Full text of Economic Indicators : March 1960

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86th Congress, 2d Session

Economic Indicators
MARCH

1960

Prepared for the Joint Economic Committee by the
Council of Economic Advisers

COMMENTS INVITED
The Joint Committee in Senate Report 1152, February 29, 1960, directed the committee
staff to sponsor an intensive review of Economic Indicators. As part of this review, which is
being undertaken with the cooperation of the Council of Economic Advisers and the Bureau
of the Budget, it would be helpful to receive comments from the users of Economic Indicators.
The purpose of this monthly publication is to provide the committee, the Congress, and others
with information on current economic trends in a concise and graphic form. Selections for
inclusion are limited to' presently available data from Government or recognized private
sources. If you have suggestions relating to the series selected or to their presentation,
would you please write to the JOINT ECONOMIC COMMITTEE, Senate Post Office, Washington 25, D.C., by May 1, I960.




UNITED STATES
GOVERNMENT PRINTING OFFICE
WASHINGTON : 1960

JOINT ECONOMIC COMMITTEE
(Created pursuant to Sec. 5(a) of Public Law 304, 79th Cong.)
PAUL H. DOUGLAS, Illinois, Chairman
WRIGHT PATMAN, Texas, Vice Chairman
SENATE
HOUSE OF REPRESENTATIVES
JOHN SPARKMAN (Alabama)
RICHARD BOLLING (Missouri)
J. WILLIAM FULBRIGHT (Arkansas)
HALE BOGGS (Louisiana)
JOSEPH C. O'MAHONEY (Wyoming)
HENRY S. REUSS (Wisconsin)
JOHN F. KENNEDY (Massachusetts)
FRANK M. COFFIN (Maine)
PRESCOTT BUSH (Connecticut)
THOMAS B. CURTIS (Missouri)
JOHN MARSHALL BUTLER (Maryland)
CLARENCE E. KILBURN (New York)
JACOB K. JAVITS (New York)
WILLIAM B. WIDNALL (New Jersey)
JOHN W. LEHMAN, Clerk^ and Acting Executive Director

COUNCIL OF ECONOMIC ADVISERS
RAYMOND J. SAULNIER, Chairman
KARL BRANDT
HENRY C. WALLICH

[PUBLIC LAW 120—81sx CONGRESS; CHAPTER 237—IST SESSION]
JOINT RESOLUTION [SJ. Res. 55]
To print the monthly publication entitled " Economic Indicators"
Resolved by the Senate and House of Representatives of the United States of America in Congress assembled, That the Joint
Economic Committee be authorized to issue a monthly publication entitled ''Economic Indicators," and that a
sufficient quantity be printed to furnish one copy to each Member of Congress; the Secretary and the Sergeant at
Arms of the Senate; the Clerk, Sergeant at Arms, and Doorkeeper of the House of Representatives; two copies to
the libraries of the Senate and House, and the Congressional Library; seven hundred copies to the Joint Economic
Committee; and the required number of copies to the Superintendent of Documents for distribution to depository
libraries; and that the Superintendent of Documents be authorized to have copies printed for sale to the public.
Approved June 23, 1949.
Charts drawn by Graphics Unit, Office of the Secretary, Department of Commerce.

11



Contents
TOTAL OUTPUT, INCOME, AND SPENDING

Page

The Nation's Income, Expenditure, and Saving
Gross National Product or Expenditure
National Income
Sources of Personal Income
Disposition of Personal Income.
Per Capita Disposable Income
Farm Income
Corporate Profits
Gross Private Domestic Investment
Expenditures for New Plant and Equipment

1
2
3
4
5
6
7
8
9
10

EMPLOYMENT, UNEMPLOYMENT, AND WAGES
Status of the Labor Force
Nonagricultural Employment
Average Weekly Hours—Selected Industries
Average Hourly Earnings—Selected Industries
Average Weekly Earnings—Selected Industries

: ..

11
12
13
14
15

PRODUCTION AND BUSINESS ACTIVITY
Industrial Production...
Production of Selected Manufactures.
Weekly Indicators of Production
New Construction
Housing Starts and Applications for Financing.
Sales and Inventories—Manufacturing and Trade
Merchandise Exports and Imports

16
17
18
19
20
21
22

PRICES
Consumer Prices
Wholesale Prices
Prices Received and Paid by Farmers

23
24
25

CURRENCY, CREDIT, AND SECURITY MARKETS
Currency and Deposits
Bank Loans, Investments, and Reserves
Consumer Credit
Bond Yields and Interest Rates
Stock Prices

26
27
28
29
30

FEDERAL FINANCE
Budget Receipts and Expenditures
Cash Receipts from and Payments to the Public




..

.A.

31
32

NOTE.—Detail in these tables will not
necessarily add to totals because of rounding.
Ill

TOTAL OUTPUT, INCOME, AND SPENDING
THE NATION'S INCOME, EXPENDITURE, AND SAVING
Current estimates indicate that total income and expenditures rose between the third and fourth quarters of 1959.
[Billions of dollars]

1958

1959

Year

Fourth quarter
Excess
of receipts

Economic group

ExRe- pendceipts itures or expenditures
(-)

(+)

Third quarter
Excess
of receipts

ExRe- pendceipts itures or expenditures
(-)

(+)

Excess
of receipts

ExRe- pendceipts itures or expenditures
(-)

(+>

Seasonally adjusted
annual rates
Consumers:
Disposable personal income. 322.9
Personal consumption ex299. 1
penditures
Personal net saving ( + )
Business:
Gross retained earnings
Gross private domestic investment

International:
Foreign net transfers by
Net exports of goods and

50. 6

13. 2

67. 0

1. 5

-16.4

P)!
1. 7

.0

— .8

Government (Federal, State,
and local) :
Tax and nontax receipts or
120. 7
accruals
Less: Transfers, interest,
33. 7
and subsidies (net)

69. 7'

1. 5

2. 3

1. 3

23.7
P)

«

.2

317. 0
21. 9

71. 1

—. 6
1. 5

2.3

(9

128. 9-

P)

34. 1

33.9

35.7

C)

87.0

I

340 8

23. 1

61. 3

1. 5

(+)

313.3

«

Excess of transfers ( + )
or of net exports (— )

Net receipts

335. 1
311. 6

23.7

Excess of investment
(— )

- M
Excess
of reExRe- pend- ceipts
ceipts itures or expenditures
(-)

Seasonally adjusted annual rates
334.6

48. 1

Fourth quarter ;

95.0

P)

Total government expenditures
Less: Transfers, interest,
and subsidies (net)

130. 2

131. 7

132.3

133. 1

33. 7

34.1

33. 9

35.7

Purchases of goods
and services

96. 5

97. 6

98.4

97. 4

Surplus (+) or
deficit (— ) on
income and
product accountStatistical discrepancy

9. 5

2 4

-2.4

GROSS NATIONAL PRODUCT.. 457. 1 457. 1
i Not available.
Sources: Department of Commerce and Council of Economic Advisers.




-3.4

(*)

2. 3 -3.6

-2.3
479. 5 479. 5

478. 6 478.6

-3. 6

P)
P)

P)

483.5 483.5

NOTE.—For explanation and use of this arrangement, see Senate Eeport
No. 1295, Joint Economic Eeport, pp. 92-93, 99-105, and Economic Report of the
President, January 1953, Appendix A.

1

GROSS NATIONAL PRODUCT OR EXPENDITURE
Gross national product rose $4.9 billion (seasonally adjusted annual rate) between the third and fourth quarters of
1959, according to current estimates. Gross private domestic investment and consumption expenditures increased1
while government purchases and net exports declined.
BILLIONS OF DOLLARS

BILLIONS OF DOLLARS

500

500
SEASONALLY ADJUSTED ANNUAL RATES

400

400

GROSS NATIONAL PRODUCT

300

300
PERSONAL CONSUMPTION
EXPENDITURES v.

200

GOVERNMENT PURCHASES
OF GOODS AND SERVICES

100

100

i

1

* GROSS PRIVATE DOMESTIC INVESTMENT

NET EXPORTS OF GOODS
AND SERVICES

J

i

1953

I

V

1

1

1954

.J

I

L

1955

I

I- I

1956

1957

1958

SOURCE: DEPARTMENT OF COMMERCE

Period

1949
1950
.
1951...........
1952
1953
1954
1955
1956..
1957
1958
1959

[Billions of dollars]
Personal
Total
.Net
Gross
Total
congross
exports
national gross
sump- private of goods
domestic
product national
tion
and
in 1959 product expend- invest- services
ment
itures
prices
. 328.2
181. 2
258. 1
3.8
33. 0
356.2
284.6
195. 0
50.0
.6
209. 8
329. 0
385.0
2.4
56.3
347. 0
219. 8
399.0
1.3
49. 9
—.4
.
232.6
365. 4
417. 1
50. 3
363. 1
238. 0
1.0
408. 8
48. 9
397.5
256.9
1. 1
63. 8
441. 5
419.2
450. 9
269. 9
2. 9
67.4
442. 5
284 8
49
66. 6
458. 9
441. 7
293. 0
1.2
448. 6
549
479. 5
311. 6
479.5
-.8
71. 1

1958: First quarter
Second quarter. _.
Third quarter
Fourth quarter
1959: First quarter
Second quarter
Third quarter .. .
.
Fourth miarter
__
2

439.4
441. 9
450. 9
462. 2
473.3
486. 1
477.3
480. 2

431. 0
434.5
444 0
457. 1
470.4
484. 8
478. 6
483.5

287. 3
290.9
294 4
299. 1
303.9
311. 2
313. 3
317. 0

Government purchases of goods and services
Federal
Total

Total » National
defense 2

22.2
40. 2
39.0
19.3
38.8
60.5
52. 9
76.0
58.0
82.8
47. 5
75.3
75.6
45. 3
45. 7
79.0
49. 4
86. 2
52.2
92. 6
53.5
97. 6
Seasonally adjusted annual rates
50. 1
52. 4
2.0
89.3
1.2
51. 3
91. 1
51. 3
53. 1
93.8
54 2
1. 6
54 2
.2
96. 5
61. 3
— .9
53. 8
70.0
97. 4
77.7
97. 7
53; 9
-1.8
98. 4
53.6
.0
67. 0
— .e
52.7
69. 7
97. 4

overnment sales.
These expenditures correspond closely with the "major national security"




1959
COUNCIL OF ECONOMIC ADVISERS

Other

State
and
local

13. 6
143
33. 9
46. 4
49. 3
41. 2
39. 1
40. 4
44 3
445
45. 8

8.9
5.2
5.2
6.7
9.0
6.7
6.6
5.7
5. 5
8. 1
8. 1

17.9
19.7
21.7
23.2
249
27.7
30.3
33.2
36.8
40. 5
44 1

44 0
443
445
45. 3
45.8
46. 2
45.9
45. 3

6.6
7.5
8.9
9.4
8.3
8.0

39.2
39.7
40. 8
42. 2
43. 6
43. 8
44 8
447

ai

7.8

category in The Budget of the United States Government for the Fiscal Year Ending
June SO, 1961, shown on p. 31 of Economic Indicators.
Source: Department of Commerce.

NATIONAL INCOME
Compensation of employees (seasonally adjusted) increased in the fourth quarter of 1959. Farm and all other forms
of national income also rose, with the exception of rentals, which remained constant.
BILLIONS OF DOLLARS

BILLIONS OF DOLLARS

400

4OO
SEASONALLY ADJUSTED ANNUAL RATES

300

300

COMPENSATION OF EMPLOYEES

200

200

100

100
PROPRIETORS' AND
RENTAL INCOME *•

CORPORATE PROFITS AND ^
INVENTORY VALUATION ADJUSTMENT

NET INTEREST

• •4

19.53

I
I

1954

1955

T

1

1956

I

1958

1957

1959
COUNCIL OF ECONOMIC ADVISERS

SOURCE: DEPARTMENT OF COMMERCE

[Billions of dollars]

Period

1949
1950
1951
1952
1953
1954
1955
1956
1957
1958
1959

..
_ .
. ... .-.-

1958: First quarter
.
Second quarter. ..
Third quarter
Fourth quarter
1959" First quarter
Second quarter.-.-.
Third quarter
Fourth quarter.

Proprietors' income

22.7
23.5
26.0
26.9
27. 4
27. 8
30.4
32. 1
32.7
32. 4
34.5

&3
9.0
9. 4
10.2
10.5
10. 9
10. 7
10.9
11.5
11.8
12.0

Compensation
of em- 1
ployees

217.7
241. 9
279. 3
292. 2
305.6
301.8
330. 2
350. 8
366. 5
366. 2
398. 5

140.8
154.2
180.3
195. 0
208.8
207.6
223. 9
242. 5
255. 5
256. 8
277.4

12. 9
14. 0
16. 3
15.3
13. 3
12. 7
11. 8
11. 6
11.8
14. 2
11.8

355. 8
35a 9
369. 5
380. 4
389. 4
403. 9
398. 2
(2)

252. 5
253. 2
258. 5
262.9
269. 9
278. 9
279. 3
281.6

Seasonally adjusted annual
14. 6
31. 6
11. 7
13. 9
32.0
11.8
14. 2
32. 6
11. 9
14 1
33.2
11. 9
13. 2
33.7
12.0
12. 1
34. 5
12.0
10. 3
12.0
34.8
11.6
35. 1
12.0

Farm

»Includes employer contributions for social insurance. (See also p. 4.)
a Not available.
Source: Department o» Commerce.




Business
and professional

Rental
income
of
persons

Total
national
income

Net
interest
4.8
5.5
6.3
7. 1
8.2
9. 1
10. 4
11.7
13.3
14.3
15.6

Corporate profits and inventory valuation adjustment
Total

Profits Inventory
before valuation
taxes adjustment

28.2
35.7
41.0
37. 7
37.3
33.7
43. 1
42. 0
41.7
36.7
f2)

26. 4
40. 6
42. 2
36. 7
38. 3
34 1
44 9
44 7
43.3
37. 1
(2)

1.9
—5.0
-1.2
1.0
-1.0
—.3
— 1.7
-2.7
-1.5
—.4

31. 5
33.8

32.0
33.6

43. 5
45.5
51. 0
46.0
<2)

44 6
46. 5
52. 6
46. 4
(2)

—. 4
.2
-.3
-1. 1
g
-1.6
-.3
(2)

e)

rates

13.9
14. 1
14. 4
14.7
15. 1
15. 4
15. 8
16. 1

sao

sa3

SOURCES OF PERSONAL INCOME
Personal income in February was at an annual rate of $393 billion (seasonally adjusted), about the same as
the revised rate for January. A small rise in labor income was offset by a drop in farm income. Other major
components showed little or no change.
BILLIONS OF DOLLARS

BILLIONS OF DOLLARS

400

400

350

350

300

200

I960
(COUNCIL OF ECONOMIC ADVISERS^

SOURCE: DEPARTMENT OF COMMERCE

Total
personal
income

Period
1951 .
1952
1953
1954_
1955
1956
1957
1958
1959.......

_

256.7
273. 1
288.3
289.8
310.2
332.9
350. 6
359.0
380. 2

1959: January.. 369.0
February. 371.0
375.4
March
379.0
April
May
381. 3
• 383. 8
June
July
383.4
380.0
August
September. 380. 9
October
382. 6
November. 387.0
December. 392.1
1960: January 3 392.8
February . 393. 0

tBiilions of dollars]
Labor income Proprietors' income
Less: Per(wage and
Rental
Personal Transfer sonal consalary distributions
Divi- interest
Business income
paybursements
of
Farm
and pro- persons dends income ments for social
and other
insurfessional
labor income)1
ance
16.3
175.5
26.0
9.4
11.2
3.4
12. 6
9.0
190.2
15.3
10.2
26. 9
12. 1
13.2
9.0
3.8
13.3
204. 1
27.4
9.2
3.9
10.5
14.3
13. 4
12.7
202.5
27.8
10.9
16.2
14. 6
4.6
9.8
11.8
30. 4
218.0
10.7
5.2
15. 8
17. 5
11.2
11.6
32. 1
235. 7
10.9
12.1
18. 8
5.8
17.5
11.8
247. 7
32.7
12. 5
19. 5
21. 7
6.7
11. 5
14. 2
32. 4
248. 7
7.0
12. 4
20. 4
26. 1
11. 8
11.8
267. 8
34. 5
12. 0
13. 2
22. 4
8.3
26.8
Seasonally adjusted annual rates
258.3
13. 5
33.5
12.0
12. 7
26. 1
21. 1
8. 1
259. 8
13.2
33.7
12.0
26. 4
21.3
8. 1
12.8
263.8
12.9
34.0
8.2.
12.0
21. 6
26.6
12.8
267. 2
12.2
34. 3
12.0
12.9
21. 8
26.9
8.3
269.7
12.0
34. 5
12.0
22.0
13.0
26.4
8.3
271.7
12.1
34.7
22. 2
26.4
12.0
8.4
13.1
11.4
271.6
34.9
12.0
13.2
22.4
26. 3
8.4
10.0
268. 9
34. 9
22.7
12.0
13.4
8. 4
26.5
269. 4
9. 6
34.8
27. 0
8.4
12.0
23.0
13.5
269. 4
10. 5
35.0
12. 0
23.3
27.2
8. 4
13. 6
35. 1
271.4
12.0
23.5
28.0
11.6
13.7
8.4
35.2
275.7
12.6
12.0
8.5
13.5
23.8
27.7
278.5
35.4
11.6
12. 1
9. 7
13.6
27. 2
24. 1
279.2
11.0
35. 3
27. 1
12. 2
13. 6
24.3
9. 7

1
Compensation of employees (see p. 3) excluding employer contributions for
social insurance and the excess of wage accruals over disbursements.
2
Personal income exclusive of net income of unincorporated farm enterprises,
farm wapes, agricultural net interest, and net dividends paid by agricultural
corporations.




3

Preliminary estimates.
Source: Department of Commerca

Nonagricultural
personal
income 2
237.0
254.3
271. 5
273. 8
295. 0
317. 9
335.2
341. 1
364. 4
351. 6
353. 8
358.5
362. 7
365. 3
367. 8
368.2
366. 3
367.5
368. 1
371. 5
375.4
377. 1
377.9

DISPOSITION OF PERSONAL INCOME
Disposable personal income rose by $5.7 billion (seasonally adjusted annual rate) between the third and fourth
quarters of 1959, according to current estimates. Total consumption expenditures also rose, but at a somewhat lower
rate than income.
BILLIONS OF DOLLARS
350

BILLIONS OF DOLLARS
35O

300

300

250

- 250

-

200

200

-

150 -

100

100

1953

1954

1958

1959
COUNCIL OF. ECONOMIC ADVISERS

SOURCE: DEPARTMENT OF COMMERCE,

Equals:
Personal Less: Disposincome Personal
able
taxes * personal
income

Period

1949
1950
1951
1952
1953
1954
1955
1956
1957_
1958
1959.

150

-

-

_

-

.- «
_

„.
- _

1958: First quarter
Second quarter
Third quarter
Fourth quarter
1959: First quarter
Second quarter .
Third quarter
Fourth quarter

208. 3
228. 5
256. 7
273. 1
288. 3
289. 8
310. 2
332.9
350. 6
359. 0
380.2

18.7
20.8
29. 2
34. 4
35.8
32.9
35.7
40.0
42. 7
42. 6
45. 5

352. 2
355. 0
363. 4
366. 3
371.8
381. 1
381.0
386. 8

41. 9
42. 1
42. 9
43. 4
44. 4
45. 8
45.9
46. 1

i Includes such items as fines, penalties, and donations.
52741°




Less: Personal consumption
expenditures
Total

Saving
Equals: as percent
Personal
of disDurable Nonsaving
posable
,goods durable Services
income
i
goods

Billions of dollars
189.7
181.2
24 6
30.4
207.7
195. 0
227. 5
209.8
29. 5
23a7
219.8
29. 1
252. 5
232. 6
32.9
256.9
32. 4
238. 0
274.4
39. 6
256. 9
292. 9
269. 9
38. 5
307. 9
284. 8
40. 3
316. 5
37. 6
293. 0
43.0
311. 6
334. 6
Seasonally adjusted annual
36.9
310. 3
287. 3
312. 9
36. 7
290. 9
320. 4
294. 4
37. 1
322. 9
299. 1
39.8
327. 4
41. 3
303. 9
335. 3
311. 2
44 1
43.6
335. 1
313.3
340. 8
317.0
42.8

96.6
99.8
110. 1
115. 1
118.0
119. 3
1248
131. 4
137. 7
141. 9
147. 9

60.0
649
70. 2
75.6
81.8
86.3
92. 5
100. 0
106. 7
113. 4
120. 7

8. 5
12. 6
17.7
18. 9
19. 8
18. 9
17.5
23.0
23. 1
23.5
23. 1

45
6. 1
7.8
7.9
7.8
7.4
6.4
7.9
7.5
7.4
6.9

111. 0
112. 7
114 2
115.7
117. 4
119. 4
121.6
124 1

22. 9
22. 0
26.0
23. 7
23.5
24 1
21.9
23.7

7.4
7.0
8. 1
7.3
7. 2
7. 2
6.5
7.0

rates

139. 5
141. 5
143. 1
143. 6
145. 3
147. 7
148.0
150. 1

Source: Department of Commerce.

PER CAPITA DISPOSABLE INCOME
Per capita disposable income, measured in both current and constant prices, increased in the fourth quarter of 1959.

SEASONALLY ADJUSTED ANNUAL RATES

2,000

2,000

1,800

1,800

1,600

1,600

1,400

1,400

1,200

1,200

i

1953

1954

1955

1957

1956

t

#SEE FOOTNOTE 2 ON TABLE BELOW.
SOURCES: DEPARTMENT OF COMMERCE AND COUNCIL OF ECONOMIC ADVISERS.

1949
.
1950
1951
1952
1953
1954
1955
1956
1957
1958
1959....

1959
prices 2

Current
prices

_

..

.

. ....

I

I

1959

I

1

COUNCIL of "ECONOMIC ADVISERS

Total disposable personal
income (billions of dollars)l
Period

i

1958

189.7
207.7
227. 5
238.7
252. 5
256. 9
274.4
292.9
307.9
316. 5
334.6

231.3
249. 6
256. 5
263.5
276. 0
278. 0
296.0
310.3
316.8
319.7
334. 6

Per capita disposable personal income (dollars)1
Current
prices

1, 272
1, 369
1,474
1,520
1,582
1, 582
1,660
1, 742
1,799
1, 818
1, 891

1959
prices 2

Population
(thousands) 3

1, 551
1, 645
1, 662
1,678
1,729
1, 712
1, 791
1, 845
1, 851
1,836
1,891

149, 188
151, 683
154, 360
157, 028
159, 636
162, 417
165, 270
168, 176
171,198
174 054
176,947

1,815
1,817
1,857
1, 858
1, 872
1,905
1, 885
1, 898

173, 038
173, 692
174, 450
175, 242
175, 926
176, 599
177, 358
178, 140

Seasonally adjusted annual rates
1958: First quarter
Second quarter
Third quarter
Fourth quarter
1959: First quarter
Second quarter....
Third quarter . .
.
Fourth quarter
.

.

. .

.

.

1
Income less taxes.
* Dollar estimates in current prices divided by the implicit deflator for personal consumption expenditures on a 1959 base.
* Population of the United States, excluding Alaska and Hawaii; includes




310. 3
312.9
320. 4
322.9
327. 4
335. 3
335.1
340.8

314 1
315.7
324 0
325. 5
329. 4
336. 3
3344
33a 1

1,793
1,801
1,837
1,843
1,861
1,899
1, 889
1, 913

armed forces abroad. Annual data as of July 1; quarterly data centered in the
middle of the period, interpolated from monthly figures.
Sources: Department of Commerce arid Council of Economic Advisers.

FARM INCOME
Farm operators* net income (seasonally adjusted and including net change in inventories) turned upward in the fourth
quarter of 1959 after declining for a year.
BILLIONS OF DOLLARS

BILLIONS OF DOLLARS
SEASONALLY ADJUSTED ANNUAL RATES

30

30

20

20
NET FARM INCOME
(INCL. NET CHANGE
IN INVENTORIES)!/

\
IO

1953

1954

1955

1856

£ IN COME OF FARM OPERATORS FROM FARMING.
SOURCE: DEPARTMENT OF AGRICULTURE.

Period

1949
1950
1951
1952
1953
1954
1955
1956
1957
1958
1959

.

_

1958- First quarter .
.
Second quarter
Third quarter
Fourth quarter
1959: First quarter
Second quarter
Third quarter
Fourth quarter

Realized
gross farm
income 1
31. 8
32.5
37. 3
37.0
35. 3
33. 9
33. 3
34. 6
34. 4
38. 3
37.0

38.3
38. 0
38. 4
38. 5
38.1
37. 3
35.6
36. 9

1959

1958
•COUNCIL OF

feCONOMKT*PVtSER?

Farm operators' income
Net income 2
Net income per farm including net change in
Farm proExcluding
Including
inventories
duction
net change
net change
expenses
in invenin inven1959
Current
tories
tories
prices 3
prices
Billions of dollars
Dollars
18.0
12. 9
13.8
2,689
2, 259
13.2
19.3
14. 0
2,916
2,479
22. 2
15. 2
16. 3
3, 173
2,951
22. 6
14. 4
2, 829
15. 3
3, 010
21. 4
13.9
13. 3
2, 502
2, 690
21. 7
12. 2
12.7
2, 440
2, 624
21. 9
11.5
11.8
2, 313
2,487
22. 6
12.0
11. 6
2, 338
2,461
23. 4
11.0
11.8
2, 426
2, 476
25. 2
13. 1
14. 2
2, 990
3,020
26. 0
11.0
11. 8
2, 547
2,547
Seasonally adjusted annual rates
24. 9
13. 4
14. 6
3, 070
3, 100
25. 2
12. 8
13. 9
2, 930
2,930
25. 2
13. 2
14. 2
2, 990
3, 020
25. 3
13. 2
14. 1
2, 970
3, 000
25. 9
12. 2
13. 2
2, 840
2, 870
26. 1
11.2
12. 1
2, 600
2, 600
26. 1
9. 5
10. 3
2, 220
2,220
26. 0
10. 9
11. 6
2,500
2, 480

1 Cash receipts from farm marketings, value of farm products consumed in
farm households, gross rental value of farm dwellings, and Government payment?
to2 farmers.
Realized gross farm income less farm production expenses. Excludes farm
wages paid to workers living on farms and any income to farm people from
nonfarm sources, which in 1959 amounted to $1.8 billion and $6.7 billion,
respectively.




195?

Number of
farms
(millions) 4
5.7
5.6
5.5
5.4
5.3
5.2
5. 1
5.0
4. 9
4.7
4.6
4.7
4.7
4.7
4.7
4. 6
4.6
4.6
4. 6

3
Dollar estimates in current prices divided by the index of prices paid by
farmers for items used in family living on a 1959 base.
* The number of farms is held constant within a given year.
Source: Department of Agriculture.

CORPORATE PROFITS
Corporate profits before taxes in the third quarter of 1959 are estimated at $46.4 billion (seasonally adjusted annual
rate).
BILLIONS OF DOLLARS

BILLIONS OF DOLLARS

20

10

1953

1954

1955

1958

1959

J> NO ALLOWANCE FOR INVENTORY VALUATION ADJUSTMENT.
COUNCU OF KONOMIC ADVISfRS
SOURCE: DEPARTMENT OF COMMERCE.

(Billions of dollars]
Corporate
profits
before taxes

Period

1949.
1950
1951
1952 ...
1953 . .
.
1954
1955
1956
1957
1958
1959

..
..

..- .....
_ -

-. .

-.-...

-

....'..

C)

Corporate
tax
liability

10.4
17.9
22.4
19. 5
20.2
17.2
21. 8
21. 2
21. 1
18.2

26. 4
40.6
42. 2
36.7
38.3
34 1
44. 9
44. 7
43.3
37.1
(')

Corporate profits after taxes
Total

16.0
22.8
19. 7
17. 2
18.1
16.8
23.0
23. 5
22.2
18.9
«

Dividend
payments
7.5
9.2
9.0
9. 0
9.2
9. 8
11.2
12.1
12.5
12. 4
13.2

Undistributed
profits
8.5
13. 6
10.7
8. 3
8.9
7.0
11. 8
11.3
9.7
6.5
C)

Seasonally adjusted annual rates
1958: First quarter ..
Second quarter
Third quarter
Fourth quarter
1959: First quarter
Second quarter
.
Third quarter
Fourth quarter _ _.

.

>

.
.

.. . ..
_ _

.
C1)

32.0
33. 6
38.3
44.6
46. 5
52.6
46.4

* Not available.
NOTE.—See p. 3 for profits before taxes and after inventory valuation adjustment.
Source; Department of Commerce.

8



15.7
16.5
18.8
21.9
22. 6
25.6
22.6
0)

16.3
17. 1
19. 5
22. 7
23.8
27. 0
23. 8
0)

12.7
12.6
12. 6
12.0
12.8
13.0
13.4
13.6

C1)

3.6
4, 5
6.9
10.7
11.1
14.0
10. 4

GROSS PRIVATE DOMESTIC INVESTMENT
Gross private domestic investment increased $2.7 billion (seasonally adjusted annual rate) between the third and
fourth quarters of 1959. Inventory accumulation accounted for the rise, as fixed investment fell.
BILLIONS OF DOLLARS

BILLIONS OF DOLLARS

•so r~

180
SEASONALLY ADJUSTED ANNUAL RATES

60

60

4O

20

20

CHANGE IN BUSINESS
INVENTORIES*^
'^••••'••••MH, I

M^

|

|

1953

I

I

1955

1954

1957

1956

1958

SOURCE:DEPARTMENT OF1 COMMERCE

-20

1959
COUNCIL OF ECONOMIC ADVl'SERS

[Billions of dollars]
Total
gross
private
domestic
investment

Period

Total

_

33.0
50.0
56. 3
49. 9
50. 3
48. 9
63. 8
67.4
66.6
54.9
71. 1

36.0
43.2
46. 1
46.8
49.9
50.5
58.1
62.7
646
58.7
66. 3

1958: First quarter
Second quarter
Third quarter
Fourth quarter
1959: First quarter.
Second quarter- . ..
Third quarter
..
.
Fourth quarter

52. 4
51. 3
54. 2
61. 3
70. 0
77.7
67.0
69.7

59. 3
57.2
57. 6
60.5
63. 6
67.0
68.0
66.7

1949
1950.
.
1951
1952
1953_
1954.
._
1955
1956 . .
1957 .
1958
1959

.

Change in business
inventories

Fixed investment
New construction *
Producers'
durable
ResidenTotal
Other
equiptial
ment
nonfarm
18.8
9.6
9. 2
17.2
24.2
14.1
10.1
18.9
12.5
12. 3
248
21.3
25.5
12. 8
12.7
21.3
27.6
13.8
13.8
22. 3
29.7
15. 4
143
20.8
18.7
16.2
349
23. 1
17.7
35. 5
27. 2
17.8
36. 1
17.0
19.0
28.5
18.0
35. 8
17.7
22.9
40. 2
22. 2
18.0
26. 1

Total

Nonfarm

-3.1
6.8
10.2
3.1
.4
— 1.6
5.8
47
2.0
-3.8
48

-2.2
6.0
9. 1
2.1
1.1
-2.1
5.5
5. 1
1.2
—4.9
3.9

—6.9
-5.8
-3.4
.8
6.3
10. 7
— 1.0
3.0

-8.1
-7.0
-45
_. i
5.4
9.8
— 1.8
2.3

Seasonally adjusted annual rates
35.5
34.6
35.4
37.3
39.7
41.0
41.0
39.2

i "Other" construction In this series includes petroleum and natural gas well
drilling, which are excluded from estimates on p. 19.




17.1
16.9
18.0
19.9
21.9
23. 1
22. 6
21.3

18.4
17.7
17.4
17.4
17.8
17.9
18.3
17.9

23.8
22.6
22.2
23.2
23.9
26. "0
27.0
27.5

Source: Department of Commerce.

9

EXPENDITURES FOR NEW PLANT AND EQUIPMENT
The January-February survey of business expenditures on plant and equipment anticipates rising outlays during 196Q>
exceeding 1959 by 14 percent. The most substantial increase—25 percent—is scheduled by manufacturing firms.
Second quarter expectations for total expenditures are about 5 percent above first quarter estimates.
BILLIONS OF DOLLARS

BILLIONS OF DOLLARS

40

40

^MANUFACTURING

—~*

1959

1954

•^ SEf NOTE* 3 ON TABLE BELOW.
SOURCES: SECURITIES AND EXCHANGE COMMISSION. AND DEPARTMENT OF COMMERCE.

I960
{COUNCIL' OF ICONQMIC ADVISERS.

[Billions of dollars]
Manufacturing
Period

1950
1951..
1952
1953
1954
1955
1956..
1957.
1958
1959 3
1960

Total i

._
_

..

'..

..

1958: Third quarter
Fourth quarter .
1959: First quarter
Second quarter... . .
.
Third quarter
. .
Fourth quarter
1960: First quarter 3 3
Second quarter _ _ _ _ _ _ _ _

Total

20. 60
25. 64
26. 49
28. 32
26. 83
28. 70
35.08
36. 96
30. 53
32.54
37.02

7. 49
10. 85
11. 63
11. 91
11. 04
11. 44
14. 95
15. 96
11. 43
12.07
15. 13

29. 61
29. 9.7
30. 62
32. 51
3a 35
33.58
35. 32
36. 91

10. 86
10. 58
11.20
11. 80
12. 25
12. 87
13.89
14.57

Durable NonduraRailroads Other
goods ble goods
3. 14
4.36
0.71
1. 11
1.21
5. 17
5.68
.93
1.47
1. 49
5.61
6.02
.98
1.40
1. 50
5.65
6. 26
.99
1. 31
1.56
5.09
5. 95
.98
.85
1.51
5. 44
6.00
.96
.92
1. 60
7.62
7. 33
1. 24
1. 23
1.71
8.02
7.94
1. 24
1.77
1.40
5. 47
. 94
5.96
. 75 1. 50
5.77
6.29
.99
.92
2.02
7.66
7. 47
1. 00
1.02
2. 14
Seasonally adjusted annual rates
5. 16
5. 70
0. 88
0. 63
L 29
4.86
5.72
. 97
1. 62
. 58
5. 26
5.94
. 95
.63
1.71
5. 74
6.06
. 94
1. 00
2. 08
5.83
6. 42
1.01
2. 17
1.28
6. 16
6. 71
1.04
2.15
.85
6.88
7.01
.96
.99
2.26
7.23
7.34
1.01
1. 13
2.43

i Excludes agriculture.
* Commercial and other includes trade, service, finance, communications, and
construction.
' Estimates based on anticipated capital expenditures as reported by business
In Into January and February 1960. Includes adjustments, when necessary, for
systematic tendencies in anticipatory data.

10



Transportation
Mining

Public
utilities

Commercial and
other 3

3. 31
3. 66
3. 89
4, 55
4. 22
4.31
4. 90
6.20
6. 09
5.67
6. 07

6. 78
7. 24
7. 09
8. 00
8. 23
•9.47
11.05
10. 40
9. 81
10.88
11. 66

6. 10
6.26
5.80
5.82
5. 58
5.48
5.80
6. 02

9.85
9.96
\ 10. 33
10. 87
11. 06
11. 19
11. 42
11. 75

NOTE.—Annual total is the sum of unadjusted expenditures; it does not necessarily coincide with the average of seasonally adjusted figures.
These figures do not agree with the totals included in the gross national product
estimates of the Department of Commerce, principally because the latter cover
agricultural investment and also certain equipment and construction outlays
charged to current expense.
Sources: Securities and Exchange Commission and Department of Commerce.

EMPLOYMENT, UNEMPLOYMENT, AND WAGES

STATUS OF THE LABOR FORCE

Total employment increased by 500,000 in February, more than is usual at this time of year.
rate of unemployment declined to 4.8 percent of the labor force.
MILLIONS OF PERSONS-*/
80

MILLIONS OF PERSONS-*/
80

14 YEARS OF AGE AND OVER.
SOURCE: DEPARTMENT OF LABOR.

_

Mav

June
July.
August
September
October
November
December.
1960: January
February

COUNCll OF fCONOMIC ADVISERS

Total
Civilian employment *
Unemployment 1
Insured unemployment 2
labor
Civilian
All proState pro% of civilian
force (inlaborl
Agricul- Nonagri- Number labor force
grams as
grams
cluding
Total
force
tural
cultural
armed
Unad- Seas, (thousands % of covered
of persons) employment3
forces) *
justed adj.
Thousands of persons 14 years of age and over

Period

ATet0 definitions: l
1953
1954
1955
1956
1957.1958
1959
1959: January
February
March
April

_

67, 362
67, 818
68, 896
70, 387
70, 744
71, 284
71, 946
70, 027
70, 062
70, 768
71, 210
71, 955
73, 862
73, 875
73, 204
72, 109
72, 629
71, 839
71, 808
70, 689
70, 970

63, 815
64, 468
65, 848.
67, 530
67, 946
68, 647
69, 394
67, 430
67, 471
68, 189
68, 639
69, 405
71, 324
71, 338
70, 667
69, 577
70, 103
69, 310
69, 276
68, 168
68, 449

61, 945
60, 890
62, 944
64, 708
65, Oil
63, 966
65, 581
62, 706
62, 722
63, 828 .
65, 012
66, 016
67, 342
67, 594
67, 241
66, 347
66, 831
65, 640
65, 699
64, 020
64, 520

6, 555
6,495
6,718
6. 572
6, 222
5,844
5,836
4,693
4, 692
5, 203
5,848
6, 408
7,231
6,825
6,357
6,242
6, 124
5,601
4, 811
4,611
4, 619

i See Employment and Earnings, Department of Labor, for definitions, methods
of estimation, periods to which data pertain, etc.
» Weekly averages. Beginning January 1959, includes Alaska and Hawaii.
3
Includes program for Federal employees for 1955-June 1959.




The seasonally adjusted

55, 390
54, 395
56, 225
58, 135
58, 789
58, 122
59, 745
58, 013
58, 030
58, 625
59, 163
59, 608
60, 111
60, 769
60, 884
60, 105
60, 707
60, 040
60, 888
59, 409
59, 901

1,870
3,578
2,904
2, 822
2, 936
4, 681
3, 813
4,724
4,749
4,362
3,627
3, 389
3,982
3,744
3,426
3, 230
3,272
3,670
3,577
4, 149
3,931

2.9
5.6
4. 4
12
4. 3
6. 8
5. 5
7.0
7.0
6.4
5. 3
4.9
5.6
5. 2
4.8
4.6
4.7
5.3
5. 2
6. 1
5. 7

6.0
5. 9
5. 7
5.1
4.9
5.1
5. 1
5. 4
5.6
6.0
5.9
5.5
5.2
4-8

1,058
2. 039
li 388
1, 312
1, 560
2,758
1,856
2,739
2,596
2,282
1,936
1, 593
1,414
1, 477
1,451
1,370
1,479
1, 853
2,008
2, 359
< 2, 326

2.8
5.2
3.4
3. 1
3. 5
6. 1
44
6.3
6.0
5.3
4.5
3.8
3.4
3. 5
3. 4
3. 1
3. 4
4. 4
4. 8
5. 6
4
5. 5

4
Preliminary estimate.
NOTE.—Beginning January 1960, labor force data include Alaska and Hawaii.
Sources: Department of Labor and Council of Economic Advisers.

11

NONAGRICULTURAL EMPLOYMENT
Total employment in nonagricultural establishments, seasonally adjusted, increased moderately in February.
MIL LIONS OF WAGE
AND SALARY WORKERS *
56

MILLIONS OF WAGE
AND SALARY WORKERS *

20

ALL NONAGRICULTURAL ESTABLISHMENTS

MANUFACTURING

54
«•*

-— V

52

^%

*S

<v_~nmr~

>

<

\-^~1

50

48

i i I I i 1 i II II i i t i i 1 i i i ii

^J ! 1 I ! 1 1 1 1 1

1957

1958

1 ! 1 1 t I 1M l h
,

1959

I960

3.5

6 *j i i i 1 i M i i
1957

<

>

'* —>-^- ..*-*W
I'lYiVi YiYi i*
1958

t 0

*••

, +-» • m m m..m. • ».

1 11 I11 111 1 1

1 I 1 1 1 1 1 ! 1 !J>

1959

I960

12.0

WHOLESALE AND RETAIL TRADE
(ENLARGED SCALE)

CONTRACT CONSTRUCTION
(ENLARGED SCALE)

3.0

11.5

y— i

--^

-s^-^v

*•

2.5

11. 0

[V~

10.5

2.0

1.5

"-S

NONDURABLE
GOODS
8
INDUSTRIES
ttt«-ti»», ,
^

46

>-\^~ ~— -|

DURABLE
GOODS
INDUSTRIES

10
*"

44

TOTAU

-^

/I

-V 1 , 1 1 1 1 1 ! 1

1957

i ii i i 1 i i i ii
1958

1959

I960

VAII.
*SE ASONALLY ADJUSTED DATA, EXCLUDIN 6 ALASKA AND HAV
SOU *CEI DEPARTMENT OF LABOR.

Period

1953
1954
1955
1956
1957.
1958 3
1959

Total,
Total
unadjusted, including
excluding Alaska
and
Alaska and Hawaii
Hawaii
49, 681
48, 431 -50, 056
51, 766
52, 162
50, 543
52, 182
51, 952

1959* Januarv
February
March
April
Mav
June
July
August
September .
October
November.
December.
1960: January 33
..
February .

50, 310
50, 315
50, 878
51, 430
51, 982
52, 580
52, 343 -52, 066
52, 648
52, 569
52, 479
52, 793
52, 902
53, 756
52, 078
53, 109
52, 012
53. 157




I 1 I II 1 II1 I 1

1 1 1 1 1 1 1 1 1 IjK

1959

I960

COUNCIL (DF

ECONOMIC ADVISERS

I

[Thousands of wage and salary workers l l
Private nonmanufacturing
Manufacturing
GovernTotal
ment
excluding
Contract
Alaska
Durable Nondura- Total 2 construc- Wholesale (Federal,
and retail
State,
and
Total
goods ble goods
local)
tion
trade
Hawaii
6,645
2,622
10, 527
7, 133 25, 798
17, 238
10, 105
49, 681
6,751
9, 122
15, 995
2,593
10, 520
6,873 25, 685
48, 431
6,914
2,759
9,549
7,014 26, 579
10, 846
16, 563
50, 056
11,221
7,277
2,929
16, 903
9,835
7,068 27, 586
51, 766
11,302
7,626
9,821
16, 782
2,808
52, 162
6,961 27, 754
11, 141
7,893
8,743
6,725 27, 182
2,648
15, 468
50, 543
8, 126
11,379
2,764
9,280
6,876 27, 670
51, 952
16, 156
Seasonally adjusted
8, 028
6,757 27, 294
11,216
9,007
2, 650
15, 764
51, 086
8,040
2, 626
11,279
6,770 27, 335
9,049
15, 819
51, 194
8,056
2,719
9, 192
6,814 27, 394
11,263
16, 006
51, 456
8,074
2,829
11,333
16, 182
9,319
6,863 27, 631
51, 887
8,079
2,787
9, 462
11,363
6,910 27, 674
16, 372
52, 125
8,076
11,425
6,954 27, 804
2, 799
9, 573
52, 407
16, 527
8,083
2,800
11,465
6,945 27, 895
9, 635
52, 558
16, 580
2,814
8, 131
9, 094
11,529
6,943 27, 855
52, 023
16, 037
8,221
11, 464
2, 776
6,927 27, 792
52, 154
9,214
16, 141
2,762
8,217
11,478
52, 002
16, 022
9, 129
6,893 27, 763
2, 792
11,452
8,233
52, 253
16, 174
9,266
6,908 27, 846
8,307
2,800
9,542
6, 894 27, 931
11, 486
52, 674
16, 436
11, 610
8, 288
2, 768
9, 662
6,899 28, 032
16, 561
52, 881
11, 649
8, 292
2,767
9, 660
1 6. 552
6, 892 28, 084
52, 928

»Includes all full- and part-time wage and salary workers in nonagricultural
establishments who worked during or received pay for any part of the pay period
ending nearest the 15th of the month. Excludes proprietors, self-employed persons, domestic servants, and personnel of the armed forces. Total derived from
this table not comparable with estimates of nonagricultural employment of the
civilian labor force, shown on p. 11. which include proprietors, self-employed
persons, and domestic servants; which count persons as employed when they

12

1 0.0 -1^1 i i i 1 i i i i i i t i i i I i i i i i
1958
1957

are not at work because of industrial disputes; and which are based on an enumeration of population, whereas the estimates in this table are based on reports
from employing establishments.
2 Includes mining; transportation and public utilities; finance, insurance, and
real estate; and service and miscellaneous, not shown separately,
s Preliminary estimates.
Source: Department of Labor.

AVERAGE WEEKLY HOURS - SELECTED INDUSTRIES
The average workweek of production workers in manufacturing industries declined more than seasonally in February
to 39.9 hours.
HOURS PER WEEK
46
NONDURABLE MANUFACTURING

HOURS PER WEEK
46
DURABLE MANUFACTURING

42
40
38
36
34

34

1958

1957

'1957

1959

RETAIL TRADE

^

^^^^^

.^^^
«

r

J^.

^^f

.^^^^^
'

\^^
^

36

34

32
32
1957

IS57

1958

1958

I960

1959

SOURCE: DEPARTMENT OF LABOR

COUNCIl OP eCONOMIC ADVISEES

[Hours per week, for production workers or nonsupervisory employees]
Manufacturing ?
Period

1950
1951
___
1952 _ _ _
1953
__
1954 . .
.
1955 . .
1956 . - ._
.
1957
.
1958
1959 1
1959: January
February
March
_
April
«. _
„_
May
.
June
July
August
September
October
November
December
1960: January 1 1
February . _
i Preliminary estimates.
* Not available.
52741°




.

-

.
.. _ _

„.
_ ...
_ _
_

'
_ __ _

_

_

Durable
goods

Total

_

_ _

40. 5
40. 7
40. 7
40. 5
39. 7
40. 7
40. 4
39. 8
39. 2
40. 3
39. 9
40. 0
40. 2
40. 3
40. 5
40. 7
40. 2
40. 5
40.3
40. 3
39. 9
40. 6
40. 3
39. 9

41. 2
41. 6
41. 5
41. 3
40. 2
41. 4
41. 1
40. 3
39. 5
40. 7
40. 4
40. 3
40. 8
40. 9
41. 1
41. 4
40. 5
40. 8
40. 8
40. 9
40. 1
41. 1
41. 0
40. 5

Building
Nondurable construction
goods

39. 7
39. 5
39. 6
39 5
39 0
39 8
39 5
39 1
38 8
39 7
39. 3
39 4
39. 5
39. 5
39. 7
39 8
39. 8
40. 1
39. 8
39. 5
39. 6
39. 8
39. 4
39.0

(2)

36. 3
37 2
38 1
37. 0
36 2
36 2
36 4
36 1
35 7
35 9
35.0
34 0
35. 0
36. 1
36. 4
36 8
36. 3
36. 9
35 8
36 0
34 8
36. 1
34. 3

T)_X.-*1
Jttetaii
trade

(2)

40. 5
40 2
39 9
39 2
39 1
39 0
38 6
38 1
38 1
38 1
38 1
37 9
37 9
37 9
37. 9
38 3
38 8
38 6
38 1
37 7
37 5
38 2
37 4

NOTE.—Data exclude Alaska and Hawaii.
Source: Department of Labor.

13

AVERAGE HOURLY EARNINGS - SELECTED INDUSTRIES
Average hourly earnings of production workers in manufacturing industries were $2.28 in February, 8 cents above the
level of February 1959.
.
• .. : c :
DOLLARS PER HOUR

DOLLARS PER HOUR

3.40

3.20

£.40

2.80

I960

1957

2.00

NONDURABLE MANUFACTURING

RETAIL TRADE

1.80

1959 PRICES

"X
CURRENT

PRICES

1.60

1957

1960

1957

1958

[For production workers or nonsupervisory employees]
Building
All manufacturing Durable goods Nondurable goods
manufacturing
construction
manufacturing
Current
Current
1959
1959
1959 Current
1959 Current
prices 1 prices prices 1 prices
prices
prices 1 prices prices l

Period

_

$1. 465
1. 59
1.67
1.77
1.81
1.88
1.98
2.07
2. 13
2. 22
2. 19
2.20
2. 22
2.23
2.23
.
2.24
2. 23
2. 19
2. 22
2. 21
2.23
.
_ . 2.27
2. 29
. . 2. 28
.

$1. 776
1.78
1.83
1.93
1.97
2.05
2. 12
2.15
2. 15
2. 22
2.20
2.22
2.24
2.24
2.24
2.24
2.23
2. 19
2.21
2. 19
2. 21
2.25
2. 28
(3)

$1. 537
1.67
1.77
1.87
1. 92
2.01
2. 10
2.20
2.28
2.38
2.35
2.36
2. 38
2. 39
2.40
2. 40
2. 39
2. 35
2.37
2.36
2.38
2.43
2. 46
2.45

* Earnings in current prices divided by consumer price index on a 1959 base.
* Preliminary estimates.
»Not available.

14



1960

COUNCIL OF ECONOMIC ADYISfRS

SOURCE: DEPARTMENT OF LABOR.

1950
.. 1
1951. . ... .
1952
1953
1954
1955
1956
1957_.
__
I958_.
.. .
2
1959
1959: January
February
March.
April
May
June
July
August
September.
October .
November .
December
.
1960: January 2 2
February

1959

$1. 863
1. 87
1.94
2.04
2.08
2. 19
2.25
2. 28
2. 30
2. 38
2.36
2.38
2.40
2.40
2.41
2.40
2.39
2.35
2.36
2.34
2. 36
2.41
2. 45
(3)

$1. 378
1.48
1.54
1.61
1.66
1.71
1. 80
1.88
1.94
2.01
1.98
1.98
2.00
2.00
2.00
2,00
2.01
2.00
2.03
2.02
2.03
2.04
2. 05
2. 05

$1.670
1.66
1.69
1.75
1. 80
1. 86
1. 93
1. 95
1. 96
2.01
1.99
1.99
2.01
2.01
2.01
2.00
2.01
2.00
2.02
2.01
2.01
2.03
2. 04
(3)

$2. 031
2. 19
2. 31
2.48
2.60
2.66
2.80
2. 96
3. 10
3. 21
3.19
3. 18
3. 17
3. 17
3. 17
3.17
3. 20
3. 23
3. 26
3.27
3.28
3.30
3.32
(3)

NOTE.—Data exclude Alaska and Hawaii.
Source: Department of Labor.

$2. 462
2. 46
2. 54
2. 70
2. 82
2. 89
3.00
3.07
3. 13
3.21
3.21
3.20
3. 19
3.19
3. 19
3. 17
3. 19
3. 22
3.24
3.25
3.25
3.28
3.30
(3)

Retail trade
Current
prices

$1, 176
1.26
1. 32
1.40
1.45
1.50
1. 57
1.64
1. 70
1. 76
1.74
1.74
1.74
1.75
.1.76
1.77
1. 77
1. 77
1.78
1.78
1.77
1.73
1.79
(3)

1959
prices l
$1.425
1.41
1.45
1. 53
1.57
1.63
1. 68
1.70
1. 72
1.76
1.75
1.75
1.75
1.76
1.77
1.77
1.77
1.77
1.77
1.77
1.76
1.72
1.78
(3)

AVERAGE WEEKLY EARNINGS - SELECTED INDUSTRIES
Average weekly earnings of production workers in manufacturing industries declined $1.32 in February, largely
reflecting the lower workweek.
DOLLARS PER WEEK

DOLLARS PER WEEK

no

130

too

120

100

I960

1957
80

NONDURABLE MANUFACTURING

RETAIL TRADE

70

^1959 PRICES

t

60

•^ CUR RE NT PRICES

50

60

1960

1957

1957

1958

1959

1960

{•COUNCIL OF ECONOMIC ADVISERS! .

SOURCE: DEPARTMENT OH LABOR.

[For production workers or nonsupervisory employees]

Current
1959
prices prices 1

Building
Durable goods Nondurable goods
construction
manufacturing
manufacturing
1959
1959
Current
Current
Current
1959
prices l
prices prices * prices
prices prices l

$59. 33
64.71
67.97
71.69
71.86
76.52
79.99
82.39
83.50
89.47
87.38
88.00
89.24
89.87
90. 32
91.17
89.65
88. 70
89.47
89.06
88.98
92. 16
92. 29
90.97

$63. 32
69.47
73.46
77.23
77. 18
83. 21
86. 31
88. 66
90.06
96.87
94.94
95. 11
97. 10
97.75
98. 64
99.36
96.80
95. 88
96. 70
96.52
95.44
99.87
100. 86
99. 23

All manufacturing
Period

1950
...
1951
1952
1953
.
1954
. _ ...
1955
1956
. .
1957
1958 2
1959
1959: January
February
March
April
May
June
JulyAugust
September
.„
October
.
November
December
1960: January 2 2
February _ .

$71. 92
72.63
74.61
78.09
78.02
83.26
85.73
85. 38
84. 26
89. 47
87. 91
88.62
89.87
90.41
90. 77
91.26
89.47
88.52
89.02
88.44
88.27
91. 52
91.74
(3)

i Earnings in current prices divided by consumer price index on a 1959 base.
a Preliminary estimates.
» Not available.




$76. 75
77.97
80.64
84. 13
83.80
90. 54
92.51
91. 88
90. 88
96.87
95.51
95.78
97.78
98.34
99. 14
99. 46
96. 61
95.69
96.22
95.85
94.68
99. 18
100. 26
(3)

$54. 71
58. 46
60. 98
63. 60
64. 74
68.06
71. 10
73.51
75.27
79.80
77.81
78.01
79.00
79.00
79.40
79.60
80. 00
80. 20
80. 79
79.79
80.39
81. 19
80. 77
79. 95

$66. 32
65. 61
66.94
69. 28
70.29
74.06
76.21
76. 18
75.95
79.80
78.28
78. 56
79.56
79.48
79.80
79.68
79. 84
80.04
80. 39
79.24
79.75
80.63
80.29
(3)

$73. 73
81.47
88.01
91.76
94. 12
96.29
101. 92
106. 86
110. 67
115. 24
111. 65
108. 12
110. 95
114. 44
115. 39
116. 66
116. 16
119. 19
116. 71
117. 72
114. 14
119. 13
113. 88
(3)

$89. 37
91.44
96. 61
99.96
102. 19
104. 78
109. 24
110. 74
111.68
115.24
112. 32
108. 88
111. 73
115. 13
115. 97
116. 78
115. 93
118. 95
116. 13
116. 90
113.23
118. 30
113. 20
(3)

Retail trade
Current
1959
prices pricesl

$47. 63
50. 65
52.67
54.88
56.70
58. 50
60. 60
62.48
64.77
67. 06
66.29
65. 95
65.95
66. 33
66.70
67.79
68. 68
68.32
67.82
67. 11
66. 38
66.09
66. 95
(3)

$57. 73
56. 85
57. 82
59.78
61.56
63.66
64.95
64.75
65.36
67.06
66.69
66.41
66.41
66.73
67.04
67.86
68.54
68. 18
67.48
66. 64
65. 85
65.63
66. 55
(3)

NOTE.—Data exclude Alaska and Hawaii.
Source: Department of Labor.

15

PRODUCTION AND BUSINESS ACTIVITY
INDUSTRIAL PRODUCTION
The industrial production index dropped slishtly in February.

INDEX, 1957s 100 (SEASONALLY ADJUSTED)

INDEX, 1957*100 (SEASONALLY ADJUSTED)

190

130

TOTAL

UTILITIES AND MINING
120

UTILITIES-*
110

110

/*

7*

90

1957

I960

1958

1959

(20

120

100

90

80

80

1957

1958

1959

I960

1957

1959

SOURCE: BOARD OF GOVERNORS OF THE FEDERAL RESERVE SYSTEM.

I960

COUNCIL" OF ECONOMIC ADVISERS^

[1957=100, seasonally adjusted!

Period

1950
1951
. ._
1952
1953
1954
1955
1956
1957
1958
1959 *
__
1959" January
February
March
April _
May .
June _
~
July
August
September
October
November
December1960: January l
~. «.
February
1

Preliminary.

16



Total
industrial
production
74
81
84
91
85
96
99
100
93
105
100
102
104
107
109
110
108
103
103
102
103
109
111
110

Market

Industry

Final products

Manufacturing
Total
75
82
85
92
86
97
100
100
92
105
100
102
104
107
110
110
108
104
104
102
102
109
112
111

NonDurable durable

Mining

79
82
83
87
87
95
99
100
100
110
105
107
107
110
111
111
113
113
113
111
111
112
113
112

80
87
87
89
86
95
100
100
91
95
97
96
95
98
99
98
94
91
90
91
96
99
97
96

71
80
85
96
85
98
100
100
87
102
96
98
101
105
109
110
105
98
97
95
96
107
111
110

Con-

Utilities
Total

53
60
65
71
76
85
94
100
105
115
111
111
112
112
114
116
116
115
117
117
116
118
120
121

73
79
85
91
86
95
99
100
95
107
102
102
103
106
108
108
109
109
109
109
106
109
112
111

sumer
goods

82
81
82
88
87
97
99
100
99
110
106
107
107
111
111
111
112
112
112
112
109
112
116
115

Equipment

54
75
90
96
85
91
99
100
87
100
92
93
95
97
100
102
103
102
103
103
101
102
103
103

Materials

75
82
83
91
84
97
100
100
91
103
99
101
104
108
110
110
106
98
99
97
100
109
110
110

NOTE .—Revised series. See Federal Reserve Bulletin, December 1959 and
January 1960.
Source: Board of Governors of the Federal Reserve System.

PRODUCTION OF SELECTED MANUFACTURES
In February, most manufacturing industries registered small declines.
INDEX, 1957=100 (SEASONALLY ADJUSTED)

INDEX, IdS? * 100 (SEASONALLY ADJUSTED)
160

140

120

140

120

CHEMICALS, PETROLEUM,
AND RUBBER

120
100
100

FOODS, BEVERAGES,
• AND TOBACCO

60

1957

1958

1959

I960

1957;

195.9* '

.1959

SOURCE: BOARD OF GOVERNORS OF THE FEDERAL RESERVE SYSTEM.

I960

•COUNCIL OF ECONOMIC .ADVISERS

[1957 = 100, seasonally adjusted]
Durable manufactures
Period

Primary
metals

Nondurable manufactures

FabriTranspor- Lumber Textiles,
Machin- tation
and
cated
apparel,
prodand
metal
ery
equipleather
products
ment
ucts

Paper Chemicals, Foods,
and
beverpetroprint- leum, and ages, and
rubber tobacco
ing

78
90

92
104

85
103

84
98

100
113

99
115

99
108

99
113

102
107

92
102
109

99
99
101

92
94
96

96
96
99

111
109
112

109
109
111

102
105
104

106
108
110

103
105
104

113
122
118

104
109
112

100
104
107

102
104
105

115
118
112

116
118
119

107
108
107

110
111
115

108
108
105

July
August
September

81
46
45

111
106
106

108
107
108

106
102
98

117
113
112

120
117
116

109
110
111

117
116
117

106
108
108

October
November
December

43
79
114

99
95
105

107
104
108

98
79
93

111
112
115

115
116
118

110
109
111

114
114
115

106
107
108

1960: January l
February

117
115

108
109

110
110

107
106

116
(2)

117
115

111
110

116
115

109
109

1958
19591

-

1959: January
February
March
April
May
June -

J Preliminary.
Not available.

2




_ -

---

NOTE.—Revised series; for details, see Federal Reserve Bulletin, December 1959
and January 1960.
Source: Board of Governors of the Federal Reserve System.

17

WEEKLY INDICATORS OF PRODUCTION
In February, most weekly indicators of production averaged lower than in January.

MILLIONS OF TONS

MILLIONS OF SHORT TONS (DAILY AVERAGE)

BILLIONS OF KILOWATT HOURS

THOUSANDS

16

CARS AND TRUCKS

250

200

p

V

o •

.1959

»«y~~\/^%^-, +£
^ A Q

100

0-Q

n^?

-4 .A/H

S /V ft

<VO

1

/

/*

i

12

SOURCES: AMERICAN IRON AND STEEL INSTITUTE, DEPARTMENT OF THE INTERIOR,
EDISON ELECTRIC INSTITUTE, AND WARD'S AUTOMOTIVE REPORTS.

Period
Weekly average:
1956.- _.
1957
.
1958..
_._ 1959
1959: January
February
March
April
May._-June ---__ -JuJy
_. .
August September
October
November
December
1960: Januarv 3
February
Week ended:
1960: February 13—
20...
27___
March
5 3 ,_
1233,_
19 _ _

iiiiectric
Bituminous Freight Paper board
Steel produced 1
Cars and trucks
power
coal mined
loaded
produced assembled (thousands)
Index
Thousands
distributed (thousands
of net
(1947-49 = (millions of
of short (thousands (thousands Total
of tons)
of cars)
Cars Trucks
tons
100)
kilowatt-hours) tons) 2
2,204
2, 162
1, 635
1,792
2, 103
2,401
2, 611
2, 630
2,618
2, 543
1, 184
325
359
385
1, 694
2,713
2, 720
2, 686

137.2
134. 6
101. 8
111.6
130. 9
149. 5
162. 6
163.7
163. 0
158. 3
73.7
20. 2
22.3
24. 0
105. 5
168. 9
169. 3
167. 2

11, 292
11, 873
12,314
13, 229
13, 356
13, 170
12, 888
12, 583
12, 763
13, 402
13, 479
13, 859
13, 152
12, 922
13, 318
13, 828
14, 345
14, 122

1,693
1, 644
1,380
1,374
1,398
1,422
1,355
1,375
1,369
1, 519
1, 249
1, 150
1, 295
1, 286
1, 505
1, 553
1, 433

728
683
581
596
569
573
600
633
686
703
559
542
553
584
601
572
597
573

274
272
275
308
272
304
312
311
320
319
275
327
316
329
321
284
287
321

132. 8
138.6
98.4
129. 5
152. 6
144. 7
156. 1
157.3
157. 2
154. 7
145. 6
70. 8
78.6
137. 7
72. 4
117. 7
201. 8
187.8

111. 6
117. 6
81. 6
107. 6
129. 0
119. 6
131.3
131.0
130. 4
127. 2
121. 2
57. 8
60. 3
116. 6
60. 7
101. 8
171. 3
157.4

21. 2
21. 0
16. 8
21.9
23. 6
25. 1
24.8
26. 3
26.8
27.5
24. 4
13. 1
18.4
21. 1
11. 7
15. 8
30.5
30.3

2,
2,
2,
2,
2,
2,

167. 3
166. 5
167. 5
164. 7
165. 2
161. 7

14,
14,
14,
14,
14,

1,
1,
1,
1,

580
572
553
558

325
330
308
330
319

183. 0
190. 0
185. 2
166. 7
175. 1

153.2
158. 9
153. 5
138. 5
146.0

29. 8
31. 1
31. 7
28. 1
29. 1

687
674
690
645
654
597

4

071
226
092
262
271

1
Weekly rapacities (net tons) as of January 1 are: 2.455,300 (1956), 2,559,631
(1957), 2.f.99,:i2() (1958). 2.831,486 (1959), and 2,341,832 (1960).
* Daily average for week.
3
1'rcliiuiimry.
* Not charted.

18



COUNCIL OF ECONOMIC ADVISERS

382
233
373
267

Sources: American Iron and Steel Institute, Edison Electric Institute, Department of tbe Interior, Association of American Railroads, National Paperboard
Association, and Ward's Automotive Reports.

NEW CONSTRUCTION
Expenditures for both private and public construction (seasonally adjusted) rose gcjgjri during February.
of construction contracts declined in January.
. - . , . .
~

The amount
.......

BILLIONS OF DOLLARS

BILLIONS OF DOLLARS

60

SEASONALLY ADJUSTED ANNUAL RATES

.f TOTAL NEW CONSTRUCTION

50

50

40

40

30

* PRIVATE

20
4 PUBLIC

IO

n I f \ \ I-I \ M I t I I t I t f t I i I t I \ I \ \ 1 I I I \ \ \ I I I \ \ \ \ \ I I t I'M I M \ \ \ I 1 M I 1 M II \ \ \ \ \ M I t ! f M I I M I ML

10

n Ul I I M ( l l l l l

1954

1 C I I ( I I I I ! ! I I IMM ( I ! I I I I I ! I I I I I M

1955

1956

I ! I M1 I1 MI

1957

1958

1959

.

I960

COUNOl 6P ECONOMIC ADVISERS

SOURCES: DEPARTMENT OF COMMERCE.

[Billions of dollars]
Total new
construction
34.7
37.0
39. 4
44. 2
45.8
47.8
48. 9
54.3

Period

1952
1953...
1954...
1955
1956
1957
1958
1959

•. .
.

1959: January
.
February
March
.
April
May
June
July — .
August
September _ . . . . . .
October
.
November _ . ..
December ..
1960: January. 4
February _ _ _ _ _
.

*_

.....

__

54.7
55.3
55. 9
56.0
56.6
56.5
56. 1
54. 8
53. 1
51. 8
50. 7
52. 0
54 4
55. 6

Private
Total
Residential
private
(nonf arm)
12. 8
23. 9
25. 8
13. 8
27. 7
15. 4
32.4;

33. 1
33. 8
33. 5
38. 3
36. 8
37. 2
37.9
38. 9
39. 6
39. 4
39.6
39. 1
38.4
37. 5
37.0
37.7
39.0
39. 7

1 Compiled by F. W. Dodge Corporation; seasonally adjusted by the National
Bureau of Economic Research. Omits small contracts, and covers rural areas less
fully than urban.
2 Series begins January 1956. The 37 Eastern States data are probably indicative of the 48 States trend for other periods.




Federal,
State, and
Other
local
10.8
11.0
11. 2
12.0
11.7
12.3
11.7
ia 7
13.7
12.7
17.7
15.4
14.0
17.0
16.8
15.4
15.4
18.0
22. 3
16.0
16. 0
Seasonally adjusted annual rates
15.3
17. 9
21.5
15.4
21.7
18.1
18.0
15. 5
22.4
23.4
17. 1
15.5
17.0
15.8
23. 8
16.2
17.0
23.3
16.4
16.5
23. 1
15.7
22. 5
16. 6
22.3
16. 1
148
21. 7
14 2
15.8
21. 0
16. 0
13. 6
21. 1
142
16. 6
22. 1
15.4
16.9
22. 3
17.5
15, 9

Construction contracts 1
48 States a 37 Eastern
States 2
16.8
17.4
19. 8
23.7
8
31.6
24 6
32. 2
25.3
35. 4
36. 5
348
35. 0
37. 1
42.0
36.0
36. 0
37.2
349
37.4
37. 2
33. 1
35.1
32. 9

a Revised series beginning January 1956; not comparable with prior data.
Series discontinued beginning January 1958.
* Preliminary estimates.
NOTE.—Seasonally adjusted contracts revised beginning January 1956.
Sources: Department of Commerce and P. W. Dodge Corporation (except as
noted).

19

HOUSING STARTS AND APPLICATIONS FOR FINANCING
Private nonfarm housing starts (seasonally adjusted) declined in February to an annual rate of 1,115,000 units. The
number of both FHA applications and VA appraisal requests increased.
MILLIONS OF UNITS

MILLIONS OF UNITS

1954

1960

JLf SEE FOOTNOTE 2 ON TABLE BELOW.
SOURCES: DEPARTMENT OF COMMERCE, FEDERAL HOUSING ADMINISTRATION ( F H A J , AND VETERANS ADMINISTRATION (VA).

[Thousands of units]
New nonfarm housing starts
Period

Annual total: 1955....
1956....
1957
1958
1959
Monthly average: 19551956.
1957.
1958.
1959.
1959: January
February .
March
April
, . ..
May.
June
.
July
August - ..
September .
October
.
November...
December
1960: January 3
February

Total

1, 328. 9
1, 118. 1
1, 041. 9
1, 209. 4
1,378. 5
110. 7
93. 2
86.8
100. 8
114.9
87. 0
94.5
121.0
142. 2
137. 0
136. 7
128.8
129. 3
120. 3
105. 5
92. 5
83.7
3
75. 9
76. 6

Publicly
financed1 Total

19.4
24. 2
49. 1
67. 9
35. 7
1. 6
2.0
4. 1
5.7
3.0
2.9
1.0
2.9
4.8
3.5
5.6
1.6
4.2
3.4
3.3
1. 8
.7
• * 1. 1
2.2

1, 309. 5
1, 093. 9
992. 8
1, 141. 5
1,342.8
109. 1
91. 2
82. 7
95. 1
111.9
84.1
93.5
118. 1
137. 4
133.5
131. 1
127.2
125.1
116.9
102. 2
90. 7
83.0
8
74. 8
74.4

Privately financed
Government programs
VA
FHA
Total
392.9
669. 6 276. 7
189. 3 270. 7
460. 0
168. 4
128. 3
296.7
102. 1
397. 5 295. 4
109. 3
440. 1 330. 8
32. 7
23. 1
55. 8
22. 6
15. 8
38.3
10.7
24.7
14.0
24. 6
8. 5
33. 1
9.1
27.6
36.7
6.9
19.8
26. 7
6.2
20.0
26.1
9.7
30.0
39. 8
11. 0
33. 5
44. 6
10. 3
34. 3
44.6
11.0
34. 7
45. 6
10. 6
31.4
42. 1
31. 1
9.9
41. 0
10.0
29.6
39.5
9.4
26.6
36.0
7.9
20. 1
27. 9
6.4
19. 8
26. 2
4. 1
15.7
19. 9
4. 8
17. 1
21.9

> M Hilary housing starts, including those financed with mortgages insured by
FHA under Sec. 803 of the National Housing Act, are included in publicly
financed starts but excluded from the privately financed starts for FHA and total
Government programs.
• Units represented by mortgage applications for new home construction.

20




3

COUNCIL OF ECONOMIC ADVISERS

Proposed home construction
Private,
Requests
seasonally Applications
for VA
adjusted for FHA com2
appraisals2
annual
mitments
rates
620. 8
306.2
401.5
197. 7
159.4
198.8
2342
341. 7
234.0
369. 7
51.7
25.5
33.5
16. 5
13.3
16.6
19.5
28.5
19.5
30.8
17.9
25.5
•'1,364
21.0
29.5
1,408
23.2
38.9
1,403
18.9
39. 1
1,484
20. 7
38. 2
1,370
27. 2
60.2
1, 868
26.0
29.0
1,375
21.2
25.6
1,840
17.9
1,823
25.5
16.7
24. 1
1,180
12. 2
16. 1
1, 210
18.2
11. 1
1,880
3
11.2
16. 3
1,210
12.9
21. 1
1, 115

Preliminary estimates.
Sources: Department of Commerce, Federal Housing Administration (FHA),
and Veterans Administration (VA).

SALES AND INVENTORIES-—MANUFACTURING AND TRADE
Manufacturing and trade sales continued to advance in January and inventory book values rose by $1 billion, approximately the increase in the preceding month. Preliminary estimates indicate that retail sales in February were about
the same as in January.
BILLIONS OF DOLLARS (SEASONALLY ADJUSTED)
100

BILLIONS OF DOLLARS (SEASONALLY ADJUSTED)
30

I960
•MANUFACTURING, RETAIL TRADE, AND WHOLESALE TRADE.

SOURCE: DEPARTMENT OF COMMERCE AND BOARD OF GOVERNORS OF THE FEDERAL RESERVE SYSTEM.

Manufacturing
and trade

Period

Manufacturing

COUNCIL OF ECONOMIC ADVISERS

Wholesale

Retail

InvenSales * tories 2 Sales i

Inven- New
Invenl
tories 2 orders1 Sales * tories 2 Sales
Billions of dollars, seasonally adjusted

1953
1954
1955
1956
1957
1958
..
1959......
1958: December
1959: January..
February
March.
April
May
.
June
July
August
September
October.
November
December
1960: January 4 4
February

._

. ..
.

48.4
47.4
52.3
54. 8
56.3
54. 0
60.0
57.4
57.4
58.0
59. 2
60. 6
61. 5
62.0
61.7
59.6
60. 1
59. 7
59. 1
60.9
61.3

78.6
75.5
81.7
89.1
90.7
85. 1
89. 4
85. 1
85.5
86.0
86.6
87.6
88.3
89. 3
89.9
89. 5
89.2
88. 7
88.4
89. 4
90.4

24.5
23.5
26.3
27.7
28.4
26. 2
29.7
28. 1
28. 1
28.5
29. 1
30. 3
30. 7
31. 2
30.9
29.3
29.8
29. 4
29.0
30.8
30.8

45.4
43.0
46.4
52.3
53. 5
49. 2
52.4
49.2
49.5
49. 9
50.5
51.1
51.6
52. 1
52. 2
52. 1
51. 9
51. 5
51,6
52. 4
53.2

i Monthly average for year and total for month.
Book value, end of period, seasonally adjusted.
Book value, end of period, except annual data, which are monthly averages.

8
3




23. 1
22.5
27.2
28.3
27.3
25.9
30.1
28.4
28.5
29. 7
30.2
31.2
30.5
31.4
30. 8
29. 0
30. 6
30. 4
29.2
30. 7
29. 7

9.8
9.7
10.6
11.3
11.3
11. 1
12. 3
11.7
11.8
11.9
12.2
12.4
12. 5
12. 6
12. 5
12. 2
12. 5
12.0
12. 3
12.7
12.3

10.5
10.4
11. 4
13.0
12.7
12. 0
12.6
12. 0
11. 9
11.9
12.0
12.1
12. 2
12. 4
12.5
12.6
12.5
12. 5
12. 6
12.6
12. 7

14. 1
14. 1
15. 3
15.8
16. 7
16.7
18.0
17.6
17.5
17.6
17. 9
18.0
18.2
18. 2
18.3
18. 1
17. 8
18.3
17. 8
17.5
18. 1
18. 1

Inventories 2

22.7
22. 1
23.9
23. 9
24.5
24. 0
24.3
24.0
24.2
241
24, 2
24.5
24.5
24.8
25. 1
24.8
24.8
24 7
24.2
24 3
245

Department stores
Inventories 3
Index, 1947-49=100
seasonally adjusted
118
131
118
128
136
128
135
148
152
135
136
148
156
144
143
150
138
152
140
150
148
138
141
151
144
151
144
156
150
159
149
160
143
161
144
158
145
160
148
161
146
160
140
Sales »

* Preliminary estimates.
Sources: Department of Commerce and Board of Governors of the Federal
Keserve System.

21

MERCHANDISE EXPORTS AND IMPORTS
Exports strengthened appreciably in 1959 but imports, after rising rapidly to midyear have shown no clear trend
since then.
BILLIONS OF DOLLARS
2.5

BILLIONS OF DOLLARS
2.5

2.0

2.0

^^TOTAL MERCHANDISE IMPORTS

I960

1954

COUNCIL OF ECONOMIC ADVISERS

SOURCE: DEPARTMENT OF COMMERCE.

[Millions of dollars]
Merchandise exports
Period
Total
1950 monthly average. .
1951 monthly average
1952 monthly average
1953 monthly average
1954 monthly average
1955 monthly average
1956 monthly average
1957 monthly average
1958 monthly average
1959 monthly average
1958: December
1959: January
February
...
March
April
Mav«
- - June_
- .
- .
July.
.. _
August . ..
. _«, - _ _
September.
October
November.
December
1000: January
_

Grant-aid
shipments *

Commercial
exports

24
89
166
293
188
105
146
113
129
102
135
114
97
81
136
140
76
115
97
80
84
102
105
78

833
1, 164
1, 100
1,022
1,071
1, 191
1,444
1, 625
1, 362
1, 362
1, 389
1,286
1, 183
1,375
1,343
1, 410
1, 347
1,353
1,300
1,399
1,398
1,376
1, 569
1, 483

856
1,253
1,267
1,314
1,259
1,296
1,591
1,738
1, 491
1,464
1,524
1,400
1, 280
1, 456
1,479
1, 551
1,422
1, 468
1,397
1, 479
1, 482
1, 479
1, 674
1, 560

1
Inures include only Department o! Defense shipments of grant-aid military
supplies and equipment under the Mutual Security Program. Shipments for
the first 0 months of the program (July-December 1950) amounted to $282 million.




Merchandise
imports
738
914
893
906
851
949
1,051
1,082
1,070
1,268
1,254
1, 154
1, 118
1,295
1,220
1,264
1,369
1,248
1, 189
1,392
1,202
1,282
1, 478
1, 137

Excess of exports
over imports
Total
119
339
374
408
408
347
540
656
422
196
270
246
162
161
258
287
53
220
208
87
280
196
197
423

Excluding
grant-aid
shipments
95
250
207
116
220
242
393
543
293
94
135
132
65
80
122
147
— 22
105
110
7
196
94
92
346

Sources: Department of Commerce and Department of Defense.

PRICES

CONSUMER PRICES

Consumer prices declined slighfly in Jonuary. Lower prices for food* apparel, transportation, personal care,
reading and recreation more than offset price advances in other categories.
INDEX, 1947-49 = 100

INDEX, 1947-49=100

150

150

140

140

130

130

120

120

100

100

1954

1959

1955

SOURCE: DEPARTMENT OF LABOR.

I960
COUNCIL OF ECONOMIC ADVISERS

11947-49= 100J
All
items

Period

1949
1950
1951
1952
19531954
1955
1956
.
1957
1958
1959
1958: December
1959: January
February
March. _.
April
May...
June..
July
August
September
October
November
December
1960: January
1

Housing

. ...
_.

..

-

Food

101. 8
102.8
111.0
113. 5
114. 4
114.8
114. 5
116.2
120. 2
123. 5
124.6
123.7
123. 8
123.7
123. 7
123. 9
124.0
124. 5
124. 9
124. 8
125.2
125. 5
125.6
125.5
125. 4

100.0
101.2
112.6
114. 6
112. 8
112.6
110. 9
111.7
115. 4
120. 3
118.3
118.7
119. 0
118. 2
117.7
117. 6
117.7
118.9
119. 4
118. 3
118.7
118. 4
117.9
117.8
117. 6

Total »

103.3
106. 1
112.4
114.6
117.7
119. 1
120.0
121.7
125. 6
127.7
129. 2
128. 2
128.2
128.5
128.7
128.7
128. 8
12a9
129.0
129.3
129.7
130. 1
130. 4
130. 4
130. 7

Rent

105.0
108. 8
113. 1
117. 9
124. 1
128. 5
130.3
132.7
135. 2
137. 7
139. 7
138. 7
138. 8
139.0
139. 1
139. 3
139. 3
139.5
139. 6
139.8
140. 0
140. 4
140. 5
140. 8
140. 9

Includes, in addition to rent, Homeowner costs, utilities, nousefumisnings, etc.




Apparel

Transportation

99.4
9& 1
106.9
105. 8
104.8
104.3
103. 7
105.5
106. 9
107. 0
107. 9
107. 5
106. 7
106. 7
107. 0
107. 0
107. 3
107.3
107.5
108. 0
109.0
109. 4
109.4
109. 2
107.9

Reading Other
and
Medical Personal
goods
recreaand
care
care
tion
services

108. 5
111. 3
118. 4
126. 2
129. 7
128.0
126.4
128. 7
136.0
140. 5
146. 3
144 3
144. 1
144. 3
144 9
145. 3
145. 4
145. 9
146. 3
146. 7
146. 4
14a 5
149. 0
148. 7
148. 1

104 1
106. 0
111. 1
117.2
121. 3
125.2
128.0
132.6
138.0
144 6
150. 8
147.6
148. 0
149.0
149.2
149. 6
150.2
150. 6
151.0
151.4
152. 2
152. 5
153.0
153. 2
153.5

101. 1
101. 1
110. 5
111. 8
112.8
113. 4
115.3
120. 0
1244
12a 6
131. 2
129. 0
129. 4
129. 8
129.7
130. 0
130. 7
131. 1
131. 3
131.7
132. 1
132. 5
132. 7
132. 9
132.7

104 1
103. 4
106.5
107.0
108.0
107.0
106. 6
108. 1
112.2
116. 7
118.6
116. 9
117.0
117. 1
117. 3
117.7
117. 8
118. 1
119.1
119. 1
119. 6
119.7
120. 0
120. 4
120.3

103.4
105.2
109.7
115.4
118.2
120. 1
120. 2
122.0
125. 5
127. 2
129.7
127.3
127.3
127.4
127.3
128.2
128. 4
129.2
130.8
131. 1
131. 5
131. 6
131.6
131. 7
131. 8

Source: Department ol JLabor.

23

WHOLESALE PRICES
The wholesale price index changed little in February.
IND£Xil947-49>IOO

INDEX, 1947- 49* 100

130

130

120

120

,110

100

100

90

80

80

i t ^

1954

1955

I95T

1956

1959

[9-58

SOURCE: DEPARTMENT.OF .LABOR

I960
sCOUNCM. Of ECONOMIC ADYISSO

[1947-49 = 100]

All commodities

Period
1949.
.
1950
_
__
1951
_.
1952
..
.
1953
_
.
1954
_
1955
.
...
1956
1957
.
. . . .
1958
1959
.
1959: January
February _ _ .
March
April...
..
...
..
May
.
•
June
.....
July
August
.
September
October
November
.1 )ecem ber
KHjO; January
. .
.
.
February
.

I1MHJ: March 8 .

15

1

:

Vv tmkiy writ* based on smaller sample than monthly series.

24



.
..
.

.
.

.
.
. .

Processed
foods

Other than
farm products
and foods
(industrial)

..

118.9
119. 3
119. 4

92. 8
97.5
113.4
107. 0
97.0
95. 6
89. 6
88.4
90.9
94. 9
89. 1
91. 5
91. 1
90. 8
92. 4
90. 8
89. 8
88.. 4
87. 1
88.9
86.5
85. 4
85.9
86. 5
87. 0

95.7
99. 8
111. 4
108.8
104. 6
105.3
101. 7
101. 7
105. 6
110. 9
107. 0
108. 7
107.6
107.2
107.2
107.7
108.1
107.5
105.8
107. 8
106. 4
104. 9
104. 7
105.6
105. 7

101.3
105.0
115. 9
113.2
114.0
114. 5
117.0
122.2
125.6
126.0
128.3
127. 5
127.8
128.1
128.3
128. 4
128.2
128.4
128.4
128.4
128.4
128. 5
128.6
128. 8
128. 8

119. 8
120. 0

.
_

Farm
products

89. 2
90.5

106.8
107. 2

128.7
128. 7

99. 2
103. 1
114. 8
111. 6
110. 1
110.3
110. 7
114. 3
117. 6
119. 2
119. 5
119. 5
119. 5
119. 6
120.0
119. 9
119.7
119. 5
119. 1
119. 7
119. 1

Source: Department of Labor.

PRICES RECEIVED AND PAID BY FARMERS
Price advances for hogs and beef cattle, partly seasonal, lifted the index of prices received by farmers 2 points in the
month ended February 1 5. The parity ratio increased 1 point.
INDEX, 1910-14=1

INDEX, 1910-14 = 100
325
PRICES PAID, INTEREST, TAXES
AND WAGE RATES
300

275

250

250

225

225

200

100

100

PARITY RATIO-17

lllltffnl'tft<
**»MK»»»*ft
..
* « », l
" H ia

,,,,,,,B^mtii
''ditu

ttaT

,..,™X*<l*'*ti'tt''**'«,a,.,,

* ***«'"*»***"*.*.„« i. ' . i ,
mi ., ,»

f 1
M ^

*"l»,,, •^

75
1

1

1 1

1

1 1

1

1 1 1

1954

I 1 1 1 1 1 1 J 1 1 1

1 1 1 1 1 1I I 11 I

1955

1956

1958

1957

1959

OF INDEX OF PRICES RECEIVED TO INDEX OF PRICES PAID, INTEREST,TAXES, AND WAGE RATES.
SOURCE: DEPARTMENT OF AGRICULTURE.

75

i i i i i ! i i -i i i
1960

COUNCIL OF ECONOMIC ADVISERS

Prices received by farmers
Period

1950
1951
1952
_
_
1953
1954
.
1955
_
_
1956
_
1957
_
1958
_
1959
1959: January 15 .. _ .
February 15
. .
March 15
April 15
Mav 15
.
June 15
July 15
August 15
September 15
October 15_
. ...
November 15
.
December 15
1960: January 15
February 15

All farm
products

258
302
288
255
246
232
230
235
250
240
245
243
244
244
245
242
240
239
239
235
230
228
231
233

Crops

233
265
267
240
242
231
235
225
223
221
215
218
220
223
230
229
226
221
220
219
216
217
219
219

1
Percentage ratio of index of prices received by farmers to index of prices paid,
Interest, taxes, and wage rates.




Prices paid by farmers
All items,
interest,
Livestock taxes, and Family
Producliving
and
tion
wage rates
items
products
items
(parity
index)
Index, 1910-14=100
256
246
280
246
282
268
336
273
287
271
306
274
269
268
277
256
249
277
270
255
234
276
270
251
274
226
278
250
282
244
286
257
287
273
293
264
255
289
298
266
298
287
270
268
297
265
288
267
264
298
287
267
299
287
261
269
258
299
288
268
289
252
298
267
252
289
298
266
254
297
288
266
297
288
256
265
296
248
290
264
297
243
291
264
297
291
238
264
242
299
290
265
244
299
289
266

Parity
ratio l

101
107
100
92
89
84
83
82
85
80
82
82
82
82
82
81
81
80
80
79
77
77
77
78

Source: Department of Agriculture.

25

CURRENCY, CREDIT, AND SECURITY MARKETS

CURRENCY AND DEPOSITS

The total of demand deposits and currency declined more than seasonally in February.
BILLIONS OF DOLLARS

BILLIONS OF DOLLARS
END OF MONTH

250

250
TOTAL DEPOSITS AND CURRENCY

TOTAL EXCLUDING U.S. GOVERNMENT
DEPOSITS-'•
—

200

200

DEMAND DEPOSITS

100

100

/TIME DEPOSITS

50

CURRENCY OUTSIDE
BANKS

U.S. GOVERNMENT DEPOSITS
^^ .i ^
. •i^

1954

2955

1956

1957

1958

1959

SOURCE: BOARD OF GOVERNORS OF THE FEDERAL RESERVE SYSTEM.

End of period

1953
. .
1954 ...
1955 .
.
1956 ..
1957 ...
1958
1959 *
1959: January
February
March,.
..
.
April
May
June
July
August...
.
September 4
4
October
November 4
December 4
1960: January 4 4 . ..
February

Total
U.S.
deposits Governand
ment
curderency
posits l

205. 7
214. 8
221. 0
226. 4
232. 3
247. 5
251.6
245. 1
242. 6
242. 1
245. 4
245. 0
245. 4
247. 6
247. 3
248.5
248.2
247. 5
251. 6
246.8
244. 4

4.8
5. 1
4.4
4.5
4.7
4.9
5. 5
5. 3
4.9
4. 4
5. 1
5.7
5.3
5.6
6.6
7. 1
6.0
5. 1
5. 5
44
5.3

26




COUNCIL OF ECONOMIC ADVISERS.

[Billions of dollars]
Total excluding U.fc>.Government deposits
Demand deposits and
currency
Time
Demand Currency
Total
de- 2
posits
Total deposits3 outside
adjusted banks
102. 5
28. 1
200. 9
70.4
130.5
27.9
106.6
134.4
209. 7
75.3
28.3
109. 9
216. 6
78.4
138.2
28.3
111. 4
222. 0
82. 2
139. 7
28.3
227. 7
110. 3
89. 1
138. 6
28.7
144.2
242. 6
115. 5
9&3
116. 1
28.8
246. 1
101. 2
1449
27.6
113. 8
239. 8
141. 4
98. 4
27. 7
111.3
237. 7
139.0
98. 7
110. 3
27.9
237. 6
138.2
99. 5
27.9
112.5
240.3
99. 9
140. 4
110. 7
28. 1
239.3
100.4
138. 9
110.7
28.3
139. 1
240. 1
101. 0
112.7
28.4
242. 0
141. 1
100. 9
111. 1
28. 5
101.2
139. 6
- 240. 8
111.4
28.5
241. 4
101. 5
139.8
112.7
28. 3
242.2
101. 1
141.0
242. 4
142. 2
113. 1
29. 1
100. 3
116. 1
28.8
246. 1
101. 2
1449
28.0
113.6
242. 4
141. 6
100.8
110. 1
28.0
239. 1
101.0
138. 1

1
U.S. Government deposits at FederaJ Reserve Banks and eommereiaJ and
savings banks, and U.S. Treasurer's time deposits, open account.
s
Deposits in commercial banks, mutual savings banks, and Postal Savings
System; excludes interbank deposits.
3
Demand deposits, other than interbank and U.S. Government, less easl)
Items in process of collection.

I960

Demand deposits
and currency,
seasonally adjusted
Demand Currency
Total deposits outside
adjusted banks

139. 5
139.6
140.S
140. 4
140. 6
140. 9
141. 2
140. 9
140. 8
HO. 4
140. 1
140.0
139. 7
138. 7

111.5
111. 6
112. 1
lit. 2
112.4
112.6
112.9
112. 6
112. 4
112.0
111.8
111.8
111.3
1W. 4

28. 0
28. 0
28.2
too a
&o. &

28.2
28.3
28.3
28.3
28.4
28.4
28. 3
too
q>
2/o. #

28. 4
28. 3

4
Preliminary estimates.
NOTE.—See Note, p. 27. Monthly data are for the last Wednesday of the
month.
Source; Board of Governors of the Federal Reserve System.

BANK LOANS, INVESTMENTS, AND RESERVES
Commercial bank loans rose $1 billion in February compared to an increase of $200 million in February
Borrowings at Federal Reserve Banks exceeded excess reserves by about the same amount as in January;

1959.

BILLIONS OF DOLLARS

BILLIONS OF DOLLARS

ALL COMMERCIAL BANKS

200

200

TOTAL LOANS AND INVESTMENTS

V
ISO

ISO

BANK LOANS

-V

100

100

INVESTMENTS IN U.S. GOVERNMENT SECURITIES

\
50

50

INVESTMENTS IN OTHER SECURITIES

1954
I

1955

1956

1957
END OF MONTH

1958

1959

.COUNCIL OF ECONOMIC'ADVISERS

SOURCE: BOA$D OF GOVERNORS OF THE FEDERAL RESERVE SYSTEM.

End of period

1952
1953
1954 .
1955
1956
1957
1958-.
1959 4
1959: January
.
February
March
April .
May
June July__
August
September 4
October 4
November 44
December
1960: January 4 4
February

Total loans
and investments

141. 6
145.7
155. 9
160. 9
165. 1
170. 1
185. 2
191. 0
185.6
183.8
182.9
185.7
185.8
185. 9
187. 7
188.2
187.8
188.3
188. 2
191.0
187.5
186.3

[Billions of dollars!
All commercial banks
Investments
U. S GovLoans
Other
ernment
Total
securities securities
14. 1
64. 2
77.5
63. 3
14.7
67. 6
63. 4
78.1
69.0
16.3
70. 6
85.3
16.7
82.6
61. 6
78.3
16.3
58.6
90.3
74.8
17.9
58.2
76. 2
93. 9
98.2
20. 6
87.0
66.4
20. 4
112.0
79.0
58.6
20. 4
97.7
87.9
67.5
20. 4
65.5
97. 9
86.0
63.2
20.6
99.2
83.8
20.9
63.6
101. 2
84. 5
20.8
62. 6
102.4
83.4
60.9
20. 6
104.5
81.5
61. 1
20. 6
105. 9
81. 7
60.3
20. 5
107.4
80.8
80.0
59. 2
20. 7
107.8
80.2
59.6
108.2
20. 6
58.4
109. 5
78.7
20. 3
112.0
58.6
20. 4
79.0
20. 2
109. 6
77.9
57. 8
20. 1
110. 6
75.6
55. 6

* Member banks include, besides all national banks, those State banks that
have taken membership in the Federal Reserve System.
* Commercial and industrial loans and, prior to 1956, agricultural loans. Series
revised beginning January 1952, October 1955, July 1958, and July 1959.
a Averages of daily figures on balances and borrowings during the period.
4
Preliminary estimates.




1960

Weekly
reporting
member
banks l
Business
loans 2
2
23. 4
23. 4
22.4
2
26. 7
30.8
31.8
2
31. 7
8
30. 5
30. 5
30. 5
31. 5
31. 5
32.0
32. 9
3
28. 6
29.0
29. 5
29.5
29. 9
30. 5
29. 9
30.2

All member banks l
BorrowReserve balances3 ings at
Federal
Required Excess Reserve
Banks 3
19.6
.7
.8
.7
19.3
.8
.8
18.5
.1
.6
18. 3
.6
.6
18. 4
.8
18. 5
.5
.8
18. 1
.6
.3
18. 2
.4
.8
18.4
.5
.6
18. 1
.5
.5
18.0
.5
.6
18.2
.4
.4
18. 1
'.S
.4
18. 0
.9
.4
18.3
1.0
18.1
.5
1.0
18.2
.4
.9
18.2
.4
.9
18. 2
.4
.9
18. 5
.5
.9
18. 3
.5
.9
17.8
.4
.8

NOTE.—Between January and August 1959, these series (except that for weekly
reporting member banks) were expanded to include data for all banks in Alaska
and Hawaii.
Source: Board of Governors of the Federal Reserve System.

27

CONSUMER CREDIT
Consumer credit outstanding declined almost $700 million in January, compared to a decline of almost $500 million
in January 1959.
BILLIONS OF DOLLARS

BILLIONS OF DOLLARS
60

END OF MONTH

TOTAL CREDIT OUTSTANDING

40

20

(ENLARGED SCALE)

INSTALMENT CREDIT EXTENDED
S .

1954

1955

1956

1957

I960

1958

SOURCE: BOARD OF GOVERNORS OF THE FEDERAL RESERVE SYSTEM.

. COUNCIL OF ECONOMIC'ADVISERS'

[Millions of dollars]

End of period

1950
.
1951
1952
1953
1954
1955
1956....
1957
1958
1959.
1958: December.
1959: January
February.
March
April
Mav
June
July .
August
September.
October
November.
December.
1960: January..

Total
consumer
credit
outstanding

21, 471
22, 712
27, 520
31, 393
32, 464
38, 882
42,511
45, 286
45, 586
52, 046
45, 586
45, 094
44, 748
44, 925
45, 708
46, 603
47, 522
48, 047
48, 841
49, 350
49, 872
50, 379
52, 046
51, 356

Total

Automobile
paper l

14, 703
15, 294
19, 403
23, 005
23, 568
28, 958
31, 897
34, 183
34, 080
39, 482
34,080
34, 029
34, 025
34, 234
34, 762
35, 357
36, 135
36,757
37, 510
37, 962
38, 421
38, 723
39, 482
39, 358

6, 074
5,972
7,733
9, 835
9, 809
13, 472
14, 459
15, 409
14, 237
16, 590
14, 237
14, 271
14, 339
14, 494
14, 810
15, 128
15, 566
15, 923
16, 288
16, 470
16, 659
16, 669
16, 590
16, 568

Other
Repair and
consumer moderni- Personal
goods
zation
loans
paper l
loans 2
4,799
4, 880
6, 174
6,779
6, 751
7,634
8, 580
8,782
8,923
10, 243
8,923
8,833
8,727
8,691
8,755
8,887
9,040
9, 134
9,289
9, 390
9,534
9,687
10, 243
10, 129

1
J Deludes all consumer credit extended for the purpose of purchasing automobiles and other consumer goods and secured by the items purchased.
y
Includes only such loans held by financial institutions; those held by retail
outlets arc Included in "other consumer goods paper."

28



Noninstalment credit
outstanding

Instalment credit outstanding

1,016
1, 085
1, 385
1,610
1, 616
1,689
1,895
2,089
2,350
2,704
2, 350
2,330
2, 324
2,338
2,364
2,419
2, 467
2,517
2, 569
2, 613
2,653
2,683
2, 704
2, 691

2, 814
3, 357
4, 111
4,781
5,392
6, 163
6,963
7, 903
8,570
9,945
8,570
8,595
8,635
8,711
8,833
8,923
9,062
9,183
9, 364
9, 489
9,575
9,684
9, 945
9,970

Total
6,768
7, 418
8, 117
8,388
8,896
9,924
10, 614
11, 103
11, 506
12, 564
11, 506
11, 065
10, 723
10, 691
10, 946
11, 246
11, 387
11, 290
11,331
11,388
11, 451
11,656
12, 564
11,998

Charge
accounts

3, 367
3, 700
4, 130
4,274
4,485
4,795
4,995
5, 146
5,060
5,351
5,060
4,619
4,098
4,004
4, 160
4,359
4, 446
4,407
4, 365
4,390
4,525
4, 614
5, 351
4, 816

InstalInstalment
ment
credit ex- credit3
3
repaid
tended

21, 558
23, 576
29, 514
31, 558
31,051
39,039
40, 175
42, 545
40, 818
48,476
4, 393
3,369
3,290
3,830
4,073
4,092
4,454
4,315
4,193
4,061
4, 185
3,928
4,686
3, 534

3
Credit extended or repaid during the period.
Source: Board of Governors of the Federal Eeserve System.

18, 445
22, 985
25, 405
27, 956
30, 488
33, 649
37, 236
40, 259
40, 921
43, 239
3, 635
3,447
3,294
3,621
3,545
3,497
3, 676
3,693
3,578
3, 609
3,726
3,626
3,927
3,658

BOND YIELDS AND INTEREST RATES
The rate on 3-month Treasury bills rose in late February but dropped sharply about mid-March.
Government, municipal, and corporate bonds changed little during February and early March.

PERCENT PER ANNUM

PERCENT PER ANNUM

nyf*^—-*
\/

1954

\J

r

^

TREASURY BILLS

1959

1955

Period

1953
1954
_
1955
>._
1956.
1957
_
1958
1959
. .
1959: February
March
_
.. .
April-.
May
_ _ »« _
June
.
July
August
„
September
October
November „
«.
. ......
December
. .
1960: January . . _ .
February
Week ended:
1960 February 13
20
27
March
5 _
12.
_
19

1960
COUNCIL" OF ECONOMIC ADVISERS

SOURCES: SEE TABLE BELOW.
[Percent per annum|
U. S. Government
High-grade
security yields
municipal
bonds
3-month
Taxable
(Standard &
Treasury
bonds 2
bills i
Poor's) 3
2.72
2.94
1.931
2. 37
.953
2.55
1.753
2.84
2.53
2. 658
2. 93
3.08
3. 267
3.47
3. 60
1.839
3.43
3. 56
3.405
3. 95
4.08
2.712
3. 92
3. 85
2.852
3.92
3. 76
2. 960
4. 01
3. 84
3.97
2.851
4.08
3. 247
4 04
409
3. 243
4. 11
4.04
3.358
4. 10
3.96
3. 998
4. 26
4 13
4. 117
4. 11
3.99
4, 209
4. 12
3. 94
4. 572
4.27
4.05
4.37
4. 436
4 13
3.954
4. 22
3.97

3.
4.
4.
4.
3.
3.

563
045
168
278
641
451

1 Kate on new issues within period.
2
Series includes: April 1953 to date, bonds due or callable 10 years and after;
.April 1952-March 1953, bonds due or callable after 12 years; October 1941-Marcn
1952, bonds due or callable after 15 years.




Yields on U.S.

4.
4.
4.
4.
4.

20
16
22
22
11

3.95
3.95
3.97
3. 96
3. 88

Corporate bonds
(Moody's)

Aaa

Baa

Prime
commercial
paper,
4r-6

3.20
2.90
3.06
3.36
3. 89
3.79
438
4 14
4 13
4 23
4 37
4 46
4 47
4 43
4 52
4 57
4 56
4 58
4 61
456

3.74
3.51
3.53
3.88
4.71
473
5.05
4 89
485
4 86
4 96
5. 04
5.08
5.09
5. 18
5. 28
5.26
5. 28
5. 34
5.34

months
2.52
1.58
2. 18
3.31
3.81
2.46
3.97
3.26
3.35
3. 42
3.56
3. 83
3.98
3.97
4 63
4 73
4 67
4.88
491
4.65

4 57
4 54
454
4 54
4 51

5. 36
5. 33
5.31
5.31
5. 28

456
4.53
475
4 83
4 73

a Weekly data are Wednesday figures.
Sources: Treasury Department and Board of Governors of the Federal Eeserve
System (except as noted).

29

STOCK PRICES
During mosf of February, stock prices remained close to the lows of late January.
March.

They declined further in early
^

INDEX, 1939*100
600

INDEX, 1939 = 100
600

500

400

400

300

300

200

200

100

1960
.COUNCIL OF ECONOMIC ADVISERS

SOURCE*. SECURITIES AND EXCHANGE COMMISSION.

Composite1
index

Period
Weekly average:
1951
1952...
1953.
1954
.
1955
1956
1957.
1958.
1959
1959: February
March...
April
May
June
July
August
September
October
November
December
1960: January
February
Week ended:
1960: February 5
12
19
26
March
4
11

.

.

(1939 = 100J
M anufacturi ng
TransDurable Nondura- portation
Total
goods ble goods

184.9
195. 0
193. 3
229. 8
304.6
345. 0
331. 4
340. 9
420. 2
403.9
413. 9
419. 4
425. 3
419. 0
434. 3
433.9
417. 2
416. 4
416. 6
429.2
419.0
405.0

206.8
220. 2
220. 1
271. 3
374.4
438.6
422. 1
426. 4
521.7
495. 7
508. 5
514.4
527.3
520.9
542. 6
542. 5
520. 3
517. 2
519. 0
538.3
518.2
494.0

405. 6
401.5
407. 6
405.3
393.6
391. 2

497.6
490. 1
496. 4
491. 8
475. 6
472.0

1
Includes 265 common stocks: 98 for durable goods manufacturing, 72 for nondurable goods manufacturing, 21 for transportation, 29 for utilities, 31 for trade,
finance, and service, and 14 for mining. Indexes are for weekly closing prices,

30




Utilities

Trade,
finance, Mining
and service

192. 6
245.2
352. 4
409. 8
391. 2
385.3
495.2
465.6
475.0
480. 6
495.0
495. 8
521.8
516. 1
499. 8
498. 4
496. 4
517.5
499. 1
474.4

233. 1
249. 3
245.2
295. 2
394. 4
465. 1
450. 6
458. 0
535.9
513. 8
529. 5
535. 5
546. 8
533. 9
551. 2
556.3
529.0
5244
529. 6
547.1
525.8
502.5

199.0
220. 6
218.7
232. 6
320. 0
327. 1
275.4
270.2
347.0
349.9
353.0
360.0
357.7
357. 1
364.3
349.4
333.0
338. 8
322.3
327. 8
323.0
311. 9

112. 6
117. 9
121. 5
135. 8
152. 9
155. 8
156. 0
173. 3
216.2
214.9
221.0
226. 3
221. 3
212. 8
217. 8
219. 0
211. 2
213.4
211. 3
213. 0
219. 4
223.7

207. 9
206.0
207. 1
235. 6
296. 9
306. 3
277.4
314.5
418.0
400. 5
405.0
405. 2
408. 9
417.5
429. 4
425. 4
424. 5
42a4
4342
440. 5
434.0
419. 9

2049
275.7
240.5
267.0
312.9
357.5
342. 3
313.8
321.8
345.3
347.5
340.2
3340
325. 6
321.4
3244
305.4
291.9
285.4
296.7
291.6
278.6

477.2
470. 7
475. 6
474. 0
455.7
453.4

506. 8
498. 4
506.0
498.7
484. 7
479.9

311.7
313.2
313.3
309.3
292.6
293.7

219.5
220. 6
226.9
227.8
225.3
224. 0

417.9
415.4
419.5
426.7
420. 1
417. 1

282.8
280.9
277.9
272.9
267.1
266.5

178.5

isa 8

Source: Securities and Exchange Commission.

FEDERAL FINANCE

BUDGET RECEIPTS AND EXPENDITURES

For the first 8 months of the current fiscal year, there was a budget deficit of $5.8 billion.
year, the deficit amounted to $13.0 billion.

BILLIONS OF DOLLARS

For the same period last

BILLIONS OF DOLLARS
FIRST SMONTHS

NET BUDGET RECEIPTS

NET BUDGET EXPENDITURES
75

50

60

1956

1957

MAJOR NATIONAL SECURITY
- EXPENDITURES

1959

I960

1957

1955

FIRST • MONTHS

1958

1959

BUDGET SURPLUS (+) OR DEFICIT (-)
(ENLARGED SCALE)

PHUT • MONTHS

I960

1955

1958

FISCAL YEARS

* ESTIMATE

SOURCES: TREASURY DEPARTMENT AND BUREAU OF THE BUDGET.

[Billions of dollars]
Net budget expenditures
Net
Major national security l
budget
Department
receipts
Total
of Defense
Total
military
functions

Period

Fiscal year 1955
..
Fiscal year 1956 Fiscal year 1957 _ _
Fiscal year 1958
Fiscal year 1959
Fiscal year I960 3
_
Fiscal year 1961 3.
._
1959: January
February
March
April _ - _ _
.._
May
June
July* 4
August
September 4
October 4 4
November 4
December
1960: January 4 4
February _
Cumulative totals for first 7 months: 4
Fiscal year 1959.
Fiscal year 1960

__

. __

.
__
.. _

Public
debt
(end of2
period)

60.4
68. 2
71. 0
69. 1
68. 3
78. 6
84.0
4. 5
6. 6
8. 4
4,3
5.4
10. 2
3. 2
5.7
8. 5
3.0
5.9
7.6
4. 9
7.3

64. 6
66. 5
69. 4
71.9
80. 7
78.4
79.8
6.8
6. 3
6.5
6. 4
6. 2
8. 6
6.6
6.3
6.4
6. 9
6. 6
6. 8
6.2
6. 2

40. 6
40. 6
43.3
44. 1
46. 4
45.6
45.6
3. 7
3. 6
3.9
3. 9
3.6
4.5
3.8
3. 7
3.8
3. 9
3. 7
4.2
3.5
3. 7

35.5
35.8
38.4
39. 1
41. 2
40. 9
41.0
3.3
3.2
3. 4
3.5
3.2
40
3.4
3.4
3.4
3. 6
3.3
3.9
3. 1
3.4

-4.2
1.6
1.6
-2. 8
-12. 4
.2
4.2
-2.2
.2
2. 0
-2.2
—.7
1. 5
-3. 3
—.6
2. 1
-3.8
-.7
.7
-1. 3
1. 1

274.4
272. 8
270. 6
276. 4
284. 8
284.6
280. 1
285.9
285.2
282. 2
285. 5
286. 4
284. 8
288. 8
290.5
288.4
291.4
290.7
290. 9
291. 2
290. 7

40. 0
46. 1

53.0
51. 9

30.5
30.3

27. 1
27.5

-13. 0
-5.8

285. 2
290. 7

1 Includes military functions of Department of Defense, military assistance
portion of the mutual security program, Atomic Energy Commission, stockpiling, and defense production expansion.
2 Includes guaranteed securities, except those held by the Treasury. Not all
of total shown is subject to statutory debt limitation.




Budget
surplus
or
deficit (-)

8
4

Estimates.
Preliminary.
Sources: Treasury Department and Bureau of the Budget.

31

CASH RECEIPTS FROM AND
PAYMENTS TO THE PUBLIC
For the calendar year 1959, cash payments to the public exceeded cash receipts by $8.0 billion.
with an excess of payments of $7.3 billion in calendar 1958.

This compares

BILLIONS OF DOLLARS

BILLIONS OF DOLLARS

EXCESS OF CASH RECEIPTS

(ENLARGED SCALE)

EXCESS OF CASH PAYMENTS

-15

HS
1953

1955

1954

1958

1956
1957
CALENDAR YEARS

"^PRELIMINARY ESTIMATES
SOURCES: BUREAU OF THE BUDGET AND TREASURY DEPARTMENT

i960

1959 ~

COUNCIL OF ECONOMIC ADVISERS

[Millions of dollars]
Cash receipts
from the
public

Period
Fiscal year total:
1956 ...
1957
1958
_
1959
. .. .
.
19601
1961 *
.
Calendar year total:
1956
1957. _.
.
1958 2
.
»
1959
...
.
Quarterly total, not adjusted for seasonal variation:
1958: First quarter
. .
.
Second quarter. .
_ . ...
Third quarter
•
.
Fourth quarter
._ . .
1959: First quarter.. .....
Second quarter2
Third quarter
.
Fourth quarter 2

.

.

32

.
.

.

.

'.

3

72, 616
80, 007
83, 412
94, 804
95, 338
96, 257

4, 471
2,099
-1,520
— 13, 144
— 542
5,921

80, 332
84, 520
81, 729
87, 580

74, 806
83, 326
89, 015
95, 608

5,526
1, 194
— 7, 286
— 8,028

23, 618
23, 219
18, 274
16, 618

19, 626
21, 850
23, 789
23, 750

3, 992
1,369
-5,515
— 7, 132

22, 628
24, 141
21, 364
19, 420

22,
24,
24,
23,

— 106
— 389
—3, 014
— 4,497

734
530
378
917

Preliminary.

For sale by tlie Superintendent of Documents, U.S. Government Printing Office, Washington 25, D.C.
Price 20 cents per copy ; $2.00 per year; $2.75 foreign.




Excess of receipts or
payments (— )

77, 087
82, 106
81, 892
81, 660
94, 796
102, 178

.....

1
Estimates.
Rourc.es: Bureau of the Budget and Treasury Department.

Cash payments to
the public