $
policy is to be executed. He was
inclined to lend support to re¬

100. The Association's report continued as, follows:

*pVprvpV'- irbt&l'lhdex

The total production of bituminous coal and lignite in the week
Oct. 19, 1946, as estimated by the United States
Bureau of
Mines, was 12,510,000 net tons, an increase of 260,000 tons, or
2.1%,
oVer the previous week.
Output in the corresponding week of 1945

Commodity Price

declines. The. foods index showed the most substantial rise,

Septf 5, .1946

ended




will be

of speeding wage decontrols, Pres-ident Truman has declined to be?

highbte^oiywith each of'its three subgroups adyancipg^ CpttOh prices

Weekly Coal and Coke Production Statistics

v.

with

nowv

Fats and, oils

through Oct. 20.

sion,
there

something from!
quotations for butter, floury meats* bread,' lard, salmon and 'cotton¬ istration frees
seed, oil, more thin offset lowex; Prices for cheese, potatoes, oranges, price control,* the same advices

I

1945

preside at the dinner, which
begins at 6:30. At the evening ses¬

-

jmcreasing,.; 7.1% during the week,, Prices.; were mixed, but higher

|

:

'

Five of the component, groups of, the
were no

the basis of one?Vtypicai:;-b»mii
to show either the'average

movement of actual price quotations.
They merely? serve ' to
comprehensive way, the, relative levels and. the, relative movement,
the latter .being the true picture, of the bond market.- P; V.
^ V

the

tion Board,
Washington advices
Oct. 24 to the "Wall Street;
21,6% higher, than it was just, before Journal'' stated, adding that it ap-,
suspended the. last week of June, A month ago the peared that the Administration,

more

NOTE—The

of

Chamberlain, member
AIB
Executive Council,

will

and Clay counties.
JRest of State, including the
and Tucker counties. ■ § Includes Arizona and

Mason

and

high level, the index is

purport

Issue of the "Chronicle" On page 1321.,

Howard R.

the N. & W.; C. & O.; Virginian; K. & M.; B. C. & G.; and

Kanawha,

Fertilizer Association and made public on< Oct. 28/continued 4ts ad¬
vance and reached a new high level in the week elded Oct* 26, 1946
when, it advanced to 184.4 from 178,4 in, the preceding week, At this

average
a

of, yield averages,
,

,t,

'These prices are computed from average

(3%%

in

Grant, Mineral
♦Less than 1,000 tons.

2.59

3.04
3.0

2.75

2.73

1.52

16—

.

O.

District

The wholesale commodity, price index compiled by The National

2.61

3.04
3.0

.

1.55

—

2.65

;

of the AIB.

Director

Educational

Travers, Buffalo Chapter.

Index Continues: Advance

2.66

2.59

1.67

6

&

2.66

2.61

1.68 *

23-

.the B.

National Fertilizer Association

2.66
2.66

2.82

1.65

Aug. 30

tIncludes operations

I

-

2.66
2.66

•

'

2.83

*

Chapter; J, E. Potts, Boston Chap-?,
ter; and Leroy Lewis, Associate

2.65
2.6?

1.65

-

y

12,250,000

2.66
2.66

2.69

the

at

O'Neill^

Executive

-

.

468,000

2.65
2.6?

2.84

:

AIB

6,220,000

*

Total bituminous and lignite—.

2.65
2.6?

1.67

—

12,300,000

;

2.76

.

luncheon
J. Vincent

the

Hasse,; Jr.- of the-New Haven.
Chapter; Frederick G. Bascom,
Glens
Falls J- Study : Group;
Dr.
Graeme
E.
O'Geran,
Syracuse-

2.65
2.6?
2.65
2.6?

;

an-,

Council, will preside over a pro¬
gram
to / be
presented
at
the
luncheon. Dr. William A. Irwin,
National Educational Director,
will speak. At the afternoon ses¬
sion David ^T.
Scott, immediate,
past President of the AIB will
preside. Speakers include William-

214,000

SOther Western States—

2.76

2.69

240,000
628,000

3.05

2.60

127,000

183,000
*

3.05

2.60

2,000

2,225,000
937,000

181,000

——

"3.04

2.60

29,000

1,000
134,000
389,000*

tWest Virginia—Southern—2,176,000
tWest Virginia—Northern.
852,000

Wyoming

3.14
3.1

2.82

62,000

1,070,000

2,979,000
149,000

24,000

3.15
3.1

2.82

13

*V7i

2.77

%

201,000

21,000

: 3.14
^3.1

2.82

20

-

2.77

1.65

—

Sept. 27

'

3.06

3.05

1.65

'

——

IPvp 1-——

v'VV.

3.16
3.1
3.15
.3.1

•

30,000
57,000

>

76,000
801,000
? 47,000'

1,000
163,000
390,000

'

■

73.000
'

21.000

2.65
2.6?

1.65

—

3

>

2.77

1.65

.

■

4

i

3.06

1.65

8

,

Corporate by Groups.*
R. R. ;: P; U,?'
Indus.
2.66
2.77
1 3.06 .V::2.77
2.66

1.65

—

9

i

Virginia-

2.84 ;

1.65
2.82
2.61
Stock Exchange Closed
1.65
2.83
2.61

—

10—

•

Utah

31,000

,

2,975,000
134,000

(bituminous and lignite)

2.84

1.64

—

14

Texas

60,000

2,000

1,000

829,000

(bituminous)

Tennessee————

2,69

1.63

12

Pennsylvania

37,000

32,000

69,000

(lignite),
—

Oklahoma——.1.1—.

2.69

1.62

•

15

O

.

1.63

piVV 16

:v

1.63

.

113.31. 117.20

—

2.60

2.82

V'17——— '

;

—.

and South Dakota

2.60

2.82

21

107.62

(' f ■'/V*

;

148,000

429,000

'

42,000

Mexico;^—30,000

Ohio

2.60

2.82

1.63

;

(bituminous and lignite)

136,000

4l0,00d

v

30,000
l.COO"
99,000

—

Washington

2.83

22

-

Closing Prices)

1.59

VP. ;!24

120.01

YIELD AVERAGES

on, Individual

rate*

29

P,"!

.

116.41

112.91

—

-

,

1,107,000]
.j,:

—

•

Oregon,

conference will;

F.

1,432,000
194,000
38,000

29,00d r
124.00Q :

Kentucky-r-Easterni—• 1/158,000
Kentucky-r-Western
—404,000-

Maryland,'—

7,000
36.0UU

158,000
1,000

.

1,000
1,385,000
557,000

«-

'

116,000

———

1945

377,000

>

33,000

^

and' Missourij

Kansas

7,000

152,000

1,000
1,378,000
575,000
26,000

:

L—

Montana

109.79

116,22

116,61

BOND

Avge„.
Corpo-

Averages ;

V'l

.•

118.40

MOODY'S

1946—

•'■

Iowa

North

119,20

———;

j

.

,

387,000;

150,OOd

^..

Indiana;

New

vl year Ago

'VP;-

-

39,000
^

Michigap

109.97

with a
Parker House.

member:: of

Oct. 13,

Oct. 5<ri
1946

-

7,000

————

119.20

115.82

LpW; 1946—-

:

,

'

.

the

open

t

'

Portland,
that

nounces

authorized

from

tech-,

problems

Bank of California National Asso-v

2,810,900

WeekEnded-

1946o-

.

Colorado

116.02;

J$ai 25.,-,—

Vil-P

State—s

•

Arkansas—

119.20

4,397,400'

operators).)

—

Oct. 12,

121.46

1 119.20

..

""

*

121.46

115.63

114.27 ; 116.41

r

's

'

•

.

113.40

114.27

•

1

"*<

Alaska—

21—

'-

and State sources or of final anpual
returns from the

Alabama--—375,000

112.56

-

3,349,200

.

IN NET' TONS

121.48

115.63

41,611,000
39,530,000

weekly estimates are based on: railroad carloadings and river ship¬
subject to revision on receipt of monthly tonnage reports from district

are

121.25

112.56

116.41, 12Q.84

44,680,000
42,960,000

current

and

119.00

26

'

tExcludes' coUiexy fuel.,

119.00

112.37

122,84

48,637,000

and

Institute
classes.
George
J7
Greenwood, Jr., President of the
AIB and assistant manager of The

23,:

1937

46,762,000

conference

teaching

of

Oct.

■

Boston

the

objectives,

ciation,

115.24

112.56

20,

1945

coal

and

115.43

112.56,-

1945,

1946

shipped by truck
fSubject to revision,
iRevised,

coal

112.56

Feb.

•

dredge

112.56

Mar*29—

P

and

118.20

112.37

Oct.

Oct. 19£

V

19,300

118.20

s-—-

Oct.

washery

116,500

120.84

i?———

'

114,500

The

consider

niques,

>'" V*

BY STATES,

(The
ments

121.46

115.24

112.37

^

will

COKE

.;- •

1,237,000
1,189,00Q

1195,000:
1149,000

'

AND

Calendar Year to Date-

120.84

—

...

Oct. 20,

IV 1945

121.25

119.00

§Oct. 12,'V

121.04

Oct. '29,

1945

ESTIMATED WEEKLY PRODUCTION OF BITUMINOUS;, COAL AND' LIGNITE.

119.82

116.61

119,41

—

operatiops,;

117.80 -V 119.82

116.61

119.00

May 11—

■

Oct. 20,'

•

<

cember.

PENNSYLVANIA ANTHRACITE

i 7 1946

1,203,000
1,157,000

total

♦Includes

119.82

119.00

„

States

120.02

116.61

June 28

.

.

119.00

26-

Apr.

112.00

110.34

19——-

;

,

110.34

116.61

:•

1946

5,947,000 426,411,000 459,573,000
991,000
1,743,000.
1,861,000

^Week Ended-^

116.61

;

tOct. 19,

1945 ;

2,042,000

1946

116.41

9^—

July

of Banking to attend a regional
interchapter faculty conference at
House, Boston, on Sat-:
urday, Nov, 2. This< is the first,
of two conferences to be held in,
;he East this year; the second will
be held in Philadelphia in De¬

AND LIGNITE

Oct. 20,

1946

v

(In Net Tons)

•

,

118:80

-'21..

chapters and study,
groups of the American Institute

—Jan. 1 to Date—

*Octvl2,V '

2,085,000

Penn Anthracite—

.

118.80

16i.

'

•

119.82

118.80

Ahf. 30-u.—
;y>P23j
:

119.82

117.60

116.61

20—,—
13———
6,

•

117v60

112.19

116.80

1——

-

COAL

educational

and

of 32

the Parker

12,250,000

'V:

121.05

Sppt.27i

BITUMINOUS

12,510,000

JOct. 19,

120.84

2-,

I

112.19

.

ilvvv'

Exchange Closed

121.05

4

■v

'

——

.7

fuel—

PRODUCTION OF

121.08

8--.

OF

instructors

leaders

tSubject to current adjustment.

ESTIMATED

—

9T~

.

♦Revised.

•

121.08 I 116.41
•

Invitations have been extended
to

119.82

116.61

Total, including mine
Daily average

120.02

121.04

Oct. 19,
1946

120.02

116.61
116.61

121.11

—

12--

'

PRODUCTION

■Week Ended-

120.02

121.20

.

,,

UNITED STATES

Bituminous coal and lignite—

120.02

117.80

121.30

;> 15—U—

;•

117.80

112.37

121.43

'

16

116.22

112.19

.

121.45

-

17

V

Inlerchapter
Faculty Conference

'

■

(In Net Tons)

120.02

121.36

i

>

,

ESTIMATED

120.02

121.36

—

'

in

,120.02

121.55

J';22-———

■

coke

120.02

A

23——

*■;

■

viv

v;

,

,

119.82

116.41

121.77

24-

R. R.

121.83

26

,

,

reported that the estimated production of bee¬
the. United States for the week ended Oct. 19, 1946,
showed a decrease of 2,000 tons when compared with the
output for
the week ended Oct.; 12,; 1946; but it was
95,200 tons more than for
the corresponding week of 1945.
.
K *

PRICES

Average Yields)

on

Corporate by Ratings*

rate*

'

'

AIB

The Bureau also

BOND

121.83

29.

-:;:.p;p:28;~
,

Corpo¬

of 1946.

Avge.

Govt.

..

.

are

;

VP MOODY'S

(Based

averages

2275

—•

•

Moody's Daily
Commodity Index
Tuesday,

Oct. 22, 1946-,---.-——Oct. 23—-————

Wednesday,
?

Thursday, Oct. 24^

———---

Oct. 25
Saturday, Oct. 26
Monday, Oct. 28
Tuesday, Oct. 29
Friday,

Two

Year

—
—
—

—

ago,

ago,

ago,

1945 High,

1.

Low,

1946

High,
Low,

Dec. 27-—
Jan. 24

-i—
—

15

Oct.
Jan.

2

356.0
357.8
353.3
3d1.6
347.9
348.2
371.6
337.6
262.0

Oct. 15
Sept. 28—
Oct. 29
——.

weeks

Month

--

353.5

———

265.0
252.1
371.6
264.7

THE COMMERCIAL & FINANCIAL CHRONICLE

Daily Average Crude Oil Production for Week
Ended Oct. 19,1946, Decreased 4,800 Barrels
x

The American Petroleum

erage

4,732,600 barrels,

was.

preceding week. It
day

however,

was,

figure,

equivalent

and

estimated by the United States Bureau of Mines

as

October, 1946,

Daily output for the four weeks ended Oct.
19, .1946 amounted
4,746,000 barrels.
The Institute's statement further adds:
-

;

whole

barrels

a

of

to

ran

gasoline;

1,890,000 barrels of kerosene; 5,666,000 barrels
fuel,- and 7,509,000 barrels of residual fuel oil during the

of distillate

week ended Oct.

of finished and unfinished
gasoline; 21,207,000 bar-

rei^Qf kerosene;

DAILY

AVERAGE

CRUDE

I

OIL

PRODUCTION

State

\J,;

*B. of M.

V

'

,

:•£'

Calculated

Allow-.

$

Week

rr.

'

'

Ended

Oct. 19,

October

Oct. 1

1946

,

••♦New York-Penna.

48,200

Florida

Virginia—

;:

Texas—

30,300
45,300

50

5,650

350

209,350

30,650

4z,i0

700

800

—

4,250

270,400

+

270,000

+267,050

353,625

1353,650

1,000

354,150

273,950
361,250

This

was
an
increase of 32,323
(or 3.6 %) above the preced¬
ing week and 157,959 cars, or
20.4%
above the corresponding
week for 1945. Compared with the
similar period of 1944, an increase
of 25,761 cars, or 2.8%, is shown

cars

146,100
454,850
216,300

39,600

40,250

319,550

tion

102,450

102,860 "

United States for the week ended

;

•,

—

Dist.

VI

:%

District VII-B

;

District X.

—Cii'vl-V'1.

•

.•vgv

84,950

84,950

Z.v^.jbO

^,UbJL.5nU

; 88,650

71,400

305,200

285,000

LqjUisiahS

Total Louisiana.

383,000

436,000

77,000

80,284

—

Mississippi

3j4,800
;

60,000

—

.

129,450

89,200

•

2,120,000 12,064,032

.

Nortiv tbiilslana__„««

Alabama

19, was 105.1% of mill ca¬
pacity, against 105.9% in the pre¬
ceding week and 96.5% in the like
1945 week, according to the Amer¬

27,350

305,600

Texas-,.

'

100,000

m

•

73,500

76,250

2,250

74,300

52,000

50

1,000

50

••

-

99,100

"50

450

100,000

'i

75,000

99,150
'
450

.

400

...

CSalifernia

V

2,100

24,850

650

24,250

20,300

37,600

50

38,600

880,200

5,100

873,550

818.300

4,800

4,746,000

4,236,850

1,850

65,500

59,500
UJ)UUl,

§842,500

4,771,000

4,732,603

Business

above)

64,950

—

103,700

102,400

v*

condensate

and-' iiatural

oil
oil

vAic

—

derivatives) based | upon certain
detailed forecast for the month of October. As requirements
be supplied Either from stocks or from new
production, contemplated withdrawals

may

outlined

in

gas

Its

from crude oil inventories must be
deducted from the Bureau's estimated requirements
to determine the amount of
new
crude to be produced.
In some areas the weekly
do, however, include small but indeterminate amounts of condensate
which
IS mixed with crude oil in the field.
*
,

J>b:'tOklahomat Kansas, Nebraska figures
Includes
several

shutdowns
fields

shutdowns
for

7

pet basic allowable
and

which

exemptions

were

exempted

,

^

v

,•>-

and

Oct.

the

calculated

1

entire

entirely

and

10 days,

on

month.

of

With

other

certain

the

fields

the entire State

exception
for

ordered shut down

was

days,

no definite dates during the month
being specified; operators only being
tp shut down as best suits their operating schedules or labor needed
to
operate leases, a total equivalent to 7
days-shutdown time during the calendar month.

required

SRecommendation of Conservation Committee
of California Oil Producers,

'•'

>•<•'•

CRUDE

RUNS

TO

33, the
week in

any

AND

PRODUCTION OF GASOLINE; STOCKS OF
FINISHED
GASOLINE, KEROSINE, GAS OIL AND DISTILLATE FUEL

RESIDUAL

FUEL -OIL,

WEEK

ENDED

OCT.

week

^

(Figures In thousands of barrels of
Figures
■>'

i

%

in

this

•

*.si

;

% Dally

i

Refin'g

Daily % Op-

;

'

District—
EUist

'

>

ii

Crude Runs

Report'g

Coast

Av.

99.5

749

of

and

Mines

Product'n

erated

76 3

101'

70.6

307

84.7

52

83.9

169

87.4

755

86.8

2,744

15,211

78.3

373

79.5

1,337

-

Kans., Mo

Tefcas

Texas

Louisiana Gulf

+

Coast.!-

No. La. & Arkansas...

Fuel

Oil

23,985

2,278

;

529
84

-

'

10,270

7,929

3,526
461

225

2,790
13,158

v.;'3,491

111.8

1,054

60

151

47.6

4,426

1,878

.

1,660

637

.

350

Rocky Mountain—
District No. 3

19.0

,9

63.2

District No.*4

70.9

114

69.1

>-354

-.1,354

85.5

793

00.1

2,312

i

.

000

more,

or

"90

15

43

.

564;

a-216

%

v.-;/
,'

42

! 706

759

,12,090

y

19,

85.8

4,779

85.8

1946

4,867

86.0

14,874

*"85,930

21,207

64,761

Oct, .12,

1946

•

'

./

'20, 1945_..„_

^Includes

gasoline

14,993

transit

'and

in

of

gasoline

8,980,000

pipe

kpmnirn. 5,666,000

continued-: to
many failures as

twice

as

attributed

was

to

the

supply of these grains and

the prospect

of lessened demand

ings. Hog receipts at western mar¬
kets jumped to 360,600 head last
week, compared with only 46,600
in the preceding week. Prices rose
sharply following the removal of
ceilings but lost considerable of
the initial gain as market receipts
Steers

strong through¬
although down
moderately' from
early
peaks.
Lambs advanced sharply at mid¬
rose.

out

the

week

were

week,

but later turned downward

and closed slightly lower than a
week ago. Lard prices skyrocketed

while
the

declined

butter

decontrol

of

following

edible

fats

and

fonPrice
0

numbered

vious week and 2 ih l945's

upward
the

the

in

past

rise

was

The

wholesale
vanced
from

Dun

food

3.1%

$6.15

resented

a

Oct. 15.

new

This

alltime

sponding date

11, totaled $6,608,100 pounds, clean
basis, as against 5,825,200 in the
preceding week. Domestic wools
appraised for purchase by the CCC

rep¬

high, and

a

year

of 54.6%, This

ago, an in¬
index, based
in

reflected

black

under-the-counter
in

this

week's

market

prices.

rise

week

amounted

Oct.

ended

-

to ! 4,346,502

11

or

Aiding

Wholesale

Retail and

Trade

limited,5 supply

frequently requested as
replacements. The supply of
vegetables remained abun¬
but that of fresh fruits de¬

slightly, though they con¬
adequate.; ?
'
Consumer interest in Fall ap¬

clined

tinued to be

parel dropped fractionally as mild
weather beguiled shoppers from
thoughts
of
frost
and snow*
Women's suits and coats held to

high demand but

to the previous

large share of attention was at¬
tracted
to
sportswear, evening
a

terest in men's wear was

mainly

suits,

on

86,585

21,131"

63,412

for most
goods
field. The selection of many small
electrical

the durable

in

lines

other

most

change in consumer de-^
high levels of pre-;
Automobile parts

no

weeks.

frequently listed among the

were

lines.

barrels

13,854
stocks

barrels.

Jin

of

residual.-fuel-oil

gas

8,460,000

tStocks

addition,
oil

ot

and

f 70,402

at

12,888

barrels,

refineries,

44,332

tlncludes
at

there were; produced
distillate fuel oil and

'46,420

ports from many cities.
Retail volume tor the country
in the week was estimated to be
from 21 to 25% above that of the
corresponding week a year ago.
Regional estimates exceeded those
of a year ago by the following
New England 18 to

percentages:

30, South
31, Southwest 20 to 24 and

25, Northwest 26 to

to

27 to

Pacific Coast 19 to 23.

fraction¬
past week, con-**

Wholesale volume; up

ally during the

week

a

unfinished

bulk

terminals,
1,8.90,000 barrels

of

7,509,000

and

resents the

hogs. The index rep¬
sum

total of the

per

price

•;

year

P

.

rice

Wholesale

Index

—

Uncertainties

the

level

week,

states

Dun

&

Brad¬

.

Department store sales on a
country wide basis, as taken from
the Federal Reserve Board's in¬
dex for the week ended Oct. 19K
1946, increased by 24% above the.
same
period of last; year. jThis
comoared with an increase of-15%;

increased

f
>

7

week

a

year

of

was

the

substantially

corresponding

VAIV r,;uvx4. v>oHUiiuiii5
ago. Consumer seiec-

19%

by

19, 1946,,
and for

to date by 29%.

the year

Mixed trade conditions obtained

trucking

due

,

to

United Parcel
• condition,

and

j

This

strikes.

Service

week

last

York

New

however, should be alleviated to a;

week

present

the

extent

large

of the truck-/,

with the termination

jng and maritime tie-ups on Mon¬
day last. Caution prevailed in the
women's garment trade, it was
reported, with retail buyers not /
availing themselves of the full
allotments granted by manufac¬
turers. Some existing (orders orL
uncut merchandise were also can- ?
celled with the ending of order. '
L-85. Sales of cotton goods early
the

in

'

week

exceptionally,;

ran

the plummeting of
cotton
prices, but the volume
tapered off as prices of the staple,
gave evidence of rallying.
; -,r
heavy, with

,

According

,

to the Federal Re-y

York City for;/

store sales in New
the

weekly period to Oct.

a

above

4%

19, 1946,

the

same

This compared,

decrease of 4%

ceding week. Work
the

department

index,

Bank's

serve

in the pre-;

stoppages in

trucking industry

accounted

for the reduced sales for the
in

the

cities

ended Oct.

that

Oct.

ended

weeks

sales

For the

preceding week.

the

in

four

Newark.

above

high leveL,

Buyers, generally, insisted upon
quality goods and frequently re^
fused substitute items.
o

of trade. Volume

Commodity
*

T

raising

with

noticeably

improved

were

street, Inc., in its current survey
•

^

Daily

some

in

ing

pound of 31 foods in general

use.

of

slightly above that of the preced¬

of

barrels

in

in the week ended Oct.. 19,
1946, which compares with 1,340,000
battels';/6,166,000 barrels and 8,454,000 barrels, respectively, in the preceding week
and
1,555,000 barrels, 4,408,000 barrels and 8,802,000 barrels,
respectively, in the
week ended Oct. 20, 1345,
■*.




"ambs

commodities

purchases

correspondago.(Deliveries

order volume at a very

with

combined

consider¬

tinued to be at a level

ably above that of the
ink

higher prices and larger consumer

oats,

West 21

22, East 19 to 23, Middle

ies, cottonseed oil and steers. On
corn,

according to re-,

current shortages,

period last year.

were

as

mand from the

vious

increase during the past week as

side

such

appliances

irons, waffle irons and
mixers had increased appreciably
over that of a month ago. Furni¬
ture stocks remained low with al¬
toasters,

increased

down

housewares

for

continued to exceed that

Retail dollar volume continued to

59,753

topcoats.

wear, shirts and
The' demand

higher

were

millinery. In¬
centered
slacks, under¬

dresses, blouses and

pounds,

making
a
total of 245,385,412
pounds appraised for the season
to date.,
'; V:,

egitimate markets, has not at any
time

the

for

authoritative V, quotations

on

by

foreign wools at the ports of
Boston, New York, and Philadel¬
phia during the week ended Oct.

compared with $4.10 for the corre¬
crease

purchasing

hindered

of

ad¬

index

to $6.34 on Oct. 22,

on

minimum, following the up¬

a

United States importers. Arrivals

Bradstreet

&

price

dant

the

buyers

considerably less than that re¬
corded
during
the
preceding
week.

fresh

in

considerable diffi¬
culty in obtaining desirable for¬
eign wools. In foreign markets,
keen competition from European

Moderately

overall

meat

wools in

domestic

Buyers found
Index

week

but

in

by the CCC on Oct. 15. This was
equal to an advance of from 3 to
5%
over- former
selling prices

corre¬

sponding week.
Price

close.

the

adjustment of prices under
the new schedule put into effect

compared with 3 in the pre¬

as

days,

ward

next high¬

failures

Canadian

est.

were

consecutive

were

the

were

to

Atlantic States. The New England
and Pacific States

four

and

high prices of meat.

to

the Boston market last week fell

concentrated in the Middle

were

on

prices generally were down about
6 cents per pound for the week,
but there were signs of stabilizing

Trading

barley, gutter, cheese, eggs, sheep,

4,585

unfinished

stocks

$5,-

Almost half the week's failures

the

87.6

U. S. B. of M. basis
Oct.

—

Activity in'cotton
textiles quickened. Substantial of¬
ferings of leading descriptions of
gray and finished goods on spot
and contract sales were quickly
absorbed at ceiling prices.

other trade or industry group.

any

60,512

Total U. S. B. of M.
b:rn

*

due to increased livestock market¬

at

..

28,390

Total U, S. B. of M.

Oct.

•

and

Additions
of ; meat
small, while poultry, fiso
dairy products were plentiful

the

prices for coffee, lard, hams, bel¬

California

-basis

•

oats

limit

as

Manufacturing

775

I'

14,961

26

twice

failures involved liabilities of

'

"■

were

,

2.192

944

•

247

5,613

1,282

3,457

67.9

133

,

3,592

96.8

97.4

55.9

;

357

8,840

353

89 2

•'

2,914

1,187

224

Oil

12,754

620

1,450
'483

59 8

Gulf Coast

Resid.

Fuel

sine

8,726

III., Ky<:

Okla.,
Inland

of

& Dist.

9,038

8-4

Ind.

Gas Oil

of

20,462

District No.

i

on

Kero-

Stocks'

1,919

Appalachian—
'('District No. 1

therefore

IStks. of JStks.

•

Stocks

Unfin.

Gasoline

Blended

83.3

■

and

at Ref.

Inc. Nat.

are

an

basis

SGasoline tFinlsh'd

to Stills

Capac.

:

r\

amounts

Bureau
'

viTgiitif'

plus

and

•

a sharp break
leading cotton markets ilast
week. Declining the permissible

Higher—The trend in food prices

reported totals

'

i

record

and

in

as

continued

section^ Include

estimate Of unreported

■■ ■

week,

corn

account, resulted in

years,

in the corresponding
1945 when 17 were re¬

of

Food

^42 gallons each)

advances

i-1 ceilings.
aC"?n

ported.
All except three of this week's

< \

1946

19,

two

over

failing

numerous

5,

STILLS;

AND UNFINISHED

J.

'.-it,

i';. r•:''i-

scored

rye

were

wide range.

fail-

reports Dun & Bradstreet, Inc.
Up from 23 in the previous week,

of

which

the

trends
a

Distress selling, caused by the
ending Oct. 24
•reported liquidation of one large
highest number

to

31-day basis and

a

Increase

industrial

rose

in

have

for week ended 7:00 a.m., Oct. 17, 1946

are

of

for

ordered for from 7 to

were

as

and

grains,

Association.

Failures

estimates

'».\U IThis- is the

Price

than

more

in the-week

'

af,e Bilreau rnmipnc^+ocalculations of the Acquiiciiicntis in domestic crude
of Mines
requirements of domestic crude
—*—*
•

deductions ,pf
deductions. of

toiler,

premises

Pulp

sures

concerns

**1>ennsylvanj:a G,rade (included

&

Commercial

.17,900

850,000

:

Total United States

110.600

24,000

32,000
ji.uuu

Montana

Co'Tado1

Paper

99,500
-

heaviest in

oils. Trading in coffee and cotton¬
Paperboard output for the current
seed oil futures was resumed dur¬
week was 98%
against 99% in
ing the week. Business in flour
the preceding week, and 96% in
the correspoding week a year ago,!c'Jn?e
® standstill pending OPA

200.1OO

-

400

New .Mexico—Other

Wyoming

V 393,850

.

ican

1,050

.;•:

2,000

——

New Mex.'-So: East...

1U0

+

7J,350

Paper production in the

—

Oct.

487,000

129,700

District IX.

Paper and Paperboard Produc¬

33,250

27,450
484,650

District. VIII—

Arkansas

19,450

33,500

District VII-C

Coastal

Railroads anounced.

316,000

•■'••;. v'';V

East :Texas_.

Total

revenue

19,450
144,800
:-v■

-

f District

Other

of

449,300

3

■

-

the

months.

for

.

1

of American

28,950

47,4r>0

i

1

freight for
the week ended Oct.^19, 1946, to¬
taled 931,766 cars, the Association

3,300

50

six

<••».

Railroad Freight Loadings—Car

13,550

5,000

—

flAA

loadings

4,700

2,450

18,700
207,200

■■■•

A,400

•—

Oct.

214,300

,

;>■.;District "V

v

200

t7S0

—-

District II

District III

■

+

—

Trade

Wheat

150

7,950

:'J

District I

■"

450

+

204,550

264,000 t;
384,000

—

46,850

8,200

,

'

47,000 ••>£
800

^

Oklahoma

.

51,650

50

—

2,o00

30,000

Michigan
Nebraska....
Kansas

'

+

18,7-50

214,000

Kentucky

s:

5,500

i.'' 19,000

-

___

1945

100

£.y"?:C\ *

<

Illinois

#'

•■•

1.450

—

8^650

'$$7,600

Ohio—Other
Indiana

,

60,800

$

8,400

••Ohio—Southeast

•

Ended
Oct. 20

Week

in highly erratic price
during the past week.
Fluctuations in the daily wholesale commodity price index, cornpiled by Dun & Bradstreet, Inc.,
were less
severe, however, after
the initial sharp rise to 243.90_on
Oct. 15, which followed the decontrol of meats and livestock,
The index closed at 236.73 on Oct.

swings

while the feed
oats, suffered
substantial losses. Rye continued
crease of 15.8%. Local distribution
in short supply. Strength in wheat
of electricity amounted to 185,*
t/V. kJW CllgUl 111 W XlCCt I
500,000 kwh. compared with 171,- reflected limited offerings and the
000 000 Irwh
-fnr" -fL c\
h/ali A-P that ceilings on flour and
PI
1
000,000 kwh. for the correspond¬ I belief fL a+ »»<•'
ing week of last year, and in-? bakers' products would be re¬
moved shortly. Weakness in corn
crease of 8.4%.

Week

Ended
Oct. 19,
1946 i

■--wQ;;

••West

;

4 Weeks

from

The Edi-

20, 1946, compared with
171,600,000 kwh. for the corre¬
sponding week of 1945, or an in¬

BARRELS)

Previous

i

—

resulted

mixed and covered

ET f\f\

Change "

ables

Begin.

v

IN

ago.

one year

by the movement to de¬
prices on a broad scale

control

ed

Actual Production

Requirements

w

?

•

(FIGURES

1,335,300s tons

created

in price.
-v
Food
volume
remained nigri
with some consumer resistance to

^

reports system output of
198,700,000 kwh. in the week end¬

^

->

.

York

.64,761,000:. barrels of distillate fuel, and 60,512,000

barrels of residual fuel oil.

operating

to

is

Consolidated Edison Co. of New

19, 1946; and had In.storage at the end of the week

#5,930,000 barrels

;

recently;

have

which

items

risen sharply

2267)

page

electricity increased
to 4,539,712,000 kwh. in the week
ended Oct. 19; 1946, from 4,495,- ^2, off 7.17 points from the recent
220,000 kwh. in the preceding Peak, and compared with 178.46
week. Output for the week ended at this time last year.
Oct. 19, 1946, was 16.0%
Activity in grains increased
above
that for the corresponding weekly considerably last week with total
sales on the
Chicago Board of
period one year ago.

stills on a Bureau of Mines basis
approxi¬
mately 4,779,000 barrels of crude oil daily and produced
14,874,000
as

1.0% from
V

the output of

Reports received from refining companies indicate that the in¬

dustry

"

Electric Institute reports that

son

rels.
to

or

Electric Production

4,771,000 bar¬

was

week's

rate
1,575,600 tons of
steel ingots and castings and compares with 1,591,400 tons one week
ago, 1,589,700 tons one month ago

19, 1946,

increase of 495,750 barrels per

an

the requirement for the month of

as

This

decrease of 4,800 barrels per day from the

a

of 0.9 point
previous week.

crease

the

the output in the
corresponding week of 1945. The daily

over

average

(Continued from

those

194$

mainly,toward

tivity was- directed

The State of

Institute estimates that the daily av¬

crude oil production for the week ended Oct.

gross

Thursdayy October 31,

3%

and

32%.W"

of

New

the

For

week

York

four

and

week3

19, 194 3, sales rose by

for the

V-,,/v

r

yeaf

to date by

-,'-v

>

JVolume 164

THE COMMERCIAL & FINANCIAL CHRONICLE

Number 4538

Civil

Engineering Construction Totals

unchanged from the high
white-potatoes' rose-following

-announcement of

CiviL, engineering

construction

Private

construction

Trust Conference " 7

clined.

volume

in continental United
States totals $55,203,000 for the week ending Oct. 24, 1946, as reported
by,:1-"Engineering News-Record." This volume is 49% below the
previous week, 6% below the corresponding week of last year, and
46% below the previous four-week moving average. The report is¬
sued on Oct. 24, added:
'

,1'

.hi?

ABA Mid-Continent

higher government support prices.
Oranges, onions
and apples also increased.
Prices of- sweet potatoes and lemons de¬
Egg prices and cotton quotations continued to advance.

$55,203,000 for
V

2277

creased fractionally but prices remained
levels of the previous week. Prices of

"Average"prices of foods

1.6%

rose

during the week. Opening
pack of dried fruits, exempt from OPA
control,
were up
sharply from old pack ceiling levels. There were also con¬
tinued advances for manufactured
dairy products.'' Prices of cocoa
beans, powdered cocoa and oleomargarine advanced
following ceil¬
ing increases. Prices of cereal ^products averaged
slightly higher.
prices for the

this

new

Current

-

,

fields

developments

of

Government

and

ness,

connected

tion

of

trust

with

trusts

the

in;; the

and

present-day

bqsi-r

problems

administra¬

and

of

operation

departments

will

be.. dis+

week, $29,871,000, is 63% below last
cussed at the 15th Mid-Continent
Week and 23% below the week last year. Public construction, $25,- Food prices have increased 7.5% during the last four
weeks, reach¬ Trust Conference of the
Arn,eri332,000, is 9% below last week and 29% greater than the week last ing a level of 21.4% above the end of June.
>
,7
"7
can
Bankers
Association
to " be
year. State and municipal construction, $24,090,000, 8% below last
f 7 "Other Commodities
Prices of most other commodities were held at the Drake Hotel in
Chica¬
week, is 89% above the 1945 week. Federal construction, $1,242,*
unchanged during the week. There were increases in
prices of cotton go on Nov. 7 and 8. An advance
<000, is 32% below last week and 82% below the week last year.
program of the two-day confer¬
•7
drills, artificial leather and oil cloth following
Total engineering construction for the 43-week period of 1946
ceiling adjustments
ence was announced in N'ew
York
to cover higher raw cotton costs."
tecords a cumulative total of $4,462,233,000, which is 157% above the
7
77
by Evans Woollen, Jr., President
total for a like period of 1945.
On a cumulative basis, private con¬
CHANGES IN WHOLESALE PRICES 3Y
of the ABA Trust
COMMODITY GROUPS
Division, who
struction in 1946 totals $2,701,546,000," which is 265% above that for
FOR WEEK ENDED OCT.
is also President of the Fletcher
5, 1946
7"
"
■'
1945.
Public construction, $1,760,687,000, is 77% greater than the
•777777• 7''7;iy VrV777; •;:
Trust Company,
(1926—100) 77 ;777,77 '777;;77 77
'.Y
Indianapolis, Ind.
cumulative total for the corresponding period of 1945, whereas State
.

.

,

—

t

.

,

..•

snd

municipal construction, $1,206,124,000 to date, is 300% above 1945.
federal construction, $554,563,000, dropped 20% below the ...43-week
total of 1945.

Civil

"

"

•'

,

^

:

'

7

Private Construction

public Construction
V-

»

v

,

C

and

Federal

Municipal

-

—

~

.

$55,203,000
29,871,000
25,332,000
24,090,000
1,242,000

7 In the classified construction
groups,

$108,205,000
80,215,000
27,990,000
26,160,000
:
1,830,000

Fuel and

lighting materials

155.1

126.9

131.9

105.8

+ 27.5

141.1"

139.4

119.1

+

0,1

+

1

+ 18.8

126.1

125.9

123.7

99.9

+

0.2

+

2

+ 26.4

95.3
114.2

105.1

707
+70.2

133.9

118.1

+

98.8

98.6

98.4

95.5
106.3

98.8

84.5 7

115.7

115.3

115.1

114.7

102.5

102.2

102.2

101.8

94.6

146.3

146.3

144.5

142.5

116.9

Semi-manufactured

+

77IF7

0 2

+

0.1

0.

3.5
8.4

+

0.3

+

+

0.3

+

0 7

+

+

2 7

+25.1

+

1

-7 0

•

116.9

116.2

793.6

117.1

101.9

+ 12.7

129.7

118.4

117.8

116.9

100.8

+

9.5

+10 9

112.8

112.6

112.6

112.1

100.1

+

0.2

+

*•?

■

,

'

1946 TO OCT.

Meats

92.9

—

ar.d

\

0 6

'7

+28.7
+12.7

1.0

0.7

————_

fats——

:

;•—.;

Other

0.4

.

0.4

7 0.3

miscellaneous.

0.3
0.2

imple~mentsI_II"I"

0.1

——

Iron and steel--.-.—

•' 0.6

0.1
'

Cotton goods

0.6

7

0.1

„

Shoes

7'0"1

Decreases
Fruits

and

vegetables

0.7

Livestock and poultry
♦Based

which
This

the

the

In making known
prices for the week ended Oct. 19, the Bureau of Labor Statistics,
U. S7 Department of Labor, stated on Oct. 24 that, the index that
week of* commodity prices prepared by the Bureau, reached 135.1%
of the 1926 average, 19.9% higher than at the end of June and 28.1%
•above last year.
Effects of removal of livestock controls are not
reflected in the index for the week since the Bureau prices livestock

the

on

measures

index
most

those

farm

products.

weekly

index

prevailing
not

be

0.1

prices of approximately 900 commodities
in the general level of primary market
commodity prices.
distinguished from the daily index of 28 basic materials.
For
prices are those charged by manufacturers or
producers or are
commodity exchanges.
The
weekly index is calculated from

on

one-day-a-week prices.
should

0.1

materials—.—.

of

be

the

It is designed as an indicator of
compared directly with the monthly index.

week-to-week

changes

and

Foods—Primary market prices of foods in*

■creased 27.5%

The Board of Governors of the Federal
Reserve System issued
we

Bank

serve

(in millions

>777777;7

Sept.
Federal Reserve District—.

3,153

11,217

Nov.

2,971
4,303
2,843

11,327
16,540

13,794

10,101

8.299

2,421

9,490
36,381
7,482
5,579
.9,114.!

7,366

3,633

5,427

7,7.-^.'.:.

3,442
3,111

_

_

Rfc.
,

M1

-

10,158

2,510

„

Minneapolis
—

^

——

—

1,654

2,854

_

2,420
2,054

2,706

'

'

1,923

1,924

City.

.

9,496

30,996
6,052
4,509

7,693

8,264

6.323

8,052

6,585

24,605

83,288

71,169

257,392

* 223,540
91,523
110,771

_

Total, 334 centers—

"77L.

—

♦New York City
*140 other centers

.7

31,397

——_

4

.4.

v

1

28,545
35,713

131,855

6,906

26,568

8,736
series

i 20,582

■

98,970

43,155

193 other centers

•Included in the national

26.2% higher, than in the corresponding week of last year.

,

11,838

•

_

San Francisco

:

"7

21,246

covering 141 centers, available beginning In 1919.

Curb Short Positions Lowest in 16 Months

Average prices of all commodities other

Re¬

7

the

guest

speaker

at the

George
of

the

University of Illinois, Champaign*;
Urbana, 111.
YY'Y
...

The Mid-Continent
will

be

Trust

held

Con-f

under

the

Association of Chicago will act as
hosts.
The conference
territory
includes the following states: Ar¬
kansas, Colorado, Illinois, Indiana,
Iowa, Kansas, Kentucky, Michi¬
gan, Minnesota, Missouri, Nebras¬
ka, North Dakota, Ohio, Okla¬
homa, South Dakota, Tennessee,
Texas, and Wisconsin.
t: (t

Kellogg Municipal Airport
•1.7
At Battle Creek, Mich.
A

brochure in

logg

which the

Kel¬

Municipal

^irport is de¬
"an
airport' Whicli

as
new

industrial, social and
horizons

for

7

Battle

Creek, Mich.," has recently been
issued.
Referring to the airfield
as giving
promise "to be one of
the

greatest

the

Security National Bank of Battle
Creek, whp hes favored' usl with a
of the brochure says:
7 -j <v
"Conceived many years ago
by

copy

98,413

——

_

Dallas——— 7.

of

of

annual dinner will be Dr.
D.
Stoddard, President

10,017

107,292

_

■

1945

30,678

L_

Cleveland

Kansas

1946

3,70R

Philadelphia-

Chicago

'

1945

-

34,085

_

Atlanta

.

3 Months Ended
Sept.
Sept.

•

Sept.

1946

_

Richmond

*

of dollars)
•777-Y- YYYY'A'Y'-

New York

School

of

Chicago, will be
among the speakers 7 during the
two days.
On Thursday evening

in

■7 SUMMARY BY FEDERAL RESERVE DISTRICTS

Boston

the

commercial airports
midwest," H. F. Conklin,
Vice-President and Cashier of the

give below:

meats and

of

Vice-President, the Federal

economic

Oct. 10 its usual monthly
summary of "bank debits" which

on

past

Colorado,
Boulder, Colo.; and J. K. Langum,

scribed

,

Bank Debits for Month of September

;

dean

University

means

we

and

.

7:0.5 Paint and paint

BLS

changes

should

part,

Other

King,

Law,

City,

Foreign Trade; Edward

auspices of the ABA Trust Divi¬
sion.
The Corporate Fiduciaries

Leather

Agricultural

C.

for

ference

Cereaiproducts..
i———
Furnishings 7,.——————

0.8

goods

metals—

Paper and pulp

+31.2

19, 1946

1.0

——._

worsted

1,7+21.6

+ 14 2,'-

INDEXES. FROM

Brick and tile

Other foods——.——....l..
12.8
Dairy products.————<77.7 " 1.5
&

8.8

Increases

•

„

,

OCT. 12,

0.3

+

'•*•7

CHANGES IN SUBGROUP

8.8

+

.7+13.6

0 4 " +
o 9
+

118.1

Oct, 15 after their removal from price control.

poultry prices were down reflecting decreased demand. Most grain
quotations increased because of short supplies due to the box car
shortage and the tendency to withhold shipments pending decision
•en ceiling increases,or decontrol of ,flour.
Corn quotations declined
with larger shipments of the new crop7 There were increases in CCC
celling prices-of domestic wools to cover parity. .Quotations for
foreign wools also advanced to meet higher prices in Australian and
:South American markets. On the average, prices of farm products

+12.4

+

117,1

Furniture

Liye

0

—

118,6

Nonferrous

777;;:/7:77^77^

+ 66.0

117.5

PERCENTAGE

qnded Oct. 12, prior to the President's statement on decontrol of meats
■and other products, average primary market prices rose 7.2% during
the week ended Oct. 19, as meat prices nearly doubled on Tuesday,

index for farm products declined slightly.

+ 26.2

Manufactured products———— 133.7
All commodities other than farm

Department Reports

.

3,

+ 33.

+

95.0

Miscellaneous commodities
Raw materials

rise of 0.7% in wholesale prices during the week

—

158.0

134.1

,

President of the Bankers AssOci-

+28.1

135.5

114.2

products and foods

during the week with an advance of nearly 100% for
sharp increases for lard and tallow. Increases for meats
xanged from 75 to 125%. Dressed poultry prices dropped, reflecting
-decreased demand following the decontrol of meats. Prices of dairy
products continued to advance. > Cereal products averaged slightly
Jiigher with- sharp increases for macaroni, reflecting an earlier ceiling
increase to cover higher costs and removal of the flour subsidy, and
decreases for oatmeal and rye flour. Fresh fruits and vegetables were
slightly lower with decreases for white potatoes, sweet potatoes and
citrus fruits and increases for onions and apples. On the average food
prices were 54.9% above the end of June and 66% higher than a

'

141.3

0.1

Vice-President
City Bank of New

,1945

9.1

137.7

—

Ward,

York, New York

160;2

95.0

products—————

Mondays, said the Bureau's advices of Oct. 24 from which
.also quote:
1

+

Wilbert

of the National

ation

All commodities other than farm

on

7.2

+

134.1

Oils

"Other Commodities

105.5

114.2

Capital

October 19, Labor

year ago.;.
;1
"The group

123.8

95.0

Woolen

7 «Farm Products and

1946

Housefurnishings goods

bridges, highways, and public

Wholesale Prices Rose 7.2% in Week Ended
a

1946

114.4

Grains

Following

1945

126.3

is made up

were

125.1

194$

10-20

141.5

Chemicals and allied products

construction purposes this week totals $7,087,000,
of $6,687,000 in State and municipal bond sales and
$400,000 in corporate securities. New capital for construction pur¬
poses for the 43-week period of 1946 totals $2,936,790,000, 71% more
than the $1,714,499,000 reported for the corresponding period of 1945.

a

126.0

9-21

Building materials——134.2

New capital for

j'

1946

10-12

175.6

Metals and metal products

bridges, and highways.
New

and

1946

10-20

160.1

.

Hides and leather products

buildings gained this week over the previous week. Three of the nine
classes recorded gains this week over the 1945 week as follows: sew¬
erage,

10-5

,

135.1

—

Textile products

$58,418,000
38,798,000
19,620,000
12,734,000
' 6,886,000

\' '
'
9-21

1

10-12

1946

;

All commodities

Farm products..,.
Foods

..
-Y<
?
Oct. 24,1946 Oct; 17,1946 Oct. 25,1945

Total U. S. Construction

State

*.1

Commodity Groups—

2'"1

■

10-19

engineering construction volume for the current week, last

tveek, and the 1945 week are:
y

i

7777

Percentage changes to
Oct. 19, 1946, from—

a

number of

citizens

and

from W. K.

our

forward-looking

with

a

strong boost

Kellogg; enlarged and

expanded many times over by U.
S. Army Air
Corps, it is today

orip

of the

largest and finest airports
Mr. Conklin

in the United States."

adds that "about

from
the

downtown
latter

those

has

looking

15 minutes ride

Battle

Creek to
possibilities for

for

industrial--

or

commercial locations." 77.7»<77;
From the brochure we
qupte:

p"Now unveiled from the secrecy
of war, Kellogg Field
emerges as
of the leading

one

airports in the
The total short position in stocks traded on the New York Curb world. Intense civic
0.2% during the week. OPA
pride is the
Veiling increases were reflected in higher prices of some cotton goods Exchange stood at 84,202 shares on Sept. 13, 1946, the lowest point result of the airport development
.-and suitings. Zinc prices rose 11 %.% with OPA ceiling adjustments
throughout the years. In 1924 the
since May 1945 when the short position was
83,022 shares, the ex¬
following increases in world prices. There also were advances -for
Chamber of Commerce rented. 116
change announced on Sept. 19., : "The Sept. 13 total represented a
common brick, maple flooring, gray iron castings, and farm machin¬
acres as a
beginning; in 1928 W.
ery, reflecting earlier ceiling adjustments.
Higher costs resulted in decrease of 6,215 shares from Aug. 15, 1946, when the Ctirb short
K.
Kellogg acquired additional
increased prices for tissue paper.
Lubricating oils, cocoanut oil and position had reached 90,417 shares, then the lowest
figure since
land and increased the field to a
rosin, which are exempt from OPA control, were up. Shellac prices
August, 1945," said the Curb announcement, which further stated:
were higher under mark-up regulations because of increased import
quarter of a mile square, deeding
"The report reveals that only two issues of the total of 850 issues
costs. Prices of zinc oxide declined and Douglas fir lath was lower 7;.,
the land to the city in ;
1933Y;By
with partial cancellation of 'an earlier ceiling increase.
The group traded on the Curb Exchange on Sept. 13, 1946, showed a short posi¬
1940 the Civic Improvement Cor¬
index for all commodities other than farm products and foods was tion in excess of
5,000 shares, compared with three issues on Aug.
C.6% above a month ago and 7.0% higher than at the end of June" .7
poration had increased the. field
16, 1946. While the total Curb short position declined during the
to a square mile with
In view of the fact that the Bureau's report of wholesale prices
runways de¬
month, the number of issues showing a short position had increased
for the week ended Oct. 12 has not appeared in these columns (the
veloped under the Civil Aeronau¬
last which we gave having been that for the week ended Oct. 5, in to 195 at Sept. 13, as against 179 on Aug. 15,1946. As was the case last

•than farm products and foods advanced

cur

issue of Oct. 24, page 2146)

tics

we

give here in part the Bureau's

jreport for the week ended Oct. 12:
,

month,
;

no

short position existed in bonds

The report in part follows:

7

"Farm Products and Foods—Primary market prices of farm prod¬

ucts increased 1.4%—the fifth consecutive weekly
iithe group index for farm products to 160.2% of

advance—bringing

the 1926 average,
Grain quotations were up
2.3% during the week with higher prices for corn, oats and rye, reflecfing light shipments and continued good demand. There were
fractional declines for barley and for wheat in some markets. Prices
1.9% below the mid-August 1946 peak.

of sheep and

live poultry advanced.




•

Receipts of cattle and hogs in-

..

•"

7

7

•

Sept. 13, 1946."

*

.

Short
Position

1946

Claude Neon Lights, Inc., common-.!
Pan American Airways Corp. (Wts)-_
Short

Position

Total Short Position

(Stocks)

(Bonds)

1946

8,972
11,200
84,202
0

6,400
8,900
90,417
Y 0

Administration. .In

field

was

turned

ernment for

Short
Position

Sept. 13, Aug. 15,

security

Total

7;7 77

Y '777 Y

VY
7 -7

on

In¬

$1.00

1942

the

to the Gov¬

per

year.

To¬

day with improvements made by

.

crease

over

De¬
crease

2,572-

the U.

S.

Army Air Corps,. Kel¬

logg Municipal Airport
weather Class Five

2,300
6,215

of

handling

planes"

large

'is

field

four

an

.

all

capable
engined

YY 7Y7; YY

2278

-■

Trading
The

mand

New York Exchanges

on

Securities and

THE COMMERCIAL

Exchange Commission made public

of

members of

round-lot

stock

transactions

for

the

of

account

by

sition

quar¬

less

September
112,486 tons, which
compares
with 119,644 tons in
August* Fabricators had : 381,791
tons of refined copper on hand

all

these

exchanges in the week ended Oct. 5, continuing
a series of current
figures being published weekly by the Commis¬
sion.
Short sales are shown separately from other sales in these

to

5.2%.

week

ended

Oct.

total volume

5

amounted

to'421,630"shares

or

15.42%

the

of

Exchange of 1,367,295 shares.
During the week
ended Sept. 28 trading for the account of Curb members of
648,685
shares

Stock

Sales

Transactions
.

.

the

on

for

New

York

Account

Stock

of

Members*

Short sales.

_

Total sales

Except

___

__

I

the

for

Odd-Lot

Dealers and Specialists:

Account

Total purchases
•

'

v

-

,,

\

'

611,940

/Ziiic

485,240

2. Other transactions initiated on the floorTotal

Short sales—i

•|h^

s4s/

f Other sales.Total

70,680

Total purchases

169,525

"

J

-Saiea-u^t-Vjr-^-LiU^.-a-.--,-.-.--.

pother sales^___:.
;

:

V..

V

219,545
; ::

,

.Total

-

.

14,870

204,675

Total sales-.—

4. Total—

'853,235

.v Short sales^__.._i._^_.j4__:___4i.^k___.^.:..,
POther sales___-

148,690

750,995

_.

•

Total

099,685

---*-«

grade t>f

52.000

52.003

52.000

52.000

Stock Sales >tr the New York Curb Exchange ahdf Stock
4Transactions forIAccount1 of Members*" (Shares) Y/Y

University of Pittsburgh ahd
University of Michigan; 4 a
lawyer by profession, was judge
of the Circuit Court of Wayne
County, Mich., for a number of

un¬

"

A-

.

-

"

„

WfeEK ENDED OCT.

1946

5,

month,

,

.

Total for W$ek

/

'

15,885

•

•'

Other'sales....

1,351,410

Totalsales____:

1,367,295

B. Round-Lot Transactions1 for1 Account of Members:
1. Transactions of

specialists in stocks in which
-theyareregistered—-■■ ■.V:
*:fk;-'/0r/yWYY
:Total purchases——.!
•; Short sales......
Pother sales
!
^

v"f/:/■ ■:

j/

*''150,426
q 4en

market.

So-called

official

quota¬

$75

Labor. difficultly

/

closed

the

stoppage/'howfln:
has -had

.

the market.

on

through
built

f Pending defifiite judications

availalbletd

;

Total-sales^...

123,880

133,340

m

2,-O'ther transactions'lnitiated

the'floor—

on

'

^2,165

Totalptlrchases....,
Short sales

-

.'

•-4,000

_•___•

^'pother sales

113,975

—...

/Total

.w„'.

on

:J

Short sales..;—

■"

/

13,860
-169,135

•

' *xhe

/: 7

firms' and

15.42

—.—a--

87,038

-

assbcfate^Exchange

•.

•
.

"/

,

v:

>

of

members'
the

on

s.

•

*.

purchases

and

Exchange for the

sales

reason

& M.

i

•

\

r

'■

,

-

.km.

,

.."V,'-.

.V"

-

~

f

'*•

1-

V. "k"

J. Metal

and

i.i■

•

i \r'l

jPRICES OF METALS

—Electrolytic Copper—
Dom. Refy.

Gold,

("E.

Oct.

18

Oct.

19

21

22___

16.925

f

v

.17.050

.-i/14.150

„

fitie-oz.

&

M.

-

.-yxv:

•

-Lead

\

'

Market," in ?its issue

r4

,*<f

|

•. ^

New York

-St. Louis
-

8.25

52.000

ho time In the
past

;

^

;

action is contemplated on lumber, paper, and metals. Lead
consumers
were
disturbed
dn3>—
—
learning that a strike closed down The publication further went on
.

Missouri

mines

of

to

say

in part

as

follows:

,

.

St.

Joseph Lead Co. So far as
Copper.
prices were concerned, foreign
was
"moderately higher
Foreign copper sales were lim¬
than a week ago. Refined plat¬ ited chiefly because few
producers
inum was unsettled, but the offi¬ were in a
position to take bn
cial price
remained unchanged. business this side of
January.
London
reports that silver ob¬ Prices paid during the last week
copper

from Russio

sales

to

British

was

included

Indian

buyers,

restrictions

on

export sales have been relaxed."




copper

round lots

17c.
New

to

covered

a

range

of

17.50c.

York

forward sold

per pound,
f.a.s.
equivalent. January
as

high

as

17%c. De¬

a greater del¬
legislation than

6f 'tinsohrid

uge

•atkthe^ffeseflft;^
parent that

Unless

-

8.25

14.150

._•

T9.}25

tives,

8.10

:

9.25

8.25

8.10

loads will be made in its economic

structure/*;

,
;
The National Association ^f In¬
surance Commissioners will be in
^

session

during the Week of "the
Federation luncheon &nd the Fed¬

eration

has extended to them

invitation; to sit On the-dais
Federation's "'guests.

8,10

EuderatiOtfs

:

-

62.000.

8.25

\8.10

62.000

8.25

8.10

week

ended/Oct

19

,

v

9.25

The 'Securities

and

Copper, lead and zinc quotations are based on sales
deliveries: tin quotations are for prompt delivery only. delivered

trade,

at

domestic

consumers'

plants.

As

showinig^lie; 4ailyk^y^urhe of Stock

handied(

odd ibts on YHe
New York"3{ock Exchange ior the
week

are

delivery

quoted

both

for

figures

charges

vary

with

prompt

the

that

High-grade
mand

not

dimensions and

on

0.125c per

a

less

month.

zinc
lc.

are

delivered

premium
than

pound.

zinc

of

lc.

over

\

in
per

the

•

for

quality.

*'/■

the

East

pound

"E.

Cathodes
• k /

'

in

destination,

'

sizes are sold at a
••/'• :kk/kkkV;^'-/

&

M.

and

over

J."

Middle

the

West

current

average

In

nearly

market

for

Contract prices

all

a'-->■■'S.':A■ ':.• •

;

Prime

common

com¬
Western but

Western for .the previous

lead only.

■ ••

•;')

STOCK

EkdHANGE

^

Week Eftded Oct. 12, 1946 V :

,

Odd-tot Sales

by Dealers—
(Customers' purchases)

Number

of

Number, of
Dollar

Odd-lo{

*

Per Week

38,6ll
shares—1,128,536
•

,

value

$40,041,252

Purfchasis by Dealers—

(Customers' sales)
Number of Orders;

customers'

Customers'

*

»
,

,

k

•

<'*

short sales___.

"Customers' other

.

Total

"k;

orders

total

sales..;..

sales....

Number of Shares:

27,476
■

.

'

•

Customers' short1 sales....
other sales..—

"

."Customers'

Customers'
Dollar

total

sales..—

value

Round-Lot

27,964
}

«19,243
853,46a

' 872 7U

$32,551,207

Sales

by

Dealers-

Number

of Shares:
.Short sales

k*

k

tOther sales

:

449^
♦Sales marked "short
exempt" are 1
ported with "other sales."
/■— /
tSales to offset customers'
odd-lot orde
and sales to

liquidate
a

less than

"other

sales."

"'(>

193 270

Round-Lot Purchases by DealersNumber of shares____

is

for

•

Quotations for lead reflect prices obtained for

for

instances

Prime

■

the

standard

ordinary Prime Western brands.

reports

Y.-

is,

On f.a.s, .transactions we deduct 0.075c., for
lighterage, etc., to arrive at the f.o.b. refinery quotation.
Quotations for copper are for the ordinary forms of wirebars and ingot bars.
For standard ingots an extra 0.05c. per pound is
charged; for slabs 0.075c. up, and
for cakes 0.125c. up, depending on weight and dimension; for billets an extra 0.75c.

Quotations for

based upon

are

\

refinery equivalent, Atlantic seaboard.

depending

continuing

figures being

TRANSACTIONS FOR THE ODD«
LOT ACCOUNT OF ODD-LOT DEALERS
\ AND SPECIALISTS ON THE N.

and future

basis:

are net prices at refineries on
the Atlantic seaboard.
Delivered
prices in New England average 0.225c. per pound above the refinery basis.
-vikskXi;.
Effective March 14, the export quotation for copper reflects prices obtaining In
the open market and is based cn sales in the
foreign market reduced to the f.o.b.

discount of

12,

STOCK

Domestic

are:

delivered

a

Oct,

published by the Commission. ThO

'•

...

on

ended

Series of eUTreftt

a

figures shown above

up,

Exchange

^bUckhn'diiiL
22asu^mihary bftom|)letefigUr^s

•

prices

copper

-

Cdhtihissibn yOdO

9.25

f.o.b. refinery, 14.150C; ei^orf copper f;d.b. refinery 16.9670;

the

;

NYSE Odd-Lot f rading
.

The above quotations are <*E. & M. J. M. & M. M's"
appraisal of the major United
States markets, based on sales reported
by producers and agencies.
They are reduced
to the basis of cash, New York or St:
Louis, as noted. All prices are in cents per pound.

In

It

previous

lunbheons.

9.25

•

an

the
is 'antici¬
as

pated that- reservations this^ye&r

9.23

•8.25

17.133

execu¬

agents, - brokers hnd
ployees/ stands,United seriuus un¬
-

Y.<'

9.25

52.000

17.300

.

the insurance

tndfl&tiry, /Inbludihg tithe

Straits tin, 52.000C; New York lead,
8.2500; St. Louis lead, 8.1000, St,
Louis zinc, 9.2500; and silyer/9O.li250.

.

on

■

has the insur¬

industry "faced

ance

,

14.150

-

St. Louis

8.10
8.10

',8.25

52.000

Average prices for calendar

no

Southeast

23

Average

of Oct. 24

wpuld' haye put fhe entire- in¬

industry oh a defense line
of'Teally serious proportions. At

Odd-lot dealers arid specialists.'

Zinc

1

17.300

/

enact¬

filed with the Commission
by the

17.300

14.150

-(k

15,188,844

1,174,600
39,261,780

^UCTATIONS)

J."

52.000 ^
62.000 ;

16.925

_

Feldsifarrton

Straits Tin,
New York

Exp. Refy.

14.150

.___

of

years

surance

ists Who
JUne

45 733

Asbes.feps^.^onw

Coppef'.k ib; __T1

r

Oct.; 17

Foreign Gopper Prices

Mineral

Enterprise and its

30,927,636

DAILY

existence

principles of Pri¬

Special¬

c

234,383

have k been

-of

years

sound

-

/ 3,414

Oct.

-Jk';,

4'Prospects for early decontrol of major non-ferrous metals are
not encouraging. According to advices from
Washington received
Oct. 23, OPA plans to decontrol a long list of commodities
by Nov.

that

"during

July

export

was

July ""arid • Jftifte, -ac¬ transactions for odd-^lbt - account
cording to the Dominion Bureau 6f all bdd46t dohlhrs
^
ada

239,554

for

Oct.

it'-;

.

now

Production t)f mihC'rals in Can¬

{,47,353
30,885,633

Oct.

by 'tHe Commisslon's

:

in recent

10,414 tonsi
the Ckpofts

2,449

is

that

Moderately Higher - November Lead Allocated

tained

Cc&nacla's MnWrkl^^Output
••

totaled

31,008,539

-

ks

Non Ferrous Mefals

the

(

buyers.

'

/

1, but

2,713

,

-

members, their

§Sales marked "short exempt" are included with "other sales."

states:

i

,

opposition to Legislation, if
ed

dollar

31,659,550
granted permission by OPA, effec¬ Lead, lb.—
tive Oct. 26, to make sales of such Nickel/lb.—. "16,240,647
Silver, fire, oz—
1,266,925
tin on the basis of "cost of acqui¬ Zinc, Ibv—39,550,943

volume includes only sales. ;
1
tRound-lot short sales which are exempted frcm res'tfIctibn
rules are Included with "other sales."

"E.

1946

Reserve

'66,338

purchases.

tin calculating these percentages the total
compared with/twice the "total round-lot volume

-

7,331

.

'

the Exchange

'

70,319

Jobbers .'arid distributors of tin
acquired from the Office of Metals

'M'PW-'
66,338

term "members" includes all pegufar and
their.1 partners, including special partners.

11

97,116

which

payment Is hot required has been
declared eligible for sale to Indian

of" Statistics:,;

182,995

—■

•_

k,

2ihe___

During t -all -of 1945
totaled 7,782' tons.

-

Customers' short sales_i__i^i.^_..r.___l;_I.i___^;

Total sales

Jan. I tp
June 30/4

Tin

'

§ Customers' other sales
Total

•

Exports of slab zinc in the first

C. Odd-Lot Transactions for Account of Specialists—

Y:v/yk

1945

j

^

..

:___

-'Total s'dles.'jli...

■

•

half of

•'238,635

tOther sales.-

-1

Old, dross, etc

'31,680

-'Shortsales____^_——______

■■

Slab

31,280

rTotal sales..—
4.Total—..
Total purchases

,

.

bfe''^"iinc"^'6Ht%hi)(^''38i;7l&k\'^kl48,706

400

pother sales

;-r"••''•''■

.

66,645

-^otal purchase8_^k.u.._^-.i.__ii._k—

British; maiket^ for

Cal.Yr.

k

•

'

32

on

vate

its

of CdmmCfce.

17,975

3. Other transactions initiated off the floor—

the

,

been, introduced and now have
become laws/ The 'brdStige of the
Federation has
been " enMhced

or

/Quicksilver

•

'•

industry by unwise 'Compulsory
Insurance
Bills/ k Many
bills sponsored by the Federation
in. the interest of the
public have

Cb.^ -Newark,
little

regarding

says:

Health

its

week,

re¬

The

founded in 1914 by a small group

plant of Baker
N/J. :!rhe Wprkr
third

been

of agents to combat threats to Our

metal

holding at $72 per
troy on wholesale lots and
on sales to consumers.

ounce

at

has

consecutively /cince.

"The Insurance Federation

tions remained unchanged during
the week that ended yesterday,
refined

and

meeting also

into the

come

was

Senate

elected

buying of consequence

^

*

elected in 1930 to

announcement

the

,

A. Total Round-Lot Sales;
i'.r: y 'Short sales

He.

years.

no

in

the

<

•v

Luncheon, to be held

.the

-

15.79

Total Round-lot

guests at the Insurance

k
Platinum
Despite the snarp decline in
prices
that
has
occured; this
from consumers has

Judiciary

the Grand Ballroom of the Com¬

/

of1 the

Senate

modore Hotel, New York, on Dee.
11. Senator Ferguson, graduate of

52.000

tin, was

and

Annual

52.000

52.000.

:v

.,

lib influence

from

bers

52.000

22.

the

Committee will address" the-mem-

52.000

52.000

ranking

Ferguson,

of

Federation's 32nd Convention and

52.000

52,000

52.000

Chinese, or 99 %
changed at 51.125c.

'

zinc

manufacturers

3. Other transactions initiated off the floor—

Short

52.000

52.000

Y

stockpile the .state of the market abroad,
to ^Regular High Grade. All - six consumers
here_, are purchasing
quicksilver in ajnoderate way at
grades will be' Teldased,
;
Wlthr the'^prlCe "situationiln'the unchanged prices.
supply sit¬
metal no longer a major problem,
uation
is
generally 'Viewed ras
•the industry was concerned with easy: Offerings of Sbahtsh/Italian,
developments in the ore market. and 'Mexican metal appear to be
Smelters offered $50 per ton for increasing, but prices askfed Covey
Tri-State concentrate, unchanged a^wlde* tahge /Srid^'J;
eCiuently / the
from the Old level, which was un¬ prospective sellers are not identi¬
satisfactory to producers. The re7 fied^ with' the firms known to the
suit was a tempofary stoppage in trafe vindications that the
/ ship¬
sales * in the Joplin market.;-An ping situation will improve short¬
adjustment in quotas is viewed kas ly may rfesult in increased activ¬
a
possible solution.
k.| ity in the metal. Quotations on
^ Consumption of slab zinc in July spot Were; Unchanged atv$96 to
:jivas; estimatedby.ktheBureau vd| Sfeper^
■
Mines at 64,503 tons, against 65,Silver ^
"2dCf 't6ns In Juhe. t)urifig"July gal\ c Gonsumers^at iprbsent ^re,
ex¬
vanlzers 1 absorbed .k28,59l v tdfis;
zinc-base alloys 16,662 tons; brass periencing nokdifficultyk'iri;satisfying their heeds,/The price situmills 9,975 tons; ingot makers and
htibni; was /unchanged, the * New
foundries 706 -tons; Tolling mill?
York Official quotation holding at
6,173 tons; zinc: oxide/etc.; 2;396;
790%"ek: throughout the week. The
tons.
k.ijsphdonkquotation was maintained
bt :M4d?duHrig
"at
55%d.k London reports
that
the first :|ix months of; 1946, iii India
, is
% again
obtaining / silver
tons, according to the Department from British sources. Silver In the

9,600
61,080

i

:

member

Dec.

19

Beginning With' November, the
Government will no longer1 liihit

'609,460

.-Senator

52.000

Oct.

advisory committee to discuss the
price situation.
t
Sales of lead-during the last
Week amounted "to L926 tons,

424,220

Nov.

2U.._. .44

,

;

..

Insurance Federation

—

'

52.000

-

52.000

...

Oct.: 23

release

set. for the first ^meeting

■

0/

,

k.

__

will

"

Oct.

down, as
supply of con¬

Government

be

Oct.

hand.

on

; k

Oct.1

21,700 tons of lead from its hold¬
ings and the "kitty", during NOr
;vember, A date has not yet been

I'

j

;

is

Ferguson to itfdress m

but-

may

the base price for tin

as

Oct. ■174--./.
Oct. 18

close

to

few days'

The

Odd-Lot
v

Total

■

a

centrates

r-1

tOther sales__;-~

•

only

.

stocks in-whlch

Short sales
+.

'

5,556,880

Members,

of

1

registered—

are

(Shares)

forced

1.7%

lows:

.

3,400 men. If operations
quickly resumed, the comjsmelter at Herculaneum

be

Stocl

5,374,450

,

.

of

Accounts

»

1. Transactions of specialists in

they

Round-Lot

'182,430

_T

_

______

Transactions

for

will

and

Total for Week

tOther SaIes________,./_

B. Round-Lot

pany's

WEEK ENDED OCT. 5, 1946

.

A. Total Round-Lot Sales:
'

Exchange

not

are

16.37% 'of the total trading of 1,981,095 shares.

was

Total Round-Lot

■

volving

tons,

was
concerned, • the market/ Was
unchanged. Straits quality tin for
shipment was nominally as fol¬

strike that began on Oct. 22, inr

that

on

5

_

So far

figures.':
■...
y;'f-v•'Vsf:-' at the end of September, against
Trading on the Stock Exchange for the account of members 358,866 tons a year ago,
(except odd-lot dealers) during the week ended Oct. 5 (in roundSM >'S-k> k-' k
dot transactions) totaled
1,754,920 shares, which amount was 15.79%
To complicate matters for the
of the total transactions on the
Exchange of 5,556,880 shares, 'i" This lead
industry further, all the
compares with member trading during the week ended Sept. 28 of
Southeast Missouri mines of St.
3,435,875 shares, or. 18.48% of the total trading of 9,297,750 shares, u
Joseph Lead Co.y including "Mine
On the New York Curb
Exchange,'member trading during the Lamotte, were shut down by a
•

than

•added-to cost. On lots of less than
500 lb.
th~e increase * allowed
is

copper

in

fabricators

-

dif~;

certain 'quantity
-oftori

active.

amounted

plus

.

Thursday, October 31, 1946

foreign^reii

and ^

Consumption of refined-

figures showing the volume of total round-lot stock sales on the
New York Stock Exchange and the New York Curb
Exchange and
volume

from all

copper

domestic

mains

Oct.

on

23

the

for

ters,

& FINANCIAL CHRONICLE

a

round lot

long position whiare

reported wi

Number 4538

Volume 164-

THE COMMERCIAL &

FINANCIAL,CHRONICLE

:Total Loads

Revenue

Freight Car Lgwihgs During Week '
Ended Oct. 19,1946, hcreasetf 32.323 Cars

'

V',

•

•

Railroads

!■•

1946

1945

33,735
25,895

9,911
9,498

4,509

1,303

—-

64,139

20,712

Alabama, Tennessee & Northern—-—

353

AtI.&W. P.—W. R. R. 0fAla.„——.

S53

C

**—

Norfolk 86 Western——

——

Loading of revenue freight for the week-ended Oct. 19, 1946
totaled 931,766 cars the Association of American Railroads announced
on Oct. 24. This was an increase of 157,959* cars of 20.4% above the
corresponding week in 1945, and hri increases of 25,761 carst Or 2.8%
Rbove the same week in 1944. , '.

Virginian

If; Loading of revenue; freight for tbeMVeelO of Oct, 19 increased
,32,323 cars or 3.6% above the preceding Week.

Atlanta, Birmingham & Coast

,

Total

cars

———————

of merchandise

cars an

less

totaled

,

^

Livestock* loading amounted to

33,499

,

cars an

iihg df Livestock for th&* week Of Qctv 19 * totaled -26,444 cars ari in¬
crease of 6,651 cars above, the preceding week and an increase Of
3,564. cars above tlie corresponding week in 1945.
Forest products loading totaled 48,503 cars an increase of 2,129

fhO corresponding.week in 1945.

t

of 11,484 cars above

,

loading amounted to 62,839 cars, an increase of 2,478 cars

Ore

corresponding week in 1945.

Kaboye'fhcT precedingWeek; and

an

increase of 7,691 car's above the

corresponding week in 1945,
reported increases compared with the corresponding

All districts

<

Week

1945, except the Southwestern, and all reported increases

in

Allegheny,

the

except

1944

with

Compared

Centralwestern

and

119

2,883,620

January.
weeks of February.
weeks

4
4

of

3,003,655

2,604,552

——

of'
weeks of June*—

*4 weeks of July—*—.—*.**!*.*—**»..—**;

3,406,874

of • August*-—
4 weeks of September—*-—-——*———

*

V

3,456,465
4,366,516
3,379,284

4,478,446
3,517,188

5 weeks

!;&Week'0f:Qcf%12.^
Oct.

of

,

19—

3,459,830
4,473,872
3,527,162

783

•

•

.

754,559
773,807

33,156,654

Total

113

2,071

518

387

313

739

3,811
16,257

4,540

28 720

5,344
30,547
25,643

16,077

9,771

9,951

236

206

273

352

3,427

Norfolk Southern™

1,429

3,360
1,175

416

430

396

460

_

Piedmont Northern™
Richmond, Fred. 86 Potomac
Seaboard Air Line

11,955

28,799
744
167

136,969

—.

'

(NUMBER OF CARS)

WEEK ENDED OCT.

21,718
4,155

23,829

1,354

1,196

9,021

6,910

25,201

—

Spokane International
Spokane, Portland & Seattle*.

.;

Central Western District—

2,544'
8,638

19

Ann'

*424
L67i

Hudson

349

11,756

1,132

1,426

2,238

1,655

52

50

34

"

8,283"

„

•

Lehigh, & Hudson River—i!——— :
Lehigh 5s New England!!!!!-—*!*-!
Lehigh' Valley—
_r-—*
Maine Central-!!-*!—

4

v:

488

43,694

51,801)

11,813

10,330
■i923

9,309

^

963

Canton & Youngstown
Baltimore & Ohio.*————
Bessemer & Lake Erie——

—

5,858

1,163
272

557

-

216

1,014

;

li763 ."

386

-r

306:

1,029

6,847

3,939

5,453

177,327

141,169 ■..165,902

583

693

785

:

:

-

•"

58

28 !

-171

-

1,998;
1,225

-

-

163

11,861

9,547

3,813

Fort Worth & Denver City—Illinois Terminal-i.—

207,"337

157,088

1,243

644

.

*■**•—
►

,

2,186

1,217

Northerh***^**S^iiijp^*ftis:^l,477;
--*«

—————.

■

1,406

/.
:■

,

v

-2,157

•

5,315;

2,379
1,308 ;

'

12,386
'

<

863

13,210
2,954
2,276

?

5,626

,

J.: ,836; ;;.1
1,054

12 ;
32,149s
§
23,228

5,980

71 1,911f

75

-

r

!

1,983

1,982

,

.V

1,951
622

504

25,665

20,566

5,397
1,672
6,690

2,498

1,063

11

9

18,761

13,785

543
178

62

106

42

41

9

8

7

16

4,774

3,963
1,663
45,822
21,665

;\

2,211
2,247

1,840

1,945

2,168

91,178

70,777

87,350

64,104

16,096

14,904

16,141

25,265

18,584
4,154

8,504

20,257

6,120

3,347

3,210

3,973

10,641

10,095

192,797

147,518

194,293

161,308

122,695

1,895

1,764.

manufacturing iiidustries fot Aug;
with

comparisons
with*
dates, follows:
"Hourly Earnings: A rise of
1.8% from July to August; Other
comparisons are: 10.2% Over fig¬
ure a year ago; 105.9% over 1929
(so-called 'Prosperity' Peak).- .; ■
"Weekly Earnings: An increase
of 2% over July. Other compari¬
sons:
1.8% greater than August,
1945; 70.2% over 1929.
r;: "Real Weekly Earnings: ^An in¬
crease of only 0.1 %; over July,

127

,

728

,

6

12,033

353
24,400

16,264

.

.

,
§;
16,679

-

.

/

353

2,520

150,420

comparisons:

7.0%

"Hours Per Week: Unchanged
fron^July to August, 1946. They

•;

14

0

4,074

2,281

147,335

2,398

1946.": Other

smaller than year ago; an increase
of 46% over 1929.

0

have

4,483

been

cut

since

7.8%

Aug.

1945; and 17.2%

:—-

3,368-

3,431

6,294!:

2,264

2,340

1,978

:—'

——

2,175
1,181

2,603

2,866

since 1929.
"Employment: Employment fig¬
ures rose 1.5% from July to Aug,
1946. This represents an increase
of 1.2% over figures of a year ago.
Since 1929, employment figures
have riseri

149,872

Southwestern District—
; r !
Burlington-Rock Island!-!*!—217
.

--f

GUlf Coast Lines*!!*-—!-

,

,:

93,236:

91,526

,

332

1,030

1,870

2,946
1,565

2,905

5,232

2,639

2,523

2,604

3,691

2,171

347

320

1,426

2,431
1,045

198

172

5,331

5,728

17,411

18,413

6,723
19,084

87

88

10,236
3,031

9,125

8,740

4;795"

:.

tK. CX & G.-M. V.-O. C.-A.-A,-*-!r*--«';

1,338
3,208

City Southern—**-:—--**-*-^.
1-

177

,

*326

4,268

3,829

14,589

15,222

—

197

241!

8,491'

8,071

4,866

4,598

4,735

10,736
3,610
11,753
6,149

68

St. Louis-San Francisco

St. Louis-Southwestern
Texas & New Orleans

390

367

824.

9,943:
3,311

International-Great Northern—

Texas & Pacific*-**--—*****!**—--^

Wichita Falls & Southern
Weatherford M. W. & N. W

71

93

65

37

.

'34..

37

9

78,439

58,288

62,950

Total

5,838

5,225

6,318

6,035

64;248

,

72
'■

16

"Man

NOTE—Previous'1 year's

figures

v

'

revised.

hours

Were

greater iri August" than in
the previous month.
Since Au¬
gust of last year, they have de¬
clined 6.7%, and since 1929; 0.9%.
;
"Payrolls: Payrolls Were ex¬
panded 3.6% from July to Aug.
1943. They were 3% larger than
a year ago. Since, 1929; they have
been increased 103.7%."

56,831

Result of Treasury

-

!•

19i7%.
Man

Hours:

1.5%

: tIncluded in. Atlantic Coaist Line RR.
tIncludes Kansas, Oklahoma & Gulf RyV
Midland-Valley Ry., and Oklahoma City-Ada-Atoka Ry.
§Strike.
.
>

.

Offering;
The" Secretary of the- Treasury
fannounced on Oct. 28 that the

Weekly Statistics of Paperboard Industry
We give

activity of the mill based on the time operated/ These
figures are advanced to equal 100%, so that they represent the total
industry.
;
5

' Ordfers

*

1946—Week Ended

July
6
July 13
July 20—

*—

——*

*

——

—

3——.

*—*—.-

Aug. 10-*-^

-

—

Aug. 17—*;

:■

Aug. 24——*

,

—-

_:—**—

Sep.

Sep.

7

Remaining

118,542
141,476
158,210
161,405
167,192
163,034
166,363
168,120

596,425
599,527

160,074

21*——*——

28—*

*

Tons

•

Tons

588,429

Percent of Activity
Current Cumulative

70

95

87

95

94

95

——*—

—

ments of unfilled orders.

"

,

•

.

575,590

95

95

620,354
610,459
600,674

98

95

mately 0.376% per annum.
Range of accepted competitive

95

bids:

98

95

578,276

100

95

173,064

564,299

100

95

138,189
172,476
169,143

615,865

83

593,213

101

95

579,500

100

95

160,969
223,117

170,970

569,409

101

95

100

95

v

96

95

619,581
172,354
95
99
605,059
Oct' 12~—158,176
169,988
98
96
598,569
Oct. 19—_**—
,**—*-,
155,589
161,534
orders received, less production,
NOTES—Unfilled orders of the prior week; plus
do not necessarily equal the unfilled orders at the close.
Compensation for delinquent
reports, orders made for or filled from stock, and other items made necessary adjust¬
5

-

Total' applied for $1,754,460,000.
Total
accepted, :• $1,303,261,000
(includes $29,445,000 entered on
a fixed price basis at 99.905 and
accepted in full).
v
Average price, 99.905-f; equiva¬
lent
rate
of
discount approxi¬

192,978
151,407
156,822

*

,—!———

Sep.
Oct

.

Unfilled Orders

180,587
127,832
149,547 '
149,865
215,730
" 156,766
158,304
146,057

14 _!—-———

Sep.

■

Production
Tons ;

".

——

27—

Aug. 31

.

Received

Period

July

Oct. 28.
.

STATISTICAL REPORT—ORDERS, PRODUCTION, MILL ACTIVITY

...

"

245

surrw

maty of labot Statistics for the 25

749

;; " •. « 0;
33,751'
11,769.

;

,

.32^989

;

2,997

45

,

;:;l,375^V'v:,li543;;f'^;''182li':
'^-153:
'.1,075.••'627',

——

Southern Pacific (Pacific)*!'——

12,058

13,033
.737
13,685
3,395 "

13,128
3,155;

1,507

Western-Pacific*^—1,174
Peoria & Pekin Union;
; :
29
-

;

.

•3,453

3,582' ?

^,722

1,251

•«,

.

3,822
74*

- 350'
23,373

5,345
- 813
1,193
1,821
; 1,557

,

12;908"

273
23,826
3,175;
13,749

742

j,

,

27;775

"

North

Aug.

47,492

'

particularly

earlier

26,583'
'3,595"

4,922.

.

" '

Missouri-IUinois_4-*-**—,

3,068

262

-491

industries;

"The Conference Board's

1946,

1,188

.-—**—.

Western—:

1,845
1,06C

3,308

29

Some

cates the

5,132

35,191

470

iri

iri textiles.

1,442

2.153

10,569

1,467

6,246

f d"

4,80$

•

24

13,01C

2,689 :

:

,

34,518

15,275

4,773
;•> '

o a

9,409 ■
6,878 !

,

:T3;737.;:

337

6,604

B

for
$1,300,000,000
or
herewith latest figures feceived by lis fium the Natioflsd itenders
Paperboard Association, Chicago, 111., in relation to activity inf the jtheteabdut of 91-day' Treasury
bills tb be dated Oct. 31 and td
paperboard industry.
Tha members of this Association represent - 83% of the total jmature' Jan.- 30,.- which were df-;
fered ori Oct*. 25, were opened at
industry, and its program includes a statement each week from each
the Federal Reserve Banks, ori
member of the'orders and production, and also a figure which indi¬

275
'

$2,248";

•

•v

! i

1,136

7,139

7,0.13
3,32$

-27

'

,

2,448

2,715 '

c e

1,704

.

798

-

438

.

?>:• 444 •:

305




42774

430

v

—*•———*——.

2,01 J
1,256

43,355
43,355

Ligonier Valley—
——Long Island—
----Penn-Reading Seashore Lines———
Pennsylvania System——
Reading Co.—-—-—————Union (Pittsburgh)—
-

Total

5,347

.203
2,590

C O ri fere ri

12,168
:

8,961
3,766
260:

7,862

5,464

7,225

Maryland

14,348

174

The

! 6,879

•

'

'

529

;: 4,262

Jersey—*——

Western

.

; 1,435

i

;

;

7,401
;

5,530

Cornwall -—._*——*——-——
Cumberland & Pennsylvania-.^——.

1,113

383

6,159

Cambria & Indiana—

Central R. R. of New

'

.

-7,179

Allegheny DistrictAkron,

;

:996

-

7;113
2,735

2,280

6,411

417

~

—

"JTotal

•

2,737 -;Y
7,459 *

7,788

-

126

.

16,289"

:

*5,889
2,335

54,302

,

Louis—
y„-Susquehanna & .Western—- :
Pittsburgh & Lake Erie--—-*——* •
pere 'Marquette——r——*
Pittsburg & Shawmut—
Pittsburg; Shawmut 86 Northern**—':
Pittsburgh
West Virginia-——— !

2,199

2,450

:

1,064"

N.

-——._*-—!-!*Wheeling & Lake Erie—

1,706

281

1,270
;!!3,088

14,384
3,889

T ? 148
,8,698

N.

•

3,600
:v 1G6

.

i2,806'

Y., N. H. & Hartford-————,
New York, Ontario *& Western!-—.1-

363

9,290; ! 8,683 ,"
2,509

;

V

jAoiiorigahela —*-!!-*!- *■**!!-!-■--•!-

Wabash

419

11,567
;

'

.

9,107 V1

■

2,258
9,125
7,937

'

442

"152

,354

2,016

-

14,126
-4,896

tirie -!—*!-!-!-—
Griairid Trunk Western—*——*—*

■ ——————■——---

387

1,715;;

: 2,627"
•

-

8,122 "

7,203'

-

.2,196.
11,276*

,

:

4-843

4,958
-

V.;:.5G5 'V'

.

.1,09.0

1,080,

-

.

other'

amounted' to 0.5% tot all Workers,
but substantial raises* we're noted>

3,222;

100

29

1,189

Delaware-, Lackawanna- & Western-**
& Mackinac.—
Detroit Toledo & Irdntott—!*—*Detroit & .Toledo -Shore Line*-

Rutland

1,096

,

294

14,019

5,372

Detroit

New York, Chicago a? St:

1,584

*

1,867
.6,768

&!:-i 44#:

—!—-—

Montour ———
—
New" York Central Lines—:—**——

f

1,793

7,316

;

•

.

:: 379

337

.

1,565

Chicago, Indianapolis & Louisville—
Central Indiana
-Central Vermont-**-*!!-—
&>

1945

1946

1944

7,790.

& Aroostook——————!.
Boston & Maine————

Bangor

Delaware

3;952

"

^

Arbor—.:

7,705

.

All

.

..

Quanah Acme & Pacific.

-Connections^—

1945

1946

v
x

^

6,575
836

864'"

14,051

Atch., Top. & Santa Fe System—
27,748 '
Altonl-***--****!-^**^—3;359
Bingham & Garfield—392
Chicago, Burlington & Quincy
23,503
Chicago & Illinois Midland-—3,448
Chicago, Rock Island & Pacific
14,663
Chicago & Easterri UlinOisi****^—*-**,.
3,322

'

Eastern District—

6,909

2,881

2,298

Missouri-Kansas-Texas Lines-—!

-Freight Loaded.

109

13^,776

'Missouri Pacific——*—!—!-—-!—!-;,.

Received from

Total Revenue

.135

2,570
«■

August.

to

7,207
'

; 4r3,082

2,601

.

.

8,792

711

147,712

——

Total———

233

1,339

and

459

5,102

615

640

July

332

3,58C
10,027

5,834

2,009

'

.

statistics;
except
real'
hourly earnings arid the riomiftaP
Week, showed- increases;
\"Wage-tats 'increases reported*

11,420

25,176

declines

payroll

655

429

Thesd

14,510
-

3,577
23,882
.9,687'
447"

19' industries.

range from 1.7% in wool to 19.3%
in the heavy equipment
group.
Hours per week were - the same*

908

irt

4,395
23,218

'

ih'

99,279

107,304

26,864"

.

Total Loads

Railroads

121,464

3,776

2,165
Utchfield & Madison-*-!—-!!!***-*-.<.;;
478
Missouri & Arkansas*—!—*i
§

CONNECTIONS

FROM

917
■

16,033

633
2,709
2,650
:!; ""
8,488;
5 15,039 ;■
-v.• 251

Bay & Western

Nevada

7,430

1.045

2,795
24,043

499

Minneapolis & St. Louis
Minn:, Sfc Paul & S. S. M-—!—

.

144*

21,954

23,955

Louisiana & Arkansas

RECEIVED

20,257

828

2,693

Great Northern

Kansas

AND

23,807

684

7

35,427,825

for the week ended Oct. 19, 1946.
^Dilring' thii period 92 roads reported gains over the week ended
LOADED

weekly earnings were lowered irv
five iiidustries; Since* last
Adgust,
feal weekly earningshave dropped'

riili' '■

Western Pacific———*-!-!—!*!—

the separate railroads and systems

FREIGHT

7,744

8,763
24,014

530

Toledo, Peoria & Western.
—.
«
§
Union Pacific System.!—!—*.**—**;23,073
Utah-!**!*-*!—
***—*!*—:-,: ., 791 •

-The following table is a summary of the freight carloadings for

REVENUE

1,237

8,078
8,283

906,005

34,310,505

.

1,729

431

21,291

Ft. Dodge, Des Moines & South

decline in real weekly earnings
this period, although actual

for

1,573

2,650

Elgin, Joilet & Eastern——*-*—

—*

a

38C

1,826

29,385

_

Green

809

4,170

;

Chicago & Northwestern-***——**-/
Chicago Great Western—
Chicago, Milw., St. P. & Pac
Chicago,' St. Paul, Minn. & Omaha
Duluth, MiSsabe & Iron Range—
Duluth; South Shore & Atlantic

in'

4,118

•

g '■ '

1
:

buy

407

115,049

*

.<V\Y5f. ;•"«>''')• •::-K\-

will

324

139

Northwestern District^—

794

dollar

964

24,710

Winston-Salem Southbound

<

payroll

goods and services rose' only 0.1 %
from July to August. Thirteen o£
the industries
surveyed showed

3,662

10,056

Southern System—**—*—
'—!*—''■
Tennessee Central--*
!-*:—-*—**,!

•Total—*——

the

668

5,182

402

,

Board's announcement continued:
"Real weekly earnings, or what

1,211

91

2,295

4,779

.

•

1,744

73

264

Total-,

*1'

652

1,324

earnings
of
workers in Aug.

new

of 25 manufacturing indus¬
issued
on
Oct.
21. The

tries,

353

84

898,*720

768,040'

744

1,318

877,035

4,100,512
3,255,757

906,848
899,443
931,766

Week of
Week

-

3,916,037
3,275,846
3,441,616
4,338,886

3,377,335

-

•

2,616,067
4,062,911

4 ■' weeks

3,158,700
3,154,116

V

3,052,487
2,866,710
3,982,229 .^^ 4,022,088

3
Weeks* of - March**-***
"4 weeks of ApriL.
**

•

148

a

Conference Board's monthly sur-"
vey

268

.

114

Denver & Salt Lake

1944

1945

;

260

1,227

*

Denver & Rio Grande

1948

375

1,083

*—_-

Colorado 8c Southern:

-

2,271

405

,

Southwestern.

4,131
1,424

3,416

29,440

amounted to 14,690 cars an increase of 341 cars

loading

1,383

1,779

150

—

Northern Pacific—*

above -the preceding week and an increase of 512 cars above the

Coke

3,493
77:382

4,502

459

1,669

545

hit

high for the
seventh consecutive month, ac-;
cording to the National Industrial"

1

4,197

1946,

8,722

1,991
432*

Lake Superior & Ishpenflng

*

1,879

!

hourly

,

manufacturing

176

2,165

Mississippi Central
Nashville, Chattanooga & St. L,

increase of 9,828

the Western Districts alone load-

Oars above the preceding week and an increase

250

794

28,545
17,418

'■

the corresponding week in 1945. In

319
7:

823

Macon, Dublin & Savannah

increase"of 6,300 cars above

above the preceding week and an

487
;

4,153

Illinois Central System.
Louisville & Nashville-—__

-t4-.Grain and grain products loading totaled 50,237 cars, an increase
of 502 cars above the preceding week but a decrease of 9,495 cars
below the corresponding week in 1945. In the Western Districts alone,
; grain and grain products loading for the week.j)f Oct. 19 totaled
32,474 cars, a decrease of 36' cars below: the preceding week and a
decrease of 6,055 cars below the corresponding Week in 1945.

cars

~

,

9.044

Georgia & Florida
Gulf, Mobile & Ohio—

v

*

17,306

779

—'

Georgia—

Coal loading amounted to 191,019 cars', an increase of 5;753 cars
above the preceding week and an • increase of 94,049 cars above the
,

1,721

24,263

9,869

Gainesville Midland-^—-

corresponding week in 1945.

^corresponding" week in-1945.-

1,352

53,805

..

t

Columbus & Greenville*-*-!*,

increase of 59 cars above the preceding week, and an

increase of 15,939 cars above, the

6,897

4,128

11,804

Georgia.

Clinchfield—

Durham & Southern—

carload lot freight

than

20,943

1945

9,450
6U35

.

t

C

—

Florida East Coast

Loading

16,014

14,514

—_

—.

Charles ton & Western Carolina:

'*

130,355

1946

28,734

>

Average

Atlantic Coast Line—
Central Of

an increase
increase of 31,479

above the preceding week, and an
above the corresponding week in 1945.

•

A

—Connections—

1944
•

SouthernDistrict—

Miscellaneous freight loading totaled 400,624-cars,

I

df 11,233 cars

-Freight Loaded——-

'' ■
...

Chesapeake & Ohio——**-

Hourly Earnings at
Mew Peak In August
Conference Bd. Reports

Total Revenue :;,,!"■!Received'from'

,!

;■

■

.

Pocahontas District—

High, 99.906, equivalent rate of
approximately 0.372%

discount

per annum.

-

Low, 99.905; equivalent fatp of
discount

approximately

per" annum.
73% of the amount

0.376%

bid for at

the low price was
There

was

a

accepted.
maturity of a sim¬

ilar issue of bills ori Oct. 31 in the

amount of $1,306,111,000.

"J1::"

THE COMMERCIAL & FINANCIAL CHRONICLE

2280

Thursday* October 31, 1946

who was 89 years of age, had quarters; Elvin Centenaro, Excel¬
long been nationally known.
In sior branch; Joseph Masolino of
the Kansas City "Star" of Oct. 24 the Clay-Montgomery branch, and

of almost $5.2 billion.
With continued reconstruction

its Was

abroad

ney,

Items About

stated that Mr. Swinney Lou Gazzano of the 29th and
began his Career in banking at Mission branch."
Fayette, Mo,, in 1877. In 1882 he
went to a bank at Rich Hill, Moi,
The appointment of A. B. NordVI':
and the following year took a simi'ling as Vice-President and Man¬
lar position at Colorado City* Texas.
ager of the new Fresno, Calif.,
The "Star" added that in 1886 that office of the Anglo California NaFrank K. Houston, Chairman of of Bennington, Vt., increasing it the young banker made a
trip to tibnal Bank of San Francisco, was
vthe Chemical Bank & Trust Co. from $150,000 to $200,000, effected Kansas City and the visit resulted indicated by Sidney P. Allen, Fi¬
of New York announced on Oct. by the sale of new stock, was an¬ in the offer of the job of Cashier nancial Editor of the San Fran-'
>24 that Thomas Di Dominica has nounced
by the Office ; of the of the First National Bank, which cisco "Chronicle" on Oct. 5. Pres¬
b e e n
appointed
as
Assistant Comptroller of the Currency oh had then been Organized only a ident v Allard A. CalMns U an¬
Oct.-21.
/v/'Vw-;/ year. Mr. Swinney accepted and nounced. The same advices said
Treasurer of the bank.

1 "5

*•

Trust

Companies

'

'

.

.

took

J. Donahue, Treasurer
Union
County
Savings

Edward

the

over

1887.

He

<

post on March .1,
just 30 years old

was

of the
board of directors of the Colonial

of

Trust Co. of New York, Arthur S.

:

Bank, Elizabeth, N. J., died on
Oct. 19. .The Newark "News" in

also quote:
"In 1900

announcing Mr. Donahue's death,

title

said dn part:

meeting

a

Kleeman, President of that insti¬
tution, addressed a communication
to all members of the bank's staff

the

at the time.

From the "Star"
he

:

Cmade public Oct. 28), in which
he said:
?/'■
:: "Doubtless it
will interest and
please you to know that at a
meeting held on Wednesdayy Oct,
23, the board of directors of the

''

-

"Hp joined the bank in. 1914;
and held positions as Secretary,
Secretary-Treasurer and Treasu¬

Mr. Swinney continued as
until
Aug. 15, 1927,

President

when he became Chairman of the

He served as
President of the Savings Banks
Association of New Jersey from
1936 to 1937, on committees of the

Board, passing the office of Presi¬
dent to Harry T. Abernathy, who

and

was

a

of

President, an office then

by Col. J. L. Abernathy,
capitalist and furniture manufac¬
turer.

board of managers.

unlike his father had made
a
unanimously approved my
career of banking.
^
"
to the New York State
National Association
of. Mutual
"As President of the bank, Mr.
Bankers Association, to state that
Savings Banks, etc."
Swinney was the: recipient of
we would be glad to see the adop¬
tion
of - permissive
many
honors, among them his
legislation
An
innovation
occurred
in election as'President of the Amer¬
which would authorize banks to
Philadelphia on Oct. 19 when ican Bankers' Association. That
close on Saturday throughout the

hank

writing

:

Our directors are thorough¬
appreciative of the untiring

year.

ly

efforts

of

>

members

the

of

our

Land T i tie B

a

nk and Trust

Company introduced to its clients
its f four

ice

v

customer

new

serv¬

girls.; It is the first bank in

hope that Saturday holi¬
days will soon be authorized, for Philadelphia, and one of the first
it would give us great satisfaction in the country, it is said to in¬
if we could find it possible to pro¬ augurate a service of this nature.
vide two complete days of rest The four girls have been given an
intensive training in all depart¬
out of every week."
staff;

we

ments
•'

For the

exhibition

the

month

next

three

in the west wing

rooms

■V of The Bank for Savings of New
•v

York, at 4th Avenue at 22nd
Street, are being used to display
the hobbies of the employees of
the bank. In its entirety the show
of people
who know how to use .their leisure
well-integrated

bank

well

as

as

a

schooling in banking
fundamentals and practice.
They
will, be on duty on the banking
floor throughout the banking day
to answer any and all questions
regarding banking procedure.
The
Trust

National

First
Co.

of

Bank

&

Bethlehem, Pa., ac¬

was

chosen to

ever

the youngest man
that position.
In

the succeeding years he

m

grew

stature among the great bankers
of the nation, and on many occa¬

sions he

offered various

was

ex¬

ecutive posts by banking interests
in
other
cities.
He often re¬
that

marked

decision

his

to

re¬

main at the bank which had been

choice

his

as

a

young

was

man

of the most important- of

one

his

life;V®^^

have

been

Govt.

associated

National

Bank,
he
Chairman to

First

the

with

ap¬

1

Foreign Loans

Up In 2nd Quarter ;
United

The

v

international

balance

States

retired
assume

of

during
the second quarter of .1946 was
characterized by a very sharp in¬
in

crease

payments

loans

Government

to

and a smaller,
yet substantial, increases in the
liquidation- of foreign gold. and
dollar holdings, according to an
countries

foreign

selves.

Trust

and

:v■■■y

likewise says:
<
;
"The value of goods and serv¬

ices received from abroad

was es¬

decline
million from the first
The reduction in: pay¬

of

$100
quarter.

a

armed

abroad

forces

more

than

Co.

of

Louis

St.

an¬

"Exports
during the second
quarter reached an annual rate
of nearly $10 billion. This rise is
credited to improvements in the
domestic supply situation of many
manufactured

goods, larger ship¬
Savings of Washington, D. C., has ment of F. C. Lexa, Assistant ments of foodstuffs; particularly
The direcliirs of the Security
increased its Capital stock on Oct. Cashier, as Assistant Vice-Presi¬ wheat,
to
famished
European
Trust Co., Rochester, N. Y., on Oct,
countries and, to a lesser extent;
14 from $100,000 to $300,000 by dent.
17 elected Edward P. Curtis, Jere¬
to price rises.
sale of new stock, it was an¬
miah G, Hickey, Carl F. W. Kaelnounced in the bulletin, by the
"Total sales and other transfers
The Federal Reserve Bank of
ber
Whitaker
The

and

v

the

Nelson L.

board

made

to

directors, it was
in the Rochester

of

known

'Times Union"

of Oct.

of

Commerce

Office of Comptroller of the Cur¬
rency

on

Oct. 21.

Curtis,

native Roches-

a

is Vice-President of the
; Eastman Kodak Co.
Mr. Hickey,
also a native Rochesterian, has
been President of Hickey-Freeman
Co. since its formation in

terian,

1899.

."Mr, Kaelber

the. law

of

firm

-'.and- Kaelber.

"Mr.

is

member

a

of

McLean, Duffy

/

President of

Whitaker is

For 16 years he was
director and President of the Os¬
Graflex Inc.

County Trust Co. of Fulton,

wego

N. Y."

,/■;

of the
14

the

National

Commerce of
has

Comptroller

Currency reported

that

increased

on

Bank

Oct.
of

Charleston, W. Va.,
its
capital stock
$300,000 by sale

from $200,000 to

<jf new stock.
The

Bank

of

Chicago, of Chi¬
cago, 111., to be located at Wilson
Avenue near Broadway, has been
issued a permit for organization
by the State Auditor, the Chicago
"Journal
of
Commerce"
an¬
nounced on Oct. 12.
The bank is

v,,4.

ago

^

<

v

with

several
with

banks

and

firm.

Edward

New

York

accounting
Kelly, since

an

L.

1945 head of the tax

Succeeds Schumann

department,

Comptrol¬
ler. Adolph P. Hamann, who had
been

as

associated* with

the

bank's

accounting and auditing divisions
1917, was advanced to As¬
sistant Secretary. William F. Farsince

rell, who joined the bank in 1945,
was

ler"
An

named

Assistant

■ \

increase

capital of the

of

Comptrol¬
■
'

$50,000 in the

Firs): National Bank




on

Oct.

25

to foreign countries, in¬
cluding transfers of lend-lease
material, surplus goods, and civil¬
ian supplies by our armed forces,
of goods

Quincy, 111.,

ness
new

Oct. 23.

bank

opened for busi¬

The officers of the

are:

Walter

Chatten,

President; J. E. Kline, Cashier.
Fair

The

Park National

to

rose

I

Bank

Dallas, Texas, was granted a
National Bank charter on Oct. 15
of

the Comptroller of the Cur¬
rency. The primary organization,
which has a capital stock of $200,000, will be headed by Gus Cook
and H. C. Chalk as President and

annual

an

billion.

This

rate

figure

of

was

$13.8

higher

than transfers in 1945 and only $3
billion less than the wartime peak
of

commodity transfers reached in

1944.

.

,

of

second

surplus goods located abroad and

perhaps

much as $200 million

as

included

lend-lease trans-

under

fers represented bookkeeping en¬
tries for transfers actually made
some

months earlier.

"

"The export surplus

the net

which foreign

extent to

countries

represents

not able to finance /

were

imports from the United
through current proceeds
and services
to the United States. During the
States

quarter foreign countries
to finance less than
40 % of total goods and services
transferred to them through cur¬
rent
earnings.
This percentage ;
was considerably less than during
the first quarter of 1946 or during
able

were

1945.

"Compared to the first quarter

,

marily in the
term
capital.
loans was

outflow

The

of longincrease in

due entirely to larger

Government loans, most of which

merely reflected the Government
transfer of goods.
This applies
particularly to
lend-lease
and
surplus property credits. Of the
Government Joans

total
ized

author-*

anticipated, amounting to»

or

nearly $10 billion, excluding our
investments in the Monetary Fund
and the International

Bank, about

$2.5 billion had been

disbursed by

June 30.
the

"At

loans

rate

these i

which

at

utilized

during the
second quarter of 1946, the total
were

volume

of

credit

anticipated

authorized

or

exhausted

would be

before the middle of 1948.

Addi-/

tional aid to

foreign countries for
and
development
depend upon
increased foreign investments and
loans by private capital, including
loans negotiated through the In¬
reconstruction
would

thereafter

ternational Bank."
>

In conclusion the article states:.
"Foreign short term balances in

withstanding the setback brought

billion.

about by the shipping strike, ex¬

gold and dollar balances by for¬

eign; countries

.

of
California Bank, at Los Angeles,
Calif., on Oct. 17 was elected
President of the California Trust

upward trend

Angeles, succeeding
the late Arch. W. Anderson. T he
Los Angeles "Times" in noting

L.

Frank

Co,

King,

President

Los

of

said:
".h-vj
/.--v.•
"California Trust Co. is a Wholly

this

affiliate

owned

of

controls

as

an

are re¬

*

">

legal

reserves

and working capital, the liquida¬

nearly $2 billion without forcing

'"If private exports continue to
"at

increase

the

-

rate

exhibited

since V-J Day,'- the article states,

decline

in

more

were

.j*

or

6.5%,

$4.6 billion. The

setbacks in May and June

followed

y**

tby

a

sharp rise of

at

annual

an

rate

of

these countries into retrenchment
of

expenditures

in

the

United

States.

than offset the

Government-procured

by about $70 million

small

Kansas

r■

for

resulting deliveries is shortened.

to annual rate of

-

as

$6.4 /

need

tion of these asests could not long

Advanced to As¬
sistant Cashier posts were: J. W.

.

of the

continue

year

City, Beatty, Humboldt branch; Marvin
San
Francisco head¬
Mr, Swin- Cardoza,

In view

between the placing of orders and

the trust company

at that branch.

United States at the end of

June still amounted to about

laxed and the long waiting period

California "they would

Chairman of the board of

Bank.

>

of 1946 the major change was pri¬

ports are expected to continue

Cashier, respectively.

,

$2.6 billion during the
quarter. This was larger
than in any quarter since the* be¬
ginning of 1945, but less than dur¬
ing1943 and 1944. However, part
of the second quarter export sur¬
plus—as recorded for balance of
payments purposes—does not rep¬
resent currently produced goods
and services. More than $500 mil¬
lion of our transfer consisted of
ed to about

the

Assistant Cashier and Chief Clerk

National. Bank

transferred to foreign coun¬
over those received amount-

ices
tries

$350 million, or 2.4%, oyer the
first quarter of this year.
Not¬

of

.

Mq., died on:Oct.24,:

services, the article states, adding:
"The excess of goods and serf-

"Private exports showed a gain

,

E. F. Swinney, Chairman of the
Executive Committee of the First

future than

near

during the first half of the yearassuming uninterrupted shipping

.

.

is Allan Han¬ exports under the lend-lease and
cock.
Mr. Anderson's death was
UNRRA programs expected for
reported in our issue of Oct. 17,
the second half of this year. It is
•.
open for > business early in De¬ page;2004,
less likely, however, that the rise
cember. The, address is 1050 Wil¬
son^ Avenue,: former quarters of
L. M. Giannini, President of the of private .exports will be suffi¬
the Uptown National Bank."
Bank of America, Los Angeles, cient
;
to balance also the expected
Calif., announced eight new pro¬
decline of Government transfers
Through a stock dividend, the motions, according to Sidney PFirst National Bank of Cicero, 111., Allen, Financial Editor of the San from overseas stocks."
; '
has
increased
its
capital from Francisco "Chronicle" of Oct. 5,
It: is further stated that "im¬
$300,000 to $350,000, according to which said:
ports for consumption rose from
advices from the Office of the
"O. G. Wilson, South San Fran¬
the first to second quarter of this
cisco, branch, was advanced to
Comptroller of the Currency.
,

nected

announced

by

to have capitalization of $200,000,
promotions of surplus of $50,000 and reserves of
employees of the Security Trust $50,000, said the paper indicated,
Co. were announced by Bernard which further stated::
v *,
tt
E.
Finucane,.', President.
The
"Marshall Corns,> management
changes were noted in the "Times engineer, will be President. Other
Union" of Sept. 19, and were as organizers include
Byron Cain of
.:follows:.;;:
^
Cain & Culhane, Bernard Epstein,
/'William D. Schumann, Comp¬ attorney; Harold
Sullivan, Master
troller since 1943, was made Sec¬ in Chancery; Howard Hager of
retary of the bank, succeeding the Baird & Warner, and Carl G. Berg¬
late George F. Stone.
He joined man.
' T*
^
>
Security in 1941 after being con¬
Tt is expected the bank will be

month

A

the appoint¬

Oct. 21

on

Louis

St.

of

1

V - •;+

nounced

that the Broadway National Bank

The bulletin of the

"Mr.

and

17, which

adds:

/V;

Bank

faster rise in the

second

.

The Mercantile-Commerce Bank

country,

Goods and services transferred to

foreign countries during the sec¬
ond quarter
totaled about $4.2
billion, an increase of $800 million
over the first three months, ac¬
cording to the article which was
prepared
in
the
International
Economics Division.
The article

offset slightly higher imports of
Chairmanship of the bank's Ex¬ merchandise.

ville, Va., near Lynchburg.

in this
show a

rising prices
imports should

from sales of goods

the

Mr. Swinney was born in Marys-

increased production

and

with

Survey
of
Current
Business,
monthly publication of the De¬
partment of Commerce on Oct. 16.

ecutive Committee."

Comptroller of the Currency

and

their

ments for services rendered to our

as

imports in July to the annual rate

article in the October issue of the

timated at $1.6 billion,

"In September, 1941, more than
half a century after he had be¬

Board

Elm

cording to the bulletin issued by

pleasurably and profitably—
on Oct. 21, has increased its capi¬
an
interesting show which the
tal stock (effective Oct. 11) from
public is invited to view. - Several
of
these
hobbies
are
creative, $500,000 to. $1,000,000 by sale of
new stock.,
made by
the exhibitors them¬

^

Swinney

Von

the

group

time

.

in 1904, and at the time Mr.

come

the varied interests of a

reflects

the

of

thorough

,

was

liam

pointed Assistant Managers.

the

the

rer

member

of

we

accorded

was

,

>

that Laurence J. Robin and Wil¬

held

Following

.

w

"It appears, however, that re¬
ductions
ances

of

foreign

bal* *

dollar

have been unusually;'

may

high during the first six months
of

this year.

The need for im4 |

ports from the United States Was
very

urgent and* certain lines of

credit

were

With the
loan in

not

passage

France in

of

loans, the

Bank

loan

goods

to

financed

Export-Import

through

dollar

of the British

May, and the increased

deliveries

pressure

reserves

the

may

near

v ^

,9*txl.<■

■

available,.

July, the conclusion of the

Export-Import

at least

yet

<

on

Bank

gold and

be eased for

future."

-