The full text on this page is automatically extracted from the file linked above and may contain errors and inconsistencies.
A P ro file o f S o u th e a s te r n P o v e rty
B a n k in g N o te s : F o re ig n B ra n c h e s A d d t o G r o w th
D is tric t B u sin e ss C o n d itio n s
MIBB
T h e D is tric t: A N o te o n R e v e n u e S h a rin g
102for FRASER
Digitized
A P r o f ile o f
S o u th e a ste rn P o v e rty
b y W illia m D . T o a l
T h e S o u t h e a s t 's e c o n o m y h a s , in t h e p a s t t w o d e c a d e s , b e e n c a u g h t u p in t h e
w h i r l w i n d o f a r a p id e c o n o m ic e x p a n s io n d u r i n g w h i c h it s p e r c a p it a p e r s o n a l
in c o m e h a s r is e n f r o m 6 9 p e r c e n t o f t h e n a t io n a l a v e r a g e in 1 9 5 0 to 7 4 p e r c e n t
in 1 9 6 0 a n d to o v e r 8 3 p e r c e n t in 1 9 7 2 .1 In t h e m id s t o f t h is r a p id g r o w t h ,
h o w e v e r , o n e f a c t s t a n d s o u t : A s i z a b le m in o r i t y o f t h is r e g io n 's p o p u la t i o n
r e m a in s p o o r . A lt h o u g h t h e S o u t h e a s t 's r a p id e c o n o m i c g r o w t h h a s b r o u g h t a
r is in g le v e l o f p r o s p e r it y t o t h e a v e r a g e c i t i z e n , t h is g r o w t h h a s n o t b e e n s h a r e d
e v e n ly b y e v e r y o n e ; s o m e h a v e b e e n le f t b e h in d , t h o s e w h o a r e c a l le d t h e
" p o v e r t y s t r i c k e n ."
A c a r e f u l c o n s id e r a t i o n o f t h e f o l l o w i n g q u e s t i o n s w i l l s h e d m o r e lig h t
o n t h is p r o b l e m :
1.
W h a t is p o v e r t y ?
2.
H o w m u c h p o v e r t y e x is t s in t h e S o u t h e a s t ?
3.
H o w h a s t h e S o u t h e a s t 's p o v e r t y p r o f i le c h a n g e d in t h e S ix t ie s ?
4.
W h o a r e t h e S o u t h e a s t 's p o o r ?
5.
W h e re a re th e se p o o r?
6.
W h a t a r e s o m e g e n e r a l c h a r a c t e r i s t i c s o f a n a r e a w h e r e p o v e r t y is a c u t e ?
W h a t is P o v e r t y ?
P o v e r t y is a d i f f i c u l t c o n c e p t to d e f i n e , a k in t o d e f i n i n g u g lin e s s o r b e a u t y .
F o r e x a m p l e , is p o v e r t y a n a b s o lu t e o r r e l a t iv e c o n c e p t ? C a n t h e b o r d e r l i n e
b e t w e e n b e in g p o o r a n d n o t b e in g p o o r b e d r a w n o n ly in r e l a t io n t o t h e d e g r e e
o f w e ll - b e i n g t h a t e x is t s , o n a n a v e r a g e b a s is , t h r o u g h o u t a s o c i e t y ? O r is t h e r e
a d e f i n i t e m in i m u m le v e l o f s u b s i s t e n c e a s s o c ia t e d w i t h a m in i m u m in c o m e
le v e l n e c e s s a r y to li f t p e o p le a b o v e p o v e r t y ? F u r t h e r , c a n p o v e r t y b e q u a n t if i e d
in d o l l a r t e r m s ? S u r e ly , n o n m o n e y s o u r c e s o f in c o m e s h o u l d b e c o n s id e r e d in
’ T h e S o u th e a s t, as d e f in e d h e r e , in c lu d e s th o s e sta te s e n tire ly o r p a rtia lly w it h in th e Sixth F e d e ra l
R eserv e D istrict— A la b a m a , F lo rid a, G e o rg ia , L o u isian a, M ississip p i, a n d T e n n e s s e e .
M o n th ly R e v ie w , V o l. L V I II , N o . 7. Fre e su b s c rip tio n an d a d d itio n a l c o p ie s a v a ila b le
u p o n re q u e st to th e R e se a rch D e p a rtm e n t, F e d e ra l R e se rv e B a n k o f A tla n ta ,
A tla n ta , G e o rg ia 3 0 3 03 .
JULY 1973, MONTHLY REVIEW
WEIGHTED AVERAGE POVERTY THRESHOLDS IN 1971
Total
Size of Family
All unrelated individuals...........
Under 65 y e a r s ....................
65 years and o v e r .................
All fam ilie s.............................
2 persons
..........................
Head under 65 y e a r s ...........
Head 65 years and over . . . .
3 persons
..........................
4 persons
..........................
5 persons
..........................
6 persons
..........................
7 or more persons................
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
.
$2,033
2,093
1,931
3,700
2,612
2,699
2,424
3,207
4,113
4,845
5,441
6,678
Total
$2,040
2,098
1,940
3,724
2,633
2,716
2,448
3,229
4,137
4,880
5,489
6,751
Nonfarm
Male
Head1
$2,136
2,181
1,959
3,764
2,641
2,731
2,450
3,246
4,139
4,884
5,492
6,771
Female
Head1
$1,978
2,017
1,934
3,428
2,581
2,635
2,437
3,127
4,116
4,837
5,460
6,583
Total
$1,727
1,805
1,652
3,235
2,219
2,317
2,082
2,745
3,527
4,159
4,688
5,736
Farm
Male
Head1
$1,783
1,853
1,666
3,242
2,224
2,322
2,081
2,749
3,528
4,159
4,689
5,749
Female
Head1
$1,669
1,715
1,643
3,079
2,130
2,195
2,089
2,627
3,513
4,148
4,656
5,516
xFor unrelated individuals, sex of the individual.
Source: Bureau of the Census
a n y p o v e r t y d e f i n i t i o n . F o r e x a m p l e , t h o u g h h is
w it h f a m il y s i z e b u t w it h s e x o f f a m il y h e a d , a g e ,
m o n e y in c o m e m a y b e lo w , t h e s e l f - s u f f i c ie n t
a n d f a r m - n o n f a r m lo c a t io n . F o r e x a m p l e , t h e lo w e s t
b a c k w o o d s m a n m a y b e b e t t e r o f f in a r e a l s e n s e
t h r e s h o ld is f o r t h e u n r e la t e d f e m a le 6 5 y e a r s a n d
t h a n t h e m id d le - c l a s s c i t y d w e l l e r w h o s p e n d s a
o v e r w h o liv e s o n a f a r m . T h e h ig h e s t is f o r a m a le
s i z a b le p o r t io n o f h is in c o m e o v e r c o m in g t h e
r e s id in g in a n o n f a r m a r e a h e a d in g a f a m il y w it h
p r o b le m s o f b ig c i t y lif e .
s e v e n o r m o r e m e m b e r s . T h is s t u d y o f p o v e r t y in
A s o n e c a n s e e , t h e p r o b le m s o f d e f i n i n g p o v e r t y
a r e n u m e r o u s . N e v e r t h e l e s s , if a u s e f u l a n a ly s is o f
p o v e r t y a n d it s r e la t e d p r o b l e m s is t o b e u n d e r
t a k e n , s o m e d e f i n i t io n is n e c e s s a r y . P r o b a b ly t h e
t h e S o u t h e a s t is b a s e d la r g e ly o n t h e s e c e n s u s
p o v e r t y s t a t is t ic s , a s im p e r f e c t a s t h e y m ig h t b e .
H o w M u c h P o v e r t y E x is t s in t h e S o u t h e a s t ?
b e s t p o v e r t y s t a t is t ic s a r e t h o s e p u b l is h e d b y t h e
P a r a d o x ic a l ly , t h e S o u t h e a s t , d e s p it e its r a p id
U . S . C e n s u s B u r e a u b a s e d o n d e f i n i t io n s o r i g i n a ll y
e c o n o m ic g r o w t h , h a s t h e h ig h e s t c o n c e n t r a t io n o f
d e v e lo p e d
in
1964
by
th e
S o c ia l
S e c u r it y
p o v e r t y o f a n y r e g io n . In 1 9 6 9 , o v e r 1 .1 m il li o n
A d m i n i s t r a t io n a n d la t e r r e v is e d in 1 9 6 9 b y a F e d e r a l
f a m il ie s a n d o v e r 5 .4 m il li o n p e r s o n s f e ll b e l o w
I n t e r a g e n c y C o m m i t t e e .2 T h e b a s ic c o n c e p t o f t h e s e
t h e p o v e r t y li n e . T h is w a s 1 8 p e r c e n t o f S o u t h e a s t e r n
d e f i n i t io n s is " a n u t r i t i o n a l l y a d e q u a t e f o o d p la n
f a m il ie s a n d o v e r 2 2 p e r c e n t o f t h e a r e a 's
( 'e c o n o m y ' p la n ) d e s ig n e d b y t h e D e p a r t m e n t o f
p o p u la t i o n . N a t i o n a ll y , le s s t h a n 11 p e r c e n t o f
A g r ic u lt u r e f o r 'e m e r g e n c y o r t e m p o r a r y u s e w h e n
f a m il ie s a n d le s s t h a n 1 4 p e r c e n t o f t h e t o t a l
f u n d s a r e lo w .' " A n n u a l c o s t - o f - l iv in g a d ju s t m e n t s
p o p u la t i o n w e r e p o o r . In f a c t , o f t h e m o r e th a n
a r e m a d e in t h e s e p o v e r t y t h r e s h o ld s b a s e d o n
2 4 .7 m il li o n p o o r p e o p le in t h e n a t io n , a lm o s t 2 0
c h a n g e s in t h e C o n s u m e r P r ic e I n d e x . P o v e r t y
p e r c e n t a r e in t h e S o u t h e a s t ; a t t h e s a m e t i m e , t h is
t h r e s h o ld s a r e a ls o a d ju s t e d f o r f a r m o r n o n f a r m
r e g io n m a k e s u p o n ly a b o u t 1 2 p e r c e n t o f t h e
r e s i d e n c e . T h e f a r m p o v e r t y t h r e s h o ld is 8 5 p e r c e n t
n a t io n 's p o p u la t i o n .
o f t h e n o n f a r m le v e l to t a k e a c c o u n t o f p o s s ib le
L o o k in g a t in d iv i d u a l S o u t h e a s t e r n s t a t e s f u r t h e r
" n o n m o n e y " f o r m s o f in c o m e in r u r a l a r e a s , s u c h
s h a r p e n s t h e c o n t r a s t w it h n a t io n a l c o n d i t io n s .
as fo o d g ro w n a n d c o n s u m e d o n th e fa rm . O th e r
B a s e d o n 1 9 6 9 s t a t is t ic s , o n ly F lo r i d a h a s a n
a d ju s t m e n t s a r e m a d e f o r f a m i l y s i z e , s e x o f f a m il y
i n c i d e n c e o f p o v e r t y ( i .e ., p e r c e n t o f p o p u la t i o n
h e a d , a n d a g e o f in d iv i d u a l s .
b e l o w p o v e r t y le v e ls ) e v e n c lo s e t o t h e n a t io n 's .
O n e s h o r t c o m i n g o f t h e s e p o v e r t y t h r e s h o ld s is
t h a t t h e y d o n o t a c c o u n t f o r r e g io n a l c o s t - o f - l iv in g
G e o r g i a , T e n n e s s e e , A la b a m a , L o u is ia n a , a n d
M is s is s ip p i t h e n f o l l o w , r e s p e c t iv e ly , in t h e ir
d if f e r e n c e s . H o w e v e r , a s n o t e d a b o v e , t h e y d o
i n c i d e n c e o r a c u t e n e s s o f p o v e r t y . M is s is s i p p i, a f t e r
a d ju s t f o r f a r m - n o n f a r m d if f e r e n c e s , a m a j o r
a d e c a d e o f s i g n if ic a n t e c o n o m ic g r o w t h , s t i ll h a s
i n f lu e n c e in r e g io n a l v a r ia t i o n s .
T h e t a b le lis t s t h e 1 9 7 1 p o v e r t y t h r e s h o ld s . T h e
g e n e r a l t h r e s h o ld f o r a f a m i l y o f f o u r w a s $ 4 ,1 1 3 .
H o w e v e r , a s o n e c a n s e e , t h is le v e l v a r ie s n o t o n ly
o v e r o n e - t h ir d o f its p o p u la t i o n b e l o w p o v e r t y
le v e ls , n e a r ly t h r e e t im e s t h e n a t io n a l a v e r a g e . T h e
o t h e r f o u r S o u t h e a s t e r n s t a t e s a ll h a d o v e r 2 0
p e r c e n t o f t h e ir p o p u la t i o n s d e s ig n a t e d p o o r .
A p p a r e n t ly , r a p id e c o n o m ic g r o w t h o f it s e lf c a n n o t
2S e e : M o l l i e O r s h a n s k y , " C o u n t i n g t h e P o o r : A n o t h e r L o o k a t t h e
w i p e o u t p o v e r t y , a t le a s t n o t in a s h o r t t im e .
P o v e rty P ro file ," S o cial S e c u rity B u lle tin (Jan u ary 1 9 65).
U . S. B u re a u o f t h e C e n s u s , R e v is io n in P o v e rty S ta tistic s , 1 9 5 9 t o
1 9 6 8 , C u rre n t P o p u la tio n R ep o rts, S eries P -23, N o . 2 8 (A u g u st
12, 1969).
FEDERAL
RESERVE BANK OF ATLANTA
H o w H a s P o v e r t y C h a n g e d in t h e S ix t ie s ?
T h e d a t a r e q u ir e d to a n a ly z e p o v e r t y c h a n g e s a r e ,
103
S o u th e a s te rn
P o v e rty : A
O
Poverty is a partic
ularly acute
problem in the
Southeast,
although it has
declined sharply
in relative term s
in the Sixties.
mmmmmmmm
Southeast
Total
Pop.
I 38.9
Pop.:
Ala.
1 1 6 .4
I 20.7
Ga.
1 26.3
La.
] 35.8
Miss.
21.8
] 49.8
Black
Pop.
families headed
by women,
Families
headed by
women
and the aged are
hit hardest
by poverty.
Pop.
65 yrs.
old & over
Urban
pop.
Rural areas,
though having a
sm aller number
of poor, have a
higher incidence
of poverty.
% of Group
in Poverty *
J 22.1
Tenn.
Blacks,
U.S.
] 22.5
1959 Total
Pop.
Fla.
The incidence of
poverty varies
from state to
state.
■ *\
G r a p h ic S to ry
Rural
nonfarm
Pop.
Rural
farm
j 35.0
3 4 4 -2
| 32.5
] 36.7
1 27.1
1 18.8
J 12.0
] 29.1
| 18.2
] 29.4
OOP.
All data are 1969 figures unless otherwise indicated.
JULY 1973, MONTHLY REVIEW
a t b e s t , s k e t c h y . S i n c e t h e p o v e r t y s t a t is t ic s u s e d
t o d a y ( i .e ., t h e C e n s u s a n d S o c i a l S e c u r it y
S o u t h e a s t 's S h a re o t N a tio n 's
d e f i n i t io n s ) w e r e n o t d e v e lo p e d u n t il 1 9 6 4 , li t t l e
in f o r m a t i o n e x is t s t o f o r m a c o n s is t e n t d e f i n i t io n o f
P o p u l a ti o n & P o v e rty ,
p o v e r t y c h a n g e s o v e r a n e n t ir e d e c a d e (o n a s t a t e
b a s is ) . S o m e e s t im a t e s a r e a v a il a b l e f r o m t h e O f f i c e
1969
o f E c o n o m ic O p p o r t u n i t y , a n d t h e s e c a n b e
c o m p a r e d w i t h m o r e r e c e n t d a t a t o e x a m in e t h e
Total population
Total Poverty
p r o g r e s s m a d e in e r a d ic a t in g p o v e r t y .
B e t w e e n t h e y e a r s 1 9 5 9 a n d 1 9 6 9 , n a t io n a l
p o v e r t y , b o t h in n u m b e r o f p e o p le a n d a s a p e r c e n t
o f t h e p o p u la t i o n , d r o p p e d o f f s h a r p l y . T h e r e w e r e
o v e r 1 1 .5 m i l l i o n f e w e r p e o p le b e l o w p o v e r t y le v e ls
in 1 9 6 9 t h a n t h e r e w e r e t e n y e a r s e a r l ie r . A t t h e
s a m e t im e , th e in c id e n c e o f p o v e r ty d ro p p e d fro m
2 2 .1 p e r c e n t o f t h e p o p u la t i o n to 1 3 .7 p e r c e n t . T h e
n u m b e r o f p o o r in t h e s ix S o u t h e a s t e r n s t a t e s
d r o p p e d b y n e a r ly 2 .7 m i l l i o n p e o p le b e t w e e n 1 9 5 9
Southeast 12.1
a n d 1 9 6 9 , a c c o u n t in g f o r n e a r ly o n e - q u a r t e r o f t h e
t o t a l U . S . d e c l i n e . T h e n e t r e s u lt w a s a s u b s t a n t ia l
r e d u c t i o n in t h e in c i d e n c e o f S o u t h e a s t e r n p o v e r t y
(fro m
3 8 .9 p e r c e n t o f t h e p o p u la t i o n t o 2 2 .5
White Population
White Poverty
p e r c e n t ). T h e d e c lin e , h o w e v e r , w a s fro m th e v e r y
h ig h le v e l e x is t i n g in 1 9 5 9 . A t t h a t t i m e , f o r e x a m p l e ,
a ll S o u t h e a s t e r n s t a t e s e x c e p t F l o r i d a h a d n e a r ly
4 0 p e r c e n t o r m o r e o f t h e ir p o p u la t i o n s b e l o w
p o v e r t y le v e ls . In f a c t , M is s is s i p p i c l a s s if i e d n e a r ly
5 5 p e r c e n t o f it s p o p u la t i o n a s p o o r in 1 9 5 9 ; in
o t h e r w o r d s , " m a j o r i t y " p o v e r t y t h e n e x is t e d in
t h e s t a t e . B e a r in g t h e s e f a c t s in m in d , it is lit t le
w o n d e r t h a t , a lt h o u g h t h e n u m b e r o f p o o r h a s
d e c li n e d s h a r p l y in t h e S o u t h e a s t , it s t i ll r e m a in s
t h e c o u n t r y 's m a j o r p o v e r t y a r e a .
Black Population
Black Poverty
W h o a r e t h e S o u t h e a s t 's P o o r ?
O v e r a ll s t a t is t ic s in d ic a t e t h a t t o d a y o n ly a m in o r i t y
o f t h e S o u t h e a s t is p o o r . T h e s e s t a t is t ic s , h o w e v e r ,
h id e t h e f a c t t h a t f o r s o m e g r o u p s — b l a c k s , f a m il ie s
h e a d e d b y w o m e n ( e s p e c ia l ly b l a c k s ) , a n d t h e
a g e d — c o n d i t io n s o f m a j o r it y p o v e r t y s t i ll e x is t .
W h i l e p o v e r t y h it s a ll s e g m e n t s o f t h e S o u t h e a s t 's
p o p u la t i o n , b la c k s a r e m o s t s e v e r e ly a f f e c t e d .
A c c o r d in g to 1 9 6 9 s t a t i s t i c s , s l ig h t l y o v e r o n e - h a l f o f
t h e S o u t h e a s t 's p o o r a r e b l a c k a n d n e a r ly 5 0 p e r c e n t
o f b la c k s a r e p o o r . T h u s , p o v e r t y a m o n g t h is g r o u p
is s t i ll a p r o b le m a f f e c t in g m o r e t h a n ju s t a m in o r i t y .
B la c k p o v e r t y in t h e r e g io n c o n t r a s t s s h a r p l y w it h
d e v e lo p m e n t s n a t io n a l ly , w h e r e le s s t h a n
o n e - t h ir d o f t h e p o o r a r e b l a c k a n d w h e r e 3 5
p e r c e n t o f b la c k s a r e p o o r . A la b a m a , L o u is ia n a ,
a n d M is s is s ip p i a ll h a d o v e r o n e - h a l f o f t h e ir b l a c k
p o p u la t i o n s b e l o w t h e p o v e r t y l i n e ; in M is s is s ip p i
F a m il ie s h e a d e d b y w o m e n a r e a ls o a p o v e r t y p r o n e s e g m e n t o f b o t h t h e S o u t h e a s t 's a n d n a t io n 's
p o p u la t i o n s . F o r e x a m p l e , t h e s e f a m il ie s m a k e u p
o v e r 3 0 p e r c e n t o f t h e p o o r in t h e S o u t h e a s t
( m e a s u r e d in f a m i l y u n i t s ) ; h o w e v e r , 4 4 p e r c e n t
o f a ll S o u t h e a s t e r n f a m il ie s h e a d e d b y w o m e n f a ll
in t o t h e p o v e r t y c a t e g o r y . A g a in , p o v e r t y is m o r e
a c u t e in t h is g r o u p in t h e S o u t h e a s t t h a n n a t io n a l ly .
n e a r ly 6 5 p e r c e n t o f t h e b l a c k p o p u la t i o n f a ll b e l o w
F a m il ie s h e a d e d b y b l a c k f e m a le s h a v e a n e v e n
p o v e r t y le v e ls . A p p a r e n t ly it t a k e s t i m e t o d is s o lv e
h ig h e r p o v e r t y in c i d e n c e w it h o v e r 6 5 p e r c e n t
p o v e r t y a m o n g t h is s e g m e n t o f t h e S o u t h e a s t 's
c l a s s if i e d a s p o o r . T h e s it u a t io n is e v e n w o r s e w h e n
p o p u la t i o n , w h e r e d is c r i m in a t i o n a n d la c k o f jo b
s t a t e v a r ia t i o n s a r e c o n s id e r e d . F o r e x a m p l e , in
o p p o r t u n it i e s h a v e h i s t o r i c a l l y c o n t r i b u t e d t o
L o u is ia n a o v e r 7 0 p e r c e n t , a n d in M is s is s ip p i o v e r
p o v e r t y c o n d i t io n s .
7 7 p e r c e n t , o f f a m il ie s h e a d e d b y b l a c k f e m a le s a r e
FEDERAL RESERVE BANK OF ATLANTA
105
p o o r, b a se d o n 1 9 6 9 d a ta .
T h e a g e d a r e a ls o m o r e l i k e l y t o b e p o v e r t y -
P o v e rty M a k e - u p , 1 9 6 9
s t r ic k e n . A p p r o x im a t e ly 1 7 p e r c e n t o f th e
S o u t h e a s t 's p o v e r t y is f o u n d in t h e 6 5 - a n d - o v e r a g e
g r o u p . A g a in , t h e i n c i d e n c e o f p o v e r t y f o r t h is g r o u p
Southeast
U.S.
is h ig h e r t h a n n a t io n a l ly , n e a r ly 3 7 p e r c e n t o f t h e
Racial
t o t a l 6 5 - a n d - o v e r p o p u la t i o n c o n t r a s t e d w i t h 2 7
p e r c e n t n a t io n a l ly . T h e p r o p o r t io n w o u l d b e e v e n
h ig h e r e x c e p t f o r F l o r i d a 's c o m p a r a t i v e ly l o w f ig u r e s
White
69.8
Negro
50.9
b r o u g h t a b o u t b y t h e i n f l u x o f r e l a t iv e ly w e ll - t o - d o
r e t ir e e s . F o r t h e o t h e r f iv e S o u t h e a s t e r n s t a t e s , o v e r
White
48.7
4 0 p e r c e n t o f t h e 6 5 - a n d - o v e r p o p u la t i o n w e r e
p o o r . In M is s is s i p p i, o v e r o n e - h a l f o f it s o l d e r
c i t iz e n s w e r e b e l o w p o v e r t y le v e ls .
Other
Other
W h e r e a r e t h e S o u t h e a s t 's P o o r ?
U p to t h is p o in t w e h a v e d is c u s s e d g e o g r a p h ic
d if f e r e n c e s in p o v e r t y o n ly b y c o m p a r is o n s o f
n a t io n a l , S o u t h e a s t e r n , a n d in d i v i d u a l s t a t e p o v e r t y
in c i d e n c e s . P o v e r t y c a n a ls o b e s p r e a d u n e v e n ly
Geography of Poverty
t h r o u g h o u t a s t a t e . F o r e x a m p l e , r u r a l- u r b a n
d if f e r e n c e s a s w e l l a s d if f e r e n c e s a m o n g t h e m a j o r
m e t r o p o li t a n a r e a s m a y b e e v i d e n t . A l s o , p o v e r t y
Rural '
NonFarm
^ 38.2
Urban
53.9
Rural
Non.Farm
m a y b e m o r e c o n c e n t r a t e d in s o m e r u r a l a r e a s t h a n
Urban
„ 64.4
in o t h e r s , b a s e d o n p a s t d e v e lo p m e n t s in a g r i
c u l t u r e , m in i n g , a n d t h e d i f f e r e n t i a l im p a c t o f
e c o n o m ic g r o w t h .
T h e c o n v e n t io n a l v i e w is t h a t S o u t h e a s t e r n
p o v e r t y is a r u r a l p h e n o m e n o n , w h i l e in o t h e r
Rural Farm
Rural Farm
7.9
r e g io n s o f t h e c o u n t r y t h e p o o r r e s id e m a i n l y in
la r g e m e t r o p o li t a n a r e a s ( p a r t l y a s a r e s u lt o f t h e
p o o r m ig r a t in g f r o m t h e r u r a l S o u t h to t h e u r b a n
N o r t h ) . T h i s c o n c e p t i o n is o n l y p a r t i a l l y t r u e .
A c t u a l l y , t h e S o u t h e a s t h a s s l ig h t l y m o r e p o o r
p e o p le in u r b a n a r e a s t h a n in r u r a l a r e a s . H o w e v e r ,
th e c o n t r a s t b e t w e e n u r b a n a n d r u r a l p o v e r t y is
m u c h le s s in t h e S o u t h e a s t t h a n n a t io n a l ly w h e r e
t h e r e a r e n e a r ly t w i c e a s m a n y u r b a n a s r u r a l p o o r .
W h e n v i e w e d in t e r m s o f i n c i d e n c e , p o v e r t y is m u c h
m o r e a c u t e in S o u t h e a s t e r n r u r a l a r e a s t h a n in u r b a n
a r e a s . T h is s h o u l d b e e x p e c t e d b e c a u s e o f t h e
la r g e r p r o p o r t io n o f t h e S o u t h e a s t 's p o p u la t i o n
li v i n g in c i t ie s t h a n in r u r a l a r e a s . W h i l e a p p r o x i
65 & over
19.1
65 & over
17.1
m a te ly 1 9 p e r c e n t o f S o u th e a s te rn u rb a n
p o p u la t i o n s a r e p o o r , o v e r 2 9 p e r c e n t o f r u r a l
p o p u la t i o n s a r e , a c c o r d i n g t o 1 9 6 9 s t a t i s t i c s .
D i f f e r e n c e s a ls o e x is t n a t io n a l ly in t h e a c u t e n e s s o f
p o v e rty b e tw e e n u rb a n a n d ru ra l a re a s , b u t th e s e
Sex of Family Head
d if f e r e n c e s a r e m o r e p r o n o u n c e d in t h e S o u t h e a s t .
T h e s e u r b a n - r u r a l d is t i n c t i o n s e x is t in v a r y in g
d e g r e e s in e a c h S o u t h e a s t e r n s t a t e . F l o r i d a , w i t h t h e
s m a l le s t in c i d e n c e o f p o v e r t y , a ls o h a s t h e le a s t
d if f e r e n c e b e t w e e n u r b a n a n d r u r a l a r e a s . O n t h e
o t h e r h a n d , M is s is s i p p i, t h e s t a t e w it h t h e m o s t a c u t e
p o v e r t y , a ls o h a s t h e la r g e s t d is p a r it y b e t w e e n its
u rb a n a n d ru ra l p o o r.
E v e n in u r b a n a r e a s , t h e i n c i d e n c e o f p o v e r t y
Female
30.1
Female
32.9
v a r ie s g r e a t ly , a lt h o u g h u s u a l ly it is le s s a c u t e t h a n
in r u r a l a r e a s . L o o k in g s p e c i f i c a l l y a t t h e S o u t h
e a s t e r n m e t r o p o li t a n a r e a s , o n l y t w o , F o r t
106
JULY 1973, MONTHLY REVIEW
D i s t r i b u t i o n o f P o v e rty , 1 9 6 9
L a u d e r d a le a n d A t la n t a , h a d le s s t h a n 1 0 p e r c e n t
The
o f t h e ir f a m il y u n it s b e l o w p o v e r t y le v e ls . ( A l s o , in
L o u is ia n a ,
m o st a c u te
p o v e rty
lie s
t e r m s o f t o t a l p o p u la t i o n , p o v e r t y w a s t h e le a s t
c e n t r a l A la b a m a . T h e p o p u la t i o n o f e a c h o f t h e s e
a c u t e in t h e s e t w o a r e a s .) T h o s e h a v in g t h e m o s t
a r e a s is a t le a s t 4 5 p e r c e n t p o o r . A g a in , a la r g e
n o rth w e s te rn
in
n o rth e a ste rn
M is s is s i p p i
o f t h e s e p o o r r e s id e
s o u th
a c u t e p o v e r t y s t i ll h a d o n ly 1 8 t o 2 0 p e r c e n t o f
p o r t io n
f a m il y u n it s c a t e g o r iz e d a s p o o r . T h e s e a r e a s w e r e
th e se
g e n e r a l ly in A la b a m a , L o u is ia n a , a n d M is s is s i p p i,
f e a t u r e in c o m m o n — a g e n e r a l ly o l d e r a v e r a g e
h ig h - p o v e r t y
in
and
a re a s se e m
ru ra l a re a s . A ls o ,
to
have
F l o r i d a is f r e e o f h ig h
one
s t a t e s w h i c h , o n a n o v e r a ll b a s is , s u f f e r m o s t f r o m
p o p u la t i o n . O n l y
p o v e r t y . T h u s , a lt h o u g h m e t r o p o li t a n a n d u r b a n
c o n c e n t r a t io n
a r e a s a r e n o t a s li k e l y to h a v e a s g r e a t a p r o p o r t io n
in t h is s t a t e t h e n o r t h e r n a r e a s c o n t a in s o m e
o f p o o r a s a r e r u r a l a r e a s , s t i l l , u r b a n iz a t i o n o f
p o c k e ts o f ru ra l p o v e rty .
( i .e ., 3 0
o th e r
p o v e rty
p e rc e n t o r o ve r)
and
even
it s e lf w i l l n o t r e m o v e a ll t r a c e s o f a c u t e p o v e r t y .
T h e m a p p r e s e n ts a m o re c lo s e ly d e fin e d v ie w
C h a r a c t e r is t ic s o f P o v e r t y A r e a s
o f t h e S o u t h e a s t 's p o o r . T h is d iv i s io n o f p o v e r t y is
b a s e d o n S t a t e E c o n o m ic A r e a s a s d e f i n e d b y t h e
W e h a v e m e n t io n e d t h a t p o v e r t y is f o u n d
U . S . B u r e a u o f t h e C e n s u s . A s s h o w n , t h e in t e n s it y
o f t e n in t h e b l a c k , t h e a g e d , a n d f e m a le p o p u la
o f p o v e r t y v a r ie s c o n s id e r a b ly w i t h i n
t io n s .
FEDERAL RESERVE BANK OF ATLANTA
a sta te .
It lo g i c a ll y
f o llo w s ,
m o st
th e n , th a t th o s e
a re a s
107
h e a v il y w e ig h t e d w it h b l a c k s , t h e a g e d , a n d f a m il ie s
f o r c e , w e a k e n s t h is r e l a t io n s h ip . M e a n w h i l e , t h e r e
h e a d e d b y f e m a le s w o u l d b e m o r e l i k e l y to h a v e
a p p e a r s to b e s o m e c o r r e la t i o n
h ig h c o n c e n t r a t io n s o f p o o r . It o n ly t a k e s a q u i c k
d e g r e e o f p o v e r t y a n d t h e p a r t ic i p a t i o n o f m a le s
b e tw e e n
th e
g la n c e a t F l o r i d a , h o w e v e r , to s e e t h a t t h e s e
( u n d e r 6 5 y e a r s o f a g e ) in t h e la b o r f o r c e , p a r
im p li c a t i o n s
B ecause
t ic u la r ly
to w a rd
and
F l o r i d a 's
do
o ld e r
not
a lw a y s
p o p u la t i o n
h o ld
is
tru e .
w e ig h t e d
am ong
in d iv i d u a l S o u t h e a s t e r n
m e t r o p o li t a n
sta te s
a re a s . T h o s e a re a s w it h
a h ig h e r
r e l a t iv e ly w e a l t h y r e t i r e e s , a n o l d e r p o p u la t i o n h a s
i n c i d e n c e o f p o v e r t y g e n e r a l ly h a v e a s m a l le r
n o t m e a n t a p o o re r o n e . L ik e w is e , w h ile
p e r c e n t o f t h e ir w o r k in g a g e m a le p o p u la t i o n in t h e
so m e
c o r r e la t i o n c a n b e f o u n d in o t h e r S o u t h e a s t e r n a r e a s
la b o r f o r c e . P o s s i b l y d is c o u r a g e m e n t , la c k o f s k i l l s ,
b e t w e e n p o p u la t i o n a g e a n d t h e e x t e n t o f p o v e r t y ,
d i s c r i m i n a t i o n , o r a c o m b in a t io n o f t h e s e c a u s e
m a le w o r k e r s o f p r im e w o r k in g a g e to d r o p o u t
th e r e l a t io n s h ip is a t b e s t v e r y w e a k .
E c o n o m ic c h a r a c t e r i s t i c s o f S o u t h e a s t e r n s t a t e s
o f t h e la b o r f o r c e in a r e a s w h e r e p o v e r t y is a c u t e .
a n d S t a t e E c o n o m ic A r e a s a r e , o f c o u r s e , r e la t e d to
T h is w o u l d
p o v e r t y a n d p r o v i d e s o m e a d d i t io n a l in s ig h t s in t o
p o v e r t y in c i d e n c e
th e c h a n c e s a n d m e a n s o f e li m in a t i n g
s in c e th e s e “ d r o p o u t s " a re n o t c o u n t e d a m o n g
i t . 3 A lm o s t
b y d e f i n i t i o n , p o v e r t y is c l o s e l y r e la t e d t o a v e r a g e
in c o m e in s t a t e s a n d a r e a s ; t h a t is , t h e l o w e r t h e
a ls o
w eaken
any
r e l a t io n s h ip
b e tw e e n
a n d a r e a u n e m p lo y m e n t r a te s
t h e u n e m p lo y e d .
T h e n e t r e s u lt o f t h is w e a k r e l a t io n s h ip b e t w e e n
a v e r a g e in c o m e in a s t a t e o r a r e a , t h e g r e a t e r t h e
th e
in t e n s it y
t io n s (a s r e f le c t e d b y u n e m p lo y m e n t ra te s ) is t h a t
of
p o v e rty .
T h is
r e l a t io n s h ip
h o ld s
in c i d e n c e
o f p o v e rty an d
la b o r m a r k e t c o n d i
e x a c t ly f o r e a c h o f t h e s ix S o u t h e a s t e r n s t a t e s a n d
p o v e r t y m a y n o t b e c o m p l e t e l y r e s p o n s iv e to
c l o s e ly f o r S t a t e E c o n o m ic A r e a s w it h i n a n d a m o n g
e c o n o m ic g r o w t h o r in d u s t r i a l i z a t i o n . C o n s e q u e n t l y ,
s t a t e s . H o w e v e r , s t a t e s w it h h ig h a v e r a g e in c o m e
th e re
c o u ld s t i ll h a v e a h ig h in c i d e n c e o f p o v e r t y if th e
ru ra l a re a s o f th e
is a r e a l q u e s t i o n
w h e th e r,
p a r t ic u la r ly
S o u th e a s t, e c o n o m ic
in
g ro w th
d is t r i b u t io n o f t h is in c o m e w e r e s k e w e d u n e q u a l ly .
o f it s e lf c a n
T h u s , p a r t i c u l a r l y w h e n S o u t h e a s t e r n m e t r o p o lit a n
in a s h o r t t i m e . R a t h e r , in t h e s e a r e a s , a t t e n t io n
a r e a s a r e e x a m in e d , a r e a s o f h ig h e r a v e r a g e in c o m e ,
s h o u ld b e g iv e n to t h e s p e c ia l n a t u r e o f e x is t in g
a s w e l l a s g r e a t e r e q u a l it y in t h e d is t r i b u t io n
p o v e rty .
r e d u c e p o v e r t y to i n s i g n if ic a n t le v e ls
o f t h is in c o m e , g e n e r a l ly h a v e s m a l le r c o n c e n t r a
t io n s o f p o o r .
Lab or
m a rk e t
In S u m m a r y
c o n d i t io n s
as
r e f le c t e d
by
u n e m p lo y m e n t r a t e s a p p e a r e d t o b e o n ly w e a k l y
r e la t e d to t h e in c i d e n c e o f p o v e r t y in S o u t h e a s t e r n
s t a t e s , m e t r o p o li t a n a r e a s , a n d S t a t e E c o n o m ic
A r e a s . T h e v a r ia t i o n in u n e m p lo y m e n t r a t e s a m o n g
a r e a s o f t h e S o u t h e a s t e x p l a in s o n ly a s m a ll p o r t io n
o f t h is r e g io n 's g e o g r a p h ic v a r ia t i o n s in p o v e r t y .
O n e m ig h t e x p e c t a r e a s o f h ig h e r u n e m p lo y m e n t
to b e m o r e c l o s e ly a s s o c ia t e d w it h
g re a te r p o v e rty
in t e n s it y . S e v e r a l e x p l a n a t i o n s m a y a c c o u n t f o r t h is
la c k o f a s t r o n g r e l a t io n s h ip . F ir s t , t h e u n e m p lo y
m e n t s t a t is t ic s o f t e n f a il to a c c o u n t f o r t h o s e
w o r k in g o n ly p a r t - t im e a n d t h o s e r e p o r t in g t h a t
t h e y a r e e m p l o y e d e v e n w h e n t h e y a r e n o t . T h is
u n d e r r e p o r t in g o f u n e m p lo y m e n t is p a r t ic u la r ly
M o r e i m p o r t a n t l y , h o w e v e r , t h e la c k o f a s t r o n g
b e tw e e n
p o v e rty
th a n
it h a s a n s w e r e d .
b e e n to p o in t o u t h o w
Its
m a j o r c o n t r i b u t io n
m uch
has
p o v e r t y e x is t s in t h e
S o u th e a s t, w h o th e se p o o r a re , a n d w h e r e th e y
r e s id e . C e r t a i n l y , a n e f f i c i e n t m e a n s t o e l i m i n a t e
p o v e r t y c o m p le t e l y h a s n o t a s y e t b e e n
fo u n d .
A s lo n g a s p o v e r t y r e m a in s a s a s i z a b le p o r t io n
o f a r e g io n 's e c o n o m y , u n a n s w e r e d
q u e s tio n s w ill
p e r s is t . T h is is n o t s u r p r i s i n g ; a s t h is a r t i c l e h a s
p o in t e d o u t , t h o u g h p o v e r t y h a s d e c l i n e d
in b o t h
a b s o lu t e a n d r e l a t iv e t e r m s in t h e S o u t h e a s t , it
s t ill r e m a in s t h e lo t o f a m a j o r it y o f s p e c i f i c g r o u p s
in c e r t a in a r e a s .
P o v e r t y r e m a in s a v e x in g p r o b l e m
in t h e S o u t h
e a s t . A lt h o u g h it h it s o n l y a m in o r i t y o f t h e r e g io n 's
p r e v a l e n t in r u r a l a r e a s .
r e l a t io n s h ip
T h is a r t i c le h a s p r o b a b ly r a is e d m o r e q u e s t i o n s
and
u n e m p lo y m e n t
r a te s m a y b e a s s o c ia t e d w it h t h e n a t u r e o f a s i z a b le
p o r t io n o f S o u t h e a s t e r n p o v e r t y . T h a t is , t h e h ig h
in c i d e n c e o f p o v e r t y a m o n g t h e a g e d a n d f a m il ie s
w it h f e m a le h e a d s , g r o u p s n o t n o r m a l ly in t h e la b o r
p o p u la t i o n , s t i ll o v e r 2 0 p e r c e n t a r e p o o r . T h e
S o u th e a st, a fte r tw o
d e c a d e s o f r a p id
e c o n o m ic
g r o w t h , s t i ll r e m a in s t h e n a t io n 's m o s t p o v e r t y p r o n e r e g io n . P o v e r t y h a s d e c l i n e d s h a r p l y in t h e
S o u t h e a s t in t h e S i x t i e s , b u t t h is f a c t p r o v i d e s li t t l e
s o l a c e f o r t h o s e s e g m e n t s o f t h e p o p u la t i o n w h e r e
it is p a r t i c u l a r l y a c u t e — b l a c k s , t h e a g e d , f a m il ie s
h e a d e d b y w o m e n , a n d t h e r u r a l p o p u la t i o n .
" M a jo r it y " p o v e rty h as tu rn e d
3T h is s e c tio n d o e s n o t c o n s id e r th e m o r e b a sic lo n g -ru n c a u s e s o f
p o v e r ty d i f f e r e n c e s in S o u t h e a s te r n a r e a s . F o r e x a m p l e , t h o u g h
in c o m e v a ria tio n s ex ist a m o n g b o th rural a n d u rb a n a re a s o f th e
S o u t h e a s t, h o w h a s m e c h a n i z a t i o n in a g r ic u l tu r e a n d c h a n g e s
in i n d u s t r y s t r u c t u r e c o n t r i b u t e d t o t h e s e d i f f e r e n c e s ? F u r t h e r ,
h o w has m ig ra tio n o f th e p o o r b e tw e e n a reas o f th e S o u th e ast,
as w e ll as to o th e r re g io n s o f th e c o u n try , c a u s e d v a ria tio n s
in p o v e rty ?
108
in t o " m i n o r i t y "
p o v e r t y in t h e S o u t h e a s t in t h e la s t t w e n t y y e a r s .
B u t t h is t y p e o f p o v e r t y , c e n t e r e d in " t h o s e le f t
b e h i n d ," m a y b e a n e v e n m o r e d i f f i c u l t a n d p r e s s in g
p r o b le m
to c o n q u e r .
JULY 1973, MONTHLY REVIEW
T h e D is t r ic t :
A N o te o n
R e v e n u e S h a r in g
b y A r n o ld A. D ill
In e a r l y J u l y , D i s t r i c t s t a t e a n d lo c a l g o v e r n m e n t s r e c e i v e d , w i t h f e w s t r in g s
a t t a c h e d , c h e c k s t o t a lin g n e a r ly $ 2 0 0 m i l l i o n . T h i s is t h e i r q u a r t e r ly in s t a l m e n t
o f F e d e r a l r e v e n u e - s h a r in g m o n e y . U n d e r a la w p a s s e d la s t O c t o b e r , t h e F e d e r a l
G o v e r n m e n t w i l l b e s h a r in g a7t o t a l o f $ 3 0 b i l l i o n w i t h s t a t e a n d lo c a l g o v e r n
m e n ts fro m 1 9 7 2 to 1 9 7 6 .
F e d e r a l a id t o s t a t e a n d lo c a l g o v e r n m e n t s h a s g r o w n r a p id ly in t h e p a s t t w o
d e c a d e s , p a r t ic u la r ly c a t e g o r ic a l g r a n t s t y in g a id t o s p e c i f i c p r o g r a m s s u c h a s
h e a lt h a n d w e l f a r e . U n d e r t h e r e v e n u e - s h a r in g f o r m , h o w e v e r , s t a t e a n d lo c a l
g o v e r n m e n t s d e t e r m in e h o w a id w i l l b e s p e n t .
Who Got How Much?
A m o n g D i s t r i c t s t a t e s , t h e 1 9 7 2 p e r c a p it a r e v e n u e - s h a r in g p a y m e n t
ra n g e d fro m
$ 2 1 .6 0 in
F l o r id a to $ 3 9 .8 7 in M is s is s i p p i. H o w
m uch
each
s t a t e g o t d e p e n d e d o n it s p e r c a p it a in c o m e a n d ta x e f f o r t . (T a x e f f o r t is
d e f i n e d a s t o t a l s t a t e a n d lo c a l t a x e s d iv i d e d b y t o t a l p e r s o n a l in c o m e .) T h e
le s s a s t a t e 's p e r c a p it a in c o m e o r t h e g r e a t e r it s t a x e f f o r t , t h e g r e a t e r its
a l lo t m e n t o f t o t a l s h a r e d
r e v e n u e s . M is s is s ip p i r e c e i v e d t h e h ig h e s t p e r
c a p it a p a y m e n t in t h e D i s t r i c t b e c a u s e o f a p e r c a p it a in c o m e n e a r ly 2 0
p e rc e n t b e lo w
th a t o f a n y o th e r D is t r ic t s ta te a n d
th e s e c o n d
h ig h e s t
ta x e f f o r t (s e e c h a r t ) . C o n v e r s e l y , F l o r i d a 's lo w p a y m e n t r e f le c t s its h ig h
p e r c a p it a in c o m e a n d a b e l o w - a v e r a g e t a x e f f o r t .
E x c e p t f o r F l o r i d a , D i s t r i c t s t a t e s f a r e d w e l l in r e v e n u e s h a r in g in t h e
s e n s e th a t th e p e r c e n t o f to ta l fu n d s re c e iv e d e x c e e d e d th e p e r c e n t o f F e d e ra l
in c o m e t a x e s p a id ( T a b le 1 ) . F o r in s t a n c e , w h i l e M is s is s i p p i r e c e i v e d 1 .6 7
p e r c e n t o f 1 9 7 2 f u n d s , it c o n t r i b u t e d o n ly .4 7 p e r c e n t to t o t a l F e d e r a l p e r
s o n a l in c o m e t a x e s in 1 9 6 9
( la t e s t y e a r f o r w h i c h
d a t a a r e a v a il a b l e ) .
T h is h a p p e n e d b e c a u s e D i s t r i c t p e r c a p it a in c o m e is s u b s t a n t i a ll y b e l o w t h e
n a t io n a l a v e r a g e a n d t h e f o r m u la g iv e s r e l a t iv e ly la r g e p a y m e n t s t o lo w in c o m e s t a t e s . H i g h - in c o m e F l o r i d a , o n t h e o t h e r h a n d , c o n t r i b u t e d
3 .0 4 p e r c e n t to F e d e r a l p e r s o n a l in c o m e t a x e s b u t r e c e i v e d o n ly 2 .7 7 p e r c e n t
o f sh a re d re v e n u e .
FEDERAL RESERVE BANK OF ATLANTA
109
in g ; r a t h e r , it w o u l d r e d u c e f u t u r e b o n d r e t i r e m e n t
TABLE 1
States
Portion of 1972
Revenue-Sharing
Funds Received1
(% of U. S.)
Portion of 1969
Federal Personal
Income Taxes Paid2
(% of U. S.)
Alabama
1.71
1.04
Florida
2.77
3.04
Georgia
2.07
1.78
Louisiana
1.21
2.31
Mississippi
.47
1.67
1.87
Tennessee
1.41
JU. S. Congress, Staff of the Joint Committee on Internal
Revenue Taxation,
department of the Treasury, Internal Revenue Service.
a n d in t e r e s t c h a r g e s .
J u d g in g f r o m in t e r v ie w s a n d p u b l is h e d b u d g e t s ,
D i s t r i c t s t a t e g o v e r n m e n t s in t e n d t o t a k e t h e c o n
s e r v a t iv e a p p r o a c h o f u s in g s h a r e d r e v e n u e f o r
n o n r e c u r r i n g e x p e n s e s , h o p in g t o a v o id a r e d u c t i o n
o f s e r v ic e s if t h e s e f u n d s a r e c u t b a c k la t e r . M a n y
s t a t e g o v e r n m e n t s d o n o t w a n t t o c o m m i t t h is
m o n e y p e r m a n e n t ly u n t il t h e y a s s e s s t h e im p a c t
o f c u t b a c k s in F e d e r a l c a t e g o r i c a l g r a n t s . I f t h e s e
r e d u c t io n s a r e s u b s t a n t i a l, p e r h a p s e x c e e d i n g
r e v e n u e - s h a r in g p a y m e n t s , s o m e s h a r e d r e v e n u e
m a y w e ll b e s u b s titu t e d .
B u i ld in g a n d r o a d c o n s t r u c t io n a p p e a r to h a v e
A s t a t e g o v e r n m e n t r e c e i v e s o n e - t h ir d o f t h a t
b e e n b e n e f ic i a r ie s o f e a r l y r e v e n u e - s h a r in g p a y
s t a t e 's t o t a l a l lo c a t io n a n d t h e r e m a in in g t w o - t h ir d s
m e n t s to s t a t e g o v e r n m e n t s . H o w e v e r , s h a r e d
is d is t r i b u t e d a m o n g c o u n t i e s p r im a r i ly a c c o r d i n g
r e v e n u e m a y a ls o h a v e b e e n r e s p o n s ib le f o r
t o t a x e f f o r t a n d p e r c a p it a in c o m e . O n t h e s a m e
r e d u c i n g t a x e s o r p o s t p o n in g t a x in c r e a s e s . F o r
b a s is , e a c h c o u n t y 's p a y m e n t is d iv i d e d b e t w e e n
e x a m p l e , t h e t im in g a n d s i z e o f a $ 5 0 - m i ll io n
c o u n t y a n d lo c a l g o v e r n m e n t s . A s w it h s t a t e s ,
G e o r g i a t a x - r e l ie f m e a s u r e h a v e b e e n i n f lu e n c e d
t h o s e lo c a l g o v e r n m e n t s w it h lo w p e r c a p it a
in c o m e s a n d h ig h t a x e f f o r t s g e t r e l a t iv e ly la r g e
b y th e se fu n d s .
G e n e r a l l y s p e a k i n g , c o u n t y a n d m u n i c ip a l g o v
e r n m e n t s a ls o in t e n d t o s p e n d t h e m o n e y o n
a l lo c a t io n s .
A m o n g la r g e D i s t r i c t c i t ie s , N e w O r l e a n s r e c e iv e d
b y f a r t h e b ig g e s t p a y m e n t in 1 9 7 2 , r e f le c t i n g a lo w
p e r c a p it a in c o m e a n d h ig h t a x e f f o r t ( T a b le 2 ) .
I n t e r c i t y c o m p a r is o n s a r e h a z a r d o u s , h o w e v e r ,
b e c a u s e c i t ie s a n d c o u n t i e s v a r y
in t h e ir
c a p it a l o u t la y s , a lt h o u g h p u b l is h e d b u d g e t s
in d ic a t e s e v e r a l G e o r g i a c o u n t i e s h a v e u s e d t h e
b u lk o f t h e ir f u n d s o n o p e r a t in g e x p e n s e s . H e r e
a g a in , p a y m e n t s to lo c a l g o v e r n m e n t s m a y p o s t
p o n e t a x in c r e a s e s o r o f f s e t F e d e r a l c u t b a c k s .
d iv i s io n o f f u n c t io n s a n d t a x - c o l le c t i n g p o w e r s .
W h a t A re
N e w O r l e a n s ' t a x e f f o r t is in c r e a s e d s in c e its c it y
a n d c o u n ty g o v e rn m e n ts a re o n e . O n th e o th e r
h a n d , A t la n t a 's lo w p a y m e n t r e f le c t s in p a r t t h e
f a c t t h a t F u lt o n C o u n t y , c o n t a in i n g m o s t o f t h e
c i t y li m it s , p r o v id e s a r e l a t iv e ly la r g e a m o u n t
o f s e r v ic e s . W h e n t h e t o t a l a l lo c a t io n m a d e to
F u lt o n C o u n t y 's lo c a l g o v e r n m e n t s is d iv i d e d b y t h e
p o p u la t i o n , t h e p e r c a p it a r e v e n u e - s h a r in g p a y m e n t
is $ 2 0 .3 5 , m u c h h ig h e r t h a n A t la n t a 's $ 1 1 .9 9 .
The
1972
The
R e v e n u e - S h a r in g
P ro sp e c ts?
B ill
in i t ia t e d
an
ex
p e r im e n t in t h e f o r m o f F e d e r a l a id t o s t a t e a n d
lo c a l g o v e r n m e n t s . T h e r e l u c t a n c e o f lo c a l o f f i c i a l s
to b e c o m e d e p e n d e n t o n r e v e n u e - s h a r in g f u n d s
is a n in d ic a t i o n o f t h e i r u n c e r t a in t y a b o u t t h e
p r o g r a m 's f u t u r e .
It is t o o e a r l y to t e ll i f r e v e n u e s h a r in g w i l l
s u b s t a n t i a ll y r e p la c e t h e c a t e g o r i c a l g r a n t . S h a r e d
H o w Is I t B e in g S p e n t ?
T w o p o in t s a r e w o r t h m e n t io n in g a b o u t t h e
s p e n d in g o f s h a r e d r e v e n u e . O n e is t h a t t h e s e
f u n d s a r e r e l a t iv e ly in s i g n if ic a n t to s t a t e g o v e r n
m e n t s b u t f a i r l y im p o r t a n t to lo c a l o n e s ; p a y m e n t s
r e v e n u e w i l l b e c o m e m o r e im p o r t a n t if F e d e r a l a n d
lo c a l o f f i c i a l s b e c o m e c o n v i n c e d t h a t it is t h e m o s t
e f f i c i e n t m e a n s o f r a is in g m o n e y f o r s t a t e a n d
lo c a l g o v e r n m e n t s a n d w i l l r e s u lt in w i s e r s p e n d in g
o f t h is a id .
a m o u n t o n ly t o b e t w e e n 1 a n d 2 p e r c e n t o f
s t a t e b u d g e t s b u t u p to 8 t o 1 6 p e r c e n t o f c o u n t y
a n d m u n i c ip a l b u d g e t s . S e c o n d , it is d i f f i c u l t to
TABLE 2
a n a ly z e t h e f u l l im p a c t o f r e v e n u e s h a r in g o n
t o t a l b u d g e t s . A lt h o u g h g o v e r n m e n t s w i l l h a v e
1972 Per Capita
Revenue-Sharing 1970 Per Capita
Payment
Income
Tax Effort
Factor*
to s u b m it re p o rts o n s h a r e d - r e v e n u e e x p e n d it u r e s ,
Cities
t h e r e is n o w a y o f m e a s u r in g h o w t h e s e f u n d s
Atlanta
$11.99
$3156
Birmingham
16.21
2568
Jacksonville
14.88
2853
Miami
19.25
2821
Nashville
16.49
3003
New Orleans
27.94
2705
*Taxes per $100 of personal income
Source:
Department of the Treasury, Office of
Sharing
a f f e c t o t h e r s p e n d in g a n d t a x in g d e c is i o n s .
F o r e x a m p le , a g o v e r n m e n t m a y u se s h a re d
r e v e n u e to p u r c h a s e a f ir e e n g in e in s t e a d o f f u n d
in g it w it h a b o n d is s u e . In t h is c a s e , r e v e n u e
s h a r in g w o u l d n o t , in t h e f in a l a n a ly s i s , a f f e c t
t h e a l lo c a t io n o r le v e l o f a g o v e r n m e n t 's s p e n d
110
2.92
2.49
2.91
3.95
3.29
4.00
Revenue
JULY 1973, MONTHLY REVIEW
M is s is s ip p i re c e iv e d la rg e s t p e r c a p ita
pa ym e n t in 1 9 7 2
12
$4
20
28
44
36
M is s .
B an k
A n n o u n c e m e n ts
La.
Ala.
Ju n e 1 ,1 9 7 3
Tenn.
F IR S T C O M M E R C IA L B A N K O F
M AN ATEE C O U N TY
B ra d e n to n , Florida
O p e n e d fo r bu sin ess as a p a r-re m ittin g n o n m e m b e r.
O ffic e rs : S. K. M c K e n z ie , p r e s i d e n t ; T h o m a s N . F u r g a s o n , Jr.,
v ice p re sid e n t. C a p ita l, $ 4 5 0 ,0 0 0 ; su rp lu s a n d o th e r
fu n d s, $450,000.
B e c a u s e it had a low p e r c a p ita in co m e
$300
900
1500
2100
2700
3300
Ju n e 1 ,1 9 7 3
STA TE BA N K O F TH E G U LF
MiSS.
C u lf S h o re s, A la b a m a
La.
O p e n e d for b u sin e ss as a p a r-re m ittin g n o n m e m b e r.
O ffic e rs : A n d r e w C o o p e r , p r e s id e n t; J o h n H . P elt,
c ash ie r. C a p ita l, $2 0 0 ,0 0 0 ; su rp lu s a n d o th e r fu n d s,
$3 00,000.
Ala.
Tenn.
Ga.
Ju n e 7 ,1 9 7 3
Fla.
ED G EW O O D BAN K
J a c kso n ville, Florida
U.S.
A nd stro n g ta x e ffo rt.
2
4
6
8
t a x e s per $ 1 0 0 p e rs o n a l in c o m e
10
12
14
16
18
O p e n e d for b u sin ess. O fficers: H . G . W illia m s,
c h a i r m a n ; W . W . G a y , v i c e c h a i r m a n ; C a r l E. G r a h a m ,
p re s id e n t; Eva M . F e a g in , v ice p r e s id e n t a n d c ash ie r;
L oran G . B rash ear, v ice p re sid e n t. C ap ital, $ 5 00,000 ;
su rp lu s an d o th e r fu n d s, $500,000.
Ju n e 1 2 ,1 9 7 3
La.
Ala.
T en n.
Ga.
N O R T H R ID G E B A N K
O a k la n d P ark, Florida
O p e n e d fo r b u sin e ss as a p a r-re m ittin g n o n m e m b e r .
O ffic ers: Al D e lla -D o n n a , p re s id e n t; R alp h H . M itte n d o rf,
v ice p re sid e n t a n d c ash ie r. C a p ita l, $7 8 0 ,0 0 0 ; su rp lu s
a n d o th e r fu n d s, $4 20,000 .
Fla.
U .S.
Ju n e 1 4 ,1 9 7 3
T H E A R C A D IA N
BANK
T h ib o d a u x , L ouisiana
O p e n e d for business as a p ar-rem ittin g n o n m e m b e r.
O f f i c e r s : M i c h a e l M . G a u t h i e r , p r e s i d e n t ; P. J. A u c o i n , J r .,
v ice p re s id e n t a n d c ash ie r. C ap ital, $5 0 0 ,0 0 0 ; su rp lu s
a n d o th e r fu n d s, $500,000.
A n e x p a n s io n o f r e v e n u e s h a r in g a ls o w i l l r e q u ir e
t h a t F e d e r a l le g is la t o r s r e l in q u is h m o r e c o n t r o l
o v e r t h e a l lo c a t io n o f a id to lo c a l g o v e r n m e n t s .
Ju n e 1 4 ,1 9 7 3
L o c a l o f f i c i a l s w i l l g iv e t h e ir s u p p o r t if s h a r e d
E L L IS N A T IO N A L B A N K O F C L E A R W A T E R
r e v e n u e d o e s n o t r e s u lt in a r e d u c t i o n o f t o t a l
F e d e r a l a id .
I f r e v e n u e s h a r in g d o e s b e c o m e m o r e im p o r t a n t ,
t h e r e w i l l b e m a n y in t e r e s t in g d e b a t e s a b o u t t h e
v o l u m e o f F e d e r a l a id t o s t a t e s a n d t h e f o r m u la s
C lea rw a ter, Florida
O p e n e d fo r b u sin ess. O fficers: Ja m es M . C o n n ., c h airm an ;
Jack D . T rig g s, p r e s id e n t; L o w re y C . E m b ry , v ic e p r e s id e n t
a n d c a s h ie r ; C h a r le s K. I d e ls o n , a s s is ta n t c a s h ie r.
C ap ital, $5 0 0 ,0 0 0 ; su rp lu s a n d o th e r fu n d s, $2 50 ,0 0 0 .
u s e d to a l lo c a t e s u c h f u n d s . ■
FEDERAL RESERVE BANK OF ATLANTA
111
BANKING STATISTICS
Billion $
-3 4
C R E D IT *
D E P O S IT S 1
•36
-3 0
■32
-2 6
•28
A/
-2 0
_
N et D em an d
.1 4
T im e
•10
-1 6
Other Securities
-8
S a v in g s
_
U .S . G o v ’t. S e c u r it ie s
- 4
I I | I 1I I I I I I I I I I I I I I I I I I I I I I I I
J
J
DJ
1972
J
I I II I I I I II I I II I I I I I I I I I I IIII I
J
DJ
1973
J
1972
1974
DJ
J
DJ
1973
J
1974
LATEST MONTH PLOTTED: MAY
‘ F i g u r e s a re fo r th e la st W e d n e s d a y ot e a c h m o n th .
“ D a il y a v e r a g e fig u r e s .
SIXTH
DISTRICT
BANKING
NOTES
F o re ig n B r a n c h e s A d d t o G r o w t h
FOREIGN BRANCH CLAIMS
AND LIABILITIES
January 1972.
Addresses
CLAIMS
■ u.s
LIABILITIES
□ Non US.
March 1973
^-Nonbank
3 0 .6
112
IULY 1973, MONTHLY REVIEW
D is tr ic t
new
m em ber
d im e n s io n
t i v it y
in
have
t h e ir
re c e n t
b ra n ch e s.
opened
banks
to
y e a rs
S in c e
M ay
added
an
in t e r n a t i o n a l
by
im p o r t a n t
b a n k in g
e s t a b lis h in g
1969,
D is tric t
ac
f o r e ig n
banks
have
te n s u c h b r a n c h e s , s ix in t h e la s t e ig h t e e n
m o n th s.
E ig h t
of
th e se
a re
lo c a t e d
in
N assau .
t i v e ly
c h a n n e le d
in d ic a t e d
a sse ts
by
fu n d s
th e
to
v e ry
re p re se n te d
t h e ir
s m a ll
by
c l a im s
banks on
b o r r o w in g s
fro m
s o u r c e o f f u n d s f o r d o m e s t ic
th e
Baham as'
fu tu re
p o li t ic a l
to ta l
v o lu m e
of
a sse ts
d is c o u r a g e
s in c e
1972
T h e e x p a n s io n in t h e n u m b e r o f f o r e ig n b r a n c h e s
c o m m it m e n t
of
in t e r n a t i o n a l
v o lu m e
D is tr ic t
a c t i v it ie s .
m a rk s
banks
to
M o re o v e r,
th e
g r o w in g
e x p a n s io n
th e
D u r in g
m o re
of
r a p id
th e
f if t e e n
o p e r a t io n s
b e g in n in g
of
has
t h is
75
p e rce n t
th e se
of
to ta l
a sse ts
to ta l
a sse ts,
th a n
f o r e ig n e r s
and
o f f ic i a l
o f f ic e s
su g g e sts
in c r e a s in g
th a t
b ra n ch e s
im p o r t a n c e
w it h in
have
b anks'
o v e r a ll in t e r n a t i o n a l o p e r a t io n s .
fro m
changed
Ja n u a ry
a
1972
s u b s t a n t i a ll y .
lo a n s
and
b ra n c h e s . C la im s o n
f o r e ig n e r s
head
as
(H o w e v e r,
and
At
li a b il it i e s
to f o r e ig n b a n k s e a c h a c c o u n t e d f o r a p p r o x i m a t e ly
nonbank
at
b ra n ch e s
p u rp o se s.
p e r io d ,
fo u rth
assu m ed
f o r e ig n
m o n th s
g r o w t h o f lo a n s to n o n b a n k f o r e ig n e r s a t b r a n c h e s
a ls o
of
t h r o u g h M a r c h 1 9 7 3 , t h e p a t t e r n o f D i s t r i c t f o r e ig n
th e
b u s in e s s
u se
e li m in a t e d .)
b ra n ch
t h e ir
th e
t h e s e r e s e r v e r e q u ir e m e n t s h a v e b e e n lo w e r e d f r o m
a s s e t s o f t h e ir p a r e n t b a n k s .
in
b ra n ch e s
20 to 8 p e r c e n t a n d r e s e r v e - f r e e b a s e s a r e b e in g
a n d c u r r e n t l y a d d a p p r o x i m a t e ly $ 1 5 0 m il li o n t o t h e
and
a d d re s se s.
en
o p e n i n g f o r e ig n b r a n c h e s . T h e s e o f f ic e s m o r e t h a n
t h e ir
S.
as
to ta l
O rle a n s ,
a n d N a s h v i ll e h a v e p a r t ic i p a t e d in t h e t r e n d t o w a r d
d o u b le d
U.
t h e ir f o r e ig n
to
over
on
of
a n d t h e a v a il a b i li t y o f d o m e s t ic f u n d s h a v e t e n d e d
Is la n d s a d d r e s s , u n d o u b t e d l y r e f le c t i n g c u r r e n t u n
c e r t a in t y
o f f ic e s ,
M a r g in a l- r e s e r v e r e q u ir e m e n t s c h a r g e d a g a in s t U .S .
T h e tw o n e w e st b ra n c h e s, h o w e v e r, ca rry a C a y m a n
v i r o n m e n t . B a n k s in A t la n t a , M ia m i , N e w
head
p r o p o r t io n
of
to ta l
o f f ic i a l
re p re se n te d
and
li a b il it i e s
of
in s t i t u t i o n s a n d
le s s
th a n
l i a b il it i e s
in s t it u t io n s
to
one-
nonbank
a c c o u n te d
fo r
le s s t h a n 1 0 p e r c e n t o f t o t a l l i a b il it i e s . T h is
heavy
c o n c e n t r a t io n
p ro b
o f a c t i v it y w it h
f o r e ig n
banks
a b ly r e f le c t s a t t e m p t s b y n e w l y e s t a b lis h e d b r a n c h e s
to m a k e t h e m s e lv e s k n o w n in t h e E u r o d o l la r m a r k e t
by
L o a n s
to
n o n b a n k
fa ste r
a t
fo r e ig n
f o r e ig n
b o rro w e rs
b ra n c h e s
th a n
a t
h a v e
h e a d
b o r r o w in g
c o m m e r c ia l
g ro w n
and
lo a n
r e le n d in g
b e fo re
d e v e lo p in g
c u sto m e rs.
B y M a r c h 1 9 7 3 , D i s t r i c t f o r e ig n b r a n c h e s h a d i n
o f f ic e s .
c r e a s e d t h e ir d e p e n d e n c e u p o n o t h e r f o r e ig n b a n k s
f o r f u n d s to o v e r 8 5 p e r c e n t o f t o t a l l i a b i l i t i e s . In
c o n t r a s t , t h e y r e d u c e d t h e p r o p o r t io n o f c l a im s o n
f o r e ig n
banks
in
t h e ir
lo a n
p o r t f o li o s
to
h a lf
of
t o t a l c l a im s , a n d in c r e a s e d t h e p r o p o r t io n o f c l a im s
on
nonbank
a lm o s t 4 3
tr ic t
fo re ig n e r s
and
p e r c e n t . T h is
f o r e ig n
b ra n ch e s
dependent upon
have
f o r e ig n
f u n d s f o r f in a n c in g
o f f ic i a l
p a tte rn
in s t i t u t i o n s
to
su g g e sts th a t D is
becom e
in c r e a s in g l y
b a n k s as a n e t s o u rc e o f
a g r o w in g v o l u m e
o f lo a n s to
n o n b a n k f o r e ig n b o r r o w e r s a n d o f f ic i a l in s t i t u t i o n s .
As
th e
lo a n
g r o w n , lo a n
v o lu m e
in J a n u a r y 1 9 7 2 , a ll
Mil. $
on
to
nonbank
m a t u r it y s t r u c t u r e
D i s t r i c t f o r e ig n
n o n b a n k s f o r e ig n
f o r e ig n e r s
has
has ch a n g e d . T h u s,
b o rro w e rs
b ra n ch
had
c l a im s
a m a t u r it y o f
le s s t h a n o n e y e a r . C u r r e n t l y , n e a r ly t w o - t h ir d s o f
th e s e
G i v in g
a d d i t io n a l
im p e t u s
to
th e
e s t a b li s h m e n t
o f f o r e ig n b r a n c h e s a r e s e v e r a l f a c t o r s c o n s t r a i n i n g
t h e a m o u n t o f t h is a c t i v it y c o n d u c t e d
lo c a t io n .
Th ese
in c lu d e
th e
fro m
V o lu n t a r y
a U .S .
e x c e p t io n s ,
f o r e ig n
th e
th e
p la c e s
a
c e i lin g
on
a sse ts th a t a U . S. b a n k
In t e r e s t
E q u a l iz a t io n
a c q u i s it i o n
of
f o r e ig n
Tax
th e
v o lu m e
of
m a y a c q u ire , a n d
(IE T ),
a sse ts
w h ic h
w it h
ta x e s
m a t u r it ie s
g r e a t e r t h a n o n e y e a r . T h u s , a f o r e ig n b r a n c h , w h i c h
is e x e m p t f r o m t h e V F C R a n d I E T , p r o v id e s it s h e a d
o f f ic e
w it h
a c h a n n e l f o r e x p a n d in g
f o r e ig n
lo a n s
On
th e o th e r h a n d , su c h
b ra n ch e s h ave
FEDERAL
RESERVE BANK OF ATLANTA
not ac
m a t u r it ie s
e x c e e d in g
o f lo n g - t e r m
one
y e a r.
m a t u r it ie s
b a n k s h a s r is e n o n ly s l ig h t l y ,
1 9 to 2 3 p e r c e n t .
D i s t r i c t f o r e ig n
d e g re e
of
t h e ir
o p e r a t io n s .
b r a n c h e s h a v e a ls o
in v o lv e m e n t
in
changed
f o r e ig n
th e
cu rre n c y
In J a n u a r y 1 9 7 2 , o v e r 6 p e r c e n t o f to t a l
li a b il it i e s a n d 8 p e r c e n t o f c l a im s w e r e d e n o m in a t e d
in
n o n d o l la r
f o r e ig n
c u r r e n c ie s .
c u rre n c y
a n e g lig ib le
c l a im s
M o re
and
r e c e n t ly ,
l i a b il it i e s
h o w e v e r,
a c c o u n t fo r
p a r t o f t o t a l b u s in e s s . B r a n c h e s p r o b
a b ly h a v e r e d u c e d f o r e ig n c u r r e n c y b o r r o w i n g a n d
le n d in g
exchange
a n d o t h e r c l a im s o n f o r e i g n e r s .
have
in c l a im s o n f o r e ig n
fro m
F o r e ig n
C r e d i t R e s t r a in t ( V F C R ) P r o g r a m w h i c h , w it h c e r t a in
c l a im s
In c o n t r a s t , t h e p r o p o r t io n
to
a v o id
r is k s
in
lig h t
of
re c e n t
J O H N
E.
f o r e ig n
u n c e r t a in t ie s .
L E IM O N E
113
Sixth D istrict Statistics
Seasonally Adjusted
(All data are indexes, unless indicated otherwise.)
: M o n th
One
M o n th
A go
Tw o
M on th s
Ago
One
Year
A go
S IX T H D IS T R IC T
U n e m p lo y m e n t R a te
(P e rce n t of W o rk Force) . .
Avg. W e e kly H rs. in M fg. (H rs.)
IN C O M E A N D S P E N D I N G
M a n u f a c t u r in g P a y r o l l s ......................M a y
F a rm C a s h R e c e i p t s ......................... Apr.
C r o p s ........................................... Apr.
.................................... Apr.
L iv e s t o c k
In s ta lm e n t C re d it at B a n k s * / ' {M il. $)
N e w L o a n s .................................... M a y
Rep aym ents
................................ M a y
L ate st M o n t h
160
166
153
183
628.2
525.2
161
173
184
179
6 8 4 .l r
5 6 2 .l r
160
161
169
170
144
133
140
139
670.0
514.7
528.4
481.1
120
111
111
O ne
M onth
A go
Tw o
M o n th s
Ago
One
Year
Ago
. M ay
. M ay
4.3
41.0
4.1
41.3
4.3
41.0
5.3
41.0
. M ay
. M ay
. M ay
21 3
185
194
208
182
197
204
179
204
1 74
162
166
M a n u f a c tu rin g P a y ro lls
. .
. M ay
Fa rm C a s h R e c e i p t s ......................... Apr,
Apr.
167
1 49
1 69
151
170
147
145
131
141
119
145
177
105
140
119
144
177
99
1 39
118
143
174
103
132
113
135
156
96
2.8
41.0
3.3
41.6
2.9
41.9
3.3
41.2
. M ay
. M ay
. M ay
259
2 24
2 67
251
2 16
259
251
M a n u f a c tu rin g P a y r o l l s ......................M a y
Fa rm C a s h R e c e i p t s ......................... Apr.
155
185
F IN A N C E A N D B A N K IN G
Bank
D e b it s * *
E M P L O Y M E N T A N D P R O D U C T IO N
N o n fa rm E m p l o y m e n t ......................M a y
M a n u f a c t u r in g
............................. M a y
N o n d u r a b le G o o d s ......................M a y
F o o d ........................................ M a y
T e x t i l e s .................................M a y
A p p a re l
................................ M a y
P a p e r .................................... M a y
P r in t in g a n d P u b lis h in g . . . M a y
C h e m i c a l s ............................. M a y
D u ra b le G o o d s ......................... M a y
Lbr.t W ood Prods., Furn . & Fix . M a y
Stone , C lay, a n d G la s s . . . . M a y
P rim a ry M e t a l s ......................M a y
F a b ric a te d M e t a l s .................. M a y
M a c h i n e r y ............................. M a y
T ra n sp o rta tio n E q u ip m e n t
. . M ay
N o n m a n u f a c t u rin g
......................M a y
C o n s t r u c t i o n ......................... M a y
T r a n sp o rta tio n
......................M a y
T r a d e .................................... M a y
Fin., ins., a n d real e s t ............. M a y
S e r v i c e s .................................M a y
Fe d e ral G o v e r n m e n t .............. M a y
State a n d L o ca l G o v e rn m e n t. . M a y
F a rm E m p l o y m e n t ............................. M a y
U n e m p lo y m e n t Rate
(P e rc e n t of W o rk F o r c e ) .............. M a y
In s u re d U n e m p lo y m e n t
(P e rc e n t of Cov. E m p . ) .................. M a y
Avg. W e e k ly H rs. in M fg. (H rs.) . . . M a y
C o n s tru c t io n C o n t r a c t s * .................. M a y
R e s i d e n t i a l .................................... M a y
All O t h e r ........................................M a y
Ele ctric P ow e r P r o d u c t io n **
. . . . Dec.
C otto n C o n s u m p t i o n * * ......................Apr.
Pe tro le u m P r o d u c t i o n * * .................. J u n e
M a n u f a c tu r in g P ro d u c tio n
.............. Apri
N o n d u ra b le G o o d s ......................... A p r
Food
.................................... Api
T e x tile s
................................ Api
................................ A p r
A p p a re l
P a p e r .................................... A p r
P r in t in g a n d P u b lis h in g . . . A p r
C h e m i c a l s .............................A p r
D u ra b le G o o d s .............................A p r
L u m b e r a n d W o o d .............. A p r
Fu rn itu re a n d F ix tu re s
. . . Apr
Stone, C lay, a n d G la s s . . . . A p r
P rim a ry M e t a l s ......................A p r
Fa b ric ate d M e t a l s .................. A p r
N o n e le ctrica l M a c h in e r y . . . A p r
Electrica l M a c h i n e r y .............. A p r
T ra n sp o rta tio n E q u ip m e n t
. . Apri
125
114
125
114
125
114
112
10 2
1 10
1 10
111
112
112
10 4
105
1 10
1 10
111
1 10
111
1 10
12 2
123
107
116
123
106
116
1 10
120
1 10
1 10
121
127
139
106
129
132
123
131
136
134
109
127
138
107
128
133
105
116
no
12 0
110
127
137
108
129
134
103
108
109
1 10
119
105
111
107
114
107
120
12 2
121
131
135
132
131
134
133
128
106
123
125
117
125
129
129
10 1
10 1
102
10 2
131
86
131
81
131
90
125
90
3.7
3.7
3.6
4.3
1.6
1.8
275
131
188
79
114
2 92
244
188
2 88
297
223
164
306
3 49
41.2
227
28 5
170
187
85
114
291
242
188
2 84
2 94
223
164
307
349
41.0
281
3 53
200
200
200
191
2 07
23 2
2 89
44 5
770
454
191
207
23 4
285
43 6
772
45 9
191
207
231
283
4 36
7 78
453
2.3
41.0
226
260
193
168
85
125
269
2 34
185
266
290
215
164
299
311
193
183
185
1.7
40.8
202
211
186
82
116
2 89
239
186
28 2
28 7
222
162
30 6
348
200
231
21 6
22 6
21 4
223
2 08
177
163
194
171
2 34
190
168
23 2
186
162
2 28
166
147
184
157
2 09
155
200
155
198
138
165
115
114
115
111
112
111
112
116
116
80
116
113
74
116
113
79
109
113
ALABAM A
114
Bank
D e b it s*
212
194
186
2 63
2 10
158
184
155
161
142
128
EM PLO YM EN T
N o n fa rm E m p lo y m e n t . . . .
M a n u f a c tu rin g
..................
N o n m a n u f a c t u r i n g ..............
U n e m p lo y m e n t Rate
(P e rc e n t of W o rk Fo rce) . .
Avg. W e e k ly H rs. in M fg. (H rs.)
M ay
M ay
M ay
M ay
M ay
12 2
12 2
109
128
126
86
109
127
127
84
123
109
129
130
92
108
125
123
87
M ay
M ay
3.8
40.5
3.6
41.1
3.5
40.8
3.7
40.8
M ay
M ay
M ay
2 30
183
261
2 33
179
283r
220
174
152
197
M ay
Apr.
147
143
148
143
148
146
136
M ay
M ay
M ay
M ay
M ay
113
105
115
97
76
114
105
115
112
73
114
106
116
103
81
M ay
M ay
6.0
5.4
41.9
5.5
42.4
5.5
41.9
120
F IN A N C E A N D B A N K IN G
Mem ber Bank Loans
Bank
.
D e b it s * *
169
260
120
EM PLOYM ENT
U n e m p lo y m e n t R a te
(P e rc e n t of W o rk Fo rce) . .
Avg. W e e k ly H rs. in M fg. (H rs.)
41.8
100
104
113
98
85
F IN A N C E A N D B A N K IN G
M em ber Bank Loans* . . . .
M e m b e r B a n k D e p o s it s * . . .
B a n k D e b it s * / * *
..................
M ay
M ay
M ay
211
169
175
197
166
172
196
166 r
166
154
154
151
M ay
Apr.
171
205
175
245
173
2 10
160
169
M ay
M ay
M ay
M ay
M ay
12 2
12 2
12 2
118
IN C O M E
EM PLO YM ENT
N o n fa rm E m p l o y m e n t ......................M a y
M a n u f a c tu rin g
.............................M a y
N o n m a n u f a c t u r i n g ......................... M a y
C o n s t r u c t i o n .............................M a y
Fa rm E m p l o y m e n t ............................. M a y
F IN A N C E A N D B A N K IN G
M IS S IS S IP P I
IN C O M E
M a n u f a c tu rin g P a y ro lls
..................M a y
Fa rm C a s h R e c e i p t s ......................... Apr.
N o n fa rm E m p lo y m e n t . . .
. M ay
M a n u f a c t u r in g
.............................
. M ay
N o n m a n u f a c t u rin g
. . .
. M ay
C o n s t r u c t i o n .............................
. M ay
Farm E m p l o y m e n t .............................
. M ay
U n e m p lo y m e n t Rate
(P e rc e n t of W o rk Fo rce) . .
. M ay
. M ay
Avg. W e e k ly H rs. in M fg. (H rs.)
267
3 98
6 50
413
F IN A N C E A N D B A N K IN G
Loans*
All M e m b e r B a n k s ......................M a y
La rg e B a n k s ................................ M a y
D e p o sits *
All M e m b e r B a n k s ......................... M a y
L a rge B a n k s ................................ M a y
B a n k D e b it s * / * *
............................. M a y
EM PLO YM EN T
M a n u f a c t u r in g P a y ro lls . . . .
F a rm C a s h R e c e i p t s ..............
EM PLOYM ENT
111
83
N o n fa rm E m p lo y m e n t
. . . .
M a n u f a c tu rin g
..................
126
126
127
12 2
120
120
120
113
82
114
64
115
116
113
91
88
JULY 1973, MONTHLY REVIEW
L a te st M o n t h
U n e m p lo y m e n t R a te
(P e rc e n t of W o rk F o rce ) . . . , . M a y
A vg. W e e kly H rs. in M fg. (H rs.) . . . M a y
One
M on th
Ago
Tw o
M o n th s
Ago
One
Year
A go
3.7
40.2
4.2
40.8
180
163
1 84
Two
M on th s
Ago
O ne
Year
Ago
124
115
1 28
121
84
1 24
1 15
129
123
83
1 24
115
1 29
125
88
118
113
122
1 18
91
2.8
40.7
2.9
4 0.9
2.8
4 0.6
3.5
40.8
214
17 8
183
213
177
1 84
215
177
186
172
159
154
EM PLO YM ENT
4.2
40.2
4.2
40.7
N o n fa rm E m p l o y m e n t ......................M a y
M a n u f a c t u r in g
............................. M a y
N o n m a n u f a c t u r i n g ......................... M a y
C o n s t r u c t i o n ............................. M a y
F a rm E m p l o y m e n t ............................. M a y
U n e m p lo y m e n t R a te
(P e rce n t o f W o rk F o r c e ) .............. M a y
Avg. W e e k ly H rs. in M fg. (H rs.) . . . M a y
F IN A N C E A N D B A N K IN G
M e m b e r B a n k L o a n s * .................. . M a y
M e m b e r B a n k D e p o s i t s * .............. . . M a y
B a n k D e b it s * / * *
.........................
One
M onth
Ago
L a te st M o n t h
220
212
189
2 17
183
216
184
221
211
T EN N ESSEE
F IN A N C E A N D B A N K IN G
M a n u f a c t u r in g P a y r o l l s .................. M a y
F a rm C a s h R e c e i p t s ......................... Apr.
166
175
166
159
162
167
* F o r S ix t h D istric t are a only; o ther to ta ls for en tire s ix sta te s
M e m b e r B a n k L o a n s * ......................M a y
M e m b e r B a n k D e p o s i t s * .................. M a y
B a n k D e b i t s * / * * ................................ M a y
149
1 34
“ D a ily a v e ra g e b a s is
fP re lim in a ry data
r-R ev ised
N.A. N o t a v a ila b le
Note: Indexes for bank debits, construction contracts, cotton consumption, employment, farm cash receipts, loans, petroleum
production, and payrolls: 1967 = 100. All other indexes: 1957-59=100.
So u rc e s : M a n u f a c t u r in g p ro d u c tio n e stim a te d b y t h is B a n k ; non farm , m fg. a n d n o n m fg . emp., m fg. p a y ro lls a n d h o u rs, a n d unem p., U .S. Dept, of L a b o r a n d c o o p e ra tin g
state a g e n c ie s; cotto n c o n su m p t io n , U.S. B u re a u of C e n s u s; c o n stru c tio n c o n tra c ts, F. W. D o d g e Div., M c G ra w -H ill In fo rm a tio n S y s t e m s Co.; petrol, prod., U .S. B u r e a u of
M in e s; in d u s tria l u s e of elec. pow er, Fed. P ow e r C om m .; fa rm c a s h re c e ip ts a n d fa rm em p., U.S.D.A. O th e r in d e x e s b a s e d on data c ollec ted b y t h is B a n k . A ll in d e x e s
c a lc u la te d b y t h is B a n k .
’ D ata b e n c h m a rk e d to J u n e 1971 R e p o rt of C o n d itio n
Debits to D em and D eposit A ccounts
Insured Commercial Banks in the Sixth District
(In Thousands of Dollars)
P e rc e n t C h a n g e
P e rc e n t C h a n g e
M ay
1973
April
1973
M ay
197 2
Year
to
M ay
date
197 3
5 m os.
F ro m
197 3
A pril M a y from
1973 197 2
S T A N D A R D M E T R O P O L IT A N
S T A T IS T I C A L A R E A S * *
B ir m in g h a m
. . . .
G adsden
. . . .
H u n t sv ille . . . .
M o b ile
.............. .
M o n t g o m e ry . . .
T u s c a lo o s a
. . .
W in te r
H aven
M ay
197 2
A pril
1973
170,437
75,671
161 ,029
76,3 7 9
134,417
63,3 07
+
-
178,016
72,5 70
194,903
26,956
1,012,003
1,846,631
189,892
75,5 3 4
1 9 8 ,944
2 7,1 84
1,007,073
1,720,121
144,136
58,6 14
140,249
29,081
725 ,713
1,488,399
+
+
153,196
101 ,606
182,160
21,7 87
133,617
70,621
37,8 07
65,846
135,697
9 6,4 93
156,366
101,942
1 84,007
23,355
138,641
66,048
38,6 26
71,8 90
134,063
92,313
138,282
82,0 93
1 58,848
24,025
104,667
58,353
31,0 87
4 3,7 70
119,340
80,481
—
+
+
+
16,061
9,626
81,6 69
5 7,7 48
26,8 95
37,1 32
15,649
9,49 0
74,896
51,921
21,996
35,4 10
15,130
9,179
60,3 1 9
53,9 42
16,317
34,1 89
125,723
72,9 84
120 ,384
5 1,6 64
117,795
6 9,9 72
111 ,030
49,9 96
105,931
62,771
101,847
47,957
. .
152,649
65,6 22
3 9,4 56
149,154
67,9 37
4 0,8 04
139,364
58,7 20
38,858
+
-
B risto l
. . . .
J o h n so n C ity
K in g sp o rt . . .
1 1 1 ,779
1 75,303
26 1 ,9 4 4
114,173
155,980
25 5 ,4 4 8 r
123,084
140 ,369
225,651
S e lm a
3,251,777
9 8,6 00
305 ,283
1,056,940
619 ,006
2 1 7 ,036
3 ,293,314
90,810
2 8 6 ,235
9 1 0 ,275
587,971
194,450
750 ,277r
368 ,027
2,833,438
8 4,4 30
272 ,913
864,611
519,443
166,270
- 1
+ 9
+ 7
+ 16
+ 5
+ 12
+22
+ 14
+ 12
+ 19
+31
+25
+ 15
+ 16
+ 12
+ 19
+20
+22
593,443
29 4 ,0 1 4
-
0
1
+23
+26
+23
1,778,040
32 0 ,666
24 1 ,844
3,688,497
1,932,627
321 ,905
254,071
3,346,902
1,582,039
2 5 3 ,706
-
8
0
+ 1?
+ 26
+ 17
+34
3,07 1,254
+ 10
+21
+25
Cocoa
. . . .
M i a m i ..............
O r l a n d o ..............
P e n s a c o la . . . .
S a ra so ta
T a lla h a s se e
. . .
Ta m p a -St. Pete
W. P a lm B e a c h
44 3 ,185
. 6 ,61 3,924
. 1,464,200
4 1 8 ,4 5 0
481 ,536
911 ,258
. 3,84 0,789
. 1,233,882
438 ,1 4 4
6,63 0,616
1,499,657
4 0 6 ,899
5 2 4 ,844
8 7 9 ,637
3,711,563
1,311,732
341,301
5,04 4,354
1,230,821
379 ,386
327,911
65 3 ,238
3,06 4,748
890 ,782
+ 1
- 0
- 2
+ 3
- 8
+ 4
+ 3
- 6
+ 30
+ 31
+ 19
+ 1(1
+47
+39
+ ?S
+38
+28
+26
A l b a n y ..............
A t l a n t a ..............
A u g u s t a ..............
C o lu m b u s . . . .
M acon
..............
Savannah
. . . .
186 ,459
. 15,333,669
514 ,352
375 ,4 1 2
5 1 9 ,1 4 4
5 2 5 ,302
189,895
16,166,654
50 3 ,0 5 9
420 ,0 3 6
510 ,165
5 0 8 ,790
162,675
11,061,322
4 2 3 ,352
369 ,367
42 5 ,5 4 0
4 3 9 ,209
+
2
+ 15
+ 39
+21
+
3
5
2
-1 1
+ 2
+21
+ 2
+22
+20
+22
+ 11
+46
+46
+23
+37
+42
+ 18
+ 9
+ 19
+20
A le x a n d ria
. . .
B a to n R o u g e
. . .
L afay ette
. . . .
L a ke C h a r le s
. .
N ew O rle a n s
. . .
2 3 5 ,908
1,242,160
2 6 6 ,460
2 2 0 ,726
4,15 6,968
2 3 2 ,277
1,096,667
2 6 9 ,932
2 15,871
3,804,267
206 ,353
1,123,759
2 3 0 ,598
2 1 2 ,938
3,470,721
+ 2
+ 13
- 1
+ 2
+ 9
+ 14
+ 11
+ 16
+ 4
+20
+ 19
+ 9
+23
+ 9
+ 8
B ilo x i-G u lfp o rt . .
J a c k s o n .............. .
281 ,9 6 8
1,436,628
266 ,451
1,420,563
219 ,213
1,219,777
+
+
6
1
+29
+ 18
+23
+24
C h a tta n o o g a . . . .
K n o x v ille
. . . .
N a s h v ille
. . . .
1,232,366
860 ,827
3,209,257
1,222,049
92 5 ,378
3,06 3,630
948,851
7 3 1 ,012
2,647,139
+
+
1
1
+30
+ 18
+ 19
5
+21
+23
115,068
111,628
96,2 14
+
3
+20
+ 17
OTHER C EN T ERS
A n n is to n
. . . .
April
1973
M ay
1 97 3
D o th a n
748,261
3 6 2 ,849
H o lly w o o d . . . .
Ft. M y e r s . . . .
G a in e s v ille
. . .
J a c k s o n v ille
. . . .
M ay
197 2
F ro m
+20
1 D istric t portion o n ly
r-R e v ise d
F ig u r e s fo r so m e a re a s d iffe r s lig h t ly fro m p re lim in a ry fig u re s p u b lish e d in " B a n k
* * C o n fo r m s to S M S d e fin it io n s a s of D e c e m b e r 31, 1972.
FEDERAL
RESERVE BANK OF ATLANTA
. . . .
. . . .
. .
B ra d e n to n
. . .
M o n ro e C o u n ty .
O c a l a ..............
St. A u g u st in e
St. P e t e rsb u rg .
Tam pa
. . . .
.
.
A th e n s
. . . .
B ru n s w ic k . . .
D alton
. . . .
Elberton
. . .
G a in e s v ille
. .
G riffin
. . . .
La G ra n g e
. . .
New nan
. . . .
R o m e ..............
V a ld o s ta
. . .
A b b e v ille
. .
B u n k ie
. . . .
Ham m ond
. .
Ne w Iberia
.
P la q u e m in e
.
T h ib o d a u x . .
.
.
.
.
.
H a t t ie s b u rg
. .
L au re l
. . . .
M e rid ia n
. . .
N a tc h e z . . . .
P a sc a g o u la M o s s P oint
Yazoo
D istric t
C ity
To ta l
A la b a m a
.
F lorid a
. .
G e o rgia . .
L o u is ia n a 1
M is s is s ip p i1
T e n n e sse e 1
. .
. .
. .
. .
. .
. .
. .
M ay
197 2
6
1
6
4
2
1
0
7
2
0
1
7
4
7
+27
+20
Year
to
date
5 m os.
197 3
fro m
+25
+30
+24
+24
+39
- 7
+40
+23
+30
+26
+34
+ 11
+24
+ 15
- 9
+28
+ 16
+23
+21
+22
-1 0
+36
+ 18
+20
+ 10
+30
+24
2
8
1
+5C
+14
5
+20
+52
+17
+ 13
+ 3
+ 1
+ 9
+ 11
5
+ b
+ 5
+35
+ /
+ bb
+ 9
+ 0
+24
+32
+ 12
+55
+ 9
+ 7
+ 4
+ 8
+ 3
+ 19
+ 16
+ 18
+ 8
+ 18
+ 9
2
3
3
+ 10
+ 1?
+ 2
+28
+24
+ 2
- 2
+ 12
+ 3
- 9
+ 2b
+ 16
+ 2
+ 16
+ 18
+22
+
+21
+ 18
+22
. 72,2 58,607
72,0 76,528
58,2 56,740
+
0
+24
+26
.
.
.
.
.
.
7,724,765
24,7 54,332
21,9 46,982
6,76 0,070
2,97 3,140
7 ,91 7,239
6,839,805
19,838,430
15,972,472
6 ,36 0,722
2,62 7,258
6,617,783
+ 2
+ 1
- 4
+ 9
+ 3
- 1
+ 15
+26
+32
+ 16
+ 17
+ 19
+ 18
+26
+36
+23.
7,876,763
2 4 ,9 56,948
21,1 20,817
7,35 7,955
3,06 6,320
7,87 9,804
+21
+20
D e b its a n d D e p o sit T u rn o v e r” b y B o a rd of G o v e rn o rs of the Fede ral R e se rv e S y ste m .
115
D istrict B u sin e ss C o n d itio n s
_
$•■>. Adj
234
•292
Mfg. Production
1957-59-100
247 ‘
112
202
^
1972
\ •7J \'6 -vM o .
III
I I I I I I I I I II
1971
1973
M o v in g
I I I I II II I
1972
III
I I I I I I I I I
1973
‘Seas. adj. figure; not an index.
Latest plotting: May, except mfg. production and farm receipts, April.
S ig n s o f a m o d e r a t e s l o w in g in t h e r e g io n 's r a p id g r o w t h w e r e e v i d e n t a g a in in M a y . C o n s u m e r i n d i c a t o r s ,
th o u g h
m ix e d , s h o w e d
so m e
w e a k e n in g .
C o m m e r c ia l b a n k
p r e v io u s m o n t h s . L a b o r m a r k e t s r e m a in e d t i g h t , b u t j o b
a c t i v i t y , p a r t i c u l a r l y n o n r e s id e n t i a l, s l o w e d
lo a n s e x p a n d e d
lo s s e s o c c u r r e d
in
r a p id ly
so m e
b u t le s s
so
th a n
in
in d u s t r i e s . C o n s t r u c t i o n
c o n s id e r a b ly . A g r ic u lt u r a l p r ic e s a n d i n c o m e c o n t in u e d t o r i s e ,
b u t s p r in g f lo o d s h a v e d e la y e d o r p r e v e n t e d c r o p p l a n t in g s .
C o n s u m e r b o r r o w in g
c o n s e c u t iv e
m o n th
th o u g h
stro n g , n e w
s t ill
c o m m e r c ia l
banks
th e s lo w d o w n
g o r ie s .
of
w as
s lo w e d
le s s
le n d in g
th e
e v i d e n t in
U n it s a le s
in
M a y , th e
v ig o r o u s
to
lo w e s t
A l
co n su m e rs
t h is
y e a r,
a ll c o n s u m e r lo a n
o f d o m e s t ic a ll y
t h ir d
g ro w th .
p ro d u ce d
by
w it h
c a te
t io n
w e re
p r im a r ily
r e s p o n s ib le
fo r
s h o u ld
p ic k
up
th ro u g h o u t
th e
r e m a i n d e r o f t h is
y e a r s i n c e a n u m b e r o f c o n t r a c t s in k e y S o u t h e a s t e r n
in d u s t r ie s w i l l e x p i r e .
a u to s
W e a k n e s s a p p e a r e d in b o t h r e s i d e n t ia l a n d n o n
r e b o u n d e d in M a y , a n d o t h e r r e t a il s a le s in d ic a t o r s
r e m a in e d
in d u s t r y
L o u is ia n a 's jo b lo s s e s . C o l l e c t i v e b a r g a in in g a c t i v it y
r e s i d e n t ia l c o n s t r u c t io n
ro b u s t.
a c t iv it y
in
M ay. The
v a lu e
o f c o n t r a c t a w a r d s f o r r e s i d e n c e s w a s a t its lo w e s t
T o ta l
lo a n s
r a p id ly in
at
M ay
a ll
and
banks
c o n t in u e d
to
e a r l y J u n e , a lt h o u g h
expand
a t a ra te
s o m e w h a t b e l o w t h e p r e v io u s t w o m o n t h s . B u s in e s s
lo a n s a t la r g e
D e p o s it s
d e n o m in a t io n
a ls o
b a n k s, h o w e v e r, g re w
ro s e
s t r o n g ly
in
C D 's , a n d
c o n t in u e d
M ay,
m o re
m em ber bank
to in c r e a s e . O n
s lo w ly .
e s p e c ia lly
la r g e -
b o r r o w in g
J u n e 1 1 , t h is
Bank
le v e l in e le v e n
p r e v a le n t
e n d in g
and
M a y 's u n e m p lo y m e n t r a t e
N o n fa rm
a b le
Ten n essee
s u ffe re d
c o n d i t io n s a n d
116
s m a ll
w e re
a t t h r if t
fe w
in s t it u -
sh o rta g e s.
S h a r p l y r is in g c r o p p r ic e s p u ll e d
u p M a y 's in d e x
o f p r ic e s r e c e i v e d b y f a r m e r s in s p it e o f d e c li n e s in
p r ic e s p o s t e d
a one-
a t 3 .7
p e r
d e m a n d in t h e f a c e o f r a i n - d e la y e d p la n t in g s o f t h e
back
a fte r
new
jo b
jo b
and n o n d u r
d e c re a se d ;
a ll
g a in s . L o u is ia n a a n d
d e c li n e s .
F lo o d in g
in d u s t r ia l d is p u t e s in t h e c o n s t r u c
c o n tra c ts
in f lo w s
le v e ls
m o n th s
bo unced
e m p lo y m e n t
re c o rd e d
La rg e
D e p o s it
e ig h t e e n
r e m a in e d
e m p lo y m e n t
m a n u f a c t u r in g
th e
t h ir d a d v a n c e f r o m A p r i l ' s l e v e l, r e f le c t i n g r u n a w a y
d ip p in g s l ig h t l y in A p r i l . C o n s t r u c t i o n
o t h e r in d u s t r ie s
D e c e m b e r.
fa r b e tw e e n .
of
t h e li v e s t o c k s e c t o r . S o y b e a n
n e s s c u s t o m e r s to 8 p e r c e n t .
c e n t.
la s t
m o st
ti<pns c o n t in u e d to s l o w ; s o m e a r e a s r e p o r t e d m o r t
o n J u ly 2 , to 7 p e r c e n t . B y e a r l y J u l y , m o s t D i s t r i c t
b a n k s h a d in c r e a s e d t h e ir p r im e r a t e f o r la r g e r b u s i
d u rin g
g age fu n d
6 to 6 V 2 p e r c e n t a n d ,
r a is e d its d is c o u n t r a t e f r o m
m o n t h s ; a f t e r a s t r o n g f ir s t q u a r t e r ,
th e v a l u e o f n o n r e s id e n t i a l a w a r d s f e ll b e l o w
c ro p .
p la n t in g
In
F lo o d s
so m e
have
co tto n
la t e J u n e , t h e r e w e r e
c u lt u r a l p r o d u c t i o n
D is tric t
fa rm
cash
p re v e n te d
a c re a g e
in
fa rm e rs
fro m
D e lt a
sta te s .
r e p o r t s o f c u r t a il e d
r e s u lt in g f r o m
r e c e ip t s
w e re u p 1 7 p e rc e n t fro m
th e
a g r i
t h e p r ic e f r e e z e .
th ro u g h
A p r il
o f 1973
1 9 7 2 's l e v e l.
JULY 1973, MONTHLY REVIEW
@FedFRASER