Full text of Federal Reserve Bulletin : September 1951
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FEDERAL
ESERV
BULLETIN
BOARD OF GOVERNORS
OF THE FEDERAL RESERVE SYSTEM
EDITORIAL COMMITTEE
ELLIOTT THURSTON
WOODLIEF THOMAS
WINFIELD W. RIEFLER
SUSAN S. BURR
RALPH A. YOUNG
The Federal Reserve BULLETIN is issued monthly under the direction of the staff editorial
committee. This committee is responsible for interpretations and opinions expressed, except
in official statements and signed articles,
CONTENTS
PAGE
Saving in the Defense Economy.
1053-1057
Status of the Voluntary Credit Restraint Program.
1058-1060
1951 Survey of Consumer Finances:
Part IV. Distribution of Consumer Saving in 1950.
Current Events and Announcements, .
1061-1078
1078
The Current Position of Agriculture....
1079-1089
The Balance Sheet and Current Financial Trends of Agriculture, 1951.
1090-1103
Annual Report of the Bank for International Settlements.
1104-1128
Law Department .
1129-1136
United States Government Organization Manual.
1136
National Summary of Business Conditions. . .
1137-1138
Financial, Industrial, Commercial Statistics, U. S. (See p. 1139 for list of tables) .
1139-1199
International Financial Statistics (See p. 1201 for list of tables) .
1201-1219
Board of Governors and Staff; Open Market Committee and Staff; Federal
Advisory Council .
1220
Senior Officers of Federal Reserve Banks; Managing Officers of Branches.
Federal Reserve Publications. .
1221
1222-1223
Map of Federal Reserve Districts.
1224
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FEDERAL
RESERVE
September
VOLUME 37
BULLETIN
1951
NUMBER 9
SAVING IN THE DEFENSE ECONOMY
Abatement of inflationary pressures since
March has accompanied and been accompanied by a return to more normal savings
patterns on the part of the American people.
In contrast to the excited markets of last
summer, when inflationary pressures were
rampant despite the low level of defense
expenditures, many markets in recent months
have tended to be sluggish even though defense expenditures have been mounting
rapidly. Several factors have contributed to
this contrast. One of the most important
is the fact that consumers, after the earlier
period of scare buying, have returned to
more traditional patterns of thrift.
This illustrates the key role of saving and
thrift in the maintenance of the value of
the dollar in this country during the defense
build-up ahead. Avoidance of inflation over
the long run depends essentially on a threepronged approach—pay-as-we-go on defense
expenditures, credit restraint, and saving. A
high level of current saving and retention of
past savings by individuals, together with
careful conservation of these funds for essential uses, are as necessary in an adequate
program of inflation restraint as anti-inflationary Government fiscal, credit, and other
policies.
The United States Treasury is currently
conducting a nationwide Defense Bond
Drive to stimulate interest in individual
thrift and to promote the use of regular bond
purchase plans for systematic saving. In anSEPTEMBER
1951
nouncing the details of the Drive, the Secretary stated, "The Drive will directly aid
financial preparedness for defense, and it
offers an answer to the question so many
people have been asking, 'What can I do to
help in this emergency?' . . . The answer
is that every individual can start his own
thrift program, and the period of the Defense Bond Drive is an excellent time to
begin such programs. . ."
T H E PLACE OF SAVING
AS AN ANTI-INFLATIONARY WEAPON
Avoidance of inflationary pressures in the
current defense period can be accomplished
only by restricting nondefense demand for
goods and services sufficiently to bring it into
line with the volume of goods and services
available after defense requirements have
been met. Basically, this must be done by restricting or immobilizing purchasing power
for nondefense buying. Direct controls,
such as price and wage controls, can also
be useful in smoothing the transition to a
defense economy and as a backstop against a
rapid inflationary run-up, especially in areas
where defense demands hit particularly
heavily.
Measures for curbing the total volume of
spending for nondefense purposes include
primarily restrictive fiscal action, credit controls, and promotion of permanent saving
and their conservation for essential purposes.
Each is important and necessary to a suc1053
SAVING IN THE DEFENSE ECONOMY
cessful program for preventing inflation in
this defense period.
O n the fiscal side, the United States Government ended the first full year of the
Korean effort with a large cash surplus. T h e
Treasury collected in tax revenues and other
cash receipts 7.6 billion dollars more than it
paid out for goods and services and for other
purposes. This surplus arose in part from
higher tax payments due to the sharp expansion of incomes, which reflected both increases in output and employment and the
inflation of prices after Korea. T h e surplus
also reflected, however, two timely and substantial increases in tax rates as well as curtailment of Government programs not
closely related to defense. T h e budget outlook for the present fiscal year, however, is
less favorable. If Government outlays are to
be matched by receipts as defense outlays
expand, substantial further tax increases will
be necessary.
'
Credit restraints curb private demand for
goods and services by limiting additions to
current buying power from credit expansion.
T h e program of credit restraint that has been
developed during the defense period rests
on three kinds of measures. General credit
instruments — open market operations,
changes in reserve requirements, and changes
in the Federal Reserve discount rate — have
been used to curtail the total volume of credit
available. Selective credit measures, which
are designed to discourage borrowers in particular credit areas, have been applied to restrict loans for buying consumer durable
goods and new houses and for purchasing or
carrying securities. Voluntary credit restraints
have been developed through a program in
which all major lending groups are cooperating voluntarily to curtail lending for nonessential purposes.
Avoidance of further inflationary pressures
1054
during the current defense period will depend on the will of the people to save and to
retain savings already accumulated as well as
on a vigorous program of fiscal and credit
restraint. T h e need for funds to finance the
defense build-up will not be confined to the
requirements of the Treasury. For some time
to come there will have to be large expenditures for private plant and equipment for
defense purposes. These outlays will have to
be financed in part by borrowing or by raising equity capital, since internal sources of
business funds — retained earnings and depreciation allowances—will not be fully
adequate. In addition there will be a demand
for investment funds for a variety of nondefense purposes.
Prevention of inflation will thus require
a willingness of the people to save and
careful conservation of the savings that are
available. If genuine savings are not supplied and used to finance the investment
essential to establish security, then this investment will have to be financed to a disproportionate degree by resort to the credit facilities
of the banking system, which would lead to
an undue expansion of the total money
supply. This process would result in a rise
in prices faster than in incomes of the bulk
of consumers, who would be forced to restrict
their consumption. A balance between saving
and investment demands would thus be
achieved through the "vicious spiral of inflation" rather than through voluntary saving
by individuals and the curtailment of investment programs to those most essential to the
public welfare.
CHANGES IN TOTAL PERSONAL SAVING
Statistically, the dollar amount of current
personal saving is measured by the excess of
current personal income after taxes over current expenditures for consumer goods and
FEDERAL RESERVE BULLETIN
SAVING IN THE DEFENSE ECONOMY
services. As thus measured, personal saving
amounted to about 12 billion dollars in 1950.
Saving was at an annual rate of less than 5
billion dollars during the third quarter, however, and following an increase in the late
months of the year dropped sharply again in
the first quarter of 1951, as is shown in the
chart. The sharp fluctuations in total personal saving since mid-1950 have reflected
primarily waves of scare buying as many
consumers drew on past savings or increased
PERSONAL INCOME, CONSUMPTION, AND SAVING
Annual Rates
Billions of Dollars
1950
1951
Department of Commerce quarterly estimates, adjusted for
seasonal variation. Latest figures shown are for second quarter
their instalment indebtedness in the several
months following the outbreak of hostilities
in Korea and to some extent again in early
1951 after the intervention in Korea by the
Chinese. In the second quarter of 1951 personal saving rose to the high annual rate of
21 billion dollars. This increase reflected a
further growth in disposable income of individuals and a sharp curtailment in spending for consumer goods.
SEPTEMBER
1951
An increase in the dollar amount of personal saving is not in itself necessarily antiinflationary. The effect depends on what
forms the savings take, as is discussed below.
ANTI-INFLATIONARY SIGNIFICANCE OF VARIOUS
FORMS AND USES OF SAVINGS
Savings can be held or used in many different ways. They may be invested in capital
assets, either directly such as in housing or
personal business enterprise, or indirectly
such as through the market for corporate
securities. Savings may be held in the form
of accumulated cash balances in demand deposit accounts or as currency holdings. They
may be channeled into savings institutions
through increased ownership of dollar claims
such as savings deposits or shares, or through
the building of equities in pension funds,
annuities, or life insurance. Savings may also
be kept in savings bonds or other kinds of
Government securities. Each of these major
kinds of savings has a different significance
from the standpoint of inflation restraint.
Personal saving invested directly in capital
assets may have little anti-inflationary value
and may actually contribute to inflationary
pressures, especially in the short run. New
housing construction and inventory accumulation by noncorporate businesses and
farmers, for example, are included in the
personal saving total, and these may at times
have an inflationary impact. On the other
hand, savings of businessmen or farmers that
are used to buy equipment needed to expand
output of essential goods and services, or
savings used to buy corporate securities
issued to finance such investment, are likely
eventually to have anti-inflationary value.
Accumulations by individuals of currency
or demand deposits over a particular period
may represent genuine personal savings, or
1055
SAVING IN THE DEFENSE ECONOMY
they may be additions to holdings of cash
working balances called for by an expansion
in incomes and economic activity. They are
thus a form of personal saving of uncertain
economic significance. Such funds may actually be in the process of active current use,
passing from one holder to another, thus increasing inflationary pressures. Or they may
be held awaiting disbursal, heightening
the threat of immediate inflationary pressures. If the funds are held idle, however,
and if they do not cause their holders to
spend more freely out of future income or
past savings, such accumulations are at least
temporarily anti-inflationary. It was the experience of World War II and the postwar
period, however, that accumulations of funds
in the form of demand deposits and currency
tend to return to the active money stream
when attractive spending opportunities arise
and may become highly inflationary. Although genuine savings held in this form are
anti-inflationary in the short run, they may
complicate the problem of avoiding inflation
over a sustained period of time.
Savings placed in savings accounts at commercial and mutual savirigs banks, savings
and loan shares, pension funds, annuities,
and life insurance tend to be more permanent additions to the supply of long-term
capital. Savings used to repay outstanding
debts to these institutions likewise add to
the current supply of loanable funds. It is
important, however, that these savings be
conserved by the savings institutions to give
first priority to essential uses. This is the objective of the cooperative effort of major
lending groups under the Voluntary Credit
Restraint Program.
Savings bonds or other Government securities purchased by individuals are a form of
saving with special anti-inflationary value. If
1056
the Government defense budget is kept on a
pay-as-we-go basis, such funds would be
available to the Treasury for retiring shortterm debt held by the banking system and
particularly by the Federal Reserve Banks.
Replacement of that debt by savings bonds is
a debt management move that is anti-inflationary in that it operates to contract the
money supply and to restrain lending by
commercial banks. Should there be a Government deficit, its inflationary effect could
be substantially offset to the extent that it
was financed out of genuine long-term savings.
RECENT SAVINGS TRENDS
Recently there has been an increase in
certain forms of savings with potential antiinflation significance. Time deposits at commercial and mutual savings banks were expanded 700 million dollars in the second
quarter of 1951, as is shown in the table. This
growth, which was larger than that of the
corresponding period of other recent years,
followed a 9-month period of net withdrawals or small increases. There was a further increase in savings deposits during July.
SAVING IN SELECTED FORMS
[Changes in amount outstanding, in millions of dollars]
Period
Total,
selected
savings
forms
Time deposits
Commercial
banks
Mutual
savings
banks
Savings
and
loan
shares
+ 196
+292
— 192
+46
+313
+232
+168
+173
+424
+409
+188
+425
+354
+219
-519
+114
+427
+223
-23
+110
+447
+491
-4
+553
1951—1st Q
2nd Q
+ 1,228
+933
-546
+777
+282
+1,321
-114
+400
+90
+300
+306
+621
Nine months ending:
March 1950
March 1951
+2,036
+513
+208
-519
+768
+177
+1,060
+855
1949—1st Q
2nd Q
3rd Q
4th Q
+933
+933
+164
+644
1950—1st Q
2nd Q
3rdQ
4th Q
NOTE.—Accumulation of interest is included as new savings.
Estimates for changes in time deposits in 1951 are preliminary.
FEDERAL RESERVE BULLETIN
SAVING IN THE DEFENSE ECONOMY
Savings and loan shares have also ex- Korea and the intervention by the Chinese
panded sharply in recent months. This sav- communists in the Korean fighting. Many
ings form, which has grown rapidly in im- of those who interrupted their current saving
portance in the last few years, showed net programs or used accumulated savings to
withdrawals only in July of last year. buy greatly in advance of their needs may
Growth in the first quarter of 1951 was at a regret that action in the light of subsequent
slackened rate, however, reflecting heavy market developments. They have seen that
withdrawals in January presumably in con- markets can move two ways as prices of
nection with the scare buying of consumer many consumer goods have reacted downgoods in that period. In the second quarter ward in recent months. Supplies of certain
of this year shares increased by a record articles that were expected to become scarce
amount.
have actually expanded so much as to glut
Contractual saving through pension plans the market temporarily. Confidence that the
and with life insurance companies has been value of the dollar can be maintained has
maintained at a high level and has even in- strengthened. Whether inflation is avoided
creased somewhat since mid-1950. In 1950 in the future will depend on the adequacy of
saving by individuals through life insurance saving and on the administration of those
and annuities was 4.3 billion dollars, and funds by savings institutions, as well as on
saving through private pension funds probthe adequacy of the effort for avoiding, or at
ably amounted to about 2 billion. There is
least limiting, Government deficit financing,
also a large volume of loanable funds becomand on the success in curbing credit expaning available currently to savings institutions
through contractual repayment of mortgage sion.
and other debt by individuals. The large inDEFENSE BOND DRIVE
stitutional investors as a group have been investing more in mortgages and corporate
A Defense Bond Drive is now under way.
securities than they have been receiving cur- Volunteers from labor, management, agrirently and have sold Government securities. culture, finance, education, and other sectors
In recent months, however, such sales of of American life are joining to urge inGovernment securities have been substan- creased participation in this aspect of the
tially curtailed.
defense program. The immediate focus of
the Drive is on encouraging regular and sysSAVINGS OUTLOOK
tematic purchases of Defense Bonds through
Prospects are good that saving in anti- the Payroll Savings Plan or the Bond-Ainflationary forms will continue at a high Month Plan. Its broader purposes, however,
level, at least if a strong inflationary trend are to extend the distribution of public debt
does not develop. Usual savings patterns are ownership and to mobilize the power of inbeing re-established following the spending dividual thrift and saving behind the nasprees after the outbreak of hostilities in tional defense effort.
SEPTEMBER 1951
1057
STATUS OF THE VOLUNTARY CREDIT RESTRAINT PROGRAM
SEPTEMBER 11, 1951
At a meeting held in Washington on September 5, 1951, the National Voluntary Credit Restraint
Committee concluded that the Voluntary Credit
Restraint Program is achieving significant results.
The feeling among the members of the Committee
was that the underlying inflationary potential in
the economy is very real and that a continuing
policy of restraint on the extension of less essential
credit is appropriate under the circumstances. The
Committee also scheduled a joint meeting of the
chairmen of the 43 regional committees and the
National Committee for October 15 and approved
the wider distribution of digests of opinions rendered by the various regional committees.
Since the Voluntary Credit Restraint Program
was originally conceived and initiated as an antiinflation measure, the Committee appraised the Program against the background of recent economic
trends and the economic outlook. It is not possible
to measure in quantitative terms the factors that
have contributed to the lull in general business activity and to the declines in some commodity prices
in recent months. Doubtless many factors are involved including the apparent improvement in the
military situation in Korea, some waning of the
war psychology which was so prevalent a year ago,
a decline in consumer buying from the record
levels of the "scare-buying" days, abundant crops
of important agricultural commodities, increased
taxes enacted last year, the imposition of some
measure of restraint on wage and price increases,
and the great productive power of American industry which permitted the accumulation of record
levels of business inventories. While recognizing
the importance of these underlying factors, the
Committee was of the opinion that developments
in the credit field, including the Voluntary Credit
Restraint Program, have also made an important
contribution to the recent easing of inflationary
pressures.
During the normally slack summer months, the
Program has been quietly but effectively expanded
in coverage and increased in effectiveness. The National Committee, which is largely concerned with
policy matters, has issued a series of bulletins de1058
signed to set forth principles by which the appropriateness of proposed financing may be appraised.
Bulletins have been issued covering inventory
financing, financing of business capital expenditures, borrowing by State and local governments,
loans on real estate, international financing, and
loans on stocks and bonds. The general objective
of these bulletins is to limit financing to defense,
defense-related and essential civilian activities, and
to encourage the postponement of less essential
financing and of financing which is not related to
an increase in production.
The regional committees are the sinews of the
Voluntary Credit Restraint Program. They are
the groups to which lending institutions refer loan
applications in case they have some question as to
whether proposed financing is in accord with the
Principles of the Program. As of today, 43 regional
committees have been established and close to 375
representatives of lending institutions have been
enlisted in the Program either as members of committees or as alternates. Represented on the National Committee and on the regional committees
are commercial and savings banks, life insurance
companies, investment bankers, and savings and
loan associations. The Committee members take
their responsibilities seriously and the minutes of
the various regional committees indicate that requests for opinions are processed with facility.
In the Program a conscious effort has been made
to avoid the promulgation of elaborate and detailed
rules and regulations. Rather, the intention has
been to present the objectives of the Program and
some broad general principles for the guidance
of the regional committees, relying upon them to
adopt a realistic point of view in passing on loan
applications within the spirit of the Program. This
policy has worked out satisfactorily. While some
minor differences of opinion are unavoidable among
the committees, a review of the opinions submitted
to the National Committee discloses a remarkable
degree of uniformity of thought and judgment.
It is quite impossible to measure statistically the
effect of the Voluntary Credit Restraint Program
upon the volume of outstanding bank credit or
FEDERAL RESERVE BULLETIN
STATUS OF THE VOLUNTARY CREDIT RESTRAINT PROGRAM, SEPTEMBER 1 1 , 1951
upon the volume of mortgage and security financing, or to guess what might have developed in these
fields in the absence of the Program. The Program
is only one of the credit measures operating during the period, and it must be recognized that
underlying economic and business trends are of
primary importance in determining the need for
credit. Nevertheless, there is evidence that the
Program and the other credit measures are having
their effects. The commitments of the life insurance companies have been declining slowly but
consistently in recent months. In commitments to
business firms, declines are evident in commitments
for nondefense purposes, while some rise is noticeable in the case of defense and defense-supporting
activities. The commitment data will only gradually show the effects of the Program, since a large
backlog of such obligations was outstanding when
the Program was initiated.
The investment banking committees have screened
a large number of proposed security issues, including corporate and State and local government
issues. A substantial volume of financing has been
postponed as the result of adverse findings by the
regional committees; in other cases, the regional
committees have been able to obtain reductions in
the size of proposed issues before granting their
approval. While no data are available as to the
amounts involved, it is generally known that a
good many other pieces of proposed financing were
dropped or postponed before being presented to
the regional committees because of the belief that
a favorable decision would not be forthcoming
from the committee.
In contrast with the rapid expansion which began in mid-1950, bank loans have evidenced little
change in recent months, notwithstanding an increase in lending for defense. Real estate loans
have continued their gradual ascent, but at a slower
rate than prevailed some months ago. In the case
of loans to business, the seasonal repayment of
loans by commodity dealers and food processors was
of substantial proportions this spring and early
summer. Loans to defense and defense-supporting
activities have risen rather steadily throughout the
year. Since the end of July, the volume of business loans has increased, due, in part to the beginning of the usual seasonal rise in loans to commodity dealers and food processors as well as to
a continuing volume of new lending for defense
purposes. However, loans to sales finance comSEPTEMBER
1951
panies have dropped somewhat in recent weeks.
In interpreting these trends in the credit field, it
is important to keep in mind that the purpose of
credit policy in general, and of the Voluntary Credit
Restraint Program in particular, has not been to
prevent the use of private credit. In a period when
less than 15 per cent of the production in the economy is going for military purposes, there will continue to be a substantial need for credit to finance
the civilian economy. The objectives of credit
measures are not to prevent the necessary and desirable use of credit, but to attempt to stop the
use of credit for speculative purposes, to channel
credit into defense and defense-supporting activities, to reduce the credit made available for postponable and less essential civilian purposes, and to
engender a more cautious and careful lending policy on the part of lending officers. The Voluntary
Credit Restraint Program is making an important
contribution to the attainment of these objectives.
Perhaps the single most important contribution
of the Program is that it has given lending officers
new benchmarks to use in their appraisal of loan
applications; it has broadened their horizon beyond the fairly limited objective of appraising the
credit-worthiness of a prospective borrower; it
has made them increasingly aware of the importance
of credit policy in an economic stabilization program; and it has contributed to prudence in lending.
Equally important, these have been achieved without shutting off the supply of credit to borrowers
with needs in accord with today's part-defense, partpeacetime economy, and without imposing upon
lending operations a burdensome harness of detailed and specific rules and regulations. This has
helped to reduce the injustices and inequities which
are inescapable in a series of detailed regulations,
no matter how carefully drawn, and has preserved
the flexibility of movement required by financial
institutions if they are to serve the needs of the
economy.
The National Voluntary Credit Restraint Committee believes that the threat of inflation has not
been removed, although it is not possible to predict
when the next upsurge in inflationary pressures
will occur or what proportions it may assume.
Business inventories are at peak levels and the pressure to reduce them still continues. The productive capacity of the country is tremendous and
the record levels of plant and equipment spending
are augmenting that capacity month by month.
1059
STATUS OF THE VOLUNTARY CREDIT RESTRAINT PROGRAM, SEPTEMBER 1 1 , 1951
Nevertheless, it is not clear that production can be
increased sufficiently fast to cover the increased
takings for military equipment that are in prospect,
without some reduction in supplies available for
the civilian market. Defense spending is rising
rapidly and a growing percentage of our defense
outlays is going into "hard" goods for which basic
materials are short. This rise in defense spending,
with unemployment already at very low levels, poses
the prospect of continuing upward pressures on
wage rates and increases in personal income. Business spending for plant and equipment, at record
levels, will remain high for some time to come.
The consumer remains a big unknown in the
outlook. Following the two "scare-buying" waves
of mid-1950 and early 1951, consumers reduced
their spending and increased their savings substantially in the second quarter of this year. Currently, consumers are spending a significantly
smaller portion of their income than was customary
in the postwar years. But, it is not certain how
long it will be before money will again start to
burn holes in the pockets of consumers. The large
inventories of goods in consumers' hands, resulting
from the overbuying during the past year, will
gradually disappear with the passage of time. With
personal income at record levels, and likely to increase further, and with large holdings of liquid
assets widely distributed, the basic ingredients for
an upturn in consumer spending are present in
the economy. Even without adverse developments
on the international front, consumer spending is
likely to increase; given deterioration in the foreign
situation, the rise in consumer spending might
assume large proportions. Consequently, it is the
1060
view of the National Voluntary Credit Restraint
Committee that the economic outlook warrants
continued emphasis upon the need for prudence,
care, and caution in the extension of credit, and
continued emphasis upon the limitation of credit to
defense, defense-supporting and other essential
purposes.
At the joint meeting of the National Committee
and the chairmen of the 43 regional committees
scheduled for October 15, 1951, the course of the
Program will be appraised in greater detail and
opportunity will be provided to discuss the questions and problems that have risen in the regional
committees in connection with the Program. Opportunity will be provided to exchange information
and points of view and to bring to the attention of
the National Committee such matters of broad policy as are in need of determination.
The National Committee also decided to undertake a wider distribution of the digests of the
opinions of the regional committees. Each regional committee has provided the National Committee with minutes of its meetings and with a
record of the decision rendered on each inquiry presented to it. Opinions in selected cases have been
digested by the staff of the National Committee
and copies of these digests have been provided to
the members of each regional committee for their
information and guidance. The National Committee has now decided that a wider distribution
of these digests would contribute to a better understanding of the Program among financial institutions, the press, and the public. Copies of digests
should be available within the next few weeks.
FEDERAL RESERVE BULLETIN
1951 SURVEY OF CONSUMER FINANCES
Part IV. Distribution of Consumer Saving in 1950 x
Approximately 32 million of the 52 million
spending units in the nation saved some of their
incomes in 1950. About 17 million units spent
more than their incomes while approximately 3
million lived just within their incomes. The average amount saved was considerably larger than in
1949.
As defined in the Survey of Consumer Finances,
consumer saving is the difference between current
income and the sum of current expenditures for
consumption and tax payments. Consumption expenditures are defined to include not only expenditures for nondurable goods and services but also
purchases of automobiles and other consumer
durable goods except houses, which are regarded
as capital assets. Expenditures to reduce debt are
counted as saving and increases in debt are deducted from saving.
Since the total amount of current expenditures is
not obtained by the survey, and since for some
purposes a direct estimate of saving has numerous
advantages over a residual figure, total saving is derived by ascertaining year-to-year changes in certain types of consumer assets and liabilities. This
procedure yields a direct estimate of changes in
net worth exclusive of capital gains and losses.
Additions to and withdrawals from different types
of assets and liabilities are summed to obtain an
1
This is the fourth in a series of articles presenting the
results of the 1951 Survey of Consumer Finances sponsored
by the Board of Governors of the Federal Reserve System
and conducted by the Survey Research Center of the University of Michigan. The first article in the series appeared in
the June BULLETIN and covered the economic outlook and
liquid asset position of consumers. The second article, devoted to durable goods expenditures in 1950 and buying
plans for 1951, appeared in the July BULLETIN. The third
article analyzing the distribution of consumer income appeared in the August BULLETIN. A final article analyzing
holdings of nonliquid assets will appear in a subsequent
issue of the BULLETIN.
The present article was prepared by Tynan Smith and
John A. Frechtling of the Consumer Credit and Finances
Section of the Board's Division of Research and Statistics.
The authors have necessarily maintained a close working
relationship with the staff of the Survey Research Center at
all stages of their work and in their analysis of survey tabulations have had the benefit of many suggestions from the
Center's star?, particularly John B. Lansing and Harold W.
Guthrie.
SEPTEMBER
1951
estimate of net saving or dissaving for each spending unit. Units that on balance have increased their
net worth are referred to as positive savers, net
savers, or simply savers, and units that have reduced their net worth are referred to as negative
savers or dissavers. Aggregate saving is the difference between total saving of the positive savers and
total dissaving of the negative savers.
The proportion of spending units that dissavcd
declined from 34 per cent of all spending units in
1949 to approximately 32 per cent in 1950, in contrast to the trend toward more frequent dissaving
that had been evident in prior years. The decline
in dissaving reflected widespread increases in income that outweighed increased consumer expenditures for automobiles and other consumer durable
goods as well as an increase in expenditures for
nondurable goods and services. Reduction in the
proportion of dissavers was most pronounced at
income levels below $3,000.
The distribution of net saving among income
deciles (division of the population into tenths according to size of income) changed considerably in
1950 and resumed the pattern that had prevailed in
1947 and 1948. During 1949 each of the four
lower income deciles had net dissaving, but with
improved conditions in 1950 only the lower two
deciles dissaved, and the amount they dissaved was
somewhat smaller than in 1949. As in former years
most of the net saving was accounted for by spending units in the top four income deciles.
Saving through increasing liquid assets was more
frequent in 1950 than in 1949, although the frequency of large increases in holdings declined. The
proportion of spending units that saved by reducing
consumer indebtedness was larger in 1950 than in
the preceding year, but continued to be smaller
than the proportion that dissaved by increasing this
form of indebtedness.
SAVERS AND DISSAVERS
Income exceeded consumer expenditures for 61
per cent of all spending units in 1950, leaving them
net savers, and consumer expenditures exceeded income for 32 per cent, leaving them net dissavers.
1061
1951 SURVEY OF CONSUMER FINANCES
The remaining 7 per cent of the spending units
neither saved nor dissaved on balance and were
zero savers. When compared with corresponding
figures for 1949, these proportions indicate a break
in the postwar decline in the frequency of saving
and at least a temporary reversal of the postwar increase in the frequency of dissaving.
Savers. Approximately 32 million of the 52 million spending units in the population covered by
the survey were positive savers in 1950. Of these
approximately 5 in 10 saved $500 or more and
5 in 10 saved less than $500. More than one-third
of all spending units had net saving amounting to
at least 10 per cent of their 1950 incomes (see
Table 1).
In 1950, as in other postwar years, the proportion
of positive savers increased progressively from the
lower to the higher income groups. It amounted
to only 34 per cent of the spending units with incomes of less than $1,000 and to 87 per cent of
those with incomes of $7,500 or more (see Table
2). In addition to saving more frequently, highincome spending units tended to save larger proportions of their incomes and larger amounts than
did the lower income groups. More than 3 in 10
spending units with incomes of $7,500 or more
saved 30 per cent or more of their incomes in 1950
as compared with 1 in every 10 spending units
with incomes of less than $5,000 (see Table 3).
TABLE
1
POSITIVE AND NEGATIVE SAVING AS A PERCENTAGE OF I N C O M E 1
[Percentage distribution of spending units]
Positive and negative savers
Positive savers—total .
...
1950 1949 1948 1947 19462
61
60
63
64
65
3
7
8
15
27
6
4
8
9
14
28
5
7
8
14
30
6
9
10
16
24
Zero savers—total
4
8
9
16
24
7
6
$
8
Negative savers—total
32
34
31
28
27
13
9
12
8
12
8
11
8
10
14
11
9
11
100
100
100
100
100
Percentage of income saved:
50 and over
30-49
. .
20-29
10-19
1-9
Dissaving as a percentage of
income:
1-9.
10-24
25 and over
All cases
Number of cases
9
7
3,415 3,512 3,510 3,562 3,058
1
Spending units having negative incomes have been placed with
those
whose dissaving equaled 25 per cent or more of income.
2
Savings in 1946 do not include interest accrued on Series E
bonds.
1062
TABLE
COMPARISON
OF
POSITIVE
INCOME
AND
AND
2
NEGATIVE
OCCUPATIONAL
SAVERS
WITHIN
GROUPS
[Percentage distribution of spending units within groups]
Group characteristic
Positive
savers x
Zero
savers
Negative
savers 2
1950 1949 1950 1949 1950 1949
All groups
Income:
Under $1,000
$l,000-$l,999
$2,000-$2,999
$3,000-$3,999
$4,000-$4,999
$5,000-$7,499
$7,500 and over
Occupation of head of
spending unit:
Professional and semiprofessional
Managerial and self-employed
Clerical and sales
Skilled and semiskilled. .
Unskilled and service. . .
Farm operator
Retired
1
1
3
61
32
34
24
10
2
1
36
37
36
32
30
25
13
45
41
39
29
29
24
15
35
29
1
4
2
9
3
24
25
31
32
34
34
34
28
31
34
36
42
26
60
Spending units with money incomes in excess of expenditures.
Spending units with expenditures in excess of money incomes.
No cases reported or less than one-half of 1 per cent.
Tabulations made for the first time this year indicate that about three-fourths of the spending
units headed by persons who had full or part
ownership of a business during 1950 were positive
savers and that for other occupational groups the
proportion was two-thirds or less. Business ownership probably increases the incentive to save by
providing a direct investment outlet and in recent
years has yielded a relatively high income from
which to save. This incentive probably applies
to farm operators also, but in 1950 the proportion of positive savers was smaller in this group
than in any other occupational group except the
unskilled and service workers and the retired.
This probably reflects the large proportion of low
incomes among farmers. Among the 60 per cent
of farm operators who were positive savers there
were many who saved relatively large amounts,
and over one-half saved more than $500 in 1950
(see Appendix Table 2). One-half of the farm
operators who saved had saving equal to 30 per
cent or more of their money incomes (see Table 3).
Zero savers. About 3 million spending units
spent their entire incomes and neither saved nor
dissaved in 1950. This was approximately the
same number as in 1949 and 1948. The zero
savers were not primarily spending units whose
withdrawals from savings happened to equal their
FEDERAL RESERVE BULLETIN
1951 SURVEY OF CONSUMER FINANCES
additions to savings. Rather, for the most part,
they appear to have been spending units with incomes too small to provide a margin for saving or
a basis for incurring substantial amounts of consumer debt, and with no liquid assets to draw upon.
As will be noted later in the discussion of principal
forms of saving, nearly all zero savers reported
having no contractual saving and no change in
liquid assets or consumer indebtedness.
Most of the zero savers had very low incomes.
More than 5 in 10 had incomes of less than $1,000
and nearly 8 in 10 had incomes of less than
$2,000. Nearly one-fourth of the zero savers were
retired persons, most of whom had low incomes
and small or no holdings of liquid assets. Unskilled workers were about one-fifth of the zero
savers and the miscellaneous group, many of whom
are housewives and students, were one-sixth.
Dissavers. About 17 million spending units or
32 per cent of all consumers dissaved in 1950. This
was a reversal of the previous postwar trend toward
an increasing proportion of negative savers from
27 per cent in 1946 to 34 per cent in 1949.
Amounts dissaved by dissavers were on the average smaller than the amounts saved by savers ($740
as compared with $840).
Most of the dissavers were in the lower income
groups, where much of the dissaving was associ-
TABLE
3
PERCENTAGE OF INCOME SAVED OR DISSAVED BY SPENDING U N I T S WITHIN SPECIFIED GROUPS,
1950
[Percentage distribution of spending units]
All cases
Group characteristic
Number
Per
cent
Percentage of income saved
Positive 1
savers 50 and
30-49 20-29 10-19
3,415
100
61
Income: 1
Under $1,000
$l,000-$l,999
$2,000-$2,999
$3,000-$3,999
$4,000-$4,999
$5,000-$7,499
$7,500 and over
418
514
567
601
441
538
294
100
100
100
100
100
100
100
34
53
59
67
70
75
87
3
4
4
2
3
4
15
Occupation of head of spending unit: 4
Professional and semiprofessional
Managerial and self-employed..
Clerical and sales
Skilled and semiskilled
Unskilled and service
Farm operator
Retired
269
485
477
902
289
388
219
100
100
100
100
100
100
100
65
73
67
65
52
60
45
2
11
2
1
2
13
2
Age of head of spending unit: 8
18-24
25-34
35-44
45-54
55-64
65 or over
269
711
781
659
540
434
100
100
100
100
100
100
419
461
All spending units
Family status of spending unit: •
Single person:
Age 18-44
Age 45 or over
Married:
Age 18-44, no children under 18.
Age 18-44, 1-2 children under 18
Age 18-44, 3 or more children
under 18
Age 45 or over, no children under
18
Age 45 or over, 1 or more children
under 18
Zero Negative
savers savers1
16
24
13
19
5
5
7
8
13
14
15
7
12
14
21
19
23
21
15
26
27
28
27
21
17
30
10
5
1
1
10
16
7
5
6
18
4
9
13
9
8
8
11
5
26
15
20
21
12
8
8
18
18
29
30
24
10
26
()
60
61
65
63
66
46
6
7
10
9
10
6
9
9
11
8
5
14
19
16
19
17
10
100
100
63
49
7
7
6
5
304
705
100
100
56
65
5
9
291
100
64
756
100
64
391
100
65
Percentage of
income dissaved
10-24 25 and
32
12
10
10
36
37
36
32
29
25
13
6
13
14
15
14
11
25
11
11
7
4
5
6
5
13
11
10
11
9
4
2
3
14
6
21
35
25
31
32
34
34
34
13
10
13
15
15
6
7
12
8
10
10
14
6
7
10
7
8
7
5
22
20
31
23
25
21
26
20
6
3
4
6
6
19
34
36
31
31
28
35
17
15
14
10
9
8
11
12
8
12
9
6
9
9
9
10
21
17
12
30
21
7
18
30
33
14
8
10
9
18
18
22
24
42
33
18
14
9
11
15
25
31
16
9
9
16
25
29
10
10
12
21
20
31
8
4
6
7
8
8
6
3
8
18
16
10
15
» Positive savers are spending units with money incomes in excess of expenditures and negative savers (dissavers) are spending units
with 1expenditures in excess of money incomes.
Excludes spending units for which income was not ascertained and thus adds to less than 3,415 cases.
• No cases reported or less than one-half of 1 per cent.
• Excludes spending units for which occupation of head was not ascertained and also spending units headed by housewives, students,
unemployed
persons, and farm laborers; totals less than 3,415 cases.
6
Excludes cases where age of head of spending unit was not ascertained and thus adds to less than 3,415 cases.
• Excludes cases for which family status was not ascertained and thus totals less than 3,415 cases.
SEPTEMBER
1951
1063
1951 SURVEY OF CONSUMER FINANCES
SAVING AND DISSAVING WITHIN INCOME QUWiTUES, 1950
OUINTILE
Percentage of Spending Units
E 3 Dissavers
ated with declines in income. More than 1 in 10
dissavers, however, had incomes of $5,000 or more,
and these spending units tended to dissave large
amounts, in most cases $500 or more. Dissaving in
this group was usually associated with the purchase
of consumer durable goods.
Spending units headed by self-employed businessmen and managerial employees had the smallest
proportion of dissavers of any occupational group
(25 per cent). Dissaving of $500 or more was substantially more frequent (about 5 ia 10) among
dissavers in the professional, farm operator, and
retired groups than among dissavers in other occupational groups. Dissaving to the extent of 25 per
cent or more of income was most frequent among
farm operators. This reflected in part the "feast
or famine" introduced into farming by local crop
failures and other sporadic factors, and in part the
fact that the survey's definition of income excludes
noncash income important to farmers, such as products produced and consumed - on the farm and
changes in inventories.
CAUSES OF SAVING AND DISSAVING
The previous discussion has indicated some of
the factors which influence the saving or dissaving
of individual spending units. There are numerous
influences which may act singly or in combination
to determine the saving of a particular spending
unit during any given period. The more import1064
ant of these factors may be grouped into six general
classes.
Level of income. First, the absolute level of incomes is a major influence upon saving. Spending
units with low incomes must spend most of their
incomes on necessities and have relatively little opportunity to save. Most of the units in the very
low income groups are either zero savers or dissavers in any one year. It is important to note that
some of those in the low-income groups in any one
year are there because of declines in income. In the
high-income groups, a majority of the units are
positive savers. There is, however, a substantial
proportion of dissavers within the upper income
groups each year, primarily because of expenditures
for durable goods and emergencies.
Changes in income. A second factor influencing
saving is changes in income. Changes that appear
to be more or less permanent have a different effect
from those that are temporary in nature, such as
those arising from sickness, unemployment, or
variations in business or farm income. A temporary decline in income is likely to cause either a reduction in saving or dissaving. Aft increase that is
TABLE 4
POSITIVE SAVERS AS A PERCENTAGE OF ALL SPENDING UNITS
HAVING SPECIFIED CHARACTERISTIC AND SPECIFIED
CHANGE IN INCOME 1
Change in income
Group characteristic
Decline 2
No
change 3
Large
Small
increase 4 increase *
1950 1949 1950 1949 1950 1949 1950 1949
All cases
53
48
59
61
64
66
68
62
Income:
Under $1,000
$l,000-$l,999
$2,000-$2,999
$3,000-$3,999
$4,000-$4,999
$5,000 and over
30
56
47
66
68
71
22
43
51
61
63
68
34
51
60
67
6»
74
33
49
66
72
7378
33
50
62
67
68
78
(6)
53
60
69
69
80
39
58
65
67
77
83
45
60
45
78
(6)
78
(6)
(*)
66
71
67
73
(6)
(6)
56
60
65
55
47
(•)
56
73
63
64
45
61
46
68>
82
69
65
5566
(6)
70
68
66
62
74
(6)
77
73
66
61
72
58
82
69
59
(6)
74
(6)
Occupation of head of
spending unit:
Professional and semiprofessional
Managerial and selfemployed
Clerical and sales
Skilled and semiskilled
Unskilled and service.
Farm operator
Retired
51>
54
46
426
()
67
68
65
58
48
1
Information is furnished only for groups- of 65 or more having
specified
characteristic and change in income from preceding year.
2
Decline
of 5 per cent or more;
3
Less than 5 per cent of change.
4
Increase
of 5-24 per cent.
5
Increase of 25 per cent or more.
6
Not shown since number of cases m less than 65.
FEDERAL RESERVE BULLETIN
1951 SURVEY OF CONSUMER FINANCES
Changes in prices and taxes. Price changes are a
third factor influencing saving. Changes in prices
of consumer goods and services may either offset or
reinforce changes in money income. If income
remains unchanged and prices rise, the effect upon
Change in income
saving is similar to that of a decline in income.
The impact of price changes upon the saving of
Large
DeNo
Small
Group characteristic
cline 2
change 3 increase 4 increase 5
individual spending units varies both because price
changes
differ from commodity to commodity and
1950 1949 1950 1949 1950 1949 1950 1949
because spending patterns differ among consumers.
All c a s e s . . .
39
44
32
30
27
31
28
31
Changes in income tax rates have an effect upon
consumer saving that is in many respects similar
Income:
(6)
58
35
33
48
34
29
36
Under $1 000
to that of price and income changes. The impact
34
$1,000-$ 1,999 . .
37
38
48
36
38
38
31
$2,000-$2,999
32
49
45
42
30
37
40
30
of income taxes also varies among spending units
34
32
23
33
23
30
30
37
$3,000-$3,999 . .
(6)
$4,000-$4,999
30
30
22
35
24
32
31
because of the progressive increase of rates from
20
$5,000 and over
29
25
28
17
22
17
17
low to high incomes.
Occupation of head of
spending unit:
The life cycle. Fourth, the different stages of the
Professional and semi*
34
23
33
24
life cycle of the family bring significant variations
()
()
()
()
professional
Managerial and selfin saving and dissaving. The changing pattern of
42
37
26
21
18
27
21
17
employed
34
39
36
25
31
31
22
28
Clerical and sales
family income is one aspect of this picture and the
Skilled and semiskilled 33 40 33 28 31 32 32 36
Unskilled and service. 32 45 30 28 39 34 29 ( )
changing pattern of expenditures is the other.
43
53
32
34
29
18
24
21
Farm operator
30
22
()
()
()
()
()
()
Retired
Saving by young single persons, while frequent, is
generally
limited by insufficiency of income. Mar1
Information is furnished only for groups of 65 or more having
specified
characteristic and change in income from preceding year.
riage and the setting up of a household are usually
2
Decline of 5 per cent or more.
3
accompanied by numerous expenditures for durable
Less than 5 per cent change.
4
Increase of 5-24 per cent.
8
goods
and a high frequency of negative saving.
Increase of 25 per cent or more.
6
Not shown since number of cases is less than 65.
After children are born, the frequency of positive
saving tends to increase and that of negative saving
expected to be sustained may encourage dissaving to decline. Purchases of life insurance and houses
through the purchase of durable consumer goods tend to increase the importance of contractual
in anticipation of the continued higher level of in- saving at this time. After the children have left the
come or may lead to increased saving because the home, there is somewhat less incentive to save and
margin of income over outlays for maintaining the usually less income, particularly when retirement
previous living standard is increased. A decline in has been reached. At this stage of life, relatively
income that is expected to reduce the level of in- low income and limited access to credit tend to income for an extended period may bring a readjust- crease zero saving. These generalizations are illusment of the spending pattern and, therefore, involve trated in Table 3.
less dissaving than when the income decline is exUnusual expenditures. Large and irregular expected to be temporary.
penditures for special purposes, such as the purIn 1950 there was an increase over 1949 in the chase of an automobile or other consumer durable
proportion of savers and a decrease in the propor- goods or expenditures for medical treatment, edution of dissavers among spending units with in- cation, or travel, constitute a fifth factor which
come declines (see Tables 4 and 5). Such a change influences saving or dissaving. While such exdid not occur, however, among spending units penditures are associated in part with the life
headed by managerial and self-employed persons. A cycle of the family, to a considerable extent they
larger proportion of spending units with large in- are independent and merit separate consideracreases in income were positive savers in 1950 than tion. To the extent that such expenditures can be
in 1949. Of the units with either no change or a anticipated, saving may be undertaken in advance.
small increase in income, a smaller proportion But when the expenditures are made, they usually
were positive savers in 1950 than in 1949 and a involve dissaving either by reduction of liquid
larger proportion were negative savers.
assets or increase of debt, or both. Unless the
TABLE 5
NEGATIVE SAVERS AS A PERCENTAGE OF ALL SPENDING UNITS
HAVING SPECIFIED CHARACTERISTIC AND SPECIFIED
CHANGE IN INCOME *
6
6
6
6
6
6
6
SEPTEMBER
1951
6
a
6
6
1065
1951 SURVEY OF CONSUMER FINANCES
purchase or expenditure is offset by positive saving
within the year, the spending unit is classed as a
negative saver. Approximately 7 in 10 dissavers
bought consumer durable goods in 1950 as compared with 5 in 10 savers and 3 in 10 zero savers.
Over one-half of the spending units that made
durable goods expenditures of $500 or more in
TABLE
cushion for business losses. The large proportion
of positive savers among business owners and the
relatively large amounts saved have been discussed
previously. Among farm operators the proportion
of positive savers is relatively small and the proportion of dissavers relatively large in part because
of the extreme fluctuations in income from year to
6
RELATION OF SAVING TO DURABLE GOODS
EXPENDITURES
[Percentage distribution of spending units]
Amount of expenditure
Undei $200
None
Saving class
$200-$499
l
$500-$999
$1,000 and over
1950
1949
1950
1949
1950
1949
1950
1949
1950
1949
Postive savers 2
$1 000 and over
$500-$999
$100-$499
$l-$99
65
12
11
25
17
65
11
11
24
19
68
7
15
25
11
64
7
15
26
16
68
18
15
26
9
60
13
12
23
12
49
20
10
13
6
44
11
10
16
41
19
7
12
3
44
21
8
12
3
Zero savers
Negative savers *
12
11
6
4
2
1
23
5
10
24
6
9
26
8
13
32
13
13
30
6
17
39
9
21
51
9
28
55
8
23
59
3
17
56
2
10
$l-$99
$100-$499
$500 and over
All cases
Number of cases
. . .
7
1
8
9
5
6
7
9
14
24
39
44
100
100
100
100
100
100
100
100
100
100
1,491
1,661
362
473
655
547
364
319
508
491
1
2
8
Net of trade-in allowances.
Spending units with money income in excess of expenditures.
No cases reported or less than one-half of 1 per cent.
* Spending units with expenditures in excess of money incomes.
1950 were dissavers, while for the rest of the population the proportion was approximately onefourth (see Table 6).
Ownership of a business or farm. A sixth factor
of importance to saving is the full or part ownership of a business or a farm. Such ownership provides a direct investment outlet for saving and for
this reason acts as an incentive to saving. The
business owner may also wish to save other than
by investing in his business in order to provide a
Aggregate saving of consumers amounted to 14
billion dollars in 1950, as estimated from survey
data.2 This is a substantial increase from the 9
billion dollar estimate for 1949, and represents a
reversal of the downward trend in total net saving
during other postwar years (see Table 7). The
2
The 14 billion dollar estimate of aggregate saving in
1950 obtained from the Survey of Consumer Finances differs from the 12 billion dollar personal saving estimate of
the U. S. Department of Commerce used in the Leading
Article of this BULLETIN both because of a difference in the
universe covered and differences in definition. The universe
of the survey is somewhat narrower than that of the Commerce saving aggregate in that the survey excludes nonprofit institutions, citizens living outside continental United
States, members of the armed forces living on military reservations, residents of hospitals and other institutions, and
transient population. Among the chief differences with
respect to definition are the inclusion by the survey of payments to Government life insurance and retirement funds
other than social security payments and all payments made
in connection with private life insurance and retirement
systems; the Department of Commerce includes only the increase in the reserves of life insurance and retirement funds.
Furthermore, the personal saving concept of the Department
of Commerce includes the following items not included, or
included only in part, in the estimate of saving obtained by
the Survey of Consumer Finances: depreciation on farm and
nonfarm houses, changes in the assets of private trust funds,
changes in farm inventories, and changes in personal currency holdings.
A more detailed description of survey methods and definitions is presented in the Appendix to "Distribution of Consumer Saving in 1948," Federal Reserve BULLETIN, January
1950, p. 33.
1066
year and from farm to farm and in part because of
the large number of low-income farmers.
AMOUNT OF SAVING
FEDERAL RESERVE BULLETIN
1951 SURVEY OF CONSUMER FINANCES
As in previous years, the bulk of net saving was
done by spending units in the top four income
deciles. On balance, there was little saving or dissaving in the fifth to ninth income deciles. The
lowest income decile had a substantial amount of
negative saving in 1950, but less than in 1949 and
approximately the same as in 1948. The net negative saving of the lowest income decile year after
year reflects primarily the inclusion in this group of
spending units with temporary reductions in income because of business or farm losses, sickness,
or other special circumstances.
All major occupational groups increased the
amount of their net saving in 1950 as compared
with 1949. Spending units headed by managerial
employees had the largest relative increase. All
age groups except the oldest increased the amount
of their net saving.
TABLE 7
SAVERS AND DISSAVERS: AGGREGATE AND M E A N
Item
1950
1949
SAVING
1948
1947
Spending units (millions):
All cases
52
52
51
49
Positive savers
Zero savers
Negative savers
32
3
17
31
3
18
32
3
16
4
14
Aggregate saving (billions of dollars)
Positive savers
Negative savers
27
-12
23
-14
24
-12
••25
-11
Net saving of all spending units
(billions of dollars)
14
Mean saving (dollars per spending
unit):
Positiye savers
Negative savers
Mean net saving of all spending
units (dollars)
14
840
-740
750
-790
750
-800
-760
270
180
220
290
790
r
Revised.
NOTE.—Details may not add to totals because of rounding.
increase in net saving in 1950 as compared with
1949 reflected both in increased amount of saving
by positive savers and a reduced amount of negative saving by dissavers.
The distribution of total net saving of consumers
among the income deciles returned in 1950 to the
pattern of 1948 after the sharp increase in the share
of net saving of the top decile and the large increase
in the net negative saving of the lowest income decile which occurred in 1949, as shown in Table 8.
FORMS OF SAVING AND DISSAVING
Saving, as computed for the survey, includes 20odd components which are not homogeneous in
their impact on the economy, in their behavior
during fluctuations in economic conditions, or in
their influence on consumer allocation of income.
For some analytical purposes, groupings of certain
components of saving are more useful than the
sum of all. The survey's procedure of arriving at
saving by directly obtaining component elements
TABLE 8
PROPORTION OF TOTAL MONEY INCOME, POSITIVE SAVING, NEGATIVE SAVING, AND N E T SAVING ACCOUNTED FOR BY EACH
T E N T H OF THE NATION'S SPENDING U N I T S WHEN RANKED BY SIZE OF INCOME X
Percentage of total accounted for by each tenth
Spending units ranked
by size of income
Money income
Negative saving 4
Positive saving 3
2
Net saving
5
1950 1949 1948 1947 1950 1949 1948 1947 1950 1949 1948 1947 1950 1949 1948 1947
Highest tenth
Second
Third
Fourth
Fifth
Sixth
Seventh . .
Eighth
Ninth
Lowest tenth
...
All cases
. . . .
29
15
13
11
9
8
6
5
3
1
30
15
12
11
9
8
6
5
3
1
31
15
12
10
9
8
6
5
3
1
33
15
12
10
9
7
6
4
3
1
45
15
10
8
6
5
5
3
2
1
47
15
10
8
7
5
4
2
100
100
100
100
100
100
2
45
15
11
8
7
5
4
2
2
1
52
14
8
7
6
5
4
2
1
1
13
10
9
7
10
12
9
6
5
19
9
9
8
8
10
8
9
9
7
23
14
11
9
9
7
9
8
7
9
17
19
11
10
10
11
6
5
7
6
15
2
-16
100
100
100
100
100
100
100
73
20
11
10
4
-1
1
(6)
105
26
13
8
1
-4
—8
-6
-35
78
19
15
6
6
2
-1
—3
-5
-17
77
16
6
6
3
4
2
—1
-2
-11
100
100
100
1
Income and saving data are based on interviews in January-March of the year following the one specified. The figures in this table
cannot be used to measure precisely changes in income and saving because of the limited size of the sample. However, it is believed
that the data show with reasonable accuracy the nature of certain broad changes in income and saving during these years. The surveys
for 1947 through 1949 differ somewhat in their definitions of saving, as discussed in "The Distribution of Consumer Saving in 1949," Appendix I, Federal Reserve BULLETIN-, November 1950.
* Annual money income before taxes.
• Positiye saving comprises the saving of all spending UP its with money incomes in excess of expenditures.
4
Negative saving comprises the dissaving of all spending units with expenditures in excess of money income.
6
Net saving (plus or minus) is positive saving less negative saving for the combination of all units in each income decile.
6
Less than one-half of 1 per cent.
SEPTEMBER
1951
1067
1951 SURVEY OF CONSUMER FINANCES
makes it possible to divide the total saving of the
spending unit into contractual saving, changes in
liquid assets, changes in consumer indebtedness,
nonfarm business saving, and a miscellaneous
category.
The survey's data on the various forms of saving
are subject to response errors and biases, to biases
introduced through difficulty of distinguishing current expense from saving, and to the large sampling errors associated with estimates based on relatively few cases. Certain of the biases are known
to be of opposite efTect on total saving although
their relative magnitudes cannot be precisely determined.
Contractual saving. Participating in a contributory retirement plan, contracting for life insurance,
or incurring mortgage indebtedness with amortization requirements in the purchase of real estate
commits a consumer to saving over a period of
years. Payments made as a result of such commitments are classified in the survey as contractual
saving. Repayment of instalment debt is not included in this category since instalment credit contracts are usually of much shorter term than contracts involving mortgages, life insurance, and pension funds.
Contractual saving of the individual spending
unit is somewhat overstated in the survey because
the total value of a life insurance premium is classified as saving. As a result, amounts more properly
charged to current insurance expense are included
as saving. On the other hand, interest accruals on
insurance reserves are not included as saving (or
as income). In the case of payments on mortgages,
only the reduction of the principal is included.
In 1950, a larger proportion of spending units
had contractual saving (77 per cent) than had any
of the other types of saving mentioned above (see
Table 9). More than 85 per cent of positive savers
and more than 70 per cent of dissavers were contractual savers in 1950 (see Table 10). As would
be expected, relatively few zero savers (2 per cent)
had contractual saving.
Within each occupational group contractual
saving was more frequent and amounts saved were
larger for the higher income levels than for
the lower (see Table 11). Among occupational
groups, however, there were certain differences
in the pattern of contractual saving. Spending
units headed by farm operators reported contractual saving less frequently than any other occu1068
TABLE
9
PERCENTAGE OF SPENDING U N I T S REPORTING VARIOUS T Y P E S
OF ADDITIONS TO AND WITHDRAWALS FROM SAVING
Additions
to saving
Type
1950
1949
18
10
Contractual saving . . .
77
77
Life insurance:
Payment of premiums
Full cash payment received from
policy
72
74
Consumer indebtedness:
Increases
Decreases
l
Liquid asset2 holdings:
Increases
...
Decreases
29
24
20
17
14
Retirement funds:
Payments to such funds
15
12
2
2
Unincorporated business (excluding
farmers):
Profits left in business
Business loss .
Personal investment in business. .
Withdrawals of business investment
Farm equipment purchases
1950
1949
26
30
3
3
' '31* '
31
26
Real estate:
Purchases of homes for own use
(nonfarm)
Purchases of other real estate (including farms)
Mortgages taken out for home
purchases
Mortgages on other real estate. . .
Sales of houses, farms, and lots,
Payments on home mortgages (including full payments)
Home improvements
Securities transactions (excluding
Federal):
Increases in holdings
Decreases in holdings
Withdrawals
from saving
5
3
2
2
4
4
2
1
3
1
1
1
1
(4)
1
(3)
3
2
2
3
4
4
1
Includes life insurance premiums, payments to retirement
funds,
and payments on mortgage principal.
2
Excludes cases in which liquid assets increased solely because
of interest accrual on U. S. Goverment savings bonds. These
cases accounted for about 6 per cent of all spending units in 1950
and3 8 per cent in 1949.
Data not available.
4
No cases reported or less than one-half of 1 per cent.
pational group except the miscellaneous group.
The difference was especially large at incomes of
less than $3,000. At this level, only one-half of
the farm spending units, in contrast to threequarters of the skilled and clerical groups, reported
contractual saving. The lower frequency of this
form of saving among farm spending units may be
the result of a reluctance to enter contractual arrangements because of the instability of their incomes. Provision for life insurance and/or retirement annuities may be less essential when a farm is
available for sale or as security for borrowing in
case of emergency, and when older members of
FEDERAL RESERVE BULLETIN
1951 SURVEY OF CONSUMER FINANCES
the farm family continue to draw income from
farm operations. The third element in contractual
saving, mortgage payments, was proportionately
less important among farm owners than among
no-nfarm home owners. The previous year's survey
indicated that early in 1950 about 25 per cent of
farm owners had debt secured by their farms; in
contrast, about 45 per cent of nonfarm home owners
T A B L E 10
FORMS O F SAVING WITHIN SAVING GROUPS
[Percentage distribution of spending units within saving groups]
Negative savers
Positive savers
Zero
savers
Form of saving
LIQUID ASSETS
$500 and over
1950
1949
$1,000 and over.
$500-$999
$200-$499
$1-$199
No change.
Decrease.. .
61
59
13
14
14
20
14
16
11
18
14
35
18
18
30
21
$1-$199
$200-$499
$500-$999
$1,000 and over
22
7
4
4
6
Not ascertained
1949
1950
1949
47
33
28
r(2)
14
1
(2)
(2)
32
(2)
1
1
33
50
$l-$499
1950
1949
$500 and over
1949
1950
()
14
13
13
18
2
1
2
2
9
1
(2)
2
()
2
8
5
2
3
8
20
20
16
7
8
3
2
9
5
2
4
10
3
2
1
100
100
10
26
57
15
95
94
34
3
3
52
1
2
18
21
8
5
INDEBTEDNESS
Decrease
$1,000 and o v e r .
$500-$999
$200-$499
$1-$199
No change
Increase
$$
$200-$499
$500-$999
$1,000 and over.
100
100
32
19
26
15
6
9
10
7
4
5
6
4
()
1
9
16
(2)
56
64
12
16
5
3
1
3
100
14
15
73
67
4
9
22
38
5
12
20
30
51
(2)
100
10
36
(*)
All cases
Not
1950
$l-$99
:
Increase
CONSUMER
$100-$499
17
23
6
5
3
2
4
11
()
9
()
7
()
1
()
53
62
74
69
98
97
21
23
16
22
1
2
9
3
2
2
14
5
1
1
15
5
2
1
12
2
1
1
15
5
1
1
1
1
1
100
100
100
100
100
100
( )
(*>
(2)
5
1
1
3
2
1
2
2
36
39
47
46
57
56
45
52
25
22
9
1
30
20
5
7
7
19
12
6
11
18
17
100
100
100
100
28
()
2
4
ascertained....
All cases
CONTRACTUAL SAVING *
None
Some
10
$1-$199
$200-$499
$500-$999
$l,000-$l,999
$2,000 and ofer
Undetermined amount.
34
29
19
6
2
10
13
12
21
17
98
95
30
30
21
90
87
88
79
83
2
5
70
70
79
72
33
25
20
7
3
2
54
27
6
47
33
5
1
72
5
2
72
7
2
1
1
(2)
21
52
14
3
1
53
14
2
(*>
(2)
45
24
6
2
2
42
18
7
2
1
2
100
100
433
198
664
431
483
(2)
(2)
( 22)
699
347
C)
C2 )
()
09
Not ascertained. . .
All c a s e s . . . . . .
N u m b e r of cases
100
100
971
878
100
671
184
611
r
Revised.
Includes all types of U. S. Government bonds, savings accounts, a n d checking accounts.
N o cases reported or less t h a n one-half of 1 per cent.
3
Includes debt arising from instalment purchases of consumer goods and from instalment a n d single-payment loans granted by
banks, small loan companies, and other lending agencies OF individuals.
* Includes premium p a y m e n t s on life insurance policies, mortgage p a y m e n t s on residences and other real estate, and p a y m e n t s to
retirement funds.
1
2
SEPTEMBER 1951
1069
1951 SURVEY OF CONSUMER FINANCES
TABLE
CONTRACTUAL
11
SAVING IN RELATION TO OCCUPATION
AND INCOME,
1950
[Percentage distribution of spending units]
Amount of contractual saving
Number
of
cases *
All
None
$1$199
$200$499
$500$999
Professional and semiprofessional:
All income groups
Under $5,000
$5,000 and over
269
128
134
100
100
100
13
1
32
48
12
32
29
37
16
8
28
(a)
20
Managerial:
All income ggroups.
U
d
$5000
Under
$5,000
$5,000 and over.
235
90
143
100
100
100
10
17
3
27
44
10
25
24
25
28
13
42
10
2
19
Self-employed:
All income groups.
Under $5,000
$5,000 and over. . .
250
132
109
100
100
100
14
17
10
41
53
26
21
16
28
15
10
20
8
2
16
Farm operator:
All income groups.
Under $3,000
$3,000 and over. . .
388
263
122
100
100
100
38
47
18
45
40
53
11
8
20
Clerical and sales:
All income groups.
Under $3,000
$3,000-$4,999
$5,000 and over. . .
477
183
158
129
100
100
100
100
14
24
7
5
49
64
41
28
25
9
35
44
()
15
16
Skilled and semiskilled:
All income groups. .
Under $3,000
$3,000-$4,999
$5,000 and over. . .
901
253
447
199
100
100
100
100
13
26
9
4
51
60
48
45
24
10
29
36
9
3
11
12
Occupation and 1950 money income before taxes
Unskilled *.
289
100
35
51
Other: «
All income groups.
Under $3,000
$3,000 and over. . .
587
431
147
100
100
100
42
50
15
39
39
35
12
8
29
3
1
10
All spending units:
All income groups.
Under $3,000
$3,000-$4,999
$5,000 and over. . .
3,415
1,499
1,042
832
100
100
100
100
23
38
10
6
44
50
46
29
20
9
29
33
2
11
20
$1,000 Not ascerand over tained 2
9
()
11
1
2
3
4
Details may not add to totals because latter include cases for which income or occupation was not ascertained.
Includes cases for which the presence or the amount of contractual saving was not ascertained.
No cases reported or less than one-half of 1 per cent.
Includes farm laborers. Since 72 per cent of this group had incomes of less than $3,000 in 1950, a breakdown by income classes
was impracticable.
« Includes students, housewives, protective service workers, and retired and unemployed persons.
had debt secured by their homes. The difference
may have been accounted for in part by a decade of
relatively high farm income, and in part by the
more rapid increase in nonfarm home purchases
relative to farm purchases in recent years.
Spending units headed by unskilled workers reported contractual saving less frequently than units
headed by other employed personnel. The tendency of unskilled work to be casual as well as relatively low paid may reduce the willingness, ability,
and opportunity of this group to enter contractual
saving arrangements. Contractual saving was least
frequent among spending units headed by students,
housewives, protective service workers, and unemployed or retired persons. Most persons in
1070
these categories, except for protective service
workers, have neither the amount nor regularity of
income required for contractual saving, and usually
their positions do not present opportunities to save
contractually.
There is little difference with respect to contractual saving between the managerial, the selfemployed, and the professional and semiprofessional
groups with incomes below $5,000. At $5,000 or
more, the frequency of contractual saving was less
among the self-employed group than among the
managerial and professional groups. Findings
based on small subgroups indicate that contractual
saving of $500 or more was more frequent among
the managerial group with incomes of $5,000 or
FEDERAL RESERVE BULLETIN
1951 SURVEY OF CONSUMER FINANCES
more (61 per cent) than among the self-employed
at the same income level (36 per cent). The difference may be accounted for by retirement plans
among the salaried group and by the opportunity
for business investment among the self-employed.
Clerical and sales personnel and skilled and semiskilled workers had very similar patterns of contractual saving at comparable income levels. In
both groups about 95 per cent of the spending units
with incomes of $5,000 or more saved contractually.
This was approximately the same proportion as for
professional, managerial, and self-employed persons
at the same income level.
The proportion of spending units having contractual saving did not increase in 1950 but some
spending units apparently added to their commitments. Payments into retirement funds and repayments of mortgage principal increased in frequency
while life insurance premiums remained at about
the same frequency as in 1949 (see Table 9).
Contractual saving appears to have a stabilizing
influence upon total saving. The survey indicates
that spending units with incomes of less than $5,000
are more frequently net savers in the face of income
•declines if they have some type of contractual saving arrangement. Once it is undertaken there seems
to be reluctance or inability to discontinue this
type of saving, or to draw down or borrow against
the assets accumulated by past contractual saving.
Consumer indebtedness. Variations in the proportions of spending units increasing or decreasing
their consumer indebtedness and in net changes in
aggregate consumer indebtedness have been pro-
nounced since 1947. The principal element of
consumer indebtedness as defined by the survey is
instalment debt arising from the purchase of automobiles and large household items. All other forms
of personal debt, except charge accounts and mortgage debt, are also included. Charge accounts are
not covered by the survey and mortgage debt is
excluded from consumer debt in order to limit this
category to relatively short-term debt.
The proportion of spending units that increased
their total consumer debt during the year declined
in 1950 and the proportion that reduced this form
of debt increased (see Table 12). Spending units in
the lowest and the highest income groups made use
of consumer credit less often than did spending
units in the intermediate income ranges.3 Only
12 per cent of the spending units with incomes of
less than $1,000 and 20 per cent of those with incomes of $7,500 or more increased their consumer
debt, whereas the percentage for all spending units
as a group was 26. Decreases in consumer debt
were also less frequent in the income groups mentioned above than in the population as a whole.
The consumer indebtedness of more than one-half
of all negative savers and about 15 per cent of all
positive savers increased during 1950.
Liquid assets. The proportion of spending units
that reported adding to their liquid assets during
1950 by means other than accrual of interest on
savings bonds increased from 26 per cent in 1949
3
See "Purchases of Durable Goods and Houses in 1950
and Buying Plans for 1951," Federal Reserve BULLETIN, July
1951, pp. 760-71.
TABLE 12
CHANGE IN CONSUMER INDEBTEDNESS OF SPENDING U N I T S WITHIN INCOME GROUPS X
[Percentage distribution of spending units within income groups]
Tot al
No
change
Decrease
Income grouping
All g r o u p s . . . .
Under $1,000
$l,000-$l,999
$2 000-$2 999
$3 000-$3,999
$4,000-$4,999
$5 000-$7 499
$7,500 and over
Number of cases
Per cent
Not
ascertained
Increase
1950
1949
1950
1949
1950
1949
1950
1949
1950
1949
1950
1949
3,514
3,512
100
100
18
10
55
'59
26
'30
1
1
418
514
567
479
604
672
100
100
100
100
100
100
5
10
11
1
1
1
1
1
1
100
100
21
11
45
74
62
54
20
27
34
615
79
59
53
12
24
29
601
8
16
17
55
33
1
1
397
437
22
23
15
10
45
49
46
56
38
33
1
1
1
1
16
6
64
74
32
27
33
441
538
19
(2)
1
294
269
100
100
100
100
100
100
20
T
1
Revised.
Includes debt arising from instalment purchases of consumer goods and from instalment and single-payment loans granted by banks
.small2 loan companies, and other lending agencies or individuals.
»
No cases reported or less than one-half of 1 per cent.
SEPTEMBER
1951
1071
1951 SURVEY OF CONSUMER FINANCES
to 29 per cent in 1950 (see Table 9).4 An additional 6 per cent increased their holdings through
accrual of interest on savings bonds during 1950.
There was no change in the frequency (31 per
cent) of those drawing down liquid assets.5
Increases in liquid assets were much more frequent among savers of $500 or more (61 per cent)
than among savers of less than $100 (33 per cent),
as shown in Table 10. Less than 15 per cent of
the net dissavers had any increase in liquid assets.
About 50 per cent of the dissavers of less than
$500 and more than 70 per cent of the dissavers
of $500 or more reduced their liquid assets during
1950. Reduction of liquid assets, however, was
not uncommon among savers (about 20 per cent).
The relation between the ability to save and to dissave large amounts is illustrated by the finding that
14 per cent of all spending units reduced liquid
assets acquired through previous saving by $500
or more. Large reductions in liquid assets by
spending units that were net savers may be accounted for by purchases of homes, other real
estate, or securities which were financed by drawing
down liquid assets as well as from current income.
Business saving. The frequency of positive nonfarm business saving (defined as profits left in an
unincorporated business or privately held corporation plus personal investment in such enterprises
minus losses and withdrawals from such businesses)
did not change significantly from 1949 to 1950,
after declining from 1948 to 1949 (see Table 9).
Since, on the average, business saving, where there
is such saving, is much larger than other forms of
saving, its importance in the aggregate of consumer
saving is much greater than its relatively low frequency (less than 5 per cent) may imply.
Allocation of income. By use of survey data relating to saving along with that referring to income, tax liability, and expenditures on durable
goods, it has been possible to obtain the major
outlines of the use of income by consumers. A
necessary qualification is that the data relating to
expenditures on services and items other than durable goods are residuals and are therefore subject
to greater error than the other, directly estimated,
data.
* Liquid assets as defined by the survey comprise all types
of U. S. Government bonds, checking accounts, savings accounts in banks, postal savings, and shares in savings and
loan associations and credit unions. Currency is excluded.
5
For a listing of types of liquid assets and a more extensive discussion of changes in holdings during 1950, see "The
Economic Outlook and Liquid Asset Position of Consumers,"
Federal Reserve BULLETIN, June 1951, p. 638.
Survey data permit two estimates of the change during
the year in the aggregate liquid asset holdings of consumers. One is the difference between estimates of current
aggregate holdings obtained in two successive surveys.
Since survey estimates of holdings have been fairly stable
in recent years, though somewhat lower than outside estimates, which have also been stable, estimated changes based
on the aggregates have agreed on the whole with outside
estimates.
The second estimate of change in aggregate liquid asset
holdings is derived by working from data regarding
present and year-ago holdings of liquid assets supplied
by individual respondents in a single survey.
Estimates
obtained in this manner showed decreases in liquid assets
of about 3.5 billion dollars in 1947 and about 6 billion in
each succeeding year. This method of estimating enters the
computation of saving.
TABLE
RELATION
OF SAVING TO O T H E R
CONSUMER
13
USES OF M O N E Y I N C O M E W I T H I N I N C O M E
QUINTILES
[Per cent]
Expenditure as a percentage of aggregate income of each quintile
All
spending
units
Net saving
Federal income tax 2
Automobiles and other selected durable goods3.
Other consumer expenditures 4
Total
Lowest
quintile
1950
1949
1950
8
9
11
72
5
8
11
76
-32
1
10
121
100
100
100
Second
quintile
Third
quintile
Fourth
quintile
Highest
quintile
1950
1949
1950
1949
1950
1949
1950
1949
-57
2
16
139
1
4
10
85
-6
4
11
91
1
5
12
82
C1)
5
11
84
7
7
11
75
5
6
10
79
16
13
10
61
16
12
)
63
100
100
100
100
100
100
100
100
100
1949
1
2
3
Less than one-half of 1 per cent.
Estimated Federal personal income tax liability on income, apart from capital gains and losses.
Includes automobiles, furniture, radios, television sets, and household appliances such as refrigerators, ranges, washing machines,
vacuum cleaners, home freezers, and other miscellaneous appliances. Expenditures net of trade-in allowances in both years.
4
Covers expenditures for all goods and services not included in selected durable goods (see footnote 2). Includes food, housing,
clothing, medical care, other living costs, State and local taxes, recreation, transportation and education, as well as expenditures for durable
goods such as floor coverings, jewelry, fur coats, and other miscellaneous items.
1072
FEDERAL RESERVE BULLETIN
1951 SURVEY OF CONSUMER FINANCES
TABLE
14
POSITIVE AND NEGATIVE SAVERS WITHIN INCOME QUINTILES
1
[Percentage distribution of spending units]
All units:
1950
1949
1948. ..
1947
1946.
1941
Highest quintile:
1950
1949...
1948
1947.
1946
1941
All
units
Positive
savers2
100
100
100
100
100
100
61
60
63
64
65
62
100
100
78
78
74
77
85
80
§ iiii
Spending units ranked
by size of income
Zero
savers
7
6
6
8
8
5
C4)
Negative
savers5
32
34
31
28
27
33
22
22
26
23
15
20
Second:
1950
1949
1948
1947
1946 .
1941
100
100
100
100
100
69
70
69
67
75
69
1
1
1
2
3
1
30
29
30
31
22
30
Third:
1950 ..
1949
1948 .
1947
1946
1941
100
100
100
100
100
100
63
64
66
68
61
66
2
1
3
3
3
1
35
35
31
29
36
33
Fourth:
1950
1949
1948
1947
1946
1941
100
100
100
100
100
100
57
50
61
61
61
57
7
7
7
9
10
5
36
43
32
30
29
38
Lowest quintile:
1950
1949
1948
1947
1946
1941
100
100
100
100
100
100
39
37
44
47
43
38
23
21
20
24
23
19
38
42
36
29
34
43
1
Income and saving data for the postwar years are based on the
annual Survey of Consumer Finances made in the first quarter
of the year succeeding that for which data are given. The 1941
data are estimated from information obtained from Family Spending and Saving in Wartime (Bureau of Labor Statistics, Bulletin
No.2 822), April 1945.
3 Spending units with money incomes in excess of expenditures.
4 Spending units with expenditures in excess of money incomes.
No cases reported or less than one-half of 1 per cent.
NOTE.—The figures in this table cannot be used to measure
precise changes in the relation of saving to income. However, it
is believed that the data show with reasonable accuracy the nature
of certain broad changes in the pattern of income and saving
during these years.
The 1941 data were obtained by a process of freehand graphic
interpolation of cumulative frequency distributions based on data
for various income size groups.
The survey covering 1941 and the surveys covering 1946 through
1950 differed somewhat in their definitions of money income, saying, and the spending unit, in the universe covered, as well as in
sampling methods. The surveys for 1946 through 1950 also
differed somewhat in their definition of saving, as discussed in
Appendix I to "The Distribution of Consumer Saving in 1949,"
Federal Reserve BULLETIN, November 1950, p. 1452.
SEPTEMBER 1951
The findings relate to the disposition of the aggregate income of consumers within income quintiles
(division of the population into fifths according
to size of income) and should not be interpreted
as typical patterns of behavior. Many factors beside income affect the spending unit's expenditure
and saving. The level of income, however, is the
most important factor in influencing the allocation
of income.
The increase in the proportion of consumer income saved in 1950 over 1949 for the entire population is accounted for, in large part, by the decline
in dissaving of the two lowest income quintiles
(see Table 13). Many of those in the two lowest
income quintiles in 1949 were there because they
had experienced temporary reversals, such as business losses and unemployment. The general improvement of economic conditions in 1950 reduced
the frequency of these temporary reverses and thus
reduced the number of spending units that dissaved. The lowest income quintile also reduced
the proportion of income used to purchase durable
goods.
The distributions of income, saving, and various
expenditures among various income quintiles are
summarized in Table 15. Supplementary data relating to saving within income quintiles, the distribution of saving among age and occupational
groups, and the saving of family units is shown in
Tables 14, 16, and 17.
Use of Government insurance dividends. Many
spending units include former servicemen who received sizable dividends on their national service
life insurance during 1950. Of the spending units
that received a dividend, about one-third either reduced their debts, increased their liquid asset holdings, or paid taxes from the proceeds. Over onehalf reported using the dividend to purchase goods
or services. The remaining spending units in the
group reported both types of use or were not able
to single out any specific use of their dividends. No
information was obtained to indicate the effect of
the dividends upon the use of other funds by the
spending units.
1073
1951 SURVEY OF CONSUMER FINANCES
TABLE
15
DISTRIBUTION OF CONSUMER INCOME AND VARIOUS CONSUMER OUTLAYS, BY INCOME
QUINTILES
[Per cent]
Spending units
ranked by size
of income 1
Money income
before taxes
Disposable
income 8
Selected
durable goods
expenditures *
Other consumer
expenditures 5
1950
1949
1950
1949
1950
1949
1950
1949
1950
1949
44
24
17
11
4
45
23
17
11
4
65
19
10
5
1
68
17
9
5
1
42
24
18
12
4
43
24
17
12
4
42
25
19
10
4
41
23
18
12
6
37
24
19
13
7
38
24
18
13
7
100
100
100
100
100
100
100
100
Highest quintile. . .
Second
Third
Fourth
Lowest quintile
All cases
Federal personal
income tax 2
100
100
Net saving
1950
1949
92
21
3
1
-17
131
21
1
-12
-41
100
100
1
1
Annual money income before taxes.
Estimated Federal personal income tax liability, apart from capital gains and losses.
* Disposable income is defined as money income less estimated Federal personal income tax liability.
Includes automobiles, furniture, radios, television sets, and household appliances such as refrigerators, ranges, washing machines,
and other
miscellaneous appliances. Expenditures are net of trade-in allowances.
1
Covers expenditures for all goods and services not included in selected durable goods (see footnote 4). Includes food, housing,
clothing, medical care, transportation, recreation, education, and State and local taxes, as well as expenditures for durable goods such a3
floor coverings, jewelry, fur coats, and other miscellaneous durable items. These estimates are residual items and are less reliable than the
directly estimated items.
4
TABLE
16
PROPORTION OF POSITIVE, NEGATIVE, AND N E T SAVING ACCOUNTED FOR BY A G E AND OCCUPATIONAL GROUPS
Group characteristic
Age of head of spending unit:
18-24
25-34
35-44
45-54
55-64
.
65 or over
Not ascertained
All cases
Occupation of head of spending unit:
Professional and semiprofessional. .
Managerial and self-employed
Clerical and sales
Skilled and semiskilled
Unskilled and service **.
Farm operator
All other 6
All cases
Positivel
saving
Proportion of population
in specified group
Net
saving J
Negative
saving 2
1950
1949
1948
1950
1949
1948
1950
1949
1948
1950
1949
1948
9
22
22
10
23
22
11
21
22
3
19
28
3
18
27
4
19
28
6
23
23
8
23
29
10
27
24
2
15
32
-4
9
25
33
31
4
2
-3
12
32
18
15
13
1
18
14
12
1
20
15
11
24
19
6
1
100
24
19
8
1
27
16
18
16
18
11
10
1
6
14
100
100
100
100
12
16
8
17
6
20
21
100
100
100
100
6
13
13
30
9
9
20
7
12
13
27
12
10
19
7
12
14
27
14
9
17
9
35
12
21
4
12
7
12
31
10
19
5
15
8
10
31
10
21
6
15
7
9
14
11
21
6
15
24
100
100
100
100
100
100
100
16
13
28
22
38
18
2
1
10
(4)
100
100
100
100
6
17
17
21
7
12
20
9
54
13
20
3
9
-8
12
54
14
21
3
7
-11
15
45
3
21
5
18
-7
100
100
100
100
1
2
Positive saving comprises the saving of all spending units with money incomes in excess of expenditures.
Negative saving comprises the dissaving of all spending units with expenditures in excess of money income.
>
Net saving (plus or minus) is positive saving less negative saving for the combination of all units in each group.
4
Less than one-half of 1 per cent.
5
Farm
laborers were classified in the unskilled category in 1949 and in the "all other" category in 1948 and 1950.
6
Includes farm laborers (for 1948 and 1950 only), students, housewives, protective service workers, retired and unemployed persons,.
and those for whom occupation was not ascertained.
1074
FEDERAL RESERVE
BULLETIN
1951 SURVEY OF CONSUMER FINANCES
TABLE 17
DISTRIBUTION
OF POSITIVE AND NEGATIVE SAVERS ACCORDING TO RELATION
BY INCOME GROUPS OF FAMILY UNITS,
OF SAVING TO INCOME
1950
[Percentage distribution of family units within income groups]
Family income groups 1
Positive and negative savers
Positive savers—total
All
groups
Dissaving as a percentage of income:
1-9
10-24
25 and over
All cases
Number of cases
1
2
8
$1,000$1,999
$2,000$2,999
61
30
4
8
9
17
23
6
31
12
6
33
39
37
12
5
10
11
4
30
Percentage of income saved:
30-49
20-29
10-19
1-9
Under
$1,000
$3,000$3,999
66
$4,000$4,999
51
55
66
3
5
4
2
2
3
4
6
14
5
4
13
24
8
7
13
23
8
7
20
29
8
12
20
24
39
34
11
15
16
13
13
12
12
7
$5,000- $7,500
$7,499 and over
74
86
3
10
11
13
23
23
16
15
23
22
33
26
14
16
13
7
12
8
5
5
2
1
11
5
100
100
100
100
100
100
100
100
3,029
335
397
420
495
399
595
388
Based on 1950 money income before taxes.
No cases reported or less than one-half of 1 per cent.
Family units with expenditures in excess of money income.
APPENDIX
ALTERNATIVE DEFINITION OF SAVING
The definition of saving as income minus consumption is equivalent to the definition of saving
as the change in the net worth (total assets minus
total liabilities) of the spending unit. This formulation of the definition suggests the procedure
used by the Survey of Consumer Finances in computing saving. Thus, saving is obtained as the
sum of changes—apart from capital gains or losses
—in various items which may be described as components of a consumer's balance sheet. The sum
of these changes is, of course, equal to the change
in net worth. Changes during the year in the liquid
asset holdings of the spending unit, in its short- and
long-term indebtedness, in its holdings of corporate
stocks, and in its other assets and liabilities are obtained through the survey interview and combined
to obtain an estimate of the year's saving of the
spending unit.1
When calculating saving from changes in various
a
For a complete listing of the component elements entering the survey's calculation of saving, see Appendix to "The
Distribution of Consumer Saving in 1948," Federal Reserve
BULLETIN, January 1950, pp. 33-34.
SEPTEMBER
1951
assets and liabilities, the question arises as to which
items should be included. Its answer requires decision regarding the appropriate distribution of
outlays between current consumption and saving.
In general, the items in the survey's computation
of saving include only those usually characterized
as financial, i.e., dollar claims by or against the
spending unit. Exceptions arise, however, in the
inclusion of purchases and improvement of real
estate as saving items and the sale of real estate
as a dissaving item. Included as real estate are
homes, which may be characterized as assets directly useful to consumers rather than as sources
of money income or as reserves against emergencies.
Obviously, many other assets owned by consumers share the characteristics of homes in furnishing direct services over an extended period of
time. Therefore, it is not entirely proper to view
the depletion of liquid assets, the assumption of
consumer indebtedness, or the use of income for
the purchase of such items as dissaving items for
the year of purchase without recognition of the
fact that the life and value of the asset will not be
1075
1951 SURVEY OF CONSUMER FINANCES
exhausted in that year. Correct accounting procedure in years following the purchase would include as an expense, i.e., an offset to saving, an
amount equal to the decrease in the value of the
longer-lived assets as the result of their use during
the year.
Any attempt to carry out in detail the procedure
outlined above soon meets with many obstacles.
The items to be included among consumer assets,
the values to be assigned to them, and the rates at
which they are to be depreciated raise many difficult questions. In the calculation of an alternative
saving concept in the 1950 survey, it was found
practicable to take into account only depreciation
on homes, purchases and sales of automobiles, and
depreciation on automobiles purchased during the
year.2 In this survey, depreciation is included for
all cars rather than only cars purchased during the
year. The difficulty of obtaining a fairly complete
list of other durable goods and, to an even greater
extent, the difficulty of valuing them argue against
any attempt to formulate a definition of saving including a longer list of assets. It may also be
argued that automobiles and homes are unique
when compared with other durable goods used by
consumers in that markets for them are much
better organized.
A summary of the adjustments made to obtain
the amount of saving by each spending unit under
the alternative definition follows. Nonfarm home
owners were charged with depreciation equal to
one and one-half per cent of the value they estimated for their homes. No depreciation charge
was made on homes purchased during the year.
Any purchase of an automobile or any sale of one
by a spending unit that bought an automobile during the year was considered as a saving or dissaving entry respectively. The amounts involved
were actual dollar amounts obtained in the interview. Trade-ins were also considered as dissaving
items. Sales of cars by spending units that did not
buy a car during 1950 were not obtained by the
survey and could not be included as a dissaving
entry.
Depreciation on automobiles bought prior to
1950 was considered as 25 per cent of an estimated
end-of-year, value for cars 12 years or less in age.
This procedure was based on the assumption that
a car's value is approximately 10 per cent of its
2
Sec Appendix II, "Distribution of Saving in 1949," Federal Reserve BULLETIN, November 1950, pp. 1453-55.
1076
original cost by the end of 10 years. Estimates
of year-end values were made for four-door sedans
of the next to lowest price line of each make and
model-year. Make and model-year of the car (or
cars) owned by the spending unit were obtained in
the survey interview. Spending units owning a
car for only a portion of a year were charged with
one-half the depreciation charged for a full year's
ownership.
Certain limitations imposed by the use of a
simple, practical procedure are obvious. Nevertheless, the alternative definition of saving is useful
in furnishing a guide to changes in the economic
position of consumers. Obviously, the position of a
consumer who draws down his liquid assets to buy
an automobile has not deteriorated to the same
extent as that of one who has used his liquid assets
to pay for medical expenses. The definition of
saving used in the main body of the article does not
distinguish between these two cases.
Saving, under the alternative definition outlined
above, amounted to approximately 18 billion dollars, or about 4 billion dollars more than the estimate under the standard definition. The inclusion
of amounts paid for automobile purchases as saving
items outweighed the effects of depreciation on
automobiles and nonfarm homes. Concentration
of the amount of saving within the income group
$7,500 or more was somewhat less under the alternative than under the standard definition (see Appendix Table 1). This is the result of greater dispersion of automobile purchases (the dominant element in the adjustments) than of saving under the
standard definition and of greater concentration of
depreciation on houses among the upper income
groups.
APPENDIX TABLE 1
PROPORTION OF N E T SAVING ACCOUNTED FOR BY INCOME
GROUPS UNDER STANDARD AND ALTERNATIVE DEFINITIONS,
1950
Definition
Money income before taxes
Standard
Alternative
Under $1,000
$l,000-$l,999
$2,000-$2.999
$3,000-$3,999
$4,000,$4,999
$5,000-$7,499
$7,500 and over
-16*
C1)
10
15
29
63
-14
-1
3
13
15
29
55
All cases
Amount of saving (in billions)
100
100
$14
$18
1
Less than one-half of 1 per cent.
FEDERAL RESERVE BULLETIN
1951 SURVEY OF CONSUMER FINANCES
APPENDIX TABLE 2
SAVERS WITHIN INCOME AND OCCUPATIONAL GROUPS UNDER
STANDARD AND ALTERNATIVE DEFINITIONS OF SAVING,
1950
[As a percentage of spending units within group]
All positive
savers
Groups of spending units
All spending units
Amounts saved
$1,000 and over
$500-$999
$200-$499
Standard
Alternative
Standard
Alternative
Standard
Alternative
Standard
Alternative
$1-$199
Standard
Alternative
61
62
15
16
12
13
14
15
By income before taxes: 1
Under $1.000
$l,000-$l,999
$2,000-$2,999
$3,000-$3,999
$4,000-$4,999
$5,000-$7,499
$7,500 and over...
34
53
59
67
69
75
87
28
50
61
70
72
81
86
()
2
7
11
20
37
73
()
(
8
12
19
37
74
()
6
12
17
18
19
6
5
17
15
23
16
13
4
27
30
24
19
14
9
2
23
25
25
19
14
7
7
15
16
20
17
10
6
By occupation of head of unit: 3
Professional and semiprofessional
Managerial and self-employed. . .
Clerical and sales
Skilled and semiskilled
Unskilled and service
Farm operator
Retired
65
73
67
65
52
60
45
68
73
72
69
55
62
32
27
39
14
10
7
24
24
38
18
10
7
25
5
13
13
10
17
10
12
2
18
17
11
18
11
11
5
12
10
21
16
12
10
7
14
9
22
19
15
14
3
12
10
22
22
23
16
30
12
9
21
22
22
12
19
6
7
13
16
23
23
1
2
8
Excludes spending units for which income was not ascertained.
No cases reported or less than one-half of 1 per cent.
Excludes spending units for which occupation of head was not ascertained and also spending units headed by housewives, students
unemployed persons, and protective service workers.
APPENDIX TABLE
3
ZERO SAVERS AND DISSAVERS WITHIN INCOME AND OCCUPATIONAL GROUPS UNDER STANDARD AND ALTERNATIVE
OF SAVINGS,
DEFINITIONS
1950
[As a percentage of spending units within group]
All zero
savers
Groups of spending units
Standard
Alter-
All spending units
By income before taxes: 1
Under $1,000
$l,000-$l,999
$2,000-$2,999
$3,000-$3,999
$4,000-$4,999
$5,000-$7,499
$7,500 and over
By occupation of head of unit: 3
Professional and semiprofessional
Managerial and self-employed. . .
Clerical and sales
Skilled and semiskilled
Unskilled and service
Farm operator
Retired
Amounts dissaved
All
dissavers
Standard
Alter-
$l-$99
Standard
$100-$499
Alternative
Standard
32
Alter-
$500 and over
Standard
10
15
30
10
5
1
1
18
5
4
1
1
(
36
37
36
32
30
25
13
54
45
35
29
27
19
14
()
()
2
3
14
6
21
2
2
12
5
11
35
25
31
32
34
34
34
32
26
26
29
33
33
57
7
10
7
6
5
2
1
native
19
16
8
6
7
2
14
20
16
15
13
8
2
18
21
17
13
13
7
5
15
7
13
11
12
15
10
17
8
10
10
7
10
9
6
6
6
7
11
9
13
17
19
11
14
11
11
11
14
17
14
17
17
11
12
11
7
15
16
15
9
9
8
5
14
18
11
5
22
1
2
8
Excludes spending units for which income was not ascertained.
No cases reported or less than one-half of 1 per cent.
Excludes spending units for which occupation of head was not ascertained and also spending units headed by housewives, students,
unemployed persons, and protective service workers.
SEPTEMBER
1951
1077
1951 SURVEY OF CONSUMER FINANCES
The frequency of dissavers among the whole
population was slightly larger under the alternative
definition than under the standard definition. Zero
savers became less frequent as the result of the adjustments in definition. No significant shift was
shown in the frequency of positive savers in the
whole population. The effects, however, were not
uniform throughout all income groups. The adjustments increased the frequency of dissaving very
noticeably in the two lowest income groups but
decreased it or did not affect it significantly in the
$2,000 or more income group. The frequency of
both positive and zero savers in the two lowest
income groups fell off with the change in definition.
At incomes of $2,000 or more, the frequency of
positive savers increased, while that of zero savers
showed little change.
Among occupational groups, the most striking
change was found among the retired, for whom the
frequency of dissaving rose from 34 to 57 per cent
as a result of the change in definition. The high
frequency of home ownership and therefore of
depreciation on houses among the retired group
accounted for this sharp rise. The retired are
the only occupational group for which the frequency of dissaving increased as a result of the
adjustments. In all other occupational groups,
except farm operators, there was a tendency toward
a greater frequency of saving and a lesser frequency of dissaving. It should be noted that depreciation on farms was not included as a dissaving
entry for farm operators since it properly belongs
with farm operating expenses.
CURRENT EVENTS AND ANNOUNCEMENTS
Federal Reserve Meetings
The Federal Advisory Council held a meeting in
Washington on September 16-18, 1951, and met
1078
with the Board of Governors of the Federal Reserve
System on September 18, 1951.
FEDERAL RESERVE BULLETIN
THE CURRENT POSITION OF AGRICULTURE
by
PHILIP T. ALLEN
Moderation in demand for farm products and
prospective increases in supplies—especially of
cotton—have contributed to an easing of prices
received by farmers this spring and summer. In
mid-August the average level of prices received
was 7 per cent below the record reached in February but still about 20 per cent above the level prevailing during the first half of 1950 before the
outbreak of hostilities in Korea. Prices paid by
farmers were up by about three-fifths that amount.
Net incomes of farmers have been maintained at
sharply advanced levels since this spring, as have
incomes in most other major sections of the economy. Farm real estate values have continued tc
rise sharply to new peaks.
Consumer expenditures for foods and prices of
foods have been sustained at record levels since last
winter. Buying of other consumer goods, however, has been below the peak rate reached in the
summer of 1950 and again last winter and also
low relative to the high level of personal incomes.
As a result, large inventories have accumulated
and activity in numerous consumer goods industries has been reduced considerably from earlier
record levels. The effect on total activity of curtailments in consumer goods industries has been
about offset by expansion in business plant and
equipment and in munitions production and, with
wage rates continuing upward, personal incomes
have risen somewhat further.
The sharp expansion in demand for farm products following the Korean outbreak came at a time
when harvests were moderately curtailed and
smaller carryovers of farm commodities were in
prospect. Subsequently, however, the advanced
level of prices, together with other factors, has
encouraged expansion of farm production, and
weather conditions have continued generally favorable this year. Total marketings of livestock
have not yet increased but the number on farms is
being expanded at a rapid rate. Larger crops may
result in some small rebuilding of stocks, and more
adequate stocks would be in keeping with defense
preparations in other sectors of the economy. Improved supply prospects in agriculture and the
moderation in demand have contributed to the deSEPTEMBER
1951
fense effort by making the various inflation control
measures less difficult to administer.
Expansion in foreign demand for farm products
has contributed to the advanced level of prices for
foodstuffs in this country. Exports, however, of
cotton were limited during the 1950-51 season by
Federal quotas designed to maintain domestic
supplies.
The expanding defense effort and the earlier
rapid advance in farm prices led to various Federal
measures to influence agricultural developments,
accompanying actions in other areas. Restrictions
on production were generally removed and a number of other steps were taken to expand output.
Federal price support holdings of a number of
major commodities were released to the market.
Under the general price freeze established in
January ceilings were not applicable to farm products until after the initial sale by farmers. Prices
of meats have remained close to Federal ceilings,
while cotton, oil crops, and some other farm
products are now substantially below ceiling levels
and, with the grains, are close to Federal support
levels. Support levels, currently a more important factor in price developments than last year,
are higher, reflecting the increase in prices paid by
farmers, and Federal holdings of some of these
products may increase this year.
The larger rise in prices received by farmers
than in prices paid and the various other factors
which have resulted in a sharp increase in farmers'
net earnings, together with expectations that these
earnings would be sustained, have contributed to
a near record rate of advance in farm real estate
values during the past year. An increased preference among some buyers for land as a form of
investment was also evident in farm real estate
developments.
High farm incomes and concern over possible
shortages have contributed to a sharp expansion in
demand for farm machinery during the past year.
Larger acreage in crops and shortages of labor have
added to this demand. Enlarged purchases have
been facilitated by a substantial increase in farm
debt. Short-term loans of banks and Production
Credit Associations started to increase rapidly last
1079
THE CURRENT POSITION OF AGRICULTURE
stocks were drawn down. This volume of crop
output would be only 3 per cent less than the 1948
record volume. In that year there was an accumulation of stocks, but since that time the population
has increased by 5 per cent, urban real income has
INCREASED SUPPLIES
risen, and defense needs for reserve stocks and for
Earlier concern over the adequacy of agricultural
current use of certain farm products have grown
supplies lessened this summer as prospects for this
considerably. The decline in total crop output in
year's harvests improved. At the same time, how1950 and the recovery this year have reflected for
ever, crop developments in Western Europe indithe most part changes in cotton production; output
cate a volume of output somewhat below the
of most other crops has continued to show little
postwar high reached last year and world stocks
of crops generally are not large, especially consider- change from the advanced level reached in the
ing the international situation. Livestock produc- 1948 season.
Production of farm crops in the aggregate may
tion in this country has increased, with a further
marked addition to beef cattle herds. This may approximate consumption this year, with an increase
lead to an expansion in marketings later this year in cotton stocks from a low level offsetting declines
or next year. Output of milk and eggs has changed in the fairly substantial carryovers of other comlittle but increased demand has led to a shift in modities. The likelihood of important shortages—
such as occurred last year for cotton—is thus
utilization of available supplies.
Output of all crops this year, as shown in the reduced.
Yields per acre are expected to be 2 per cent
table, is expected to be 10 per cent larger than last
year, when less was produced than consumed and above last year and a third above prewar, as shown
in the table. Acreage planted to crops this year
AGRICULTURAL PRODUCTION IN 1951
has been increased 4 per cent above last year and
the 1935-39 average. Last year Federal acreage
Percentage change from:
restrictions—placed in effect before the increase in
Item
1935-39
1947-49
needs accompanying the turn in international
1950
average
average
events became evident—were an important factor
6
Production—total
46
6
in the reduced output of cotton and grains. This
year acreage restrictions were replaced by Federal
10
Crops
.. .
49
3
goals calling for substantially increased output.
73
21
Cotton
31
13
13
Oil-bearing crops
142
Acreage planted to cotton increased 59 per cent
13
14
Tobacco
58
5
6
Feed grains and hay
85
and exceeded the goal by 3 per cent. Acreage in
4
-17
Wheat
56
-1
1
25
Fruits and vegetables
feed grains, however, was 3 per cent below the goal.
2
43
Livestock and products
7
Higher prices provided a major incentive for
5
-2
Wool ,
-36
expanded crop output. Cotton prices at planting
2 '
44
4
Meat animals
1
68
8
Eggs
time were two-fifths higher than in the correspond18
0
2
Dairy products
ing period of the previous year, and prices of most
Related factors:
other
crops were favorable. For potatoes, where
4
4
2
Acres in crops
2
the Federal support program was dropped and
Yield per acre. .
31
2
1
Milk cows on farms
2
prices were lower, a 20 per cent decline in output is
1
Chickens on farms
15
indicated.
230
30
7
Tractors on farms
-26
-57
-9
Horses and mules on farms.. .
Labor shortages have been reported in many
-8
-4
Farm employment
-16
areas this year as farm workers have taken advanNOTE.—-Data calculated from U. S. Department of Agriculture
tage of enlarged industrial opportunities or have
reports. Production changes refer to output for sale and farm
home use, with estimates for 1951 based on July 1 indications—
been added to the armed forces. The number of
August 1 reports indicated somewhat smaller grain crops. Production totals include some items not shown separately. Cottonseed
agricultural
workers employed this summer was
is grouped with oil-bearing crops.
Acreage and yield relate to planted acres. The number of liveless than a year ago, a significant change in view
stock and tractors on farms is as of January 1—latest changes
relate to Jan, 1, 1951. Farm employment includes family and
of the larger volume of farm output. The high
hired labor; percentage changes for this series are based on data
level of farm machinery production has permitted
for the first half of each year.
autumn and by the end of June were about 30
per cent higher than a year earlier. Farm mortgage debt increased about 8 per cent to a level still
below that prevailing before World War II.
-2
1080
FEDERAL RESERVE BULLETIN
THE CURRENT POSITION OF AGRICULTURE
further marked expansion in the number of tractors
and other equipment on farms.
Grains. It appears that harvests of feed grains
will be a little smaller than last season despite the
removal of acreage allotments and generallyfavorable growing conditions. With feed uses
rising, total consumption will probably again somewhat exceed output. Grain carryovers are large,
however, and are expected to be drawn down only
moderately, as indicated in the chart. Despite
favorable prices for livestock in relation to feed
costs, the increase in livestock production since
the large feed stocks were accumulated in 1948
has been modest, perhaps reflecting earlier doubts
among producers that livestock prices would continue at high levels. Hay production this year is
expected to be 6 per cent above last year and
pasture conditions have been good.
STOCKS OF FARM COMMODITIES
End of Season, in Millions
1946
1948
1950
1952
1948
1950
1952
U. S. Department of Agriculture data with some figures
estimated in part by Federal Reserve. The shaded portions
refer to commodities acquired by the CCC from price support
operations or which were under price support loan.
Wheat has remained in liberal supply even
though production this summer and last was
about one-fifth below the exceptionally high level
in the earlier postwar period. Exports of wheat,
while considerably expanded in the past season,
were 150 million bushels or so below the high rates
in 1947 and in 1948 when world needs were very
large. The winter wheat crop this summer was affected by severe drought in some areas and this
SEPTEMBER
1951
acreage was abandoned, but with a 25 per cent increase in spring wheat indicated, total output will
be about 1 billion bushels and wheat reserves are
likely to remain adequate. A large part of the
abandoned wheat acreage was replanted to sorghum grains for livestock feeding. For this season's
plantings a goal slightly larger than for last season
has recently been announced.
Cotton. Cotton supplies will be much larger this
year than last when the small harvest and expanded
domestic mill activity, notwithstanding a reduced
volume of exports, resulted in a 4.5 million bale
draft on stocks, lowering them to about 2 million
bales. In the season now commencing, an expected
17 million bale harvest added to the carryover will
result in total supplies of around 19.5 million bales.
Exports were limited by quotas during the past
season to 4.2 million bales, as compared with an
average of 5.3 million in the two previous seasons
when exports were not restricted. A near record
domestic mill consumption of 10.5 million bales
during the past season reflected in part an increase
in inventories of cotton goods which led to a
marked reduction in mill activity this summer. If
total disappearance were to equal last year's, there
would be a doubling of carryover stocks in this
country as of August 1, 1952. Probably some increase in stocks will occur abroad.
Livestock and products. One of the most significant developments in the agricultural supply situation this year has been the continuing rapid increase in numbers of beef cattle on farms. It is
estimated by the United States Department of
Agriculture that the increase in all cattle on farms
during 1951 will be 5l/z to 6 million head, with
most of the increase in beef cattle. The probable
number of all cattle on farms on next January 1
would be a new record of around 90 million head,
slightly above the earlier high reached in 1945 and
one-third above the 1935-39 average.
Price incentives to expand cattle herds have been
strong, and these incentives have probably been
accentuated by the withholding of breeding stock.
Total cattle and calf slaughter in the first half of
the year was 8 per cent under last year. Onefifth fewer calves were marketed than in the first
half of last year, even though more calves were
raised this year. The increase in cattle numbers
on farms is the main factor in the greater rise in
total livestock production than in meat slaughter,
as shown in the chart on the following page.
1081
THE CURRENT POSITION OF AGRICULTURE
LIVESTOCK PRODUCTION AND MEAT CONSUMPTION
140
140
120
120
1941
1943
1945
1947
1949
1951
U. S. Department of Agriculture data. Figures for 1951
are partly estimated. Production on farms refers to the live
weight farm production of cattle, sheep, and hogs whether
sold off the farm or held for herd increase. Slaughter figures
are also in live weight. Total output per capita is < slaughter,
on a dressed weight basis, divided by the total population including the armed forces. Civilian use per capita is the amount
consumed by civilians divided by the civilian population.
With cattle and calf slaughter down and with
lamb slaughter also smaller, only a 9 per cent increase in hog slaughter has maintained the total
at the year-ago level. Hog numbers and marketings have increased substantially in recent years
and currently provide a larger share of the total
meat supply.
For 1951 as a whole, meat supplies available to
the civilian population will probably be little larger
on a per capita basis than they were in 1940 and
will be below the level during most of World
War II and the record of 155 pounds in 1947, as
shown on the chart. During most of the war years,
production and slaughter of livestock were at higher
levels than at present and, with consumption by
the smaller civilian population restricted by rationing, large supplies of meat were made available to
the military and for lend-lease. This year there has
been some increase in military takings which,
together with the growth in population, has offset
the small increase expected in slaughter accompanying the rapid buildup of herds. It is estimated
that meat supplies would have been larger by 10
pounds per person if the increase in cattle herds
had been marketed this year.
1082
Milk and eggs. Output of milk and eggs has remained about the same this year as last, but food
market supplies of both have been more adequate
than production figures indicate. There has been
an increase in the proportion of milk marketed in
fluid form accompanying a decline in output of
manufactured products—principally butter. This
was the reverse of the change in 1949-50, when the
declining consumption of fluid milk led to increased
output of manufactured dairy products and to
large Federal purchases of these products under
the price support program. This year Federal
purchases have been negligible and Commodity
Credit Corporation stocks have been sold. The
effect of the smaller supplies of butter—production
was one-sixth lower in the first half of 1951 than in
1950—has been lessened by larger production of
colored oleomargarine, now being sold without
Federal tax. About four-fifths as much oleomargarine as butter was produced in the first half
of this year.
Consumption of eggs increased in 1951 by an
amount almost equal to the 6 per cent of output
that was purchased in dried form for price support in the previous year. Also, cold storage stocks
were not accumulated in the heavy producing season this spring to as large an extent as last year
or earlier years. Numbers of chickens are increasing this summer, with prospects of a somewhat
larger than seasonal increase in tgg output later
this year and next year. Production of broilers
rose substantially this year and for the entire year
chickens will furnish about 30 pounds of meat per
person as compared with 27 in 1950.
Supplies under price support. The Commodity
Credit Corporation reduced its large price support
holdings of farm products by about one-half during the fiscal year ending June 30, 1951, as shown
in the table on page 1083. Sales considerably exceeded direct purchases of commodities and the
acquisition of commodities taken over from price
support loans. In addition, few new price support loans were made in the year and more loans
than usual were redeemed before maturity. As a
consequence of these developments the CCC reduced its price support loans and inventories during the year by 1.8 billion dollars, an amount equal
to about 6 per cent of cash receipts from farm marketings. This was in marked contrast with developments in the previous year, when loans and
FEDERAL RESERVE BULLETIN
T H E CURRENT POSITION OF AGRICULTURE
inventories of the CCC rose by about 1.2 billion
dollars.
PRICE
SUPPORT INVESTMENTS
[In millions of dollars]
Fiscal year 1951
Fiscal year 1950
OutOutstand- Change during year stand- Change
ing on during
ing on
June
June
year
30,
30,
Second First
1950
1951 Total
half
half
Commodity
1,767 - 1 , 7 7 1 - 1 , 1 2 3 -648
Total
3,538
1,166
701
826
1,064
92
256
577
35
19
-7
-1
183
230
86
1
88
-6
45
-1
-125
-67
0
-35
4
0
165
103
0
151
22
-75
-26
1
179
16
17
505
823
-685
-320
-241
- 2 -683
193
-513
- 6 6 -175
Feed grains
excluding corn.
Oil and oilseeds. .
Dry edible beans.
Potatoes
86
87
51
0
-97
-143
-36
-1
-132
-162
-29
0
Dairy products. .
Eggs
Wool
5
40
0
-160
-63
0
154
-25
Cotton
Wheat
Corn
All other
NOTE.—Commodity Credit Corporation data. Investments
refer to the cost value of commodities owned by the CCC under
the price support program, and to all loans on commodities for
price support purposes, including loans held by other lending
agencies and guaranteed by the CCC as well as loans held directly
by the CCC. On June 30, 1951 the CCC had invested 1,716
million dollars in commodity inventories and in direct loans.
The various operations that led to the decline in
CCC price support investments of 1.8 billion dollars
resulted in about 1 billion dollars of receipts by the
CCC. Receipts by the CCC were less than the decline in loans and inventories, partly because selling prices of some products were less than cost and
partly because large repayments were made to
banks that held a part of the price support loans.
Altogether, from mid-1948, when CCC price support activities again became important, until June
30, 1951, Federal price support outlays exceeded
Federal receipts by about 2.3 billion dollars. About
three-fifths of this amount was still invested in
CCC-held loans and inventories at midyear 1951,
while the remainder was represented by realized
losses amounting to 850 million dollars in the
period.
The decline in CCC price support loans and inventories in fiscal year 1951 affected all major commodities. The largest decrease was in cotton
holdings and these stocks were practically exhausted by October 1950. There were also important declines in holdings of corn, wheat, and dairy
products. The decline in some of the holdings
SEPTEMBER
1951
reflected an increased preference of producers to
hold stocks. Although CCC loans and inventories
of wheat, for example, declined by 155 million
bushels, total wheat stocks declined only 30 million
bushels, as is evident in the chart on page 1081. The
availability of the large CCC supplies of various
commodities and their release during the year were
factors in moderating the price rise for farm commodities.
The table gives only a limited view of CCC operations for some perishable commodities such as
potatoes. Potatoes are disposed of soon after acquisition and hence only a small part of total purchases appears as inventory on a given date. Losses
on potato support were 63 million dollars in fiscal
year 1951 compared with 75 million in the previous
year. Losses on sales and donations of dried eggs
and dairy products were also large, and altogether
losses on these three products were about threefourths of the 346 million dollar total realized loss
during the year. Payments of 67 million dollars
on cotton—the amount of receipts in excess of
costs—were made to growers under a pooling arrangement. Support operations are no longer in
effect for potatoes and eggs, and with demand for
milk increased and CCC stocks sold, support operations are currently of small influence in dairy
markets.
Loans on the new wheat crop have been larger
so far this year than in the corresponding period
a year ago, and with cotton prices close to the 90
per cent of parity level, support loans for cotton
are expected to be in larger volume this fall. The
CCC still holds large amounts of grain, however,
and for this reason, if grain carryovers are lowered,
net sales of CCC grain seem likely.
Federal support levels for commodities included
in the program were on the average 10 per cent
higher at midyear than a year ago. A few of the
support levels have been set higher than the minimum provided by statute to encourage larger
output.
RISE IN EXPORTS
Exports of farm commodities from this country
rose in the last half of fiscal year 1951 to a level
not far below the record volume in earlier postwar
years when world food production was smaller and
when foreign aid financing was greater. An important factor in the increase in exports was the
improved gold and dollar position of many foreign
1083
THE CURRENT POSITION OF AGRICULTURE
countries because of larger sales of goods to the
United States following the Korean outbreak.
The physical quantity of agricultural shipments
in the first half of fiscal 1951 had been moderately
reduced so that for the year as a whole exports
were only 4 per cent below the level of fiscal year
1950. This level was 8 per cent below the postwar
1947-49 average, but two-thirds above prewar years,
as shown in the table. Exports are a more important part of agricultural production than they
were before the war and are currently close to
one-tenth of production.
aid, the Administration has requested 2.2 billion
dollars as compared with about 2.8 billion in fiscal
1951, and a House-Senate conference committee is
considering a bill for 1.3 billion. On the other
hand, foreign countries may have less desire to add
further to their gold and dollar assets because of
the 'substantial improvement that has. already
occurred. There are other important considerations
which will influence the course of their reserves
and their imports, such as price prospects, their
current stocks of imported materials, concern over
expansion of hostilities and stockpiling preparations,
and current dollar earnings. Such earnings, which
EXPORTS OF FARM COMMODITIES
had been rising sharply since early in 1950, were
moderately lower in the second quarter of 1951
Fiscal
Fiscal
1947-49 1935-39
year
year
Commodity
than in the preceding quarter, reflecting mainly
average average
1951
1950
a smaller volume of sales to this country.
Physical quantities
The strength in foreign demand for wheat in
(1935-39=100)
fiscal
1951 was indicated by the early fulfilment of
170
175
100
163
Total
.
the
United
States quota under the International
801
100
655
555
Wheat
.. .
269
100
351
327
Other grains
Wheat
Agreement,
four months before the end of
100
78
66
106
Cotton
100
116
115
119
Tobacco
the season, while the year before shipments had
Value
been somewhat less than the quota. Payments by
(In millions of dollars)
the United States on wheat exports in this second
3,649
748
3,409
2,978
Total.
year of the Agreement were 180 million dollars.
1,179
52
729
660
Wheat
420
374
43
509
Other grains
Wheat exports in the year ending June 30, 1951
1,030
649
178
548
Other foods
were 360 million bushels, one-fifth more than in
584
318
941
949
Cotton
the previous year, and exports of other grains, in252
128
Tobacco
274
235
221
191
29
307
All other
cluding grain sorghums, were a fourth larger.
The
larger grain shipments reflected in part reNOTE.—U. S. Department of Agriculture figures. Physical
quantity indexes converted to 1935-39 base by Federal Reserve.
duced
export supplies in other exporting countries.
Value figures shown for 1935-39 are for calendar years. Grain
sorghums are not included in the quantity index of "other grains,"
Under
the India Emergency Food Act of 1951 a
and exports of grain sorghums increased very sharply in 1951.
loan has been approved to aid India in alleviating
Value of farm exports in fiscal year 1951, as is the effect of a severe food shortage, and about
also shown in the table, reached 3.4 billion dollars, 70 million bushels of wheat and other grains are
an increase of 14 per cent from the previous year.
FINANCING OF AGRICULTURAL EXPORTS
With volume not quite as large, the increase reflected the higher level of farm prices. Although
Fiscal year
a substantial portion of exports was again financed
Item
with United States aid, as shown in the table
1951
1950
1949
opposite, large increases in purchases financed
3.0
3.8
by foreign countries more than offset the smaller Value of exports (billions of dollars). . 3.4
Percentage
financed
with:
aid shipments. Even though foreign countries
35
64
Foreign aid
65
Foreign balances
65
36
spent larger sums for purchases of agricultural and
35
other goods, they were able to add substantially to Increase in foreign gold and dollar
3.4
1.9
0.1
their gold and dollar reserves in fiscal 1951, as is holdings (billions of dollars)
also shown in the table.
NOTE.—Value of exports are U. S. Department of Agriculture
Foreign gold and dollar holdings are estimates of
In fiscal year 1952 appropriations for military compilations.
Federal Reserve.
Percentages shown are estimated principally
reports of the Economic Cooperation Administration, and
aid will be greatly expanded and appropriations for from
from information provided by the Department of the Army relating
economic aid will be reduced. For foreign economic to the program of Government and Relief in Occupied Areas.
1084
FEDERAL RESERVE BULLETIN
THE CURRENT POSITION OF AGRICULTURE
scheduled for export to that country during fiscal
1952.
Food production in Western Europe reached a
postwar high last season but is expected to be
somewhat lower in the current season. Imports
from Eastern Europe have continued to be greatly
restricted compared with prewar years. Production
of grain in Argentina and Canada was hampered
by unfavorable weather in the past growing season. Wheat prospects in Canada indicate a record
crop 120 million bushels larger than the previous
harvest. Cotton exports, with quotas lifted, are
expected to increase.
February, while continued for six months, has been
gradual and of a fairly selective nature, as shown
in the chart. By August prices for major crops
were close to Federal support levels, which are up
about 10 per cent from last season reflecting the
advance in the level of the index of prices paid by
farmers. This index, including commodities, interest, taxes, and wage rates, has changed little
since March.
PRICES RECEIVED BY FARMERS
Per Cent
Per Cent
1935-39-100
DEMAND AND PRICE SHIFTS
Reflecting the easing in demand and prospects
of larger harvests, the average level of prices received by farmers in mid-August 1951 was 7 per
cent below the record level reached in February,
but 9 per cent higher than a year earlier and 18
per cent higher than in the month prior to the outbreak of Korean hostilities, as shown in the accompanying table. The decline in prices since
CHANGES IN PRICES OF FARM PRODUCTS AND RELATED ITEMS
Percentage change to
August 1951 from:
Item
Feb. 1951 Aug. 1950 June 1950
Prices received by farmers,
total
Crops
Oil-bearing crops
Fruits and vegetables....
Cotton
Wheat
Tobacco
Corn
Livestock and p r o d u c t s . . . .
Wool
Dairy products
Hogs
Beef cattle
Poultry and eggs
Prices paid by farmers. .
—7
9
18
— 14
2
g
-22
-20
-17
0
16
3
4
8
15
16
6
11
21
-1
15
25
-29
-3
^
0
13
32
15
-2
20
21
37
22
16
23
48
2
10
11
-j
7
8
7
7
11
13
15
15
12
22
Wholesale prices:
All commodities
Farm products
Foods
Other commodities
Textile products
-6
0
-3
-8
Consumer prices:
All items
Foods
1
9
12
Data calculated from U. S. Department of Agriculture and
Bureau of Labor Statistics reports. Wholesale and consumer
prices for August, 1951 are Federal Reserve estimates.
SEPTEMBER
1951
(50
150
1946
1950
1951
U. S. Department of Agriculture data regrouped in part by
Federal Reserve.
Since the beginning of 1951, developments in
agriculture as well as in other parts of the economy
have reflected in part a reaction from the overly
stimulated buying situation which developed last
year, when international tensions were increasing.
The establishment of price and wage controls this
year and the tightening of anti-inflationary measures in the credit field, as supplies of civilian goods
remained large, contributed to the shift in the demand situation.
Consumer demand for food has been sustained
this year and average food prices both in wholesale
and retail markets have been steady at close to the
Federal ceiling levels established at the end of
January. Despite a high and slightly rising level of
incomes, however, consumer buying of most other
goods, including those made from materials origi1085
THE CURRENT POSITION OF AGRICULTURE
nating in agriculture, were at reduced levels during
the spring and early summer. With distributors'
inventories sharply increased by the continued very
high rate of output through the early months of
this year, distributors' demands for nonfood items
were down considerably at midyear. In durable
goods industries the effect of these reductions and
of limitations on the use of materials for consumer
purposes was offset by the very high and rising
rates of expenditures for new business plant and
equipment and for munitions. Also, the generally
high and rising levels of employment in these lines
and in Government supported the demand for
foodstuffs. Since most foods are produced for current consumption, anticipatory buying of these commodities can be done to only a limited extent and
hence shifts in inventory demands have a less
pronounced effect on foods than on nonfood items.
On the other hand, buying of some other farm
products which are used to produce semidurable
goods has been considerably curtailed by the reduction of inventory demands on the part of manufacturers and distributors and to some extent householders. This development has been evident in
the markets for cotton, wool, fats and oils, and
hides and skins, and prices of these materials have
declined substantially this year following a rapid
rise last year.
Textiles and other nonfood materials. The cycle
of excessive buying, subsequent overproduction,
and then curtailment has been most pronounced
in the textile industry, and large changes in raw
cotton supplies last season and in the current season
have been an important factor in accentuating these
developments. Prices of new crop cotton futures
began to decline in March of this year but spot
prices held at the ceiling level of 45 cents per pound
until early July. Spot market prices weakened
slightly at that time and then, after the official
acreage forecast was released on July 8, declined
sharply. By early September prices had reached
34 cents, which was the same as in June of last
year and about 2 cents above the higher Federal
support level for this season. Prices of foreign
cotton had risen considerably more than domestic
cotton prices and have declined very sharply since
it became apparent that larger United States supplies would become available.
Raw wool prices began to rise rapidly in the
first half of last year and by January of this
year had more than doubled. Prices of wool prod1086
ucts were raised to levels which began to encounter
marked buyer resistance by this spring. Subsequently there was a sharp reaction in wool prices
which was related also to revision in Government
stockpiling policies. The decline in prices received
by farmers for raw wool shown in the table on page
1085 has been less marked than central market
quotations for most grades of domestic and foreign
wool, which at the beginning of September were
below year-ago levels. During the past season of
sharply advanced prices of both wool and cotton
fibers, there has been a further shift to the use of
substitute materials.
Strong Government, business, and consumer demands for wool and other textile products resulted
in mill consumption of all fibers during the year
ending June 30, 1951 about one-seventh in excess
of the average level of consumption of other recent
years. Even with important quantities going into
military uses, there was an accumulation of stocks
of textiles at various stages of production and distribution. Buying by distributors was reduced this
spring to limit inventory holdings, and the resulting pressures on producers have been reflected in
a marked curtailment in mill activity. Consumer
buying of apparel during the past season was
smaller than usual in relation to income.
Prices of oil-bearing crops in August were onefifth below earlier peaks and prices of tallow, hides,
and skins also showed sharp declines. As in the
case of cotton and wool, prices of these materials
in foreign producing areas have also declined
sharply. Demand for tobacco has continued active
this year, but with acreage quotas and production
considerably increased, price changes from a year
ago have been moderate and market prices are
close to Federal support levels.
Livestock and products. Marked increases in
consumer incomes were reflected in a sharp rise
in demand for meat which, with little change in
meat supplies, led to sharp advances in meat prices
last year and again in early 1951. Military purchases of meat and other livestock products have
continued to be a relatively small direct market
factor in recent months. This spring and summer,
while incomes have continued to show some increase, meat prices have been steady.
Federal ceilings imposed in January were so set
as not to prevent prices of farm products below
parity from rising to parity (the relation between
prices received by farmers and prices paid exFEDERAL RESERVE BULLETIN
THE CURRENT POSITION OF AGRICULTURE
pressed in terms of a base period). These ceilings
were intended to prevent further increases in prices
of farm products which were above parity. At the
time ceilings were established the average level of
farm prices was 110 per cent of parity, with a number of commodities below 100 and a few important ones—especially cattle and cotton—considerably above.
Prices received by farmers for cattle, not under
direct ceilings, continued to rise, reaching 152 per
cent of parity in April, as compared with 141 per
cent in January. In April a 10 per cent rollback
was announced effective in early June. This rollback, setting maximum prices that packers could
pay for cattle, was designed to reduce cattle prices
to the January level and thus restore more normal
marketing margins. Additional rollbacks scheduled for August and October, totaling 9 per cent,
were to have been applicable to prices of both cattle
and beef. Demand for pork has not increased as
much since the earlier postwar period as demand
for beef and supplies of pork have expanded. As a
result, hog prices in April were about 5 per cent
lower than the 1947-49 average, while cattle prices
were 50 per cent higher. Prices of pork in retail
and wholesale markets were put under ceilings by
the January order, but ceilings were not placed
on prices that packers could pay for hogs. To supplement the price control measures, quotas on
slaughter to allocate live animal shipments among
packers were put in effect.
Since the early part of this year prices of meats
have been unusually stable despite the usual summer seasonal decrease in supply relative to demand.
While price ceilings have influenced developments,
at times prices of certain grades of beef have been
below ceiling levels. Moreover, meat supplies have
been reported as adequate in different sections of the
country, even in the period when cattle marketings
were reduced considerably after the rollback was
put into effect in June. Pork supplies have continued relatively large and prices have been generally close to ceiling levels.
Prices received by farmers for all cattle in August
were only 1 per cent lower than the average in
May and June, when the initial rollback was established. No additional rollbacks were permitted
under the new legislation effective July 1, and
quotas on slaughter were prohibited.
Egg prices this summer have continued at a level
nearly one-half higher than a year ago when prices
SEPTEMBER
1951
were supported, and about equal to the level prevailing in 1948 and 1949. Egg consumption per
person this year has increased considerably even
at the advanced level of prices, probably owing in
part to the relatively high prices of meats. Poultry
prices have increased less than those for other
meats, influenced partly by the large expansion in
broiler production, and in August were only slightly
above year-ago levels.
Prices of dairy products, which earlier were restrained to some extent by large Federal storage
stocks, rose at the end of 1950 and have declined
less than seasonally since that time.
Other food crops. Grain prices have declined
somewhat this spring and current levels for both
wheat and corn are at about Federal support levels.
Before the Korean outbreak corn prices were moderately below support levels. The influence of the
general rise in prices since early 1950 has been
greater on corn than on wheat prices, partly because the increases in livestock prices and production have expanded the demand for corn for feeding purposes. Prices of corn and other feed grains
in this period are still relatively low as compared
with livestock prices.
The 20 per cent decline since February in average prices of fruits and vegetables, shown in the
table on page 1085, reflects in part reactions from
the unusually high seasonal peaks reached when
supplies were curtailed by unfavorable weather.
Prices of these products in August were little higher
than a year ago.
While farm prices have declined since February,
marketing charges for most products have risen
further. The post-Korean period as a whole, however, has been characterized by a relatively sharper
rise in prices at the farm level than at later stages
of distribution. By June 1951 farm prices of foods
had advanced 17 per cent from June 1950, while
retail food prices had risen 11 per cent and marketing charges 5 per cent.
FINANCIAL DEVELOPMENTS
There has been a further marked improvement
in the financial position of farmers in the past year
notwithstanding a considerable rise in their shortterm debts.
Income. Farm income showed a considerably
more than seasonal increase during the second half
of 1950. In the first half of 1951 net incomes of
farm operators were one-third larger than in the
1087
THE CURRENT POSITION OF AGRICULTURE
FARM FINANCIAL SERIES
TAGE DEBl
of Dollar
\Billio is
u
SH
Ri
DEBT/
.
'
liars/
-
1944
1947
1950 1941
1944 1947
1950
1941
Based largely on U. S. Department of Agriculture data.
Latest figures plotted refer to mid-1951. Income figures are
estimates of farm proprietors' income adjusted for seasonal
changes as published by U. S. Department of Commerce. These
data are shown for quarterly periods and expressed at annual
rates. Real estate values relate to March 1, July 1, and November 1 dates. Short-term debt is estimated total outstandings held
by institutions and individuals. These data are semi-annual
figures, estimated in part by Federal Reserve, adjusted for
seasonal variation by Federal Reserve. Mortgage debt is the
amount outstanding on January 1 of each year, and for 1951
an estimate is shown for June 30.
first half of 1950 and were at a seasonally adjusted annual rate of about 16 billion dollars, as
shown in the chart. While prices received by
farmers in this period exceeded the earlier record
level in 1948, costs had increased more so that net
incomes were not quite up to the previous record.
During the first half of this year the increase in
income has been mainly from sales of livestock
and products but the total volume of marketings
is now increasing more than seasonally, reflecting
mainly the larger crop harvests. In cotton, even
though price declines have been marked, the increased output will yield at least one-fourth more
cash receipts than last season.
Real estate values. The sharply advanced levels
of farmers' returns since mid-1950, together with
recurring indications of inflation and shortages,
have resulted in marked changes in farm assets
and debt. The average value of farm land and
buildings was reported by the United States Department of Agriculture to have risen 18 per cent during the 12 months ending in July of this year.
1088
This was an extremely rapid increase, exceeded
only by the 21 per cent advance at the close
of World War I, from March 1919 to March 1920.
The rise of 5 per cent from March to July, when
seasonal differences are considered, may be as
significant as the 8 per cent rise during the winter
months. The most recent rise, occurring when
farm product prices were declining moderately
from the February peak, apparently reflected optimism about income prospects in relation to land
values and a continued desire by many people
to invest in real estate.
Increases in farm real estate values in the past
year have been widespread, as is shown in the
table on page 1089. Except in the New England
and New York areas the increases were one-sixth or
more. The level of values on the average is now
about two and one-half times the 1935-39 average,
and 20 per cent above the peak reached after
World War I.
Short-term debt. Most of the expansion in total
farm debt since the end of World War II has been
in short-term debt, which at midyear was one and
one-fourth times larger than at the beginning of
1946, as shown in the chart. The sharp upturn
in short-term debt in the early postwar years reflected rapidly rising prices of farm commodities
and increasing costs of production, together with
large deferred demands for farm machinery and
equipment as well as the ready availability of
credit.
Expenditures for new machinery and equipment,
above repairs and current operating expenses, have
averaged 2 billion dollars annually since 1947, a
very large amount, equal to about one-sixth of
annual net cash farm income. After being curtailed
for a time in 1949-50 expenditures rose sharply
again in the latter part of 1950, and, with backlog
demands largely filled, the rise reflected in part
fears of future shortages. This active demand for
farm machinery carried over into 1951, although
in recent months there has been some falling off
in sales.
In the second half of 1950 short-term agricultural loans at Federal Reserve member banks,
which usually decline seasonally, increased 5 per
cent. Loans of the Federally sponsored Production Credit Associations declined substantially less
than seasonally in this period, reflecting a sharp
upturn in new loans made in relation to only moderately larger repayments. In the first half of
FEDERAL RESERVE BULLETIN
THE CURRENT POSITION OF AGRICULTURE
1951, member bank debt increased 20 per cent and
PC A debt, subject to much sharper seasonal
fluctuations, increased 50 per cent. Total shortterm debt, including estimated noninstitutional
debt, as shown in the chart, rose 21 per cent in the
year ending in June 1951.
Short-term loans to farmers by banks and the
PCA's have shown similar regional changes during
the last 12 months, indicating that the underlying
forces were more or less alike and that the two
lender groups responded similarly to these forces.
The sharpest expansion in short-term outstanding
debt, as shown in the table, has occurred in Federal
Reserve Districts with large livestock feeding enterprises and in areas where expansion in cotton
acreage has been greatest. Prices of feeder and
stocker cattle, a fourth to a third above a year ago
FARM
REAL ESTATE VALUES
AND S H O R T - T E R M
DEBTS
[Percentage changes by Federal Reserve Districts]
Real estate values
Short-term debt
Increase to
June 30, 1951
from:
Increase to
June 30, 1951 from
June 30, 1950
Federal Reserve
District
June 30, 1935-39
1950
average
United States
Boston
New York
Philadelphia
Cleveland
Richmond
Atlanta
Chicago
St. Louis
Minneapolis
Kansas City
Dallas
San Francisco
Member
banks
Production
Credit
Associations
18
144
31
29
4
10
16
20
18
16
18
20
17
18
22
16
58
95
113
181
175
166
165
192
132
160
142
100
4
13
18
20
15
18
27
26
28
36
45
39
2
8
9
19
17
20
29
29
31
44
44
35
Based on U. S. Department of Agriculture and Federal Reserve
data.
SEPTEMBER
1951
this spring, materially added to operating capital
requirements, and total cotton acreage was expanded by three-fifths. In most areas increased
purchases of higher priced farm machinery added
to borrowings. Increases in debt in the eastern
third of the country were quite moderate.
A Voluntary Credit Restraint Program designed
to curb nonessential borrowing was inaugurated
this spring. This program in agricultural lending
has been applicable to commercial banks and to
the Federally sponsored farm loan agencies.
Mortgage debt. Mortgage debt of farmers, also
shown on the chart, has expanded moderately
further during the past year. This has reflected
the relatively small number of farm properties
being offered for sale and sold as well as the large
proportion of transfers for all cash or with large
down payments. The possession of large liquid
assets by farmers purchasing farms was a factor in
moderating the growth in mortgage debt. Nonfarmers purchased farms to a larger extent in the
past year and a large proportion of these purchases
were entirely for cash. These changes in mortgage
debt in the last year and also since 1940 have been
in marked contrast to the short-term farm debt
development.
As a result of the sharp rise in short-term debt
and the small expansion in mortgage debt since
1945, total debt is now about equally divided between the two. This change in credit requirements reflects in part the growing importance of
non-real-estate capital investment on farms in relation to investment in land and in part the improved financial position of farmers. Financial
changes that occurred in 1950 are discussed in detail in "The Balance Sheet and Current Financial
Trends of Agriculture" beginning on the following
page of this BULLETIN.
1089
THE BALANCE SHEET AND CURRENT FINANCIAL TRENDS
OF AGRICULTURE, 19511
The major factual portions of the seventh in a
series of annual reports on the financial condition
of agriculture, issued by the United States Department of Agriculture, are given below.2 The full
report, including analysis of current financial trends
in agriculture, will be published as an Agriculture
Information Bulletin of the Department of Agriculture.
The study was prepared under the direction of
Norman J. Wall, Head of Division of Agricultural
Finance, Bureau of Agricultural Economics, by
F. L. Garloc\, A. S. Tostlebe, R. J. Burroughs,
H. T. Lingard, L. A. Jones, and M. E. Wallace,
Data relating to the inventories of real estate,
livestock, crops, machinery, and household equipment were prepared under the direction of the following persons: Real estate—M. M. Regan, W. H.
Scofield; livestock—A. V. Nordquist; crops—C. E.
Bur\head, T. J. Kuzel\a, J. J. Morgan, John A.
Hic\s; machinery—E. W. Grove, Margaret F. Cannon; household equipment—Barbara B. Reagan.
Data relating to farm income and expenditures
were compiled under the direction of E. W. Grove.
THE BALANCE SHEET IN GENERAL
Physical assets of American agriculture increased
15 per cent in current valuation during 1950, but
only 2 per cent in terms of 1940 prices. Financial
assets increased only 2 per cent in current valuation; and the buying power of the "monetary"
portion of those assets (deposits, currency, and
United States savings bonds) for purposes other
than debt-payment went down 9 per cent. Total
indebtedness, aside from Commodity Credit loans,
increased 13 per cent. As a result of these changes,
the current value of proprietors' equities, including
those of both operators and nonoperating landlords,
increased 14 per cent during 1950.
(Table 1). Although this was higher than ever
before and 13 per cent above a year earlier, the
increase in total assets amounted to but 2 per cent,
if the physical assets are estimated at 1940 prices
(Table 2).
The largest percentage increase in financial assets
was a 9 per cent rise in investments in cooperatives.
The much larger items of deposits, currency, and
United States savings bonds increased only 1 per
cent, and their buying power (except for debt-payment last January) was at the lowest level since
1944 and 24 per cent or nearly one-fourth below
the peak in 1946.
ASSETS
THE BALANCE SHEET
OF AGRICULTURE
Total assets of American agriculture, as estimated
in the annual Balance Sheet of Agriculture, were
valued at 143 billion dollars on January 1, 1951
*This is the seventh of a series of annual reports which
arc designed to carry forward the comparative balance sheet
of agriculture since 1940. Each balance sheet is as of January 1 of its year.
The balance sheet views agriculture as though it were one
large enterprise. It is an aggregate of individual series concerning farm assets and the claims to those assets. In effect
it is comparable to a consolidated balance sheet of farm
firms. It is not, however, a balance sheet of farm operators,
nor of people living on farms, nor of landlords. Rather it
covers all the interests of all groups in farming as well as
financial assets of people living on farms.
In a country so vast and diversified as ours, financial
changes are never entirely uniform, either for geographic
areas or for individuals, so that even when the balance sheet
accurately reflects the aggregate, it does not reveal the differences in circumstances that are found in different States
and regions and among individual farmers.
1090
ASSETS
CLAIMS
$ BIL."
- EE3Owners' equities
E3 Other debt
1940
2
For earlier reports in this series, see the Federal Reserve
BULLETIN for September 1946, pp. 974-94; November 1947,
pp. 1357-72; September 1948, pp. 1067-82; September 1949,
pp. 1053-63; and September 1950, pp. 1118-31.
FEDERAL RESERVE BULLETIN
THE BALANCE SHEET AND CURRENT FINANCIAL TRENDS OF AGRICULTURE, 1951
TABLE 1
COMPARATIVE BALANCE SHEET OF AGRICULTURE, UNITED STATES, JANUARY 1, SELECTED YEARS, 1940-51 *
[Dollar amounts in millions]
Item
1940
1945
1946
1950
1949
1951
Net change
(per cent)
1940-51 1950-51
ASSETS
Physical assets:
Real estate
Non- real-estate:
Livestock
Machinery and motor vehicles3
Crops stored on and off farms
Household furnishings and equipment 4 ..
Financial assets:
Deposits and currency
United States savings bonds
Investments in cooperatives
Total
+116
+241
+398
+204
+68
14,400
+269
5,307 +2,131
•2,179
+164
+14
+33
+9
+2
+10
+1
+1
+9
+165
+13
$33,642
$46,389
$52,114
$65,168
$63,527
$72,650
5 133
3,118
2,645
4,275
9,012
6,114
6,396
4,232
9,742
26,072
6,030
4,415
14,657
2 11,706
8,417
6,000
2 13,184
214,271
2 7,837
6,500
17,517
15,517
8,030
7,175
3,900
249
826
10,800
3,714
21,167
13,500
4,498
2 1,307
14,800
5,025
21,818
14,300
5,250
2 1,995
$53,788
2$87,824
$6,586
$4,933
$4,682
$5,108
2$5,407
$5,828
-12
+8
1,504
1,622
1,671
2,714
2,838
3,372
+ 124
+19
445
1,500
683
1,100
277
1,200
1,152
2,200
1,719
2,400
806
2,800
+81
+87
+17
2$97,678 2$127,591 2$126,864
$142,775
CLAIMS
Liabilities:
Real estate debt
Non-real-estate debt:
To principal institutions:
Excluding loans held or guaranteed
by Commodity Credit Corporation.
Loans held or guaranteed by Commodity Credit Corporation
To others 6
Total liabilities
Proprietors' equities
Total
-53
2$12,364
$12,806
+28
+4
$43,753
2 $ 79,486
2
$114,500
$129,969
+197
+14
$53,788
2$87,824
2$97,678 2$127,591 2$126,864
$142,775
+165
+13
$10,035
$7,830
$8,338
$89,848
$11,174
2
$116,4l7
2
1
11
The margin of error of the estimates varies with the items.
Revised.
»Includes all crops held on farms for whatever purpose and crops held in bonded warehouses as security for Commodity Credit CorLion
loans. The latter on Jan. 1, 1951 totaled 306 million dollars.
porat1
Estimated valuation for 1940 plus purchases minus depreciation since then.
Preliminary.
Tentative. Includes individuals, merchants, dealers, and other miscellaneous lenders.
Much of the increase in current valuation of
assets during 1950 was caused by rising prices of
real estate, livestock, and other physical assets.
Most of the increase in prices occurred in the second
half of the year in response to factors associated
with the Korean hostilities. In current prices, the
valuation of farm real estate on January 1 this year
was up about 9 billion dollars or 14 per cent from
a year earlier. The aggregate current values of
other physical assets increased 15 per cent.
Physical changes. Physical farm plant including
inventories (measured in constant 1940 prices)
became larger during 1950 because of an increase in the number of livestock and the quantities
of machinery, vehicles, and household items (Table
2). Real estate is believed to have changed little in
physical quantity during 1950. Crops in storage
that were owned by farmers decreased about 9 per
cent during the year. More livestock was on farms
on January 1, 1951 than a year earlier, but the
amount was considerably less than during World
War II.
SEPTEMBER
1951
The quantity of machinery and motor vehicles
on farms increased 11 per cent during 1950. Since
1940 the quantity of this item has more than
doubled, an increase greater than that of any other
physical asset of the Balance Sheet.
Horses and mules as sources of power have been
largely superseded by tractors and trucks. On
January 1, 1951, the value of tractors on farms was
almost nine times, and the value of trucks was
four times, that of work animals. This transition
to mechanical power has brought a decided increase
in the capacity of farmers to produce food and fiber
for human consumption. Output per man-hour
has been increased. Moreover, land formerly used
to produce feed for work animals has been released
for crops for human consumption. This, together
with the adaptability of machinery to continuous
high-speed operation during rush periods, has contributed to the greater output of these crops. On
the other hand, greater mechanization makes farmers more dependent on the rest of the economy than
they once were. Their operations now can be im1091
THE BALANCE SHEET AND CURRENT FINANCIAL TRENDS OF AGRICULTURE, 1951
TABLE 2
BALANCE S H E E T OF AGRICULTURE W I T H PHYSICAL ASSETS VALUED AT 1940
PRICES, JANUARY 1, SELECTED YEARS, 1940-51
[Dollar amounts in millions]
Item
1940
1945
Net change
(per cent)
1946
1950
1951
1940-51 1950-51
ASSETS
Physical assets (1940 prices):
Real estate
Non-real-estate:
Livestock
Machinery and motor vehicles
Crops stored on and off farms
Household furnishings and equipment 3 .
Financial assets (actual value):
Deposits and currency
United States savings bonds
Investments in cooperatives
Total
$33,642
i$33,642
i$33,642
i$33,642
i$33,642
5,133
3,118
2,645
4,275
5,606
4,101
3,144
4,232
5,402
4,182
2,910
4,415
4,835
2 5,956
3,436
6,000
24,875
26,653
3,340
6,500
10,800
3,714
1,167
13,500
4,498
2 1,307
14,800
5,025
21,818
$69,856
2$75,512
3,900
249
826
2
2
1
$33,642
0
5,017
7,406
3,056
7,175
-2
+138
2$76,555
$78,182
+45
14,300
5,250
1,995
2
-f-16
+68
+269
14,400
5,307 +2,031
42,179
+164
$53,788
2$66,406
$6,586
$4,933
$4,682
$5,108
2$5,407
$5,828
-12
1,504
1,622
1,671
445
1,500
43,753
683
1,100
2 58,068
0
-9
+10
+1
+2
CLAIMS
Liabilities (outstanding amount):
Real estate debt
Non-real-estate debt:
To principal institutions:
Excluding loans held or guaranteed
by Commodity Credit Corporation
Loans held or guaranteed by Commodity Credit Corporation
To others
Equities (residual balance)
Total
$53,788
2
$66,406
2
2,714
2,838
3,372
1,152
2,200
264,338
1,719
2,400
2 64,191
806
2,800
65,376
+124
+81
+87
+49
+19
277
1,200
2 62,026
$69,856
2$75,512
$76,555
$78,182
+45
+2
2
-53
+17
+2
11940 valuation of farm land and buildings. This figure does not reflect net physical improvements in farm buildings, or net depletion 2of productivity of agricultural lands.
Revised.
*4 Not deflated. Estimated valuation for 1940 plus purchases minus depreciation.
Preliminary.
paired by shortages of motor fuel, machines, and
parts. Besides, more costs of production require
cash outlays than when farmers were more largely
self-sufficient.
Financial assets. The financial assets of farmers
rose slightly during 1950. Cash balances increased
slightly, partly because farmers increased their borrowing. Accrued interest on United States savings
bonds raised the value of farmers' holdings of these
assets and investments in fanners' cooperative associations increased.
In terms of real purchasing power, the over-all
cash position of farm people was somewhat less
favorable at the beginning of 1951 than it was a
year earlier. Prices paid by farmers for commodities used in production and in farm homes advanced about 10 per cent during 1950. But deposits and currency and United States savings
bonds held by farm people increased only 1 per
cent. Consequently, their quick assets, totaling
19.7 billion dollars on January 1, 1951, would have
bought only 91 per cent as many goods then as
they would have bought a year earlier, when
similar assets were valued at 19.5 billion dollars.
1092
The index that measures the purchasing power of
these assets in terms of commodities declined from
242 (1940=100) on January 1, 1950 to 221 on
January 1, 1951.
CLAIMS
The distribution of the claims to the assets of
agriculture, which amounted to 143 billion dollars
on January 1, 1951, shifted somewhat during 1950
in favor of the proprietors. Claims (or equities)
of proprietors, including landlords not living on
their farms as well as owner- and tenant-operators,
increased by more than 15 billion dollars, or 14
per cent. The claims of creditors, which from the
point of view of farmers and landlords are debts,
increased less than half a billion dollars, or 4 per
cent. The equities of proprietors were 91 per cent
and debts were 9 per cent of total claims on January
1, 1951 compared with 90 per cent and 10 per cent,
respectively, a year earlier.
Liabilities. Although farm-mortgage debt increased 8 per cent and non-real-estate debt, not including CCC loans, increased 18 per cent, total
liabilities increased only 4 per cent because of the
FEDERAL RESERVE BULLETIN
THE BALANCE SHEET AND CURRENT FINANCIAL TRENDS OF AGRICULTURE, 1951
sharp reduction in the nonrecourse price support
loans made or guaranteed by the Commodity Credit
Corporation. As market prices of many crops were
above support prices, most farmers moved their
products directly to market rather than to storage.
As a result, both the volume of support loans and
the inventories of the Commodity Credit Corporation were reduced.
Total mortgage and non-real-estate debt, not including loans made or guaranteed by the Commodity Credit Corporation, increased 13 per cent
during 1950. The total on January 1, 1951 was
12.0 billion dollars compared with 7.6 billion on
January 1, 1946 and 9.6 billion on January 1, 1940.
During and following World War II, total nonreal-estate debt gained in importance over mortgage
debt. In 1940, non-real-estate debt was only 34
per cent of all debt but by 1951 it was 54 per cent.
In the meantime, non-real-estate physical assets,
which often are financed with non-real-estate credit,
increased from 31 per cent to 40 per cent of all
physical assets. The increase from January 1, 1940
to January 1, 1951 in the value of non-real-estate
physical assets was 33 billion dollars, while the increase in non-real-estate debt was less than 4 billion
dollars. It appears that the sharp increase in nonreal-estate debt is well protected by assets, but only
meager information is available concerning the
relation of debt to assets on individual farms.
A number of shifts since 1940 in the geographic
distribution of farm debt are reflected by the loans
of those lenders for which regional data are available. During 1950, while the loans of such lenders
throughout the United States (not including CCC
loans or miscellaneous non-real-estate debt but including mortgage debt) increased 11.6 per cent,
those in the Northeast increased only 6.1 per cent.
In contrast, such loans in the Mountain region increased 16.6 per cent.
AGRICULTURAL INCOME
Agricultural income is the most important single
influence on the Balance Sheet of Agriculture. Current income affects the ability of farmers to improve
their farms and to accumulate liquid reserves. Prospective income afTects the valuations of earning
assets.
Prices received by farmers for all crops and livestock averaged 3 per cent higher in 1950 than in
1949, but production for sale and home consumption was about 2 per cent lower (Table 3).
However, cash receipts from farm marketing were
2.7 per cent higher in 1950 than in the year before.
Government payments, though 53 per cent higher
in 1950 than in 1949, were far below levels prior
to 1949. Expenses reached an all-time high.
SEPTEMBER
1951
TABLE 3
VOLUME OF AGRICULTURAL PRODUCTION FOR SALE AND FOR
CONSUMPTION IN FARM HOMES AND PRICES RECEIVED BY
FARMERS, UNITED STATES, 1940-50
[Indexes 1935-39=100]
All commodities
Livestock and
products
Crops
Year
1940..
1941..
1942..
1943..
1944..
1945..
1946..
1947..
1948..
1949..
1950..
Production
Prices
Production
110
113
124
129
137
134
137
136
138
1
141
138
93
115
148
179
183
193
219
257
266
233
239
107
110
121
114
128
122
135
135
152
1
147
135
Prices
Production
Prices
92
109
145
187
200
205
229
266
255
225
234
112
115
127
139
143
141
138
137
130
i 137
140
94
119
149
172
170
183
210
250
273
237
242
i Revised.
INFLUENCE OF THE GENERAL ECONOMIC SITUATION
The changes that occurred in the items of
the Agricultural Balance Sheet during 1950 were
chiefly responses to an almost uninterrupted rise in
the prices of farm products that carried the index of
prices received by farmers from 235 (1910-14=100)
for January 1950 to 300 a year later, an increase of
27.7 per cent. During the same period the percentage of parity received by farmers rose from 95
to 110, or 15.8 per cent. The prospects for higher
net farm income, combined with fear that goods
needed by farmers might become less plentiful and
higher priced, gave rise to an increase in the value
of farm real estate and encouraged farmers to add
to their inventories of machinery, livestock, and
household furnishings. These expansionary developments were accompanied by an increase in farm
debts and in the equities of proprietors.
The increases both in prices received by farmers
and in the percentage of parity received by farmers
were small during the first half of 1950. During
these months a moderate but steady recovery
throughout the economy proceeded under the stimulus of expanding business outlays and rising consumer expenditures. Government purchases of
goods and services and net foreign investment declined during the first half of 1950.
The Korean outbreak late in June greatly accelerated the rate of spending by both private and
public buyers. After June much of the spending by
consumers and business firms was anticipatory and
speculative—induced by fears of shortages and restrictions, and by a belief that sharp increases in
prices were at hand. At first Federal expenditures
1093
THE BALANCE SHEET AND CURRENT FINANCIAL TRENDS OF AGRICULTURE, 1951
were not greatly affected by the Korean outbreak, duction was rising, but it accelerated sharply the
but in the fourth quarter of 1950 they rose sharply rise in prices. From January to June 1950 wholefrom an annual rate of 21.2 to 27.3 billion dollars, sale prices rose at the rate of about eight-tenths of
or 29 per cent. Meanwhile the expenditures of 1 per cent a month, but from June 1950 to JanuState and local governments resumed a slow but ary 1951 they rose, on average, about 2 per cent a
persistent expansion which had been temporarily month. Prices received by farmers rose at the rate
interrupted in the second quarter.
"of 1 per cent a month from January to June 1950.
The upsurge in spending after June brought no But from June 1950 to January 1951 they rose at
marked change in the rate at which industrial pro- the rate of nearly 3 per cent a month.
THE BALANCE SHEET IN DETAIL
The foregoing pages have provided a summary
analysis of the balance sheet in general terms, an
account of the income position of agriculture, and
an analysis of the influence of the general economic
situation on the financial status of farmers. In
what follows, each item of the balance sheet is
treated in detail.
ASSETS
The assets fall into two general classes: (1) Physical assets, both real estate and tangible personalty,
and (2) financial assets, which include cash, bank
deposits, United States savings bonds, and farmers'
investments in cooperative associations.
Farm real estate. The 9.1-billion-dollar increase
in farm real estate values was the chief factor in the
expansion in the assets of United States agriculture
during 1950. The total value of farm real estate at
the beginning of 1951—72.6 billion dollars—was
the largest on record.
As the physical amount and condition of farm
land and buildings change slowly, the increase in
value was primarily due to the rise in prices. On
March 1, 1951, the index of average value per acre
of farm real estate was 193 (1912-14=100). This
was 14 per cent higher than that of a year earlier
and 9 per cent above the previous peak, reached in
November 1948. Although land prices rose slightly
in early 1950, the upward movement did not become strong until the period of general inflation
which followed the Korean outbreak.
Land values increased during 1950 in all States
except Maine, as shown in the map. The 5 per
cent decline in that State was probably caused
mainly by the withdrawal of price supports from
potatoes, its most important cash crop. Increases
of 17 to 20 per cent in land values occurred in the
Corn Belt States, and in Nebraska, Wyoming,
Oklahoma, Texas, Arizona, and Florida. The favorable livestock situation has contributed to higher
land values in all of these States, although in Florida
the strong demand for citrus fruit has probably been
more influential. The removal of cotton acreage
allotments has stimulated land values in the Southwest, particularly for irrigated land. In the South-
1094
east demand apparently is relatively stronger for
farms suitable for pasture and timber than for
land suitable for row crops.
The rise in land values has been accompanied by
a slight increase in the number of farm transfers.
Apparently the number of prospective buyers increased during 1950. The rate of transfers per
thousand farms increased from 37.1 during 1949 to
CHANGES IN DOLLAR VALUE
OF FARM LAND*
Percentages, Mar. 1950 to Mar. 1951
39.4 during 1950. But activity in farm real estate
was substantially lower than in 1946, when the rate
of transfers was 57.7 per thousand. The number
of foreclosures and forced sales of farms continued
in 1950 at 1.5 per 1,000 farms, or about the same
as has prevailed for the last several years.
In March 1951, farm real estate values for the
United States as a whole were 133 per cent above
those preceding World War II (1935-39 average).
Thirty States had increases of 100 per cent or more
during that period. In Kentucky, Indiana, and
Arkansas real estate values rose more than 200 per
cent. The Northeast region had the smallest increase in land values. The two States with the
smallest increases over prewar years are Massachusetts and Maine, with increases of 46 and 37 per
cent, respectively.
By July 1951, land values were 5 per cent higher
than in March. This brought the index of averFEDERAL RESERVE BULLETIN
THE BALANCE SHEET AND CURRENT FINANCIAL TRENDS OF AGRICULTURE, 1951
age value per acre to 202 (1912-14=100), 17 per
cent higher than on July 1, 1950.
Livestock on farms. The value of livestock and
poultry on farms was nearly 18 billion dollars on
January 1, 1951, approximately a third more than
a year earlier (Table 4). Of the balance sheet
items, only the value of real estate exceeded this
amount. There were more cattle, hogs, and sheep
on farms but fewer horses, mules, chickens, and
turkeys. The values per head of all livestock except horses and mules were higher on January 1,
1951 than they were a year earlier.
Cattle on January 1, 1951 were valued at 13 billion dollars, or 36 per cent more than on January
1, 1950. Their value at the beginning of 1951 was
about three-fourths of the value of all livestock.
The average value per head of all cattle on January
1, 1951 was {160, or $37 more than their value last
year. The average value of milk cows was $218.
These were the highest values per animal that
cattle have ever attained. The total number of
cattle increased 5 per cent during the year, to 84
million. This was 7 per cent above the average for
1940-49 but 2 per cent below the record number in
1945. Milk cows were valued in excess of 5 billion dollars; they accounted for 40 per cent of the
value, and about 29 per cent of the number, of all
cattle.
On January 1, 1951 the number of cattle being
fattened on grain exceeded all previous records.
It was 5 per cent higher than the number in January 1950.
The aggregate value of hogs on farms was more
than 2 billion dollars as 1951 began, nearly a third
more than at the beginning of 1950. Hogs ranked
next to cattle in value and constituted an eighth
of the value of all livestock and poultry. The average value of hogs at the beginning of 1951 was
$33.20. This was 23 per cent higher than last year
but 22 per cent lower than in early 1948. There
were about 65 million hogs on farms at the beginning of 1951. This was 7 per cent more than the
number a year earlier and 4 per cent above the
1940-49 average, but 22 per cent below the alltime peak reached in 1944. The uptrend in hog
production stems from strong demand for pork and
from abundant supplies of feed.
Sheep on farms were valued at 828 million dollars at the beginning of the year. This increase of
51 per cent in inventory valuation within a year
exceeded that of any other class of farm animals.
The average value per sheep was $26.28, an alltime record, and 47 per cent above the value for
the previous year. The number of sheep increased
762,000, or 2 per cent, reversing the decline that
had lasted for eight years. The number of sheep
on January 1, 1951—31.5 million—remained far
below the 56 million of 1942.
The values of chickens and turkeys on farms likewise were higher at the beginning of this year than
they were last year. As numbers decreased, higher
values per head were solely responsible for the increase in the aggregate value. Not counting commercial broilers, about 467 million chickens remained on farms on January 1, 1951—more than
3 to each person in the United States.
As in other recent years, a decrease occurred in
the inventory value of horses and mules on farms.
Both numbers and values per head declined as a
consequence of the substitution of mechanical for
animal power.
Machinery and mctor vehicles on farms. Machinery and motor vehicles on farms on January 1, 1951
were valued at 15.5 billion dollars compared with
14.3 billion at the beginning of 1950 (Table 5). This
increase resulted partly from higher prices but
TABLE 4
LIVESTOCK AND POULTRY ON FARMS, U N I T E D STATES, JANUARY 1, SELECTED YEARS, 1940-51
[Number in thousands and value in millions of dollars]
1940
1945
1949
1946
1950 1
1951
Class
Cattle
» Milk cows
Hogs
Horses
IVTules
All sheep *
Stock sheep
Chickens
Turkeys
Number
Value
Number
Value
Number
Value
Number
Value
Number
Value
Number
68,309
24,940
61,165
10,444
4,034
52,107
46,266
438,288
8,569
2,770
1,428
476
808
467
329
294
265
18
85,573
27,770
59,331
8,715
3,235
46,520
39,609
516,497
7,203
5,722
2,761
1,224
565
434
399
335
626
42
82,434
26,695
61,301
8,053
3,010
42,436
35,599
530,203
8,493
6,280
2,994
1,468
462
401
411
341
671
49
78,298 10,552
24,416 4,716
57,128 2,184
5,898
309
2,348
274
31,654
544
27,651
470
448,676
746
5,540
48
80,052
24,573
60,502
5,274
2,149
30,743
27,099
480,834
5,986
9,848
4,342
1,641
241
214
548
482
655
37
84,179 13,441
24,579 5,368
65,028 2,162
4,763
207
1,990
163
31,505
828
28,065
740
466,686
678
5,975
38
9,742
14,657
13,184
17,517
Total
1
2
5,133
9,012
Value
Revised.
Also includes sheep and lambs on feed for market.
SEPTEMBER
1951
1095
THE BALANCE SHEET AND CURRENT FINANCIAL TRENDS OF AGRICULTURE, 19 $1
mainly from the exceptionally large quantity of
motor vehicles and farm machinery that farmers
bought in 1950.
TABLE 5
VALUE OF FARM MACHINERY AND MOTOR VEHICLES, UNITED
STATES, JANUARY 1, 1940-51
[In millions of dollars]
Year
Total i
Tractors
Automobiles
Motortrucks
Other farm
machinery
1940
1941.
1942.
1943.
1944.
1945.
1946.
1947.
1948.
1949.
3.118
23.572
2 4,394
25,277
25,657
6,114
26,072
26,732
2 8,862
211,706
501
557
720
880
871
1,014
2
1,069
2
1,233
2 1,729
2 2,346
900
967
1,125
1,126
1,055
887
718
880
1,283
1,763
301
340
426
581
672
701
644
2
710
2 930
M.182
2,062
2 2,621
2 2,984
3,432
3,562
3,831
4,838
6,334
1950.
1951.
2 14,271
15,517
2 2,929
3,164
* 2,301
2,784
2 1,392
1,485
27,577
8,016
1,358
2
1,650
2
1
Also includes harness and saddlery.
2 Revised.
During 1950, the value of automobiles on farms
increased about 21 per cent; motor-trucks, 7 per
cent; tractors, 8 per cent; and other farm machinery, 6 per cent.
Purchases during the year were the largest on
record, amounting to 4.2 billion dollars compared
with 3.8 billion in 1949. Purchases of farm machinery amounted to 1.7 billion dollars; of automobiles, 1.1 billion; of tractors, 1.0 billion; and of
motor-trucks, 441 million.
The phenomenal rate at which farms have been
mechanized during and following World War II
is reflected by Table 2. The year-to-year percentage increase in the value (at 1940 prices) of
motor vehicles and machinery on farms from 1940
to 1951 has been as follows:
Year
1940
1941
1942
1943
1944
1945
Percentage
increase
7.1
11.0
7.2
-0.3
3.5
2.0
Year
1946
1947
1948
1949
1950
Percentage
increase
8.2
15.0'
14.5
11.7
11.3
The increase in physical quantity over the entire
period was 138 per cent as compared with an increase of nearly 400 per cent in the value in current
dollars. Gains in productive power and efficiency
of the American farmer that have resulted from
this increased mechanization, though large, cannot
be specifically isolated from gains such as those
from improved seed, improved livestock, more soil
1096
conservation practices, and better management.
During World War II gains in production per
worker on farms matched, and* in postwar years
have exceeded, gains per worker in manufacturing
and mining. The increasing investment in agricultural equipment, therefore, has more than financial implications; it has profoundly affected physical
production.
Crops stored on farms. The quantity of crops
remaining on farms at the end of any year is often
only a small part of the quantity produced during
the year. Truck crops move to consumers or to
canneries or freezers as soon as they are produced.
Most fruits are placed in off-farm storage shortly
after harvest. Other crops such as cotton, tobacco,
oil crops, and some of the grains have moved
chiefly to mills and processors, or are in market
channels by the end of the year. For the more
important crops held on January 1, the physical
stocks on farms at the beginning of 1951 as a
proportion of amounts produced during 1950
ranged from 9 per cent for cotton to more than
75 per cent for the feed grains.
The value of all crops stored on farms, including
those sealed under Commodity Credit Corporation
loans, totaled 7.7 billion dollars on January 1, 1951.
This was about 900 million dollars, or 14 per cent,
more than a year earlier. Higher prices accounted
for the increased value, as the physical quantity of
crop inventories declined about 1 per cent during
this period.
In view of the large numbers of livestock on
farms in early 1951, the stocks of feed and forage
are of special interest. Farm stocks of these crops
(corn, oats, barley, sorghum grain, hay, corn silage
and forage, and sorghum silage and forage) were
valued at 6.1 billion dollars on January 1, 1951;
they constituted four-fifths of the value of all crops
held on farms. The value of these feed and forage
stocks held on farms was about 800 million dollars
greater than that on January 1, 1950. The physical
quantities, however, as measured by valuations at
constant prices, decreased 1 per cent. Nevertheless,
they continued near record levels. During 1950
the quantity of hay and forage stocks on farms
increased 5 per cent; oats, barley, and grain
sorghums as a group increased 14 per cent. Farm
stocks of corn, the major feed grain, were 10 per
cent lower at the beginning of 1951 than they were
a year earlier.
Total stocks of feed grains on January 1, 1951,
both privately and Government owned, including
farm stocks, and stocks in terminal markets, interior mills, elevators and warehouses, were at a
record high for that time of year. These stocks
amounted to 0.55 tons per animal unit to be fed.
FEDERAL RESERVE BULLETIN
THE BALANCE SHEET AND CURRENT FINANCIAL TRENDS OF AGRICULTURE, 1951
This was slightly below the record level of 0.58
tons per unit available at the beginning of both
1949 and 1950. Total hay supplies were 1.02 tons
per roughage-consuming animal unit, the largest
supply per unit in the 14 years of record.
The value of food grains (wheat, rye, buckwheat,
and rice) stored on farms at the beginning of
1951 was 697 million dollars, or about 7 per cent
higher than that of a year earlier. The aggregate
physical quantity increased 3 per cent. Price increases were 4 per cent for wheat, 9 per cent for
rye, 20 per cent for buckwheat, and 18 per cent
for rice. The part of the food crops that remains
on farms at the end of the year is smaller than that
for feed grains. Food grains on farms January 1,
1951 amounted to only about 30 per cent of production during 1950. The larger part had moved
to mills, elevators, and warehouses.
Total wheat stocks, both on farm and off farm,
amounted to about 1 billion bushels on January 1,
1951. This is larger than the January stocks
for any other year since 1943. These large stocks
resulted from continued heavy production and
lower exports in 1949 and 1950.
Farm inventories of oil crops, valued at 397 million dollars at the beginning of 1951, were 61 per
cent higher than were these stocks held a year
earlier. The quantity of soybeans, the major oil
crop held on farms, was 58 per cent greater; the
1950 crop matured late and the movement to
mills was slow. Farm stocks of flaxseed, peanuts,
and cottonseed were smaller at the end than at the
beginning of 1950. Compared with January 1,
1950, prices of oil crops were higher on January 1,
1951, ranging from 2 per cent for flaxseed, 9 per
cent for peanuts, 29 per cent for soybeans, and
136 per cent for cottonseed.
Irish potatoes constituted the bulk of vegetables
still on farms January 1, 1951. Although there
were 10 million more bushels than a year earlier,
farm stocks were valued at only 117 million dollars, or 57 million less than those on January 1,
1950. Between these two dates the market price
of potatoes declined 37 per cent. The elimination
of price supports on potatoes in 1951 has reduced
the acreage this year.
The value of tobacco stocks on farms decreased
only about 4 million dollars. Stocks of cotton on
farms on January 1, 1951 were worth 176 million
dollars compared with 227 million a year earlier.
Physical quantities were almost 50 per cent lower.
Cotton prices were 52 per cent higher at the beginning of 1951 than at the beginning of 1950
because of the small crop in 1950 and because of
the greatly increased demand in 1951.
Crops owned by farmers and stored off farms under
CCC loan. Considerable quantities of crops owned
by farmers are stored of? farms. Estimates, however, are available only for those crops which were
pledged to the Commodity Credit Corporation as
security for loans under the price support program.
On January 1, 1951 the value of crops stored
off farms under CCC loan was 306 million dollars,
or less than a third of the value in off-farm storage
at the beginning of 1950 (Table 6). The physical
quantity of these crops in 1951 is indicated to be
only 32 per cent of the 1950 quantity. The reduction in commodities under CCC loan has resulted
primarily from substantially improved prices during 1950. Cotton loans, which bulked large in past
TABLE 6
CROPS OWNED BY FARMERS AND STORED OFF FARMS UNDER CCC LOAN, UNITED STATES, JANUARY 1, 1950 AND 1951
[Quantity in thousands of units and value in thousands of dollars]
1950
Commodity
Quantity
Cotton 2
Corn
Wheat
Dry beans
Dry peas
Sorghum grain
Barlev
Soybeans
Flaxseed
Oats
Rice
Rye
Bales
Bushel
do.
Hundredweight
do.
do.
Bushel
do.
do.
do.
Hundredweight
Bushel
2,136
125,573
226,192
3,826
121
9.308
10,888
3,118
5,064
3,324
912
239
Value i
310,145
173,414
449,292
26,205
376
19,868
12,031
6,649
18,933
4
2,323
3,942
4 301
"1,023,479
Total
1
2
3
4
1951
Unit
Quantity
5
141
118,717
983
0
16,135
11,476
3,342
214
700
120
373
Value i
1,024
204
240,996
7,471
0
30,679
13,656
9.023
768
594
638
511
305,564
Market value or loan value, whichever is higher.
Excludes loans made to cooperatives whether or not individual cotton producers have right of redemption.
Bales of 500 pounds gross weight.
Revised.
SEPTEMBER
1951
1097
THE BALANCE SHEET AND CURRENT FINANCIAL TRENDS OF AGRICULTURE, 1951
years, were reduced to insignificant amounts. Wheat
accounted for four-fifths of the value of all ofl-farm
crops under CCC loan on January 1, 1951 but it
was not much more than half of the amount a
year earlier. Because of increased production,
larger quantities of barley and sorghum grain were
placed under CCC loan in 1950 than the year
before, but the quantities pledged were small compared with the amount of wheat under loan.
Household furnishings and equipment. The value
of household furnishings and equipment on farms
on January 1, 1951 is estimated to have been 7.2
billion dollars. The value of this inventory item
increased by approximately 10 per cent from the
6.5 billion of January 1, 1950. Sales of furniture
and equipment to farmers continued at a high
level during 1950 despite the fact that prices were
higher than in the year before.
Bank deposits, currency, and United States savings
bonds. Farmers appear to have increased their
liquid financial reserves during 1950. The combined amount of bank deposits, currency, and
United States savings bonds owned by farmers is
estimated to have increased about 200 million dollars in 1950 (Table 7). This increase—about 1 per
cent—reversed the decline of the preceding two
years, during each of which the liquid financial
reserves of farmers dropped about 300 million
dollars.
Demand deposits and the value of United States
savings bonds owned by farmers appear to have
increased during 1950. Currency held by farmers
is estimated to have decreased slightly and time
deposits to have remained at about the same level
as a year earlier.
Deposits. Data compiled by the Federal Reserve
Banks on the ownership of demand deposits show
an increase in farmer-owned demand deposits of
2.7 per cent during the year ended January 31,
1951. This compares with increases of 7.0 and 7.4
per cent respectively for demand deposits owned
by other individuals and nonfmancial businesses.
The demand deposits owned by these latter groups
increased in all of the Federal Reserve districts
but farmer-owned demand deposits increased in
only seven of the twelve districts. No annual surveys are made of the ownership of time deposits,
but it is believed that those of farmers held steady
as there was little change during 1950 in the time
deposits of banks located in agricultural counties.
Combined demand and time deposits of all individuals, partnerships, and corporations increased
substantially during 1950 in all regions. When
broken down by type of county, as in Table 8,
the data indicate that the total deposits of farmers
increased less than did those of others. In counties
that contain major trade and financial centers the
increase was 7.7 per cent during 1950. For counties
that contain secondary trade and financial centers
it was 7.5 per cent. These increases are much
greater than the 4.6 per cent increase in all counties
that contain smaller trading centers or the 2.8
per cent increase that occurred in 618 primarily
TABLE 8
PERCENTAGE INCREASE IN TOTAL DEPOSITS OF INDIVIDUALS,
PARTNERSHIPS, AND CORPORATIONS IN INSURED
COMMERCIAL
BANKS, BY REGION AND CLASS OF COUNTY, 1950
x
[Per cent]
Class of county
TABLE 7
Region
LIQUID
FINANCIAL
ASSETS
OWNED
BY FARMERS,
UNITED
All
counties
STATES, JANUARY 1, 1940-51
[In billions of dollars]
Deposits
Year
Total
Currency
Demand J
1940
1941
1942.
1943
1944
4.7
5 8
8.1
11.0
1945
1946.
1947. . . .
1948
1949
14.5
18 0
19.4
20.1
19.8
1950
1951
19 5
19.7
4.1
1 .0
1.1
1 5
2.0
2.7
3.3
4 0
1.5
Time
1.4
3.8
3.8
3 8
5 2
3.8
5.3
1.5
1.6
1.8
2.0
2.5
3.3
3 7
5.0
62
7 3
7.6
7.2
6 8
3.6
7.0
3.9
3.8
0.2
0.4
0.5
1.1
2.3
3 7
4 5
4.5
4.8
5.0
1.7
22
3.2
4.0
4.0
United
States
savings2
bonds
3.6
1
Federal Reserve estimates, adjusted to a January 1 basis, are
used for the period 1944-51.
2
Redemption value.
1098
Northeast
Appalachian..
Southeast....
Lake States. .
Corn Belt.. . .
Delta States..
Great Plains..
Texas-Oklahoma.
Mountain
Pacific
United States..
Selected
agriSecondary trade Smaller cultural
and
and
trading4
counties **
financial center
financial
center 2 center 3
Major
trade
7.1
6.4
7.1
9.3
7.4
6.6
5.5
3.8
11 .8
11.1
18.8
6
10.0
6
()
5.8
9.2
10.4
10.2
5.7
()
5.8
7.5
6.5
9.4
8.7
8.2
4.3
6.8
7.7
7.5
7.3
8.1
(6)
(6)
3.9
4.9
8.3
2.3
3.9
4.9
2.3
8.3
6.5
5.7
1.2
2.1
5.0
-0.2
2.7
5.9
1.4
6.1
4.1
5.5
4.6
2.8
1
Data supplied by Federal Deposit Insurance Corporation.
All counties that had total deposits of 1 billion dollars or more
on June 30, 1948; also the District of Columbia and the independent
city of St. Louis, Mo.
3
All counties that had total deposits of 100 million to 1 billion
dollars on June 30, 1948.
4
All other counties of the United States, including selected
agricultural counties.
6
618 of the counties that had total deposits of less than 100
million dollars on June 30, 1948.
6
No county in this region had 1 billion dollars of deposits on
June 30, 1948.
2
FEDERAL RESERVE BULLETIN
THE BALANCE SHEET AND CURRENT FINANCIAL TRENDS OF AGRICULTURE, 1951
agricultural counties. The greater percentage increase of deposits in counties that contain the
larger cities, in which business and urban individual accounts predominate, is reflected by data
for all major regions except the Pacific.
It may appear surprising that farmers increased
their deposit balances during 1950 in view of the
increase in farm expenditures, particularly after
the Korean outbreak. The main explanation is
that farmers greatly increased their borrowing during 1950. Excluding price support loans guaranteed by the Commodity Credit Corporation, the
increase in agricultural loans, including farmmortgage loans, was nearly 1.4 billion dollars.
This large expansion of loans helped farmers to
finance rising costs, make large expenditures for
livestock and capital equipment, and, at the same
time, increase their working balances at banks.
Savings bonds. During 1950 purchases of United
States savings bonds by farmers declined to the
lowest level since prewar, and redemptions of
savings bonds for farmers rose to the highest level
since 1946. In fact 1950 was the first year since
1946 in which farmers cashed a larger amount of
savings bonds than they bought. For the Series A
through E, redemptions exceeded purchases in all
regions except the Great Plains. The redemption
value of all United States savings bonds owned
by farmers, however, continued to increase during
1950 as interest accruals more than offset the
excess of redemptions over purchases.
The drop in purchases and the increase in redemptions of savings bonds by farmers during 1950
doubtless resulted from higher farm costs and
increased purchases of farm and household equipment. Some of the buying was of goods that were
expected to become scarce or higher priced as a
result of the Korean situation and the defense
program.
Longer run trends. During the war, net farm income rose far above prewar levels but supplies of
automobiles, trucks, tractors, machinery, and building materials were restricted and farmers saved a
considerable part of their incomes for future use.
They also made large payments on their debts.
From January 1, 1942 to January 1, 1946, the liquid
financial reserves of farmers increased 12.2 billion
dollars; farm debts (excluding price support loans)
were reduced about 2.3 billion dollars.
The decline in net farm income following 1947
tightened the cash position of farmers, particularly
as many continued to make heavy investments in
their farms. Although the liquid financial reserves of farmers during this period declined only
0.4 billion dollars, farm debts increased 3.0 billion
dollars. About 1.4 billion dollars of the increase in
SEPTEMBER
1951
debt occurred in 1950, a year in which farmers
slightly increased their liquid financial reserves.
Net worth of farmers' cooperatives. Closely associated with the farm business are the thousands of
farmers' cooperatives scattered throughout the
United States. The financial interest of farmers in
their associations represents an investment that
greatly facilitates the production and marketing
of agricultural products and the maintenance of
the farm plant. During the period for which estimates have been made the net worth of farm cooperatives has been steadily growing. For January 1951, the net worth of these associations has
been estimated at 2.2 billion dollars. This is 9 per
cent more than the net worth of a year earlier and
164 per cent above the level of January 1, 1940.
Among the cooperatives having the greatest
growth during recent years are the marketing and
purchasing associations, the production credit associations, and farmers' mutual fire insurance companies. The net worth of marketing and purchasing associations, which amounts to more than half
the net worth of all farm cooperatives, increased
273 per cent between 1940 and 1951. This increase has been associated with higher prices for
products marketed and supplies sold, increased inventories, new facilities, and additional service
rendered. The production credit system and
farmers' mutual fire insurance companies experienced increases in net worths of 335 per cent and
231 per cent respectively, between 1940 and 1951.
The increased surplus and reserves of the insurance
companies have resulted largely from increased
membership, higher valuations of insured buildings,
and relatively low fire losses. The large increase
in the loan volume and the relatively small losses
of production credit associations are primarily responsible for their higher net worth.
CLAIMS
Claims on agricultural assets are of two general
classes: (1) liabilities, which are divided into real
estate and non-real-estate debt; and (2) equities,
which represent the value of the residual rights in
agricultural assets belonging to the proprietors—
owner-operators, tenants, and landlords. Included
among these proprietors are individuals, financial
institutions and other corporations, and Federal,
State, and local government agencies.
Farm real estate debt. Loans secured by mortgages on farm real estate in the United States increased again during 1950. The total amount of
these loans outstanding on January 1, 1951 was a
little more than 5.8 billion dollars—the largest
beginning-of-the-year total since 1943 (Table 9).
The increase during 1950 amounted to 7.8 per cent,
1099
THE BALANCE SHEET AND CURRENT FINANCIAL TRENDS OF AGRICULTURE, 1951
TABLE 9
FARM-MORTGAGE DEBT HELD BY PRINCIPAL LENDER GROUPS, UNITED STATES> JANUARY 13 1940-51
WITH PERCENTAGE CHANGE, 1940-51 AND 1950-51
[Dollar amounts in thousands]
Year
1940...
1941...
1942...
1943...
1944...
1945...
1946...
1947...
1948...
1949...
1950...
1951...
Total
debt outstanding
Federal
Land
Banks1
$6,586,399
6,491,435
6,372,277
5,950,975
5,389,080
4,932,942
4,681,720
4,777,355
4,881,744
5,108,183
45,407,310
5,827,586
$2,009,820
1,957,184
1,880,784
1,718,240
1,452,886
1,209,676
1,078,952
976,748
888,933
868,156
906,077
947,431
Federal Farm Farmers Home
Mortgage
Adminis-3
traction
Corporation J 2
$713,290
685,149
634,885
543,895
429,751
347,307
239,365
146,621
107,066
77,920
58,650
44,008
$31,927
65,294
114,533
157,463
171,763
193,377
181,861
189,300
195,069
188,893
188,855
214,047
Insured
commercial
banks
Individuals
and miscellaneous
$984,290
1,016,479
1,063,166
1,042,939
986,661
933,723
884,312
890,161
936,730
1,035,719
1,172,157
1,340,705
$534,170
543,408
535,212
476,676
448,433
449,582
507,298
683,229
793,476
847,841
4
879,416
943,387
$2,312,902
2,223,921
2,143,697
2,011,762
1,899,586
1,799,277
1,789,932
1,891,296
1,960,470
2,089,654
2,202,155
2,338,008
36.2
14.4
76.6
Life
insurance
companies *
PERCENTAGE CHANGE
1940-51
1950-51
-11.5
-52.9
7.8
4.6
-93.8
-25.0
570.4
13.3
7.3
11
6.2
12 Includes purchase-money mortgages and sales contracts.
3 Loans were made for Corporation by Land Bank Commissioner. Authority to make new loans expired July 1, 1947.
Data for 1940-41 refer to tenant-purchase loans only. Thereafter data include farm-development (special real estate) loans, beginning 1942; farm-enlargement loans, beginning 1944; project-liquidation loans, beginning 1945; and farm-housing loans, beginning 1951.
Data4 also include similar loans from State Corporation trust funds.
Revised by Bureau of Agricultural Economics.
compared with an increase of 5.9 per cent for 1949
and 4.6 per cent for 1948.
The increase in farm-mortgage debt during 1950
apparently stemmed for the most part from an increase in new borrowings. The dollar volume of
farm-mortgage recordings has been at a relatively
high level since 1946, but in 1950 it was 18 per cent
above 1949 and 15 per cent above the 1946-49
average.
Farm-mortgage releases, which had been declining in recent years, also increased somewhat
in 1950. This increase probably came about through
the renewal or expansion of existing mortgages,
or through the refinancing of them by other lenders.
The sizable increase in the dollar amount of
farm-mortgage recordings during 1950 represented
a 10 per cent increase in average size and a 7 per
cent increase in number of mortgages recorded.
The increase in average size reflects largely the
sharp increase in farm real estate values. Unlike
that in other years, most of the expansion in loan
size in 1950 occurred during the last half of the
year, when a large part of the rise in land values
took place. The average size of farm mortgages
recorded by all lenders increased from $4,280 in
1949 to $4,700 in 1950, or 10 per cent, but for the
last half of 1950 the increase over the same period
in 1949 was 18 per cent. However, the ratio of
debt to the purchase price of credit-financed sales
was slightly lower in 1950 than in other recent
years.
1100
The increase in the number of mortgages recorded during 1950 over that of 1949 was somewhat greater during the first half of the year than
during the latter half—8.8 compared with 4.9 per
cent. A 6 per cent increase in the number of
voluntary farm transfers, which usually occur in
greater numbers during the first half of the year,
undoubtedly was an important contributory factor.
Of the total farm sales made in 1950, 54 per cent
were credit-financed—a slightly smaller proportion than in either of the two preceding years.
It is likely that some farmers have borrowed on
real estate mortgages to finance improvements and
purchases of equipment. Others probably have
refinanced non-real-estate loans previously obtained
for these purposes. Non-real-estate loans have
more than doubled since 1946, and some farmers
probably found it necessary to refinance some loans
of this character on a long-term basis.
The sharpest percentage increases in farm-mortgage debt during 1950 occurred in the Mountain
and Southeastern States, where they amounted to
13.6 and 11.5 per cent, respectively. Both of these
regions have shown sharp gains in debt in other
recent years. The smallest increases were registered
in the Northeastern and Pacific regions. In the
former the increase approximated 4 per cent, and
in the latter 6 per cent. On a State basis, increases
ranged from 2 per cent in Pennsylvania to about
23 per cent in Florida; 14 States had increases of
10 per cent or more.
FEDERAL RESERVE BULLETIN
THE BALANCE SHEET AND CURRENT FINANCIAL TRENDS OF AGRICULTURE, 1951
Farm-mortgage loans outstanding on January
1, 1951, were approximately 25 per cent greater
than at the beginning of 1946, when the lowest
level in more than three decades was reached. Since
1946, increases of 50 per cent or more have taken
place in the Mountain, Southeastern, and Delta
States. Only in the Great Plains was the debt
on January 1, 1951, below the 1946 level. In spite
of recent sharp increases in most regions, total
farm-mortgage debt at the beginning of 1951 was
still about 12 per cent below that of January 1,
1940. In the Great Plains it was 45 per cent lower
and in the Corn Belt 30 per cent lower. On the
other hand, in the Southeastern, Delta, and Mountain States total mortgage debt exceeded that of
1940 by 27 per cent or more.
Lenders have increased their mortgage holdings
in varying proportions. The largest percentage gain
was reported by life insurance companies. Their
holdings were about a seventh larger at the beginning of 1951 than a year earlier, and they constituted 23 per cent of the total farm-mortgage
debt (Table 9). Insurance companies made substantially more new loans in 1950 than in 1949,
and increased the average size of their loans as well.
Banks expanded their farm-mortgage holdings
somewhat more in 1950 than they did during 1949.
An increase in both number and average size of
new mortgage loans caused farm-mortgage investments of banks to rise approximately 7 per cent
during 1950. On January 1, 1951 these investments
represented 16 per cent of the total farm real estate
debt.
Individuals and miscellaneous lenders, who hold
the largest part of all outstanding farm-mortgage
loans (40 per cent in 1951), increased their loans
6 per cent during 1950. The number of mortgages
recorded by individuals in 1950 was smaller than
in 1949, but the average size was aopreciably larger.
The Federal Land Banks, which are the largest
holders of farm mortgages among the Federally
sponsored agencies, held 5 per cent more in loans
at the beginning of 1951 than they did a year
earlier. This increase was slightly greater than that
of 1949, when the total loans of the Land Banks
rose for the first time in more than a decade. These
Banks also made more new loans in 1950 than in
1949 and the loans averaged slightly larger in
amount. Loans held by the Federal Farm Mortgage Corporation dropped another 25 per cent as
the Corporation proceeded with the liquidation of
its loans. This agency has made no new loans
since July 1, 1947. The Federal Land Banks and
the Corporation together held about a sixth of all
farm-mortgage loans on January 1, 1951.
The Farmers Home Administration increased
SEPTEMBER 1951
substantially its mortgage holdings in 1950. The
13 per cent gain, however, can be attributed to
farm-housing loans, as the outstanding balances of
its farm-ownership loans actually declined. During
the year about the same amount of funds was available for helping farmers to become owners as for
helping them to acquire better housing, but the
amount of new farm-ownership loans was more
than offset by repayments of existing loans. Loans
of other lenders that are insured by this agency
(included in the loan data for the respective lenders)
showed another sharp increase in 1950 and totaled
more than 29 million dollars at the beginning of
1951 compared with nearly 17 million a year earlier.
Interest charges payable on outstanding farm
mortgages during 1950 amounted to 262 million
dollars, or 8 per cent more than in 1949. Nearly
all of the increase in interest charges was the
result of the increase in farm-mortgage debt. Interest rates on outstanding loans rose onlv slightly
and averaged 4.7 per cent on January 1, 1951, compared with 4.6 per cent at the beginning of each
of the years 1946-50. Expressed on a per-acre
basis (all land in farms), interest charges for 1950
averaged 22.9 cents. The index of interest charges
per acre rose from 76 (1910-14=100) for 1949
to 82 for 1950.
Non-real-estate debt. On January 1, 1951 the
non-real-estate debt of farmers, excluding price
support loans made or guaranteed by the Commodity Credit Corporation, reached more than
6 billion dollars (Table 10). This was 18 per cent
higher than a year earlier and 115 per cent above
January 1, 1946.
The rise in non-real-estate debt during 1950 is a
resumption of the rapid rate of expansion that
TABLE
FARMERS'
NON-REAL-ESTATE
10
DEBT,
UNITED
STATES
JANUARY 1, 1940-51
[In billions of dollars]
Year
1940
1941
1942
1943
1944
1945
1946
1947
1948
1949
1950.
1951
1
Total
3.4
3.9
4.1
4.0
3.5
3.4
3.2
3.6
4.2
6.1
6.9
7.0
~ "
Price support
loans made or Other loans
banks and
guaranteed by byFederally
Commodity
sponsored
Credit Coragencies
poration
0.4
0.6
0.6
0.8
0.6
0.7
0.3
0.1
0.1
1.2
1.7
0.8
1.5
1.6
1.8
1.7
1.7
1.6
1 .7
2.0
2 3
2.7
2.8
3.4
Loans and
book credits
by miscellaneous
lenders J
1.5
1.7
1 .7
1.5
1.2
1.1
1.2
1.5
1 .8
2.2
2.4
2.8
Tentative estimates based on fragmentary data.
1101
THE BALANCE SHEET AND CURRENT FINANCIAL TRENDS OF AGRICULTURE, 1951
prevailed from the end of the war to 1949, when a
marked slackening in the rate of increase occurred.
By 1949, farmers had completed many of the more
necessary postwar capital replacements and additions, and the downturn in agricultural prices was
causing both borrowers and lenders to be cautious
in the use and extension of credit. These forces,
tending to restrain the expansion of credit, continued into 1950. Following the Korean outbreak,
however, the use of non-real-estate credit increased
rapidly. New factors introduced by the hostilities
were expectations of higher prices and shortages
of the things farmers buy, and a belief by many
people that farming would become more profitable.
The result was the use of large amounts of credit
for buying, beyond current needs, goods for both
production and consumption. Also, farm costs
rose further. In the Midwest another factor was
the heavy purchases of feeder cattle that were
made partly because of the fear in the early fall
that much of the 1950 corn crop might be soft
and unmarketable.
Data from Production Credit Associations indicate that the non-real-estate credit expansion that
began in the summer of 1950 resulted more from
the increase in the amount borrowed per farmer
than from an increase in the number of farmers
using credit. The number of PCA loans made
during the latter half of 1950 was about 5 per cent
greater than the number made during the latter
half of 1949, but the average size of loans made
increased 18 per cent between these two periods.
The number of PCA loans outstanding at the end
of 1950 was less than 1 per cent above a year
earlier, but the average size of loans outstanding
was 16 per cent higher.
Non-real-estate debt of farmers (not including
CCC loans) falls into two general classes: The debt
to banks and the Federally sponsored lenders; and
the debt to the miscellaneous lenders such as merchants, dealers, individuals, and finance companies.
Only the data from banks and the Federally sponsored lenders are available on a State basis to show
area variations.
For the year 1950, the non-real-estate farm loans
of these principal institutional lenders—banks and
Federally sponsored agencies—increased 18.8 per
cent for the United States as a whole. A credit
expansion occurred in all States except Vermont,
North Dakota, and Arkansas, where slight decreases of 1.8 per cent, 0.7 per cent, and 0.9 per
cent, respectively, occurred. Increases of 25 per
cent or more were shown in a solid block of States
—Illinois, Iowa, Missouri, Nebraska, Kansas, Oklahoma, and Colorado. Most of these States had substantial increases in the number of cattle on feed
1102
during 1950. The Delta States and the Southeast
had the smallest increases during 1950—5 per cent
and 6 per cent, respectively.
Three-fourths of the non-real-estate debt that
farmers owed to the principal institutional lenders
was owed to banks, as shown in the chart. This
NON-REAL-ESTATE FARM LOANS
Held by Banks and Federally Sponsored Agencies *
BIL. DOLLARS
1910
1920
1930
1940
1950
debt to banks increased 23 per cent during 1950,
the largest increase for any class of lender. In the
Midwest, where the demand for credit was especially heavy, banks made a larger proportion of the
loans than did other lenders. Also, banks mayhave participated extensively in financing consumer expenditures for farmers in 1950. Outstanding loans of Production Credit Associations increased 17 per cent during 1950, and loans and
discounts of the Federal Intermediate Credit Banks
to the other short-term lenders served by them,
increased 22 per cent. The Farmers Home Administration, however, experienced a 4 per cent decline in its outstanding non-real-estate loans during
1950. Congress authorized 18 million dollars more
in FHA loans for the year ended June 30, 1951
than for the year before, but repayments on outstanding loans were sufficient to offset the increased
lending. A substantial repayment was made on
loans which had been outstanding since before
the war.
For the postwar period as a whole, January 1,
1946 to January 1, 1951, the non-real-estate debt
owed by farmers to the institutional lenders
doubled. The greatest increase for any region (150
per cent) was in the Corn Belt. The Northeastern
and Lake States regions, where dairying is important, were next with increases of 123 per cent
and 121 per cent, respectively. The Delta States
and the Southeast region, both in the old Cotton
Belt, experienced the smallest increases in non-realestate debt during the postwar period—31 per cent
and 48 per cent, respectively.
FEDERAL RESERVE BULLETIN
THE BALANCE SHEET AND CURRENT FINANCIAL TRENDS OF AGRICULTURE, 1951
In the Midwest, despite a large increase after
World War II, the current debt is still well below
the peak following World War I. In that region
a drastic liquidation in non-real-estate debt occurred
in the twenties and early thirties. The current
seasonal average level in the Southern region is
slightly lower and in the Northeast slightly higher
than the debt at the 1920 peak. In the Western
region, where a relatively large expansion in agriculture has occurred since World War I, the 1951
level of non-real-estate farm debt is considerably
higher than in 1920.
The current high level of non-real-estate credit in
use is of special interest because of the vulnerability
of this type of credit to sudden declines of farm
income. Short-term loans have a relatively rapid
turnover and the amount of loans outstanding on
any one date is only a part of the total amount
of credit that is used and repaid during the year.
For example, in recent years the amount of cash
repayments on PCA loans has been about twice the
amount of loans outstanding at the end of the year.
This 2-to-l rate of turnover may not exist for the
entire non-real-estate farm debt of more than 6 billion dollars (including debt from miscellaneous
sources as well as from institutional lenders but
•excluding CCC loans) that has been estimated for
January 1, 1951. Assuming the rate to be 1/4 to 1,
the repayment on short-term loans by farmers
during 1950 would have been more than 9 billion
dollars. The amount that farmers paid off on
their long-term farm real estate loans probably
did not exceed a billion dollars during that year.
SEPTEMBER
1951
An interesting comparison of this estimated
9-billion-dollar repayment of short-term debt can
be made with cash farm receipts of 28 billion dollars in 1950. Farmers, of course, had other sources
of funds with which they repaid debts but for
many individuals the repayments claimed a substantial amount of their 1950 income. It can readily
be seen that any disruption of income could quickly
cause difficulty for many farmers in repaying their
loans.
The expansion of non-real-estate debt, part of
which is seasonal, continued into 1951 and by
July the debt was estimated at more than 7 billion
dollars. No estimates of the total volume of such
debt exist for the World War I period but that
part owed to banks and Federally sponsored agencies now exceeds, for the first time, the peak level
of July 1920.
Outstanding loans made or guaranteed by the
Commodity Credit Corporation totaled 806 million
dollars on January 1, 1951, or less than half of the
amount outstanding a year earlier. The bulk of
1950 crop production was absorbed by the market
because of the rise in agricultural prices during
the second half of 1950. Reports of the Commodity Credit Corporation indicate that corn and
wheat loans on January 1, 1951 were little more
than half of the amount existing on January 1,
1950; cotton loans, which had totaled more than
300 million dollars at the beginning of 1950, were
down to V/s million at the beginning of 1951.
1103
ANNUAL REPORT OF THE BANK FOR INTERNATIONAL SETTLEMENTS
The Twenty-first Annual Report of the Ban\ for
International Settlements, covering the year ending
March 31, 1951, was submitted to the annual
general meeting at Basle on June 11, 1951, by the
General Manager, M. Roger Auboin. Selections
from the report, presenting the subjects of wider
general interest, are given herewith.
INTRODUCTION
The outbreak of the conflict in Korea suddenly
gave a new slant to the economic as well as the
political outlook, thus dividing the year 1950 for
many countries—and above all for the United States
—into two contrasting halves, the change in trend
being reflected most strikingly in the development
of prices, production, and the network of international trade and payments. Inevitably, the great
changes in the United States had their repercussions
on the economic and financial position of other
countries. It is, however, important not to exaggerate the extent of this sudden twist but, rather,
to examine the evolution of the various economies
in relation to previous developments. As far as
most European countries are concerned there was
little increase in armament expenditure during
1950, and in many cases the more radical alterations in the cost of living and in wages did not
take place before the early months of the following
year. 1950 was essentially a year of continued consolidation of that astonishing progress which Europe
had been making with only slight interruptions
since the crisis of 1947—a year which had been
fraught with such difficulties that the rather easygoing postwar optimism vanished abruptly and
new, determined efforts were made to get a grip
on the situation through national exertions helped
by substantial aid from the United States.
In many countries of the world the natural inNOTE.—The passages reprinted herewith constitute about
one-fifth of the main text of the report. Of the 10 chapters,
the one dealing with current activities of the Bank is
omitted. The remaining chapters are represented by selections which omit most of the discussion of individual
countries and present the portions containing many of the
more important conclusions and criticisms offered by the
Bank. The complete report contains numerous tables and
charts.
Selections from the first twelve Annual Reports of the
Bank were published in the Federal Reserve BULLETIN in
the years 1931-43. A reprint of brief sections of the
Thirteenth Report was issued in pamphlet form by the Board
of Governors in November 1944. For reference to later
reports, see BULLETIN for August 1950, p. 985.
1104
crease in population is already so large that the
raising and even the maintenance of the standard
of living are becoming difficult problems. But for
several European countries with considerable possibilities of further economic development the danger,
between the two wars, came decidedly from the
opposite direction. At present the birth rate required
to maintain a stable population is, as a rule, about
20 per mille in Europe, and the rise in birth rates
from the low point reached in the 1930's is not
likely to lead to overpopulation in this continent.
It will obviously be some years before the higher
birth rate affects conditions on the labour market—
indeed many countries in Europe still have difficulty
in finding sufficient manpower for all their economic and other needs. Whatever may be the
particular difficulties of a few countries, there is
no "structural" reason for uneasiness about surplus manpower in general in Europe—and that is
even truer of the Western World as a whole—provided more rational methods for utilising existing
possibilities are arrived at and sufficient freedom
of movement is ensured.
There was more direct damage to property in
Europe in the Second than in the First World War
—and there was also much material damage in
areas such as the Malay Peninsula and Indonesia,
which had been untouched by actual hostilities during the First World War. In addition, the enforced
neglect of repairs and maintenance and the wear
and tear of household articles, etc., represented, in
general, a greater drain on resources in the Second
World War. The recuperative power of modern
economies is, however, considerable and, although
repair of war damage will still be a charge in the
budgets of several countries for some 10 or 15 years
to come, the apparatus of production has, within
the space of a few years, been re-established in such
a way as to give a yield well above the prewar level.
There has been another kind of damage less
easily made good, viz. the loss of foreign investments. As a result of the two World Wars, France
almost lost its status as a creditor nation. In the
First World War the United Kingdom used up
some 850 million pounds sterling of overseas investments and in the Second World War about
1,100 million (out of a total of approximately 3,700
million in 1939). On the second occasion it also
incurred debts to other countries in order to
obtain the resources needed for the prosecution of
the war. Some 3,000 million pounds sterling was
FEDERAL RESERVE BULLETIN
ANNUAL REPORT OF THE BANK FOR INTERNATIONAL SETTLEMENTS
added in this way to the sterling balances, which
amounted to about 800 million before the war,
when they were held by various central banks or
private firms and individuals as part of their
monetary reserves or as a working balance. Now
that prices of raw materials and most other commodities dealt in within the sterling area are, on
an average, quite three times as high as before
the war, a more tolerable relation is being re-established between the current liabilities of the United
Kingdom and its liquid resources—but at the
same time the rise in prices has been reducing the
real value of long-term bonds and has thus caused
a further forfeiture of the fruits of investments
made out of the past savings of the European
countries.
The losses in foreign investments necessitate
changes in the flow of goods and services entering
into international trade and may be regarded as
part of the disorganisation caused by war. When
trade currents are diverted from their normal channels, price structures distorted and monetary systems upset, it may take a considerable time to
overcome the disruptive effects; and such damage
may well turn out to be a more serious consequence
of the war than material destruction.
At the time when the Second World War came
to an end, the internal monetary and price mechanism had been disorganised to almost as great an
extent as the system of international trade and
payments—as a result, on the one hand, of the
smallness of output for civilian requirements and,
on the other, of the excessive volume of money
created by war finance. In various countries a
spectacular rise in prices ensued from this lack
of balance between the volume of money and the
supply of goods. In others prices and wages were
kept more under control but, so long as the excess
supply of money remained, production was hampered and distorted by the lack of adequate stocks,
by "bottlenecks," and by the scarcity of labour
in essential industries. In addition, lack of consumer goods seemed to discourage effort on the
part of the worker even more effectively than high
tax rates. In his Presidential address to the Royal
Economic Society in 1947, Sir Hubert Henderson,
discussing the "repressed inflation" in the United
Kingdom, expressed the opinion that:
"The excess of aggregate demand today is probably responsible for a greater waste of productive
power than resulted from the deficiency of aggregate demand in the 1930's; it cannot be allowed to
persist indefinitely without disaster."
To cure the disequilibrium between the volume
of money and the supply of goods and services the
most obvious remedy would seem to be to increase
SEPTEMBER
1951
production. But in many countries the disequilibrium was too large to be removed by this method
alone. Nor did it help matters when the increased
output was allowed to give rise to a corresponding
amount of fresh purchasing power (and still less
when the expansion of production was financed
by new central bank money).
To reduce an existing volume of money is by
no means simple, and only a few countries have
tried it; but steps to prevent fresh money from
being issued can more easily be taken and such
action will ensure that, with increasing output
(and in most cases increasing prices), equilibrium
will ultimately be reached between the volume of
money and the supply of goods and services.
Then—and only then—will the balancing mechanism operate, first on the home market (whose
capacity to adapt itself to changing conditions will
benefit by the renewed effectiveness of the price
system) and afterwards, by natural sequence, in
relation to other economies as well. Extraordinary
as it may seem, balance-of-payments problems have
been very widely regarded as something separate
from the internal economy, although it could be
shown for one country after the other that the
aggregate demand for goods and services exceeded
the supply—the consequence being that imports
tended to rise and exports to fall and a "gap" to
emerge which had to be filled by means of domestic
reserves or foreign aid.
It is no easy matter to reinstate "the stabilising
mechanism" in the interplay of finance, production, and commodity markets after it has been
put out of gear by the war; and the task is not
made easier by the fact that ideas have survived
from an earlier period which are certainly not
applicable to the task of postwar reconstruction.
The great depression of the 1930's, with the terrific losses it occasioned and the persistence of a
high unemployment figure in some of the leading
industrial countries, made a very great impression
on people's minds and affected their economic
beliefs more profoundly than either of the two
World Wars. In the theoretical sphere there was
Keynes's "General Theory of Employment, Interest
and Money" (published in 1936) and in the practical sphere the "New Deal" in the United States
and, in a different setting, Germany's policy of
full employment, public works, and rearmament,
financed under conditions approximating to a
closed economy. In all these cases "cheap money"
and substantial additions to the volume of monetary
demand played a decisive role—and there was
clearly much to be said for an expanding supply
of purchasing power at a time when goods were
piling up, investment possibilities were less obvious,
1105
ANNUAL REPORT OF THE BANK FOR INTERNATIONAL SETTLEMENTS
foreign trade was largely stagnating, and a great
deal of the available productive capacity (men,
machines, and materials) remained unutilised.
That was, however, a most unusual situation, and
it underwent a radical change when the Second
World War broke out. But strangely enough the
policy of maintaining a low level of interest rates
could still be applied, since in wartime the volume
of government borrowing would not be affected
by higher rates and the volume of private investment could be adjusted through the operation of
direct controls (in particular, allocation of materials). The system seemed to work well under the
conditions prevailing, and authoritative voices forecast that it would continue to be applied after the
war—this view receiving support from the widespread assumption that a depression would set
in not long after hostilities had ceased and that
conditions would thus be similar to those which
had characterised the 1930's.
Contrary to these expectations, business remained
good, with a pronounced sellers' market and a
nearer approach to full employment than had ever
been known in peacetime. Nevertheless, the idea
of a coming depression was hard to kill and, quite
apart from the inference to be drawn from the
continued cheap-money policy of most financial
authorities, the attitude of the business community
bore witness to this fact. Among producers and
traders all over the world a fear of overlarge supplies, which would bring prices down to an unremunerative level, caused a tendency to restrict production of raw materials and other goods too. It
was not sufficiently realised that in the United States
(regarded as the prospective country of origin of
the new depression) the relation which costs and
prices bore to the volume of credit (as indicative
of the monetary demand) was this time very
different from what it had been after the First
World War.
There is a marked similarity in the movements
of the credit supply in the two postwar periods.
But in the First World War the rise in costs and
prices was greater than the expansion of credit,
while in the Second World War, thanks largely
to the price and cost controls then imposed, the
cost-and-price structure was kept well within the
credit volume. Thus on this occasion there was no
need for any downward adjustment of costs and
prices once the war was over—on the contrary, a
considerable rise in costs and prices was indicated,
in order to restore equilibrium—and consequently
there was no reason to expect a repetition of the
short, though sharp, recession which had set in
in 1920 immediately after the end of the First
World War. Nor did the situation provide any
1106
grounds for fearing, in the near future, the emergence of a prolonged depression, since investment
requirements (kept waiting during the war and
expanding with the increase in population) were
considerable.
One thing, then, is certain: the state of affairs
which followed the Second World War was just
the opposite of the situation in the 1930's. Inflation
has reigned instead of a slump in prices; there
has been no abundance of savings but a scarcity of
resources for financing investments. It has proved
singularly difficult, however, to liberate men's minds
from the hold which prewar ideas and policies
had obtained over them. Perhaps the greatest
effect was produced by the rapid recovery of the
United States from the minor recession of 1949—
a recovery which had already firmly asserted itself
before the outbreak of the conflict in Korea in the
middle of 1950. And with new rearmament expenditure coming on top of a pre-existent boom,
it is obvious that the main monetary task now is
to stop inflation from getting the upper hand.
Some serious efforts characterised by a new
sense of realism were made in individual countries;
but it is questionable at what rate results could
have been obtained had it not been for the promise
of aid from the United States in 1947 and its actual
appearance in 1948. This aid was conceived, in
the first place, as a means of helping to pay for
imports, principally from the dollar area. But at
the same time it had another aspect: it represented
"additional free resources" equivalent to savings
on the home market—indeed, more valuable than
"domestic savings" since, as dollar purchasing
power, it could be used to buy materials, machines,
and articles which would otherwise have been hard
to obtain and the lack of which would have meant
troublesome bottlenecks. For the countries of
Western Europe it is estimated that, in the years
July 1948 to June 1950, the rate of their own net
domestic saving worked out at 10-12 per cent of
the national income; on an average, Marshall aid
was equal to about 3% per cent of the national
income, and thus increased the available savings
by about one-third—a very real contribution, without which the volume of investment would have
had to be severely curtailed. The amounts voted
as Marshall aid and thus made available to the
Economic Cooperation Administration (ECA)
reach a total of 12.3 billion dollars for the whole
period from April 1948 to June 1951.
As long as the actual flow of Marshall aid goods
and services was on the increase, it was fairly easy
to keep withdrawals from exceeding the current
accumulations of counterpart funds; now that Marshall aid deliveries are gradually falling off, howFEDERAL RESERVE BULLETIN
ANNUAL REPORT OF THE BANK FOR INTERNATIONAL SETTLEMENTS
ever, a rather difficult problem arises, since it is
necessary to ensure that an outpayment of funds
by the central bank will not add to the inflationary
forces which will anyhow be a concomitant of the
rearmament drive. This problem becomes part of
the general question of how to prevent investments
and consumption from being financed by means of
newly created money; for in dealing with this
matter care must be taken that there is no undue
"activation" of financial resources which have been
accumulated in an earlier period.
This is a problem for the present and for the
future; in reviewing developments during the
last two to three years it becomes manifest that,
in the fight against inflation, Marshall aid has been
of great help through the goods which it has
brought to the market and through the resources
which have become available for investment or
retirement of debt—these being different aspects
of the same beneficial influence.
A NEW SET OF PROBLEMS FROM THE MIDDLE OF 1950
From a European point of view it was something
of a novelty that what turned out to be a major
struggle, with important political and economic
repercussions, had begun so far from Europe's
own borders. It was against a background which,
despite such reservations as had to be made, bore
witness to solid progress and was full of promise
of further achievements that, on June 25, the news
of the outbreak of the conflict in Korea ushered in
a new chapter in the world's history.
But even before that date a warning had more
than once been sounded: in May and again at the
end of June 1950 the Swiss Government, in messages to its own people, had recommended the
reconstitution of private stocks of materials and
of various durable consumer goods (especially
food), certain credit facilities being extended to
those who needed help to finance the accumulation
of such goods. This initiative on the part of
Switzerland was much discussed and it certainly
influenced public opinion and the arrangements
made by businessmen and private persons in
several other European countries, including Belgium, the Netherlands, and Western Germany.
Thus the actual outbreak of hostilities in Korea was
regarded as a clear confirmation of the fears which
the Swiss Government had entertained, and the
ground had thus been prepared for a determined
import drive, especially in regard to raw materials
—a counterpart to the private and public stockpiling in the United States. The European purchases had been by no means inconsiderable, but
they were soon dwarfed by the mighty flow of
SEPTEMBER
1951
materials to the United States, which in the new
situation became more clearly than ever the centre
of economic influence on the world markets.
As a result of the increased purchases of foreign
products by the United States there was, in the
first place, a marked improvement in the earning
capacity and the monetary reserves of the rawmaterial-producing countries. In 1950, Latin
American countries thus increased their gold and
other holdings by fully 400 million dollars, the
whole of the improvement falling in the second
half of the year. Indonesia and the Philippines
showed an increase of over 200 million dollars,
almost all in the second half of 1950. Very considerable amounts of dollars were earned by the
raw-material-producing countries of the sterling
area; in place of the collective deficit of almost
400 million dollars which they had had in relation
to the United States in 1949, the countries of the
sterling area (with the exception of the United
Kingdom and the other European members) had
in 1950 a surplus of nearly the same amount. The
resulting net gain in the monetary reserves of these
countries appears (with only minor exceptions) as
part of the declared gold and dollar reserves of the
United Kingdom.
The raw-material-producing countries, so greatly
favoured by these market developments, are beginning to turn increasingly to their former suppliers
in Western Europe for the purchase of consumer
goods and machinery. Although there is a time-lag
before the new demand makes itself felt and trade
gets going (the delay being partly due to a not
unnatural desire on the part of the dollar-earners
to add to their own monetary reserves), the increased purchasing power will, no doubt, gradually lead to greater imports. Not only the United
States but also a number of European countries
have been buying raw materials. This development was by no means uniform; while some countries started to increase their imports immediately
after the outbreak of the conflict in Korea, others
showed no perceptible reaction until early in 1951.
As regards the foreign resources necessary, Switzerland had ample and Belgium fairly substantial
reserves of gold and dollars; but some of the other
countries with rising import surpluses soon began
to feel definitely uneasy about the growing volume
of their foreign payments in relation to the allocations of foreign aid still forthcoming and the size
of their monetary reserves. It was for several of
them a fortunate thing that, at the very time when
the amount of Marshall aid was decreasing, their
foreign payments were facilitated by the European
Payments Union (the EPU) as from July 1, 1950—
a date very nearly coinciding with the outbreak of
1107
ANNUAL REPORT OF THE BANK FOR INTERNATIONAL SETTLEMENTS
the Korean conflict. Each of the participating
countries has obtained its individual "quota" in
the Union and is able to use this quota for meeting
accumulating deficits; the first tranche of 20 per
cent constitutes a credit, while for the following
tranches, each amounting to 20 per cent, an increasing percentage is payable in gold (or dollars)—a
total of 40 per cent having to be paid in gold by
a country whose quota has been completely exhausted. Some countries in a particularly difficult
position received additional aid in the form of
"initial balances," of which they could avail themselves before having to make use of their respective
quotas. (Cf. pp. 1124)
It is a matter of particular importance that the
scope of the EPU settlements is not restricted to
the metropolitan countries in Europe which are
members of OEEC but extends to the monetary
areas attached to some of the members, viz. the
sterling area (including, besides the British Commonwealth—with the exception of Canada—two
members of OEEC, namely Ireland and Iceland),
the French franc area (of which Algeria, Morocco,
and other African territories have much to offer
as trading countries), the Belgian franc area (including the Belgian Congo) and the guilder area
(of which Indonesia has remained a member).
The consequence has been that purchases from a
number of very important raw-material-producing
countries could be financed by settlements via the
Union. Germany in particular has increased its
debt to the Union while the United Kingdom and
France have become the biggest creditors.
Through the operation of the quotas and the
initial balances, the European Payments Union
provided foreign means of payment to a total of
794 million dollars in the nine months from July
1950 to March 1951 (the figure representing the
amount actually utilised). Without this aid, a
number of countries would probably not have been
able to procure the raw materials so important for
the maintenance of a high level of business activity
and employment, and it is even possible that
without the European Payments Union there would
have been a relapse into bilateralism as the best
available means in the circumstances of overcoming
the difficulties with which one country after the
other would have been faced.
From the point of view of the individual importer, the payments question is primarily a question of finding the counterpart in his own currency
with which to pay for the foreign exchange that
he acquires from the monetary authorities. He will
also have to finance the holding of the goods for
a certain time, in case he does not sell them all at
once. Some industrialists and traders may have
1108
been able to finance the increased imports (and the
resulting rise in inventories) by the use of their own
resources—especially if in recent years they had
retained a considerable part of their earnings to
replenish their liquid resources; but the common
practice is for business enterprises to turn to
banks for increased accommodation in order to
obtain the marginal funds they need in case of
sudden additional requirements. The commercial
banks in a given country may be sufficiently liquid
to meet the increased demands from their own
accumulated cash balances (as the Swiss banks
have been able to do); but commercial banks
suddenly called upon to expand their credits will
generally have resort to the central bank—and the
question of the credit expansion becomes essentially
a matter of central bank policy.
In the situation which then arose the monetary
authorities in one country after the other began
to feel that through their own action they could
appreciably influence the granting of credit and
in that way exert a general influence on the trend
of economic affairs. The redundant supply of
money which had prevailed in the first years after
the war had gradually given place to a more normal
relation between liquid funds and current needs—
and this made it easier to apply an effective credit
policy.
The monetary authorities thus showed themselves ready to take action on a scale that brought
a new note into the world's credit policy after
nearly two decades of predominantly cheap or at
least plentiful money. The central banks in Belgium, Canada, Denmark, Finland, Germany, the
Netherlands, Sweden, and the United States have
raised their discount rates since the end of 1949.
It should be remembered that in the years 1947-48
France and Italy had already had resort to increases in the discount rate as part of their programmes of reconstruction. Thus in recent years
the majority of the Western European countries
have made use of this most obvious weapon of
central bank policy.
The United Kingdom has not increased its official
discount rate since the war; but the fact is that
long-term rates were allowed to rise in response
to market forces as long ago as 1947, and since that
time the central bank has refrained from intervention against the main trend of the market, the yield
of long-term government securities rising to 4 per
cent in the spring of 1951.
As regards the best methods of averting an increase in the amount of central bank credit outstanding, disagreement may still exist on certain
points; but there is almost general agreement that
in the present circumstances it is dangerous to
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ANNUAL REPORT OF THE BANK FOR INTERNATIONAL SETTLEMENTS
support the quotations of government bonds by
means of newly created credit. Not only will the
addition of such credit increase pro tanto the
amount of funds available in the market but, because these funds are derived from the central bank,
it will add to the aggregate cash reserves of the
credit institutions and thus most powerfully reinforce their liquidity and their lending capacity.
Given the great demand for long-term as well as
short-term credit, it is not surprising to find that,
in response to the changed market conditions, longterm interest rates have risen in practically all
countries.
It is also being realised that in addition to the
raising of interest rates there are other weapons
that may be used; thus, quantitative restrictions
may be introduced, and these have shown themselves almost indispensable when the banks were
already in possession of large liquid resources. In
the United States, the reserve ratios of the commercial banks have been raised and drastic restrictions have been imposed on consumer and building credit; in the latter case, the aim was to cut
down private construction by as much as 40 per
cent. In the Netherlands, a new system of regulations has been imposed to restrict commercial bank
credit, and in several countries agreements have
been reached between the monetary authorities and
the commercial banks as to the principles which
should guide them in granting new credits.
There are also a number of ways in which the
discount policy can be strengthened (the National
Bank of Belgium, in particular, has given them a
trial), two examples being shortening of the terms
of bills eligible for rediscounting and refusal to
grant the rediscounting privilege to other than
genuine trade bills.
Monetary authorities have thus reacted rapidly
to the credit problems raised by the conflict in
Korea, realising that an excessive internal credit
expansion encourages rises in prices and leads to
deficits in the balance of payments and flight of
capital—notwithstanding the most elaborate systems of control.
The most spectacular case of balance-of-payments difficulties arising in the autumn of 1950—as
a result of rapidly increasing imports—was that of
Germany [Western part]. In the situation which
had thus arisen certain internal measures were
taken and, in addition, contact was sought with
the Managing Board of the European Payments
Union in Paris, it being evident that the German
quota in the Union—equal to 320 million dollars—
would be exhausted before long.
The keynote of the measures taken was essentially an attempt to redress the balance-of-payments
SEPTEMBER
1951
deficit by having recourse to monetary action of a
general characer (different forms of credit restriction) rather than to quantitative restrictions on
imports. Insofar as the methods adopted proved
successful, the foreign trade of Germany and, at
the same time, the foreign trade of its commercial
partners would be established at a higher level
than would otherwise be possible; but an obvious
condition for success was the compression of demand inside Germany so that enough goods were
set free to increase German exports, it being possible to count on a strong demand abroad for goods
produced in Germany.
At the same time it was obvious that the system
of foreign trade and payments instituted by the
OEEC* agreements and the fulfillment of other
obligations incurred by Germany could not be
maintained without some further aid.
At the request of the German Federal Government a special enquiry was carried out on German
soil by two independent experts, the Managing
Board of the European Payments Union laid proposals before the OEEC Council and the Council
decided on November 14, 1950, "in principle," to
approve the extension of a special credit of 120
million dollars to Germany, provided that the
German Government presented an acceptable programme of internal measures designed to restore
equilibrium in the balance of payments. At the
beginning of December the German Government
presented its programme, which was examined by
the Managing Board, and on December 13 the
special credit was approved by the OEEC Council.
In the new programme the principle of a restriction
in the volume of internal demand was maintained
as the chief equilibrating force. The credit measures were to be reinforced by increases in taxation,
including an increase in the turnover tax, which
would help to hold back internal consumption, and
certain modifications in the income and corporation
taxes, which would not only bring in more revenue
but, by a curtailment of the volume of self-financing,
at the same time exert a moderating influence on
the tempo of internal investment.
If the improvement in Germany's exports continues along the lines of the programme agreed
upon in the autumn of 1950, it may be possible for
normal imports to be resumed before long without
the risk of another balance-of-payments crisis for
Germany. The advantage of the special assistance
granted and of the credit restrictions and other
measures taken in Germany would then be that
the country's foreign trade would have been estab* Organisation for European Economic Cooperation, representing the Marshall Plan countries.
1109
ANNUAL REPORT OF THE BANK FOR INTERNATIONAL SETTLEMENTS
lished on a higher level than would otherwise have
been possible.
The German measures have been dealt with in
greater detail since they were adopted within the
framework of an international arrangement, the
important principle being applied that the granting
of fresh credits should be combined with acceptance
of a comprehensive programme designed to restore
equilibrium in the country's economy and consequently in its balance of payments. The developments in other countries have also been considered
by OEEC and other bodies in their international
aspect. So far they have not given rise to any
special credit arrangements but certain internal
measures have been taken in the various countries
concerned in order to correct maladjustments—
including remedial action in some cases where a
rather excessive creditor position had developed.
It was not only in Germany that acute strain was
felt as a result of rather panicky buying by the
public and increased stockpiling by commercial and
industrial firms. In other countries, too, the general
public as well as the business world made more
active use of their existing cash resources—one of
the manifestations of this tendency being an increase
in the velocity of circulation. Thus in the United
States, according to the calculations of the Federal
Reserve Board, the estimated annual rate for the
turnover of bank deposits outside New York City
rose from 20 per cent in December 1949 to 23 per
cent in December 1950, or by 15 per cent. References to changes in the velocity of circulation are
also found in European reports.
It is true that the public has been using part of
its cash reserves in notes for additional purchases
—which is in itself an undesirable development;
but the fact that it has been possible for the
notes thus used to be so largely withdrawn from
circulation—and thus prevented from reappearing
again and again as purchasing power—must be
chiefly the result of the more restrictive credit
policy which has been applied in an increasing
number of countries and especially in countries
which have had a deficit on current account of
their balances of payments. When under such
circumstances importers (either directly or through
some commercial banking connection) acquire foreign exchange from the central bank, it is important that the amounts thus paid in should not
be made available again to the market through
an extensive rediscounting of bills or other operations of the central bank. It is part of the "mechanism of adjustment" that a dangerously large loss
of reserves should be allowed to contract the internal money supply, and that will happen unless
its effects are offset by fresh credits or through
1110
transfers to the Treasury (for government spending), this having often been the practice with
regard to amounts received by stabilisation funds.
In almost every country a sounder course of action
is now to be noted in this respect.
The reforms which have been introduced, for
instance, in the running of exchange funds must
not be looked upon as an isolated modification of
administrative practices but are a sign of a more
profound change of heart in matters of credit policy.
It is being realised that an extreme policy of cheap
money for the purpose of counteracting a tendency
to depression is the last thing that is needed—especially now that a rearmament boom has added
its impetus to the postwar reconstruction boom.
The tone of the discussion of these matters has
become much more serious—as well it might,
considering the increased strain placed upon the
national economies by the rearmament effort.
When the dispute in Korea turned into a military
venture and rearmament suddenly became the order
of the day, there was naturally a strong temptation
to repeat the methods which had been tried in the
Second World War and which had then proved
effective in so many ways. The characteristic
feature of this latest experiment in war economy
had been the increased reliance placed on direct
controls, not only over prices and the distribution
of consumer goods but also over raw materials,
investments, foreign trade, and even the actual
use of manpower. Heavier taxation had been imposed to reduce the deficits in the budgets but
there was no general raising of interest rates.
Clearly the present juncture was again one which
called for more budget revenue, and there seemed
also to be a strong case for the application of certain
measures of direct control. Thus, when it came
to a really exceptional shortage of materials vital
for the rearmament effort, decisive reasons could be
advanced for the acceptance of allocation schemes.
Now that it had become necessary to shift production—almost overnight—from peacetime to rearmament purposes, might not the simplest and
most effective way be not to rely upon the somewhat
slow working of the price and cost system but to
earmark parts of factories for the production of
war materials? More difficult to answer are questions about the possible introduction of a general
control over prices and wages. It is quite possible
that the same answer should not be given for
every country; and, in any case, before an answer
is attempted, attention must be drawn to the
marked differences beween, on the one hand, a
full-scale war economy and, on the other hand, an
essentially peacetime rearmament effort, as launched
in the autumn of 1950.
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In the first place, there is the difference in the
burden imposed on each country by the military
budget. Experience shows that a full-scale war
cannot be financed without some resort to inflation:
when more than one-third of the nation's resources
has had to be devoted to the prosecution of the
war, the best any country actually involved in the
war has been able to do has been to cover some
40 to 50 per cent of its total public expenditure by
current revenue—the remainder being met by borrowing. Part of this borrowing was clearly of an
inflationary character, since it caused a redundant
supply of money at a time when the amount of
goods and services becoming available for civilian
purposes was smaller than before. It was natural
then to try, by wage and price controls, to keep
the damage caused by the inflationary expansion
of money and credit as small as possible, even
though, for the time being, a state of afTairs ensued
which afterwards came to be called "repressed
inflation." Rearmament, on the other hand, can
be financed without resort to inflation.
It is becoming more and more clear that the
authorities will not try to overcome the difficulties
of the present emergency by relying one-sidedly
either on direct controls or on financial restraint but
will seek to establish a judicious combination of
the two methods. They are aware that the more
they can avoid an undue monetary expansion the
less will be the need for such sweeping control
measures as general wage and price freezes—
with their undesirable consequences, to which the
countries of Europe (less wealthy than the United
States) could ill afford to be exposed. It has
already been stressed that the rate of interest is not
the only weapon of credit policy; but it may as
well be pointed out that there are some special
reasons for including it now among the measures
to be taken.
After years of rising prices and low interest
rates there are strong reasons in favour of giving
a fairly conspicuous outward sign that the time
has come for savings to be encouraged again.
It is often argued that, in practice, an increase in
interest rates is not likely to induce people to save
more. That may or may not be true, but here
it is a question of something more than merely
granting higher remuneration to those who save.
It is a question of giving an assurance that inflationary tendencies will be withstood, i.e. of
allaying the anxieties of a number of people who
are beginning to feel that their interests have been
systematically neglected and that they have therefore a justified grievance in the continuously rising
prices to which they have been exposed. A most
dangerous point is reached when the ordinary man
SEPTEMBER
1951
begins to believe that the value of money will go
on deteriorating, and to base his daily arrangements
on such a supposition.
Fortunately, there seems to be general agreement
as to the importance of safeguarding the purchasing
power of currencies. In the USSR the lowering of
prices again decreed early in 1951 must be taken
as a sign of the eflorts being made in that country
to uphold monetary confidence. In the West, the
rather resolute change in the general trend of credit
policy which was inaugurated in the latter half
of 1950 is equally a sign that more definite attention is being given to creating conditions propitious for the maintenance of monetary confidence.
Naturally each economy has to use the means of
action appropriate to its type, it being borne in
mind that failure to take the proper steps in a
period of great upheaval will inevitably be most
prejudicial to the strength of the countries or groups
of countries concerned.
BOOM IN WORLD PRICES
After the Second World War there has been no
period of real price stability such as was attained
for nearly 10 years, from 1921 to 1930, after the
First World War.
After the First World War, primary products
soon became comparatively cheap, to the obvious
advantage of the importing countries; since the
Second World War they have been most expensive,
prices having shot up sharply every time industrial
production has got well under way, as in 1946-47
and again in 1950-51. This difference in price
behaviour is undoubtedly attributable in part to the
fact that during the First World War the principal
raw-material-producing areas were almost all untouched by actual hostilities, while in the Second
World War the productive capacity of some of
these areas (in particular Southeastern Asia) was
very greatly impaired. Other factors are the great
progress made, in recent years, in the industrialisation of the world, the corresponding expansion of
the demand for raw materials, and the growth of
the world population, which, with a rise of at least
10 per cent between 1939 and 1951, has outstripped
the increase in the output of foodstuffs. Lastly, it
should be pointed out that after the First World
War there was a spirit of expansion in almost every
field—once the first brief depression of 1920-21 had
been overcome; but in these six years since the
summer of 1945 far too many producers have been
haunted by a fear of "overproduction" and declining prices, and governments, both in their national
policies and in their international actions, have generally shown signs of similar preoccupations. The
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ANNUAL REPORT OF THE BANK FOR INTERNATIONAL SETTLEMENTS
consequence of this recent misjudgment of trends
and requirements has been a relative inflexibility
in the output of primary products—which has
meant that no margin has been available when
fresh needs have suddenly made themselves felt. It
is not being contended that no increase has been
made in production; but the push has not been as
forceful as it could have been and as it ought to have
been in view of the underlying strength of demand.
In the industrial countries which, after the First
World War, were able to return to gold at the
old parity, the increase in the cost of living became
more or less stabilised at about 60-70 per cent above
the prewar level, although wholesale prices stood
only 40 per cent higher than before the war. It
was not the prices of raw materials that had been
the major element in the rising costs of finished
goods but rather the increase in wages, which in
almost all countries had gone up more than prices
in comparison with prewar conditions.
In the whole of the postwar period [since 1945]
there has so far been only one short span—-the
autumn of 1949 and the first quarter of 1950—in
which there was at least the semblance of stability.
On the American market, prices of raw materials—
both industrial materials and foodstuffs—remained
at an almost unchanged level during the half-year
following September 1949, the month of devaluations. Yet the predominant feeling was one of uncertainty and doubt. While fears of an industrial
setback had died down, there was as yet no definite
confidence that the high rate of activity characteristic of 1948 would be re-established and sustained. True, a gradual but decided increase in
commodity production outside the United States
was expected to ensue from the wave of currency
adjustments and, with the consequent return of freer
competition among producers, more normal relations between production costs and prices were
also anticipated. But a distinct note of caution
found its echo in various quarters.
In the international field the fears of approaching
surpluses resulted, in the first six months of 1950,
in such a spate of discussions and negotiations on
international commodity regulation schemes as had
not been seen since the most critical stages of the
world depression in 1932.
While the commodity markets and government
agencies were apprehensive of a decline, prices in
fact turned stronger and stronger.
It was some time before the marked upturn of
prices in the United States during the second
quarter of 1950 made itself felt on the European
side of the Atlantic. But there can be no doubt
that, as far as industrial raw materials were concerned, the world was still faced with a fundamental
1112
shortage liable to produce a rise in prices at the
slightest provocation in the form of an intensification of demand.
That was the situation when the world's commodity markets received the impact of the conflict
in Korea in the second half of 1950. The reaction
of these markets was prompt, and commodity
history offers no parallel in intensity to the ensuing scramble for supplies.
The OEEC Council resolved, on December 2,
1950, that "it is the responsibility of the Organisation to initiate measures of international cooperation in this field" [i.e. international coordination
of commodity prices]. Later in the same month
it was agreed between the British Prime Minister
and the President of the United States that cooperation must not be confined to the main powers
but must comprise all free nations, and that a
healthy civilian economy represented a necessity
for adequate defence. One of the results was the
creation early in 1951 of the International Materials Conference, with a Central Group and several
committees—one for each particular commodity or
group of commodities—on which as a rule 80 per
cent or more of the world's producers and consumers, as organised in the International Materials
Conference, are represented.
As regards the taking of practical measures, however, progress has been slow and has consisted, for
the most part, in certain modifications of national
policy by individual governments which have
arrived at a better understanding of their own
interests and have also taken account of the interests of other countries.
Generally speaking, a temporary "plateau" has
been reached by commodity prices, this development being due to a continuance of the following
six factors: (i) the expectation of a better political
atmosphere, together with a growing insensitiveness to "bad news"; (ii) a greater resistance on the
part of the final consumer; (iii) hopes of an improvement in supplies; (iv) belief in the likelihood
of a scaling-down of United States stockpiling; (v)
general recourse to firmer measures for the balancing of budgets and to the imposition of an
appropriate restraint upon credit through higher
interest rates and otherwise; and (vi) the expectation of tangible results from the International
Materials Conference.
It is still too early to tell to what extent these
factors are firmly rooted or, in other words,
whether they are strong enough to counterbalance
the effect of the progressive growth of a defence
production additional to civilian requirements.
Due weight should, however, be given to the
possibility that, thanks in part to the return to a
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more farseeing and price-conscious policy, enough
time may now have been gained for the taking of
more effective measures in the official field.
As far as international arrangements are concerned, it appears that no particular action is intended in the case of rubber and tin; and it may
be that sufficient supplies will be forthcoming
at prices well below the top quotations registered
early in 1951. But for some other commodities—
certain nonferrous metals, sulphur, wolfram,
molybdenum, manganese, cobalt, and nickel—
there seems likely to be some form of international
control together with a system of allocations, and
exploratory work is also being carried out with regard to cotton (and cotton linters), wool, pulp, and
paper.
Little information is available about price movements in Eastern Europe. The only index published in recent times is an index of retail prices
in Poland; but for that country and others in the
same part of the world inferences as to the trend
of prices may sometimes be drawn from various
statements of an official character. The policy
adopted in Moscow has in a large measure provided a pattern for the other countries, although
the results have not always been up to the targets.
Even in China great efforts have been made to
reduce prices or at least to prevent a rise (just as
efforts have been made to improve the foreign exchange quotations for the Chinese currency).
It is only with great caution that labels in use
in the Western economies can be applied to developments in countries with a collective form of economy, but it is at least possible to state that price
policy in the USSR has been in no way inflationary.
It might even be said, more precisely, that the
policy actually applied has been in conformity with
a principle advocated in years past by not a few
economists in the West, viz. that an increase in
output due to greater effectiveness in methods of
production should be allowed to find its expression
in lower prices, the benefit then being felt not
only by producers but also by persons with fixed incomes. For a result of this kind to be achieved considerable restraint is required, it being easier to expound the advantages of such a policy than to put
it into practice—and it is, therefore, not surprising
to find that, in an interview given to a correspondent of "Pravda" in February 1951, J. V. Stalin
stressed the great efforts necessary to pursue a
policy of extensive development in the civil sector,
including "a systematic reduction of prices of consumer goods."
In the Western World the problem of how to
avoid further bouts of inflation is one of the burning
questions of the day, now that the relative stability
SEPTEMBER
1951
of the particularly sensitive prices of primary products during the last few months (since February
1951) has raised new hopes that it might be possible to call a halt in—and even, to some extent,
reverse—upward movements of prices. Considerable difficulties will have to be overcome before
such a result can be achieved, but there are perhaps
greater chances than previously of succeeding, if
the appropriate measures are taken.
It is in this connection that increased importance
attaches to a policy of restraint in the budgetary
and credit field (including a cut in less essential
government expenditure and in the existing volume of investment), since the other conditions
conducive to more moderation in the rise in prices
would seem to be fulfilled in more than one country. Restraint in the issue of new means of payment has important consequences in many directions: for one thing, it makes it possible to go on
relaxing monetary and other restrictions which
affect the flow of foreign trade and thus to allow
goods from abroad to compete more freely on the
domestic markets.
A BETTER BALANCE IN WORLD TRADE
There are two general impressions which emerge
from an examination of the recent evolution of
world trade and the balances of payments:
(i) The total dollar value of world trade (imports plus exports) as well as the particular figures
for the trade of different areas have remained
almost unchanged during the three years 1948 to
1950.
(ii) The surpluses and deficits on the current
accounts of the balances of payments have been
greatly reduced.
The closer approach to equilibrium in international settlements, which the balance-of-payments
figures indicate, represents an undeniable achievement, and one that was so well on the way even
before the outbreak of the conflict in Korea that
it cannot be attributed mainly to the ensuing
changes in the currents of trade. On the contrary,
some developments caused by that conflict (rising
raw-material prices and rearmament) may render
the return to complete equilibrium more difficult.
The most spectacular development in international trade in 1950 has been the shrinkage of the
export surplus of the United States as a result of
declining exports and increasing imports.
On the basis of such scanty information as has
been made available, the foreign trade of the
USSR and the other countries in Eastern Europe
among themselves and with the outside world may
be estimated at the equivalent of 5-6 billion dollars
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ANNUAL REPORT OF THE BANK FOR INTERNATIONAL SETTLEMENTS
each for imports and exports, the tendency being
towards an intensification of trade between the
members of the eastern bloc. If the above estimate
is approximately correct, the foreign trade of the
countries in the eastern bloc is equal to about 10
per cent of the total turnover (imports and exports) of world trade.
The increasing importance of trade between
countries in the Western Hemisphere which has
been a -characteristic of the postwar period has a
counterpart in the very remarkable development of
the commercial relations of the Western European
countries amongst themselves and also vis-a-vis the
overseas territories maintaining strong commercial
and monetary ties with the older countries in
Europe. In fact, one of the most remarkable aspects
of the recovery facilitated by Marshall aid has been
the continuous improvement in intra-European
trade (based on growing production as well as
sounder monetary relations) and the corresponding
decrease in imports from the United States—incidentally a potent argument against the contention
that Marshall aid was mainly intended as a means
of creating outlets for American exports.
After the First World War one of the primary
tasks of the economic organisation of the League
of Nations was to aid in the elimination of quantitative restrictions on trade, and considerable success was achieved through a Convention for the
Abolition of Import and Export Prohibitions and
Restrictions, concluded at Geneva on July 11, 1928.
The Convention was adopted by 20 adherents, including not only European countries but also the
United States. It embodied an undertaking to
abolish all import and export prohibitions and restrictions, apart from certain specific exceptions.
After the Second World War the attack on trade
barriers was launched in conferences at first connected with the setting-up of an International Trade
Organisation as a specialised agency of the United
Nations. The original programme may have been
largely modified, but a considerable amount of
work has been done. As regards quantitative restrictions within Europe, the matter was taken in
hand by OEEC in Paris, a series of decisions being
arrived at by the Council in July and August
1949 and in the following November with a view
to bringing about a progressive removal of such
restrictions.
In November 1949 the Council of OEEC decided
that at least 50 per cent of trade on private account
between member countries should be freed. The
percentage was to apply to each of three groups of
imports, agricultural products, raw materials and
manufactured goods, and was to be related to a
1114
base year: 1949 for Germany and 1948 for all other
countries.
Most countries were able to comply to the full
with the decisions taken in November 1949; and in
January 1950 the Council decided to pass on to the
next stage, namely a 60 per cent liberalisation. This
was to become binding only after the European
Payments Union had been set up; for it was felt
that the participating countries needed an assurance
that additional resources would be available to meet
any increased deficits which might arise in consequence of the liberalisation. With the Payments
Union in working order in the early autumn, the
obligation to free at least 60 per cent of intraEuropean trade from restrictions became effective
on October 4, 1950.
Originally, the countries had been entitled, under
certain circumstances, to have recourse to discriminatory measures for balance-of-payments reasons,
but this possibility was excluded upon the inauguration of the European Payments Union. As from
October 4, 1950 all trade measures as between the
participating countries had to be on a nondiscriminatory basis. The rule of nondiscrimination is applicable both to the liberalised and to the nonliberalised sector of their trade, but no procedure
for dealing with complaints of violation has yet
been established as far as the nonliberalised sector
is concerned.
As from February 1, 1951 it was decided to consolidate the 60 per cent liberalisation already
achieved and to move on to 75 per cent. Because of
the difficulty of raising the minimum requirements
in the agricultural group, it was prescribed that in
no group should liberalisation fall short of 60 per
cent and that the total for all groups should attain at
least 75 per cent. In addition, a common list of
commodities was drawn up, consisting mainly of
textiles, textile machinery, and certain agricultural
and chemical products, which were in any case to
be subject to a 75 per cent liberalisation. This list
was provisionally adopted on April 1, 1951, with
certain reserves on the part of the Irish and Turkish
Governments, however. It is not applicable to
Austria, Denmark, Germany, Greece, Iceland, and
Norway, none of which have been able to reach the
75 per cent stage.
The liberalisation effort has not been limited to
commodities: it has also been applied to invisible
transactions; but here it has proved more difficult
to arrive at general principles, in view of differences
in practice in the member countries. Some progress has been made in specific sectors, however.
Thus, the invisible transactions have been divided
into three separate categories, of which the last
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ing more than an assurance from the governments
that they will deal with the transactions involved
"in as liberal a manner as possible." More farreaching provisions apply to the other two categories. Thus, from June 1, 1950, freedom of transfer was to be authorised in respect of profits from
business activity (provided these were genuine and
did not involve a reduction in the working capital
of the businesses concerned), dividends, interest on
securities and mortgages and, as a rule, long-term
contractual amortisation. The transfer of amounts
representing participation by subsidiary companies
and branches in the overhead expenses of parent
companies situated abroad, and vice versa, is also
provided for.
The OEEC liberalisation measures apply to imports (i) on private accounts and (ii) from participating countries only, and the result is a wide
variation in the extent to which the individual
countries' total (i.e. private and other) imports from
other participating countries are affected, and a still
wider variation in relation to their total imports
from all countries. In no case has as much as onehalf of a country's total imports been subject to
OEEC liberalisation—and for some countries (especially those which practice the method of purchase
by official agencies) not even a quarter of their total
imports has been involved. It is also a fact that in
1950, when the original liberalisation was first
extended, a number of countries raised protectionist
duties in their tariffs, and in that way attenuated
the practical influence of the liberalisation. It
happened that particular interests were demanding
increased protection; but it would also seem as
if, in several instances, the authorities themselves
feared that increased freedom for imports would
cause serious difficulties in their balance of payments. In a few cases these fears have been justified
—and then essentially because of an internal lack
of equilibrium between the volume of money and
the supply of goods; but more than one country
soon found itself in a better position in relation to
the European Payments Union than it had dared
to hope. Trade has been on the increase and has
permitted some of the OEEC countries to strengthen
their monetary reserves in gold and dollars as well.
The intimate connection between shifts in the currency position and the freeing of trade was realised
from the beginning of the liberalisation effort, and
it has been borne out by, for instance, the experience of Germany, which was temporarily obliged
to suspend liberalisation when the remaining margin of its available foreign resources became altogether too narrow (see page 1109). Thus the stricter
credit policy which a number of European (and
other) countries have adopted since the beginning
SEPTEMBER
1951
of 1950 is of special importance from a trade point
of view, seeing that a higher degree of restraint at
home should facilitate further progress in the field
of liberalisation.
In the main, the contraction since 1947 in
Europe's trade with North America and the growth
of intra-European trade have been healthy developments, since much of the trade across the Atlantic
in the immediate postwar years simply reflected
the impossibility of obtaining supplies from the normal sources. But it should not be forgotten that
the better balance achieved is still of an artificial
and somewhat precarious character, since special
restrictions continue to be applied, particularly to
dollar imports, this being one instance of the widespread discrimination still in existence. These
wider problems—not confined to the European
stage but interesting the United States as well—
have been attacked at the three customs tariff conferences held at Geneva from April to August 1947,
at Annecy from April to August 1949, and at
Torquay from September 1950 to April 1951,
within the framework of the General Agreement
on Tariffs and Trade (GATT) and with the participation of a larger number of countries on each
successive occasion. At these conferences the negotiations were conducted by pairs of countries on a
bilateral basis but the results found a fairly wide
multilateral application through the provisions of
the General Agreement, which had been signed by
23 countries on October 30, 1947 in Geneva.
The countries participating in the Torquay negotiations are responsible for about 80 per cent of
world imports and 85 per cent of world exports.
In all, 58,700 tariff concessions were granted at
the three conferences. These concessions covered
a very substantial part of world trade and affected,
on an average, well over half the number of items
on the customs lists of each of the countries which
are parties to the GATT.
While considerable progress had been made at
Geneva and Annecy, at a time when monetary
and commercial restrictions were greater hindrances
to trade than the tariff barriers, the Torquay conference did not reveal the same willingness to make
concessions. One reason for the greater hesitation
was no doubt the uncertainty of the general outlook,
clouded by political and other fears. But a more
particular reason was that, with the relaxation of
exchange controls and the extension of liberalisation, tariffs in most Western European countries
were being restored to their traditional position
as the specific weapon of the protectionist. It might
be going too far to say that a fresh wave of protectionism is sweeping over the world; it looks more
as if in tariff matters an attitude of "wait and see"
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ANNUAL REPORT OF THE BANK FOR INTERNATIONAL SETTLEMENTS
were being adopted. It may be hoped, however,
that the ground already gained is sure of being
held, now that the GATT is playing an important
role as an agent for the consolidation of the concessions so far obtained and as a guardian of the
rules which have been laid down for commercial
behaviour. Complaints may be lodged against
infringements of the principles of the GATT: in
this respect a useful precedent was established at
Torquay, when several questions which were raised
(mostly with reference to discrimination) did not
fail to secure redress.
Thus through the GATT an organised effort is
being made to deal with tariff matters, and in Paris
liberalisation is being promoted. But the question
is sometimes raised whether the export trade of the
industrialised countries (especially those in Western
Europe where it is of such vital importance to
them) is not being endangered by the continued
industrialisation of overseas countries. Will not
world trade necessarily be contracted as these countries build up their own manufactures and become
increasingly able to process the materials which for
the time being they are still exporting?
That a more intense industrialisation is in progress in areas which have hitherto counted as almost
exclusively primary producers is an undoubted
fact. But European experience tells us that highly
industrialised countries are the very ones between
which trade is likely to expand—witness the oftquoted instance of the United Kingdom and Germany, which became each other's best customer
before 1914. Another example is provided by
Switzerland: a visitor to the annual Swiss Sample
Fair in Basle can hardly fail to get the impression
that every kind of industrial article, including a
wide range of machinery, is produced in that
rather small country; and yet the Swiss trade statistics show that, in most years, imports of manufactured goods are as high as those of the other
large groups: foodstuffs and raw materials.
CONSOLIDATION OF FOREIGN EXCHANGE RATES
In comparison with 1949—a year in which countries responsible for two-thirds of world trade devalued their currencies—1950 was a year of relative
stability in the field of foreign exchanges, but this
has not meant that it was a year of inactivity, with
little progress and no achievements. It can rather
be described as a year of continued adjustment and
some real consolidation.
A simplification of the rate structure resulted,
in practice, from the establishment in the summer
of 1950 of the European Payments Union, which
provides for the settlement of transactions between
1116
the participating countries. For one thing, the
mechanism of the Union excludes private barter
deals—and has thus done away with a procedure
which had given rise to almost as many rates of
exchange (known as "compensation rates") as the
number of such transactions carried out, the difference between these rates and the official rates
being often considerable.
An additional feature of the European Payments
Union is that certain countries, which have not
become members of the International Monetary
Fund or, being members, have not so far established
a parity in accordance with the Fund's Articles of
Agreement, notify rates for the "unit of account"
which are applicable to settlements inside the
Union, thus giving for the various currencies exchange rates in relation to the U.S. dollar and the
pound sterling.
The substantial advance which in 1950-51 has
brought the world's exchange system progressively
nearer to consolidation must not be regarded as
merely a technical matter of exchange markets. It
reflects an improvement in the balances of payments which, in its turn, is mainly due to the fact
that a closer approach to internal equilibrium in
the field of public finance, as well as in the relations between savings and investments and between
costs and prices, has led to a more natural balance
between the volume of money and the supply of
goods and services in each individual market. The
remarkable increase in production during recent
years has, of course, contributed to the result attained, but has been able to do so only in conjunction with a return to more normal methods
of adjustment in the financial sphere, including
restraint in the granting of credit through higher
rates of interest and otherwise.
As regards the devaluations in September 1949
it is fair to say that, in general, the countries which
altered the value of their currencies took a number
of internal steps to put their houses in order. Since
in the summer of 1949 the American economy had
already resumed its upward trend, it could be expected that, for most of the countries concerned,
the combination of devaluation with corrective internal measures would bring about a replenishment
of monetary reserves and thus strengthen their
exchange position as well.
But so important a change as a 30 per cent reduction in the value of the currency cannot as a
rule be undertaken without some inconvenience,
and this has made itself distinctly felt in a rise in
prices in the countries which devalued. Contrary to
what happened in the years 1931-33, world prices,
as expressed, for instance, in U.S. dollars, continued
firm after the wave of devaluations, the upward
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movement receiving a fresh impetus from the outbreak of the Korean conflict. Since in some cases
purely internal measures would be powerless to
check the rise in domestic prices in such a situation,
the question was discussed in a number of countries whether a solution might not be found in a
revaluation of the currency. There was one country—Canada—in which the external value of the
currency actually improved (and there it happened
in connection with the establishment of a free exchange market); in other cases—the pound sterling
in the autumn of 1950 and the Danish and Swedish
crowns early in 1951—rumours about revaluation,
although unsubstantiated, had a considerable influence on the timing of payments by traders and
others, leading to movements of funds which the
existing controls were, for the most part, incapable
of arresting.
Like all extreme price movements, the recent increases in raw-material prices tend to be a source
of considerable difficulties, especially from an exchange point of view, for the importing countries;
but they are at the same time a sign of sustained
world demand—which in itself is a factor of no
mean importance. While it is rightly stressed that
an improvement in a country's balance-of-payments
position is mainly a consequence of a better internal equilibrium, it should not be altogether overlooked that the trend on the world markets and
the international currents of trade also play a considerable role. In the first few years after the end
of the war a number of essential commodities were
practically unobtainable except from the United
States, and this was obviously one of the reasons
for the scramble for dollars. Since then, however,
production has increased conspicuously in most
other parts of the world; many products which
Europeans previously had to import can now be
obtained in large quantities in their own continent
(some ready-made articles, for instance, from Germany) and Europe is beginning to be able to earn
dollars again by triangular trade via southeastern
Asia and Latin America, thanks to the progress
made in those areas. It is true that certain shortages have reappeared as a result of the rearmament
effort but, once products are at a country's disposal,
there is no difficulty in selling them abroad.
In order to become reliable partners in trade and
foreign exchange relations, the overseas countries
must—as everybody else must—put their own
monetary affairs in order. It is typical that, among
the sporadic cases of exchange readjustment during
the past year, most are found to have occurred in
countries which are primary producers.
The U.S. dollar has retained its position as a currency of the first importance, being backed by
SEPTEMBER
1951
about 60 per cent of the world's total gold reserves.
Such restrictions as have been imposed on the export of certain commodities for strategic and other
reasons fall within the commercial field. In the
spring of 1951 more than three-quarters of United
States exports were still unaffected by measures of
special control.
Latin American countries, in general, greatly
improved their external economic position in 1950,
thanks to higher prices for their produce (raw
materials and foodstuffs). In the aggregate, their
official gold and dollar holdings increased by more
than 400 million dollars in 1950, but this gain
was not due to any surplus in the current balance
of these countries with the United States, since
their purchases of American goods kept up well.
But some Latin American countries earned dollars
from trade partners outside the Western Hemisphere and also continued to receive substantial
amounts from abroad in the form of capital investments which, during recent years, have risen to
as much as 500 million dollars a year and have
helped to pay for current imports. In the second
half of 1950, there was also a considerable inflow
of short-term refugee capital.
An improved balance on foreign account has
enabled these countries not only to start paying
off arrears of commercial liabilities but also to move
towards rather less complicated exchange-rate systems. In some cases the process of reducing the
number of rates and of narrowing the spread between them has entailed a devaluation, while here
and there it has simply been a matter of dropping
from the schedule a rate that had fallen into disuse.
A start has thus been made on the road towards
simplification of exchange systems, including the
elimination of multiple rates among Latin American currencies. It is certainly a rather long road,
but as trade restrictions come to be increasingly
relaxed—which should help to offset inflationary
tendencies—Latin America will be able to resume
its position as a pivot of multilateralism in trade
and payments.
The major alterations which occurred in exchange rates in 1950-51 by and large may be said
to have contributed to the emergence of a betterbalanced system. But attention should not be concentrated too exclusively on modifications of rates.
In a number of countries where no formal alteration was made, the foreign exchange position was
considerably strengthened by a replenishment of
reserves, which in many cases permitted a relaxation of commercial and monetary restrictions.
Paucity of reserves has been the great handicap for
most European countries in the postwar period; as
has already been pointed out, the European Pay-
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ANNUAL REPORT OF THE BANK FOR INTERNATIONAL SETTLEMENTS
ments Union has provided, for some countries,
additional payment facilities, which have served
as a partial substitute for monetary reserves—and
Germany obtained, in addition, a credit of 120 million dollars, which enabled it, inter alia, to refrain
from a devaluation certainly not called for on the
basis of comparative costs and prices.
As regards the free market for banknotes, the
ups and downs in the international political situation play an additional role.
After the bout of pessimism which characterised
the last quarter of 1949 (when it was found that
the devaluations had not served to bring freemarket quotations of the currencies in question
back into close proximity to the new parities) the
improvement in the first half of 1950 is noteworthy
indeed. But the aggravation of the conflict in
Korea in December 1950 and January 1951 led to
a new fall almost all along the line. Equally
political in its origin was the recovery in the quotations from February 1951 onwards (although the
intensity of any given movement would, of course,
at the same time reflect the degree of appropriateness of the internal financial measures taken in the
country in question). The hopeful attitude of
June 1950 has not reappeared—but the market
valuation of the notes is generally no worse and, in
most cases, distinctly more favourable than at the
beginning of that year. One has a feeling that the
quotations are ready to harden as soon as the
political outlook becomes rather less disturbing,
this underlying tendency being one among several indications of a real consolidation in the
foreign exchange position during the year.
When due weight has been given to all the
precarious elements in the situation, the fact remains that in the majority of countries a much
better balance has been established between the
supply of goods and services, on the one hand, and
the volume of money, on the other—which is, after
all, a crucial point. International trade can now
offer alternative sources of supply which did not
exist a few years ago; dollars can be earned in trade
not only with the United States but with a number of other countries as well, there being, in fact,
a keen demand for a great variety of goods and
services paid for in dollars. Most important of all,
there is a greater readiness to apply corrective
measures even when they hurt; in other words, the
"right-to-be-helped" complex is losing the hold
which it has had over men's minds in more than
one country during these postwar years.
The situation which has arisen since the outbreak of the conflict in Korea has, of course, added
to the difficulties of the individual countries; but
it has also opened up new possibilities, and it would
1118
be a pity if they were not utilised to the utmost.
The division of the Western World into the two
monetary camps of dollar and nondollar countries
constitutes a very dangerous separation and the
present may be an opportune moment for proceeding step by step with the task of unification.
The reappearance of the mechanism of free exchange markets in which flexible rates are quoted
daily and, on occasion, if found desirable, are
supported by the central bank of the market in
question need not mean, however, that every
kind of capital export is legally permitted. Certain safeguards can still be retained in this respect
without impeding the gradual return to more
freely functioning exchange markets for spot and
forward transactions.
There is undoubtedly a growing inclination in
most countries to get rid of the shackles of exchange
control; but whether it will be possible, in practice,
to proceed along such lines will very likely depend
upon the development of monetary reserves in the
hands of the individual central banks. At the
moment there is a tendency towards a more even
distribution of the world's gold and dollar reserves,
while sterling reserves have gained in usefulness;
if this process were to continue, it should be possible
to look forward to a period of greater freedom in
foreign trade and payments, notwithstanding the
difficulties arising out of a sudden and considerable
rearmament effort.
GOLD AND MOVEMENTS OF MONETARY RESERVES
During the first four postwar years most of the
countries outside the United States had to draw
their reserves of gold and dollars down to the
danger point in order to meet deficits in their
balances of payments not covered by other means.
In 1950 this trend was impressively reversed. Gold
and dollar holdings in a number of countries—but
not yet in all—were rebuilt to a level at which they
could once again begin to play their traditional
role as a cushion whenever the swing of the balance
of payments turned adverse.
Meanwhile the usefulness of reserves of other
currencies had been enhanced by a fairly general relaxation of trade restrictions, by the fact that more
supplies were available outside the United States and
by the extension of the transferability of currencies
through administrative and other measures, including the operation of the European Payments
Union. The increased usefulness of sterling has been
an outstanding factor in this blurring of the line of
distinction between "hard" and "soft" currencies.
Gold has, however, retained its place as the primary
asset for monetary reserves, being as much sought
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ANNUAL REPORT OF THE BANK FOR INTERNATIONAL SETTLEMENTS
after as at any time in the past. Gold developments
in the first half of 1950 represented, on the whole,
a continuation of tendencies which had made themserves felt in the last months of the previous year
and especially after the widespread devaluations
that occurred in September 1949. The Korean
conflict brought a disturbing element into the gold
markets, and movements which, in several respects,
were most spectacular ensued in the second half
of 1950.
Gold. The year 1949 had been the first since 1945
in which the American intake of gold did not
absorb the whole current output, and in 1950 the
United States actually became a net seller of gold
to the extent of 1,743 million dollars. The whole
of the gold obtained from the United States went
into the monetary reserves of other countries, whose
reported reserves seem also to have been increased
by some 420 million dollars from current production, while about 1,650 million was added to reserves in the form of dollar holdings. In all, this
makes an addition of 3,800 million dollars to official
gold reserves and short-term dollar balances held
by countries other than the United States.
These gains were fairly widely distributed. The
fact that the sterling area and Canada accounted
for almost two-thirds of the total does not invalidate
this observation, since the accumulations of the
sterling area reserves in London do not appertain
exclusively to the United Kingdom—something like
40 to 50 per cent being really earned by other members of the area. A few countries in Europe saw
their net gold and dollar holdings decline in 1950,
but to a large extent the drain could be accounted
for by advance purchases of raw materials.
The losses of gold by the United States and the
increases in other countries' dollar holdings were
due not to any current deficit in the balance of
payments (there being still a surplus of 2,200
million dollars on goods and services account) but
partly to the continuance of American aid to
other countries at the rate of about 4,100 million
and, for the rest, to various financial transactions,
of which the most important was a net outflow of
private capital, estimated at nearly 1,100 million.
Of the 870 million dollars representing the total
(known) output of gold in 1950 some 420 million
(as mentioned above) was estimated to have gone
into monetary reserves and about 160 million to
have been absorbed by the arts, industry and professions in the Western World, leaving some
290 million as the amount which probably went
into private hoards in the East and the West.
The distinction between industrial uses and private
hoarding is admittedly not very sharp. The two
SEPTEMBER
1951
items together represent the gold which has "disappeared" during the year.
There was a conspicuous cleavage between the
two halves of the year. In the first half there was
a growing confidence in most currencies: in free
and grey markets, not only in Europe but even in
Asia (where hoarding, especially in China, was
on the decrease), the price of gold fell to levels not
far above the official price, and only some 8 per
cent of the current output of gold would seem
to have gone into hoards. In the second half of
the year, on the other hand, growing fears of inflation or even invasion greatly fostered the propensity to hoard, and it would seem that nearly 60
per cent of the current output went into private
hoards. Industrial uses having also taken their
quota, only one-quarter of the current output was
left for monetary reserves in the last six months
of 1950. But it is interesting to note that the
prices paid for gold, although higher in the second
half-year, remained much below the levels reached
in 1948 and 1949.
Of the gold obtained from the United States
monetary stock over three-fourths remained in
that country as gold under earmark at the Federal
Reserve Banks for foreign account. In conformity
with the Gold Reserve Act of 1934, the United
States Treasury, acting through the Federal Reserve Bank of New York, has been prepared to sell
gold for "legitimate monetary purposes"—which, in
practice, has meant that, apart from sales to the
arts, industry, and professions, gold has been sold
to central banks, Treasuries, and other monetary
institutions. Through the fact that gold has been
purchased whenever offered to the United States
authorities and has been made available in amounts
"necessary to settle international balances," the
dollar has more than ever occupied a pivotal position in connection with gold settlements in these
postwar years.
It is, of course, an understood thing that in
wartime, or in an extreme emergency, controls will
be tightened in order to channel gold into official
reserves; but there is still a difference of opinion
as to the best way to proceed under more ordinary
conditions, including those prevailing in a period
of rearmament, which may be of fairly long duration.
Monetary reserves. After having been the world's
largest individual buyer of gold between 1945 and
1949, the United States became the largest seller
of gold in 1950.
Notwithstanding the transfer of 687.5 million
dollars to the International Monetary Fund, the
increase in the gold stock of the United States
between the end of 1945 and the end of August
1119
ANNUAL REPORT OF THE BANK FOR INTERNATIONAL SETTLEMENTS
1949 amounted to 4,688 million; but in the following period up to the end of March 1951 a decrease
of 2,850 million cut the previous gain by about
three-fifths. Even so, the United States still held
1,840 million dollars more at the end of March
1951 than at the end of 1945 and its holdings still
amounted to nearly 60 per cent of the world's
monetary gold stock outside the USSR—about the
same percentage as at the end of the war (as compared with a maximum of 70 per cent at the end
of 1949). From a general point of view, it is,
of course, an advantage that the world's monetary
gold stock is becoming rather more evenly distributed, since one of the main purposes of gold
reserves is to meet deficits in the payments relations
between different countries, and it is essential for
the smooth working of such a system that most
countries should have some reserves of their own
to fall back upon in case of need.
There were only a few countries which in 1950
did not increase their combined gold and dollar
reserves, the chief reason being (as in Belgium)
that increased stocks of raw materials took the
place of part of the gold and dollar holdings. The
net increase was furnished to the extent of 3,628
million dollars (i.e. almost exclusively) by the
United States, the remainder being obtained from
the annual gold production. This state of affairs
was not the result of a current surplus in the
balance of payments with the United States, for
the goods and services account of that country
still showed a surplus of 2.2 billion dollars, which,
though much smaller than the surplus of 6.2 billion
for 1949, nevertheless constituted a considerable
active balance that had to be paid for by the outside
world.
It is significant that, of the net flow of gold and
dollars to other countries in 1950, 1.3 billion dollars,
or over one-third, left the United States during the
first half of the year, i.e. before the outbreak of
the conflict in Korea. This seems to indicate that
much of the flow reflected an improvement in the
economic position of other countries, together with
a revival of peacetime demand for imports in the
United States after the business recession in 1949.
An outstanding change has occurred in relation
to overseas territories of OEEC countries. The
territories in question are mostly raw-material producers, and among them sterling area countries
other than the United Kingdom play an important
role. The net additions in 1950 to the gold and
dollar holdings of the sterling area amounted to
1,729 million dollars, which was equal to about
45 per cent of the total increase in gold and dollar
holdings of countries other than the United States;
the other main participants in the increase—also
1120
sellers of raw materials—were Latin American
countries with a gain of 406 million dollars and
Canada with a gain of 625 million.
Fortunately, it is being increasingly realised that
the establishment of gold and foreign exchange
reserves, sufficient to enable a country to have a
considered monetary policy without continual resort to hand-to-mouth expedients for balance-ofpayments reasons, constitutes one of the most useful
investments for most countries in the world.
MONEY, INTEREST RATES, AND CREDIT
The year 1950 was marked, in the majority of
countries, by an unusually large expansion of credit,
which began in the spring and gathered momentum
rapidly after the outbreak of the conflict in Korea.
This rapid growth of credit was required to some
extent to finance an increase in production, but the
greater part was used by both business and the
private consumer for the accumulation of stocks—
particularly stocks of imported goods—credit expansion thus having a direct effect on the balance
of foreign payments. With the improvement in
the public finances of most countries, the credit
requirements of the government influenced the
monetary situation to a lesser extent than in any
year since before the Second World War. The
central banks of many countries have reacted
rapidly to the danger of inflation by raising their
discount rates and restraining credit expansion.
Review of conditions in individual countries has
shown that in 1950-51 widespread changes were
made in credit policy; the doctrine of the efficacy
of cheap money—an intellectual legacy from the
great depression of the 1930's which had remained
in vogue during the war and in the years immediately after it but which by 1947 had begun to
command less widespread support—has fallen still
further out of favour. The armament outlay which
is now to be superimposed on an already brisk
inflationary boom seems finally to have convinced
most countries of the need for action to stop the
chronic inflation which has persisted for more than
10 years. Long-term interest rates have been rising,
and other measures for the purpose of restraining
the expansion of credit have been taken as part
of a general financial and economic policy. The
most obvious signs of a change of heart (or at least
a change in tactics) have been the increases in discount rates in Belgium, Canada, Denmark, Finland,
Germany, the Netherlands, Sweden, and the United
States—increases of as much as 2 per cent in
Finland and Germany and of \y2 per cent in Denmark and the Netherlands.
The redundant supply of money found in most
FEDERAL RESERVE BULLETIN
ANNUAL REPORT OF THE BANK FOR INTERNATIONAL SETTLEMENTS
countries at the end of the war was clearly attributable, on the one hand, to credit expansion and, on
the other, to direct controls which, for the time
being, had prevented consumers and business enterprises from spending as much as they wished. In
such a situation people were forced to "save" to
an unusual extent, simply because they could not
buy the goods they wanted. But, that being so, part
of the resulting forced savings was sure to be spent
as soon as opportunity arose. Thus a pent-up
demand was accumulated which was bound to
make itself felt once peace had returned and supplies became more plentiful.
One indication of pent-up demand is given by
the relation of the supply of money to the national
income. This relation rose very sharply in most
countries during the war as governments financed
themselves by printing notes, while prices were
held in check by controls. Since the war the
supply of money, considered in relation to the
national income, has fallen again, and in most of
those countries which have succeeded in their efforts
to regain balance in their foreign payments it is
now little greater (in some cases smaller) than
before the war.
At the end of the war a surprisingly large number of countries expected prices to fall in the near
future and only a few—notably Belgium, Denmark,
and the Netherlands—took any steps to reduce the
supply of money created by war finance. In many
countries the supply of money was even allowed to
rise further as the demand for credit expanded.
It soon became clear, however, that repressed inflation (or "too much money chasing too few goods,"
as it was expressed in England) had very grave
disadvantages, notably shortages, low productivity,
and deficits in the balance of payments, and strenuous efforts were made to restore equilibrium. But
the excess of money was, in many countries, too
great to be removed simply by stopping new inflation and increasing production, and the authorities had to allow, though with great reluctance,
a substantial rise in prices. When equilibrium was
reached, or at least approached, it was found that
in most cases the supply of money stood once more
in much the same relation to the national income
as before the war. Even in the United Kingdom,
the Scandinavian countries, and the Netherlands,
which have maintained their wartime controls
longer and more completely than has been the
case elsewhere, the supply of money is much
nearer its prewar relation to the national income
than it was in 1945, the only country in this group
in which it is still far above the prewar level being
Norway.
The return in so many countries to the prewar
SEPTEMBER
1951
relation between money and national income suggests that in each country the public, in the aggregate, wishes to hold a fairly fixed proportion of
its income in the form of money. It would, however, be going too far to say that in a free economy
the relation between money and income never
varies: there may be not only short-run but also
long-run changes. In countries where confidence
in the currency is severely shaken by a major inflation there may well be a permanent shift, the
ratio of money to the national income settling down
at a lower level than previously; in France this ratio
is still well below the prewar level. On the other
hand, there may be a permanent shift upwards, as
seems to have occurred in the United States in
the 1930's. It is possible that this ratio has also been
permanently shifted upwards (though not to a
very great extent) in Switzerland—in this case,
owing to external as well as internal factors. The
stability of the Swiss franc has contrasted so
glaringly with the fate of the currencies of neighbouring countries that large amounts of Swiss notes
have been acquired by nonresidents, not for business purposes but as a safe investment.
For the United Kingdom the data available with
regard to the relation between the supply of money
and the national income in past years are not so
complete as for the United States, but rough estimates suggest that in the United Kingdom also a
very stable ratio has existed.
The evidence goes to show that controls will not
permanently prevent a rise in prices once the volume
of money has been allowed to increase, and that
monetary purchasing power, once created, is very
difficult to destroy. Price controls alone have been
of limited help; as a rule they have slowed down
but not stopped the rise in prices, and in "repressing" rather than curing inflation they have removed
only a few of its evils. Under such conditions the
"weight of money" has tended to force down interest rates to levels which are dangerously low from
the point of view of getting a hold on the trend of
private investment—and this pressure on interest
rates is at work even if the central bank does not
actively support the market by purchases of securities.
More important are the forms of control which
help to limit the issue of new money. A case in
point is a reduction of the percentage of the value
of a house on which builders can obtain a mortgage.
Limitation of consumer credit and direct curtailment of investment may both serve an important
purpose. It may be that, when there are wage and
price controls, the government spends less and consequently borrows less. In no case must the effect
of policy on the volume of purchasing power be
1121
ANNUAL REPORT OF THE BANK FOR INTERNATIONAL SETTLEMENTS
neglected, for it is an illusion to think that an
excess of purchasing power can be neutralised for
more than a short while by control measures prohibiting a rise in prices.
FROM THE INTRA-EUROPEAN PAYMENTS SCHEMES TO
THE EUROPEAN PAYMENTS UNION
Previous Annual Reports of this Bank have reviewed the working of the agreements for multilateral payments and compensations concluded
between the countries which are the members of the
Organisation for European Economic Cooperation;
the last of these Agreements, that for 1949-50, remained in force until June 1950.
The payments schemes, in which indirect American aid in the form of "drawing rights" played a
decisive part, could, however, be no more than a
first step towards the re-establishment of a more
normal financial and commercial regime in Europe.
They were, indeed, only a palliative to the rigidity
of the bilateral agreements which had, nevertheless,
enabled the countries of Europe—stripped as the
majority of them were of their material means of
existence—to resume some measure of international
trade after the war.
As a result of great progress achieved, more especially since 1949, not only in the field of production but also in the struggle against inflation and
in the reconstitution of monetary reserves, it became
possible, during the year 1950, to advance an important stage further within the framework of the
Organisation for European Economic Cooperation.
The member countries of the Organisation agreed
to liberate both trade and payments simultaneously:
the Agreement for the Establishment of a European
Payments Union, with retroactive effect from July 1,
was signed on September 19, 1950, and, 15 days
later, the decision to liberalise trade amongst member countries up to 60 per cent of imports on private account came into force. The steps taken
from July 1949 onwards to liberalise intra-European
trade are described in the Twentieth Annual Report
(page 142) and the more recent measures are reviewed earlier in this Report.
The disadvantages of the payments plans derived
largely from their having been conceived on a
"gross" basis, which meant that they were essentially bilateral, were based on estimates made before
the schemes came into operation, gave no possibility for a country by improving its position to
build up reserves and, finally, created certain wrong
incentives.
The devaluations of 1949 rid the atmosphere of
the thunder clouds which had hung so long over
the European balances of payments; more profound
1122
examination dissipated the hesitations felt in some
quarters regarding the "net" system; and free
"untied" ERP dollars became available to back
intra-European payments: all these factors contributed to the circumstances which made possible
the creation of the European Payments Union.
European Payments Union. The Agreement for
the Establishment of a European Payments Union
differs greatly from the intra-European payments
schemes which were the forerunners. Although
it did not prove possible to proceed, directly and
without intermediate stages, to a completely free
and multilateral system of payments devoid of all
restrictions, the member countries have, at any rate,
done their utmost to establish multilateral relations
of a financial as well as of a commercial character
throughout their circle. This endeavour is closely
related to the simultaneous effort to liberalise trade
relations to the greatest possible extent on a nondiscriminatory basis.
In general, the bilateral payments agreements
between individual countries remain in force, the
member countries are not obliged to maintain or
to reintroduce such agreements. Likewise, the participating countries can either maintain a more or
less strict internal control of foreign exchange or,
alternatively, relax this control to a large extent
(as a good many of them have done during the year
1950).
One result arising from the working of the
bilateral payments agreements in the past has
been eliminated, namely the accumulation of inconvertible balances with partner central banks.
To this end, the new balances shown by every
member central bank in relation to each of the
other central banks are offset monthly to obtain
the net position, whether creditor or debtor, of
each member country in relation to the Union, that
is to say towards all other members collectively. In
settlement of this position, each country makes or
receives payment, partly in gold (or dollars) and
partly in the form of credit, within the limits and
in the proportions agreed upon.
Under the European Recovery Programme the
United States Government has granted a 350
million dollar allocation to the Union to maintain
its liquidity (i.e. to cover the differences in the
amounts received or paid in gold or dollars each
month) and to assure its solvency.
An important feature of the new system is that
payments in gold (or dollars) by the debtors come
into the picture at an early stage—and the creditor
countries, instead of getting a blocked claim on
a single partner, as they would previously have
done under the bilateral agreements, receive, firstly,
a claim on the Union enabling them to make payFEDERAL RESERVE BULLETIN
ANNUAL REPORT OF THE BANK FOR INTERNATIONAL SETTLEMENTS
merits in any of the member countries (including
their monetary areas) and, secondly, amounts in
gold (or dollars) enabling them to make payments
in any country of the world, including those of the
dollar area.
At the same time the old bilateral debts outstanding in June 1950 have either been consolidated
(and are in process of repayment through the
monthly settlements of the Union), or remain as
"existing resources" which the countries owning
them can use (and, in many cases, have already
used) to cover their net deficits towards the Union.
The Agreement for the Establishment of a
European Payments Union was signed on September 19, 1950 by representatives of the governments
of Austria, Belgium, Denmark, France, Germany,*
Greece, Iceland, Ireland, Italy, Luxemburg, the
Netherlands, Norway, Portugal, Sweden, Switzerland, Turkey, the United Kingdom, and the
British/United States Zone of the Free Territory
of Trieste.
The constitution of the European Payments
Union. The Union is operated within the framework of the Organisation for European Economic
Cooperation, under the authority of the Council,
by the Managing Board and by the Bank for
International Settlements, the latter acting as Agent
for the Organisation.
The provisions of the Agreement became effective as from July 1, 1950 (except for Switzerland,
which adhered as from November 1, 1950 without
retroactive effect; consequently, Switzerland may
be considered as an exception whenever reference
is made to July 1, 1950 in connection with the
Union) and the Union is designed to remain in
being, if necessary after the end of the European
Recovery Programme, "until it is possible to establish, by other means, a multilateral system of
European payments." The financial engagements
of the member countries are, however, undertaken
in the first instance for two years, i.e. up to the
end of June 1952.
The purpose of the Union is to facilitate, by
means of a multilateral system of payments, the
* "Germany" in this chapter means the Western zones.
The Agreement for 1949-50 was signed separately by representatives of the Commanders-in-Chief of the French Zone
of Occupation of Germany and of the "Bizone" (British/
United States Zones), the three Western zones together being
known as the "Trizone" and shown as such in the tables
(regarding drawing rights, etc.) in the Agreement for
1949-50. The Agreement for the Establishment of a
European Payments Union was signed by a representative
of the Federal Republic of Germany and all references in
this Agreement are to "Germany." For convenience of
presentation "Germany" is maintained throughout this
chapter and always applies, of course, to the same area.
SEPTEMBER
1951
settlement of all transactions between the monetary
areas of member countries, according to their currency-transfer policies, with the objectives, described
in the preamble to the Agreement, of:
(a) achieving the largest possible measure of
liberalisation of trade, including the invisible items,
on a nondiscriminatory basis between member
countries;
(b) assisting them in their efforts to become
independent of extraordinary outside assistance;
(c) encouraging them to achieve or maintain a
high and stable level of trade and employment,
bearing in mind the need for their internal financial
stability; and, finally,
(d) assisting the transition to the situation which
will arise on the termination of the European Recovery Programme, by providing them, in particular, both with resources to play in part the role of
gold and foreign currency reserves and also with the
possibility and incentive, should their position improve, to strengthen their reserves in gold and
foreign currencies.
The preamble also stresses the point that the
maintenance of internal and external financial
equilibrium of the member countries is an indispensable condition for the proper operation of this
system of payments, which should "assist a return
to the general convertibility of currencies."
The Council of OEEC has the power to take any
decisions which may be necessary for the execution
of the Agreement, subject, however, to certain
powers delegated to the Managing Board.
The Bank for International Settlements, as Agent,
is entrusted with the execution of the operations
and the management of the fund in accordance with
the decisions of the Council and the Managing
Board.
The accounts of the Union are kept, calculations
relating to operations are made, and credits granted
by and to the Union are expressed in terms of the
unit of account of 0.88867088 grammes of fine
gold, i.e. %5 of an ounce, so that the unit of
account has a theoretical gold value equivalent to
that of the current U. S. dollar.
The working of the Union is based on the "cumulative principle," i.e. when any position is reduced,
there is a corresponding reversal of the previous
operations in the opposite order, before a new
operation is effected.
At the heart of the Union are the quotas and
the fund, and their working is simple; the complications arise principally from other matters such
as "initial balances" and "existing resources," and
these do not affect all the members.
1123
ANNUAL REPORT OF THE BANK FOR INTERNATIONAL SETTLEMENTS
The quotas and the fund. The quotas * are the
limits for each country of its cumulative accounting
surplus or deficit in intra-European payments from
July 1, 1950 onwards (on either side of "zero,"
i.e. a balanced position) which can be dealt with
through the Union by credit and gold payments.
All credit granted to the Union by the creditors
within the quotas bears interest at 2 per cent per
annum; credit granted to debtors by the Union
bears interest on an ascending scale.
[Within the quotas] the proportion of gold and
credit in the settlement of surpluses and deficits
[varies. Debtors receive and creditors grant a goldfree credit up to 20 per cent of their quota; beyond
that, debtors must furnish increasing proportions
of gold in relation to the credit received, while
creditors obtain for the rest of their quota settlement
for half of their surplus in gold and extend credit
for the other half.]
A fund is created for the purposes of the Agreement and is entrusted to the Organisation. It is
paid or credited with:
(a) an amount of 350 million dollars obligated
by the United States Government; (b) the gold
and dollar payments from the debtors of the Union;
(c) the claims in respect of credit granted by the
Union to the Debtors; and (d) the proceeds and
income from these assets.
The fund is used: (a) to make gold and dollar
payments to the creditors of the Union; (b) to
meet the obligations of the Union in respect of
credits granted by the creditors; and (c) to cover
any expenses of the Union with regard to transfers
of gold or currency, the investment of assets, etc.
Initial balances. The Government of the United
States of America has, through the intermediary of
the ECA, allotted initial debit and credit balances
in respect of a number of countries.
Initial debit balances, allotted to Belgium [44.05
million dollars],* Sweden [21.2 million], and the
United Kingdom [150 million] as prospective
creditor countries in intra-Europcan payments, constitute, in effect, grants from these countries to
the Union in consideration of the receipt of conditional aid from the ECA for the year 1950-51;
"firm allotments of conditional aid" were made
by the ECA in lump sums to the creditor countries
concerned on the coming into force of the Agreement.
Initial credit balances were allotted to Austria
1
Equivalent to approximately 15 per cent of each country's
turnoTer of intra-European trade (both visible and invisible)
in 1949 with some modifications (particularly for Belgium
and Switzerland).
* Editor's note.—In June 1951, the initial debit balance
for Belgium was reduced to $29,375,000.
1124
[80 million dollars], Greece [115 million], Iceland
[4 million], the Netherlands [30 million], and
Norway [50 million]. For Austria, Greece, Iceland, and the Netherlands the whole amount is
considered as a grant; for Norway the amount is
partly a grant and partly a loan from the Union.
"Existing resources" are the balances outstanding
on June 30, 1950 (for Switzerland, October 31) on
current account (plus any other balances notified
by central banks) which both parties agree should
not be consolidated or which, if consolidated, may
be used partly or wholly as existing resources.
Existing resources may be utilised in the operations by a net debtor country, up to the limit of
the net deficit of the using country in the current
accounting period, except to the extent that the
country concerned had a cumulative accounting
surplus at the conclusion of the operations relating
to the preceding accounting period.
The utilisation of existing resources is the only
exception to the cumulative principle; such resources can be used according to the conditions set
out above but they can never be reconstituted;
existing resources thus tend to disappear during
the period covered by the Agreement as they are
utilised in various operations to offset net deficits.
The United Kingdom has a special arrangement
in this matter owing to the importance to member countries of their sterling balances. The United
Kingdom Government has announced that all
sterling balances outstanding on June 30, 1950 may
be utilised by member countries to settle their
net deficits towards the Union. In an exchange of
letters between the United Kingdom Minister of
State for Economic Affairs and the United States
Special Representative in Europe, the ECA agreed
to indemnify the United Kingdom for any loss of
gold or dollars to the extent that such loss may have
been caused by the use of sterling balances of net
debtors in the settlement of their deficits with
the Union.
The practical wording of the Union. The new
Agreement for the Establishment of a European
Payments Union was not signed until September 19,
1950, so that the first operations of the Union
covered the accounting period from July 1 to
September 30, 1950; the second accounting period
was the month of October 1950 and operations have
been effected monthly ever since.
In the practical working of the Union there are
two phases which may be distinguished:
(a) the offsetting operations. The gross bilateral
surpluses and deficits of each month are fully "compensated" for each member country, leaving only
the net surplus or deficit for that month; further,
this net surplus (or deficit) on the month is
FEDERAL RESERVE BULLETIN
ANNUAL REPORT OF THE BANK FOR INTERNATIONAL SETTLEMENTS
"compensated" against any net deficit (or surplus)
the country may have had in previous months (the
application of the "cumulative principle").
(b) the settlement operations on the final net
positions.
An audited balance sheet of the European Payments Union will be published after the conclusion
of the operations in respect of June 1951; meanwhile, a Statement of Account is published monthly.
The Managing Board has endeavoured to introduce a certain flexibility into the automatic working
of the Union by its handling of particular cases
submitted to it. All the deliberations of the Managing Board are strictly confidential, but its principal
decisions have been published, so that it is possible
to give a brief review of them.
When the Managing Board met for the first time
in October the problem of the balance of payments
of Germany (which had utilised 54 per cent of
its quota in the first operations) was imminent.
The background to the German problem is reviewed earlier in this Report; after investigation
of the position by two independent experts and
examination of a report from the German Federal
Government, the Managing Board recommended
that a special credit arrangement be made for
Germany, and the Council of OEEC gave its
approval on December 13, 1950.
"Subject to the German Government's carryingout of the programme which it had itself proposed,
the German accounting deficit with the Union in
excess of the German quota (of 320 million dollars)
is covered up to a total of 180 million, as to onethird in gold or dollar payments and the remaining
two-thirds by a special credit from the Union, bearing interest at 2% per cent; the "plafond" of the
special credit, after remaining at 120 million dollars
until the end of April, is reduced by 20 million a
month from May until its extinction in October
1951. This arrangement fits in automatically with
the normal monthly operations of the Union to
cover the German deficits as they arise. The German Government pledged as security for the credit
the dollar funds on the "No. 2 Account" of the
Bank deutscher Laender at the Federal Reserve
Bank of New York."
After the full utilisation of Austria's initial credit
balance of 80 million dollars and a payment by
Austria of 2.6 million in dollars in March 1951,
it was decided with the agreement of the ECA
that any further accounting deficit with the Union
should be covered, up to a limit of 20 million
dollars until June 1951, one-half from Austria's own
resources in dollars and one-half from the Special
Assistance Fund.
After the full utilisation of Iceland's initial credit
SEPTEMBER
1951
balance of 4 million dollars in April 1951, any
further accounting deficit with the Union is covered,
not by utilisation of Iceland's quota, which was
blocked, but by additional dollar aid to Iceland
from the United States Government up to a limit
of 3 million until June 1951.
As regards Greece, the ECA announced that it
was prepared to facilitate, by certain re-allocations
of funds, the payments which that country has to
make to the Union before June 1951 and after the
full utilisation of its initial credit balance.
Agreements have likewise been made with the
countries whose credit balances are in danger of
exceeding their quotas.
Any surplus of Portugal in excess of its quota
(of 70 million dollars) would be covered, up to
a limit of 25 million dollars, one-half by gold payments by the Union to Portugal, and one-half by
credit granted by Portugal to the Union.
As regards Switzerland, some elasticity was introduced into the working of the Union by the Council
decision of August 18, 1950, whereby, if Switzerland exceeds its quota as a creditor, it will remain
in the Union on the basis of 50 per cent credit
granted to the Union, and 50 per cent gold payments by the Union to cover its further net surpluses.
Thus the nature of the special arrangements has
been adapted to the circumstances of each case. For
instance, the German balance-of-payments crisis in
the autumn of 1950 was considered to be of a
temporary, even if acute, nature properly met by
short-term credit arrangements; on the other hand,
the continuous Austrian deficits were so persistent
that credit arrangements did not appear appropriate
and a grant from the Special Assistance Fund of
the ECA was considered necessary.
The European Payments Union was formed at a;
critical moment in the development of the intraEuropean balances of payments, which received
the full impact of the rapid rise in prices from the
middle of 1950. This is reflected in the sharp
increase in the total of the net deficits, which
amounted to 1,080 million dollars in the nine
months of the operation of the Union to March
1951, compared with 580 million in the corresponding period a year earlier (which included the
devaluation of sterling and other currencies of
member countries).
The European Payments Union is essentially an
attempt at a transitional solution of the payments
problem upon a regional basis; the region is, indeed,
a considerable one, having close links with the
monetary areas of the member countries, the most
important being the sterling area. Further, the
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ANNUAL REPORT OF THE BANK FOR INTERNATIONAL SETTLEMENTS
system involves gold payments by debtor countries
on a scale sufficient to subject its members to a
severe discipline.
On the other hand, the European Payments
Union is necessarily confronted with the problems
inherent in any system which is limited to a particular region (even if it embraces a wide area)
but which cannot at any cost establish itself on a
footing of autarky. Each of the countries and
monetary areas belonging to the Union has its
own method of solving the problem of its relations
with the rest of the world—and, in particular, with
the dollar area; and it is in no way desirable that
the countries which have maintained or re-established the greatest freedom in their relations with
that area should fall into line with those which
still find it necessary to maintain more or less severe
restrictions.
The European Payments Union is, indeed, no
substitute for full convertibility: it is intended as
a step taken towards convertibility, combined with
the liberalisation of trade, by the cooperative effort
of a group of countries whose economies were
severely disrupted by the war—this effort representing the most efficient multilateral use of
American aid. Convertibility of currencies on a
world-wide basis must remain the objective towards
which all endeavours in this field are bent.
CONCLUSION
When the Second World War was over and the
question arose what economic and financial policies
should be pursued, one of the dominant ideas,
firmly rooted in wide and influential circles, was
that the world economy was heading for a serious
depression, which would make its appearance in
the very near future and bring back the terror of
unemployment. With the prolonged crisis of the
1930's still a living reality in people's minds, these
forecasts and fears created something of a psychosis.
In order to be able to stave off a repetition of the
losses and sufferings experienced in the years before
the war, those in authority were, in most cases,
bent on pursuing a cheap-money policy and financing investments by much the same methods as
had been employed during the war. Any danger
of inflation could, they believed, be counteracted by
administrative control over trade and prices; this
had proved useful during the war and it was commonly thought that it could be continued in time
of peace. In relation to other countries, emphasis
was laid on the attainment of exchange stability in
terms of official rates (in order to avoid "chaos")
rather than on creating a true exchange market,
which would have enabled currencies to be used
1126
on a multilateral basis for current transactions and
a reasonable volume of capital transfers. Efforts
were directed mainly towards an increase in production, it being thought that, if only output rose,
inflation would be checked, even though the new
plant and equipment were financed by the creation
of fresh money.
But instead of falling, prices continued to rise—
more slowly in some countries, more rapidly in
others, the cost of living being kept down rather
by the granting of food subsidies (which were a
heavy burden on the budgets) than by the operation
of systems of control (which under peacetime conditions could not be made very effective). The continued influence of inflationary forces, whether "repressed" or allowed to affect prices, necessarily led
to losses of monetary reserves for most European
countries—one financial crisis following the other,
especially in the field of foreign exchange, until,
in the difficult year 1947, a real breakdown in
international trade and payments seemed imminent.
The ^threatened calamity, which would have had
serious repercussions on the domestic situation in
the countries concerned, was, however, averted by
a series of fresh efforts, varying in form from country to country but all having as one of their principal aims the prevention of any further inflationary
expansion of credit. Internationally, a new venture,
commanding resources far beyond the means of
existing institutions, was launched under the name
of Marshall aid. Nationally, a new note was struck
by several countries: in the United Kingdom a
real over-all surplus was established in the budget
and artificial support was withdrawn from longterm interest rates on the London market, while
in Italy, and afterwards in France, stabilisation was
attained with the help of credit restrictions.
The result of these international and national
efforts was great progress, not only in production
and investment (of which the full fruits have yet
to be seen) but also towards a better internal
equilibrium—inflationary pressure being increasingly brought under control. For the most part,
however, the real mechanism of adjustment, in the
form of a flexible interest policy and of a genuine
exchange market, was still out of gear. So it
happened that the facade of exchange stability
could offer little resistance to even a moderate
degree of strain. Never in the history of the world
have there been more frequent alterations in exchange rates than in the period of official stability
after the Second World War.
After the devaluations in the autumn of 1949,
however, a period of more solid progress seemed
to be bringing a real stabilisation within reach.
An increase in domestic production went hand in
FEDERAL RESERVE BULLETIN
ANNUAL REPORT OF THE BANK FOR INTERNATIONAL SETTLEMENTS
hand with a reconstitution of monetary reserves
and was accompanied by a relaxation of control as
regards the internal relations of certain areas and a
liberalisation of trade within their bounds. In addition, a number of countries on the continent of
Europe began to allow free repatriation of their
bank notes—a development which helped to narrow
the margin between official and free-market quotations and, in particular, to ensure a more ready flow
of foreign exchange into official channels.
Many tasks still remained, however. Since restrictions imposed by other countries in relation
to the dollar area had been relaxed only to a small
extent, foreign competition was prevented from
producing its full effect, and this meant a limitation
of the international division of work, with a consequent reduction in the general level of efficiency.
As long as liberalisation was confined to a particular group of countries, it was inevitable that a number of difficulties would arise, particularly since the
countries belonging to this group had not all attained the same degree of exchange stability and
had not all relaxed their restrictions vis-a-vis the
dollar area to the same extent.
Then in the middle of 1950 the world was faced
with a fresh rearmament effort without having had
time to re-establish its economy on a truly sound
basis after the last conflict. Clearly, the goal of the
present efforts should be to avoid another war—and
the measures in which the countries place their reliance ought, therefore, to be such as would, to
the greatest possible extent, be compatible with
continued economic progress and especially with
exertions sustained over a prolonged period.
It would, in particular, be a fatal error to believe
that the methods of financing and the controls
which had been applied during the Second World
War could be usefully employed in time of peace,
even if it were an "armed peace." It is essential
for the purpose of maintaining the effective strength
of the various countries that the rearmament effort,
initiated as it has been for the sake of security,
should steer clear of inflation, with all the perils
and chaotic conditions which its recurrence would
involve. For a relapse into inflation would weaken
the social and economic structure—and the countries with a relatively free system are even less able
to afford such a loss of strength than those which
adhere to a collectivist type of economy. In the
conditions which have arisen there is clearly a need
for much "true planning," based on a careful
calculation of the resources really available and on a
determination to face the difficulties that have to be
overcome. Confronted as they are with the increased cost of armament, the countries will have
to inaugurate a stiffer budget policy, with heavier
SEPTEMBER
1951
taxation and curtailment of nonessentail expenditure. But, considering the heavy burdens already
borne in more than one country, it seems impossible
to expect that the increase in government expenditure will everywhere be met by higher current
revenue. Some government borrowing would seem
to be inescapable and, this being so, it is of the
greatest importance that no methods of financing
should be used which would lead to inflation; in
other words, there should be neither direct nor
indirect recourse to the central bank. Because of
the increased resources to be devoted to armaments,
it will clearly be necessary to curtail lending for
other purposes, and one of the main ways of
achieving that result will obviously be the application of a restrictive credit policy. In this connection mention may be made of the experience of
several countries which, with the aid of a careful
credit policy, have been able to restore and maintain
balance in their internal economies, even though
they have not managed to rid themselves completely
of the deficit in their budgets.
In certain countries the conditions for the pursuit
of a successful credit policy are today more propitious than they have been at any time since the war:
(i) The excess of money which was a general
feature just after the war has been practically
eliminated in most countries; thus a condition
without which the ordinary instruments of credit
policy cannot regain their effectiveness is on the
point of fulfilment.
(ii) Quite a number of countries have succeeded
in building up fairly substantial reserves and have
in that way acquired greater opportunities of
exerting an influence on credit conditions in their
markets.
When countries with weak monetary reserves
encounter difficulties in their balances of payments
they have obviously particularly strong reasons for
the application of a restrictive credit policy. But,
in real life, such countries are apt to rely upon direct measures (only too often in the belief that this
might relieve them of the need for contracting
credit at home), while the countries with stronger
reserves feel that they have something to lose and,
therefore, something to defend. But it is now becoming more generally recognised that, when reserves have to be used to meet foreign payments,
decisive steps must be taken to ensure that funds
are withdrawn from the domestic market; the proof
of this change of attitude is that central banks have
been increasingly prompt to take the necessary
action by raising their discount rates and limiting
the granting of fresh credits in other ways. It may
be recalled that in the years 1945-47 the central
banks in Belgium, France, and Italy had already
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ANNUAL REPORT OF THE BANK FOR INTERNATIONAL SETTLEMENTS
raised their discount rates; they have now been
followed by the monetary authorities in Canada,
Denmark, Finland, Germany, the Netherlands,
Sweden, and the United States, and the list could be
lengthened if account were taken also of the countries which (like the United Kingdom) have allowed an increase in their long-term interest rates
or applied more direct methods of curtailing credit
to consumers, the building trade, etc.
This is a development of great importance as
laying the foundation for a noninflationary financing of the armament effort on lines which
represent the abandonment of obstinate adherence
to a cheap-money policy that had been one of the
essential tenets in the financing of the last war. An
influence thus being more definitely exerted through
general financial action, it becomes less necessary
to introduce a host of individual control measures,
and this applies also to the unavoidable curtailment
of investments. In this connection it must be noted
that the need for such a curtailment cannot be
blamed on credit policy. The truth is, of course,
that investments have to be kept within limits
compatible with the amount of capital available
from domestic savings or foreign sources. No doubt
it is regrettable that a deficiency of real resources
has made such a curtailment necessary; but past
investments will still yield results, and there are
fortunately various means of a different character
by which the effectiveness of production can be
enhanced. Governments and business leaders do
not seem as yet to have quite got rid of their obsession with the idea that a serious postwar depression
is to be expected in the not very distant future and
that it may therefore be wise not to push on too far
with the output of agricultural and other products.
In addition to the change called for in this fundamental attitude towards production, there is also
need for the discontinuance of more specific ways
of limiting production and trade—ways which
often involve a certain measure of price support.
It is a fortunate circumstance that the taking of
steps in relation to these matters does not as a rule
require any additional outlay of capital.
There is a further way of strengthening incentives
to higher productivity and that is by the restoration
1128
of free scope for foreign competition through the
relaxation if not the complete weeding-out of import restrictions. Too long have foreign influences
been kept out of the home markets, and especially
influences from the dollar area; since manufacturers
in Europe will anyhow have to compete with dollar
area producers in third markets, there is a strong
case for extending the salutary effects of this competition. When there is a danger of their being
crowded out, this often spurs people on to greater
efforts than any other incentive. Some new capital
for the introduction of fresh methods of production
will no doubt be required, but a number of enterprises will very likely be able to secure the necessary
funds by ploughing back profits and, in general,
it may be said that no better use can be made of
limited resources than to devote them, in the first
place, to an improvement in technique, whether it
is a question of production or of marketing.
It is one of the merits of the more careful credit
policy which is now being adopted in so many
centres that this policy facilitates the task of relaxing restrictions on trade and foreign payments
and thus enables the countries in question to take
fuller advantage of an expansion of the international exchange of goods and services.
It will certainly not prove easy to remove the indirect protection afforded by the existing exchange
restrictions (particularly those in relation to the
dollar area) now that so many vested interests are
flourishing inside the fence of the exchange control. But the attempt must be made and must
succeed. The most effective use to which the remaining foreign aid and the more plentiful reserves
can be put is to employ them in decisive steps
towards the re-establishment of genuine exchange
markets and towards securing a significant relaxation of the restrictions hampering trade and payments between Europe and its overseas territories,
on the one hand, and the dollar area, on the other.
Progress along such lines is, indeed, an essential
condition for the attainment of a lasting economic
cooperation in Europe; for the structure of this
continent is such that no form of integration will
prove sound and durable if it is in any way
fashioned on the lines of a closed area.
FEDERAL RESERVE BULLETIN
LAW DEPARTMENT
Administrative interpretations of banking laws, new regulations issued by the
Board of Governors, and other similar material
Defense Materials Procurement and
Supply
Executive Order No. 10281
The President of the United States on August 28,
1951, issued Executive Order No. 10281 which,
among other things, established the Defense Materials Procurement Agency and revised the authority
of the Reconstruction Finance Corporation to make
loans to business enterprises under section 302 of
the Defense Production Act of 1950, as amended.
This Order amended Executive Order No. 10161
of September 9, 1950, so as to designate the Defense
Materials Procurement Agency and the Atomic
Energy Commission as additional guaranteeing
agencies under section 301 of the Defense Production Act. The pertinent provisions of Executive
Order No. 10281 are as follows:
EXECUTIVE ORDER NO. 10281
DEFENSE MATERIALS PROCUREMENT AND SUPPLY
the President, to hold the office of Defense Materials
Procurement Administrator in addition to his other
office: Provided, That the office of Administrator
shall have no compensation attached to it so long
as it is held by any other officer of the Government.
#
#
#
#
#
Section 202. The Defense Materials Procurement
Agency is hereby designated as an additional guaranteeing agency under section 301 of the Defense
Production Act of 1950, as amended; and accordingly, section 301 of Executive Order No. 10161 of
September 9, 1950, as amended, is hereby amended
by inserting therein, after the words "the Department of Agriculture," the words "the Defense Materials Procurement Agency,".
PART III. LOANS TO PRIVATE BUSINESS ENTERPRISES
Section 301. Part III of Executive Order No.
10161 of September 9, 1950, as amended, is hereby
further amended by adding after section 309
thereof (as added by Part II of this Executive
Order) the following new sections:
By virtue of the authority vested in me by the
Constitution and statutes, including the Defense
Production Act of 1950, as amended, and Title II
of the First War Powers Act, 1941, as amended,
"Sec. 310. (a) The Reconstruction Finance Corand as President of the United States and Commander in Chief of the armed forces of the United poration is hereby authorized and directed to make
loans (including participations in, or guarantees of,
States, it is ordered as follows:
loans) to private business enterprises (including
PART I. DEFENSE MATERIALS PROCUREMENT AGENCY
research corporations not organized for profit) for
Section 101. (a) There is hereby created an the expansion of capacity, the development of techagency which shall be known as the Defense Ma- nological processes, and the production of essential
terials Procurement Agency. There shall be at the materials, including the exploration, development,
head of the said agency a Defense Materials Pro- and mining of strategic and critical metals and
curement Administrator, who shall perform his minerals, exclusive of such expansion, development
duties subject to direction, control, and coordina- and production in foreign countries, as authorized
by and subject to section 302 of the Defense Protion by the Director of Defense Mobilization.
(b) The Defense Materials Procurement Admin- duction Act of 1950, as amended, and within such
istrator shall be appointed by the President by and amounts of funds as may be made available purwith the advice and consent of the Senate. There suant to the Defense Production Act of 1950, as
may be appointed to the office of Defense Materials amended.
Procurement Administrator any officer of the Ex"(b) Loans under section 310(a) hereof (1)
ecutive branch of the Government designated by shall be made upon such terms and conditions as
SEPTEMBER
1951
1129
LAW DEPARTMENT
the Corporation shall determine, (2) shall be made
only after the Corporation has determined in each
instance that financial assistance is not available on
reasonable terms from private sources or from other
governmental sources, and (3) except in the case of
working capital loans (involving no more than
minor expansion of capacity which is incidental to
a loan for working capital) shall be made only
upon certificate of essentiality of the loan, which
certificate shall be made by the Secretary of Agriculture with respect to food and food facilities and
by the Defense Production Administrator with respect to all other materials and facilities.
"(c) Applications for loans under section 310(a)
hereof shall be received from applicants by the
Corporation or by such agencies of the Government
as the Corporation shall designate for this purpose.
"Sec. 311. (a) The Export-Import Bank of Washington is hereby authorized and directed to make
loans (including participations in loans) to private
business enterprises, for the expansion of capacity,
the development of technological processes, and the
production of essential materials, including the exploration, development, and mining of strategic
and critical metals and minerals, in those cases
where such expansion, development or production
is carried on in foreign countries, as authorized by
and subject to section 302 of the Defense Production Act of 1950, as amended, and within such
amounts of funds as may be made available pursuant to the Defense Production Act of 1950, as
amended.
"(b) Loans under section 311 (a) hereof (1)
shall be made upon such terms and conditions as
the said Bank shall determine, (2) shall be made
only after the Bank has determined in each instance
that financial assistance is not available on reasonable terms from private sources and that the loan
involved cannot be made under the provisions of
and from funds available to the Bank under the
Export-Import Bank Act of 1945, as amended, and
(3) shall be made only upon certificate of essentiality of the loan, which certificate shall be made by
the Secretary of Agriculture with respect to food
and food facilities and by the Defense Production
Administrator with respect to all other materials
and facilities.
u
(c) Applications for loans under section 311 (a)
hereof shall be received from applicants by the
said Bank or by such agencies of the Government
as the Bank shall designate for this purpose."
1130
PART IV. MISCELLANEOUS AMENDMENTS OF PRIOR
ORDERS
Section 401. Executive Order No. 10161 of September 9, 1950, as amended, is hereby further
amended by inserting the following after section
801 thereof:
"Sec. 802. All functions delegated or assigned by
or pursuant to this Executive Order, or by or pursuant to any other Executive Order provision
amendatory or supplementary to this Executive
Order, including any such provision in an Executive
Order herafter promulgated, shall be performed,
by the respective officers and agencies concerned,
subject to the direction, control, and coordination
of the Director of Defense Mobilization."
Section 404. Section 301 of Executive Order No.
10161 of September 9, 1950, is hereby amended by
inserting therein, after the words "the Department
of the Air Force," the words "the Atomic Energy
Commission,". Executive Order No. 10223 of
March 10, 1951, is hereby revoked.
HARRY S. TRUMAN
The White House,
August 28, 1951.
Legislation
Defense Housing Act of 1951
The "Defense Housing and Community Facilities and Services Act of 1951," approved September
1, 1951 (Public Law 139—82d Congress), among
other things, afreets the residential credit restrictions
of the Defense Production Act of 1950, as amended,
by providing for (1) the suspension and relaxation
of restrictions in critical defense housing areas, (2)
minimum down payments for veterans' loans on
homes having a sales price of less than $12,000, and
(3) maximum down payments in connection with
conventional or FHA financing of homes where
the transaction price is $12,000 or less. The law also
provides that the maturity of any such loans may
not be required to be less than 25 years. The provisions of the Act of particular significance in this
connection are as follows:
Sec. 102. In order to assure that private enterprise shall be afforded full opportunity to provide
the defense housing needed wherever possible, in
FEDERAL RESERVE BULLETIN
LAW DEPARTMENT
any area which the President, pursuant to the
authority contained in section 101 hereof, has
declared to be a critical defense housing area—
(a) first, the number of permanent dwelling units (including information as to types,
rentals, and general locations) needed for defense workers and military personnel in such
critical defense housing area shall be publicly
announced and printed in the Federal Register
by the Housing and Home Finance Administrator;
(b) second, residential credit restrictions
under the Defense Production Act of 1950, as
amended, (1) as to housing to be sold at $12,000 or less per unit or to be rented at $85 or
less per unit per month, shall be suspended
with respect to the number and types of housing units at the sales prices or rentals which
the President determines to be needed in such
area for defense workers or military personnel,
and (2) as to all other housing, shall be relaxed
in such manner and to such extent as the President determines to be necessary and appropriate to obtain the production of such housing
needed in such area for defense workers or
military personnel;
1944, as amended, and the sales price of which
home does not exceed $7,000; and no more than
6 per centum down payment shall be required
in connection with any such loan where the sales
price exceeds $7,000 but does not exceed $10,000;
and no more than 8 per centum down payment
shall be required in connection with any such
loan where the sales price exceeds $10,000 but
does not exceed $12,000."
(b) The Defense Production Act of 1950, as
amended, is further amended by adding after
section 605 the following new section:
"Sec. 606. Not more than 10 per centum
down payment shall be required pursuant to
section 602 or section 605 of this Act in connection with the loan on any home not made or
guaranteed by the Veterans' Administration and
the transaction price of which home does not
exceed $7,000; nor more than 15 per centum in
connection with any such loan on any home the
transaction price of which exceeds $7,000 but
does not exceed $10,000; nor more than 20 per
centum in connection with any such loan on any
home the transaction price of which exceeds $10,000 but does not exceed $12,000. The term of
any loan referred to in the preceding sentence or
in the last proviso of section 605 shall not be required to be less than twenty-five years."
Sec. 207. Section 24 of the Federal Reserve
Sec. 611. Upon a finding by the Housing and
Act, as amended, is hereby amended by striking
Home
Finance Administrator that the acquisiout of the third sentence "or section 8 of title I"
tion
of
any
real property for a defense installation
and inserting in lieu thereof the words "section
or industry has resulted, or will result, in the dis8 of title I, or title IX".
placement of persons from their homes on such
Sec. 503. The third paragraph of section 24
property, he may (notwithstanding any other
of the Federal Reserve Act, as amended, is
provision of this or any other law) issue regulaamended by adding in clause (d) the words "or
tions pursuant to which such persons may be
the Housing and Home Finance Administrator"
permitted to occupy or purchase housing for
after the words "the Reconstruction Finance Corwhich credit restrictions established pursuant to
poration" and by adding the words "or of section
the
Defense Production Act of 1950 have been
102 or 102a of the Housing Act of 1948, as
relaxed
or housing which has been provided or
amended," after the words "provisions of the Reassisted
under the provisions of this Act (includconstruction Finance Corporation Act, as
ing
amendments
to other Acts provided herein),
amended,".
subject
to
any
conditions
or requirements that
Sec. 602. (a) Section 605 of the Defense Prohe
determines
necessary
for
purposes of national
duction Act of 1950, as amended, is amended by
defense.
striking out the period in the first sentence and
Real Estate Credit
inserting in lieu thereof the following: ": And
Amendment
to Regulation X
provided further, That no more than 4 per
The
Board
of
Governors
of the Federal Reserve
centum down payment shall be required in connection with the loan on any home made or System, with the concurrence of the Housing and
guaranteed by the Veterans' Administration pur- Home Finance Administrator, effective September
suant to the Servicemen's Readjustment Act of 1, 1951, issued Amendment No. 6 to Regulation X
#
•
SEPTEMBER 1951
#
#
*
#
1131
LAW DEPARTMENT
relating to real estate credit. The amendment is
for the purpose of revising the restrictions on housing credit affecting one- to four-family housing so
as to bring the regulation into conformity with
the provisions of the new Defense Housing and
Community Facilities and Services Act of 1951.
With respect to conventional and FHA-insured
home loans, the Act provides that no more than
10% down payment shall be required where the
transaction price does not exceed $7,000; no more
than 15% where the transaction price does not
exceed $10,000; and no more than 20% where the
transaction price does not exceed $12,000.
The Act also provides that credit restrictions
shall not require the term or maturity of any loan
on housing up to $12,000 to be less than 25 years.
Under the previous regulation, the maximum
maturity was 20 years for housing priced at more
than $7,000.
The new schedule of maximum loans and minimum down payments follows the requirements of
the Act up to $12,000 and then, as rapidly as practical, returns to the schedule of down payments
required under the credit controls instituted last
October. Except for fractional changes made in
the interest of simplifying calculations, the level of
the previous regulation is reached at $15,000 and
from that point on the mortgage limits are substantially the same as before.
The new Act also provides for the suspension of
credit restrictions in critical defense housing areas
for housing programmed for defense workers and
military personnel and selling for not more than
$12,000 or renting for not more than $85 a month.
Regulation X was amended accordingly, to bring
the provisions with respect to defense areas into
conformity with the new law. At the same time,
credit terms were also suspended for defense housing programmed in areas previously designated as
critical defense areas.
Regulation X was further amended to provide
for the exemption from the regulation of certain
essential nonresidential defense construction.
The text of the amendment is as follows:
AMENDMENT NO. 6 TO REGULATION X
Issued by the Board of Governors of the Federal Reserve
System with the concurrence of the Housing and Home
Finance Administrator
Regulation X is hereby amended in the following
respects, effective September 1, 1951:
1132
1. In subsection (p) of section 6, add at the end
thereof the following new sentence:
No action will be taken under this subsection
with respect to any area designated as provided
herein after September 1, 1951.
2. By adding the following subsection (q) to
section 6:
(q) Critical Defense Housing Areas.—Whenever
an area has been certified, under authority of any
applicable Federal statute, to be a critical defense
housing area, the terms prescribed by this regulation and the Supplement thereto will be suspended or relaxed to the extent deemed necessary
to encourage construction of housing needed for
defense workers and military personnel, the
extent of such suspension or relaxation to be
prescribed by public announcement.
3. In the Maximum Loan Value provision of
Schedule I of the Supplement delete the table and
insert therefor the following:
If the "value per family
unit" is
The "maximum loan
value per family unit" is
Not more than $7,000
90% of "value per family unit"
85% of "value per family unit"
80% of "value per family unit"
$9,600 plus 40% of excess of "value per family unit" over $12,000
$10,800 plus 20% of excess of "value per family unit" over $15,000
$11,800 plus 10% of excess of "value per family unit" over $20,000
50% of "value per family unit"
More than $7,000 but
not more than $10,000
More than $10,000 but
not more than $12,000
More than $12,000 but
not more than $15,000
More than $15,000 but
not more than $20,000
More than $20,000 but
not more than $24,500
Over $24,500
4. In the Maturity provision of Schedule I of
the Supplement insert "per family unit" after the
word "value" in the sixth line; delete the parenthetical clause "(determined as provided in section
2(7) of the regulation)" in the seventh line; delete
"$7,000" in the seventh line and insert therefor
"$12,000"; insert a period after "25 years" in the
eighth line and delete the remainder of that senFEDERAL RESERVE BULLETIN
LAW DEPARTMENT
tence, beginning with "if it is to be fully repaid * * *."
5. By adding the following subsection (m) to
section 5:
(m) Essential Nonresidential Defense Construction If in exceptional circumstances proposed
nonresidential construction is certified by the
head or assistant head of an appropriate agency
or department of the United States Government
to be essential to the national defense, application
may be made to the Federal Reserve Bank of
the district in which such construction is proposed for an exemption from this regulation for
such construction, and such Federal Reserve
Bank will issue a certificate of exemption therefor. Any extension of credit with respect to
nonresidential construction specified in such a
certificate of exemption shall be exempt from the
prohibitions of subsections (a) and (b) of section
4 of this regulation.
Margin Requirements
Amendment to Regulation T
The Board of Governors of the Federal Reserve
System has adopted an amendment making certain
minor technical changes in Regulation T, which
relates to margin requirements of brokers, dealers
and members of national securities exchanges.
One change excuses brokers from obtaining margin in margin accounts when the amount to be
obtained for transactions on a given day does not
exceed $ 100. Another change somewhat broadens
the exemption that is already contained in the
regulation for certain capital contribution loans to
members of securities exchanges. Both of these
changes became effective September 3, 1951. A
third change, which became effective September
17, 1951, clarifies and strengthens the rules regarding the withdrawal of dividends that are received
on securities in under-margined accounts.
The text of the amendment is as follows:
AMENDMENT NO. 11 TO REGULATION T
Issued by the Board of Governors of the Federal Reserve
System
Regulation T is hereby amended in the following
respects, the amendments to sections 3(g) and 4(/)
(2) to become effective September 3, 1951, and the
amendment to section 6(g) to become effective September 17, 1951:
SEPTEMBER
1951
1. By adding the following sentence at the end
of section 3(g):
In any case in which an excess so created, or increase so caused, by transactions on a given day
does not exceed f 100, the creditor need not obtain
the deposit specified therefor in the first paragraph of section 3(£).
2. By changing section 4(/) (2) to read as
follows:
(2) make loans, and may maintain loans, to or
for any partner of a firm which is a member of
a national securities exchange to enable such
partner to make a contribution of capital to such
firm, or may make and maintain subordinated
loans to such a member firm for capital purposes,
provided (A) the lender as well as the borrower
is a partner in such firm, or (B) the borrower is
a member of such exchange, the lender is a corporation all of the common stock of which is
owned directly or indirectly by the firm or by
general partners and employees of the firm, and,
in addition to the fact that an appropriate committee of the exchange has approved the firm's
affiliation with the corporation and is satisfied
that the loan is not in contravention of any rule
of the exchange, the loan has the approval of
such committee, or (C) the lender as well as the
borrower is a member of such exchange, the loan
has the approval of an appropriate committee of
the exchange, and the committee, in addition to
being satisfied that the loan is not in contravention of any rule of the exchange, is satisfied that
the loan is outside the ordinary course of the
lender's business, and that, if the borrower's
firm does any dealing in securities for its own
account, the loan is not for the purpose of enabling the firm to increase the amount of such
dealing;
3. By changing the second paragraph of section
6(g) to read as follows:
A creditor may permit interest, dividends or
other distributions received by the creditor
with respect to securities in a general account to
be withdrawn from the account only on condition that the adjusted debit balance of the account
does not exceed the maximum loan value of the
securities in the account after such withdrawal,
or on condition that (1) such withdrawal is made
within 35 days after the day on which, in accordance with the creditor's usual practice, such interest, dividends or other distributions are entered
1133
LAW DEPARTMENT
in the account, (2) such entry in the account has
not served in the meantime to permit in the
account any transaction which could not otherwise have been effected in accordance with this
regulation, and (3) any cash withdrawn does not
represent any arrearage on the security with
respect to which it was distributed, and the current market value of any securities withdrawn
does not exceed 10 per cent of the current market
value of the security with respect to which they
were distributed. Failure by a creditor to obtain
in a general account any cash or securities that
are distributed with respect to any security in
the account shall, except to the extent that withdrawal would be permitted under the preceding
sentence, be deemed to be a transaction in the
account which occurs on the day on which the
distribution is payable and which requires the
creditor to obtain in accordance with section 3(b)
a deposit of cash or maximum loan value of securities at least as great as that of the distribution.
Consumer Credit
Court Proceedings
A criminal information was filed on August 8,
1951, in the United States District Court in St.
Paul, Minnesota, charging Charlotte Lange, doing
business as Lange Television Sales, and Walter
Lange with violating Regulation W.
Refund of Finance Charges at Time of Add-on Sale
An inquiry has been received concerning the
application of Regulation W to a sales promotional
proposal of a Registrant doing business on a nationwide basis to refund, by cash payment or check,
a portion of the finance charges originally included
in an outstanding instalment sale obligation held
by him. Such refund would be made at or about
the time of an instalment add-on sale to the same
customer. It is understood that such refund may
include some of the finance charges already paid,
as well as the portion thereof not yet paid at the
time of the add-on transaction and the resulting
consolidation of indebtedness.
There would, of course, be no objection under
the regulation to a cancellation of the unearned
portion of the finance charges on the outstanding
obligation at the time of the consolidation of that
obligation with the new credit. However, the
Board is of the view that a transaction pursuant to
1134
the proposal in question would effect a reduction or
refund of the down payment required on the instalment add-on purchase or a total extension of
credit in connection therewith in an amount greater
than that permissible under the regulation.
Bona Fide Trade-Ins
Since the amendment to Regulation W which
was made following the amendment of the Defense
Production Act, and which became effective July
31, 1951, questions have been received concerning
trade-ins in connection with the instalment sale
of listed articles, particularly articles listed in
Groups B, C, and D of the Supplement to the
regulation.
It should be noted that the new provisions of
the statute and the regulation do not repeal the
requirement that a down payment must be obtained. Two provisions of the regulation are of
special importance here. One is section 6(V)(3)
which requires that a trade-in be described in the
Registrant's records and that the Registrant set out
"the monetary value assigned thereto in good
faith". The other is section 8(/)(7) which requires
that "any rebate or sales discount" be deducted in
calculating the "cash price" of the listed article,
and that the required down payment be determined
on the basis of the "cash price . . . net of any rebate
or sales discount."
The provisions of the statute and regulation,
especially those quoted above, prohibit certain
practices which would attempt to use fictitious
trade-in allowances to evade the down payment requirements. This is true even though the regulation does not necessarily require that trade-in allowances counted against down payments be limited to
the actual market value of the trade-in or to the
amount for which the Registrant expects to be able
to sell it. Some of the more important principles
forbidding fictitious trade-in allowances are indicated below.
1. It is evident that a transaction would involve
a rebate or sales discount rather than a trade-in
where the Registrant in fact did not receive delivery
and possession of the property for which a socalled trade-in allowance was granted. In such
a case an actual trade-in has not occurred, and
labelling the transaction as a "trade-in" will not
change its essential characteristic as a mere rebate
or discount. The Registrant has received nothing
FEDERAL RESERVE BULLETIN
LAW DEPARTMENT
in part payment by virtue of the so-called trade-in
and has merely reduced the price of the article
sold. Accordingly, the required down payment
would have to be obtained on the basis of the
"cash price" of the article net of such reduction.
2. A transaction would similarly conflict with
the requirements of the regulation where there
was applied against the required down payment a
so-called trade-in allowance in substantial amount
for property having a value that was nominal or
negligible, or that bore no reasonable relationship
to the so-called allowance. Among transactions
that would thus conflict would be many made on
the basis of a substantial uniform allowance for
all so-called trade-ins irrespective of their make,
model, or condition.
3. A trade-in could not be counted as a down
payment to the extent that there had been any offsetting increase in the price of the article being
sold. The price to be used as a standard here
would be the actual value at which the Registrant
at the time is selling the same or like articles with
an all-cash down payment or on a comparable
basis; that price might, of course, be lower than
the "list" price.
4. From the foregoing it may be noted that a
trade-in allowance cannot be counted against the
down payment required under the regulation except to the extent that it reflects a bona fide tradein or exchange of property. The regulation does
not prevent a Registrant from giving rebates or
discounts, or from calling them anything he may
like; but no matter what he may choose to call
them for his own purposes, they obviously cannot
take the place of the down payment required by
the regulation and cannot excuse the Registrant
from the requirement that he actually obtain the
required down payment. In other words, a Registrant is entirely free to give any trade-in allowances,
rebates, or discounts that he desires; but such allowances, rebates, or discounts cannot be used as a
cloak to conceal evasions of the down payment requirements of the regulation contrary to the principles here set out.
5. Under section $(a) of the regulation the
Registrant is required in any given case to keep
such records as are relevant to establishing that
his treatment of an allowance as a trade-in or exchange in payment or part payment of the required
down payment is in conformity with the foregoing
and with the requirements of the regulation.
SEPTEMBER
1951
Reserves
Cash Collateral Accounts
The Board of Governors has been asked to rule
upon the question whether so-called "cash collateral
accounts" held by member banks against outstanding commercial letters of credit providing for the
drawing of sight drafts should be considered deposits for purposes of reserve requirements under
section 19 of the Federal Reserve Act. The Board
is authorized to define demand and time deposits
for the purposes of this section.
In a typical case, it is understood that, in connection with the issuance of a commercial letter
of credit by a member bank and its customer's obligation to place the bank in funds to meet drafts
drawn under the letter, a separate account in the
name of the customer, known as a "cash collateral
account," is set up on the books of the member
bank, either through transfer of funds from another account or a deposit of cash, in an amount
equal to all or some portion of the maximum authorized amount of the letter of credit; that, as
drafts are drawn under the letter of credit and
presented to the bank for payment, the amounts of
such drafts are charged to such account; and that,
after termination of the letter of credit, any balance
remaining in the account is paid or credited to the
customer.
After careful consideration of all aspects of this
matter, it is the Board's view that, for purposes of
reserve requirements under section 19 of the Federal Reserve Act, such a cash collateral account
should be considered a deposit against which a
member bank is required to maintain reserves.
Since 1922, the Board has applied the general
principle that "all funds received by a bank in the
course of its commercial or fiduciary business must
be treated either as deposits against which reserves
must be carried, or as trust funds subject to the
ordinary restrictions and safeguards imposed upon
the custody and use of trust funds." (1922 BULLETIN 572) This general principle, of course, was
not intended, nor has it been construed, to mean
that funds received by a bank in payment of a
liability to the bank are to be treated as deposits.
In the present case, funds held in the cash collateral
accounts in question are not segregated but are
mingled with the bank's other cash assets and used
in the course of its business. It has been contended,
1135
LAW DEPARTMENT
however, that such funds should not be treated as
deposits for reserve purposes because they constitute
a prepayment of the customer's liability to place the
bank in funds with which to pay drafts subsequently drawn and presented for payment under
the letter of credit.
Funds received by a bank in payment or prepayment of a customer's liability do not, of course,
give rise to a deposit where the customer's liability
to the bank is in fact simultaneously reduced at the
time of the receipt of such funds. For example, no
deposit arises when funds are received by a bank
from its customer and are used at the time of receipt to reduce the customer's obligation on an instalment loan or to reduce the customer's obligation to place the bank in funds with which to meet
executed and outstanding acceptances at their maturity.
In such cases, however, the amount of the customer's liability is definitely known. This is not
the case where a cash collateral account is set up
to meet drafts drawn under an outstanding letter
of credit. It is true, of course, that the maximum
potential amount of the drafts which may be drawn
under the letter is known; but the amount, if any,
of drafts that will be drawn and presented to the
bank under the letter cannot be determined. In
such circumstances, funds in the cash collateral account cannot properly be considered a prepayment
of the customer's liability.
Until such time as the customer's cash collateral
account has been completely used in reimbursing
the bank for drafts paid by it, the bank remains
liable to return the unused cash collateral to the
customer in the event that the unused portion of
the letter of credit is canceled. In other words, the
bank becomes and remains liable to return to the
customer the whole or part of the cash collateral
deposited by him and mingled by the bank with its
other cash assets. This is also true, of course, of
cash received from customers for letters of credit
sold for cash, which are specifically included in the
definition of demand deposits set forth in Regulation D.
UNITED STATES GOVERNMENT ORGANIZATION MANUAL
Following is an announcement regarding the
United States Government Organization Manual
which is printed in the BULLETIN by request:
The United States Government Organization
Manual, an official handbook published by the Federal Register Division, contains sections descriptive
of the agencies in the legislative, judicial, and executive branches. Supplemental information following these sections includes (1) brief descriptions
1136
of quasi-official agencies and selected international
organizations, (2) charts of the more complex
agencies, and (3) appendixes relating to abolished
or transferred agencies, to governmental publications, and to certain auxiliary material.
The 1951-52 Edition of the United States Government Organization Manual is now on sale at
one dollar per copy by the Superintendent of Documents, Government Printing Office, Washington 25, D. C.
FEDERAL RESERVE BULLETIN
NATIONAL SUMMARY OF BUSINESS CONDITIONS
[Compiled August 24 and released for publication August 27]
Industrial output in July and August was somewhat below earlier peak rates, reflecting in part the
reduced rate of consumer buying earlier this year
and consequent accumulation of business inventories. After the early part of July, consumer buying
apparently increased more than seasonally. Defense
expenditures continued to expand rapidly. Prices of
raw materials generally changed little after midJuly, following substantial declines from earlier
peak levels. Business loans at banks showed some
expansion.
INDUSTRIAL
PRODUCTION
The Board's index of industrial production declined in July to 213 per cent of the 1935-39 average, as compared with a half-year plateau of around
222 and a year-ago level of 196 per cent. The decline
from June was mainly due to plant-wide employee
vacations in a number of industries, but there were
also more than seasonal reductions in output of
automobiles, textiles, and certain other goods. Preliminary indications are that output in August will
be above July but still somewhat below the first half
level
Passenger car assemblies in July were curtailed
by about one-fifth from the June rate, reflecting
mainly the cuts ordered by the National Production
Authority for the third quarter. Production declines
were less marked for furniture and other household
durable goods. Output of producers equipment and
of primary metals was generally maintained close
to earlier peak levels. Production of lumber was reduced. Among the nondurable goods pronounced
decreases occurred in the output of textile and
leather products while chemicals production continued to rise slightly.
Mining output decreased from the high June
level largely as a result of the coal miners' vacation
in early July. Crude petroleum production continued in excess of 6 million barrels daily, as compared with about 5!/2 million a year ago.
CONSTRUCTION
Value of construction contract awards, according
to the F. W. Dodge Corporation, showed little
change in July as decreases in most types of privately financed awards were offset by increases in
public awards. Value of work put in place, allowing
for seasonal influences, continued to decline from
the peak reached earlier this year, reflecting chiefly
further declines in private residential building.
Business construction activity continued to rise from
already advanced levels.
EMPLOYMENT
Employment in nonagricultural establishments
in July, after adjustment for seasonal influences,
was maintained at about record June levels. The
average work-week in manufacturing industries
declined somewhat; hourly earnings continued at a
peak level of $1.60 per hour. There were about 1.9
million persons unemployed in July, the lowest
number for this month since 1945.
DEPARTMENT STORE SALES AND STOCKS
INDUSTRIAL PRODWCTtON
PER CENT
PHYSICAL VOLUME, SEASONALLY ADJUSTED, 1935 - 39 » 100
PER CENT
PER CENT
POLLAR VOLUME, SEASONALLY ADJUSTED. 1 9 3 6 - 3 9 - 100
400
240
4
220
V
/
200
180
1
/
\I
160
S/SLES
k
L
\
/
220
A
200
130
rvi
I.-60
f
STOCKS
1646
1-947
i
i
140
120
100
1942
1943
1944
1945
Federal Reserve iadex.
for July.
SEPTEMBER
1951
1946
1947
194B
1949
t980
1951
Monthly figures, latest shown are
1942
V943
1944
1945
1948
1*949
1950
1951
Federal Reserve indexes. Monthly figures, latest shown are
for July.
1137
NATIONAL SUMMARY OF BUSINESS CONDITIONS
AGRICULTURE
Crop prospects decreased slightly during July
with overall prospects at the beginning of August
indicated to be 6 per cent larger than last year and
3 per cent below the 1948 record. The cotton harvest was forecast at 17.3 million bales as compared
with the small crop of 10 million bales last year.
Beef slaughter has increased from the reduced level
of June and early July.
DISTRIBUTION
Seasonally adjusted sales at department stores in
July and the first three weeks of August were
moderately above the level of the preceding three
months, reflecting increases in the volume of apparel and household durable goods stimulated
partly by extensive promotions. Consumer buying of
new passenger cars also expanded moderately after
declining in the early part of July. Value of stocks
at department stores changed little during July,
according to preliminary data, following some reduction in May and June. Stocks of household durable goods continued at high levels.
COMMODITY PRICES
The general level of wholesale commodity prices
has continued to decline since mid-July, but at a
slower rate than in the preceding month. Prices of
most basic commodities have shown little further
decrease. Reductions in wholesale prices of consumer goods have become more numerous. Some
automobile manufacturers, however, have requested
higher Federal ceiling prices. Price increases for
machine tools will be permitted under recent Federal action.
The consumers price index advanced slightly in
July. Since then retail prices of apparel, houseCONSUMERS* PRICES
furnishings, and some other goods have declined
somewhat further, while food prices have been
maintained at the high level reached in February
and rents have increased somewhat further.
BANK CREDIT AND THE MONEY SUPPLY
The total volume of bank credit outstanding has
changed only slightly in recent weeks. Business
loans at banks in leading cities, however, increased
seasonally during late July and early August. Loans
to finance direct defense contracts and defense supporting activities, principally loans to metal manufacturers and public utilities, expanded further.
Loans to commodity dealers and food manufacturers also began to increase after a steady decline
during the spring and early summer months.
Holdings of Government securities by commercial banks and the Federal Reserve Banks have
shown little change since June. Increased weekly
offerings of bills by the Treasury during July and
the first half of August were largely absorbed outside the banking system.
Deposits and currency held by businesses and individuals increased somewhat in July, while Federal Government balances declined. In the first half
of August deposits at banks in leading cities declined.
SECURITY MARKETS
Prices of common stocks in the first week of
August reached the highest levels since May 1930
and declined slightly thereafter. Prices of long-term
United States Government securities and highgrade corporate bonds have risen somewhat since
the end of June. Yields on Treasury bills advanced
somewhat in July and August, while other shortterm rates declined.
LOANS AND INVESTMENTS AT MEMBER BANKS IN LEADING CITIES
- 39 • 100
OTHER THAN U. S. GOVERNMENT SECURITIES
BILLIONS OF DOLLARS
BILLIONS OF DOLLARS
220
. / " X FOOD
200
r^
t
180
APPARE
L
r"
V-^
1,
f
1/
160
ALL'ITEMS
L>j
140
120
.
J
y'
* MISCELLAN EOUS
—•
"
RENT
100
1942
1943
1944
1945
1946
1947
1948
1949
1950
1951
Bureau of Labor Statistics' indexes. "All items" includes
fuel and housefurnishings groups not shown separately. Midmonth figures, latest shown are for July.
1138
1948
1949
1950
1951
1948
1949
1950
1951
Wednesday figures, latest shown are for August 29.
FEDERAL RESERVE BULLETIN
FINANCIAL, INDUSTRIAL, AND COMMERCIAL STATISTICS
UNITED STATES
PAGE
Member bank reserves, Reserve Bank credit, and related items
Federal Reserve Bank rates, reserve requirements; margin requirements; fees and rates under Regulation V. .
Federal Reserve Bank statistics
Guaranteed Regulation V loans
Deposits and reserves of member banks. .
Money in circulation...
Bank debits and deposit turnover; Postal Savings System
Consolidated statement of the monetary system, deposits and currency
All banks in the United States, by classes
All insured commercial banks in the United States, by classes. .
Weekly reporting member banks
Number of banking offices on Federal Reserve par list and not on par list
Commercial paper, bankers' acceptances, and brokers' balances. .
Money rates; bank rates on business loans; bond yields. .
Security prices and new issues
Corporate sales, profits, and dividends. .
Treasury
finance
Government corporations and credit agencies. .
Business indexes
Department store statistics. .
Consumers' prices
Wholesale prices
Gross national product, national income, and personal income. .
Consumer credit statistics
Current statistics for Federal Reserve chart book. .
August crop report, by Federal Reserve districts.
Changes in number of banking offices in the United States.
1141-1142
1142-1143
1144-1148
1148
1149
1150-1151
1151
1152
1153-1155
1156-1157
1158-1161
1162
1163
1164
1165-1166
1166-1168
1169-1171
1172
1173-1182
1183-1186
1186
1187
1188-1189
1190-1192
1193-1197
1198
1199
Tablet on the following pages include the principal available statistics of current significance relating
to financial and business developments in the United States. The data relating to the Federal Reserve
Banks and the member banks of the Federal Reserve System arc derived from regular reports made to
the Board; index numbers of production arc compiled by the Board on the basis of material collected
by other agencies; figures for gold stock, money in circulation, Treasury finance, and operations of
Government credit agencies are obtained principally from statements of the Treasury, or of the agencies
concerned; data on money and security markets and commodity prices and other series on business
activity are obtained largely from other sources. Back figures for banking and monetary tables, together
with descriptive text, may be obtained from the Board's publication, Banking and Monetary Statistics:
back figures for most other tables may be obtained from earlier BULLETINS.
SEPTEMBER 1951
1139
MEMBER BANK RESERVES, RESERVE BANK CREDIT, AND RELATED ITEMS
BILLIONS OF DOLLARS
WEDNESDAY FIGURES
_
_
_
_
BILLIONS OF DOLLARS
_
_
=
MONEY
IN CIRCULATION
I
RESERVE BANK
CREDIT
MEMBER BANK
RESERVE BALANCES
TREASURY CASH AND DEPOSITS
NONMEMBER DEPOSITS
1942
1943
1944
1945
1946
1947
1948
1949
1950
1951
TOTAL RESERVE BANK HOLDINGS
OF U. S. GOVERNMENT SECURITIES
15
10
10
1942
1943
1944
1945
1946
1947
1948
1949
1950
(95 6
Wednesday figures latest shown are for August 29. See page 1141.
1140
FEDERAL RESERVE BULLETIN
MEMBER BANK RESERVES, RESERVE BANK CREDIT, AND RELATED ITEMS
[In millions of dollars]
Member bank
reserve balances
Reserve Bank credit outstanding
U. S. Government
securities
Date or period
Discounts
and
advances
Total
All
Bills,
1 Total
certifi- other
Bonds cates,
and
notes
Gold
stock
Treasury
currency
outstanding
Treasury de-
Money
in circulation
Other
FedTreasNoneral
ury
with
memcash Federal ber de- Reserve
holdReposits
acings
Total
serve
counts
Banks
Required2
Excess2
Wednesday
figures:
1950—July 5 .
July 12.
July 19.
July 26.
83
65
199
350
18,586 5,555 13,031
18,294 5,411 12,883
17,869 5,286 12,583
17,964 4,997 12,967
281 18,950 24,231
399 18,757 24,207
407 18,475 24,207
18,636 24,157
4,607
4,606
4,606
4,605
27,315
27,169
27,029
26.915
,302
,309
,310
.315
645
383
525
504
1,470
1,457
1,462
1,439
802
804
804
809
16,254
16,448
16,157
16,415
15,463
15,544
15,527
15,585
791
904
630
830
Aug. 2.
Aug. 9.
Aug. 16.
Aug. 23.
Aug. 30.
301
263
106
115
107
18,143
18,349
18,334
18,577
18,584
4,860
4,791
4,691
5,440
6,551
13,283
13,558
13,643
13,137
12,033
318
292
449
191
288
18,762 24,136
18,904 24,035
18,889 23,954
18,883 23,803
18,979 23,752
4,609
4,608
4,608
4,609
4,611
27,000
27,015
26,976
26,963
27,042
,304
,309
,309
,308
,308
564
667
717
562
676
1,487
1,431
1,392
1,272
1,304
757
759
759
748
728
16,395
16,366
16,298
16,442
16,285
15,553
15,535
15,613
15,686
15,767
842
831
685
756
518
Sept.
Sept.
Sept.
Sept.
6.
13.
20.
27.
99
71
51
120
18,942
19,064
18,526
19,353
7,284
8,233
3,731
3,773
11,658
10,831
14,795
15,580
396
529
591
601
19,438 23,577
19,665 23,576
19,169 23,525
20,075 23.474
,613
,613
,613
,614
27,259
27,151
27,081
27,060
,311
,305
,301
,307
511
648
654
1,144
1,220
1,182
1,204
1,190
716
703
768
762
16,611
16,865
16,299
16,699
15,747
15,934
15,946
15,837
864
931
353
862
Oct. 4.
Oct. 11.
Oct. 18.
Oct. 25.
45
68
39
50
19,375 3,824 15,551
19,507 3,923 15,584
19,506 3,979 15,527
19,229 4,058 15,171
552 19,972 23,482
470
23,432
881 20,426 23,291
473 19,753 23,290
,617
,618
,617
,618
27,188
27,339
27,228
27,121
,308
,316
,313
,300
848
508
449
420
1,288
1,332
1,292
1,367
813
810
807
805
16,626
16,789
17,245
16,649
15,848
778
15,829
960
15,995 1,250
15,962
687
19,291 4,198 15,093
19,311 4,271 15,040
19,425 4,281 15,144
19,296 4,268 15,028
19,569 4,346 15,223
458 19,860 23,249
251
23,198
675
23,148
619 20,162 23,097
692 20,501 23,037
,622
,622
,621
,622
,626
27,219
27,388
27,296
27,450
27,543
,304
,292
,304
,281
,298
452
298
341
541
564
1,335
1,324
1,199
1,242
1,218
748
748
745
745
742
16,674
16,625
17,054
16,622
16,799
15,947
727
15,906
719
16,044 1,010
16,084
538
16,120
679
4,628
4,628
4,630
4,631
27,698
27,759
27,929
27.916
.294
,294
,291
,295
540
451
685
786
1,220
1,213
1,208
1,215
725
716
760
760
17,049
17,465
17,416
17.174
16,100
949
16,365 1,100
16,550
866
16,415
759
Nov.
Nov.
Nov.
Nov.
Nov.
1.
8.
15.
22.
29.
111
291
71
247
240
Dec.
Dec.
Dec.
Dec.
6.
13.
20.
27.
110 20,239 4,571 15,668 573
69 20,529 4,820 15,709 746
54 20,227 4,533 15,694 1,583
301 20,337 4,589 15,748 1,081
1951—Jan.
Tan.
Jan.
Jan.
Jan.
3.
10.
17.
24.
31.
28
73
101
273
798
20,571
20,461
20,798
20,545
21,484
4,624
4,674
4,747
4,747
4,965
15,947 1,281 21,879 22,706
15,787 700 21,
,546
16,051 1,024 21,923 22,494
15,798 790 21,608 22,443
16,519 769 23,051 22,392
4,634 27,685
4,635 27,415
4,635 27,200
4,635 27,028
4,638 27,048
,299
,308
,303
,303
,297
546
273
105
256
807
1,250
1,173
1,113
1,095
1,206
747
745
743
743
737
17,691
17,502
18,587
18,260
18,984
16,500 1,191
16,391 1,111
17,618
969
17,610
650
18,047
937
Feb.
Feb.
Feb.
Feb.
7.
14.
21.
28.
643 21,641
294 21,808
196 21,854
397 21,881
5,080
5,202
5,320
5,393
16,561 976 23,260 22,341
16,606 1,229 23,330 22,260
16,534 1,233 23,283 22,207
16,488 909 23,188 22,086
4,638
4,637
4,637
4,640
27,125
27,159
27,164
27,188
,307
,292
,277
,293
795
864
796
465
1,200
1,226
1,223
1,172
736
734
733
729
19,075
18,952
18,934
19,066
18,249
18,211
18,357
18.366
Mar.
Mar.
Mar.
Mar.
7.
14.
21.
28.
207
132
151
471
5,592
5,859
5,891
6,032
16,587 840 23,226 21,951
16,567 1,093 23,652 21,900
16,457 1,109 23,607 21,856
16,574 775 23,852 21,855
4,639 27,219
4,639 27,167
4,638 27,121
4,637 27,038
,308
,283
,295
,299
495
420
608
1,052
1,065
1,102
1,042
1,197
724
721
734
736
19,004
19,498
19,301
19,023
18,288
716
18,456 1,042
18,724
577
18,535
488
Apr.
Apr.
Apr.
Apr.
4.
11.
18.
25.
126 22,914 6,288 16,626 773 23,813 21,806
92 23,086 6,498 16,588 717 23,895 21,806
114 23,086 6,544 16,542 1,034 24,234 21,807
149 22,940 6,570 16,370 700 23,789 21,807
4,640
4,640
4,640
4,641
27,138
27,166
27,157
27,122
,304
,287
,293
,296
711
411
621
678
1,213
1,190
1,184
1,212
753
753
752
753
19,141
19,533
19,674
19,176
18,495
646
18,546
987
18,558 1,116
18,482
694
May 2 .
May 9.
May 16.
May 2 3 .
May 30.
264 22,716
422 22,544
22,397
226 22,413
540 22,293
6,570
6,618
6,644
6,713
6,719
16,146
15,926
15,753
15,700
15,574
4,643
4,643
4,643
4,642
4,642
27,255
27,315
27,287
27,251
27,461
,294
,298
,297
,290
,294
707
767
745
765
620 1,217
697
696
695
696
693
18,942
18,833
19,072
18,606
18,508
18,486
18,270
18,306
18,315
18,202
June 6.
June 13.
Tune 20.
June 27.
128 22,653
179 22,758
165 22,806
220 22,843
6,869
6,936
6,736
6,809
15,784 765
15,822 846
16,070 1,178
16,034 852
23,546 21,756
23,783 21,756
,755
24,
23,916 21,755
4,644
4,647
4,648
4,650
27,520
27,499
27,479
27,601
,303
,289
,285
,286
139
129
433
418
1,102
1,095
1,099
1,139
684
686
774
775
19,198
19,487
19,482
19,102
18,335
863
18,417 1,070
18,642
840
18,564
538
July
3.
July 11.
July 18.
July 25.
181 22,977 6,822
236 23,092 5,822
300 23,081 5,822
78 23,057 5,822
16,155 812 23,970 21,756
17,270 938 24,267 21,757
17,259 1,223 24,605 21,758
17,235 928 24,063 21,759
4,654
4,656
4,656
4,658
27,948
27,893
27,781
27,706
,287
,296
,296
,305
179
253
612
424
764
768
766
767
19,189
19,364
19,380
19,088
18,556
18,459
18,465
18,440
633
905
915
648
Aug.
Aug.
Aug.
Aug.
Aug.
408 23,081
200 23,118
242 23,151
214 23,084
23,066 5,822
17,259
17,296
17,329
17,262
17,244
4,663
4,665
4,666
4,667
4,668
27,842
27,904
27,925
27,932
28,034
,308
,298
,288
1,292
1,291
557
203
495
434
557
722
720
719
718
717
19,099 18,430
19,328 18,441
19,285 18,468
19,172 P18.465
18,871 P 1 8 , 4 7 6
669
887
817
*>7O7
P395
1.
8.
15.
22.
29.
22,179
22,426
22,348
22,606
20,922 22,976
21,,344 22,926
21,864 22,796
21,720 22,795
744 23,724 21,755
740 23,706 21,755
974
21,755
772
21,755
564 23,396 21,755
794
727
967
877
657
24,282 21,759
24,046 21,759
24,360 21,800
24,175 21,800
24,001 21,800
1,175
1,016
1,113
1,096
999
826
741
577
700
456
563
766
291
306
v Preliminary.
i Includes industrial loans and acceptances purchased shown separately in subsequent tables.
* Wednesday figures and end-of-month figures (shown on next page) are estimates.
Back figures.—See Banking and Monetary Statistics, Tables 101-103, pp. 369-394; for description, see pp. 360-366 in the same publication.
SEPTEMBER 1951
1141
MEMBER BANK RESERVES, RESERVE BANK CREDIT, AND RELATED ITEMS—Continued
[In millions of dollars]
Reserve Bank credit outstanding
U. S. Government
securities
Discounts
and
advances Total
Date or period
End of period:
1929—June 2 9 . .
1933—June 3 0 . .
1939—Dec. 3 0 . .
1941—Dec.
1945—Dec.
1946—Dec.
1947—Dec.
31..
31..
31..
31..
1948—June
Dec.
1949—June
Dec.
1950—June
30..
31..
30..
31..
30..
1950—Aug.
Sept
Oct.
Nov
Dec
1951—j a n .
Feb
Mar
Apr.
May
June
July
Aug... .
Averages of
daily figures:
1950—j u n e t
July
Aug
1951—j u n e
July
Aug
p <
_
1,037
Gold
stock
All 1 Total
Bills,
certifi- other
Bonds cates,
and
notes
216
71
145
147
58
102
104
580
581
536
268
542
250
536
329
ing
1,400
2,220
2,593
2,361
25,091
24,093
23,181
21,900
24,097
19,696
19,499
18,703
4,037
4,031
17,644
22.737
20,065
20,529
22,754
23,532
24,244
24,466
24,427
24,231
164
7
3
249
163
85
265
223
103
78
43
441 1,557
1,998
2,484 1,351 1,133
787
2,254 1,467
947 23,315
24,262
753 22.597
23.350
22,559 2,853 19,706
21,366 6,206 15,160
23,333 10,977 12,356
19,343 7,780 11,563
18,885 7,218 11,667
18,331 5 ,618 12,713
83
72
116
162
67
798
397
275
283
529
53
277
552
18,356 6,768 11,588
381 18,820 23,627
19,572 3,793 15,779
695 20,340 23,483
19,252 4,180 15,072
431 19,798 23,249
19,693 4,364 15,329
783 20,638 23,037
20,778 4,620 16,158 1,371 22,216 22,706
21,484 4,965 16,519
769 23,051 22,392
909 23,188 22,086
21,881 5,393 16,488
22,910 6,187 16,723
964 24,150 21,806
22,742 6,570 16,172
535 23,560 21,805
22,509 6,803 15,706
443 23,481 21,755
22,982 6,822 16,160 1,007 24,043 21,756
679 24,033 21,759
23,078 5,822 17,256
630 24,309 P21,854
23,127 5,822 17,305
84
140
172
170
194
292
17,800
18,129
18,328
22,797
23,059
23,123
5,683
5,297
5,171
6,826
6,113
5,822
Treasury Money
cur- in cirrency culaouttion
stand-
440 18,325
12,117
12,832
434 18,703
13,157
377 18,876
15,971
946 23,913
16,946 1,032 24,285
848 24,263
17,301
24,231
24,192
23,927
21,755
21,757
21,790
2,019
2,286
2,963
3,247
4,339
4.562
4,562
4,565
4,589
4,597
4,598
4,607
4,459
5,434
7,598
11,160
28,515
28.952
28,868
27,903
28,224
27,493
27,600
27,156
27,120
27,161
27,228
27,595
27,741
27,048
27,188
27,119
27,278
27,519
27,809
27,851
P 4 , 6 7 2 P28.151
4,613
4,618
4,623
4,627
4,636
4,638
4,640
4,640
4,643
4,646
4,655
4,666
4,605
4,606
4,609
4,647
4,656
4,666
27,026
27,117
27,009
27,548
27,859
27,951
TreasdeTreas- ury
posits
ury
with
cash Federal
holdReings
serve
Banks
Nonmember deposits
Member bank
reserve balances
Other
Federal
Reserve
Re- 2 Ex-2
Total quired
access
counts
1,517
1,431
374
346
251
291
495
607
563
592
590
713
706
771
2,356
2,292
11,653
12,450
15,915
16,139
17,899
17,389
20,479
17,867
16,568
15,934
L.304
733
1,322
1,114
1,295
569
714
1,287
,293
668
1,297
807
L.293
465
L.293 1,114
L.284
611
L,293
666
1,281
317
584
,302
V
459
L ,289
1,190
1,374
1,315
1,206
1,460
1,206
1,172
1,322
1,236
1,179
1,262
1,159
1,038
724
759
749
738
714
737
729
734
698
690
765
700
716
15,989 15,770 219
16,709 15,821 888
16,514 15,925 589
16,763 16,118 645
17,681 16,509 1,172
18,984 18,047 937
19,066 18,366 700
19,014 18,367 647
18,901 18,449 452
18,536 18,206 330
19,020 18,604 416
18,863 18,396 ^467
19,181 PI8,448 P 7 3 3
512
549
668
280
405
483
1,372
1,481
1,404
1,162
1,158
1,104
759
796
752
731
756
719
16,194
16,253
16,273
19,309
19,229
19,174
204
264
2,409
2,215
2,287
2,272
[,336
1,327
1,325
1,307
,312
1,298
L.299
1,305
1,307
L.286
1,291
1,288
28
166
653
36
35
634
867
977
393
870
1,360
1,308
822
961
859
1,928
1,123
1,189
941
438
821
950
2,333
1,817
6,444
9.36S
14,457
15.577
16,400
16,647
19,277
16,919
15,550
15,498
23
475
5,209
3,085
1,458
562
1,499
742
1,202
948
1,018
436
767
746
647
834
756
15,426
15,507
15,626
18,475
18,473
For footnotes see preceding page.
MEMBER BANK RESERVE REQUIREMENTS
[Per cent of deposits]
MAXIMUM RATES ON TIME DEPOSITS
[Per cent per annum]
Nov. 1, 1933- Feb. 1, 1935- Effective
Jan. 31, 1935 Dec. 31, 1935 Jan. 1, 1936
Effective date
of change
Savings deposits
Postal Savings deposits
Other deposits payable:
In 6 months or more
In 90 days to 6 months. . .
In less than 90 days
NOTE.—Maximum rates that may be paid by member banks as
established by the Board of Governors under provisions of Regulation Q. Under this Regulation the rate payable by a member bank
may not in any event exceed the maximum rate payable by State
banks or trust companies on like deposits under the laws of the State
in which the member bank is located. Maximum rates that may be
paid by insured nonmember banks as established by the F.D.I.C.,
effective Feb. 1, 1936, are the same as those in effect for member banks.
MARGIN REQUIREMENTS *
[Per cent of market value]
Prescribed in accordance with
Securities Exchange Act of 1934
Regulation T:
For extensions of credit by brokers
and dealers on listed securities
For short sales
Regulation U:
For loans by banks on stocks
Feb. 1, Mar. 30, Effec1949tive
1947Mar. 29, Jan. 16, Jan. 17,
1951
1951
1949
75
75
50
50
75
75
75
50
75
1
Regulations T and U limit the amount of credit that may be extended on a security by prescribing a maximum loan value, which is a
•pecified percentage of its market value at the time of the extension; the
"margin requirements" shown in this table are the difference between
the market value (100%) and the maximum loan value.
Back figures.—See Banking and Monetary Statistics, Table 145, p. 504,
and BULLETIN for March 1946, p. 295, and February 1947, p. 162.
1142
Net demand deposits >
1938—Apr. 16
1941—Nov. 1
1942—Aug. 20
Sept. 14
Oct. 3
1948—Feb. 27
June 11
Sept. 16
Sept. 24
1949—May 1
May 5
June 30
July 1
Aug. 1
Aug. 11
Aug. 16
Aug. 18
Aug. 25
Sept. 1
1951—Jan. 11
Jan. 16
Jan. 25
Feb. 1
In effect Sept. 1, 1951*
Central
reserve
city
banks
22 X
26
24
22
20
22
24
Reserve
city
banks
20
2
Country
banks
Time
deposits
(all
member
banks)
12
14
5
6
16
26
22
24
21
20
2334
19H
23
22^
22
23
19
24
20
24
20
is
14
13
12
18
19
\ j
H
«7
*6
»6
»5
»5
*6
13
14
14
6
1
Demand deposits subject to reserve requirements, which beginning
Aug. 23, 1935, have been total demand deposits minus cash itemi
in process of collection and demand balances due from domestic bank*
(also minus war loan and series E bond accounts during the period
Apr.
13, 1943-June 30, 1947).
8
Requirement became effective at country banks. « Requirement
became
effective at central reserve and reserve city banks.
4
Present legal minimum and maximum requirements on net demand
deposits—central reserve cities, 13 and 26 per cent; reserve citiei,
10 and 20 per cent; country, 7 and 14 per cent, respectively; on time
deposits at all member banks, 3 and 6 per cent, respectively.
Back figures— See Banking and Monetary Statistics, Table 107, p. 400.
FEDERAL RESERVE BULLETIN
FEDERAL RESERVE BANK DISCOUNT RATES
[Per cent per annum]
Discounts for and advances to member banks
Federal Reserve Bank
Advances secured by Government
obligations and discounts of and
advances secured by eligible
paper
(Sees. 13 and 13a)1
Rate on
Aug. 31
Boston
New York
Philadelphia
Cleveland
Richmond
Atlanta
Chicago
St. Louis
Minneapolis
Kansas City
Dallas
San Francisco
\%
l$t
IV
il
In effect
beginning—
Aug.
Aug.
Aug.
Aug.
Aug.
Aug.
Aug.
Aug.
Aug.
Aug.
Aug.
Aug.
21,
21,
25,
25,
25,
24,
25,
23,
22,
25,
25,
24,
1950
1950
1950
1950
1950
1950
1950
1950
1950
1950
1950
1950
Advances to individuals,
partnerships, or corporations other than member
banks secured by direct
obligations of the U. S.
(last par. Sec. 13)
Other secured advances
[Sec. 10(b)]
Previous
rate
Rate on
Aug. 31
IK
2M
Aug.
Aug.
Aug.
Aug.
Aug.
Aug.
Aug.
Aug.
Aug.
Aug.
Aug.
Aug.
2H
2H
2H
2H
2H
2%
iy2
In effect
beginning—
2XX
2M
21,
21,
25,
25,
25,
24,
25,
23,
22,
25,
25,
24,
Previous
rate
Rate on
Aug. 31
In effect
beginning—
Previous
rate
2
2
2
2
2
2
2
2
2
2
2
2
2y2
2y2
Jan. 14, 1948
2 Oct. 30, 1942
Aug. 23, 1948
Aug. 25, 1950
2 Oct. 28, 1942
Aug. 24, 1950
Aug. 13, 1948
Jan. 12, 1948
Aug. 23, 1948
Jan. 19, 1948
Feb. 14, 1948
2
Oct. 28, 1942
h
1950
1950
1950
1950
1950
1950
1950
1950
1950
1950
1950
1950
2%
2~y2
2%
2%
2%
2}/>
2
2y2
2
4
2H
1
Rates shown also apply to advances secured by obligations of Federal intermediate credit banks maturing within 6 months.
2
Certain special rates to nonmember banks were in effect during the wartime period.
NOTE.—Maximum maturities for discounts and advances to member banks are: 15 days for advances secured by obligations of the Federal
Farm Mortgage Corporation or the Home Owners' Loan Corporation guaranteed as to principal and interest by the United States, or by obligations of Federal intermediate credit banks maturing within 6 months; 90 days for other advances and discounts made under Sections 13 and 13a
of the Federal Reserve Act (except that discounts of certain bankers' acceptances and of agricultural paper may have maturities not exceeding
6 months and 9 months, respectively); and 4 months for advances under Section 10(b). The maximum maturity for advances to individuals,
partnerships, or corporations made under the last paragraph of Section 13 is 90 days.
Backfigures.—SeeBanking and Monetary Statistics, Tables 115-116, pp. 439-443.
FEDERAL RESERVE BANK RATES ON INDUSTRIAL LOANS
FEDERAL RESERVE BANK BUYING RATES ON
ACCEPTANCES
[Per cent per annum]
Rate on
Aug. 31
Maturity
In effect beginning—
AND COMMITMENTS UNDER SECTION 13B
OF THE FEDERAL RESERVE ACT
Previous
rate
Maturities not exceeding five years
[In effect August 31. Per cent per annum]
1- 90 days
91-120 days
121-180 days
IS
2
Aug. 21, 1950
Aug. 21, 1950
Aug. 21, 1950
&
1M
To industrial or
commercial
businesses
NOTE.—Minimum buying rates at the Federal Reserve Bank of
New York on prime bankers' acceptances payable in dollars. The
same rates generally apply to any purchases made by the other Federal Reserve Banks.
Back figures.—See Banking and Monetary Statistics, Table 117, pp.
443-445.
FEES AND RATES ESTABLISHED UNDER REGULATION V
ON LOANS GUARANTEED PURSUANT TO DEFENSE
PRODUCTION ACT OF 1950 AND EXECUTIVE
ORDER NO. 10161
[In effect August 31]
Fees Payable to Guaranteeing Agency by Financing Institution on
Guaranteed Portion of Loan
Percentage of
loan guaranteed
70 or less
75
80
85
90
95.
Over 95
.
.
.
.
.
Guarantee fee
(percentage of
interest payable
by borrower)
Percentage of
any commitment
fee charged
borrower
10
15
20
25
30
35
40-50
10
15
20
25
30
35
40-50
Maximum Rates Financing Institutions May Charge Borrowers
[Per cent per annum]
On discounts or
purchases
Federal
Reserve
Bank
On
loans 1
Boston
New York
Philadelphia. . . .
Cleveland
Richmond
Atlanta
Chicago
St. Louis
Minneapolis....
Kansas City. . . .
Dallas
San Francisco...
To financing institutions
On
commitments
Portion
for which
institution is
obligated
Remaining
portion
On
commitments
2y2s
2V2-S
2Y2-S
1
2
3
4
Including loans made in participation with financing institutions.
Rate charged borrower less commitment rate.
Rate charged borrower.
Rate charged borrower but not to exceed 1 per cent above the discount rate.
5
Charge of % per cent is made on undisbursed portion of loan.
Back figures.—See Banking and Monetary Statistics, Table 118,
pp. 446-447.
Interest rate
Commitment rate.
SEPTEMBER 1951
1143
PRINCIPAL ASSETS AND LIABILITIES OF ALL FEDERAL RESERVE BANKS
[In thousands of dollars]
Wednesday figures
End of month
1951
Aug. 29
Aug. 22
Aug. 15
Aug. 8
1951
Aug. 1
July 25
Aug.
July 18
1950
July
Aug.
Assets
19,896,179 19,899,402 19,901,403 19,851,401 19,843,403 19,845,403 19,845,403 19,936,180 19,843,402 21,871,430
Gold certificates
Redemption fund for
665,890
668,540
518,036
665,211
664,877
660,639
658,846
675,196
660,639
661,216
F. R. notes
Total gold certificate r e s e r v e s . . . . 20,561,390 20,564,279 20,567,293 20,519,941 20,504,042 20,504,249 20,506,619 20,611,376 20,504,041 22,389,466
Other cash
Discounts and advances:
For member banks. . .
For nonmember
banks, etc
Total discounts and
advances
329,705
328,590
332,379
328,916
342,627
336,926
326,842
330,730
340,343
240,188
277,878
214,262
242,000
200,355
407,971
78,082
299,626
552,486
276,651
82,390
277,5
214,262
242,000
200,355
407,971
78,082
299,626
552,486
276,651
82,390
Industrial l o a n s . . . . . . . .
5,606
5,429
5,850
5,875
5,893
5,819
5,496
5,693
5,741
U. S. Govt. securities:
548,272
Bills
572,472
556,592
574,492
568,592
615,942
638,192
599,492
565,692
Certificates:
Special
4,848,575 4,848,575 4,852,175 4,858,275 4,851,675 3,193,792 3,193,792 4,850,575 3,196,892
Other
11,838,465 11,838,465 11,838,465 11,838,465 11,838,465 13,493,248 13,493,248 11,838,465 13,493,248
Notes
Bonds
5,822,102 5,822,102 5,822,102 5,822,102 5,822,102 5,822,102 5,822,102 5,822,102 5,822,102
2,249
2,301,507
4,847,536
4,438,800
6,767,828
Total U. S. Govt.
23,065,734 23,083,634 23 150, 934 23 ,118 334 23 ,080,834 23,057,414 23,081,614 23,127,084 23 ,077,934 18,355,671
securities
Other Reserve Bank
379,341
673,167
623,993
721,549
871,529
651,855
961,103
787,720
921,755 1,217,852
credit outstanding....
Total Reserve Bank
credit outstanding 24,001,073 24,174,854 24,359,887 24,046,113 24,282,418 24,063,070 24,604,588 24,309,256 24,033 ,493 18,819,651
Liabilities
Federal Reserve notes. . 23,903,318 23,800,888 23,795,096 23,774,146 23,729,887 23,601,818 23,654,111 24,020,366 23,726,167 22,947,030
Deposits:
Member bank — reserve accounts
18,870,690 19,171,756 19,285,217 19,327,775 19,098,847 19,087,568 19,380,390 19,180,672 18,863,283 15,988,562
U. S. Treasurer—gen732,654
556,942
494,921
203,450
557,467
423,532
433,612
611,817
459,321
584,321
eral account
915,899
867,470
870,622
828,469
879,607
784,441
824,626
760,441
840,290
867,206
Foreign
274,433
245,531
145,496
347,447
310,738
270,788
277,921
318,400
215,375
Other
316,226
Total deposits
20.427,448 20,700,782 20,893,139 20,547,343 20,832,230 20,701,445 21,175,639 20,678,355 20,606,294 17,911,548
Ratio of gold certificate
reserves to deposit and
F. R. note liabilities
combined (per cent)...
46.2
46.0
46.3
46.0
46.3
45.7
46.3
54.8
Over 5 years
to 10 years
Over
10 years
1,031,904
1,031,904
1,031,904
1,031,904
1,031,904
3,110,580
3,110,580
3,110,580
3,110,580
3,110,580
46.1
MATURITY DISTRIBUTION OF LOANS AND U. S. GOVERNMENT SECURITIES
HELD BY FEDERAL RESERVE BANKS
(Callable Government securities classified according to nearest call date)
[In thousands of dollars]
Total
Discounts and advances:
Aug. 1
Aug. 8
Aug. 15
Aug. 22
Aug. 29
Industrial loans:
Aug. 1
Aug. 8
Aug. 15
Aug. 22
Aug. 29
U. S. Government securities:
Aug. 1
Aug. 8
Aug. 15
Aug. 22
Aug. 29
1144
Within
15 days
16 to 90
days
91 days to
1 year
Over 1 year
to 5 years
407 ,971
200 ,355
242 ,000
214 ,262
277 ,878
390,415
183,113
229,203
203,407
268,352
17,484
17,151
12,757
10,852
9,526
72
91
40
3
5 ,893
5 ,875
5 ,850
5 ,429
5 ,606
340
586
399
615
648
1,019
1,817
1,026
836
727
3,913
3,030
3,616
3,164
3,418
621
442
^00
814
813
23,080 ,834
23,118 ,334
23,150 ,934
23,083 ,634
23,065 ,734
304,325
313,525
371,137
192,212
164,312
4,509,717
7,566,059
7,541,047
7,652,672
7,662,672
9,246,142
6,218,100
6,218,100
6,218,100
6,218,100
4,878,166
4,878,166
4,878,166
4,878,166
4,878,166
FEDERAL RESERVE BULLETIN
STATEMENT OF CONDITION OF THE FEDERAL RESERVE BANKS, BY WEEKS
[In thousands of dollars]
Total
Boston
NewYork
Philadelphia
Cleveland
Richmond
Atlanta
Chicago
St.
Louis
Minneapolis
Kansas
City
San
Francisco
Dallas
Assets
Gold certificates:
Aug. 1
19,843,403 666,880
Aug. 8
19,851,401 618,246
Aug. 15
19,901,403 628,289
Aug. 22
19,899,40: 607,646
Aug. 29
19,896,179 600,586
Redemption fund
for F. R. notes:
Aug. 1
660,639
60,327
Aug. 8
668,540
60,111
Aug. 15
60,001
665,890
Aug. 22
59,835
664,87
Aug. 29
59,706
665,211
Total gold certificate reserves:
Aug. 1
20,504,042 727,207
Aug. 8
20,519,941 678,357
Aug. 15
20,567,293 688,290
Aug. 22
20,564,279 667,481
Aug. 29
20,561,390 660,292
Other cash:
Aug. 1
342,62
35,786
Aug. 8
34,827
328,916
Aug. 15
31,934
332,379
Aug. 22
29,189
328,590
27,352
Aug. 29
329,705
Discounts & advances :
Secured by
U. S. Govt.
securities:
Aug. 1. .
407,125
9,400
Aug. 8. .
199,503
9,875
Aug. 15. .
241,346
11,600
Aug. 22. .
213,565
7,125
Aug. 29. .
277,085
11,525
Other:
Aug. 1. .
846
46
Aug.
85:
46
Aug. 15
654
46
Aug. 22. .
69
35
Aug. 29. .
34
793
Industrial loans:
Aug. 1
5,89.
Aug.
5,875
Aug. 15
5,850
Aug. 22
5,429
5,606
Aug. 29
U. S. Govt.
securities:
Bills:
568,592
Aug. 1. . . .
599,492
Aug.
10,334
638,192
Aug. 15
20,424
22
574,492
Aug.
556,592 ' Yl',543
Au 2 9 . . . .
Certificates:
Aug. 1
4,851,675 333,034
Aug. 8. .. .4,858,275 344,147
Aug. 15
4,852,175 344,147
Aug. 22
4,848,57
343,294
Aug. 29.... 4,848,575 344,147
Notes:
Aug. 1
11,838,465 813,150
Aug. 8
11,838,465 840,282
11,838,465 840,282
Aug. 15
Aug. 22.... 11,838,465 838,205
Aug. 29.... 11,838,465 840,282
Bonds:
Aug. 1
5,822,102 399,903
5,822,102 413,247
Aug.
5,822,102 413,247
Aug. 15
Aug. 2 2 . . . . 5,822,102 412,222
Aug. 2 9 . . . . 5,822,102 413,247
Total U. S. Govt.
securities:
23,080,834 1,546,087
Aug. 1
Aug. 8
23,118,334 1,608,010
Aug. 15
23,150,934 1,618,100
Aug. 22
23,083,634 1,593,721
Aug. 29
23,065,734 1,609,219
Total loans and
securities:
23,494,698 1,555,533
Aug. 1
23,324,564 1,617,931
Aug. 8
23,398,784 1,629,746
Aug. 15
23,303,325
1,600,881
Aug. 22
23,349,218 1,620,778
Aug. 29
SEPTEMBER 1951
6,350,491
6,470,989
6,383,513
6,453,784
6,402,744
1,155,146 1,488,546
1,141,023 1,485,930
1,182,953 1,479,133
1,156,988 1,485,166
1,153,357 ,490,867
830,291
829,349
825,010
823,589
837,014
851,931
830,648
815,346
851,731
855,813
4,228,621
4 ,149,219
4 172,476
4,184,712
4,265,320
75,435
75,165
75,018
74,797
75,831
62,665
63,253
62,034
62,737
63,693
48,361
48,159
48,050
47,885
47,770
111,422
111,092
110,929
110,929
110,461
46,291
46,204
46,152
46,070
46,017
23,878
23,838
23,822
23,797
23,776
35,942
35,871
35,836
35,783
35,743
1,210,795 1,563,981
1,196,295 1,561,095
1,238,036 1,554,151
1,211,752 1,559,963
1,207,904 1,566,698
892,956
892,602
887,044
886,326
900,707
900,292 4,340,043
878,807 4,260,311
863,396 4,283,405
899,616 4,295,641
903,583 4,375,781
541,538
545,736
534,131
546,891
560,364
353,078
326,619
329,067
335,577
323,811
755,270
733,391
761,009
725,411
732,540
57,055
66,383
65,890
65,306
64,888
6,407,546
6,537,372
6,449,403
6,519,090
6,467,632
55,649
55,272
55,083
54,764
54,547
64,833
62,949
69,051
65,832
69,197
495,247 329,200
499,532 302,781
487,979 305,245
500,821 311,780
514,347 300,035
,287,407
719,328 440,315 2.
697,520 485,663 2,340,501
725,173 488,601 2,407,685
689,628 501,390 2,332,167
696,797 510,110 2,269,189
19,257
18,699
16,531
17,083
17,577
25,107
22,934
24,348
21,631
24,731
16,333
15,716
15,618
17,055
16,221
25,466
24,487
24,152
25,391
22,582
66,809
65,165
64,668
64,862
63,672
16,057
15,421
15,380
17,158
17,254
8,283
8,207
7,878
8,504
7,726
11,884
11,507
11,410
11,255
12,703
5,235
2,205
7,615
3,470
13,720
23,175
2,900
1,550
6,700
13,000
7,260
16,290
13,020
19,800
29,320
2,482
1,332
11,020
4,270
7,370
34,455
24,955
10,255
9,635
40,435
18,765
2,150
8,900
11,425
19,950
12,975
1,125
10,325
9,425
11,225
6,288
10,467
6,117
13,767
29,542
55,237
54,881
54,798
54,697
54,598
28,377
28,311
28,277
28,277
28,181
468,692 2,342,644
513,974 2,395,382
516,878 2,462,483
529,667 2,386,864
538,291 2,323,787
38,630
35,790
36,973
37,055
37,125
14,182
13,214
14,436
13,575
13,565
i
200,278
86,653
97,393
61,698
98,733
100
100
95
95
195
100
100
100
100
546
452
241
229
229
100!.
100J.
1,161
1,0001
300
100
415
85,651
40,551
63,251
66,150
1,850
28
28
46
46
43
126
126
126
92
92
48
64
65
62
64
721
573
573
164
164
3,935
4,064
3,961
3,928
4,186
429
418
440
459
322
278
275
269
274
273
311
311
372
372
427
221,759
206,111
237,675
194,545
168,672
30,138
33,366
33,366
33,366
33,366
44,743
49,534
49,534
49,534
49,534
31,849
35,260
35,260
35,260
35,260
25,846
28,614
28,614
28,614
28,614
88,381
105,846
90,291
90,291
90,291
21,122
11,136
23,737
23,5911
20,021
14,909
16,835
16,835
16,835
16,835
1,092,478
1,093,905
1,087,805
1,085,058
1,084,205
305,072
305,072
305,072
305,072
305,072
452,905
452,905
452,905
452,905
452,905
322,396
322,396
322,396
322,396
322,396
261,624
261,624
261,624
261,624
261,624
729,129
723,189
723,189
723,189
723,189
264,340
264,340
264,340
264,340
264,340
153,923
153,923
153,923
153,923
153,923
228,290 232,014 476,470
228,290 232,014 476,470
228,290 232,014 476,470
228,290 232,014 476,470
228,290 232,014j 476,470
2,659,857
2,647,234
2,647,234
2,649,311
2,647,234
744,876
744,876
744,876
744,876
744,876
1,105,832
1,105,832
1,105,832
1,105,832
1,105,832
787,176
787,176
787,176
787,176
787,176
638,792
638,792
638,792
638,792
638,792
1,780,276 645,421
1,765,767 645,421
1,765,767 645,421
1,765,767 645,421
1,765,767 645,421
375,823
375.823
375,823
375,823
375,823
557,402
557,402
557,402
557,402
557,402
566,494 1,163,366
566,494 1,163,366
566,494 1,163,366
566,494 1,163,366
566,494 1,163,366
1,308,110
1,301,898
1,301,898
1,302,923
1,301,898
366,327
366,327
366,327
366,327
366,327
543,842
543,842
543,842
543,842
543,842
387,129
387,129
387,129
387,129
387,129
314,155
314,155
314,155
314,155
314,155
184,829
184,829
184,829
184,829
184,829
274,128
274,12
274,128
274,128
274,128
278,599
278,599
278,599
278,599
278,599
572,138
572,138
572,138
572,138
572,138
148
147
147
U
14
875,527
868,395
868,395
868,395
868,395
317,415
317,415
317,415
317,415
317,415
22,553
24,969
24,969
24,969
24,969
2O,222j
25,376
25,376
25,376
25,376
47,070
52,111
52,111
52,111
52,111
5,282,204 1,446,413
5,249,148 1,449,641
5,274,612 1,449,641
5,231,837 1,449,641
5,202,009 1,449,641
2,147,322 ,528,550
2,152,113 1,531,961
2,152,113 1,531,961
2,152,113 1,531,961
2,152,113 1,531,961
1,240,417 3,473,313 1,248,298 729,484 1,082,373 1,097,329
1,243,185 3,463,197 1,238,312 731,410 1,084,789 1,102,483
1,243,185 3,447,642 1,250,913 731,410 1,084,789 1,102,483
1,243,185 3,447,642 1,250,767 731,410 1,084,789 1,102,483
,243,185 3,447,642 1,247,197 731,410 1,084,789 1,102,483
2,259,044
2,264,085
2,264,085
2,264,085
2,264,085
5,482,505 1,455,583
5,335,824 1,455,910
5,372,028 1,461,217
5,293,558 1,457,039
5,300,765 1,467,547
2,170,926 1,536,088
2,155,531 1,548,526
2,154,203 1,545,250
2,159,372 1,552,035
2,165,535 1,561,554
1,243,310 3,507,768 1,267,063
1,244,928 3,488,152 1,240,462
1,254,672 3,457,897 1,259,813
1,247,922 3,457,277 1,262,292
1,251,177 3,488,077 1,267,247
1,089,207 1,098,566
1,095,708 1,103,575
1,091,147 1,102,894
1,098,785 1,102,691
1,114,560 1,103,005
:2,345,542
2,305,335
:
742,607
732,682
741,882
740,982
742,782
2,266,191
1145
STATEMENT OF CONDITION OF THE FEDERAL RESERVE BANKS, BY WEEKS—Continued
[In thousands of dollars]
Total
New
York
Boston
Philadelphia
Cleveland
Richmond
Atlanta
Chicago
St.
Louis
Minneapolis
Kansas
City
San
Francisco
Dallas
Assets (cont.)
Due from foreign
banks:
Aug. 1
Aug. 8
Aug. 15
Aug. 22
Aug. 29
Federal Reserve
notes of other
Banks:
Aug. 1
Aug. 8
Aug. 15
Aug. 22
Aug. 29
Uncollected
cash items:
Aug. 1
Aug. 8
Aug. 15
Aug. 22
Aug. 29
Bank premises:
Aug. 1
Aug. 8
Aug. 15
Aug. 22
Aug. 29
Other assets:
Aug. 1
Aug. 8
Aug. 15
Aug. 22
Aug. 29
Total assets:
Aug. 1
Aug. 8
Aug. 15
Aug. 22
Aug. 29
1
1
1
1
1
4
4
4
4
4
7,581
8,831
9,459
8,401
9,206
9,721
7,461
7,662
7,961
6,451
18,094
17,581
17,239
18,894
18,320
92,268
91,684
117,180
101,951
97,086
179,971
176,777
194,056
205,207
175,746
138,210
132,909
175,048
174,968
134,519
296,715
266,574
326,484
315,691
267,698
3,371
3,373
3,373
3,373
3,352
1,096
1,096
1,096
1,096
1,093
2,511
2,511
2,511
2,511
2,511
659
659
659
659
659
6,194
6,194
6,194
6,194
6,188
24,469
25,438
26,512
27,648
28,545
8,662
9,109
9,523
9,936
10,354
5,084
5,333
5,588
5,845
6,084
7,932
8,310
8,690
8,941
9,277
7,670
8,037
8,503
8,810
9,151
8,472,574
8,387,438
8,509,462
8,408,371
8,490,286
1,982,073
1,965,375
1,994,082
1,991,032
2,000,530
1,291,486 4,606,913
1,292,191 4,614,220
1,288,300 4,620,957
1,284,407 4,623,847
1,305,048 4,622,841
1,086,092
1,086,601
1,088,579
1,087,521
1,091,632
604,785
607,213
606,348
607,346
605,747
925,543
931,052
929,122
931,245
931,379
648,073
652,404
652,994
654,572
662,948
2,376,121
2,390,107
2,393,918
2,388,595
2,403,826
816,515
828,707
821,225
835,612
804,455
3,106,833
3,138,817
3,123,152
3,087,081
3,153,822
676,410
681,348
682,669
679,504
682,883
444,450
429,554
437,466
440,087
419,417
893,505
898,632
906,741
874,132
891,684
877,694
934,305
932,044
935,270
930,718
2,224,239
2,249,377
2,307,978
2,258,803
2,082,877
46,919
20,707
34,363
39,253
34,734
45,014
6,737
20,694
33,139
41,857
119,703
15,462
36,067
30,951
84,764
37,172
11,767
17,175
35,319
46,701
41,224
16,936
26,466
30,940
41,130
36,832
12,998
24,659
25,411
36,017
22,477
13,422
28,475
30,352
27,824
77,497
76,093
80,147
75,590
72,484
41,665
40,910
43,090
40,640
38,970
34,999
34,364
36,196
34,138
32,735
114,995
112,912
118,928
112,166
107,557
30,832
30,273
31,887
30,074
28,838
20,833
20,455
21,545
20,320
19,485
30,832
30,273
31,887
30,074
28,838
30,832
30,273
31,887
30,074
28,838
4,134
3,812
4,325
4,454
4,721
3,575
3,960
3,302
1,555
1,715
2,108
2,021
2,903
2,320
1,581
6,799
1,673
2,133
2,542
1,956
7,077
8,267
7,540
7,160
7,268
2,185
1,919
2,955
1,046
1,027
1,423
1,133
713
206
155
39,285
1,850
46,179
40,435
46,855
77,509
76,105
80,160
75,603
72,497
39,197
35,401
32,617
39,594
32,245
6,665,995 993,389 1,618,333
6,620,249 969,665 1,567,249
6,646,904 1,027,897 1,595,705
6,618,402 997,330 1,581,633
6,471,416 987,415 1,582,426
885,932
876,803
889,019
880,432
866,594
898,636
871,829
881,018
905,209
880,628
3,348,330
3,268,864
3,280,280
3,232,740
3,348,099
751,491
731,655
739,271
752,057
765,690
508,692
468,864
486,421
492,770
481,165
964,124
942,949
964,000
929,823
956,694
38
38
38
38
38
2
2
2
2
2
112
112
112
112
3
3
3
3
3
4
4
4
4
4
2
2
2
2
2
2
2
2
2
2
5
5
5
5
5
1
1
1
1
1
1
1
1
1
1
154,839
147,008
148,101
151,651
155,975
8,029
5,426
8,200
8,457
9,493
19,798
22,745
22,611
21,105
21,584
8,419
6,347
8,036
9,822
8,071
6,892
5,940
5,665
6,717
6,758
27,634
24,274
25,549
25,122
26,840
14,109
12,469
11,780
10,973
12,082
16,913
17,134
14,387
15,824
17,489
8,208
8,403
7,373
7,559
7,633
9,441
10,397
10,140
10,816
12,048
3,193,873
3,008,811
3,796,864
3,388,181
3,018,285
273,593
251,450
319,496
298,076
241,884
634,175
549,573
715,441
634,468
555,625
193,399
177,180
221,417
208,223
182,656
294,394
258,699
350,919
296,648
287,590
243,815
238,621
305,681
262,633
244,130
199,694
197,342
250,167
205,561
186,464
510,466
525,132
656,487
540,933
510,562
137,173
142,870
164,488
143,822
134,325
41,973
42,187
42,250
42,329
42,256
1,041
1,041
1,041
1,041
1,036
7,556
7,556
7,571
7,571
7,571
2,882
2,882
2,882
2,882
2,876
4,704
4,704
4,701
4,701
4,701
3,450
3,662
3,667
3,667
3,664
2,408
2,408
2,454
2,453
2,450
6,101
6,101
6,101
6,181
6,155
163,361
171,600
179,050
186,636
193,206
11,804
12,896
13,238
13,730
14,323
35,472
37,330
39,019
40,948
42,348
10,151
10,621
11,089
11,571
11,868
15,765
16,446
17,084
17,724
18,386
10,867
11,341
11,945
12,528
13,016
9,010
9,477
9,862
10,270
10,660
47,895,451
47,543,065
48,464,759
47,965,029
47,650,073
2,612,995
2,601,930
2,691,947
2,618,857
2,575,160
12,651,897
12,553,361
12,675,136
12,582,584
12,464,734
2,900,489
2,867,937
2,959,211
2,918,375
2,898,502
4,081,773
4,025,353
4,111,075
4,066,760
4,074,403
2,731,145
2,7 34,7 U
2,794,756
2,759,368
2,766,134
2,394,291
2,369,920
2,416,485
2,402,188
2,389,000
1,454,729
1,454,831
1,452,674
1,449,348
1,451,330
5,308,829
5,299,476
5,307,408
5,309,711
5,320,576
1,674,701 2,149,461
1,678,177 2,158,600
1,678,458 2,166,173
1,679,169 2,168,991
1,684,256 2,174,629
1,603,154
1,609,274
1,610,165
1,616,136
1,649,106
798,336
811,640
822,408
817,568
780,289
6,082,563
6,179,190
6,077,344
6,080,421
5,984,801
897,383
899,131
910,270
897,845
893,365
1,487,146
1,465,848
1,455,656
1,466,449
1,455,204
793,773
811,226
808,264
798,984
791,175
29,664
20,955
42,859
25,732
33,061
61,827
57,063
115,209
75,369
83,954
27,794
4,057
47,198
31,571
30,028
49,556
21,496
55,577
35,140
50,017
2 250,979
303,598
2 270,229
2 261,342
2 244,303
65,831
64,638
68,082
64,211
61,573
270,626
80,398
184,122
201,270
158,358
2,381
1,839
2,347
3,703
2,449
i 12
1,211,858 2,054,357
1,176,019 2,037,036
1,212,832 2,078,283
1,204,772 2,060,512
1,190,631 2,056,544
16,475
17,262
17,997
18,685
19,194
1,737,701 5,064,298
1,779,830 5,044,122
1,826,081 5,195,409
1,838,332 5,113,878
1,805,642 4,938,507
Liabilities
Federal Reserve
notes:
23,729,887
Aug. 1
Aug. 8
23,774,146
Aug. 15
23,795,096
Aug. 22
23,800,888
Aug. 29
23,903,318
Deposits:
Member bank
—reserve
accounts:
Aug. 1. . 19,098,847
Aug. 8. . 19,327,775
Aug. 1 5 . . 19,285,217
Aug. 22. . 19,171,756
Aug. 29. . 18,870,690
U. S. Treasurer—general
account:
557,467
Aug. 1. .
Aug. 8. .
203,450
Aug. 15. . 494,921
Aug. 2 2 . .
433,612
Aug. 2 9 . .
556,942
Foreign:
Aug. 1. .
828,469
Aug. 8 . .
870,622
Aug. 1 5 . .
867,470
Aug. 22. .
824,626
Aug. 29. .
784,441
Other:
347,447
Aug. 1. .
Aug. 8 . .
145,496
Aug. 1 5 . .
245,531
Aug. 22. .
270,788
Aug. 2 9 . .
215,375
Total deposits:
Aug. 1
20,832,230
Aug. 8
20,547,343
Aug. 15
20,893,139
Aug. 22
20,700,782
Aug. 29
20,427,448
51,665
50,728
53,432
50,394
48,323
5,383
4,401
3,761
3,776
3,033
885,048
887,724
922,460
897,470
864,706
2
944
759
824
2,785
761
932,030 2,380,230
978,759 2,362,733
993,230 2,466,934
998,481 2,414,435
988,141 2,234,474
i After deducting $26,000 participations of other Federal Reserve Banks on Aug. 1; Aug. 8; Aug. 15; Aug. 22; and Aug. 29.
'After deducting $577,477,000 participations of other Federal Reserve Banks on Aug. 1; $567,012,000 on Aug. 8; $597,227,000 on Aug. 15;
563,270,000 on Aug. 22; and $540,124,000 on Aug. 29.
1146
FEDERAL RESERVE BULLETIN
STATEMENT OF CONDITION OF THE FEDERAL RESERVE BANKS, BY WEEKS—Continued
[In thousands of dollars]
Total
Dallas
San
Francisco
127,989
126,029
147,896
161,831
130,506
121,267
112,023
142,845
147,898
116,860
222,125
204,787
247,471
222,878
211,498
539
511
552
567
572
506
544
631
723
759
1,124
1,280
1,343
1,355
1,528
Cleveland
Richmond
160,736
147,961
180,432
168,959
153,592
228,005
212,913
262,247
228,425
229,070
192,963
199,093
245,696
212,431
199,632
162,646
164,024
205,007
170,007
160,388
389,215
374,883
478,337
420,753
387,751
107,156
109,394
128,240
113,066
104,469
73,044
74,335
94,021
78,686
77,413
3,369
3,805
4,321
4,090
4,379
648
761
690
812
778
1,532
1,559
1,385
1,603
1,613
623
706
639
735
777
579
629
623
711
782
1,995
2,498
2,067
2,248
1,949
596
615
611
654
690
449
537
792
523
663
2,555,345
2,543,775
2,633,501
2,559,910
2,515,932
12,385,392
12,285,485
12,405,957
12,312,114
12,192,992
2,829,474
2,796,564
2,887,477
2,846,270
2,826,041
3,997,331 2,682,672
3,940,321 2,685,876
4,025,510 2,745,519
3,980,652 2,709,734
3,987,738 2,716,109
2,353,347
2,328,673
2,374,948
2,360,334
2,346,846
8,346,453
8,260,465
8,381,641
8,279,588
8,360,640
1,945,335
1,928,265
1,956,701
1,953,298
1,962,481
12,336
12,337
12,337
12,337
12,341
74,873
74,890
74,889
74,891
74,892
16,562
16,568
16,573
16,590
16,590
22,209
22,271
22,274
22,286
22,297
10,186
10,189
10,193
10,196
10,198
9,524
9,525
9,525
9,535
9,535
29,688
29,692
29,702
29,708
29,713
7,960
7,967
7,967
7,984
7,984
5,273
5,275
5,277
5,278
5,278
8,743
8,745
8,745
8,746
8,749
10,515
10,517
10,522
10,523
10,524
24,697
24,701
24,716
24,821
24,831
32,246
32,246
32,246
32,246
32,246
153,290
153,290
153,290
153,290
153,290
39,710
39,710
39,710
39,710
39,710
48,014
48,014
48,014
48,014
48,014
25,167
25,167
25,167
25,167
25,167
22,369
22,369
22,369
22,369
22,369
75,345
75,345
75,345
75,345
75,345
20,295
20,295
20,295
20,295
20,295
13,168
13,168
13,168
13,168
13,168
19,047
19,047
19,047
19,047
19,047
16,852
16,852
16,852
16,852
16,852
44,519
44,519
44,519
44,519
44,519
3,011
3,011
3,011
3,011
3,011
7,319
7,319
7,319
7,319
7,319
4,489
4,489
4,489
4,489
4,489
1,006
1,006
1,006
1,006
1,006
3,349
3,349
3,349
3,349
3,349
762
762
762
762
762
1,429
1,429
1,429
1,429
1,429
521
521
521
521
521
1,073
1,073
1,073
1,073
1,073
1,137
1,137
1,137
1,137
1,137
1,307
1,307
1,307
1,307
1,307
2,140
2,140
2,140
2,140
2,140
10,057
10,561
10,852
11,353
11,630
31,023
32,377
33,681
34,970
36,241
10,254
10,606
10,962
11,316
11,672
13,213
13,741
14,271
14,802
15,348
9,771
10,163
10,528
10,922
11,311
8,289
8,591
8,881
9,188
9,488
19,659
20,507
21,345
22,301
23,159
7,962
8,327
8,598
8,934
9,249
5,374
5,554
5,732
5,928
6,124
7,235
7,566
7,784
8,116
8,460
7,151
7,424
7,700
7,976
8,251
13,342
13,855
14,368
15,135
15,691
2,612,995
2,601,930
2,691,947
2,618,857
2,575,160
12,651,897
12,553,361
12,675,136
12,582,584
12,464,734
2,900,489
2,867,937
2,959,211
2,918,375
2,898,502
4,081,773
4,025,353
4,111,075
4,066,760
4,074,403
2,731,145
2,734,744
2,794,756
2,759,368
2,766,134
1,561
1,491
1,488
1,496
1,443
i 7,702
i 7,413
i1 7,471
7,406
i 7,145
1,989
1,900
1,896
1,906
1,838
2,341
2,236
2,232
2,243
2,164
1,259
1,202
1,200
1,206
1,164
1,168
1,038
1,142
1,174
1,000
989
48
48
48
48
48
Boston
NewYork
213,846
199,903
256,283
211,845
198,668
407,199
361,955
447,324
379,911
396,621
1,722
1,317
2,084
1,247
1,228
Philadelphia
Atlanta
Chicago
St.
Louis
Minneapolis
Kansas
City
Liabilities
(cont.)
Deferred availability items:
Aug. 1
Aug. 8
Aug. 1 5 . . . .
Aug. 2 2 . . . .
Aug. 2 9 - . . .
2,406,191
2,287,300
2,835,799
2,516,690
2,366,468
and accrued
dividends:
Aug. 1 . . . .
13,682
Aug. 8
14,762
Aug. 15
15,738
Aug. 22
15,268
Aug. 2 9 . . . .
15,718
Total liabilities:
Aug. 1 . . . . 46,981,990
Aug. 8
46,623,551
Aug. 15. .. . 47,539,772
Aug. 2 2 . . . . 47,033,628
Aug. 29
46,712,952
1,186,970 2,018,195
1,150,949 2,000,541
1,187,582 2,041,570
1,179,325 2,023,466
1,164,988 2,019,151
1,701,876 4,979,600
1,743,730 4,958,907
1,789,700 5,109,666
1,801,674 5,027,263
1,768,708 4,851,326
Capital Accts.:
Capital paid in:
Aug. 1
232,566
Aug. 8 . . . .
232,677
Aug. 15
232,720
Aug. 2 2 . . . .
232,895
Aug. 2 9 . . . .
232,932
Surplus:
(section 7):
Aug. 1
510,022
Aug. 8
510,022
Aug. 1 5 . . . .
510,022
Aug. 2 2 . . . .
510,022
Aug. 29
510,022
(section 13b):
Aug. 1
27,543
Aug. 8
27,543
Aug. 1 5 . . . .
27,543
Aug. 2 2 . . . .
27,543
Aug. 29. . . .
27,543
Other cap. accts.:
Aug. 1 . . . .
143,330
Aug. 8
149,272
Aug. 15. .. .
154,702
Aug. 2 2 . . . .
160,941
Aug. 29. .. .
166,624
Total liabilities
and cap. accts.:
Aug. 1
47,895,451
Aug. 8
47,543,065
Aug. 15
48,464,759
Aug. 22
47,965,029
Aug. 29
47,650,073
Contingent liability on acceptances purchased for foreign
correspondents:
Aug. 1
25,146
Aug. 8 . . . .
24,077
Aug. 1 5 . . . .
24,101
Aug. 22
24,125
Aug. 2 9 . . . .
23,272
Industrial loan
commitments:
Aug. 1
3,813
Aug. 8 . . . .
3,682
Aug. 1 5 . . . .
3,763
Aug. 22. .
3,776
4,042
Aug. 2 9 . . . .
913
977
958
1,095
2,394,291 8,472,574 1,982,073
2,369,920 8,387,438 1,965,375
2,416,485 8,509,462 1,994,082
2,402 188 8,408,371 1,991,032
2,389,000 8,490,286 2,000,530
1,057
1,010
1,008
1,013
977
3,474
3,318
3,311
3,329
3,212
447
445
445
445
445
931
890
888
893
861
1,211,858 2,054,357
1,176,019 2,037,036
1,212,832 2,078,283
1,204,772 2,060,512
1,190,631 2,056,544
629
601
600
603
582
931
890
888
893
861
465
465
465
465
855
1,737,701 5,064,298
1,779,830 5,044,122
1,826,081 5,195,409
1,838,332 S 113,878
1,805,642 4,938,507
931
890
888
893
861
2,341
2,236
2,231
2,244
2,164
696
686
686
686
686
i After deducting $17,444,000 participations of other Federal Reserve Banks on Aug. 1; $16,664,000 on Aug. 8; $16,630,000 on Aug. 15; $16,719,000
on Aug. 22; and $16,127,000 on Aug. 29.
SEPTEMBER
1951
1147
STATEMENT OF CONDITION OF THE FEDERAL RESERVE BANKS, BY WEEKS—Continued
FEDERAL RESERVE NOTES—FEDERAL RESERVE AGENTS' ACCOUNTS, BY WEEKS
[In thousands of dollars]
Boston
Total
F.R.notes outstanding
(issued to Bank):
24,697,257
Aug. 1
24,745,791
Aug. 8
24,763,305
Aug. 15
24,796,339
Aug. 22
24,884,003
Aug. 29
Collateral held against
notes outstanding:
Gold certificates:
12,184,000
Aug. 1
12,204,000
Aug. 8
12,204,000
Aug. 15
12,214,000
Aug. 22
12,249,000
Aug. 29
Eligible paper:
338,315
Aug. 1
157,140
Aug. 8
213,484
Aug. 15
191,516
Aug. 22
204,270
Aug. 29
U. S. Govt. s e c :
13,225,000
Aug. 1
13,225,000
Aug. 8
13,225,000
Aug. 15
13,225,000
Aug. 22
13,225,000
Aug. 29
Total collateral:
25,747,315
Aug. 1
25,586,140
Aug. 8
25,642,484
Aug. 15
25,630,516
Aug. 22
25,678,270
Aug. 29
LOANS
GUARANTEED
New
York
1,511,398 5,569,179
1,509,813 5,575,831
1,517,809 5,583,309
1,515,051
1,518,569 5,570,473
Philadelphia
1,760,955 2 ,267,899
1,768,230 2 ,279,843
1,764,555 2 ,277,164
1,760,274 2,286,156
1,762,674 2,292,189
350,000
350,000
350,000
350,000
350,000
4,470,000
4,470,000
4,470,000
4,470,000
4,470,000
700,000
700,000
700,000
700,000
700,000
9,446
9,921
11,646
7,160
11,559
200,278
85,203
94,293
61,698
96,083
5,235
2,205
7,615
3,470
13,720
1,200,000
1,200,000
1,200,000
1,200,000
1,200,000
,200,000
,200,000
,200,000
,200,000
,200,000
1,559,446 5,870,278
1,559,921 5,755,203
1,561,646 5,764 ,293
1,557,160 5 731,698
1,561,559 5,766,083
THROUGH
Cleveland
775,000
795,000
795,000
795,000
795,000
Richmond
Atlanta
Chicago
1,666,738 1,336,979 4,686,415
1,669,719 ,342,056 4,689,961
1,669,890 1,344,004 4,698,400
1,677,261 1,353,978 4,698,846
1,703,695 ,359,432 4,708,420
480,000
480,000
480,000
490,000
515,000
510,000 2,560,000
510,000 2 ,560,000
510,000 2,560,000
510,000 2,560,000
510,000 2,560,000
900,000
900,000
900,000
900,000
900,000
1,805,235 2,275,000 1,701,860
1,802,205 2,295,000 1,710,390
1,807,615 21,295,000 1,706,420
1,803,470 21,295,000 1,723,450
1,813,720 2,295,000 1,750,370
1,410,000
1,410,000
1,410,000
1,410,000
1,410,000
2,200,000
2,200,000
2,200,000
2,200,000
2,260,000
[Amounts in thousands of dollars]
Guaranteed
loans
outstanding
Date
Number
Amount
Total
amount
Portion
guaranteed
Additional
amount
available to
borrowers
under guarantee agreements
outstanding
1950
Oct. 3 1 . . .
Nov. 3 0 . . .
Dec. 3 1 . . .
3
23
62
1,000
13,585
31,326
2,340
8,017
2,232
6,265
3,335
8,299
1951
Jan. 3 1 . . .
Feb. 2 8 . . .
Mar. 3 1 . . .
Apr. 3 0 . . .
May 3 1 . . .
June 3 0 . . .
July 3 1 . . .
119
161
254
328
402
484
568
109,433
122,541
300,955
421,267
514,626
654,893
828,584
23,778
44,250
68,833
126,080
183,610
252,100
325,299
19,837
36,537
56,973
106,053
151,858
209,465
267,715
13,748
33,840
47,822
185,001
205,629
'276,702
349,905
r
Revised.
NOTE.—The difference between guaranteed loans authorized and
sum of loans outstanding and additional amounts available to borrowers under guarantee agreements outstanding represents amounts
repaid, guarantees authorized but not completed, and authorizations
expired or withdrawn.
1148
975,000 490,000
975,000 490,000
975,000 490,000
975,000 490,000
975,000 490,000
280,000 159,000
280,000 159,000
280,000 159,000
280,000 159,000
280,000 169,000
6,779
10,919
6,358
13,996
29,771
San
Francisco
1,500,000
1,500,000
1,500,000
1,500,000
1,500,000
77,977
30,227
62,927
65,792
1,492
700,000 545,000
700,000 545,000
700,000 545,000
700,000 545,000
700,000 545,000
4,760,000 1,243,765 652,975 986,779
4,760,000 1,227,150 641
990,919
4,760,000 1,233,900 650,325 986,358
4,760,000 1,236,.!
993,996
4,760,000 1,245,050 651
1,009,771
1,200,000
1,200,000
1,200,000
1,200,000
1,200,000
704,000 2,777,977
704,000 2,730,227
704,000 2,762,927
704,000 2,765,792
714,000 2,701,492
[Amounts in thousands of dollars]
DEFENSE PRODUCTION ACT OF 1950 AND
EXECUTIVE ORDER NO. 10161
Dallas
INDUSTRIAL LOANS BY FEDERAL RESERVE BANKS
BANKS UNDER REGULATION. V, PURSUANT TO
Guaranteed loans
authorized
to date
250,000 150,000
250,000 150,000
250,000 150,000
250,000 150,000
250,000 150,000
18,765 12,975
2,150 1,125
8,900 10,325
11,525 9,425
20,050 11,225
1,215,000
1,215,000
1,215,000
1,215,000
1,215,000
RESERVE
Minne- Kansas
apolis
City
125,003 620,012 955,301 689,437 2,507,941
132,255 619,699 960,457 687,981 2,509,946
128,965 619,564 957,850 688,370 2,513,425
129,869 619,332 961,650 689,898 2,529,152
135,023 617,824 964,348 702,129 2,549,227
6,860
15,390
11,420
18,450
20,370
1,100,000 1,500,000
1,100,000 1,500,000
1,100,000 1,500,000
1,100,000 1,500,000
1,100,000 1 ,500,000
FEDERAL
St.
Louis
Number
ParticiAppations
proved
Loans Commitof
ments ingfinancoutbut not
insti2
com- standing
tutions
outpleted i (amount) standing
out- 3
(amount) standing
Amount (amount)
(amount)
1944
1945
1946
1947
1948
1949
3,489
3,511
3,542
3,574
3,607
3,649
525,532
544,961
565,913
586,726
615,653
629,326
320
3,894
1,995
4,577
554
945
335
539
1950
July 3 1 . . .
Aug. 3 1 . . .
Sept. 30. . .
Oct. 3 1 . . .
Nov. 30. . .
Dec. 3 0 . . .
3,680
3,684
3,690
3,692
3,695
3,698
639,158
644,464
646,276
647,432
649,748
651,389
1951
Jan. 3 1 . . .
Feb. 28. . .
Mar. 31. . .
Apr. 3 0 . . .
May 3 1 . . .
June 3 0 . . .
July 3 1 . . .
3,707
3,706
3,710
3,717
3,721
3,724
3,727
654,199
655,702
660,525
664,473
667,988
671,432
678,477
Date (last
Wednesday
or last day
of period)
Applications
approved
to date
1,295
2,178
4,165
1,644
8,309
7,434
1,643
2,288
2,705
1,086
2,670
4,869
1,990
2,947
4,362
6,985
8,030
5,108
5,519
4,819
2,479
2,333
2,293
2,307
2,413
2,632
1,729
2,481
2,509
3,035
3,466
3,754
2,753
3,273
3,224
3,707
4,050
3,745
1,862
1,523
3,980
4,925
3,578
3,221
6,730
3,520
3,681
3,988
4,845
5,255
5,762
5,801
3,325
2,937
2,824
2,595
3,643
3,740
3,767
5,402
5,358
5,262
5,331
5,999
6,199
6,115
1,387
995
1
Includes applications approved conditionally by the Federal Reserve
Banks and under consideration by applicant.
2
Includes industrial loans past due 3 months or more, which are not
included in industrial loans outstanding in weekly statement of condition
of Federal Reserve Banks.
3
Not covered by Federal Reserve Bank commitment to purchase or
discount.
NOTE.—The difference between amount of applications approved and
the sum of the following four columns represents repayments of advances, and applications for loans and commitments withdrawn or
expired.
FEDERAL RESERVE
BULLETIN
DEPOSITS, RESERVES, AND BORROWINGS OF MEMBER BANKS
[Averages of daily figures.1 In millions of dollars]
All
member
banks
Central reserve
city banks
New
York
Reserve
city
banks
Chicago
Country
banks
All
member
banks
First half of July 1951
Gross demand deposits:
Total
Interbank
Other
Net demand deposits 2
Demand*deposits adjusted
Time deposits 4
3
Demand balances due from domestic banks...
Reserves with Federal Reserve Banks:
Total
Required
Excess
22,553
3,884
18.669
20,650
5 ,704
1 ,138
4 ,566
5 ,129
37 ,985
5 ,448
32 ,536
32 ,688
33,182
990
32,192
28,299
1,907
1 ,122
11 ,904
5,744
37
116
1 ,819
19,264
18,490
774
5,063
5,070
1 ,294
1 ,298
-4
7 ,439
7 ,252
187
199
70
13
75
Borrowings at Federal Reserve Banks
New
York
Reserve
city
banks
Chicago
Country
banks
Second half of July 1951
99,423
11,460
87,963
86,765
76,500
30,057
Q
Central reserve
city banks
21 ,876
3 ,851
18 ,025
20 ,235
5 ,663
1 ,155
4 ,508
5 ,111
37,993
5,446
32,547
32,922
33,218
969
32,250
28,456
15,124
98,751
11,421
87,330
86,724
77,250
30,106
1 ,891
1 ,114
11,929
15,173
3,773
5,780
34
113
1,850
3,783
5,468
4,869
599
19,196
18,458
738
4 ,995
4 ,970
25
1 ,293
1 ,293
7,439
7,300
139
5,469
4,894
574
188
71
80
37
1
Averages of daily closing figures for reserves and borrowings and of daily opening figures for other items, inasmuch as reserves required are
based2 on deposits at opening of business.
Demand deposits subject to reserve requirements, i. e., gross demand deposits minus cash items reported as in process of collection and
demand
balances due from domestic banks.
3
Demand deposits adjusted (demand deposits other than interbank and U. S. Government, less cash items reported as in process of collection)4 are estimated for all member banks, but not by class of bank.
Includes some interbank and U. S. Government time deposits; the amounts on call report dates are shown in the Member Bank Call Report.
DEPOSITS OF COUNTRY MEMBER BANKS IN LARGE AND
SMALL CENTERS i
[Averages of daily figures. In millions of dollars]
MEMBER BANK RESERVES AND BORROWINGS
[Averages of daily figures. In millions of dollars]
Month, or
week ending Wednesday
All
Central reserve
city t)anks
member
banks *
New
York
Chicago
Total reserves held:
1950—July
1951—June
July
16,253
19,309
19,229
4,346
5,230
5,028
July
July
Aug.
Aug.
Aug.
Aug.
18
25
1
8
15
22
19,318
19,259
19,052
19,201
19,228
19,260
5,009
4,999
4,955
4,943
4,913
14,916
Excess reserves:
1950—July
1951—June
July
746
834
756
14
106
9
858
799
606
774
756
-10
8
?776
16
28
-11
20
-2
10
123
170
194
45
25
71
156
147
249
358
217
171
74
64
78
174
67
41
July
July
Aug.
Aug.
Aug.
Aug.
18
25
1
8
15
22
Borrowings at Federal
Reserve Banks:
1950—July
1951—June
July
July
July
Aug.
Aug.
Aug.
Aug.
18
25
1
8
15
22
Re-
serve
city
banks
Country
banks
6,301
7,402
7,439
4,492
5,377
5,469
7,461
1,299
7,461
1,290
7,443
1,285
L ,297 7,461
7,496
1,298
7,494
1,303
,549
,509
,370
,500
5,521
5,547
-2
7
-2
171
219
162
562
501
586
4
178
164
138
157
154
138
660
608
489
589
604
P629
42
73
77
24
69
39
27
67
127
133
89
98
55
16
43
43
59
31
1,114
1,300
1,294
i
' ' '!['
11
3
7
i'
8
2
1
In places of 15,000
and over population
In places of under
15,000 population
Demand
deposits
except
interbank
Time
deposits
Demand
deposits
except
interbank
Time
deposits
18,689
18,914
19,135
9,392
9,388
9,362
10,839
10,880
10,997
5,668
5,666
5,672
20,670
20,713
20,778
9,315
9,351
9,415
11,375
11,325
11,444
5,661
5,681
5,734
Boston
New York
Philadelphia
Cleveland
2,446
3,716
1,438
1,607
841
2,283
825
927
338
1,141
999
1,078
207
1,077
905
802
Richmond
Atlanta
Chicago
St. Louis
1,318
1,935
2,915
857
457
501
1,793
382
780
598
1,698
905
445
192
905
268
Minneapolis
Kansas City
Dallas
San Francisco
679
800
1,640
1,427
318
140
232
715
704
1,429
1,320
456
408
203
65
256
May
June
July
May
June
July
1950
1951
By district,
July 1951
1
Includes any banks in outlying sections of reserve cities that have
been given permission to carry the same reserve as country banks.
P1 Preliminary.
Weekly figures of excess reserves of all member banks and of
country banks are estimates. Weekly figures of borrowings of all member banks and of country banks may include small amounts of Federal
Reserve Bank discounts and advances for nonmember banks, etc.
Back figures.—See Banking and Monetary Statistics, pp. 396-399.
SEPTEMBER
1951
1149
UNITED STATES MONEY IN CIRCULATION, BY DENOMINATIONS
[Outside Treasury and Federal Reserve Banks. In millions of dollars]
Total
in circulation 1
Total
Coin
1933
1934
1935
1936
1937
1938
1939
1940
1941
1942
1943
1944
1945
1946
1947
1948
1949
5,519
5,536
5,882
6,543
6,550
6,856
7,598
8,732
11,160
15,410
20,449
25,307
28,515
28,952
28,868
28,224
27.600
4,167
4,292
4,518
5,021
5,015
5,147
5,553
6,247
8,120
11,576
14,871
17,580
20,683
20,437
20,020
19,529
19,025
442
452
478
517
537
550
590
648
751
880
1,019
1,156
1,274
1,361
1,404
1,464
1,484
1950—May...
June...
July...
August.
September...
October
November.. .
December. . .
27,090
27,156
27,010
27,120
27,161
27,228
27,595
27,741
18,730
18,813
18,696
18,795
18,834
18,901
19,252
19,305
1951—January
February
March.
April...
May...
June...
July
27,048
27,188
27,119
27,278
27,519
27,809
27,851
18,694
18,861
18,845
19,023
19,260
19,521
19,560
End of year or
month
Coin and small denomination currency
3$1
$10
$2
$5
719
771
815
906
905
946
1,039
1,029
1,048
1.049
1,066
33
32
33
35
33
34
36
39
44
55
70
81
73
67
65
64
62
1,490
1,496
1,498
1,506
1,515
1,527
1,547
1,554
1,033
1,037
1,029
1,037
1,054
1,072
1,089
1,113
1,530
1,535
1,542
1,551
1,568
1,578
1,590
1,056
1,057
1,059
1,073
1,087
1,092
1,092
402
423
460
499
505
524
559
610
695
801
909
987
Large denomination currency
$20
Total
$50
$100
364
337
358
399
387
409
460
538
724
618
577
627
707
710
770
919
1,019
1,129
1,355
1,693
1,973
2,150
2,313
2,173
2,110
2,047
2,004
1,229
1,288
1,373
1,563
1,560
1,611
1,772
2,021
2,731
4,051
5,194
5,983
6,782
6,497
6,275
6,060
5.897
1,342
1,326
1,359
1,501
1,475
1,481
1,576
1,800
2,545
4,096
5,705
7,224
9,201
9,310
9,119
8,846
8.512
1,360
1,254
1,369
1,530
1,542
1,714
2,048
2,489
3,044
3,837
5,580
7,730
7,834
8,518
8,850
8,698
8,578
1,019
1,481
1,996
2,327
2,492
2,548
2,494
2,435
60
61
60
61
61
61
62
64
1,963
1,966
1,946
1,955
1,964
1,978
2,021
2,049
5,851
5,891
5,836
5,881
5,884
5,874
6,021
5,998
8,333
8,363
8,328
8,355
8,357
8,388
8,511
8,529
8,361
8,344
8,316
8,328
8,329
8,329
8,345
8,438
61
61
61
62
63
64
64
1,943
1,959
1,953
1,973
1,995
2,011
2,008
5,791
5,880
5,881
5,943
6,024
6,113
6,088
8,313
8,369
8,348
8,422
8,523
8,663
8,718
8,356
8,329
8,275
8,257
8,259
8,289
8,292
2
Unassorted
$500 $1,000 $5,000 $10,000
10
7
237
216
239
265
288
327
425
523
556
586
749
990
801
783
782
707
689
7
7
1,112
1,433
1,910
2,912
4,153
4,220
4,771
5,070
5,074
5,056
125
112
122
135
139
160
191
227
261
287
407
555
454
438
428
400
382
6
17
20
30
24
9
9
10
7
8
5
5
4
16
18
12
32
32
60
46
25
22*
24
24
26
17
17
11
2,380
2,386
2,374
2,374
2,369
2,368
2,384
2,422
4,949
4,940
4,934
4,950
4,964
4,987
4,994
5,043
380
378
375
372
370
367
365
368
639
628
620
617
613
595
589
588
4
4
4
4
4
4
4
4
9
9
9
9
9
9
9
12
1
2
2
2
2
2
2
2
2,393
2,385
2,369
2,371
2,382
2,405
2,409
5,002
4,986
4,955
4,941
4,938
4,947
4,952
366
365
362
360
357
356
354
583
581
576
573
570
570
565
4
4
4
4
4
4
4
9
9
8
8
8
8
8
3
2
1
8
5
10
5
8
7
5
2
4
4
3
2
3
2
3
3
3
3
1
2
2
1
2
Total of amounts of coin and paper currency shown by denominations less unassorted currency in Treasury and Federal Reserve Banks.
Includes unassorted
currency held in Treasury and Federal Reserve Banks and currency of unknown denominations reported by the Treasury
3
as destroyed.
Paper currency only; $1 silver coins reported under coin.
Back figures.—See Banking and Monetary Statistics, Table 112, pp. 415-416.
UNITED STATES MONEY, OUTSTANDING AND IN CIRCULATION, BY KINDS
[On basis of circulation statement of United States money. In millions of dollars]
Money held in the Treasury
Total outstanding, As security
against
July 31,
Treasury
gold and
1951
cash
silver
certificates
Gold
Gold certificates
Federal Reserve notes
Treasury currency—total
Standard silver dollars
Silver bullion
Silver certificates and Treasury notes of 1890. .
Subsidiary silver coin
Minor coin
United States notes
Federal Reserve Bank notes
National Bank notes
Total—July 31, 1951
June 30, 1951
July 31, 1950
21,759
20,543
24,707
4,666
492
2,061
2 2,337
1,050
390
347
244
82
20,543
3 2,337
276
2,061
22,880
22,895
25,242
2
1 ,216
46
40
Money
held by
For
Federal
Reserve
Federal
Reserve Banks and
Banks and
agents
agents
17,
July 31,
1951
June 30,
1951
July 31,
1950
2,816
1,135
340
39
23,526
4,286
39
23,456
4,314
41
22,664
4,305
182
180
171
276
20
7
30
3
1
2,060
1,027
382
314
241
81
2,093
1,020
378
318
243
81
2,135
964
362
316
271
86
4,291
4,197
3,995
27,851
32
1,302
1,281
1,304
17,688
17,699
20,070
Money in circulation *
27,809
27,010
1
Outside Treasury and Federal Reserve Banks. Includes any paper currency held outside the continental limits of the United States. Totals
for other
end-of-month dates are shown in table above, totals by weeks in table on p. 1141, and seasonally adjusted figures in table on p. 1151.
2
Includes $156,039,431 held as reserve against United States notes and Treasury notes of 1890.
8
To avoid duplication, amount of silver dollars and bullion held as security against silver certificates and Treasury notes of 1890 outstanding
is not included in total Treasury currency outstanding.
* Because some of the types of money shown are held as collateral or reserves against
other types, a grand total of all types has no special
6
significance and is not shown. See note for explanation of these duplications.
Less than $500,000.
NOTE.—There are maintained in the Treasury—(i) as a reserve for United States notes and Treasury notes of 1890—$156,039,431 in gold
bullion; (ii) as security for Treasury notes of 1890—an equal dollar amount in standard silver dollars (these notes are being canceled and retired on
receipt); (iii) as security for outstanding silver certificates—silver in bullion and standard silver dollars of a monetary value equal to the face
amount of such silver certificates; and (iv) as security for gold certificates—gold bullion of a value at the legal standard equal to the face amount
of such gold certificates. Federal Reserve notes are obligations of the United States and a first lien on all the assets of the issuing Federal Reserve
Bank. Federal Reserve notes are secured by the deposit with Federal Reserve agents of a like amount of gold certificates or of gold certificates
and such discounted or purchased paper as is eligible under the terms of the Federal Reserve Act, or of direct obligations of the United States.
Federal Reserve Banks must maintain a reserve in gold certificates of at least 25 per cent, including the redemption fund with the Treasurer of the
United States, against Federal Reserve notes in actual circulation; gold certificates pledged as collateral may be counted as reserves. "Gold certificates" as herein used includes credits with the Treasurer of the United States payable in gold certificates. Federal Reserve Bank notes and
national bank notes are in process of retirement.
1150
FEDERAL RESERVE BULLETIN
POSTAL SAVINGS SYSTEM
MONEY IN CIRCULATION WITH ADJUSTMENT FOR
SEASONAL VARIATION
[Outside Treasury and Federal Reserve Banks. In millions of dollars]
Amount—
unadjusted
for seasonal
variation
Date
End of period:
1940
1941
1942
1943
1944
1945
1946
1947
1948
1949
1950
Amount—
adjusted for
seasonal
variation
1951—January
February
March
April
May
June
July
August
Assets
Change in
seasonally
adjusted
series l
+1,134
+2,428
+4,250
+5,039
+4,858
+3,208
+437
8,732
11,160
15,410
20,449
25,307
28,515
28,952
28,868
28,224
27,600
27,741
Averages of daily figures:
1950—July
August
September
October
November
December
[In millions of dollars]
-84
-644
-624
+141
+9
27,117
27,009
27,154
27,233
27,380
27,806
27,171
27,145
27,208
27,233
27,298
27,531
+63
+25
+65
+233
27,304
27,145
27,171
27,179
27,324
27,548
27,859
27,951
27,222
27,145
27,253
27,398
27,516
27,686
27,915
28,091
-309
-77
+ 108
+ 145
+118
+170
+229
+ 176
-26
Depositors'
balances 1
Total
1943—December
1944—December
1945—December... .
1946—December
1947—December
1948—December
1949—December... .
1,788
2,342
2,933
3,284
3,417
3,330
3,188
1,843
2,411
3,022
3,387
3,525
3,449
3,312
10
8
6
6
6
7
7
1,716
2,252
2,837
3,182
3,308
3,244
3,118
118
152
179
200
212
198
187
1950—February
March
April
May
3,177
3,168
3,151
3,125
3,097
3,061
3,021
2,991
2,967
2,947
2,924
3,301
3,293
3,276
3,250
3,218
3,181
3,141
3,111
3,088
3,069
3,045
7
8
S
8
10
9
10
10
10
10
11
3,107
3,107
3,092
3,068
3,038
3,027
2,962
2,923
2,903
2,888
2,868
186
178
176
175
171
145
169
177
175
171
166
2,901
2,877
2,852
2,831
2,808
3,022
2,998
2,974
2,954
2,933
11
11
11
17
21
2,858
2,835
2,793
2,765
2,748
153
152
169
172
164
End of month
June
July
August
September. . .
October
November. , .
December
1951—January
February
March
April
May
June
July
Cash
in
depository
banks
U. S.
Government
securities
Cash
reserve
funds,
etc.«
P2,785
v2 ,766
1
For end-of-year figures, represents change computed on absolute
amounts in first column.
NOTE.—For discussion of seasonal adjustment factors and for back
figures on comparable basis see BULLETIN for September 1943, pp.
822-826. Because of an apparent change in the seasonal pattern
around the year-end, adjustment factors have been revised somewhat
for dates affected, beginning with December 1942.
p Preliminary.
Outstanding principal, represented by certificates of deposit.
Includes working cash with postmasters, 5 per cent reserve fund
and miscellaneous working funds with Treasurer of United States, accrued interest on bond investments, and accounts due from late postmasters.
Back figures.—See Banking and Monetary Statistics, p. 519; for
description, see p. 508 in the same publication.
1
8
BANK DEBITS AND DEPOSIT TURNOVER
[Debits in millions of dollars]
Debits to total deposit accounts, except
interbank accounts
Year or month
140
other
centers
Other
reporting
centers
New
York
City
479,760
527,336
599,639
667,934
648,976
742,458
89,799
105,210
119,506
132,695
129,179
147,324
18.2
18.9
21.0
23.6
24.1
26.6
38,757
50,067
44,910
43,837
43,740
52,590
59,752
65,423
65,197
68,137
66,392
72,845
12,064
12,893
13,116
13,811
13,409
14,106
48,207
39,067
53,171
45,477
45,375
48,588
43,224
75,017
62,370
75,941
69,421
71,197
72,110
67,532
15,178
12,624
14,900
13,549
14,129
14,329
13,665
Total, all
reporting
centers
New
York
Cityi
1945
1946—old series 33
1946—new series
1947
1948
1949
19S0
974,102
}l,050,021
1,125,074
1,249,630
1,231,053
1,403,752
404,543
417,475
405,929
449,002
452,897
513,970
1950—July
August
September
October
November
December
110,573
128,383
123,222
125,784
123,541
139,542
1951—January
February
March
April
May
Tune
July
138,402
114,061
144,012
128,447
130,700
135,027
124,422
l
Debits to demand
deposit accounts,
except interbank
and Government
Annual rate of
turnover of total
deposits, except
interbank
Annual rate of
turnover of demand
deposits, except interbank and Government
Other
leading
cities 2
New
York
City «
Other
leadingJ
cities
11.9
12.9
12.4
13.4
351,602
374,365
407,946
400,468
445,221
447,150
508,166
412,800
449,414
522,944
598,445
660,155
639,772
731,511
24.2
25.5
25.2
24.1
27.2
28.2
31.4
16.1
16.9
16.5
18.0
19.2
18.7
20.3
24.6
29.2
27.9
26.4
28.1
31.2
13.2
13.2
14.2
14.2
14.9
15.3
40,657
48,320
46,400
43,159
41,167
53,150
59,703
64,015
65,330
66,547
64,687
73,253
31.0
33.8
34.2
30.7
31.4
37.2
20.3
19.9
21.5
20.9
21.7
23.0
27.9
26.1
29.0
26.5
26.2
27.9
26.0
15.2
14.3
14.9
14.6
13.8
14.0
14.1
47,561
38,916
53,142
44,312
42,272
49,398
41,673
73,226
62,239
75,897
68,157
68,378
72,179
64,826
32.9
30.7
35.5
32.5
30.0
34.4
31.1
22.0
21.5
22.5
22.3
21.3
22.2
20.9
Other
reporting
centers
New
York
City 2
9.7
10.0
{
1
2
8
National series for which bank debit figures are available beginning with 1919.
Weekly reporting member bank series.
Statistics for banks in leading cities revised beginning July 3, 1946; for description of revision and for back figures see BULLETIN for June
1947, pp. 692-693, and July 1947, pp. 878-883, respectively; deposits and debits of the new series for first six months of 1946 are estimated.
NOTE.—Debits to total deposit accounts, except interbank accounts, have been reported for 334 centers from 1942 through November 1947,
333 centers from December 1947 through December 1950, and for 342 centers beginning January 1951; the deposits from which rates of turnover
have been computed have likewise been reported by most banks and have been estimated for others. Debits to demand deposit accounts, except
interbank and U. S. Government, and the deposits from which rates of turnover have been computed have been reported by member banks in
leading cities since 1935.
SEPTEMBER
1951
1151
CONSOLIDATED CONDITION STATEMENT FOR BANKS AND THE MONETARY SYSTEM
ALL COMMERCIAL AND SAVINGS BANKS, FEDERAL RESERVE BANKS, POSTAL SAVINGS SYSTEM,
AND TREASURY CURRENCY FUNDS *
[Figures partly estimated except on call dates. In million 3 of dollars]
Assets
Liabilities
and Capital
Total
assets,
netTotal
liabil-
Bank credit
Gold
1929—June
1933—Tune
1939—Dec
1941—Dec
1945—T)ec
1946—Dec
1947—Tune
Dec.
194g—June
Dec.
1949—j u n e
Dec
1950—June
29
30
30
31
31
31
30
31
30
31
30
31
30
1950—Aug. 30
Sept. 27
Oct 25
Nov 29
Dec. 30
1951—Jan. 31*
Feb. 2 8 P
Mar 2 8 P
Apr. 2 5 P
May 3 0 P
June 27P
July 25P
U.S. Government obligations
Treas-
Date
. . . .
. ..
currency
Total
Loans,
net
Total
Commercial
and
savings
banks
Federal
Reserve
Banks
Other
Other
securities
and
capital,
net
Capital
Total
and
deposits misc.
and
accurrency counts,
net
4,037
4,031
17,644
22,737
20,065
20,529
21,266
22,754
23,532
24,244
24,466
24,427
24,231
2,019
2,286
2,963
3,247
4,339
4,562
4,552
4,562
4,565
4,589
4,597
4,598
4,607
58 ,642
42 ,148
54 ,564
64 ,653
167 ,381
1S8 ,366
156 ,297
160 ,832
1S7 ,958
160 ,457
156 ,491
167 ,681
164 ,348
41,082
21,957
22,157
1
26,605
30,387
35,765
38,373
43,023
45,299
48,341
47,148
49,604
51,999
5,741
10,328
23,105
29,049
128,417
113,110
107,873
107,086
101,451
100,694
97,428
100,456
98,709
5,499
8,199
19,417
25,511
101,288
86,558
82,679
81,199
76,774
74,097
74,877
78,433
77,320
1,998
2,484
2,254
24,262
23,350
21,872
22,559
21,366
23,333
19,343
18,885
18,331
131
1,204
1,284
2,867
3,202
3,322
3,328
3,311
3,264
3,208
3,138
3,058
11,819
9,863
9,302
8,999
8,577
9,491
10,051
10,723
11,208
11,422
11,915
12,621
13,640
64,698 55,776
48,465 42,029
75,171 68,359
90,637
82,811
191,785 180.806
183,457 171,657
182,115 169,234
188,148 175,348
186,055 172,857
189,290 176,121
185,554 171,602
191,706 177,313
193,186 178,568
8,922
6,436
6,812
7,826
10,979
11,800
12,882
12,800
13,200
13,168
13,952
14,392
14,618
23,800
23,500
23,300
23,000
22,706
4,600
4,600
4,600
4,600
4,636
165 ,800
166 ,800
167 ,700
168 ,700
171 ,667
54,500
56,300
57,500
59,100
60,366
97,200
96,000
95,800
95,200
96,560
75,600
73,800
73,600
72,700
72,894
18,600
19,400
19,200
19,600
20,778
3,000
2,900
2,900
2,900
2,888
14,200
14,500
14,400
14,500
14,741
194,200
194,900
195,600
196,400
199,009
179,200
179,900
180 100
181,000
184,385
15,000
14,900
15 500
15,300
14,624
22,400
22,100
21,900
21,800
21,800
21,800
21,800
4,600
4,600
4,600
4,600
4,600
4,700
4,700
170 ,500
17(1 ,700
17? ,100
17? ,100
171 ,300
17S ,000
173 ,100
60,600
61,500
62,500
62,600
62,900
63,500
63,400
95,200
94,500
94,700
94,600
93,500
94,400
94,500
70,800
69,800
69,300
68,900
68,400
68,800
68,700
21,500
21,900
22,600
22,900
22,300
22,800
23,100
2,900
2,900
2,800
2,800
2,800
2,700
2,700
14,700
14,800
14,900
15,000
14,900
15,100
15,300
197,500
197,500
198,600
198,600
197,700
199,400
199,600
182,500
182,600
183,700
183,600
182,900
184,500
184,600
15,100
14,800
14,900
15,000
14,800
14,900
15,000
216
26
Deposits and Currency
Deposits adjusted and currency
U S. Government balances
Date
Total
1929—June
1933 June
1939—Dec
1941—Dec
1945—Dec
1946—Dec.
1947—June
Dec.
1948—June
Dec
1949—June
Dec
1950—j une
29
30
30
31
31
31
30
31
30
31
30
31
30
1950—Aug 30
Sept. 27
Oct. 25
Nov 29
Dec 30
1951—j an 31P
Feb. 28P
Mar. 28P
Apr. 25*
May 30P
June 27P
July 25P
Foreign
bank
deposits, Treasnet
ury
cash
At comAt
mercial Federal
and
Reserve
savings Banks
banks
Time deposits*
Total
Demand
deposits2
54,790
40,828
63,253
76,336
150,793
164,004
164,140
170,008
165,695
169,119
165,626
169,781
169,964
Currency
outside
banks
Total
Commercial
banks
Mutual
savings4
banks
Postal
Savings
System
22,540
14,411
29,793
38,992
75,851
83,314
82,186
87,121
82,697
85,520
81,877
85,750
85,040
28,611
21,656
27,059
27,729
48.452
53,960
55,655
56,411
57,360
57,520
58,483
58,616
59,739
19,557
10,849
15,258
15,884
30.135
33,808
34,835
35,249
35,788
35,804
36,292
36,146
36,719
8,905
9,621
10,523
10,532
15,385
16,869
17,428
17,746
18,194
18,387
18,932
19,273
19,923
1,186
1,278
1,313
2,932
3,283
3,392
3,416
3,378
3,329
3,259
3,197
3,097
149
3,639
4,761
6,401
9,615
26,490
26,730
26,299
26,476
25,638
26,079
25,266
25,415
25,185
55,776
42,029
68,359
82 811
180,806
171,657
169,234
175,348
172,857
176,121
171,602
177,313
178,568
365
50
204
264
1,217
1,498
2,141
1,885
1,657
1,682
1,727
2,103
1,927
2,150
2,555
2,409
2,215
2.287
2,272
1,314
1,336
1,327
1,325
1,307
1,312
1,298
1,895
24,608
3,103
1,367
1,452
2,180
2,451
2,304
3,249
3,801
179,200
179,900
180,100
181,000
184,385
2,400
2,300
2,500
2,300
2,518
L.300
L,300
1,300
L,300
L,293
3,800
3,600
3,100
3,000
2,989
700 171,000
1,100 171,600
400 172,800
600 173,900
668 176,917
87,400
88,000
89,200
90,300
92,272
59,100
59,000
59,000
58,700
59,247
36,200
36,200
36,200
35,900
36,314
19,800
19,900
19,900
19,800
20,010
3,000
3,000
3,000
2,900
2,923
24,500
24,500
24,600
24,900
25,398
182,500
182,600
183,700
183,600
182,900
184,500
184,600
2,400
2,400
2,400
2,500
2,500
2,500
2,400
1,300
1,300
1,300
1,300
1,300
1,300
1,300
2,800
4,200
6,400
5,800
4,800
6,200
4,500
800 175,200
500 174,200
1,100 172,500
700 173,300
600 173,700
400 174,200
400 176,000
91,600
90,600
89,000
89,500
89,500
89,500
90,800
59,000
59,000
59,100
59,200
59,300
59,800
60,000
36,100
36,100
36,200
36,300
36,300
36,600
36,800
20,000
20,000
20,100
20,200
20,200
20,400
20,500
2,900
2,900
2,800
2,800
2,800
2,800
2,800
24,600
24,600
24,400
24,600
24,900
25,000
25,100
381
852
846
36
35
634
867
977
393
756
870
1,928
1,123
438
821
950
* Preliminary.
1
Treasury funds included are the gold account, Treasury currency account, and Exchange Stabilization Fund.
* Demand deposits other than interbank and U. S. Government, less cash items reported as in process of collection.
* Excludes interbank time deposits; United States Treasurer's time deposits, open account; and deposits of Postal Savings System in banks.
* Prior to June 30, 1947, includes a relatively small amount of demand deposits.
and in Capital accounts, and b a a
o
g y
g
ati
ud
t
asuy are netted
against miscellaneous accounts instead of against U. S. Government deposits and Treasury cash. Total deposits and currency shown in the
monthly Chart Book excludes "Foreign bank deposits, net" and "Treasury cash." Except on call dates, figures are rounded to nearest 100
million dollars and may not add to the totals. See Banking and Monetary Statistics, Table 9, pp. 34-35, for back figures for deposits and currency.
1152
FEDERAL RESERVE BULLETIN
ALL BANKS IN THE UNITED STATES, BY CLASSES *
PRINCIPAL ASSETS AND LIABILITIES, AND NUMBER OF BANKS
[Figures partly estimated except on call dates. Amounts in millions of dollars]
Deposits
Loans and investments
Other
Investments
Class of bank
and date
Total
Loans
Total
All banks:
1939—Dec.
1941—Dec.
1945—Dec.
1946—Dec.
1947—Dec.
1948—Dec.
1949—Dec.
1950—June
Dec.
1951—Feb.
Mar.
Apr.
May
Tune
July
30
31
31
31 2
31
31
31
30
30
28P
28P
25P
30P
27P
25P
All commercial banks:
1939—Dec. 30
1941—Dec. 31
1945—Dec. 31
1946—Dec. 31
1947—Dec. 31 »
1948—Dec. 31
1949—Dec. 31
1950—June 30
Dec. 30
1951—Feb. 28P
Mar. 28P
Apr. 25P
May 30P
June 27P
July 25P
All member banks:
1939—Dec. 30
1941—Dec. 31
1945—Dec. 31
1946—Dec. 31
1947—Dec. 31
1948—Dec. 31
1949—Dec. 31
1950—June 30
Dec. 30
1951—Feb. 28P
Mar. 28P
Apr. 25?
May 30P
June 27P
July 25P
All mutual savings
banks:
1939—D ec . 30
1941—Dec. 31
1945—Dec. 31
1946—Dec. 31
1947—Dec. 31 »
1948—Dec. 31
1949—Dec. 3 1 . :
1950—JUne 30 . .
Dec. 30
1951—Feb. 2 8 P . .
Mar. 2 8 P
Apr. 2 5 P . .
May 3 0 P . . . .
June 27P. . . . .
July 2 5 P
Cash
assets *
U. S.
Government
obligations
Other
securities
19,417
25,511
101,288
86,558
81,199
74,097
78,433
77,320
72,894
69,800
69,250
68,850
68,410
68,790
68,740
9,302
8,999
8,577
9,491
10,723
11,422
12,621
13,640
14,741
14,760
14,920
14,990
14,930
15,110
15,270
23,292
27,344
35,415
35,041
38,388
39,474
36,522
34,099
41,086
38,590
37,440
37,510
37,020
37,620
37,860
68,242
81,816
165,612
155,902
161,865
161,248
164,467
163,770
175,296
170,500
169,760
169,770
168,810
170,680
170,990
Total »
Interbank^
Total
Number
capital
of
accounts banks
Demand
Time
9,874
10,982
14,065
12,656
13,033
12,269
12,710
11,435
14,039
12,160
11,630
11,740
11,350
11,620
12,280
32,516
44,355
105,935
92,462
95,727
94,671
96,156
95,505
104,744
102,050
101,660
101,440
100,740
101,850
101,240
25,852
26,479
45,613
50,784
53,105
54,308
55,601
56,830
56,513
56,290
56,470
56,590
56,720
57,210
57,470
8,194
8,414
10,542
11,360
11,948
12,479
13,088
13,576
13,837
13,890
13,940
14,000
14,050
14,150
14,190
15,035
14,826
14,553
14,585
14,714
14,703
14,687
14,674
14,650
14,639
14,649
14,647
14,644
14,636
14,637
50,884
61,126
140,227
131,698
134,924
133,693
140,598
142,959
148,021
146,480
147,120
146,880
146,680
147,950
147,760
22,165 28,719
26,615 34,511
30,362 109,865
35,648 96,050
43,002 91,923
48,174 85,519
49,544 91,054
51,999 90,961
60,386 87,635
61,920 84,560
62,950 84,170
63,040 83,840
63,340 83,340
64,050 83,900
63,750 84,010
40,668
50,746
124,019
113,993
116,284
114,298
120,197
121,767
126,675
125,010
125,740
125,390
125,060
126,230
125,940
17,238
21,714
26,083
31,122
38,057
42,488
42,965
44,796
52,249
53,540
54,420
54,350
54,460
55,040
54,590
23,430
29,032
97,936
82,871
78,226
71,811
77,232
76,972
74,426
71,470
71,320
71,040
70,600
71,190
71,350
16,316
21,808
90,606
74,780
69,221
62,622
67,005
65,751
62,027
59,060
58,770
58,470
58,110
58,560
58,590
7,114
7,225
7,331
8,091
9,006
9,189
10,227
11,221
12,399
12,410
12,550
12,570
12,490
12,630
12,760
22,474
26,551
34,806
34,223
37,502
38,596
35,650
33,268
40,289
37,870
36,560
36,660
36,220
36,780
37,040
57,718
71,283
150,227
139,033
144,103
142,843
145,174
143.827
155,265
150,440
149,650
149,600
148,570
150,280
150,520
9,874
10,982
14,065
12,656
13,032
12,269
12,709
11,435
14,039
12,160
11,630
11,740
11,350
11,620
12,280
32,513
44,349
105,921
92,446
95,711
94,654
96,136
95,485
104,723
102,030
101,640
101,420
100,720
101,830
101,220
15,331
15,952
30,241
33,930
35,360
35,921
36,328
36,907
36,503
36,250
36,380
36,440
36,500
36,830
37,020
6,885
7,173
8,950
9,577
10,059
10,480
10,967
11,387
11,590
11,630
11,660
11,730
11,770
11,860
11,900
14,484
14,278
14,011
14,044
14,181
14,171
14,156
14,144
14,121
14,110
14,120
14,117
14,114
14,107
14,108
33,941
43,521
107,183
96,362
97,846
95,616
101,528
102,745
107,424
105,655
106,366
106,000
105,650
106,843
106,502
13,962
18,021
22,775
26,696
32,628
36,060
36,230
37,658
44,705
45,873
46,618
46,481
46,554
47,072
46,658
19,979
25,500
84,408
69,666
65,218
59,556
65,297
65,087
62,720
59,782
59,748
59,519
59,096
59,771
59,844
14,328
19,539
78,338
63,042
57,914
52,154
56,883
55,759
52,365
49,415
49,264
49.038
48,693
49,249
49,209
5,651
5,961
6,070
6,625
7,304
7,402
8,414
9,328
10,355
10,367
10,484
10,481
10,403
10,522
10,635
19,782
23,123
29,845
29,587
32,845
34,203
31,317
29,380
35,524
33,508
32,336
32,396.
31,990
32,561
32,607
49,340
61,717
129,670
118,170
122,528
121,362
123,885
122,707
133,089
128,660
128,046
127,988
126,953
128,712
128,605
9,410
10,525
13,640
12,060
12,403
11,641
12,097
10,850
13,447
11,565
11,129
11,240
10,866
11,142
11,774
28,231
38,846
91,820
78,920
81,785
80,881
82,628
82,232
90,306
87,927
87,697
87,487
86,772
87,979
87,105
11,699
12,347
24,210
27,190
28,340
28,840
29,160
29,625
29,336
29,168
29,220
29,261
29,315
29,591
29,726
5,522
5,886
7,589
8,095
8,464
8,801
9,174
9,523
9,695
9,733
9,750
9,809
9,846
9,929
9,955
6,362
6,619
6,884
6,900
6,923
6,918
6,892
6,885
6,873
6,870
6,871
6,868
6,865
6,859
6,856
10,216
10,379
16,208
17,704
18,641
19,395
20,400
21,192
21,346
21,470
21,380
21,490
21,620
21,720
21,820
4,927
4,901
4,279
4,526
4,944
5,686
6,578
7 203
8,137
8,380
8,530
8,690
8,880
9,010
9,160
5 289
5,478
11 928
13,179
13,696
13,709
13,822
13 989
13,209
13 090
12,850
12 800
12,740
12,710
12,660
3 101
3,704
10 682
11,778
11,978
11,476
11,428
11 569
10,868
10,740
10,480
10,380
10,300
10,230
10,150
2 188
1,774
1,246
1,400
1,718
2,233
2,394
2,420
2,342
2,350
2,370
2,420
2,440
2,480
2,510
3
6
14
16
17
17
20
20
22
20
20
20
20
20
20
10 521
10,527
15 371
16,853
17,745
18,387
19,273
19 923
20,010
20 040
20,090
20,150
20,220
20,380
20,450
1 309
1,241
1 592
1,784
1,889
1,999
2 122
2 189
2 247
2 260
2,280
2 270
2 280
2,290
2,290
551
548
542
541
533
532
531
530
529
529
529
530
530
529
529
818
793
609
818
886
878
873
831
797
720
880
850
800
840
820
10,524
10,533
15,385
16,869
17,763
18,405
19,293
19 943
20,031
20,060
20,110
20,170
20,240
20,400
20,470
1
1
1
P Preliminary.
* "All banks" comprise "all commercial banks" and "all mutual savings banks." "All commercial banks" comprise "all nonmember commercial banks" and "all member banks" with exception of three mutual savings banks that became members in 1941. Stock savings banks and
nondeposit trust companies are included with "commercial" banks. Number of banks includes a few noninsured banks for which asset and liability data are not available. Comparability of figures for classes of banks is affected somewhat by changes in Federal Reserve membership,
insurance
status, and the reserve classifications of cities and individual banks, and by mergers, etc.
1
Beginning June 30, 1942, excludes reciprocal balances, which on Dec. 31, 1942, aggregated 513 million dollars at all member banks and 525
million at all insured commercial banks.
For other footnotes see following two pages.
SEPTEMBER
1951
1153
ALL BANKS IN THE UNITED STATES, BY CLASSES *—Continued
PRINCIPAL ASSETS AND LIABILITIES, AND NUMBER OF BANKS—Continued
[Figures partly estimated except on call dates. Amounts in millions of dollars]
Deposits
Loans and investments
Investments
Class of bank
and date
Total
Other
Cash
issets 1
Total
U. S.
Government
obligations
Other
securities
Loans
Total
Interbank i
Demand
Total
Number
capital
of
accounts banks
Time
Central reserve city
member banks:
New York City:
1939—Dec. 30
1941—Dec. 31
1945—Dec. 31
1946—Dec. 31
1947—Dec. 31
1948—Dec. 31
1949—Dec. 31
1950—June 30
Dec. 3 0 . . .
1951—Feb. 28P
Mar. 28P
Apr. 25?
May 30P
June 27P
July 25P
9,339
12,896
26,143
20,834
20,393
18,759
19,583
19,548
20,612
20,093
20,594
20,451
19,930
20,716
20,001
3,296
4,072
7,334
6,368
7,179
8,048
7,550
7,723
9,729
10,098
10,307
10,025
9,939
10,226
10,089
6,043
8,823
18,809
14,465
13,214
10,712
12,033
11,825
10,883
9,995
10,287
10,426
9,991
10,490
9,912
4,772
7,265
17,574
13,308
11,972
9,649
10,746
10,281
8,993
8,109
8,326
8,517
8,144
8,602
7,918
1,272
1,559
1,235
1,158
1,242
1,063
1,287
1,544
1,890
1,886
1,961
1,909
1,847
1,888
1,994
6,703
6,637
6,439
6,238
7,261
7,758
6,985
6,329
7,922
7,344
7,272
7,292
6,875
7,313
6,816
14,509
17,932
30,121
24,723
25,216
24,024
23,983
23,213
25,646
24,399
24,799
24,749
23,711
24,856
23,695
4,238
4,207
4,657
4,246
4,464
4,213
4,192
3,894
4,638
4,154
4,054
4,178
4,011
4,099
4,156
9,533
12,917
24,227
19,028
19,307
18,131
18,139
17,668
19,287
18,603
19,002
18,899
18,104
19,110
17,940
736
807
,236
,449
,445
,680
,651
,650
,722
,642
,743
,672
,596
,647
,599
1,592
1,648
2,120
2,205
2,259
2,306
2,312
2,341
2,351
2,371
2,354
2,376
2,357
2,388
2,396
36
36
37
37
37
35
25
25
23
23
23
23
22
22
22
Chicago:
1939—Dec. 30. . .
1941—Dec. 31. . .
1945—Dec. 31. . .
1946—Dec. 31. . .
1947—Dec. 31. . .
1948—Dec. 31. . .
1949—Dec. 31. . .
1950—June 3 0 . . .
Dec. 30. . .
1951—Feb. 28P. .
Mar. 2 8 P . .
Apr. 2 5 P . .
May 3 0 P . .
June 2 7 P . .
July 25P. .
,105
,760
,931
4,765
088
799
5,424
256
569
5,364
5,461
5,386
5,368
5,551
5,422
569
954
1,333
1,499
1,801
1,783
1,618
1,557
2,083
2,136
2,163
2,125
2,206
2,282
2,235
1,536
1,806
4,598
3,266
3,287
3,016
3,806
3,700
3,487
3,228
3,298
3,261
3,162
269
3,187
1,203
1,430
4,213
2,912
2,890
2,633
3,324
3,138
2,911
2,666
2,743
2,692
2,617
2,716
2,648
333
376
385
355
397
383
482
562
576
562
555
569
545
553
539
1,446
1,566
1,489
1,545
1,739
1,932
1,850
1,640
2,034
2,054
1,888
1,929
1,913
1,929
1,906
3,330
4,057
7,046
5,905
6,402
6,293
6,810
6,419
7,109
6,893
6,667
6,814
6,706
6,936
6,788
1,035
1,312
1,153
1,217
1,064
1,191
1,014
1,228
1,080
1,059
1,051
1,038
1,074
1,151
1,947
2,546
5,015
3,922
4,273
4,227
4,535
4,305
4,778
4,724
4,528
4,668
4,573
4,747
4,527
495
476
719
829
913
,001
,083
,099
,103
,089
,080
,095
,095
,115
,110
250
288
377
404
426
444
470
481
490
489
490
492
495
499
497
14
13
12
14
14
13
13
13
13
13
13
13
13
13
13
Reserve city member
banks:
1939—Dec. 30
1941—Dec. 31
1945—Dec. 31
1946—Dec. 31. . ; . .
1947—Dec. 31
1948—Dec. 31
1949—Dec. 31
1950—June 30
Dec. 30. .
1951—Feb. 2 8 P .
Mar. 2 8 P .
Apr. 25P.
May 3 0 P .
June 2 7 P .
July 25P.
12,272
15,347
40,108
35,351
36,040
35,332
38,301
38,697
40,685
39,869
39,735
39,630
39,709
40,053
40,434
5,329
7,105
8,514
10,825
13,449
14,285
14,370
14,868
17,906
18,425
18,543
18,614
18,599
18,672
18,517
6,944
8,243
31,594
24,527
22,591
21,047
23,931
23,829
22,779
21,444
21,192
21,016
21,110
21,381
21,917
5,194
6,467
29,552
22,250
20,196
18,594
20,951
20,510
19,084
17,725
17,479
17,287
17,385
17,621
18,174
1,749
1,776
2,042
2,276
2,396
2,453
2,980
3,319
3.695
3,719
3,713
3,729
3,725
3,760
3,743
6,785
8,518
11,286
11,654
13,066
13,317
12,168
11,639
13,998
13,275
12,672
12,606
12,618
12,752
12,810
17,741
22,313
49,085
44,477
46,467
45,943
47,559
47,187
51,437
49,536
48,933
48,785
48,732
49,295
49,807
3,686
4,460
6,448
5,570
5,649
5,400
5,713
5,069
6,448
5,369
5,063
5,079
4,923
5,065
5,493
9,439
13,047
32,877
28,049
29,395
29,153
30,182
30,306
33,342
32,562
32,380
32,165
32,158
32,456
32,467
4,616
4,806
9,760
10,858
11,423
11,391
11,664
11,812
11,647
11,605
11,490
11,541
11,651
11,774
11,847
1,828
1,967
2,566
2,728
2,844
2,928
3,087
3,268
3,322
3,336
3,326
3,339
3,379
3,420
3,429
346
351
359
355
353
335
341
336
336
336
325
325
325
324
323
Country member
banks:
1939—Dec. 30.
1941—Dec. 31.
1945—Dec. 31.
1946—Dec. 31.
1947—Dec. 31.
1948—Dec. 31.
1949—Dec. 31.
1950—June 30.
Dec. 30.
1951—Feb. 28P
Mar. 28P
Apr. 25P
May 30P
June 27P
July 25P
10,224
12,518
35,002
35,412
36,324
36,726
38,219
39,245
40,558
40,329
40,576
40,533
40,643
40,523
40,645
4,768
5,890
5,596
8,004
10,199
11,945
12,692
13,510
14,988
15,214
15,605
15,717
15,810
15,892
15,817
5,456
6,628
29,407
27,408
26,125
24,782
25,527
25,734
25,570
25,115
24,971
24,816
24,833
24,631
24,828
3,159
4,377
26,999
24,572
22,857
21,278
21,862
21,830
21,377
20,915
20,716
20,542
20,547
20,310
20,469
2,297
2,250
2,408
2,836
3,268
3,504
3,665
3,904
4,193
4,200
4,255
4,274
4,286
4.321
4,359
4,848
6,402
10,632
10,151
10,778
11,196
10,314
9,773
11,571
10,835
10,504
10,569
10,584
10,567
11,075
13,762
17,415
43,418
43,066
44,443
45,102
45,534
45,888
48,897
47,832
47,647
47,640
47,804
47,625
48,315
598
822
1,223
1,091
1,073
964
1,001
871
1,133
962
953
932
894
904
974
7,312
10,335
29,700
27,921
28,810
29,370
29,771
29,953
32,899
32,038
31,787
31,755
31,937
31,666
32,171
5,852
6,258
12,494
14,053
14,560
14,768
14,762
15,064
14,865
14,832
14,907
14,953
14,973
15,055
15,170
1,851
1,982
2,525
2,757
2,934
3,123
3,305
3,433
3,532
3,537
3,580
3,602
3,615
3,622
3,633
5,966
6,219
6,476
6,494
6,519
6,535
6,513
6,511
6,501
6,498
6,510
6,507
6,505
6,500
6,498
8
December 31, 1947 figures are consistent (except that they exclude possessions) with the revised all bank series announced in November 1947
by the Federal bank supervisory agencies, but are not entirely comparable with prior figures shown above; a net of 115 noninsured nonmember
commercial banks with total loans and investments of approximately 110 million dollars was added, and 8 banks with total loans and investments of 34 million were transferred from noninsured mutual savings to nonmember commercial banks.
For other footnotes see preceding and opposite page.
1154
FEDERAL RESERVE BULLETIN
ALL BANKS IN THE UNITED STATES, BY CLASSES •—Continued
PRINCIPAL ASSETS AND LIABILITIES, AND NUMBER OF BANKS—Continutd
[Amounts in millions of dollars)
Loans and investments
Deposits
Investments
Class of bank
and date
All insured commercial
banks:
1941—Dec.
1945—Dec.
1947—Dec.
1948—Dec.
1949—Dec.
1950—June
Dec.
31. .
31
31
31
31
30
30
Total
Other
Cash
assets l
Total
U. S.
Government
obligations
Other
securities
Loans
Total »
49,290
121,809
114,274
112,286
118,278
119,808
124,822
21,259
25,765
37,583
41,968
42,485
44,304
51,723
28,031
96,043
76,691
70,318
75,793
75,504
73,099
21,046
88,912
67,941
61,388
65,820
64,546
60,986
6,984
7,131
8,750
8,929
9,974
10,957
12,113
25,788
34,292
36,926
38,087
35,207
32,865
39,821
69,411
147,775
141,851
140,642
143,138
141,798
153,288
27,571
69,312
65,280
63,845
67,943
68,723
72,090
11,725
13,925
21,428
23,752
23,853
24,590
29,184
15,845
55.387
43,852
40,093
44,090
44,132
42,906
12,039
51,250
38,674
34,852
38,161
37,548
35,587
3,806
4,137
5,178
5,241
5,930
6,584
7,320
14,977
20,114
22,024
22,974
20,995
19,914
23,763
39,458
84,939
82,023
81,407
83,113
82,430
89,281
15,950
37,871
32,566
31,771
33,585
34,023
35,334
6,295
8,850
11,200
12,308
12,378
13,068
15,521
9,654
29,021
21,365
19,463
21,207
20,955
19,813
7,500
27,089
19,240
17,301
18,722
18,211
16,778
2,155
1,933
2,125
2,161
2,484
2,744
3,035
8,145
9,731
10,822
11,228
10,322
9,466
11,762
5,776
14,639
16,444
16,685
16,766
17,079
17,414
3,241
2,992
4,958
5,911
6,258
6,650
7,023
2,535
11,647
11,486
10,774
10,508
10,429
10,391
1,509
10,584
10,039
9,246
8,947
8,799
8,632
1.025
1,063
1,448
1,528
t ,561
1,630
1.759
31
31....
31 2
31
31.
30
30
1,457
2,211
2,009
2,013
1,919
1,959
1,853
455
1,002
1,893
1,535
1,493
1,438
1,468
1,327
761
1,693
1,280
1,234
1,185
1,204
1,040
241
200
474
520
481
491
527
255
259
253
263
286
All n o n m e m b e r c o m mercial b a n k s :
1941—Dec 31
1945—Dec. 31
1947—Dec. 31 2
1948—Dec. 31
1949—Dec 31
1950—June 30
Dec 30
7,233
16,849
18,454
18,698
18,686
19,038
19,267
3,696
3,310
5,432
6,431
6,739
7,141
7,550
3,536
13,539
13,021
12,267
11,947
11,896
11,718
2,270
12,277
11,318
10,479
10,132
10,003
9,672
1 693
10 846
12,683
13,312
14 209
14 827
15,101
642
1 050
7 765
9,123
9,202
9 394
9 539
9,015
629
3 081
3,560
4,109
4 814
5 288
6,086
7 160
8,165
7,795
7 832
7,945
7,487
1,407
1 562
1 594
1,528
8 687
5,361
5,957
6 083
6,192
6,365
6,245
4 259
1,198
1,384
1 577
1,764
1,915
2,050
4 428
4,163
4,573
4 506
4,428
4,450
4,194
3 075
3,522
3,813
3 680
3,596
3,625
3,380
1 353
641
760
826
832
826
814
National member
banks:
1941—Dec.
1945—Dec.
1947—Dec.
1948—Dec.
1949—Dec.
1950—June
Dec.
31
31
31
31.
31
30
30.
State member banks:
1941—Dec.
1945—Dec.
1947—Dec.
1948—Dec
1949—Dec.
1950—June
Dec
31
31.
31
31
31.
30
30
Insured nonmember
commercial banks:
1941—Dec.
1945—Dec
1947—Dec.
1948—Dec.
1949_Dec.
1950—June
Dec.
31
31
31. . . .
31
31
30. . . .
30
Nonlnsured nonmember commercial
banks:
1941—Dec.
1945—Dec.
1947—Dec.
1948—Dec
1949—Dec.
1950—June
Dec
Insured mutual savings
banks:
1941—Dec
1945 -r\er
1947—Dec.
1948—Dec.
1949 Dec
1950—Tune
Dec
31
31
31
31
31
30
30
Noninsured mutual
savings banks:
1941—Dec
1945—Dec.
1947—Dec.
1948 Dec
1949—Dec.
1950—June
Dec.
31
31 2
31
31
31
30
30
318
Interbank*
Demand
Total
Number
capital
of
accounts banks
Time
10,654 43,059
13,883 104,015
12,670 94,300
11,900 93,300
12,368 94,914
11,066 94,298
13,744 103,499
15,699
29,876
34,882
35,441
35,856
36,433
36,045
6,786
9,229
8,410
7,842
8,278
7,362
9,133
24,350
59,486
54,335
54,020
55,034
54,964
60,251
8,322
16,224
19,278
19,545
19,801
20,104
19,897
22,259
44,730
40,505
39,955
40,772
40,277
43,808
3,739
4,411
3,993
3,799
3,819
3,488
4,315
14,495
32,334
27,449
26,862
27,594
27,268
30,055
4,025
7,986
9,062
9,295
9,359
9,522
9,438
2,668
4,448
4,083
3,887
3,892
3,487
4,299
7,702
18,119
19,340
19,296
19,269
19,108
20,216
129
244
266
259
272
217
4,213
12,196
12,515
12,419
12,285
12,066
13,194
3,360
5,680
6,558
6,618
6,712
6,825
6,726
763
576
509
442
403
468
1,872
2,452
2,251
2,201
2,036
2,029
1,976
1,266
1,262
1,703
1,788
1,814
1,893
2,046
3,431
4,962
4,659
4,396
4,334
3,890
4,767
9,574
20,571
21,591
21,497
21,305
21,137
22,193
421
606
958
151
429
675
684
682
659
617
1,789
10 363
12,207
12,772
13,592
14,128
14,320
642
180
211
194
191
172
180
8,744
5,022
5,556
5,633
5,702
5,815
5,711
514
297
329
181
363
368
341
369
294
457
425
629
628
613
586
591
1
1
1,291
1,905
1,411
1,353
1,223
1,186
1,224
(3,844
13,426
13,297
13,398
13 413
13,429
13,435
13 432
$ 640
5,409
5 657
c5,920
(3,180
(3,313
5 117
5,017
5,005
4 991
4,975
4,971
4,958
2,246
I 945
$,055
$,144
I 254
$.343
5,381
1,502
1 867
1,918
1,927
1 917
1,914
1,915
959
L 083
1,271
1,358
1,473
1,539
1,570
6,810
f5,671
c). 734
1 0 15R
If ),645
111,061
11L ,263
t t,644
1
r
'
253
329
852
365
279
714
478
479
472
474
458
325
322
321
326
327
5,504
14,101
13,926
13,772
13,508
13,253
14,417
3,613
6,045
7,036
7,097
7,184
7,299
7,184
1,288
1,362
1,596
1,680
1,794
1,865
1,897
7,662
7,130
7,261
7,256
7,267
7,262
7,251
19
1,789
10,351
12,192
12,757
13,575
14,109
14,301
164
12
14
14
16
18
I 034
1,252
1,334
1,420
1,467
1,513
52
192
194
193
192
192
6
2
3
3
3
2
3
8,738
5,020
5,553
5,631
5,699
5,813
5,708
1,077
558
637
665
702
722
734
For footnotes see preceding two pages.
Back figures.—See Banking and Monetary Statistics, Tables 1-7, pp. 16-23; for description, see pp. 5-15 in the same publication.
in series prior to June 30, 1947, see BULLETIN for July 1947, pp. 870-871.
SEPTEMBER
1951
6^478
6,498
6,540
6,553
6,562
783
758
727
709
689
194
496
350
339
339
339
338
335
For revisions
1155
ALL INSURED COMMERCIAL BANKS IN THE UNITED STATES, BY CLASSES *
LOANS A N D I N V E S T M E N T S
[In millions of dollars]
Loans 1
Loans for
Compurchasing
meror carrying
cial,
securities
inReal Conelud- AgriculOther2 Total
esing
turTo
tate sumer
oans2 loans
open- al brokTo loans
ers othket
padeal- ers
per
ers
Total
loans
and
investments
Total1
All insured
commercial
banks:
X .7~ X
X—'V«V«* *-* X •
1941
Dec 3311 .
1945—Dec.
1947—Dec. 3 1 .
1948—Dec. 3 1 .
1949—Dec. 3 1 .
1950—June 30.
Dec. 30.
49 f290
121,809
114,274
112,286
118,278
119,808
124,822
21,259
25,765
37,583
41,968
42,485
44,304
51,723
9,214
9,461
18,012
18,761
16,935
16,814
21,776
1,450
1,314
1,610
2,775
2,963
2,819
2,823
Member banks,
total'
X 7T1
X-'V-V-• \J X «
1941
Dec 331
1945—Dec.
1.
1947—Dec. 3 1 .
1948—Dec. 3 1 .
1949—Dec. 3 1 .
1950—June 30.
Dec. 30.
1951—June 30.
43,521
107,183
97,846
95,616
101.528
102,745
107,424
106,563
18 021
22,775
32,628
36,060
36,230
37,658
44,705
46,866
8,671
8,949
16,962
17,631
15,857
15,708
20,521
22,161
1,046
1,800
1,945
1,770
1,808
1,919
New York City:3
1941—Dec. 3 1 .
1945—Dec. 3 1 .
1947—Dec. 3 1 .
1948—Dec. 3 1 .
1949—Dec. 3 1 .
1950—June 30.
Dec. 30.
1951—June 30.
12,896
26,143
20,393
18,759
19,583
19,548
20,612
20,604
4,072
7,334
7,179
8,048
7,550
7,723
9,729
10,234
2,807
3,044
5,361
5,642
4,792
4.656
6,328
6,845
Chicago:*
1941—Dec. 3 1 .
1945—Dec. 3 1 .
1947—Dec. 3 1 .
1948—Dec. 3 1 !
1949—Dec
31
X 7 i.^
X-'V-^.* \J X
1950—June 30.
Dec. 30.
1951—June 30.
2,760
5,931
5,088
4,799
5,424
5,256
5,569
5,520
1,333
1,801
1,783
1,618
1,557
2,083
2,215
1,418
1,412
1,211
1,116
1,567
1,717
6
2
3
4
7
24
9
7
Reserve city
banks:
1941—Dec. 31
1945—Dec. 3l".
1947—Dec. 3 1 .
1948—Dec. 3 1 .
1949—Dec. 3 1 .
1950—June 30.
Dec. 30.
1951—June 30.
15,347
40,108
36,040
35,332
38,301
38.697
40,685
39,991
7,105
8,514
13,449
14,285
14,370
14.868
17,906
18,558
3,456
3,661
7,088
7,282
6,704
6,596
8,646
9,254
300
205
225
437
457
367
392
425
Country banks:
1941—Dec. 31
1945—Dec. 3 1 .
1947—Dec. 3 1 .
1948—Dec. 3 1 .
1949—Dec. 3 1 .
1950—June 30.
Dec. 30.
1951—June 30.
12,518
35,002
36,324
36,726
38,219
39,245
40,558
40,448
5,890
5,596
10,199
11,945
12,692
13,510
14,988
15,858
1,676
1,484
3,096
3,296
3,150
3,339
3,980
4,345
659
648
818
1,356
1,480
1,379
1,407
1,487
5,776
14,639
16,444
16,685
16,766
17,079
17,414
3,241
2,992
4,958
5,911
6,258
6,650
7.023
543
512
478
459
Class of bank
and
call date
a
954
Investments
732
760
614
662
3,164 3,606
823 1,190
1,336 939
1,749 855
1,856 912
1,789 1,036
3,159
16,045
5,918
3,394
5,810
11,591
16,756
12,797 4,102 3,651 3,333
51,321
22 3,873 3,258
14 5,129 3,621
52,334
8 5,509 3,420
45,100
6 6,400 3,574
43,833
8 7,237 3,721
43,000
11 7,933 4,179
38,168
16,985
5,816
7,999
10,409
4,821
1,468
2,524
3,007
14,271
4,815
2,800
5,085
9,990
14,054
12,313
11,729 3,832 3 090 2 871
44,792
16 3',254 2,815
10 4,199 3,105
45,286
5 4,480 2,922
38,761
4 5,274 3,140
37,996
5 6,040 3,289
37,404
8 6,640 3,714
33,170
7 6,978 3,611
30,778
21,046
88,912
67,941
61,388
65,820
64,546
60,986
2,455
2,124
2,821
3,692
3,847
4,118
3,692
1,027 1,977
3,064 2,550
3,933 2,658
4,776 2,809
5,505 3,001
6,167 3,585
6,174 3,783
25,500
84,408
65,218
59,556
65,297
65,087
62,719
59,698
19,539
78,338
57,914
52,154
56,883
55,759
52,365
49,108
2,275
1,987
2,588
3,389
3,539
3,665
3,485
8,823
18,809
13,215
10,712
12,033
11,825
10,883
10,370
729
7,265 311
1,623 3,652 1,679
17,574 477 3,433 3,325 10,337
1
606
640
558 9,771
638
11,972 1,002
9,649 589 1,183
365 7,512
563
835 7,405
10,746 720 1,785
752
458 1,594 7,328
959
10,281 900
2 1,123
8,993 824
250 1,711 6,206
8,460 1,034
354 1,565 5,506
2 1,176
169
545
1,410
1,497
1,421
1,287
267
225
219
242
285
273
123
80
111
224
256
339
442
502
48
211
73
71
109
109
110
113
52
233
87
63
56
64
69
64
22
36
46
51
51
54
65
70
3 1,102
19,071
7,552
10,065
12,479
6,102
1,932
28 031
96,043
76,691
70,318
75,793
75,504
73,099
412
2,453 1,172
Total
Obligations
Direct
of
States Other
CertifiGuar- and secucates
an- polit- rities
ical
Bills of in- Notes Bonds teed subdebtdiviedsions
ness
4 , ' 45
4,773
4,677 1,351 2,191
9,266 3,845 2,837
10,666 4,907 2,992
11,405 6,002 3,124
12,270 6,887 3,335
13,389 7,628 3,955
598 3,494
972
594
855 3,133 3,378 3,455
811 1,065 7,130
1,324 834 8,244
758 8,834
1,737
1,840 807 9,547
1,770 927 10,522
1,601 882 10,975
8
U . S. Government obligations
554
76
240
313
377
426
540
539
509
654
636
621
686
850
930
96
1,806
26
65 4,598
91
84 3,287
88 3,016
115
91 3,806
115
121
95 3,699
147
147 3,487
150 3,305
131
1,430
4,213
2,890
2,633
3,324
3,138
2,911
2,742
194 1,527
1,5 12
114
8,243 6,467
826 31,594 29,552
433
427 1,503 1,459
484 3,147 1,256 1,079 22,591 20,196
170
130
360 3,503 1,609 1,118 21,047 18,594
309 3,742 1,965 1,212 23,931 20,951
183
201
324 4,029 2,291 1,274 23,829 20,510
207
386 4,423 2,567 1,534 22,779 19,084
362 4,558 2,493 1,559 21,432 17,659
164
988
971
256
133
132
183
331
352
232
209
235
275
690
276
131
150
153
749
248
217
358
555
700
653
1,034 6,982
373 2,358
1,056 3,201
1,189 4,180
1,179 1,954
499
1,218
1,177 1,069
5,653
1,901
1,090
2,124
4,005
5,536
4,665
1,467
295
20
42
23
21
36
33
33
37
183
471
227
187
173
177
187
183
1 c 30
1,823
1,881 492^ 578
732
3,827 1,476
4,467 1,895 817
4,784 2,320 884
5,125 2,666 946
5,591 2,913 1,054
5,846 3,010 1,145
6,628
29,407
26,125
24,781
25,527
25,734
25,570
24,590
4,377
26,999
22,857
21,278
21,862
21,830
21,377
20,247
5,102
2,583
3,340
1,148 3,753
1,107 2,133
588
1,390
951
1,065
20
31
13
12
12
16
18
64
228
125
105
97
105
109
8 54
1,282
1,224 323
2,139 781
2,426 975
2,575 1,225
2,727 1,382
2,872 1,461
2,535
11,647
11,486
10,774
10,508
10,429
10,391
1,509
10,584
10,039
9,246
8,947
8,799
8,632
17
180 2,087
136 1,736
234 2,066
303 2,071
308 1,281
453
465
110
630
480
760
903
1,864
2,274
1,958
1,945
1,954
1,847
1,729
119
182
181
213
210
290
340
335
347
830
629
604
500
535
585
767
733
193
204
185
174
192
221
242
216
751
4 248 1,173 956 820
15,878
1,126 916
3 1,342 1,053
15,560
1 1,421 1,032
13,247
13,457
1,727 1,254
13,372
1,988 1,331
11,830
2,184 1,511
1 2,318 1,456
10,746
481
2,926
16,713
17,681
16,046
15,189
14,750
13,287
12,797
861
9
6
4
4
5
152 1,069
1,774 6,538
1,104 7,058
594 6,349
725 5,846
1,601 5,606
2,702 5,008
271
6
4
4,544
2,108
1,128
1,768
3,835
6,107
5,430
1 222
1,342
2,006
2,286
2,505
2,753
c 2,998
4 3,137
1,028
1,067
1,262
1,217
1,160
1,151
1,194
1,206
Insured nonmember commercial b a n k s :
1941—Dec. 31.
1945—Dec. 31.
1947—Dec. 31.
1948—Dec. 31.
1949—Dec. 31.
1950—June 30.
Dec. 30.
1,049 563
1,131 975
1,078 1,018
1,106 1,049
1,255 1,015
214
287
334
315
335
370
563
619
931
1,030
2 1,127
1 1,198
3
1,294
462
443
517
498
434
432
465
* These figures do not include data for banks in possessions of the United States. During 1941 three mutual savings banks became members of the Federal Reserve System; these banks are included in "member banks" but are not included in "all insured commercial banks." Comparability of figures for classes of banks is affected somewhat by changes in Federal Reserve membership, insurance status, and the reserve classifications
of cities and individual banks, and by mergers, etc.
1
Beginning June 30, 1948, figures for various loan items are shown gross (i. e., before deduction of valuation reserves); they do not add to
the total and are not entirely comparable with prior figures. Total loans continue to be shown net.
For other footnotes see opposite page.
1156
FEDERAL RESERVE BULLETIN
ALL INSURED COMMERCIAL BANKS IN THE UNITED STATES, BY CLASSES *—Continued
RESERVES AND LIABILITIES
[In millions of dollars]
Demand deposits
Class of bari k
and
call date
Reserves
with
Cash
"ederal
in
Revault
serve
Banks
All insured c o m mercial b a n k s :
1941—Dec. 3 1 . .
1945—Dec. 3 1 . .
1947—Dec. 3 1 . .
1948—Dec. 3 1 . .
1949—Dec. 3 1 . .
1950—June 30..
Dec. 30..
12
15
17
20
16
15
17
,396
,810
,796
,404
,428
,863
,458
1,358
1,829
2,145
1,939
1,984
1,801
2,145
Member banks,
total:
1941—Dec. 3 1 . .
1945—Dec. 3 1 . .
1947—Dec. 3 1 . .
1948—Dec. 3 1 . .
1949—Dec. 3 1 . .
1950—June 30..
Dec. 30..
1951—June 30. .
12 ,396
15 ,811
17 ,797
20 ,406
16 ,429
15 ,864
17 ,459
18 ,946
DeBalances mand
dewith
posits
doad- 6
mestic4
banks justed
][nterbank
Certified
U. S. States
and
and
Gov- political offiern- subdi- cers'
ment visions checks,
etc.
deposits
ForDomestic4 eign
570
075
736
947
466
358
463
37
74
85
84
84
83
91
845
722
751
211
576
916
099
9
12
11
10
10
9
11
,823
,566
,236
,344
,885
,577
,955
1,248
L.379
L.488
1,315
1,281
1,442
1,087
1,438
L.672
L.486
1,521
1,358
1,643
1,403
6 246
7 117
6 270
5 674
6 194
5 478
6 868
5 567
33
64
73
72
72
72
78
75
,754
,184
,528
,152
,658
,263
,370
,657
9
12
10
10
10
9
11
9
,714
,333
,978
,098
,623
,368
,669
,659
1,243
1,375
1,480
1,310
1,278
1,437
1,327
8
11
9
8
9
8
10
673
671
New York City:«
1941—Dec. 31. .
1945—Dec. 3 1 . .
1947—Dec. 3 1 . .
1948—Dec. 3 1 . .
1949—Dec> 31. .
1950—j u n e 30. .
Dec. 30..
1951—June 30. .
5
4
4
5
4
4
4
5
,105
,015
,639
,643
,462
,235
,693
,053
93
111
151
117
112
92
118
96
141
78
70
67
68
38
78
48
10
15
16
15
15
15
15
15
,761
,065
,653
,773
,182
,053
,898
,368
3 .595
3 ,535
3 ,236
2 ,904
2 ,996
2 ,692
3 ,207
2 ,744
1,105
1,217
1,278
1,084
1,051
1,162
1,104
Chicago:3
1941—Dec.
1945—Dec.
1947—Dec.
1948—Dec.
1949_Dec.
1950—June
Dec.
1951—June
1 ,021
942
1 ,070
1 ,325
1 ,183
1 ,080
1 ,216
1 ,282
43
36
30
28
27
26
30
27
298
200
175
143
159
114
133
130
2
3
3
3
3
3
3
3
,215
,153
,737
,604
,797
,676
,954
,818
1 ,027
1 ,292
1 ,196
1 ,038
1 ,151
977
1 ,177
1 ,006
8
20
21
26
40
37
48
34
4 ,060
6 ,326
7 ,095
7 ,701
6 ,413
6 ,206
6 ,806
7 ,438
425
494
562
483
482
428
519
446
2 ,590
2 ,174
2 ,125
1 ,845
1 ,965
1 ,747
2 ,206
1 ,808
11
22
25
25
25
25
27
27
,117
,372
,714
,072
,744
,655
,938
,067
4
6
5
5
5
4
6
4
,302
,307
,497
,213
,498
,848
,174
,996
54
110
131
168
176
181
217
178
,210
,527
,993
,736
,371
,343
,745
,172
526
796
929
858
901
813
976
834
3
4
3
3
4
3
4
3
,216
,665
,900
,619
,002
,579
,450
,581
9
23
27
27
27
27
30
29
,661
,595
,424
,703
,935
,879
,581
,404
790
1 ,199
1 ,049
943
979
850
1 ,111
913
2
8
7
8
9
9
10
11
271
391
473
453
463
442
503
2 ,325
3 ,959
3 ,466
3 ,273
3 ,273
2 880
3 ,596
4
10
12
12
11
11
12
,092
,537
,223
,059
,918
,653
.729
108
233
258
246
261
209
286
2
«j
4
8
6
31. .
31. .
31
31. .
31. .
30
30..
30. .
Reserve city banks:
1941—Dec. 31. .
1945—Dec. 3 1 . .
1947—Dec. 3 1 . .
1948—Dec. 3 1 . .
1949_Dec. 31. .
1950—June 30. .
Dec. 30..
1951—June 30. .
Country banks:
1941—Dec. 31. .
1945—Dec. 3 1 . .
1947—Dec. 31. .
1948—Dec. 3 1 . .
1949—Dec. 3 1 . .
1950—June 30..
Dec. 30..
1951—June 30. .
2
4
4
5
4
4
4
5
Insured nonmember commercial b a n k s :
1941—Dec. 31
1945—Dec. 31. .
1947—Dec. 31
1948—Dec. 31
1949—Dec. 31
1950—June 30
Dec. 30
Time deposits
U. S.
IndiIndi- Bor- CapiGov- States viduals,
viduals
tal
and partner- row- acernpartner- Inter- ment
ings counts
ships, bank and politships,
ical
and corcorPostal subdi- and
poraSav- visions porations
tions
ings
1 ,761
23 ,740
1 ,325
2 ,323
3 ,050
3 ,590
2 ,788
3 677
5 098
6 692
7 182
7 419
7 924
7 892
1 ,077
2 ,585
2 ,559
2 ,113
2 ,338
2 ,145
2 ,898
36,
72,
83
81
82
80
89
544
593
723
682
106
639
922
158
70
54
69
169
209
347
59
103
111
117
182
188
189
1 ,709
22 ,179
1 ,176
2 ,122
2 ,838
3 ,340
2 .523
5 ,811
3
4
5
5
6
6
6
6
066
240
504
850
017
428
400
713
1 ,009
2 ,450
2 ,401
1 ,962
2 ,185
2 ,001
2 ,724
2 ,093
33
62
72
70
71
70
78
74
061
950
704
947
589
463
659
061
140
64
50
63
164
204
341
361
50
99
105
111
175
182
183
206
1 ,808
319
237
290
241
196
279
258
280
450
1 ,338
1 ,105
750
895
809
1 ,087
823
11 282
15 712
17 646
16 695
16 408
15 896
17 490
16 381
6
17
12
31
113
151
268
259
10
12
14
38
37
37
39
127
1 ,552
72
188
258
211
174
484
233
237
285
284
286
325
284
316
34
66
63
53
60
53
70
51
491
1 ,144
1 ,763
2 ,282
2 ,401
2 ,478
2 ,579
2 ,575
2 ,713
286
611
705
649
650
590
852
592
11 127
22 ,281
26 ,003
25 302
25 ,912
1 ,036
922
1 ,248
1 ,370
2 ,004
2 ,647
2 ,925
3 ,058
3 ,246
3 ,282
3 ,404
239
435
528
510
579
549
715
626
53
1 ,560
149
201
213
250
265
611
858
1 ,188
1 ,332
1 ,402
1 ,496
1 ,492
68
135
158
151
153
144
174
607
866
6
,940
267
445
640
684
451
8
,221
405
801
1 ,142
1 ,408
976
2 ,272
225
5
,465
432
688
797
2
3
3
3
3
3
4
3
152
160
853
702
932
716
250
905
492
496
826
1,080
1,232
1,321
1,331
418
399
693
927
1,051
1,115
1.121
1,243
29
20
14
20
24
19
37
22
1 5 , 146
2 9 , 277
3 3 , 946
3 4 , 244
3 4 , 442
3 4 , 925
3 4 , 525
10
215
61
54
14
36
82
6,844
8,671
9,734
10,158
10,645
11,061
11,263
11
23
27
27
27
28
28
28
878
712
542
801
934
328
032
263
4
208
54
45
11
30
79
55
5,886
7,589
8,464
8,801
9,174
9,523
9,695
9,987
1
1
1
1
1
1
1
778
206
418
646
590
594
647
605
1,648
" 1 9 5 2,120
30 2,259
25 2,306
2,312
2,341
70 2,351
2,398
"io
288
377
426
444
470
482
490
501
1,967
2,566
2,844
2,928
3,087
14 3,268
3,322
' ' 8 3,431
2
1
4
4
3
3
9
11
10
9
10
10
1
1
1
1
476
719
902
989
069
086
089
112
25 ,729
28 .938
27 ,214
104
30
22
19
38
40
57
90
20
38
45
46
60
65
60
68
243
160
332
547
617
653
631
731
4
9
11
10
10
11
10
11
542
563
045
798
987
093
956
020
8
21
25
25
25
25
27
26
,500
,797
,203
,248
,337
,122
,980
,562
30
17
17
13
13
12
12
12
31
52
45
49
73
75
82
96
146
219
337
350
400
434
443
480
6 082
12 224
14 ,177
14 369
14 ,289
14 ,555
14 ,339
14 ,526
4
11
23
12
11
15
9
36
1,982
2,525
2,934
3,123
3,305
3,433
3,532
3,658
3
9
11
10
10
.10
11
,483
,643
,019
,736
,517
,176
,262
18
6
4
6
c
8
4
6
6
6
6
6
74
97
132
153
182
206
210
,276
,579
,420
,459
,524
,613
,510
6
959
3
E
t
3
5
6
6
6
6
6
2
1
8
1,083
1,271
8 1,358
1,473
1,539
1,570
j
*•
3
2
"Consumer loans" exclude, and "Other loans" include, single-payment loans of $3,000 and over, which prior to BULLETIN for May 1951
had been included in consumer loans. The amounts of these loans prior to June 30, 1949, the first call date on which they were reported separately,
have 8been estimated (see BULLETIN for November 1950, p. 1465).
Central reserve city banks.
4
Beginning June 30, 1942, excludes reciprocal bank balances, which on Dec. 31, 1942, aggregated 513 million dollars at all member banks and
525 million
at all insured commercial banks.
6
Demand deposits other than interbank and U. S. Government, less cash items reported as in process of collection.
For other footnotes see preceding page.
Back figures.—See Banking and Monetary Statistics, Tables 18-45, pp. 72-103 and 108-113.
SEPTEMBER 1951
1157
WEEKLY REPORTING MEMBER BANKS—NEW YORK CITY AND OUTSIDE
LOANS AND INVESTMENTS
[Monthly data are averages of Wednesday figures.
In millions of dollars]
Loans 1
Date or month
Total
loans
and
invest- Total i
ments
Investments
For purchasing
or carrying securities
CommerTo brokers
cial,
indus- and dealers To others Real Loans Other
estate
to
Total
trial,
and
loans banks loans
agri- U. S. Other U.S. Other
Govt. se- Govt. seculobobtural
liga- curi- liga- curitions ties tions ties
U. S. Government obligations
Total
Bills
CerOther
tifisecucates
rities
of in- Notes Bonds2
debtedness
Total—
Leading Cities
1950—j u iy
67,785 25 ,817
13,772
635 1,115
151
498
4 ,759
291
4 ,985 41,968 36 087
2 ,362
2 ,228
1951—May
69,589 32 ,584
69,900 32 ,579
70,142 32 ,673
19,152
19,128
19,067
245 1,097
254 1,032
420 1,021
123
126
128
607
603
579
5 ,452
5 ,516
5 ,544
430
452
479
5 ,934 37,005 30 ,485
5 ,924 37,321 30 ,781
5 ,895 37,469 30 818
1 ,764
2 ,375
2 ,405
8,124 20,597 6,520
792 7,690 19,924 6,540
1 ,541 7,383 19,489 6,651
32 ,332
32 ,429
32 ,677
32 ,877
18,992
19,085
19,216
19,220
214
191
235
376
1,048
1,020
1,036
1,023
124
125
125
129
630
597
597
587
5 ,489
5 ,521
5 ,524
5 ,530
364
438
484
523
5 ,926
5 ,909
5 ,916
5 ,947
June
July
7,032 24,465 5,881
July 3. . . 70,268
July 1 1 . . . 70,099
July 1 8 . . . 70,085
July 2 5 . . . 70,114
32 ,766 19,153
32 ,746 19,120
32 ,671 19,035
32 ,509 18,958
419 1,091
398 1,017
406 991
455 986
127
126
125
135
584
579
578
576
5 ,534
5 ,539
5 ,546
5 ,555
392
528
563
435
5
5
5
5
,926 37,502
,899 37,353
,887 37,414
,869 37,605
30 ,207 1 ,806
30 ,555 2 ,147
31 186 2 ,800 i ,582
31 176 2 ,745 l ,585
30 886 2 ,457 l ,573
30 697 2 ,338 l 553
30 739 2 ,325 l ,539
30 949 2 ,500 l 499
Aug. 1 . . . 70,100
Aug. 8. . . 70,028
Aug. 1 5 . . . 70,305
Aug. 2 2 . . . 70,331
Aug. 29. . . 70,488
32 ,487
32 ,480
32 ,760
32 ,767
32 ,916
19,124
19,170
19,379
19,503
19,502
349 1,041
239 981
205 950
209 905
268 902
127
129
129
131
128
573
565
564
562
570
5 ,545
5 ,555
5 ,561
5 ,571
5 ,584
324
418
542
462
518
5
5
5
5
5
,865
,882
,891
,887
,906
30
30
30
30
30
19,340
7 ,884
4,770
572
875
29
202
353
189
1 ,020 11,456
9 844
651
325
9 ,944
185
837
257
466
256
493
212
357
795
794
1 ,333 9,921
1 ,341 10,034
1 ,317 9,871
8 083
10 ,064
10 ,149
6,727
6,743
6,791
24
June
July
19,865
20,098
20,020
June 6
June 13. . .
June 20. . .
June 2 7 . . .
19,605
19,892
20,395
20,500
9 ,942
9 ,970
10 ,163
10 ,182
6,660
6,695
6,800
6,818
154
200
311
183
808
783
806
784
24
24
24
250
248
239
1,682 5,908
174 1,542 5,579
310 1,549 5,327
1,602 5,761
1,549 5,744
345 1,489 5,400
350 1,528 5,413
July 3. .. 20,326
July 11. .. 20,074
July 1 8 . . . 19,886
July 25. . . 19,793
10 ,256
10 ,174
10 ,124
10 ,041
6,832
6,813
6,778
6,742
379
335
338
376
851
793
766
764
24
26
24
31
Aug. 1. . . 19,828 10 ,010
Aug. 8. . . 19,606 9 ,957
Aug. 15. . . 19,650 10 ,069
Aug. 2 2 . . . 19,594 10 ,014
Aug. 2 9 . . . 19,831 10 ,131
6,840
6,829
6,928
6,975
6,968
286
199
168
167
216
803
756
734
701
694
28
28
29
29
29
June
June
June
June
6. . .
13...
20...
27. . .
69,037
69,492
70,434
70,635
36,705
37,063
37,757
37,758
37,613
37,548
37,545
37,564
37,572
997
920
949
983
930
2 ,648
2 ,592
2 ,670
2 ,716
2 ,593
2
2
2
2
2
8,024
8,038
7,332
7,368
20,377
20,370
19,472
19,478
6,498
6,508
6,571
6,582
7,346
7,304
7,380
7,503
19,510
19,502
19,495
19,447
6,616
6,656
6,675
6,656
224
299
252
246
239
6,683
6,615
6,603
6,592
6,612
19,442
19,414
19,424
19,429
19,486
6,616
6,628
6,596
6,581
6,642
1,652 7,216 1,612
New York City
1950—July
1951—M a y
24
26
24
8 173
7 916
878
730
1,838
1,861
1,955
255
233
486
493
348
279
284
482
491
487
484
305 1 ,336 9,663 7 826
372 1 ,341 9,922 8 067
404 1 ,334 10,232 8 358
312 1 ,351 10,318 8 442
774
1 ,124
1 ,151
237
234
232
231
490
491
494
497
259
307
317
232
1
1
1
1
,325
,316
,316
,309
10,070
9,900
9,762
9,752
8
7
7
7
174
935
781
772
923
756
613
626
328
319
308
283
1,527
1,516
1,552
1,602
5,396
5,344
5,308
5,261
1,896
1,965
1,981
1,980
229
224
222
224
225
487
496
493
494
506
168
251
318
251
313
1
1
1
1
1
,310
,315
,318
,315
,322
9,818
9,649
9,581
9,580
9,700
7
7
7
7
7
857
687
645
655
723
783
644
655
682
655
398
370
346
336
339
1,430
1,434
1,428
1,427
1,445
5,246
5,239
5,216
5,210
5,284
1,961
1,962
1,936
1,925
1,977
4 ,406
102
3 ,965 30,512 2 6 , 243
1 ,711
1 903
463
1,837
1,855
1,874
1,876
Outside
New York City
1950—July.
48,445
17 ,933
9,002
63
240
122
296
1951—May
49,724 22 ,640
49,802 22 ,515
50,122 22 ,524
12,425
12,385
12,276
60
42
63
260
237
227
99
102
102
350 4 ,986
348 5 ,030
346 5 ,051
174 4 ,601 27,084 22 402
104 4 ,583 27,287 22, 608
200 4 ,578 27,598 22 902
12,332
12,390
12,416
12,402
31
37
35
65
240
237
230
239
100
101
101
105
346
347
349
348
5 ,007
5 ,030
5 ,037
5 ,046
59
66
80
211
22 ,510 12,321
22 ,572 12,307
22 ,547 12,257
22 ,468 12,216
40
63
68
79
240
224
225
222
103
100
101
104
347
345
346
345
5 ,044
5 ,048
5 ,052
5 ,058
133
221
246
203
Aug. 1 . . . 50,272 22 ,477 12,284
Aug. 8. . . 50,422 22 ,523 12,341
Aug. 1 5 . . . 50,655 22 ,691 12,451
Aug. 22. . . 50,737 22 ,753 12,528
Aug. 29. . . 50,657 22 ,785 12,534
63
40
37
42
52
238
225
216
204
208
99
101
100
102
99
344
341
342
338
345
5 ,058
5 ,059
5 ,068
5 ,077
5 ,078
156
167
224
211
205
June
July.
June
June
June
June
6. . . 49,432
1 3 . . . 49,600
2 0 . . . 50,039
2 7 . . . 50,135
July 3 . . .
July 1 1 . . .
July 1 8 . . .
July 2 5 . . .
49,942
50,025
50,199
50,321
22 ,390
22 ,459
22 ,514
22 ,695
4
4
4
4
,590
,568
,582
,596
4 ,601
4 ,583
4 ,571
<=4 ,560
4
4
4
4
4
,555
,567
,573
,572
,584
27,042
27,141
27,525
27,440
22
22
22
22
5,380 17,249 4,269
,271
6,442 14,689 4,682
,497
618 6,148 14,345 4,679
,675 1 231 5,834 14,162 4,696
,343
,373
,676 1 237
'.,594 1, 235
6,422
6,489
5,843
5,840
14,616
14,626
14,072
14,065
4,661
4,653
4,697
4,706
27,432 22, 712
27,453 22 762
27,652 22 958
"27,853 23, 177
1 ,534
1 ,582
1 ,712
1 ,874
1
1
1
1
245
234
231
216
5,819
5,788
5,828
5,901
14,114
14,158
14,187
14,186
4,720
4,691
4,694
4,676
140
233
304
328
207
1 ,865
1 ,948
2 ,015
2 ,034
1 ,938
1
1
1
1
1
826
929
906
910
900
5,253
5,181
5,175
5,165
5,167
14,196 4,655
14,175 4,666
14,208 4,660
14,219 4,656
14,202 4,665
27,795
27,899
27,964
27,984
27,872
23
23
23
23
23
381
488
828
734
c
Corrected.
1
Figures for various
2
loan items are shown gross (i. e., before deduction of valuation reserves); they do not add to the total, which is shown net.
Includes guaranteed obligations.
1158
FEDERAL RESERVE BULLETIN
WEEKLY REPORTING MEMBER BANKS—NEW YORK CITY AND OUTSIDE—Continued
RESERVES AND LIABILITIES
[Monthly data are averages of Wednesday figures. In millions of dollars]
Reserves
BalDewith Cash ances mand
Fedwith
dein
eral vault doposits
Remestic ad- 5
serve
banks justed
Banks
Date or month
IndividCertiuals, States
and
fied
part- politand
nerical
Offiships, subcers'
and
divi- checks,
cor- sions
etc.
porations
Interbank
deposits
Time deposits,
except interbank
Demand deposits,
except interbank
IndiU. S.
vidDemand
Bor- CapBank
uals, States
and Govrow- ital
debernacU. S. part- politings
its*
ment
counts
nerGovical
Time
and
ern- ships, subPostal
and
Doment
cor- divi- Sav- mes- Foreign
pora- sions ings
tic
tions
Total—
Leading Cities
1950—July
12,107
805
2,277 47,784 48,431
3,370
1,370
2,305 14,692
647
135
9,070
1,237
201
339
6,448 100,360
1951—May
June
July
13,864
14,360
14,207
832
862
861
2,223 49,797 50,304
2,421
2,348 49,858 50,716
3,801
3,598
3,498
,300
,325
,377
3,250 14,483
3,342 14,593
3,508 14,675
737
746
739
130
134
139
8,931
9,221
9,512
1,344
1,316
1,278
348
341
379
640
378
536
6,623 110,650
6,664 121,577
6,701 106,499
June 6... 14,216
June 13... 14,463
June 20... 14,513
June 27... 14,249
832
883
843
890
2,331 50,286 50,,455
2,635 51,133 52,,606
2,474 50,875 51,791
2,242 49,916 50,500
3,680
3,584
3,537
3,589
,361
,207
,391
,342
2,723
2,397
3,569
4,679
14,514
14,585
14,613
14 ,661
749
747
745
743
132
132
135
135
9,207
9,564
9,331
8,781
1,333
1,342
1,289
1,300
340
341
341
341
257
358
398
500
6,629
6,664
6,675
6,689
29,335
24,439
30,793
26,738
July 3 . . .
July 1 1 . . .
July 18...
July 2 5 . . .
14,205
14,288
14,243
14,091
812
911
858
863
2,299 49,340 50 ,250
2,338 49 ,667 50,622
2,433 49 ,892 51,021
2,320 50,533 50 ,971
3,644
3,480
3,336
3,532
,545
,282
,456
,226
4,339
3,619
3,111
2,962
14,646
14,684
14,692
14,677
740
742
737
738
135
140
140
140
9,345
9,578
9,759
9,364
1,293
1,290
1,265
1,266
379
379
378
379
440
612
708
383
6,699
6,701
6,698
6,705
25,269
25,546
25,746
23,637
Aug. 1... 14,051
Aug. 8... 14,226
Aug. 15... 14,184
Aug. 22... 14,119
Aug. 29... 14,092
807
839
829
852
896
2,318 50,383 50,860
2.289 50,185 50 ,410
2,478 49,909 51 ,573
2.290 50,296 50 ,914
2,151 50,976 51,174
3,644
3,457
3,331
3,331
3,362
,721
,338
,179
,176
,291
2,673
2,812
3,010
2,959
2,609
14,673
14,690
14,685
14,708
14,741
740
742
743
733
751
138 9,472 1,253
139 9,772 1,244
143 10,061 1,246
143 9,604 1,250
143 9,189 1,235
378
384
384
375
383
627
457
634
551
602
6,728
6,737
6,714
6,718
6,726
25,755
23,227
24,426
24,002
22,393
New York City
1950—July
4,415
14,995 15,711
245
656
613
1,517
2,752
1,017
153
200
2,308 40,657
1951—May
June
July
June 6...
June 13...
June 20...
June 27...
4,949
5,303
5,109
127
132
129
15,435 16,216
15,813 16,619
15,305 16,096
293
240
247
581
589
643
883
1,091
1,126
1,476
,506
,477
2,704 1,111
2,858 1,087
2,834 1,064
261
255
284
317
129
331
2,330 42,272
2,341 49,398
2,354 41,673
5,195
5,357
5,373
5,288
129
135
125
138
15,656 16,359
15,984 16,901
16,164 16 ,968
15,449 16,247
206
217
254
283
645
495
601
617
777
647
1,126
1,812
,473
,518
,513
,522
2,799
2,948
2,946
2,739
1,109
1,109
1,054
1,074
254
255
255
255
83
147
22
264
2,315
2,353
2,351
2,345
July 3 . . .
July 1 1 . . .
July 18...
July 2 5 . . .
5,104
5,182
5,121
5,028
129
139
125
125
15,184
15,283
15,238
15,513
16,126
16,021
16,027
16,210
240
246
234
267
759
564
719
530
1,559
1,233
907
803
1,486
1,482
1,476
1,465
2, 844
2, 820
2,885
2,788
1 ,078
1,074
1,053
1,052
284
284
284
284
280
379
456
208
2,355 10,329
2,356 10,199
2,355 9,568
2,352 9,001
Aug. 1...
Aug. 8...
Aug. 15...
Aug. 22 ...
Aug. 29...
4,974
5,031
4,942
4,958
4,896
119
125
122
124
136
15,421
15,346
15,117
15,323
15,624
16,212
15,953
16,066
16,000
16,247
254
232
230
213
247
969
644
455
464
598
685
730
782
755
665
1,456
1,449
1,437
1,448
1,476
2,847
2,795
2,868
2,755
2,633
,031
,026
,033
,036
,022
283
289
289
280
288
375
284
349
244
319
2,365 10,528
2,367 8,855
9,010
8,275
2,361 8,143
1950—July
7,692
677
2,245 32,789 32,720 3,125
1,692
13,175
628
6,318
220
139
4,140 59,703
1951—May
June
July
8,915
9,057
9,098
705
730
732
2,192 34 ,362 34,088
2,387 34 ,740 34,719
2,318 34,553 34 ,620
3,508
3,358
3,251
719
736
734
2,367 13,007
2,251 13,087
2,382 13,198
708
721
716
6,227
6,363
6,678
233
229
214
323
249
205
4,293 68,378
4,323 72,179
4,347 64,826
June 6...
June 13...
June 20...
June 27...
9,021
9,106
9,140
8,961
703
748
718
752
2,302
2,598
2,441
2,205
34 630 34,096
35,149 35 ,705
34,711 34,823
34 ,467 34,253
3,474
3,367
3,283
3,306
716
712
790
725
1,946
1,750
2,443
2,867
13,041
13 ,067
13,100
13,139
723
721
719
721
94
96
96
6,408
6,616
6,385
6,042
224
233
235
226
174
211
376
236
4,314
4,311
4,324
4,344
16,139
14,877
18,538
16,351
July 3 . . .
July 1 1 . . .
July 18...
July 25...
9,101
9,106
9,122
9,063
683
772
733
738
2,268
2,309
2,399
2,292
34 156 34,124
34 384 34,601
34,654 34 ,994
35,020 34,761
3,404
3,234
3,102
3,265
786
718
737
696
2,780
2,386
2,204
2,159
13,160
13,202
13,216
13,212
717
719
714
715
96
97
97
97
6,501
6,758
6,874
6,576
215
216
212
214
160
233
252
175
4,344
4,345
4,343
4,353
14,940
15,347
16,178
14,636
Aug. 1...
Aug. 8...
Aug. 15...
Aug. 22...
Aug. 29...
9,077
9,195
9,242
9,161
9,196
688
714
707
728
760
2,285
2,262
2,446
2,264
2,122
34 ,962 34,648
34,839 34 ,457
34 ,792 35,507
34 ,973 34,914
35,352 34,927
3,390
3,225
3,101
3,118
3,115
752
694
724
712
693
2,082
2,228
2,204
1,944
1,988 13,217
13,241
13,248
13,260
717
718
719
708
730
95
96
100
100
100
6,625
6,977
7,193
6,849
6,556
222
218
213
214
213
252
173
285
307
283
4,363
4,370
4,348
4,355
4,365
15,227
14,372
15,416
15,727
14,250
13,196
9,562
12,255
10,387
Outside
New York City
13,265
3
Demand deposits other than interbank and U. S. Government, less cash items reported as in process of collection.
Monthly and weekly totals of debits to demand deposit accounts except interbank and U. S. Government accounts.
Back figures.—For description of revision beginning July 3, 1946, see BULLETIN for June 1947, p. 692, and for back figures on the revised
basis, see BULLETIN for July 1947, pp. 878-883; for old series, see Banking and Monetary Statistics, pp. 127-227.
4
SEPTEMBER
1951
1159
WEEKLY REPORTING MEMBER BANKS—BY FEDERAL RESERVE DISTRICTS
LOANS AND INVESTMENTS
[In millions of dollars]
Investments
Loans *
Total
loans
and
nvest- Total1
Federal Reserve
district and date
Boston
Aug
Aug
Aug.
Aug.
Aug.
Philadelphia
Aug. 1
Aug 8
Aug 15
Aug. 22
Aug. 29
Cleveland
Aug. 1
Aug 8
Aug. 15
Aug. 22
Aug 29
Richmond
Aug. 1
Aug. 8
Aug. 15
Aug. 22
Aug. 29
Atlanta
Aug. 1
Aug. 8
Aug. 15
Aug. 22
Aug. 29
Chicago*
Aug. 1
Aug. 8
Aug. 15
Aug. 22
Aug. 29
St. Louis
Aug. 1
Aug. 8
Aug. 15
Aug. 22
Aug 29
Minneapolis
Aug 1
Aug. 8
Aug. 15
Aug. 22
Aug. 29
Kansas City
Aug. 1
Aug. 8
Aug. 15
Aug. 22
Aug. 29
Dallas
Aug. 1
Aug. 8
Aug. 15
Aug. 22
Aug. 29
San Francisco
Aug. 1
Aug. 8
Aug. 15
Aug. 22
Aug. 29
City of Chicago*
Aug. 1
Aug. 8
Aug 15
Aug. 22
Aug. 29
For purchasing
or carrying securities
To brokers
and dealers
1,512
1,492
1,502
1,510
1,529
970
972
5
4
To others
980
22,308
22,087
22,134
22,075
. . . . 22,301
1,047
0,991
1,113
1,058
1,177
2,839
2 854
2,840
2,852
2,836
9
10
10
10
3
2
10
9
7
10
10
7,285
7 273
7,377
7 425
7,418
299
208
814
769
175
172
221
748
715
708
33
33
1,336
1,345
1,342
1,342
1,346
771
779
782
788
792
1
2
2
1
1
4,993
5,023
5,046
5,052
5,061
2,006
2,012
2,054
2,042
2,045
1 177
1 189
1 195
1,204
1 199
7
7
7
7
8
23
23
2,833
2,861
2,871
2,865
2,864
1,156
1,155
1,150
1,151
1,151
549
546
1
1
2,569
2,606
2,621
2,596
2,609
1,077
1,080
1,067
1,060
1,055
621
622
616
615
606
9,983
9,969
10,048
10,067
10,021
3,638
3,646
3,723
3,755
3,719
2,377
2 405
2 458
2,470
2,475
2,306
2,327
2,343
2,327
2,311
1,152
1,167
1,171
1,168
1,162
620
620
621
626
627
1,217
1,225
1,229
1,215
1,226
589
597
601
322
325
324
. . 2,770
2,809
2,835
2,858
2,848
...
975
984
U. S. Government obligations
U.S. Other
U. S.
Govt. Other
sese- Govt.
obob- curiliga- ties liga- curities
tions
tions
3,174
3,151
3,127
3,135
3,128
1
8
15
22
29
New York*
Aug. 1
Aug. 8
A u g . 15
A u g 22
A u g . 29
Commercial,
industrial,
and
agricultural
10
11
21
21
21
21
Certifiof indebtedness
Real x>ans Other
state to
Total
loans )anks
Total
Bills
1,662
1,659
289 1,625
290 1,625
287 1,599
1,413
1,411
1,376
1,376
1,350
140
140
104
106
92
106
207
206
206
206
21
206
247
242
810
820
27
5
15
14
35
290
290
106
106
193
191
189
963
249
1,621
1,625
389 1,619
380 1,626
382 1,641
6,128
6,121
6,094
6,088
6,161
,218
2,219
,194
,182
2,234
825
816
814
814
819
345
341
339
336
328
1,552
1,542
1,551
504 1,549
504 1,550
488
484
477
167
172
9,043
8,877
8,827
8,835
8,890
853
717
441
414
1,503
1,509
1,498
1,510
1,490
1.158
,168
,159
,174
.162
81
80
82
89
75
43
58
48
53
50
209
214
215
218
218
2,987
3,011
2,992
347 3,010
348 3,016
2,499
2,527
2,515
2 ,533
2,537
231
255
239
209
220
220
259
262
221
221
507
510
505
30
30
30
29
29
4
4
4
4
4
7
7
7
6
7
144
143
141
142
143
13
14
9
5
4
390
390
391
391
390
29
22
24
10
10
10
60
60
60
388
389
391
16
17
49
350
349
349
725
741
706
249
248
971
968
1,261
1,096
1,021
1,017
1,124
241
241
243
976
974
189
189
,555
,558
323 ,562
259 ,559
320 ,567
168
251
34
34
35
817
817
829
110
113
Other
ecuNotes Bonds2 ities
249
249
60
60
6
5
11
10
12
11
44
41
230
234
18
21
916
919
233
234
233
17
16
17
1.510
L,534
1,550
1,541
1,540
326
324
41
41
41
310 1,677
310 1,706
311 1,721
309 1,714
313 1,713
80
89
11
11
11
188
202
5
6
6
221
210
711
78
85
86
327
324
322
924
922
921
12
11
12
11
11
11
13
11
11
11
25
25
25
25
25
90
87
90
89
88
17
14
10
7
12
319
326
321
321
320
1,492
1,526
1,554
1,536
1,554
1,264
1,299
1,327
L.309
1,324
102
131
142
119
130
170
173
173
179
179
356
353
368
369
372
636
642
644
642
643
228
227
227
227
230
61
61
472
472
25
32
61
473
57
5,399
5,381
5,387
5,377
5,357
374
394
380
508
528
521
504
497
1,172
1,148
1,143
1,131
1,133
3,360
3,349
3,349
3,348
3,347
946
942
17
622 6,345
622 6,323
6,325
623 6,312
625 6,302
359
356
20
26
91
84
76
72
74
16
16
13
1
1
1
2
1
8
7
7
7
7
8
9
8
8
8
14
14
14
14
14
251
251
252
252
252
261
261
262
262
263
1,154
1,160
1,172
1,159
1,149
986
991
1,003
991
981
91
91
112
101
96
112
120
119
117
116
212
202
199
198
203
571
578
573
575
566
168
169
169
168
168
3
3
3
1
6
6
6
110
111
111
8
154
154
155
628
628
628
494
495
496
24
27
24
132
127
132
302
303
299
321
320
2
3
2
6
9
111
111
10
624
627
134
133
132
155
152
36
38
41
492
495
36
35
23
24
134
136
299
300
132
132
1,207
1,207
1,214
1,219
1,219
782
792
7
7
4
14
14
167
165
14
4
228
229
1,563
1,602
230 1,621
232 1,639
232 1,629
1,300
1,338
1,355
1,369
1,358
251
289
135
148
151
150
150
348
337
566
564
299
303
298
263
264
2,636
2,635
2,660
2,679
2,673
1,425
1,417
1,422
1,428
1,435
976
966
972
972
977
273
274
275
275
278
1,044
1,050
1,063
1,079
1,067
132
139
158
173
160
12,472
12,48
12,55
12,610
12,610
6,342
6,37
6,40
6,443
6,479
2 674
2,681
2,712
2,750
2,762
6,130 4,887
6,110 4,849
6,150 4,891
6,167 4,907
6,131 4,869
6,01
5,98
6,05
6,04
6,03
2,370
2,369
2,429
2,442
2,42
1,800
1,82
1,864
1 869
1,874
591
599
546
548
544
1
1
1
32
12
801
800
802
6
7
9
8
9
8
23
25
19
17
16
60
61
4
14
14
14
11
11
11
11
10
48
48
48
48
49
6
6
17
393
394
475
477
165
166
164
120
120
120
123
123
29
35
75
22
3
18
20
11
4
6
c
t
6
26 2,556
26 2,557
26 2,562
26 2,563
26 2,564
31
29
31
47
13
34
40
32
1
12
19
82
75
67
64
14
14
14
14
50
50
51
50
106
106
106
106
26
66
14
50
106
625
19 1,113
i
14
1,119
1,121
1,123
1,131
1,211
1,218
1,238
1,251
1,238
3,644
3,61
3,629
3,60
318 3,603
320
319
321
320
3,054
3,028
3,04
3,02
3,01
171
173
173
938
935
945
337
343
340
568
573
570
105
112
114
115
115
234
226
217
217
217
573
573
574
574
575
167
168
175
172
171
184
154
167
178
148
293
304
309
313
313
1,373
1,358
1,352
1,339
1,337
3,037
3,033
3,063
3,077
3,071
1,243
1,261
1,259
1,260
1,262
182
158
195
205
280
292
285
268
647
634
629
617
590
583
582
579
200
261
1,945
1,944
1,938
1,938
619 1,938
* Separate figures for New York City are shown in the immediately preceding table and for the City of Chicago in this table.
for the New York and Chicago Districts, as shown in this table, include New York City and Chicago, respectively.
For other footnotes see preceding table.
1160
477
479
266
270
271
585
The figures
FEDERAL RESERVE BULLETIN
WEEKLY REPORTING MEMBER BANKS—BY FEDERAL RESERVE DISTRICTS—Continued
RESERVES AND LIABILITIES
[In millions of dollars]
Demand deposits,
except interbank
Federal Reserve
district and date
Boston
Aug. 1
Aug. 8
Aug. 15
Aug. 22
Aug. 29
New York*
Aug. 1
Aug. 8
Aug. 15
Aug. 22
Aug. 29
Philadelphia
Aug. 1
Aug. 8
Aug. 15
Aug. 22
Aug. 29
Cleveland
Aug. 1
Aug. 8
Aug. 15
Aug. 22
Aug. 29
Richmond
Aug. 1
Aug. 8
Aug. 15
Aug. 22
Aug. 29
Atlanta
Aug. 1
Aug. 8
Aug. 15
Aug. 22
Aug. 29
Chicago*
Aug. 1
Aug. 8
Aug. 15
Aug. 22
Aug. 29
St. Louis
Aug. 1
Aug. 8
Aug. 15
Aug. 22
Aug. 29.
Minneapolis
Aug. 1
Aug. 8
Aug. 15
Aug. 22
Aug. 29
Kansas City
Aug. 1
Aug. 8
Aug. 15
Aug. 22
Aug. 29
Dallas
Aug. 1
Aug. 8
Aug. 15
Aug. 22
Aug. 29
San Francisco
Aug. 1
Aug. 8
Aug. 15
Aug. 22
Aug. 29
City of Chicago*
Aug. 1
Aug. 8
Aug. 15
Aug. 22
Aug. 29
Reserves
with
Federal
Reserve
Banks
Time deposits,
except interbank
De- IndiBalIndiances mand vidvidCertideuals, States
with
uals,
and
fied
do- posits part- politpartand
u. s. nermestic ad- 3 nerOffi- Gov- ships
banks usted ships, ical
sub- cers'
ern- and
and
divi- hecks ment corcorpora- sions etc.
porations
tions
2,564
2,533
2,546
2,530
2,547
itates
and
political
subdivisions
U. S.
Government
and
>ostal
Savings
Interbank
deposits
Demand
Domestic
Bor- CapBank
ow- ital
deb-4
acings :ounts
its
Time
Foreign
475
476
475
475
474
2
1
2
1
2
288
283
291
283
269
34
33
32
31
31
553 1,026
544
694
530
508
504
517
644
528
782 ,282
825 ,275
881 2,262
854 2,274
757 2,302
30
31
31
32
28
2,922
2,872
2,947
2,829
2,702
,033
,029
,036
,040
,025
284
290
290
281
289
378
287
355
247
338
2,577
2,578
2,578
2,574
2,574
1,169
9,474
9,713
8,921
8,707
2,324
2,282
2,317
2,283
2,292
108
111
98
97
91
29
26
23
32
23
123
137
152
149
128
404
404
404
403
403
29
33
33
33
33
407
416
428
388
381
13
12
12
14
13
1
13
8
19
35
45
338
338
338
338
337
904
893
905
912
835
3,552
3,545
3,520
3,550
3,609
3,586
3,539
3,663
3,611
3,659
244
248
241
230
230
55
61
5.
49
48
,332
241 1,333
251 1,334
252 ,337
221 1,339
55
56
56
56
66
486
503
534
502
475
9
9
8
8
9
21
13
10
21
11
491
492
493
493
494
1,518
1,317
1,521
1,538
1,431
2,260
2,26'
2,25'
2,240
2,256
2,243
2,26
2,29'
2,266
2,262
19
173
168
159
163
47
44
50
49
4
90
9
111
109
96
55
557
556
557
558
26
26
26
26
26
403
432
436
417
407
249
250
250
250
250
893
858
915
919
873
202 1,983
200 1,988
216 1,970
189
,970
18'
,986
1,85'
1,849
1,906
1,863
1,848
325
323
313
302
318
2.
25
2
29
2
60
69
76
77
68
516
517
520
521
521
515
551
569
54.
530
21
216
215
216
216
810
802
830
862
785
331
310
346
31
295
6,796
6,694
6,72 =
6,806
6,935
6,807
6,715
6,960
6,806
6,911
612
583
590
642
635
129
112
112
104
117
588
610
,642
,643
,643
,644
536 2,645
1,591
1,668
1,719
1,613
1,538
793
79:
793
794
3,643
3,077
3,418
3,444
3,256
32
33
33
35
31
120
119
12
116
11
1,518
1,520
1,520
1,523
1,537
1,599
1,602
1,646
1,61
1,607
115
113
115
111
112
1
18
18
20
2-
71
73
88
84
73
472
472
472
472
47:
59:
623
625
591
579
204
205c
20.
205
20
694
661
701
692
624
23
216
226
22
215
13
13
13
1
14
74
81
92
78
73
819
812
792
795
805
810
815
846
819
816
136
123
113
10'
118
21
1
16
15
18
58
59
75
72
63
232
23:
232
233
232
29.
315
328
306
298
109
109
109
110
110
354
417
457
452
395
562
578
586
550
573
33
35
36
35
3
288
299
32
320
272
2,046
2,03
2,085
2,07
2,09
2,04.
2,046
2,156
2,104
2,085
261
244
235
251
245
32
330
28
27
97
100
106
106
96
399
401
40:
403
404
19
19
19
19
19
926
938
921
864
847
235
236
912
236
959
237 1,065
237
852
50S
55
55i
55
55,
,87*
,91
,98
,93
,91
3
4C
3«
34
365
356
399
39
35
2,19C
2,18C
2,205
2,23
2,23
2,16
2,152
2,26
2,26
19
198
177
17
192
3
37
4
42
34
65
6'
7:
7
6*
368
368
368
369
368
67
67
66
56
65
629
672
695
693
659
25
251
251
252
253
68 =
59*
55
572
55
242
22<
24<
23'
23*
400
422
428
438
388
4,996
5,012
5,01
5,02C
5,023
46'
464
464
465
465
483
51
55
516
487
29'
31*
30.
271
1,397
1,398
1,398
1,39
l,40(
22
22
22
22
22
1,13
1,17
1,215
1,148
l,08i
535
538
534
543
525
54
56
55
57
58
97
89
97
88
86
,306
,364
,266
,289
,226
171
183
177
181
196
137
133
141
113
113
7,189
7,122
6,880
7,074
7,359 7,766
527
526
536
531
53:
43
4.
44
46
48
120
114
120
112
109
2,221
2,209
2,173
2,201
2,204
931
923
900
918
90
82
8
83
86
91
148
13
151
138
139
537
550
550
539
540
67
71
68
74
7
172
178
182
174
159
479
489
481
507
48'
42
46
44
46
48
,142
M42
,104
,181
102
106
106
107
110
432
432
432
428
438
,39.
,42.
,41,40'
,43<
13
12*
13
132
2,627
2,601
2,560
2,574
2,579
264 7,182
273 7,21
28; 7,21*
25;
16
14
2,204
7,09*
7,255 7^344
7,384
7',17
4,17' 4,252
4,09( 4,19i
4,11. 4,345
4,15^ 4,272
4,24<: 4,336
213
199
194
175
173
29;
27
27
300
294
58
46
53
52
44
106
110
120
128
115
341 1,072
340 1,002
342
937
342
952
343
854
99
62
134
104
25
813
769
841
948
820
925 3,038
92' 3,045
3,229
3,297
91 2,961
2,166
1,886
2,078
53 2,054
532 1,960
For footnotes see opposite page and preceding table.
SEPTEMBER
1951
1161
NUMBER OF BANKING OFFICES ON FEDERAL RESERVE PAR LIST AND NOT ON PAR LIST,
BY FEDERAL RESERVE DISTRICTS AND STATES
Federal Reserve
district or State
Total banks on
which checks are
drawn and their
branches and offices
United States total:
Dec. 31, 1946
Dec. 31, 1947
Dec. 31, 1948
Dec. 31, 1949
Dec 31 1950
July 31 1951P ..
By districts and
by States
July 31, 1951*
District
Boston
New York
Philadelphia
Cleveland
Richmond
Atlanta
Chicago
...
St Louis
Minneapolis
Kansas City
Dallas
San Francisco
Alabama
Arizona
Arkansas
California
Colorado
....
On par list
l
Member
Total
Not on oar list
(nonmember)
Nonmember
Banks
Branches
and offices2
Banks
Branches
and offices
B inks
Branches
and offices
Banks
14,043
14,078
14,072
14,051
14,015
14,004
3 ,981
4 ,148
4 ,333
4 ,562
4 ,824
4 ,995
11,957
12,037
12,061
12,178
12,162
12,167
3 ,654
3 ,823
4 ,015
4 ,289
4 ,534
4 ,702
6 ,894
6 ,917
6 ,912
6 ,887
6 ,868
6 ,851
2,913
3,051
3,197
3,387
3,589
3,723
5,063
5,120
5,149
5,291
5,294
5,316
472
352
472
352
324
277
148
75
863
834
983
171
324
863
834
983
171
324
742
637
687
910
131
280
121
197
423
73
40
44
1,110
1,006
1,208
2,487
1,465
1,275
1,759
1,032
493
568
226
628
153
112
20
64
1 394
1,110
807
608
2,487
1,136
678
1,750
929
493
425
186
628
93
71
20
55
1 ,394
225
11
27
62
129
11
27
62
Branches
and offices
741
772
818
902
945
979
496
476
755
632
264
264
159
272
55
28
10
36
1,301
332
252
1,480
640
202
995
297
229
161
27
356
38
43
10
19
93
93
5
27
45
36
6
17
475
356
1 ,007
Banks
Branches
and offices
2,086
2,041
2,011
1,873
1,853
1,837
327
325
318
273
290
293
199
600
143
40
329
597
9
103
60
41
9
State
....
Connecticut
Delaware
District of Columbia..
Florida
Georgia
Idaho
Illinois
Indiana
Iowa
Kansas
. ..
Kentuckv
Louisiana
Miaine
Maryland
Massachusetts
Michigan
^Minnesota . . .
IVIississippi
Missouri
^Montana
....
3
53
1
51
8
36
6
41
21
4
61
13
10
37
51
4
51
2
19
377
245
501
54
164
20
995
4
109
193
149
5
995
4
68
119
93
2
942
3
103
38
19
196
58
21
46
7
44
58
21
46
6
62
17
15
75
401
103
38
19
136
43
889
483
661
56
2
115
164
43
887
483
661
56
2
115
164
24
510
238
160
610
1
608
1
215
1
393
380
48
380
48
113
31
267
117
41
66
96
41
74
56
231
193
149
61
247
6
14
1
231
206
31
180
84
191
6
7
1
207
61
10
350
26
56
2
20
140
438
678
201
595
110
247
6
68
1
438
267
41
530
110
412
7
2
20
412
2
171
19
74
318
51
2
171
19
52
273
35
2
19
272
74
318
51
1
155
3
22
45
16
1
16
16
620
209
150
815
227
22
620
99
62
815
90
6
541
54
42
758
50
79
45
20
57
40
6
657
234
657
234
203
238
31
1
376
1
419
Oregon
Pennsylvania
Rhode Island
South Carolina
South Dakota
69
959
14
150
169
104
207
52
50
50
69
959
14
66
71
104
207
52
44
25
30
730
8
32
62
90
180
40
36
22
39
229
6
34
9
14
27
12
8
3
Tennessee
Texas
296
909
98
12
84
580
63
12
26
11
30
39
24
2
126
277
22
26
11
210
857
85
12
54
68
Nevada
New Hampshire
New Jersey
New Mexico
8
..
New York
North Carolina
North Dakota
Ohio
Oklahoma
Utah
Vermont
Virginia
384
54
68
6
224
1
2
152
24
29
309
117
203
65
106
52
153
117
153
51
143
66
10
152
552
53
22
388
14
108
152
164
39
411
160
65
54
110
88
137
16
84
98
6
25
86
52
13
2
9
117
179
23
8
117
552
53
104
1
313
180
Wisconsin
Wvominc
8
2
2
7
35
51
18
55
72
128
180
1
3
17
15
24
85
36
62
62
160
176
60
284
5
48
37
77
162
78
72
128
180
15
7
47
38
75
140
166
62
160
176
122
71
4
1
130
reserv
1162
FEDERAL RESERVE BULLETIN
COMMERCIAL PAPER AND BANKERS' ACCEPTANCES OUTSTANDING
[In millions of dollars]
j
Commercial
paper
out- 1
standing
End of month
Dollar acceptances outstanding
Based on
Held by
Accepting banks
Total
outstanding
Total
Own
bills
Others2
Bills
bought
Exports
from
United
Imports
into
United
States
States
Dollar
exchange
Goods stored in or
shipped between
points in
United
States
Foreign
countries
1950—June
Julv
August
September
October
November
December
240
259
286
308
312
325
333
279
335
374
397
383
383
394
126
155
174
187
168
166
192
82
87
103
103
100
104
114
44
68
71
84
68
62
78
154
180
200
211
215
217
202
170
211
238
264
243
234
245
66
80
87
79
85
88
87
1
1
1
2
2
2
2
21
22
26
29
29
29
28
21
22
21
23
25
29
32
1951—January
February
March
April
May
June
July
356
369
381
387
364
331
336
453
470
479
456
417
425
380
202
201
198
170
143
162
135
126
121
122
119
108
120
103
76
79
76
52
35
42
33
251
270
279
285
274
263
245
286
304
314
288
259
267
225
100
99
106
111
102
104
104
2
2
2
2
1
3
()
(3)
36
36
30
24
22
22
24
29
29
26
31
33
31
27
1
2
As reported by dealers; includes some finance company paper sold in open market.
None held by3 Federal Reserve Banks except on Mar. 31, 1951, and on Apr. 30, 1951, when their holdings were $1,996,000 and $178,000,
respectively.
Less than $500,000.
Back figures.—See Banking and Monetary Statistics, Table 127, pp. 465-467; for description, see p. 427.
CUSTOMERS' DEBIT BALANCES, MONEY BORROWED, AND PRINCIPAL RELATED ITEMS OF STOCK EXCHANGE
FIRMS CARRYING MARGIN ACCOUNTS
[Member firms of New York Stock Exchange.
Ledger balances in millions of dollars]
Credit balances
Debit balances
End of month
Cash on
hand
and in
banks
9
7
9
11
5
7
11
12
7
5
6
7
7
10
5
5
180
160
167
181
196
209
220
313
370
456
395
393
332
349
280
306
496
543
761
789
887
1,041
1,223
1,138
809
540
552
578
619
550
681
881
1942—June
December...
1943—June
December...
1944—June
December...
1945_june
December...
1946—June
December...
1947—June
December...
1948—June
December...
1949—June
December...
1950—August
s 1,231
September. . 33 1,284
October
1,351
November. . 3 1,360
December...
1,356
1951—January....
February.. .
March
April
May
June
July
Customers'
credit balances
Debit
Debit
Customers' balances in balances in
partners'
firm
debit
investment investment
balances
and trading and trading
(net) 1
accounts
accounts
31,411
31,367
s1,304
»1,286
s1,287
1,275
s
1,266
86
154
190
188
253
260
333
413
399
312
333
315
326
312
419
400
Money
borrowed2
9
id
399
375
397
364" '
752
751
759
774
745
a 690
3 642
3
715
3
661
3 681
680
3 672
In firm
In partners'
investment investment
and trading and trading
accounts
accounts
In capital
accounts
(net)
Free
Other
(net)
240
270
334
354
424
472
549
654
651
694
650
612
576
586
528
633
56
54
66
65
95
96
121
112
120
120
162
176
145
112
129
159
16
15
15
14
15
18
14
29
24
30
24
23
20
28
20
26
4
4
7
5
11
8
13
13
17
10
9
15
11
5
9
15
189
182
212
198
216
227
264
299
314
290
271
273
291
278
260
271
780
738
771
796
890
230
36
12
317
225
26
13
319
309
378
529
557
619
726
853
795
498
218
223
240
283
257
493
523
3
3
3
3
Other credit balances
l
3
3
3
3
3 948
3 953
3918
3 879
3 855
834
3 825
1
Excludes balances wTith reporting firms (1) of member firms of New York Stock Exchange and other national securities exchanges and (2)
of^firms'
own partners.
2
Includes money borrowed from banks and also from other lenders (not including member firms of national securities exchanges).
3
As reported to the New York Stock Exchange. According to these reports, the part of total customers' debit balances represented by balances
secured by U. S. Government securities was (in millions of dollars): May, 41; June, 38; July, 43.
NOTE.—For explanation of these figures see "Statistics on Margin Accounts" in BULLETIN for September 1936. The article describes the
method by which the figures are derived and reported, distinguishes the table from a "statement of financial condition," and explains that the last
column is not to be taken as representing the actual net capital of the reporting firms.
Back figures.—See Banking and Monetary Statistics, Table 143, pp. 501-502, for monthly figures prior to 1942, and Table 144, p. 503, for data
in detail at semiannual dates prior to 1942.
SEPTEMBER
1951
1163
OPEN-MARKET MONEY RATES IN NEW YORK CITY
[Per cent per annum]
Year,
month, or
week
Prime
commercial
paper,
4- to 6months1
Prime j
bank- I
ers'
acceptances,
90
daysi
Stock
U. S. Government
exsecurities (taxable)
change
call
loan
9-to 12- 3- to 53remonth month4 year 5
new2
bills
s
issues issues
als
1948 average
1949 average
1950 average
1.44
1.48
1.45
1.55
1.63
1.63
1.040
1.102
1.218
1.14
1.14
1.26
1.62
1.43
1.50
1950—August
September.
October
November.
December..
1.44
1.66
1.73
1.69
1.72
1.63
1.63
1.63
1.63
1.63
1.211
1.315
1.329
1.364
1.367
1.26
1.33
1.40
1.47
1.46
1.45
1.55
1.65
1.62
1.64
1951—January. . .
February. .
March
April
May
June
July
August
1.86
1.96
2.06
2.13
2.17
2.31
2.31
2.26
2.00
2.00
2.00
2.00
2.15
2.25
2.25
2.25
1.387
1.391
1.422
1.520
1.578
1.499
1.593
1.644
1.47
1.60
1.79
1.89
1.85
1.79
1.74
1.70
1.66
1.67
1.86
2.03
2.04
2.00
1.94
1.89
2-2 }
2-21
2-21
2-2)
2-21
1.611
1.652
1.660
1.651
1.645
1.72
1.73
1.71
1.68
1.68
1.93
1.91
1.90
1.87
1.87
Week ending:
Aug. 4. . . 2 UAug. 1 1 . . .
Aug. 18.. .
Aug. 25. ..
Sept. 1. . .
BANK RATES ON BUSINESS LOANS
AVERAGE OF RATES CHARGED ON SHORT-TERM LOANS
TO BUSINESSES BY BANKS IN SELECTED CITIES
[Per cent per annum]
Size of loan
All
loans
Area and period
Annual averages:
19 cities:
1941
1942
1943
1944
1945
1946
1947
1948
1949
1950
1
2
Monthly figures are averages of weekly prevailing rates.
The average rate on 90-day Stock Exchange time loans was 1.50
per cent, Aug. 2, 1946-Aug. 16, 1948; 1.63 per cent, Aug. 17, 1948Jan. 1, 1951. In 1951 changes have been made on the following dates:
Jan.
2, 2.00; May 16, 2.25 per cent.
3
Rate on new issues within period.
4
Series includes certificates of indebtedness and selected note and
bond issues. Beginning Aug. 1, 1951, it is composed of 1% per cent
certificate
of July 1, 1952.
5
Series includes notes and selected bond issues.
Back figures.—See Banking and Monetary Statistics, Tables 120-121
pp. 448-459, and BULLETIN for May 1945, pp. 483-490, and October
1947, pp. 1251-1253.
Quarterly:
19 cities:
1950—Sept
Dec
1951—Mar
June
New York City:
1950—Sept
Dec
1951—Mar
June
7 Northern and Eastern cities:
1950—Sept
Dec
1951—Mar
June
,
11 Southern and
Western cities:
1950—Sept
Dec
1951—Mar
June
$1,000- $10,000- $100,000- $200,000
$10,000 $100,090 $200,000 and over
2.0
2.2
2.6
2.4
2.2
2.1
2.1
2.5
2.7
4.3
4.4
4.4
4.3
4.3
4.2
4.2
4.4
4.6
4.5
3.0
3.2
3.4
3.3
3.2
3.1
3.1
3.5
3.7
3.6
1.9
2.2
2.5
2.6
2.3
2.2
2.5
2.8
3.0
3.0
1.8
2.0
2.4
2.2
2.0
1.7
1.8
2.2
2.4
2.4
2.63
2.84
3.02
3.07
4.51
4.60
4.68
4.73
3.63
3.73
3.88
3.93
2.95
3.10
3.27
3.32
2.34
2.57
2.76
2.81
2.32
2.51
2.74
2.78
4.06
4.17
4.20
4.37
3.33
3.44
3.68
3.66
3.06
2.15
2.35
2.59
2.64
2.63
2.87
3.02
3.04
4.56
4.64
4.74
4.68
3.90
2.87
3.18
3.23
3.28
2.39
2.65
2.81
2.83
3.13
3.28
3.42
3.52
4.71
4.78
4.87
4.90
3.83
3.91
4.01
4.10
3.15
3.21
3.41
3.52
2.67
2.90
3.06
3.14
NOTE.—For description of series see BULLETIN for March 1949,
pp. 228-237.
BOND YIELDS 1
[Per cent per annum]
U. S. Government
(taxable)
Year, month, or week
7 to 9
years
15
years
or
more
Corporate (Moody's) i
Municipal
(highgrade)2
Corporate
(highgrade)3
By ratings
By groups
Total
Aaa
Aa
A
Baa
Industrial
Railroad
Public
utility
Number of issues
1-5
1-8
15
9
120
30
30
30
30
40
40
40
1948 average. .
1949 average
1950 average
2 00
1.71
1.84
2 44
2.31
2.32
2 40
2.21
1.98
2 81
2.65
2.60
3 08
2.96
2.86
2 82
2.66
2.62
2.90
2.75
2.69
3.12
3.00
2.89
3.47
3.42
3.24
2.87
2.74
2.67
3.34
3.24
3.10
1950—August
September .
October
November
December
1 82
1 89
1.94
1.95
1.97
2 33
2 36
2.38
2.38
2.39
1 90
1 88
1.82
1.79
1.77
2 58
2 62
2.65
2.66
2.66
2 85
2 86
2.88
2.88
2.88
2.61
2 64
2.67
2.67
2.67
2.67
2.71
2.72
2.72
2.72
2.87
2.88
2.91
2.92
2.91
3.23
3.21
3.22
3.22
3.20
2.66
2.68
2.70
2.70
2.70
3.08
3.07
3.09
3.08
3.07
3.03
2.90
2.82
2.80
2.84
2.85
2.86
2.87
1 96
2 39
2 40
2 47
2 56
2.63
2 65
2 63
2.57
1 62
1 61
1 87
2 05
2.09
2 22
2 18
2.04
2 64
2 66
2 78
2 88
2.89
2 95
2 93
2.86
2 86
2 85
2 95
3 07
3.09
3 16
3 17
3.12
2 66
2.66
2 78
2 87
2.88
2 94
2 94
2.88
2.71
2.71
2 81
2.93
2.93
2.99
2.99
2.92
2.89
2.88
2.98
3.12
3.14
3.21
3.23
3.18
3.17
3.16
3.22
3.34
3.40
3.49
3.53
3.51
2.69
2.69
2.79
2.89
2.90
2.96
2.97
2.92
3.03
3.01
3.09
3.24
3.28
3.33
3.36
3.31
2.85
2.86
2.95
3.07
3.10
3.18
3.19
3.13
2 62
2 59
2 56
2 55
2.55
2 06
2 05
2 03
2 02
2.02
2 89
2 87
2 85
2 84
2.86
3 15
3 14
3 12
3 11
3.10
2 91
2 89
2.87
2 86
2.85
2 96
2.94
2.92
2 91
2.91
3.20
3.19
3.17
3.17
3.16
3.52
3.52
3.51
3.50
3.49
2.94
2.93
2.92
2.91
2.90
3.34
3.33
3.30
3.30
3.30
3.15
3.15
3.13
3.12
3.11
1951—January
February
March
April
]Vlay
...
June
July
August
Week ending:
Aug. 4 .
Aug. 11
Aug. 18
Aug. 25.
Sept. 1
(5)
1
2
4
Monthly and weekly data are averages of3 daily figures, except for municipal bonds, which are based on Wednesday figures.
Standard and Poor's Corporation.
U. S. Treasury Department.
Moody's Investors Service, week ending Friday. Because of a limited number of suitable issues, the industrial Aaa and Aa groups have
been6 reduced from 10 to 5 and 6 issues, respectively, and^the railroad Aaa and Aa groups from 10 to 5 issues.
Series discontinued.
Back figures.—See Banking and Monetary Statistics, Tables 128-129, pp. 468-474, and BULLETIN for May 1945, pp. 483-490, and October
1947, pp. 1251-1253.
1164
FEDERAL RESERVE BULLETIN
SECURITY MARKETS *
Bond prices
Stock prices
Volume
of
trad-5
Securities and Exchange Commission series
ing
(index, 1939=100)
(in
thousands
Manufacturing
Trade,
of
finTrans- Util- ance,
Min- shares)
porta- ities
and
ing
Nontion
servdurTotal Durable
ice
able
Common
Year, month,
or week
Standard and Poor's series
(index, 1935-39=100)
U. S. Mun- CorpoGov- icipal rate
Preern- 2 (high-3 (high- ferred4
ment grade) grade)3
Number of issues
1-8
15
17
Total
Industrial
416
365
20
31
265
170
98
72
21
28
32
14
124
121
146
131
128
156
115
97
117
96
98
107
132
128
154
136
132
166
124
116
150
147
147
180
158
139
160
99
98
107
157
161
184
133
129
144
1,144
1,037
2,012
15
1948 average. . . 100.84 125.3 118.3 168.7
1949 average. . . 102.73 128.9 121.0 176.4
1950 average. . . 102.53 133.4 122.0 181.8
Railroad
Public Total
utility
1950—Aug
Sept
Oct
Nov
Dec
102.28
101.90
101.64
101.69
101.53
134.8
135.2
136.4
137.0
137.4
122.1
121.7
121.1
121.1
121.1
181.9
181.8
180.5
180.8
179.9
147
152
158
156
158
158
163
171
169
171
121
125
129
127
139
104
105
106
105
104
154
159
165
166
165
168
173
180
182
180
152
158
166
166
162
182
188
194
197
198
165
168
171
171
184
106
107
108
107
107
177
188
198
201
196
146
150
155
158
160
1,673
1,930
2,141
2,032
2,769
1951—Jan
Feb
March...
April....
May. . . .
June....
July
Aug.....
101.56
101.44
100.28
98.93
97.90
97.62
97.93
98.90
140.5
140.8
135.5
131.9
131.1
128.6
129.4
132.1
121.4
121.3
119.4
117.8
117.4
116.6
116.2
117.1
180.9
180.9
174.9
170.4
168.9
167.9
166.7
169.4
169
175
170
172
174
172
173
182
183
190
184
187
189
187
188
198
153
159
149
149
148
142
139
147
109
111
111
110
111
110
112
114
177
184
180
183
182
179
182
190
194
203
198
204
203
200
204
215
175
182
178
181
175
169
170
179
212
223
217
225
228
229
236
249
202
213
200
202
197
188
188
196
110
112
113
111
111
110
111
114
205
213
210
208
206
201
202
206
176
184
177
183
188
186
195
219
2,974
2,104
1,549
1,517
1,630
1,305
1,333
1,463
Week ending:
Aug. 4 . .
Aug. 1 1 . .
Aug. 18..
Aug. 25..
Sept. 1..
98.07
98.63
99.07
99.12
99.23
131.7
131.9
132.3
132.4
132.4
116.3
116.8
117.0
117.7
117.6
167.6
169.0
169.5
170.7
170.1
179
182
182
181
184
196
199
198
198
201
147
149
147
145
149
113
114
115
115
115
189
188
190
189
192
214
213
215
215
218
176
177
180
179
182
249
247
248
248
252
196
195
196
193
197
113
113
115
114
115
205
206
206
206
208
217
214
218
221
224
1,708
1,516
1,443
1,221
1,471
1
Monthly and weekly data are averages of daily figures, except for municipal and corporate bonds, preferred stocks, and common stocks
(Standard
and Poor's series), which are based on figures for Wednesday.
2
Average of taxable bonds due or callable in 15 years or more.
3
Prices
derived from average yields, as computed by Standard and Poor's Corporation, on basis of a 4 per cent 20-year bond.
4
Standard and
Poor's Corporation. Prices derived from averages of median yields on noncallable high-grade stocks on basis of a $7 annual
B
dividend.
Average daily volume of trading in stocks on the New York Stock Exchange.
Back figures.—See Banking and Monetary Statistics, Tables 130, 133, 134, and 136, pp. 475, 479, 482, and 486, respectively, and BULLETIN
for May 1945, pp. 483-490, and October 1947, pp. 1251-1253.
NEW SECURITY ISSUES
[In millions of dollars]
For new capita]
Year or month
1942 . . .
1943
1944,...
1945
1946
1947.
1948
1949
1950
Total
(new Total
and
(dore- mestic
fundand
ing)
foreign)
For refunding
Domestic
Domestic
Total
State
and
municipal
Federal
agen-x
cies
Total
(doCorporate
For-2 mestic
eign
and
forBonds
eign)
and Stocks
Total
notes
2 114
2,169
4,216
8,006
8,645
3
9 691
10,220
9,753
310,935
1 075
642
913
1,772
4,645
3
7,566
9,085
8,160
8,271
1 075
640
896
1,761
4,635
7,255
9,076
8,131
8,160
176
235
471
952
2,228
2,604
2,803
3,370
90
15
26
127
239
294
233
394
374
646
1,264
3,556
4,787
46,177
5,095
4,395
1950—June
1,293
July
589
794
August.. .
950
September
802
October. .
853
November
840
December.
965
957
334
18
605
437
513
510
204
297
523
712
653
599
630
265
272
181
356
138
8
555
729
658
613
630
517
439
436
3834 3 649
594
March.... 1,229 1,019 1,001
April
1,064
920
918
May
1,162
947
866
June
1,286 1,090 1,075
154
181
158
228
407
280
1951—January..
February.
342
108
624
506
118
282
92
422
224
607
657
2,084 1,472
3,567 1,219
45,269
908
4,125
971
3,199 1,197
169
1,039
2 1,527
17 3,303
12 6,234
10 4,000
68 2,125
10 1,135
29 1,593
111 32,665
8
328
Total
State
and
municipal
Federal
agen-x
cies
Corporate
Total
Bonds
and Stocks
notes
1,039
1,442
3,288
6,173
3,895
1,948
1,135
1,492
2,441
259
404
324
208
44
82
104
112
497
418
912
734
422
768
943
992
685
2,466
4,937
2,953
1,482
284
445
1,338
603
2,178
4,281
2,352
1 199
257
393
1,280
328
20
35
273
273
181
440
418
Foreign2
407
11
82
288
656
601
283
28
52
58
101
123
5
46
221
77
3
76
1
98
213
244
272
201
319
45
51
200
43
75
32
18
5
14
239
220
144
240
210
193
220
144
240
210
53
258
295
472
244
394
8
6
3
14
28
48
193
63
150
79
137
21
78
75
103
131
21
77
67
91
1
8
12
41
48
48
29
60
89
242
365
795
660
399
706
192
332
641
433
314
562
50
33
154
227
85
144
3
5
17
2
80
15
77
184
211
144
215
197
77
184
180
144
215
196
19
3
10
4
4
3
45
154
88
61
198
137
13
27
82
80
13
57
11
25
52
24
8
49
2
2
30
55
6
7
145
76
22
86
15
61
105
177
22
"31
1
2
3
Includes publicly offered issues of Federal credit agencies, but excludes direct obligations of U. S. Treasury.
Includes issues of noncontiguous U. S. Territories and Possessions.
These figures for 1947, 1950, and February 1951 include 244 million dollars, 100 million, and 50 million, respectively, of issues of the International Bank for Reconstruction and Development.
4 Includes the Shell Caribbean Petroleum Company issue of 250 million dollars, classified as "foreign" by the Chronicle.
Source.—For domestic issues, Commercial and Financial Chronicle; for foreign issues, U. S. Department of Commerce. Monthly figures
subject to revision. Back figures.—See Banking and Monetary Statistics, Table 137, p. 487.
SEPTEMBER
1951
1165
NEW CORPORATE SECURITY ISSUES 1
PROPOSED USES OF PROCEEDS, ALL ISSUERS
[In millions of dollars]
Proposed uses of net proceeds
Estimated Estimated
gross
net
proceeds 2 proceeds *
Year or month
Retirement of securities
!^ew money
Plant and
equipment
Total
Working
capital
Total
Bonds and
notes
1,119
1,637
1,726
1,483
366
667
2,038
4,117
2,392
1,155
240
360
1,095
19
1938
1939
1940
1941
1942
1943
1944
1945
1946
1947
1948
1949
1950
1950—j u iy
August
September
October
November
December..
2,155
2,164
2,677
2,667
1,062
1,170
3,202
6,011
6,900
6,577
7,078
6,052
6,292
2,110
2,115
2,615
2,623
1,043
1,147
3,142
5,902
6,757
6,466
6,959
5,959
6,194
681
325
569
868
474
308
657
1,080
3,279
4,591
5,929
4,606
3,987
504
170
424
661
287
141
252
638
2,115
3,409
4,221
3,724
3,029
177
155
145
207
187
167
405
442
1,164
1,182
1,708
882
958
1,206
1,695
1,854
1,583
396
739
2,389
4,555
2,868
1,352
307
401
1,224
315
311
211
402
408
550
387
546
225
306
312
268
376
140
189
248
255
193
269
71
20
1951—January
February
March
April
383
383
1,009
824
748
825
359
377
994
810
739
812
301
314
845
626
676
685
504
487
431
122
189
253
481
472
436
326
110
May
June
.
July
407
416
561
393
553
...
36
58
57
75
107
138
33
89
76
74
132
28
62
63
72
224
243
77
71
20
30
17
28
699
146
68
68
65
20
63
12
Repayment
of
other debt
Other
purposes
87
59
128
100
30
72
351
438
476
196
67
41
215
69
174
144
138
73
49
134
379
356
488
637
7
26
19
28
35
27
47
133
231
168
234
315
129
651
332
20
60
Preferred
stock
6
5
27
13
2
3
2
23
37
20
15
25
8
17
32
129
28
71
29
26
53
52
6
9
64
26
49
6
28
13
14
54
11
1
21
3
55
18
15
PROPOSED USES OF PROCEEDS, BY MAJOR GROUPS OF ISSUERS*
[In millions of dollars]
Manufacturing
Year or
month
Commercial and
miscellaneous 6
6
Total
Total
Total
Total
Total
Total
net
net
New Retire- net
New Retire- net
New Retire- net
New RetireNew Retire- net
New Retirepro- money ments 10 pro- money ments 10 pro- money ments 10 pro- money ments 10 pro- money ments 10 pro- money ments 10
ceeds9
ceeds9
ceeds9
ceeds9
ceeds9
ceeds9
54
182
319
361
47
160
602
1,436
704
283
617
"403" "364' " " 2 ' i '
28
456
229
338
67
587
273
533
831
584
961
828
527
497
1,033
1,969
3,601
2,686
. 2,180
1,391
1,165
469
188
167
244
293
228
454
811
2,201
1,974
1,726
851
695
226
353
738
463
89
199
504
1,010
981
353
54
44
143
1950—July
August
September
October
November
December
68
42
70
180
127
146
50
20
43
65
78
113
3
5
10
33
21
10
72
40
62
39
31
109
22
19
15
14
17
64
3
8
8
16
8
2
13
42
17
34
24
72
13
38
17
34
24
16
1951—January
February
March
April
May
June
July
65
63
298
405
384
361
129
47
53
219
301
353
314
109
7
2
28
55
1
18
8
74
27
52
48
71
42
17
46
20
44
23
57
28
13
6
5
2
4
12
4
2
44
26
30
20
14
26
18
44
8
30
20
14
26
18
1938
1939
1940
1941
1942
1943
1944 .
1945
1946
1947
1948
1949
1950
.
.
Real estate
and financial
Communication 8
Public utility 7
Railroad
.
24
85
115
253
32
46
102
115
129
240
546
441
346
30
97
186
108
15
114
500
1,320
571
35
56
11
183
4
'""56"
'"'is'
1,208
1,246
1,180
1,340
464
469
1,400
2,291
2,129
3,212
2,281
2,615
2,895
180
43
245
317
145
22
40
69
785
2,188
1,998
2,140
2,003
943
1,157
922
993
292
423
1,343
2,159
1,252
939
145
234
679
891
567
396
"870"
505
314
2
49
73
104
233
223
228
174
183
81
121
205
164
126
162
11
107
11
33
45
5
24
6
7
23
9
4
21
6
5
15
6
3
3
185
220
172
278
217
258
188
127
200
115
230
211
242
178
7
4
37
6
3
6
2
9
2
423
24
4
3
50
9
2
421
24
4
2
50
7"
16
102
155
94
4
21
107
206
323
286
587
593
618
8
9
42
55
4
13
61
85
164
189
485
440
356
30
39
28
46
22
32
25
22
21
20
17
18
31
39
20
35
50
123
69
28
33
16
30
37
73
6S
7
88
9
18
4
42
65
64
24
30
35
78
14
3
1
1
1
3
36
1
2
8
Estimates of new issues sold for cash in the United States.
Gross proceeds are derived by multiplying principal amounts or number of units by offering price.
Estimated
net proceeds are equal to estimated gross proceeds less cost of flotation, i.e., compensation to underwriters, agents, etc., and
4
expenses.
Classifications for years 1938-47 are not precisely comparable with those beginning 1948, but they are believed to be sufficiently
similar
for
broad
comparisons. See also footnotes 5 through 8.
5
6
Prior to 1948 this group corresponds to that designated "Industrial" in the old classification.
Included in "Manufacturing" prior to 1948.
7
8
Includes
"Other
transportation" for which separate figures are available beginning in 1948. 10
Included in "Public utility" prior to 1948.
9
Includes issues for repayment of other debt and for other purposes not shown separately.
Retirement of securities only.
Source.—Securities and Exchange Commission; for compilation of back figures, see Banking and Monetary Statistics, Table 138, p. 491, a
publication of the Board of Governors.
1166
FEDERAL RESERVE BULLETIN
SALES, PROFITS, AND DIVIDENDS OF LARGE CORPORATIONS*
MANUFACTURING CORPORATIONS
[In millions of dollars]
Assets of 10 million dollars and over
(200 corporations)
Assets 0 " 50 million dollars and over
(82 corporations)
Assets of 10-50 million iollars
(118 corporations)
Year or quarter
Sales
Annual
1939
1940
1941
1942
1943
1944
1945
1946
1947
1948
1949
1950
Profits
after
taxes
1,209
1,844
3,156
3 395
3,683
3,531
2 421
2,033
4,099
5 315
5,035
997
1,273
1,519
1 220
1,260
1,255
1 129
1,202
2,521
3 310
3,099
4,050
1,167
1,403
1,657
2,237
808
726
10,591
13,006
18,291
21,771
28,240
30,348
26,531
21,327
30,815
36,955
36,702
43,950
. . .
1949—i
2
3
4
Profits
before
taxes
7 R91
Sales
Profits
before
taxes
Profits
after
taxes
Dividends
9,008
11,138
15,691
18 544
24,160
25,851
22,278
17,416
25,686
31,238
31,578
37,704
1,071
1,638
2,778
2 876
3,111
2,982
1,976
1,57?
3,423
4 593
4,506
6,994
883
1,127
1,329
1,056
1,097
1,091
964
854
672
688
932
804
343
354
8,056
8 115
8,148
7,259
1,187
1 077
1,183
1,059
801
387
1,046
1 245
393
583
7,935
9,179
10,110
10,481
1,254
1,631
1,925
2,185
Dividends
722
856
947
760
777
848
861
943
656
772
755
764
2,105
2,860
2,768
3,561
1,000
1,210
1,474
2,013
723
653
303
312
717
675
292
567
Sales
1,583
1,869
2,600
3,227
4,080
4,497
4,253
3,912
5,129
5,717
5,124
6 - 246
Profits
before
taxes
Profits
after
taxes
139
206
114
146
378
519
571
190
164
164
Dividends
67
83
93
88
88
549
445
164
165
460
271
139
676
721
416
450
167
192
529
330
897
489
93
98
183
224
Quarterly
9,363
9,369
9,420
8,550
1950—1 i
1,326
L 196
1,312
L ,201
9,255
10,649
11,790
12,255
2i
31
41
r
1951_1
2
12.698
13,039
1,400
S?1
2 185
2,485
r
2 230
2,222
799
766
958
r
907
922
331
629
873
467
474
r
10,815
11,089
r
l ,950
1,934
820
785
1,320
.471
1,681
1,774
791
420
421
'1,883
1,950
715
934
1,092
r
1,307
L ,254
1,273
1,291
802
347
347
534
139
119
84
73
129
142
82
91
40
42
39
62
146
87
40
190
260
112
152
46
49
300
138
88
'280
'•lie
288
120
47
52
PUBLIC UTILITY CORPORATIONS
[In millions of dollars]
Railroad
Year or quarter
1939
1940 . .
1941
1942
1943
1944
1945
1946
1947
1948
1949
1950
1949—1
2
3
Annual
Quarterly
t
t
4
1950—1
2
3
. . .
Operating
revenue
Profits
before
taxes
3,995
4,297
5,347
7,466
9,055
9,437
8,902
7,628
8,685
9,672
8,580
9 473
126
249
93
189
126
159
674
500
1,658
2,211
1,972
756
271
777
1,148
700
1,385
902
873
186
2,147
2,226
2,140
2,066
119
Profits
after
taxes
667
Dividends
202
217
246
450
287
479
699
438
246
235
236
289
252
783
312
58
69
183
174
224
115
104
161
55
50
78
109
61
4
1,985
2,238
2,534
2,716
574
3 52
s 157
3257
3 318
1951—1
2
2,440
2,596
229
275
103
144
248
454
Telephone 2
Electric: power
Operating
revenue
Profits
before
taxes
Profits
after
taxes
2,647
2,797
3,029
3,216
3,464
3,615
3,681
3,815
4,291
4,830
5,055
5,431
629
692
535
548
774
527
847
913
490
502
1 .317
1,226
1,224
1,288
Dividends
Operating
revenue
Profits
before
taxes
444
447
437
408
410
398
407
458
494
493
553
619
1,137
1 206
1,334
1,508
1 691
1,815
1,979
2,148
2,283
2,694
2,967
3 ,342
384
417
473
551
616
649
674
517
443
563
664
236
222
233
222
265
253
192
263
309
171
179
131
178
213
952
441
276
902
507
905
964
954
983
1,129
1,303
534
638
643
657
757
316
206
180
175
196
123
135
140
156
707
733
748
779
143
158
168
195
351
272
260
281
824
321
293
142
1,378
1,322
1,317
L ,415
339
3 230
3212
3
171
3211
146
153
152
168
787
821
853
881
210
231
251
260
100
62
1,504
L ,414
413
332
229
195
157
160
904
918
275
2 74
53
55
Profits
after
taxes
224
2?8
63
72
79
95
Dividends
173
176
170
160
166
165
49
50
53
60
399
111
3 112
3119
67
71
118
117
75
77
3
63
75
r
1
Revised.
Certain Federal income tax accri als for the first six months of 1950, required by increases in normal and surtax rates and charged by many
companies against third quarter profits, have been redistributed to the first and second quarters. Available information does not permit a similar
redistribution
of accruals charged against fourth quarter profits to cover 1950 liability for excess profits taxes.
2
New series.
3
As reported.
NOTE.—Manufacturing corporations. Data are from published company reports, except sales for period beginning 1946, which are from
reports of the Securities and Exchange Commission. For certain items, data for years 1939-44 are partly estimated. Assets are total assets
as of the end of 1946.
Railroads. Figures are for Class I line-haul railroads (which account for 95 per cent of all railroad operations) and are obtained from reports
of the Interstate Commerce Commission.
Electric power. Figures are for Class A and B electric utilities (which account for about 95 per cent of all electric power operations) and are
obtained from reports of the Federal Power Commission, except that quarterly figures on operating revenue and profits before taxes are partly
estimated by the Federal Reserve, to include affiliated nonelectric operations.
Telephone. New series. Figures are for 21 large companies (which account for over 85 per cent of all telephone operations) and include
principally the telephone subsidiaries of the Bell System. Data are obtained from the Federal Communications Commission, except for dividends,
which are from published company reports.
All series. Profits before taxes reter to income after all charges and before Federal income taxes and dividends. For description of series
and back figures, see pp. 662-666 of the BULLETIN for June 1949 (manufacturing); pp. 215-217 of the BULLETIN for March 1942 (public utilities);
and p. 908 of the BULLETIN for September 1944 (electric power).
SEPTEMBER
1951
1167
SALES, PROFITS, AND DIVIDENDS OF LARGE MANUFACTURING CORPORATIONS, BY INDUSTRY
[In millions of dollars]
Annual
Quarterly
Industry
1949
1948
1951
1950
1950
1949
2
3
3 l
1i
4
4l
2
1
Nondurable goods industries
Total (94 corps.):2
Sales
13,364 1? 790 14 ,710 3,051 3,163 3 ,333 3 251 3 4S3 3, 030 4 066
701
397
446
S03
581
2,208 1 843
504
78?
833
292
1,474 1 ,211 1 S10
256
34?
3S3
307
468
38?
166
147
249
656
887
166
175
213
333
708
Dividends
Selected industries:
Foods and kindred products (28 corps.):
Sales
Profits before taxes . .
Profits after taxes
Dividends
Chemicals and allied products (26 corps.):
Sales
Profits before taxes
Profits after taxes
Dividends
Petroleum refining (14 corps.):
Sales
Profits before taxes
3,447
410
257
135
3 254
3 416
377
233
134
463
253
141
792
89
54
31
822
101
63
29
83S
102
64
44
757
83
47
31
3,563
3 562
673
655
408
254
3,945
721
548
172
811
100
58
33
0S7
157
88
34
rA
3?3
'8S0
'376
198
4 ?60
8??
.375
201
89? '1 000
124 120
'58
59
31
44
878
94
47
33
4 4S6
1 114
860
896
010
140
174
189
403
311
560
438
83
66
105
68
115
113
952 1 049 1 ,10? 1 ,?63 1 34S 1 381
368
3S1
311
'366
205
747
139
117
141
176
127 '140
70
83
11?
174
85
72
3 865
525
406
172
4 ,?34
6S?
443
70S
934
119
92
47
942
114
86
31
096
131
100
63
960
121
87
42
080 1 113
133
188
OS
131
4?
44
1 ,17? 1 904
700
'717
704
703
130
77
55
57
Durable goods industries
Total (106 corps.):*
Sales
Profits before taxes
23,591 73 914 70 740 6,320 6,257 5 717 6,004 7 106 7 8S1 8 188 8 37S 8 ,779
799
866
607
3,107 3 ,19? S 191
896 1 740 1 403 1 6S? '1 380 1 ,400
S47
470
508
4?4
494
603
777
1,836 1 888
,540
S76
760
1
773
,350
188
184
380
370
746
718
S41
949
Dividends
Selected industries:
Primary metals and products (39 corps.):
Sales
Profits before taxes
Profits after taxes
Machinery (27 corps.):
Sales
Profits before taxes
Dividends
Automobiles and equipment (15 corps.):
Sales
Profits before taxes
197
993
578
285
853
377
4,554
569
334
4 37?
s ,08?
126
136
?06
8,093
1,131
0 577
1 ,473
861
451
639
282
Dividends
10 ,321 2,175
1 ,698
252
9,066
1,174
720
270
846
422
520
321
144
64
2,050 1 .54? 2,200
228
130
61
160
100
80
299
S?8
400
67?
4SS
167
66
225
73
255
80
3 044
S44
206
1S7
'S7S
201
88
3
554
211
8S
1,110 1,055 1 ,101 1,106 1 ,700 1 ?77 1 408 '1 487 1 ,571
236
120
119
194
148
145
168
339 '249
9?
01
03
108
140
81
rQ4
77
75
32
31
11 ,805 2,601
9 ,306
376
1 ,080
218
76
671
2,707
462
267
80
41
49
83
47
46
,07S 3 3SS 3 10? 3 768 3 331
506
508
6S6
6S6
'514
,118 2,283
337
700
216
38
37
398
215
90
330
91
3S8
232
186
258
196
122
704
119
'1 Revised.
Certain Federal income tax accruals for the first six months of 1950, required by increases in normal and surtax rates and charged by many
companies against third quarter profits, have been redistributed to the first and second quarters. Available information does not permit a similar redistribution
of accruals charged against fourth quarter profits to cover 1950 liability for excess profits taxes.
2
Total includes 26 companies in nondurable goods groups not shown separately, as follows: textile mill products (10); paper and allied products
(15); 8 and miscellaneous (1).
Total includes 25 companies in durable goods groups not shown separately, as follows: building materials (12); transportation equipment
other than automobile (6); and miscellaneous (7).
CORPORATE PROFITS, TAXES AND DIVIDENDS
(Estimates of the Department of Commerce. Quarterly data at seasonally adjusted annual rates)
[In billions of dollars]
Profits
before
taxes
Year
1939
1940
1941
1942
1943
1944
1945
1946
1947
1948
1949
1950
6.5
9.3
. ..
. ...
17.2
21.1
25.1
24.3
19.7
23.5
30.5
33.8
28.3
41.4
Income
taxes
1.5
2.9
7.8
11.7
14.4
13.5
11.2
9.6
11.9
13.0
11.0
18.6
Profits
after
taxes
Cash
dividends
5.0
6.4
9.4
3.8
4.0
4.5
9.4
10.6
10.8
8.5
13.9
18.5
20.7
17.3
22.8
4.3
4.5
4.7
4.7
5.8
6.6
7.3
7.6
9.2
Undistributed
profits
1.2
2.4
4.9
5.1
6.2
6.1
3.8
8.1
12.0
13.6
9.8
13.6
Undistributed
profits
Profits
before
taxes
Income
taxes
Profits
after
taxes
Cash
dividends
1949—2
3
4
26.7
28.0
27.0
10.3
10.9
10.5
16.4
17.1
16.5
7.5
7.4
8.0
8.9
9.7
8.5
2
31.9
37.5
45.7
50.3
14.4
16.9
20.5
22.5
17.5
20.6
25.2
27.8
7.8
8.4
9.4
11.1
9.7
12.2
15.8
16.7
51.8
48.5
28.5
26.5
23.3
22.0
8.8
9.5
14.5
12.5
Quarter
4
1951—1
21
1
Figures, except for cash dividends, are estimates of Council of Economic Advisers, based on preliminary data.
Source.—Same as for national income series.
1168
FEDERAL RESERVE
BULLETIN
UNITED STATES GOVERNMENT DEBT—VOLUME AND KINDS OF SECURITIES
[On basis of daily statements of United States Treasury. In millions of dollars]
Marketable public issues J
End of month
Total
gross 1
debt
1944—June
Dec.
1945—June
Dec
1946—June....
Dec
1947—June
Dec.
1948—June
Dec
1949—June
Dec......
1950—June
1950—Aug
Sept
Oct
Nov
Dec
1951—Jan
Feb
Mar
Apr
May
June....
July....
Aug
202,626
232,144
259,115
278,682
269,898
259,487
258,376
256,981
252.366
252,854
252,798
257,160
257,377
257.891
257 236
256.959
257,100
256,731
256,143
255,958
255,018
254,748
255,122
255,251
255,685
256,677
Total
gross
direct
debt
Total«
201,003
230,630
258,682
278,115
269,422
259,149
258,286
256,900
252,292
252,800
252,770
257,130
257.357
257,874
257,216
256,937
257,077
256,708
256,125
255,941
254,997
254,727
255,093
255,222
255,657
256,644
140,401 14,734
161,648 16,428
181,319 17,041
198,778 17,037
189,606 17,039
176,613 17,033
168,702 15,775
165,758 15,136
160,346 13,757
157,482 12,224
155,147 11,536
155,123 12,319
155,310 13,533
155,162 13,637
153,774 13,637
152,779 13,629
152,758 13,608
152,450 13,627
151,620 13,629
151,625 13,632
151,623 13,630
138,075 13,627
138,041 13,614
137,917 13,614
139,279 14,413
139,741 15,012
Nonmarketable public issues
CertifiTreasury cates of Treasury Treasury Total a
indebtnotes
bonds
bills
edness
28,822
30,401
34,136
38,155
34,804
29,987
25,296
21,220
22,588
26,525
29,427
29,636
18,418
12,817
11,620
5,373
5,373
5,373
9,509
9,524
14,740
17,405
23,039
23,497
22,967
18,261
10,090
8,142
11,375
11,375
7,131
3,596
8.249
20,404
25,755
31,688
36,948
36,948
39,258
43,800
43,802
43,802
43,802
43,802
35,806
36,360
31,010
79,244
91,585
106,448
120,423
119,323
119,323
119,323
117,863
112,462
111,440
110,426
104,758
102,795
102,795
96,670
96,670
96,670
94,035
94,035
94,035
94,035
80,490
80,469
78,832
78,830
78,827
44,855
50,917
56,226
56,915
56,173
56,451
59,045
59,492
59,506
61,383
62,839
66.000
67,544
67,897
67,798
68,413
68,398
68,125
68,092
67,824
67,405
80,615
80,639
80,281
79,339
79,434
Treasury Special
U. S. Treasury
and bonds—
issues
savings tax
investbonds savings
ment
notes
series
34,606
40,361
45,586
48,183
49,035
49,776
51,367
52,053
53,274
55,051
56,260
56,707
57,536
57,470
57,396
57,954
58,027
58,019
58,017
57,769
57,764
57,652
57,607
57,572
57,538
57,509
9,557
9,843
10,136
8,235
6,711
5,725
5,560
5,384
4,394
4,572
4,860
7,610
8,472
8,912
8,895
8,999
8,907
8,640
8,748
8,730
8,296
8,109
8,158
7,818
7,926
8,041
970
959
955
954
954
954
953
953
953
953
953
953
953
953
14,498
14,518
14,526
13,524
13,522
Noninterestbearing
debt
1,460
1,739
2,326
2,421
1,311
1,500
3,173
2,695
2,229
2,220
2,009
2,111
2,148
2,110
2,247
2,206
2,189
2,425
2,421
2,559
2,444
2,447
2,364
2,370
2,332
2,323
14,287
16,326
18,812
20,000
22,332
24,585
27,366
28,955
30,211
31,714
32,776
33,896
32,356
32,705
33,396
33,539
33,732
33,707
33,992
33,933
33,525
33,590
34,049
34,653
34,707
35,146
1
2
3
Includes fully guaranteed securities, not shown separately.
Includes amounts held by Government agencies and trust funds, which aggregated 3,307 million dollars on July 31, 1951.
Total marketable public issues includes Postal Savings and prewar bonds, and total nonmarketable public issues includes adjusted service
bonds, depositary bonds, and Armed Forces Leave bonds, not shown separately.
Back figures.—See Banking and Monetary Statistics, Tables, 146-148, pp. 509-512.
UNITED STATES SAVINGS BONDS
[In millions of dollars]
UNITED STATES GOVERNMENT MARKETABLE PUBLIC
SECURITIES OUTSTANDING AUGUST 31, 1951
[On basis of daily statements of United States Treasury.
of dollars]
In millions
Month
Issue and coupon rate
Treasury
Sept. 6,
Sept. 13,
Sept. 20,
Sept. 27,
Oct. 4,
Oct. 11,
Oct. 18,
Oct. 25,
Nov. 1,
Nov. 8,
Nov. 15,
Nov. 23,
Nov. 29,
Amount
Issue and coupon rate
Treasury bonds—Cont.
bills *
1951
1951
1951
1951
1951
1951
1951
1951
1951
1951
1951
1951
1951
1,101
1,001
1,001
1,000
1,201
1,202
1,202
1,201
1,301
1,300
1,300
1,101
1,101
June
June
June
Dec.
June
June
Mar.
Mar.
Sept.
Sept.
June
June
Dec.
Dec.
June
Dec.
June
Dec.
Mar.
Mar.
June
Sept.
Dec.
15, 1952-54
2
15, 1952-55...
2VA
6
15, 1952-55
2
15, 1952-54
2
15, 1953-5522
2
15, 1954-56 . .2VA
2
15, 1955-60 . .2%
15, 1956-58... 2 H
15, 1956-592. .2%
15, 1956-59... 2 14
15, 1958-6372. .2%
15, 1959-62 . . 2 V£
15, 1959-627. . 2 ^
15, 1960-652. . 2 «|
15, 1962-677. .2)4
15, 1963-687. .2)4
15, 1964-697. .2%
15, 1964-697. .2)4
15, 1965-70?. . 2 ^
15, 1966-71 7 . .2)4
15, 1967-727. .2)4
15, 1967-72. ..2)4
15, 1967-727. 2 ^
Certificates
Apr. 1, 1952
July 1, 1952
\%
1%
9,524
5,216
Treasury
Oct. 1,
Oct. 15,
Nov. 1,
Mar. 15,
Mar. 15,
Dec. 15,
Apr. 1,
IK
1J4
1M
\%
W2
\%
\y2
1,918
5,941 Postal Savings
5,253
bonds
2)4
4,675
5,365
6,854
1,004 Panama Canal Loan. 3
notes
1951
1951
1951
1954
1955
1955
1956
Total direct issues
Treasury
Sept. 15,
Dec. 15,
Mar. 15,
Mar. 15,
Amount
bonds
1951-55 2 . 33
1951-532. *2U
1952-54. .2\i
1952-536. .2
755
1,118 Guaranteed securities
1,024
Federal Housing Admin.
7,986
Various
5,825
1,501
510
8,662
725
681
2,611
1,449
982
3,823
919
5,284
3,469
1,485
2.118
2,831
3,761
3,837
5,197
3,480
2,002
2,716
4,076
1951
34,606 15,498
45,586 14,891
49,035 9,612
51,367 7,208
53,274 6,235
56,260 7,141
57,536 5,673
57,572 5,143
11,820
11,553
6,739
4,287
4,026
4,278
3,993
3,272
802
679
407
360
301
473
231
347
2,876
2,658
2,465
2,561
1,907
2,390
1,449
1,523
2,371
4,298
6,717
5,545
5,113
5,067
5,422
6,137
1950—Aug.... 57,470
S e p t . . . 57,396
O c t . . . . 57,954
Nov.... 58,027
D e c . . . . 58,019
350
310
971
436
541
270
244
271
246
284
11
8
145
37
61
70
58
555
537
475
496
1951—Jan
Feb.. ..
Mar...
Apr.. . .
May...
June.. .
July...
Aug... .
475
386
359
310
296
290
311
314
343
272
280
254
247
244
258
267
18
17
12
9
8
8
8
8
115
97
67
47
41
38
45
38
653
528
560
472
478
476
482
437
58,017
57,769
57,764
57,652
57,607
57,572
57,538
57,509
448
509
153
197
Maturities and amounts outstanding August 31, 1951
102
50
139,741
31
1
Sold on discount basis. See table on Open-Market Money Rates,
p. 21164.
Partially tax exempt.
3
Called for redemption on Sept. 15, 1951.
* Called for redemption on Dec. 15, 1951.
6 Maturity Sept. 15, 1953.
• Maturity Dec. 15, 1955.
7 Restricted.
SEPTEMBER
Fiscal year
ending:
June—1944..
1945..
1946..
1947..
1948..
1949..
1950..
1951..
RedempAmount Funds received from sales during tions
and
outperiod
maturities
standing
at end of
All
All
Series Series Series
month series
E
series
F
G
Year of
maturity
1951.
1952
1953
1954.
1955
1956
1957.
1958.
1959
I960
1961.
1962
1963
Unclassified
Total
All
series
Series
E
977
3 787
6,397
8,133
6,938
5,145
4,925
5,048
4,879
5,407
3,167
2,223
536
-54
977
3 787
5,208
5,769
4,503
2,307
2,405
2,634
2,738
2,638
1,652
57,509
34,619
Series
F
Series
G
380
82
997
1,882
1,931
2,251
2,052
2,167
1,878
2,324
1,307
1,843
454
3,858
19,086
193
481
504
587
467
247
264
446
208
1169
OWNERSHIP OF UNITED STATES GOVERNMENT SECURITIES, DIRECT AND FULLY
[Par value in millions of dollars]
Total
Held by
gross
U. S. Government
debt
agencies and1
(includtrust funds
End of month ing
guaranteed
securiSpecial Public
ties)
issues
issues
GUARANTEED
Held by the public
Total
Insur-
Federal
Reserve
Banks
Commercial2
banks
Mutual
savings
banks
panies
Other
corporations
State
and
Individuals
Miscel-
local
governments
Savings Other
bonds securities
inves-3
tors
7,500
7,600
8,700
11,700
14,800
18,300
'19,800
'20,700
'19,300
'18,400
'17,800
'18,100
'17,200
'17,700
'17,500
1,100
3,400
6,400
8,900
8,800
9,800
8,600
9,100
9,300
10,000
9,800
10,200
10,700
'16,800
'16,800
16,800
10,600
11,000
10,900
1940—June
1941—June
1942—June
1943—June
1944—June
1945—June
1946—June
1947—June
Dec
1948—June
Dec
1949—June
Dec
1950—June
Dec
48,496
4,775
55,332
6,120
76,991
7,885
140,796 10,871
202,626 14,287
259,115 18,812
269,898 22,332
258,376 27,366
256,981 28,955
252,366 30,211
252,854 31,714
252,798 32,776
257,160 33,896
257,377 32,356
256,731 33,707
2,305
2,375
2,737
3,451
4,810
6,128
6,798
5,445
5,404
5,549
5,614
5,512
5,464
5,474
5,490
41,416
2,466
46,837
2,184
66,369
2,645
126,474
7,202
183,529 14,901
234,175 21,792
240,768 23,783
225,565 21,872
222,622 22,559
216,606 21,366
215,526 23,333
214,510 19,343
217,800 18,885
219,547 18,331
217,533 20,778
16,100
19,700
26,000
52,200
68,400
84,200
84,400
70,000
68,700
64,600
62,500
63,000
66,800
65,600
61,800
3,100
3,400
3,900
5,300
7,300
9,600
11,500
12,100
12,000
12,000
11,500
11,600
11,400
11,600
10,900
6,500
7,100
9,200
13,100
17,300
22,700
'24,900
r24,600
'23,900
'22,800
'21,200
'20,500
'20,100
'19,800
'18,600
2,100
2,000
4,900
12,900
20,000
22,900
17,700
13,900
14,100
13,500
14,300
15,100
16,300
18,300
19,900
1,500
3,200
5,300
6,500
7,100
7,300
7,800
7,900
8,000
8,000
8,200
7,800
2,600
3,600
9,100
19,200
31,200
40,700
43,500
45,500
46,200
47,100
47,800
48,800
49,300
49,900
49,600
1951—Apr
May
June
254,748 33,590
255,122 34,049
255,251 34,653
6,274
6,281
6,305
214,884
214,792
214,293
58,500
57,900
58,500
10,400
10,300
10,200
'17,400
'17,300
17,000
'21,200
21,800
20,900
7,900
8,000
8,000
49,200
49,100
49,000
22,742
22,509
22,982
400
600
900
700
700
r
Revised.
1
Includes the Postal Savings System.
2
Includes holdings by banks in territories
3
and insular possessions, which amounted to 300 million dollars on Dec. 31, 1950.
Includes savings and loan associations, dealers and brokers, foreign accounts, corporate pension funds, and nonprofit institutions.
NOTE.—Holdings of Federal Reserve Banks and U. S. Government agencies and trust funds are reported figures; holdings of other investor
groups are estimated by the Treasury Department.
SUMMARY DATA FROM TREASURY SURVEY OF OWNERSHIP OF SECURITIES ISSUED OR GUARANTEED
BY THE UNITED STATES *
[Interest-bearing public marketable securities. In millions of dollars]
End of month
Total
outstanding
U. S.
Govt.
agencies
and
trust
funds
Fed- Com- Mu- Insureral
tual
mer- savance
Recial 1 ings com- Other
serve banks
panies
Banks
banks
Type of
security:
Total: 2
1948—Dec
1949—June....
Dec
1950—June....
Dec
1951—May....
June. . . .
Treasury bills:
1948—Dec
1949—June....
Dec
1950—Tune....
Dec
1951—May....
June....
Certificates:
1948—Dec
1949—June....
Dec
1950—June....
Dec
1951—May
June....
Treasury notes:
1948—Dec
1949—June....
Dec
1950—June....
Dec
1951—May....
June....
Treasury bonds:
1948—Dec
1949—June...-.
Dec
1950—June....
Dec
1951—May....
June
157,496
155,160
155,138
155,325
152,471
138,068
137,944
5,477
5,374
5,327
5,350
5,365
3,249
3,272
55,353
56,237
59,856
58,972
54,893
50,971
51,515
10,877
11,029
10,772
10,877
10,144
8,332
8,254
19,819
19,090
18,535
18,132
16,862
12,361
12,077
12,224
11,536
12,319
13,533
13,627
13,614
13,614
69 5,487 2,794
63 4,346 2,817
11 4,829 3,514
3 3,856 3,703
35 1,296 3,888
50
13
15
35
33
84
60
70
90
474
26,525
29,427
29,636
18,418
5,373
24
26
24
26
48
(3)
7
9,509 " " 1 7
7,131
3,596
8,249
20,404
39,258
43,802
35,806
111,440
110,426
104,758
102,795
94,035
w80,469
78,832
23,333
19,343
18,885
18,331
20,778
19,796
20,268
655
527
6.078
6,857
6,275
5,357
2,334
2,981
3,750
127
122
9,072
9,561
11,520
5,354
1,544
256
207
169
64
7
3,194 '2\ 753 " " 3 7
7
791 3,099
47
359 1,801
15
562 5,569
29 3,500 11,204
10 12,527 15,833
84
41
107
154
136
17 15,051 15,547
14 12,439 13,704
158
120
5,340
5,201
5,217
5,273
5,283
3,171
3,178
10,977
7,780
7,218
5,618
4,620
4,090
4,108
40,371
42,042
39,235
38,691
33,607
32,424
31,286
42,637
44,087
41,763
43,663
44,429
43,359
42,558
End of month
Treasury bonds
and notes, due
or callable:
Within 1 year:
1948—Dec
1949—June....
Dec
1950—June....
Dec
1951—May....
June
3,740
4,237 1-5 years:
3,880
1948—Dec
5,846
1949—June....
7,901
Dec
1950—June....
904 8,923
Dec
829 8,360
1951—May....
672 10,423
June....
602 12,174
633 10,991
382 7,254 5—10 years:
1948—Dec
53 1,435
1949—June....
Dec
'287 Y,221
1950—June'.'.'.'.
Dec
166 2,984
104 1,244
1951—May....
244 1,752
June....
403 5,114
707 10,045 After 10 years:
1948—Dec
891 12,138
1949—June....
687 8,842
Dec
1950—June....
18,891 25,375
Dec
18,315 26,320
17,579 25,029
1951—May....
17,249 25,340
June....
15,617 24,941
10,486
10,768
10,480
10,624
9,967
8,043 10,557 22,184
7,973 10,264 22,023
Total
outstanding
IT. S.
Govt. Fed- Com- Mu- Insurtual
agen- eral
ance
mer- savcies
Recial 1 ings com- Other
and serve banks
panies
banks
trust Banks
funds
10,216
11,226
14,319
10,387
38,905
861
98
982
49
36
878
70
505
9 12,373
5,571
7,021
9,014
7,001
14,645
232
236
238
151
230
39,929
37,631
33 12,403 13,145
49 10,241 15,083
327
467
44,053
39,175
35,067
51,802
33,378
226 3,258 28,045
212 2,121 26,304
186 1,922 24,907
38,347
31,022
329
385
468
360
926
1,019 13,002
1,044 10,747
1,769
1,279
1,121
327 5,116 33,127 1,058
568
189 1,285 24,534
428
173 4.437 25,816
227
139 3,878 20,853
2,501
2,124
1,641
1,731
1,142
6,314
6,587
6,995
5! 675
982 7,329
997
1,732
2,230
2,055
1,948
520
2,002
2 ,640
2,439
2,125
3,125
2,553
3,685
2,300
10,722
8,254
7,135
5,290
10,443
5,660
1,103 6,390
756 5,169
1,885
3,630
4,716
4,186
4,615
10,464
15,067
18,537
15^26
17,411
314
532
568
423
412
434
584
1,388
l!l48
15,962
15,962
391
376
1,032 6,238 2,021 1,858 4,422
1,032 6,273 2,009 1,858 4,414
53,838
48,554
45,084
45,084
43,599
4,710
4,455
4,441
4,482
4,682
7,215
4.452
3,593
2,349
2,508
3,541
3,933
3,887
4,092
2,932
8,048
7,293
6,588
7,130
7,180
15,230
14,179
13,485
13,507
12,308
15,094
14,242
13,090
13,524
13,989
30,032 2,591 1,269 2,772 5,425 7,468 10,507
30,023 2,629 1,397 2,781 5,389 7,293 10,534
* Figures include only holdings by institutions or agencies from which reports are received. Data for commercial banks, mutual savings
banks, insurance companies, and the residual "other" are not entirely comparable from month to month. Figures in column headed "other"
include holdings by nonreporting banks and insurance companies as well as by other investors. Estimates of total holdings (including relatively
small1 amounts of nonmarketable issues) by all banks and all insurance companies for certain dates are shown in the table above.
Includes stock savings banks.
2
Includes Postal Savings and prewar bonds and a small amount of guaranteed securities, not shown separately below.
3
Less than $500,000.
1170
FEDERAL RESERVE BULLETIN
SUMMARY OF TREASURY RECEIPTS, EXPENDITURES, AND RELATED ITEMS
[In millions of dollars]
On bavsis of dail}* statements of United States Treasury
Increase ( + ) or
decrease ( - )
during period
Budget
Budget surplus
expendi- deficit
tures
Net
receipts
year or
Fiscal year:
1949
1950
1951
1950—Aug ..
Sept..
Oct.. .
Nov. .
Dec.
1951—Jan.. .
Feb...
Mar..
Apr.. .
May..
June..
July..
Aug. .
38,246
37,045
48,143
2,860
4,605
2,056
2,851
4,211
4,448
4,257
8,112
2,626
3,146
7,089
2,571
3,594
40,057
40,167
44,633
2,515
3,520
3,170
«3,102
3,742
3,808
3,211
4,058
4,007
4,517
5,969
4,739
5,087
Trust Clearacing
accounts,
etc.1 count 1
— 1,811 —495
+99
-3,122
+3,510
+679
+ 147
+344
+1,084
-27
-1,114
-17
* - 2 5 2 4+169
+470
+45
-83
+640
+ 1,047
+227
-34
+4,054
-69
-1,381
-1,370
+ 136
+ 1,119 +284
-2,168
+ 11
-1,493
+83
Assets
Balance
in
general
fund
General
fund
balance
Gross
debt
+366
+478
+483 +4,587
-214 -2,135
-140
.^333
-80
-658
+49
-279
-63
+140
-52
-369
-583
+247
-161
-184
-944
+111
-270
+106
-304
+366
+43
+ 129
-14
+435
-103
+988
DETAILS OF
-1,462
+2,047
+1,839
+685
+319
-1,359
-6
+93
+221
+929
+3,187
-1,614
-1,173
+ 1,574
-1,737
-525
Deposits in
Fed- Speeral
cial
Reserve 2 depositaries
banks
Total
3,470
5,517
7,357
5,185
5,505
4,145
4,139
4,232
4,454
5,382
8,569
6,955
5,782
7,357
5,620
5,095
438
950
338
733
3,862
5.927
7,871
5,501
5,932
4,537
4,586
4,724
4,865
5,806
8,991
7,360
6,376
7,871
6,032
5,431
569
714
690
807
465
1,120
611
666
338
584
459
Fiscal year:
1949
1950
1951
1950—Aug
Sept
Oct
Nov....
Dec
1951—Jan
Feb
Mar....
Apr.. . .
May. . .
Tune. . .
July. . .
Aug
514
1,620
591
320
988 2,175
«680 2,709
2,044 1,281
1,273 6,152
578 1,688
482
2,038
1,123 5,065
726
P2.131
983
404
392
410
514
316
428
392
446
492
412
423
422
405
594
514
412
336
1.653
1,709
1,853
1,654
1,751
1,651
1,640
1,690
1,941
1,726
1,971
1,719
1,681
1,853
1,754
1,727
Excess
income
( + ) or
outgo
41 6 2 8 ^ 57*
40 970 43 155
S3 43945 804
3,524 3,009
4,865 3,199
2,426 3,335
3,487 3,415
4,488 4,004
4,696 3,438
4,877 3,522
8,489 4,219
2,960 4,144
4,148 5,154
7,367 5,223
2,854 4,843
8,348 2,487 2,456 42,774
8,303 2,892 1,853 41,311
9,423 3,940 2,253 53,369
340
948
181 3,238
775
315
117 4,842
808
186
202 2,300
746
310
187 3,184
764
377
169 4,474
230 4,621
853
6 149
797
527
171 4,820
395
152 8,811
838
690
157
177 3,289
747
555
217 4,039
719
425
270 7,603
722
177
225 2,833
806
228 4,165
+ 1 051
—2 185
+7 635
+514
+1,666
-909
+72
+485
+1,259
+1,356
+4,270
-1,184
-1,006
+2,144
-1,989
TREASURY RECEIPTS
On basis of reports by collectors of interna revenue
Withheld
IndiCorporaindividual vidual
Social
Net ncome
tion inand income come
Refunds Security reand
old-age
of
employ- ceipts insurance
tax not
profits
taxes
ment5
7
withheld
taxes
taxes
taxes
Miscella- Social Other Total
neous Securererity ceipts
Other internal taxes
ceipts
revenue
9,842 19,641
10,073 18,189
13,535 24,218
345
1,423
819 2,816
Cash
inCash
come outgo
Deduct
Income taxes
Withheld
by employers
Total
liaOther biliassets ties
1,771
3,268
5,680
3,115
3,065
2,317
2,232
2,344
2,117
3,614
5,900
5,030
4,029
5,680
3,694
3,244
1,116
On bas is of daiJj.7 statements of United States Treasury
Fiscal year
or month
Cash operating
income and outgo *
General fund of the Treasurv end of period)
2,838
2,160
2,107
62
52
62
45
23
42
189
459
513
359
234
88
55
1,690 38,246
2,106 37,045
3,120 48,143
316 2,860
185 4,605
181 2,056
288 2,851
239 4,211
131 4,448
374 4,257
239 8,112
150 2,626
534 3,146
280 7,089
175 2,571
516 3,594
11,743
11,762
15,901
2,323
7,996
7,264
9,908
98
212
103
974
1,012
1,823
3,105
2,527
1,028
2,093
4,316
1,195
3,908
256
297
151
499
244
321
1,158
7,585
7,599
8,704
1,907
989
194
3,509
797
706
730
67
50
51
47
44
80
54
129
59
58
47
56
403
213
2,336
409
935
Excise
and
other
miscellaneous
taxes
11,554
10,854
14,388
183
103
257
267
829
Estate
and
gift
taxes
596
894
697
763
712
679
820
730
682
635
713
660
709
DETAILS OF BUDGET EXPENDITURES AND TRUST ACCOUNTS
On basis of daily statements of United States Treasury
Budget expenditures
Fiscal year
or month
Total
Fiscal year:
1949
1950
1951
1950—Aug
Sept
Oct
Nov
Dec
1951—Jan.
Feb
Mar
Apr.
May
June
July
Aug
Trust accounts, etc.
Social Security
accounts
40,057
40,167
44,633
2,515
3,520
3,170
4
3,102
3,742
3,808
3,211
4,058
4,007
4,517
5,969
4,739
5,087
Inter- VetAid Transnafers
erans'
to
Inter- tional
to
National est
Adagrion
trust Other Redefense debt finance minis- culand tration ture
acceipts
aid
counts
12,158
12,378
19,958
1,149
1,037
1,338
1,446
1,510
1,651
1,695
2,057
2,160
2,396
2,495
P2,930
P3,030
5,339
5,750
5,613
134
646
229
142
968
514
156
580
253
163
1,557
232
222
Other
InExvest- pendi- Rements tures ceipts
InExvest- pendiments tures
916 6,181 3,722 1 ,479 2,252 1,992
832 1,646
6,016 6,791 2,656
4,657 6,044 2,984 1 ,383 6,970 4 ,293 1 ,028 3,114 2,376 -1.430 3,857
636
972 7,786 5,631 2,685 2,790 2,165
872
771
4,431 5,238
277
630
-60
464 - 1 1 3
186
254
28
598
96
176
299
400 - 2 2 0
646
712
544
424
164
413
357
40
-9
360
457
-45
84
747
300
157
214
192
146
4
1
5
321
465
96
624
549
219
132
101
9
'207
252
437
23
546
288
7
241
91
33
53
6
414
233
157
194
462
115
658
278
334
73
-50
328
346
392
487
785
P318
P372
417
454
427
424
383
433
419
(8)
68
104
91
92
40
?103
9
2
82
1
(8)
67
P34
606
552
589
955
655
P717
P9O7
582
280
283
928
570
293
919
194
101
83
510
346
128
526
258
259
255
266
261
264
291
125
150
184
127
433
117
160
15
27
24
-23
317
-22
-66
14
77
173
166
-205
28
245
x
P
Preliminary.
lixcess oi receipts (+) sor expenditures (—).
2
Excludes items in process of collection.
For description, see Treasury Bulletin for September 1947 and subsequent issues.
4
Beginning November 1950, net investments of wholly owned Government corporations in public debt securities are excluded from budget
expenditures
and
included
in
trust
account
investments.
5
These are appropriated directly to the Federal old-age and survivors insurance trust fund.
6
Beginning January 1951, Treasury reports combine income taxes withheld and employment taxes. Figures shown for withheld income taxes
exclude, and figures shown for7 social security taxes include, employment taxes as indicated by amounts appropriated to Federal old-age and survivors insurance trust fund.
Beginning January 1951,
old-age insurance employment taxes are not reported separately. Figures for prior periods
8
have been combined for purpose of comparison.
Less than $500,000.
SEPTEMBER
1951
1171
GOVERNMENT CORPORATIONS AND CREDIT AGENCIES
[Based on compilation by United States Treasury Department.
In millions of dollars]
PRINCIPAL ASSETS AND LIABILITIES
Liabilities, other than
interagency items
Assets, other than interagency items 1
Corporation or agency
Cash
Total
All agencies:
June 30,
Sept. 30,
Dec. 31,
Mar. 31,
1950
1950
1950
1951
24,118
24,102
24,635
25,104
Classification by agency,
Mar. 31, 1951
Department of Agriculture:
Farm Credit Administration:
Banks for cooperatives
Federal intermediate credit banks
Production credit corporations
Agricultural Marketing Act Revolving
Fund
Federal Farm Mortgage Corp
Rural Electrification Administration
Commodity Credit Corporation
Farmers' Home Administration 4
Federal Crop Insurance Corp
Housing and Home Finance Agency:
Home Loan Bank Board:
Federal home loan banks
Federal Savings and Loan Insurance Corp.
Home Owners' Loan Corp
Public Housing Administration 8
Federal Housing Administration
Office of the Administrator:
Federal National Mortgage Association..
Other
Reconstruction Finance Corporation:
Assets held for U. S. Treasury 8
Other 7
Export-Import Bank
Federal Deposit Insurance Corp
Tennessee Valley Authority
All other *
474
598
642
715
Bonds, notes,
U. S. Priand debenGov- vately
Land,
tures payable
ern- owned
struc- Other
ment
Other
tures,
interinterasliabiland
Fully
est
U. S.
est
ities
equip- sets guarGovt. Other
secument
anteed
Other
secu- rities 2
by
rities
U. S.
Investments
CommodiLoans ties,
supreceiv- plies,
and
able
materials
12,502
12,769
13,228
13,496
2,186
1,739
1,774
1,764
404
697
60
332
633
2
39
,664
,656
606
34
1
2
36
33 1,591
9
755 1,565
452
127
32
993
203
16
,733
374
752
406
21
,538
74
1,525
)
10
19
771
898
2,283
1,382
1,088
7,591
2,101
2,112
2,075
2,162
3,483
3,478
3,473
3,467
2,924
2,931
2,945
2,951
450
476
499
549
774 1,446 21,679
1,108
970 21,791
1,190 1,193 21,995
1,247 1,234 22 ,337
116
624
264
67
58
15
()
112
1,664
()
474 2,182
602
3
3
31
506
231
5
197
1
776
2,267
()
137
182
(I)
1,536
73
589
771
78
820
62 2,221
118 1,263
25 1,063
23 7,568
913
45
3,385
245
175
)
40
1,367
155
()
158 3,929
10
198
14
()
16 1,717
1,249
1
251
22
2
38
1
40
215
26
2
215
"(3)*
201
214
234
268
CLASSIFICATION OF LOANS BY PURPOSE AND AGENCY
Mar. 31, 1951
Purpose of loan
To aid acriculture
Fed.
Fed. inter- Banks
Farm medi- for coMort. ate operaCorp. credit tives
banks
42
633
334
FedRecon- ExNation- Public Fed. struc- portCom- Rural
Elec- Farmers'
al
Hous- home tion
modity trificaImHome Morting
Credit
loan
Fition
port
Adm. gage
Adm. banks nance Bank
Corp. Adm.
Assn.
Corp.
759
1,593
564
1,525
3
To aid industry:
Other
To aid financial institutions:
Banks
Other
Foreign loans
Other
Less: Reserve for losses
Total loans receivable (net)...
(?)
752
6
36
633
2
4
1
112
332
755
1,591
452
1,525
404
1
406
752
All
other
Dec. 31,
1950,
All
all
agen- agencies
cies
133
6 3,931
60 1,721
106
416
2
57
3,884
1,528
108
473
110
458
8
760
91 2,275
6,116
3,750
56
564
105
35
7
178
9
776 2,267 3,971 13,496
6,078
531
185
8
824
13,228
1
2
Assets are shown on a net basis, i. e., after reserve for losses.
Totals for each quarter include the United States' investment of 635 million dollars in stock of the International Bank for Reconstruction
and 3Development and its subscription
of 2,750 million to the International Monetary Fund.
Less than $500,000. 4 Includes assets and liabilities of the Regional Agricultural Credit Corporation, which have been reported as "Disaster
Loans,
etc., Revolving Fund," since the dissolution of that Corporation pursuant to Public Law 38, 81st Congress.
6
Includes Farm Security Administration program, Homes Conversion program, Public War Housing program, Veterans' Re-use Housing
program,
and Public Housing Administration activities under the United States Housing Act, as amended.
6
Assets representing unrecovered costs to the Corporation in its national defense, war, and reconversion activities, which are held for the
Treasury
for liquidation purposes in accordance with provisions of Public Law 860, 80th Congress.
7
Includes figures for Smaller War Plants Corp. which is being liquidated by the Reconstruction Finance Corp.
8
Figures for one small agency are as of Feb. 28, 1951.
NOTE.—Statement includes figures for certain business-type activities of the U. S. Government. Comparability of the.figures in recent
years has been affected by (1) the adoption of a new reporting form and the substitution of quarterly for monthly reports beginning Sept. 30,
1944, and (2) the exclusion of figures for the U. S. Maritime Commission beginning Mar* 31, 1948. For v back ; figures see earlier issues of the
BULLETIN and Banking and Monetary Statistics, Table 152, p. 517.
1172
FEDERAL RESERVE BULLETIN
BUSINESS INDEXES
[The terms "adjusted" and "unadjusted" refer to adjustment of monthlyfiguresfor seasonal variation]
Construction
contracts
awarded (value) 2
1923-25=100
Industrial production
(physical volume)* *
1935-39 = 100
Manufactures
Year or month
Total
Durable
Nondurable
Minerals
Total
Residential
Employment3
1939=100
Depart-
WholeConsale
sumers'
comprices 3 modity
rolls 3 1935-39 (val- 1935-39
1939 = = 100 ue) *4 = 100 prices
1926
100
1935-39
= 100
= 100
Fac- Freight ment
tory
store
pay- carloadsales
ings*
All
other
Nonagricul-
Factory
tural
Ad- Unad- AdAdAdAdAdAdAd- Unad- Unad- AdAdjusted justed justed justed justed justed justed justed justed justed justed justed justed
Adjusted
Unadjusted
Unadjusted
1919
1920
1921
1922
1923
1924
1925
72
75
58
73
88
82
90
84
93
53
81
103
95
107
62
60
57
67
72
69
76
71
83
66
71
98
89
92
63
63
56
79
84
94
122
44
30
44
68
81
95
124
79
90
65
88
86
94
120
88.6
89.4
79.7
84.4
92.9
91.7
94.1
103.7
104.1
79 7
88.2
100.9
93.7
97.0
103.9
124.2
80 2
86.0
109.1
101.8
107.3
120
129
110
121
142
139
146
83
99
92
93
104
104
109
123.8
143.3
127 7
119.7
121.9
122.2
125.4
138.6
154.4
97 6
96.7
100.6
98.1
103.5
1926
1927
1928
1929
1930
96
95
99
110
91
114
107
117
132
98
79
83
85
93
84
100
100
99
107
93
129
129
135
117
92
121
117
126
87
50
135 97.5
139 98.0
142 98.1
142 102.5
125 96.2
98.9
96.7
96.9
103.1
89.8
110 5
108.5
109.8
117.1
94.8
152
147
148
152
131
112
113
114
116
108
126 4
124.0
122.6
122.5
119.4
100 0
95.4
96.7
95.3
86.4
37
13
84
40
11
48
50
89
92
96
75
73
82
88
108.7
97 6
92 4
95.7
98.1
73.0
64 8
65 9
74.9
80.0
70 95.1
74 101.4
80 95 4
81 100 0
89 105.8
75.8 71.8
64 4 49 5
71.3 53 1
83.2 68.3
78.6
88.7
96.4 91.1
105.8 108.9
90.0 84.7
100 0 100 0
107.5 113 6
105
78
12
21
37
107
111
89
101
100
107
99
106
109
114
99.1
102.7
100.8
99 4
100 ?
80.8
86.3
78.6
77 1
78 6
132.8
156.9
183.3
178 3
157.0
164 9
241.5
331.1
343 7
293.5
130
138
137
140
135
133
150
168
187
207
105 2
116.6
123.7
125 7
128.6
87 3
98.8
103.1
104 0
105.8
147.8
156.2
155 2
141.6
149.7
271.7
326.9
351 4
325.3
371.8
132
143
138
116
128
264
286
302
286
304
139.5
159.6
171 9
170.2
171.9
121.1
152.1
165 1
155.0
161.5
75
58
67
41
79
70
80
67
69
54
76
75
87
65
83
79
81
90
80
86
63
28
25
32
37
1936
1937
1938
1939
1940
103
113
89
109
108
122
78
109
100
106
95
109
99
112
97
106
37
41
45
60
125
139
115
117
55
59
64
72
81
72
1941
1942
1943
1944
1945
162
201
125
199
239
235
203
279
360
353
274
142
158
176
171
166
129
132
140
137
122
89
166
68
41
68
82
40
16
26
235
92
61
102
119 4
131.1
138.8
137 0
132.3
1946
1947
1948
1949
1950
170
187
192
176
165
172
177
168
P200
192
220
225
202
P237
*>187
134
149
155
135
P148
153
157
190
211
295
143
142
162
192
305
161
169
214
226
287
136.7
143.2
145 9
142.0
145.7
166
173
179
178
169
174
178
199
175
181
203
172
177
177
176
119
112
141
132
246
263
265
262
254
269
256
255
240
259
273
268
142 0
139.1
140.1
141.2
141 1
136.3
136.3
139.3
143 7
138.8
137.8
140.4
335 1
320.9
313.9
329.3
105
92
117
115
289
277
278
295
170 7
169.7
169.8
168.8
153 "5
152.2
151.6
151.2
183
180
187
190
195
199
196
209
211
216
215
218
179
177
183
188
195
200
198
212
216
220
215
216
209
207
211
222
231
237
235
247
251
261
260
268
179
180
181
180
181
184
181
195
194
196
195
197
130
118
144
140
145
151
144
159
163
166
160
157
242
263
275
284
274
291
325
334
321
299
306
332
245
260
278
298
303
325
369
362
332
294
284
297
239
266
274
273
250
262
289
311
312
303
323
360
140.7
139.6
141.2
142.7
143 9
145.3
146.1
148.3
149.2
149 9
150.2
150.6
140.5
140.2
141.3
143.2
147 1
148.9
150.9
155.0
156.0
157 7
157.7
158.1
139.8
139.9
141.0
141.6
144 5
147.3
148.3
156.3
158.9
160 3
159.2
159.4
329.2
330.0
333.5
337.2
348 0
362.7
367.5
394.4
403.2
415 8
414.6
426.0
117
104
127
126
122
127
126
135
134
136
136
140
282
280
274
292
290
297
362
335
320
291
290
325
168.2
167.9
168.4
168.5
169 ^
170.2
172.0
173.4
174.6
175 6
176.4
178.8
151 .4
152.8
152.7
152.8
1 55 9
157.3
162.9
166.4
169.5
169 1
171.7
175.3
221
221
222
223
223
216
217
219
222
223
268
271
277
279
276
275
P263
«27O
201
201
199
198
198
164
158
158
164
165
333
323
304
373
361
312
311
292
283
276
350
334
314
446
430
289
298
158 9
161.0
161.0
160.0
158.7
159.4
P157.4
424 0
430.0
435.0
'433.2
r
428 8
435.7
*425.2
362
326
291
302
301
374
303
159 7
161.3
161.4
161.7
161 4
161.1
*>160.1
146
129
139
136
133
166
151.2
152.1
152.8
'153.2
153 6
443 153.9
306 P153.7
181 S 180 I
183.8 183.6
184.5 184.0
184.6 183.6
185 4 182 9
185.2 '181 8
185.5 179.5
1931
1932.
1933
1934
1935
. . .
. .
1949
September
October
November
December
1950
January
February
. ..
IVtarch.
April
May
June
July
August
September
October
November
December
1951
January
February
March
April
May
June
July
August
..
174
222
P213
*218
223
P214
•215
197
P190
P157
163
149
87.1
77 2
77 5
84.9
88.5
82
131
302
125
133
309
"316
e
r
*1 Average per working day.
Estimated.
P Preliminary.
Revised.
For indexes by groups or industries, see pp. 1174-1177. For points in total index, by major groups, see p. 1196.
2
Three-month moving average, based on F. W. Dodge Corporation data; for description of index, see BULLETIN for July 1931, p. 358. For
monthly
data (dollar value) by groups, see p. 1181.
3
The unadjusted indexes of employment and payrolls, wholesale commodity prices and consumers' prices are compiled by or based on data of
the Bureau of Labor Statistics. The consumers' price index is the adjusted series, reflecting: (1) beginning 1940, allowances for rents of new housing
units and (2) beginning January 1950, interim revision of series and weights. Nonagricultural employment covers employees only and excludes
personnel
in the armed forces.
4
For indexes by Federal Reserve districts and other department store data, see pp. 1183-1186.
Backfiguresin BULLETIN.—For industrial production, August 1940, pp. 825-882, September 1941, pp. 933-937, and October 1943, pp. 958-984;
for department store sales, June 1944, pp. 549-561.
SEPTEMBER
1951
1173
INDUSTRIAL PRODUCTION, BY INDUSTRIES
(Adjusted for Seasonal Variation)
[Index numbers of the Board of Governors.
1935-39 average =100]
1950
1951
Industry
July Aug. Sept. Oct.
Nov. Dec. Jan.
Industrial Production—Total
196
209
211
216
215
218
221
221
222
223
223
222
Manufactures— Total
206
218
220
225
224
229
231
232
234
234
233
232 P222
235
276
275 P263
Pig iron
Steel
Open hearth
Electric
. .
251
261
260
268
268
271
277
236
245
253
246
253
255
252
263
264
263
223
264
201
219
265
198
223
275
203
225
286
209
224
" 288
835
216
280
207
228
298
217
234
301
217
827
815
879
231
301
218
803
802
217
281
206
792
211
272
198
897
884
265
279
283
303
311
321
322
328
335
337
r
337
339 P327
272
287
284
291
278
292
285
304
314 '311
r
309
307 P283
262
273
265
271
249
260
246
262
265
r
248
239 P209
Transportation Equipment
Automobiles (including parts)
(Aircraft; Railroad 2Equipment; Shipbuilding — Private
and Government)
Nonferrous Metals and Products
Smelting and refining
(Copper smelting; Lead refining;
Zinc smelting;
Aluminum; Magnesium; Tin) 2
Fabricating
(Copper products; Lead shipments; Zinc shipments;
Aluminum products; Magnesium products; Tin
consumption) 2
.. .
Lumber
Furniture
Stone Clay, and Glass Products
Glass products
Glass containers
Cement
Clay products
Other stone and clay products ? .
. .
Nondurable Manufactures
Textiles and Products
Textile fabrics
,..
Cotton consumption
Rayon deliveries
Nylon and silk consumption 2
Wool textiles
Carpet wool consumption .
. .
Wool and worsted yarn
Woolen yarn
. . .
Worsted yarn
Woolen and worsted cloth . . .
. .
Leather and Products
Leather tanning
Cattle hide leathers
Calf and kio leathers
Goat and kid leathers
Sheep and lamb leathers
Shoes
Wheat flour
Cane sugar meltings2
Manufactured dairy products
Butter
Cheese
Canned and
dried milk
Ice cream 2
710
... .
744
212
891
T
r
261
253
235
230
293
215
296
213
850
202
212
216
223
226
227
224
217
209
210 '205
204 P202
208
212
209
217
221
218
219
222
225
225
221 P220
199
212
219
225
228
230
226
215
202
204
151
165
166
166
169
173
171
169
169
170
163
154 P141
140
174
151
192
150
196
150
198
155
197
162
195
162
190
156
193
156
195
162
185
158
173
147 131
166 P160
224
197
197
P195
212
212
215
229
227
235
236
237
243
247
235
238 P238
225
244
208
206
215
214
212
225
206
245
262
214
235
247
214
247
265
232
240
257
238
251
269
252
250 P259
269 285
235 226
167
169
168
175
173
191
270
292
243
242
257
231
161
243
261
245
184
186
186
189
189
181
195
194
196
195
197
201
201
199
198
198
197
165
189
191
197
193
194
194
194
188
185
190
185 P162
146
172
171
178
173
173
174
176
171
165
169
164
123
361
155
366
152
380
162
374
158
381
158
397
163
392
174
390
175
374
153
380
164
377
157
'•378
160
156
144
133
134
172
171
180
164
135
139
210
178
204
170
228
179
204
148
201
140
127
159
158
163
146
141
121
169
169
121
173
163
180
151
142
146
144
119
152
143
133
169
128
123
111
140
130
131 101
158 163
141
140
116 1 2 0
171
174
159 163
137
87
153
135
119
157
159
181
140
144
179
168
137
187
172
142
192
180
101
120
124
115
109
108
115
122
118
106
97
99
91
108
111
106
108
106
107
112
105
97
88
106
56
80
76
121
83
86
101
125
91
84
104
119
84
88
94
121
89
96
81
120
84
88
87
120
77
94
98
126
88
96
o?
119
80
93
83
110
78
87
69
104
56
80
55
117
140
143
122
180
172
123
380
128
133
121
110
109
121
128
127
112
103
89
110
51
73
50
106
167
168
167
162
161
165
168
166
167
168
166
165
P166
113
116
103
100
107
116
128
119
110
108
109
103
^109
152
85
178
167
150
80
169
169
148
78
161
158
145
75
158
150
143
72
164
142
141
70
167
131
142
73
170
131
142
71
169
135
146
72
176
152
147
74
177
156
148
72
174
164
150
75
183
168
P150
77
107
Manufactured Food Products
P213
247
. .
Lumber and Products
June July
. . . . . 228
Durable Manufactures
Iron and Steel1
Feb. Mar. Apr. M a y
180
169
r
p Preliminary.
Revised.
Methods used in compiling the iron and steel group index have been revised beginning October 1949. A description of the new methods
y 5be obtained from the Division of Research and Statistics.
Series included in total and group indexes but not available for publication separately.
1
1174
FEDERAL RESERVE BULLETIN
INDUSTRIAL PRODUCTION, BY INDUSTRIES—Continued
(Adjusted for Seasonal Variation)
[Index numbers of the Board of Governors.
1935-39 average = 100]
1951
1950
Industry
July
Aug. Sept. Oct.
Mar. Apr. M a y June July
Nov. Dec. Jan.
Feb.
171
202
155
104
77
162
188
152
93
80
148
171
141
88
66
159
194
139
82
62
163
208
134
79
59
149
181
134
79
52
145
188
110
95
66
152
187
126
107
70
177
P147
Manufactured Food Products—Continued
Meat packing
Pork and lard
Beef
Veal
.
. .
L a m b and m u t t o n
Other manufactured foods.. .
Processed fruits a n d v e g e t a b l e s . . .
Confectionery
O t h e r food p r o d u c t s
. . .
Alcoholic Beverages
Malt liquor
Whiskey
Other distilled spirits
Rectified liquors
Tobacco Products
Cigars
Cigarettes
Other tobacco products
Paper and Paper Products
Paper and pulp.
.
.
Pulp
Groundwood pulp
. ,
Soda pulp
Sulphate pulp
Sulphite pulp
Paper
Paperboard
Fine paper a
Printing paper
Tissue and absorbent paper
Wrapping paper
Newsprint
Paperboard containers (same as Paperboard)
Printing and Publishing
Newsprint consumption
Printing paper (same as shown under Paper)
Petroleum and Coal Products
Petroleum refining 2
Gasoline
Fuel oil
Lubricating oil
Kerosene
Other petroleum products 2 . .
Coke
Bv-product coke
Beehive coke
151
169
146
114
78
155
175
145
121
78
168
196
153
120
78
158
188
138
107
77
165
195
148
108
76
175
147
146
176
134
158
174
142
146
171
147
125
168
149
125
172
142
147
176
161
148
176
158
138
177
176
127
'169
128
175
166
132
174
161
131
187
190
187
184
181
184
185
188
186
'187
185
185 P189
206
248
203
182
207
208
248
225
207
187
179
178
175
171
168
155
150
183
168
185
166
169
161
157
155
84
611
315
111
934
464
146
549
340
157
308
304
178
235
341
157
463
340
155
716
439
135
658
408
150
677
240
118
706
148
117
560
174
104
604
174
163
78
474
197
154
197
172
165
171
153
177
179
170
177
172
171
161
96
212
126
269
120
229
124
215
127
227
89
215
101
248
107
249
100
238
104
248
105
239
115
233
59
80
71
72
65
56
70
69
62
66
64
66
98
225
57
173
191
194
202
201
197
204
207
208
214
212
209 P191
166
202
119
110
372
140
161
198
181
211
124
115
381
152
177
228
185
213
133
114
382
152
180
232
193
228
127
96
427
162
188
238
191
220
109
92
414
161
186
240
189
218
125
92
402
157
184
229
192
220
117
94
412
158
188
247
197
228
119
98
430
161
193
245
198
229
116
94
438
162
193
248
204
241
116
100
461
172
198
253
200
233
115
99
445
164
195
256
199
235
123
98
450
164
193
247
156
182
151
117
174
183
155
116
180
185
156
116
187
207
164
117
183
196
163
112
188
202
165
117
181
206
159
117
192
205
172
120
189
208
171
119
194
224
172
119
186
207
170
121
183
204
177
127
162
169
172
179
174
175
170
177
176
183
176
173 P171
167
165
163
171
165
162
159
162
162
171
166
163
166
229
238
243
251
253
263
272
269
269
255
'263
264
P264
193
204
P211
194
187
200
190
195
200
195
209
197
225
702
238
199
227
207
210
212
215
174
194
196
210
198
238
154
186
177
198
184
195
187
195
188
208
192
237
179
230
190
230
189
221
193
201
194
205
176
170
368
176
167
470
178
170
443
183
175
467
178
170
436
182
174
457
187
177
522
183
174
487
184
176
475
185
178
433
186
178
456
'476
263
269
271
277
280
284
287
288
292
161
168
168
162
160
163
168
166
359
453
164
363
458
376
465
371
488
378
497
385
504
387
506
384
510
374
524
Rubber Products
222
236
244
250
250
251
244
235
239
Minerals—Total
144
159
163
166
160
157
164
158
Fuels
148
162
167
170
165
163
169
163
Chemical Products. .
Paints
Rayon
Industrial chemicals
Other chemical products
2
Coal
Bituminous coal
Anthracite
Crude petroleum
Metals
Metals other than gold and silver... .
Iron ore
(Copper; Lead; Zinc)2
Gold
Silver
298
187
179
P179
217
P175
P206
P167
123
183
178
387
302 P306
r
160
161
r
378
539
385
548
391
P558
238
247
255
P248
158
164
165
166 P157
163
167
168
169
123
133
86
164
377
r
532
101
133
133
141
127
130
140
118
111
120
118
109
68
142
97
144
92
151
102
138
84
143
80
151
96
125
89
127
48
133
64
126
83
97
105
66
P191
171
177
184
184
184
178
184
185
189
191
192
191
124
136
141
141
130
126
130
131
127
140
151
146 P135
167
188
198
199
180
173
180
181
176
199
216
209
62
73
60
85
59
73
59
73
59
70
57
77
57
78
55
80
56
77
54
56
76
77
For other footnotes see preceding page.
NOTE.—For description and back figures see BULLETIN for October 1943, pp. 940-984, September 1941, pp. 878-881 and 933-937, and August
1940, pp. 753-771 and 825-882.
SEPTEMBER
1951
1175
INDUSTRIAL PRODUCTION, BY INDUSTRIES
(Without Seasonal Adjustment)
[Index numbers of the Board of Governors.
1935-39 average = 100]
1950
1951
Industry
July Aug. Sept. Oct. Nov. Dec. Jan. Feb. Mar. Apr.
May
June July
Industrial Production—Total
198
212
216
220
215
216
216
217
219
223
223
Manufactures — Total
207
221
224
229
226
227
226
228
231
232
'232
232 P223
237
249
253
263
260
266
264
268
275
278
277
276
228
236
245
253
246
253
255
252
263
264
263
261
253
223
264
201
710
219
265
198
744
223
275
203
792
225
286
209
835
211
272
198
803
216
280
207
802
224
288
212
827
217
281
206
815
228
298
217
879
231
301
218
891
234
301
217
897
'235
230
293
215
850
265
279
283
303
311
321
322
328
335
'337
'337
339
P327
272
287
284
291
278
292
285
304
314
'311
'309
307
P283
262
273
265
271
249
260
246
262
265
r
255
r
239
.
Durable Manufactures
. .
1
Iron and Steel
.....
Pig iron
Steel
Open hearth
Electric
.
.
.
Machinery
Transportation Equipment
... .
Automobiles (including parts)
(Aircraft; Railroad equipment;
and Government)'
Shipbuilding—Private
248
296
213
884
P214
202
212
216
223
226
227
224
217
209
210
'205
204 v<?0?
Smelting and refining
(Copper smelting; Lead refining; Zinc smelting;
207
212
209
217
221
219
220
222
225
225
224
220 P219
Fabricating
(Copper products; Lead shipments; Zinc shipments;
Aluminum products; Magnesium products; Tin
199
212
219
225
228
230
226
215
202
204
197
197
P195
161
177
179
176
168
158
153
154
160
169
168
164
P151
155
174
170
192
170
196
165
198
153
197
140
195
134
190
134
193
141
195
161
185
165
173
163
166
P160
214
221
223
240
233
227
223
221
232
243
241
241 P24O
217
212
215
251
237
233
237
251
270
255
234
229
162
223
242
172
229
239
175
269
249
177
250
231
182
236
248 P250
246
211
178
251
193
178
253
186
176
269
207
180
292
231
183
275
242
184
266
251
185
182
198
201
201
197
196
196
196
194
195
197
197 pin
165
189
191
197
193
194
194
194
188
185
190
185 vl62
Nonferrous Metals and Products
Lumber and Products
.. .
Lumber •
Furniture
Stone Clay and Glass Products
Glass products
Glass containers
. ...
Cement
Clay products
Other stone and clav nroducts ^
Nondurable Manufactures. .
Textiles and Products
....
146
172
171
178
123
361
155
366
173
152
380
162
374
173
174
176
171
165
169
158
381
164
158
397
163
392
174
390
175
374
153
380
164
377
'378
134
135
139
127
117
140
143
172
210
178
159
144
179
168
171
204
170
158
137
187
172
180
228
179
163
142
192
180
164
204
148
146
122
180
172
160
201
140
141
121
169
169
156
180
151
142
121
173
163
144
181
140
133
119
152
143
133
169
128
123
111
140
130
146
131
158
140
116
174
159
144
101
163
141
120
171
163
137
87
153
135
119
157
159
99
119
123
115
111
107
116
125
118
106
97
98
87
106
109
107
111
106
117
88
84
104
128
122
89
85
102
133
120
86
88
94
121
126
91
93
85
110
120
82
89
83
109
120
104
100
56
79
71
107
108
97
88
86
123
76
94
91
121
136
93
100
101
128
119
79
92
80
127
110
75
89
68
112
104
54
78
59
103
105
52
74
50
106
178
189
190
17 3
163
161
155
149
149
152
'159
Wheat flour
112
114
112
107
108
115
128
120
107
103
104
Manufactured dairy products
Butter
Cheese
Canned and dried milk
223
104
219
193
195
87
189
174
156
74
164
145
119
64
142
122
94
55
123
102
90
55
121
101
90
61
126
106
101
63
139
121
120
65
158
149
153
75
184
176
196
93
233
228
Textile fabrics
Cotton consumption
Rayon deliveries
Nvlon and silk consumntion ^
Wool textiles . . . .
Carpet wool consumption
Apparel wool consumption
Woolen and worsted yarn
Woolen yarn
Worsted yarn
Woolen and worsted cloth
Leather and Products
Leather tanning
Cattle hide leathers
Calf and kip leathers
Goat and kid leathers
Sheep and lamb leathers
Shoes
Manufactured Food Products
157
146
273
248
P183"
123
380
165 P177
99 P108
221
104
259
232
P22\
94
221
196
r
p Preliminary.
Revised.
* Methods used in compiling the iron and steel group index have been revised beginning October 1949. A description of the new methods
may 2be obtained from the Division of Research and Statistics.
Series included in total and group indexes but not available for publication separately.
1176
FEDERAL RESERVE BULLETIN
INDUSTRIAL PRODUCTION, BY INDUSTRIES—Continued
(Without Seasonal Adjustment)
[Index numbers of the Board of Governors.
1935-39 average = 100]
1951
1950
Industry
July Aug. Sept. Oct.
Manufactured Food
Nov. Dec.
Jan. Feb.
Mar. Apr.
VI ay Tune July
Products—Continued
M e a t packing
Pork and lard
Beef
Veal
L a m b and mutton
141
148
147
114
75
134
135
147
119
76
152
155
165
132
84
158
177
151
122
80
184
228
154
116
76
203
267
155
98
75
193
247
155
86
85
142
168
129
77
67
147
180
127
77
60
150
189
126
78
57
149
181
134
82
53
144
188
107
95
62
141
165
127
107
67
Other manufactured foods
Processed fruits and vegetables
Confectionery
Other food products
182
191
120
202
254
171
206
276
189
189
190
164
175
137
147
169
111
148
162
105
152
159
100
139
156
97
118
157
103
106
165
124
97
182
191
Alcoholic Beverages
M a l t liquor
Other distilled spirits
Rectified liquors
Tobacco Products
190
194
191
193
190
188
178
178
178
180
159
108
102
182
187
193
219
237
217
205
195
189
211
198
185
175
180
191
190
214
84
354
191
111
504
156
146
753
139
157
798
141
178
493
134
157
509
151
155
466
149
135
394
157
150
440
169
118
424
195
104
374
315
464
340
304
341
340
439
408
240
148
179
117
336
174
174
204
78
275
197
170
174
142
161
167
172
178
167
100
222
104
231
115
245
67
98
236
57
P190
160
Paper and Paper Products
Paper and pulp
Pulp
Groundwood pulp
Soda pulp
Sulphate pulp
Sulphite pulp
Paper
Paperboard
Printing paper
Tissue and absorbent paper
Wrapping paper
Newsprint
Printing and Publishing
Newsprint consumption
Petroleum and Coal Products
Gasoline
Fuel oil
Lubricating oil
Kerosene
Coke
By-product coke
Beehive coke
Chemical Products
Paints
Industrial chemicals
. .
181
124
224
127
231
89
198
177
170
107
234
59
78
76
77
67
50
69
67
62
66
105
239
65
172
191
194
202
201
197
203
208
208
215
212
209
166
200
105
110
372
140
160
198
181
209
110
115
381
152
177
228
184
211
119
114
382
152
180
232
193
227
119
96
427
162
188
238
191
221
115
92
414
161
186
240
188
218
126
92
402
157
184
229
192
221
121
94
412
158
188
247
198
228
124
98
430
161
194
245
198
231
124
94
438
162
193
248
205
243
128
100
461
172
199
253
201
234
124
99
445
164
195
256
199
235
124
98
450
164
194 P178
247 217
156
174
151
115
174
183
155
115
180
185
156
116
187
209
164
117
i83 188
196
163
113
196
165
114
181
204
159
117
192
214
172
120
189
208
171
119
194
226
172
121
186
207
170
122
183 P175
208 p\97
177 P167
129 121
150
161
172
183
182
179
164
176
179
188
179
172
144
148
165
180
180
170
148
159
169
181
172
161
96
. . 223
Cigars
Cigarettes
Other tobacco products
204
126
283
120
245
101
248
229 238 243 251 253 263 272 269 269 255 r263
194
187
153
173
200
190
173
187
195
200
177
196
196
210
184
195
195
209
187
201
197
225
187
214
202
238
186
241
198
238
177
241
199
227
188
235
193
204
197
226
185
178
433
207
210
201
203
176
170
368
176
167
470
178
170
443
183
175
467
178
170
436
182
174
457
187
177
522
183
174
487
184
176
475
159
359
453
166
363
458
166
376
465
164
371
488
160
378
497
160
385
504
160
387
506
166
384
510
165 165 "165
374 377 378
524 '532 '•539
222 236 244 250 250 251 244 235 239 238 247
Minerals—Total
149 163 168 169 159 153
Fuels
148 162 167 170 165 163 169 163
Bituminous coal
Anthracite
Crude petroleum
101
109
68
171
133
142
97
177
133
144
92
184
141
151
102
184
127
138
84
184
158 170 171 161 124
Metals
Metals other than gold and silver
Iron ore
Gold
Silver
143
264 P264
212 P211
215 P215
194
193
186 187 183
178 179 178
456 '476 387
259 265 272 282 284 288 288 291 296 *298 298 300 P302
Rubber Products
Coal
P159
130
143
80
178
159 153
140
151
96
184
118
125
89
185
153 162
165 P166
385 391
548 P558
255 P248
168 169 P162
163 167 168 169 P160
111
127
48
189
120
133
64
191
118
126
83
192
123
97
133 105
86
66
191 P191
129 166 172 P167
93
94
94
92
227
343
244
368
244
365
227
331
166
195
115
86
118
97
121
93
118
89
184
231
248
365
61
72
65
83
68
74
69
73
66
70
59
77
55
78
50
81
49
80
48
78
49
76
256 *>248
392 384
For other footnotes see preceding page.
NOTE.—For description and back figures see BULLETIN for October 1943, pp. 940-984, September 1941, pp. 878-881 and 933-937, and August
1940, pp. 753-771 and 825-882.
SEPTEMBER
1951
1177
FACTORY EMPLOYMENT, BY INDUSTRIES
[Unadjusted, estimates of Bureau of Labor Statistics; adjusted, Board of Governors.
In thousands of persons]
1950
1951
Industry group or industry
July
Aug.
Sept.
Oct.
Nov.
Dec.
Jan.
Feb.
Mar.
Apr.
May
June
July
ADJUSTED FOR SEASONAL
VARIATION
12,358 12,697 12,783 12,921 12,915 12,953 13,083 13,214 13,218 13,249 13,223 13,198 13,117
Manufacturing—Total
6,713 6,939 6,996 7,135 7,155 7,193 7,249 7,352 7,395 '7,449 '7,460 7,443 7,371
Durable goods
. .
1,105
1,131
1,070 1,091
1,111 1,120
1,143
1,147
1,153 r l,161 '1,173 1,175
1,181
Primary metal industries
837
839
846
846
826
839
844
793
850
'•855
859
852
832
Fabricated metal products
1,042
1,071
1,055
1,110
1,139
1,157
1,192
1,209
1,219 '1.233 '1,240 1,250
1,248
Machinery except electrical
639
672
676
703
710
710
704
709
717
709
695
r7l8
'716
Electrical machinery
1,070
1,118
1,134
1,157
1,139
1,160
1,175
1,233
1,253 '1,243 '1,231 1,232
1,218
Transportation equipment
750
764
775
773
765
758
754
755
733
770
755
'763
'770
Lumber and wood products
316
324
325
323
319
320
316
297
318
323
294
'319
'310
Furniture and fixtures
456
469
457
475
469
447
485
478
475
479
483
482
Stone, clay, and glass products..
484
Instruments and related prod184
189
199
204
208
209
210
214
220
222
223
216
225
ucts
Miscellaneous manufacturing in383
407
412
417
411
416
413
421
423
423
416
405
'424
dustries . .
22
24
20
22
23
34
25
32
19
27
30
29
36
Ordnance and accessories
5,645 5,758 5,787 5,786 5,760 5,760 5,834 5,862 5,823 '5,800 '5,763 5,755 5,746
Nondurable goods
1,250
1,243
1,268
1,264
1,239
1,214
1,196
1,212
1,245
1,250
1,211
1,199
1,197
Textile-mill products
Apparel and other finished tex1,044
1,073 1,067
1,063
1,046
1,048
1,070
1,083
1,074 1,063 '1,048 1,047
1,055
tiles
365
362
363
361
356
364
345
350
344
363
367
362
'357
Leather and leather products. . .
1,176
1,179
1,171
1,166
1,171
1,173
1,211
1,212
1,213
1,191
1,183
1,175
1,165
Food and kindred products
80
82
82
79
81
80
81
80
80
79
81
79
Tobacco manufactures
82
420
424
404
419
423
427
429
421
421
427
428
412
422
Paper and allied products
Printing, publishing and allied
504
510
509
510
510
510
510
515
512
511
512
509
'513
industries
511
514
499
503
513
544
521
538
548
524
501
'538
531
Chemicals and allied products...
180
186
190
190
192
196
195
196
196
192
193
195
189
Products of petroleum and coal.
206
215
217
218
218
220
221
219
219
223
224
222
210
Rubber products
WITHOUT SEASONAL ADJUSTMENT
12,151 12,802 13,016 13,133 13,044 13,056 13,018 13,186 13,189 '13,108
Manufacturing—Total
6,597 6,900 7,013 7,186 7,210 7,254 7,256 7,371 7,428 '7,445
Durable goods
. •.
1,105
1,117
1,126
1,054
1,086
1,142
1,149
/ , 159 r1,161
1,153
Primary Metal Industries
Blast furnaces, steel works
543
553
554
559
559
561
and rolling mills
550
552
556
'562
Nonferrous smelting and re45
46
45
47
47
47
47
fining, primary
46
46
47
Nonferrous rolling, drawing
80
86
86
87
87
86
85
and alloying
83
85
87
r
837
850
850
852
859
773
814
847
852
858
Fabricated Metal Products
Cutlery, hand tools and
129
141
143
144
144
142
140
132
138
144
hardware
Heating apparatus and
120
135
130
132
134
133
132
137
137
133
plumbers' supnlies . . .
Fabricated structural metal
158
173
175
176
178
165
166
171
172
173
products
1,060
1,050
1,104
1,163
1,032
1,133
1,192
1,215
Machinery except Electrical
1,231 '1,239
Agricultural machinery and
141
140
102
124
125
135
147
150
151
152
tractors
190
227
162
171
181
204
197
211
218
223
Metal working machinery...
Special-industry
machin124
127
132
136
138
141
144
147
149
150
ery
...
Service-industry and house146
145
146
148
151
148
147
149
148
hold machines
'144
r
673
721
655
724
716
724
620
710
711
718
Electrical Machinery
Electrical apparatus (gen227
237
237
252
254
257
256
258
262
'266
erating etc )
255
272
278
'262
228
248
278
270
268
273
Communication equipment.
1,134
1,157
1,160
1,070
1,118
1,139
1,175
1,233
Transportation Equipment
/ , 253 ' 1,243
Motor vehicles and equip757
781
788
795
760
767
767
791
793
ment
'774
199
209
252
239
'309
188
225
264
288
299
Aircraft and parts
Ship and boat building and
68
79
76
76
76
79
83
95
96
94
repairing
r
790
750
783
785
754
752
773
739
736
722
Lumber and Wood Products
465
440
444
468
462
452
429
428
426
Sawmills and planing mills. .
'443
109
114
114
115
114
112
110
107
107
108
Millwork, plywood, etc
r
327
303
319
327
326
329
326
317
321
324
Furniture and Fixtures
222
234
240
242
242
238
'227
234
235
236
Household furniture
459
471
477
440
458
474
473
479
483
Stone, Clay, and Glass Products..
473
132
114
122
127
129
128
128
130
128
117
Glass and glass products. . .
77
79
80
79
82
81
80
80
80
80
Structural clay products
221
187
199
205
211
Instruments and Related Products.
178
209
211
215
218
Miscellaneous Manufacturing Inr
358
399
436
432
424
413
427
429
dustries
418
422
30
22
22
23
24
29
Ordnance and A ccessories
19
20
25
27
13,004 13,058 12,895
'7,417 7,412 7,246
'1,161 1,169
1,163
'565
571
46
48
81
850
83
843
138
137
130
129
179
177
n. 246
1,256
152
229
153
234
150
151
'144
'709
140
705
271
276
241
'249
n, 231
1,232
811
1,236
674
1,218
'753
737
330
95
'770
'452
'108
r
302
'212
98
778
459
108
288
199
484
131
83
222
485
130
85
223
475
410
32
399
34
379
36
317
755
282
217
r
Revised.
NOTE.—Factory employment covers production and related workers only, data shown include all full- and part-time production and related
workers who worked during, or received pay for, the pay period ending nearest the 15th of the month.
Figures for July 1951 are preliminary. Back data and data for industries not shown, without seasonal adjustment, may be obtained
from the Bureau of Labor Statistics. Seasonally adjusted data beginning January 1939, for groups and the total, may be obtained from the
Division of Research and Statistics.
1178
FEDERAL RESERVE BULLETIN
FACTORY EMPLOYMENT, BY INDUSTRIES—Continued
[Unadjusted, estimates of Bureau of Labor Statistics; adjusted, Board of Governors.
In thousands of persons]
1950
1951
Industry group or industry
July
Nondurable goods
Aug.
Sept.
Oct.
Nov.
Dec,
Jan.
Feb.
Mar.
Apr.
May
June
July
5,554 5,902 6,003 5,947 5,834 5,802 5,762 5,815 5,761 5,663 5,587 5,646 5,649
Textile-mill Products
Yarn and thread mills
Broad-woven fabric mills
Knitting mills
1,160 1,224 1,255 1,264 1,262 1,258 1,257 1,269 1,223 1,214 1,206 1,199 1.161
154
147
159
160
162
161
161
160
164
157
162
160
595
571
606
'567
564
607
606
604
604
583
602
'573
209
227
233
230
236
236
234
234
236
215
232
222
Apparel and Other Finished Textiles
Men's and boys' suits, coats and overcoats
Men's and boys' furnishings
Women's and misses' outerwear
981 1,089 1,099 1,100 1,056 1,064 1,070 1,115 1,106 •1,04
127
232
266
138
252
307
137
254
305
138
254
297
137
253
275
137
251
296
138
251
303
141
259
317
141
263
305
138
261
'267
Leather and Leather Products
Footwear (except rubber)
351
230
370
237
372
237
367
230
360
226
359
229
364
234
374
239
371
237
r
Food and Kindred Products
Meat products
Dairy products
Canning and preserving
Bakery products
Beverage industries
,
r
1.001 1,000\ 992
135
253
'251
248J. .. .
I
353
225
331
'210
343
221
1,231 1,331 1,350 1,260 1,196 1,155 1,120 1,099 1,096 '1,085
235
236
240
254
233
229
236
244
251
238
116
114
102
97
107
100
99
103
95
95
223
302
226
143
324
171
132
125
128
127
194
192
196
190
194
193
188
190
190
188
164
169
149
146
159
149
147
145
147
143
229
109
136
189
146
Tobacco Manufactures
133 ....
339
1,144] 1.218
233]
115
154!
1921
155
75
82
89
89
84
80
80
78
76
74
76
74
,
396
204
410
207
418
210
421
210
427
211
428
212
423
209
423
209
424
209
427
427
216
419
nvi
'424
2U
Printing, Publishing and Allied Industries. . . .
Newspapers
Commercial printing
499
150
164
504
150
165
510
151
167
514
150
170
515
150
170
518
152
171
510
149
170
510
150
170
512
150
170
r510
151
168
152
168
511
153|
169!
507
Chemicals and Allied Products
Industrial inorganic chemicals
Industrial organic chemicals
Drugs and medicines
479
51
152
63
491
49
155
63
506
50
158
65
523
56
159
66
521
57
160
66
524
57
162
67
526
57
163
67
53,
58
163
69
539
59
167
69
r
,
,
Products of Petroleum and Coal
Petroleum refining
,
,
182
139
193
147
189
145
190
147
191
148
191
147
190
147
191
148
Rubber Products
Tires and inner tubes
,
200
88
208
90
215
92
219
92
222
93
222
92
22,
91
22,
91
Paper and Allied Products
Pulp, paper and paperboard mills
538
59
168
70
'55/
60
170
70
528
192
149
194
150
194
151
19~\
220
219
'8'
526
61 i
172
71
198
153
215
For footnotes see preceding page.
HOURS AND EARNINGS OF FACTORY EMPLOYEES
[Compiled by Bureau of Labor Statistics]
Average weekly earnings
[dollars per week)
Industry group
1950
July
Manufacturing—Total
1951
Average hours worked
(per week)
1950
1951
1950
Average hourly earnings
(dollars per hour)
1951
May
June
July
July
May
June
July
July
May
June
July
65.32
64.56
40.5
40.7
40.8
40.4
1.462
1.586
1.601
1.598
41.7
41.8
41.0
1.533
1.664
1.684
1.681
41.3
41.1
43.3
40.2
39.0
41.2
39.9
41.9
41.6
40.1
44.0
1.645
1.522
1.595
1.464
1.728
1.369
1.269
1.432
1.442
1.302
1.524
1.797
1.656
1.751
1.603
1.829
1.437
1.391
1.554
'1.621
1.411
1.685
i . 833
1.665
1.763
1.620
1.858
1.476
1.384
1.561
1.625
1.416
1.690
1.818
1.670
1.760
1.607
1.847
1.476
1 .391
1.570
1.614
1.416
1.728
59.21
64.55
,
63.01
69.39
70.39
Primary metal industries
Fabricated metal product?
,
Machinery except electrical
Electrical machinery
Transportation equipment
,
Lumber and wood products
Furniture and fixtures
Stone, clay, and glass products
,
Instruments and related products
,
Miscellaneous manufacturing industries
Ordnance and accessories
66.95
62.55
66.35
59.44
71.71
56.27
52.03
58.57
58.98
52.47
64.92
'74.93
69.22
76.34
'66.52
'74.81
'59.20
'56.34
'64.80
'68.41
'57.43
'72.29
76.62
69.93
76.69
67.39
75.25
61.40
56.05
65.09
68.25
57.77
71.83
75.08
68.64
76.21
64.60
72.03
60.81
55.50
65.78
67.14
56.78
76.03
40.7
41.1
41.6
40.6
41.5
41.1
41.0
40.9
40.9
40.3
42.6
'41.7
41.8
43.6
41.5
'40.9
'41.2
'40.5
41.7
42.2
40.7
42.9
41.8
42.0
43.5
41.6
40.5
41.6
40.5
41.7
42.0
40.8
42.5
54.73
'57.97
58.47
58.78
39.8
39.3
39.4
39.5
1.375
1.475
1 484
1.488
47.27
43.22
44.73
56.94
42 12
61.36
72.30
62.99
76.09
65.59
'51.49
'43.65
'45.64
'60.44
42.42
65.90
'75.74
'68.14
'81.43
'68.48
38.8
'35.4
'35.6
41.6
36.6
43.3
38.7
'41.7
40.9
41.3
38.6
35.4
36.6
41.9
38.0
43.0
38.8
41.6
40.7
42.4
37.7
35.8
37.1
42.6
37.4
42.6
38.8
41.6
41.4
42.2
1.212
L. 194
1.174:
.346
L.097
L .417
1.878
L .529
1.829
L.592
1.327
1.233
1.282
1.453
1.159
1.522
1.957
1.634
1.991
1.658
1.324
1.247
1 279
1.470
1.178
1.525
1.959
1.649
1.998
1.690
1.318
1.278
1.272
1.453
1.189
1.528
1.963
1.660
2.025
1.718
Durable goods
Nondurable goods
Textile-mill products
Apparel and other finished products
Leather and leather products
Food and kindred products
Tobacco manufactures
Paper and allied products
Printing, publishing and allied products
Chemicals and allied products
Products of petroleum and coal
Rubber products
' Revised.
NOTE.—Data are for production and related workers.
Labor Statistics.
SEPTEMBER
1951
51.11
44.14
46.81
61.59
44.76
65.58
76.01
68.60
81.32
71.66
68.92
49.69
45.75
47.19
61.90
44.47
65.09
76.16
69.06
83.84
72.50
41.1
39.0
36.2
38.1
42.3
38.4
43.3
38.5
41.2
41.6
41.2
Figures for July 1951 are preliminary.
Back data are available from the Bureau of
1179
EMPLOYMENT IN NONAGRICULTURAL ESTABLISHMENTS, BY INDUSTRY DIVISION
[Unadjusted, estimates of Bureau of Labor Statistics; adjusted, Board of Governors. In thousands of persons]
Contract
construction
Transportation and
public
utilities
Total
Manufacturing
tiing
42,042
41,480
40,069
41,412
43,371
44,201
43,006
44,124
17,381
17,111
15,302
14,461
15,247
15,286
14,146
14,884
917
883
826
852
943
981
932
904
1,567
1,094
1,132
1,661
1,982
2,165
2,156
2,318
3,619
3,798
3,872
4,023
4,122
4,151
3,977
4,010
7,189
7,260
7,522
8,602
9,196
9,491
9,438
9,524
1950—July
August
September
October
November
December
44,259
44,914
45,196
45,408
45,501
45,605
14,977
15,333
15,444
15,606
15,635
15,692
915
942
942 •
937
937
938
2,366
2,434
2,454
2,506
2,521
2,452
4,021
4,073
4,119
4,138
4,126
4,125
1951—January
February
March
April
May
June
July
45,804
46,078
46,266
'46,411
'46,513
46,622
46,562
15,852
16,009
16,058
'16,102
'16,101
16,105
16,044
939
939
930
'914
••914
919
889
2,507
2,503
2,556
'2,574
2,566
2,555
2,548
4,107
4,117
4,147
4,153
'4,141
4,132
4,124
44,096
45,080
45,684
45,898
45,873
46,595
14,777
15,450
15,685
15,827
15,765
15,789
922
950
946
939
938
937
2,532
2,629
2,626
2,631
2,571
2,403
45,246
45,390
45,850
'45,998
'46,232
46,563
46,389
15,784
15,978
16,022
'15,955
'15,873
15,964
15,830
932
930
924
'911
'913
923
896
2,281
2,228
2,326
'2,471
2,592
2,683
2,726
Year or month
1943
1944
1945
1946
1947
1948
1949
1950
Federal,
State, and
local
government
Finance
Service
1,401
1,374
1,394
1,586
1,641
L,716
1,763
1,812
3,919
3,934
4,055
4,621
4,786
4,799
4,782
4,761
6,049
6,026
5,967
5,607
5,454
5,613
5,811
5,910
9,556
1,804
9,651
9,650
9,630
9,620
9,692
11,819
1,836
1,839
1,838
1,846
4,76<r
4,779
4,768
4,733
4,747
4,741
5,851
5,883
5,983
6,019
6,077
6,119
9,722
9,769
9,762
'9,773
'9,814
9,853
9,826
1,840
1,848
1,854
1,856
1,866
1,874
1,879
4,737
4,728
4,729
r
4,745
'4,764
4,786
4,780
6,100
6,165
6,230
6,294
6,347
6,398
6,472
4,062
4,120
4,139
4,132
4,123
4,125
9,390
9,474
9,641
9,752
9,896
10,443
1.831
1,837
1,827
1,821
1,820
1,828
4,841
4,827
4,816
4,757
4,723
4,694
5,741
4,072
4,082
4,112
4,132
••4,138
4,161
4,166
9,592
9,554
9,713
'9,627
'9,676
9,728
9,656
1,831
1,839
1,854
1,865
1,875
1,893
1,907
4,666
4,657
4,682
'4,745
4,788
4,834
4,852
6.088
6,122
6,217
6,292
6,377
6,377
6,356
Trade
SEASONALLY ADJUSTED
UNADJUSTED
1950— July
August
September
October........
November
December
1951—January
February
March
April
May
June
July
5,793
6,004
6,039
6,037
6,376
' Revised.
NOTE.—Data include all full- and part-time employees who worked during, or received pay for, the pay period ending nearest the 15th of
the month. Proprietors, self-employed persons, domestic servants, unpaid family workers, and members of the armed forces are excluded. July
1951 figures are preliminary. Back unadjusted data are available from the Bureau of Labor Statistics; seasonally adjusted figures beginning
January 1939 may be obtained from the Division of Research and Statistics.
LABOR FORCE, EMPLOYMENT, AND UNEMPLOYMENT
[Bureau of the Census estimates without seasonal adjustment.
Thousands of persons 14 years of age and over]
Civilian labor force
Total
civilian noninstitutional
population *
Year or month
1943
1944
1945
1946
1947
1948
1949
1950
. .
.
.
1950—Juiy
August
September
October
November
December
. .
. .
1951—Tanuary
February
April .
May
June
July
.
.
Employed 2
Total
Total
In nonagricultural industries
In
agriculture
Unemployed
Not in the
labor force
94,640
93,220
94,090
103,070
106,018
107,175
108,156
109,284
55,540
54,630
53,860
57,520
60,168
61,442
62,105
63,099
54,470
53,960
52,820
55,250
58,027
59,378
58,710
59,957
45,390
45,010
44,240
46,930
49,761
51,405
50,684
52,450
9,080
8,950
8,580
8,320
8,266
7,973
8,026
7,507
1,070
670
1,040
2,270
2,142
2,064
3,395
3,142
39,100
38,590
40,230
45,550
45,850
45,733
46,051
46,181
109,491
109,587
109,577
109,407
109,293
109,193
64,427
64,867
63,567
63,704
63,512
62,538
61,214
62,367
61,226
61,764
61,271
60,308
52,774
54,207
53,415
53,273
53,721
54,075
8,440
8,160
7,811
8,491
7,551
6,234
3,213
2,500
2,341
1,940
2,240
2,229
45,064
44,718
46,010
45,704
45,782
46,657
109,170
108,933
108,964
108,879
108,832
108,836
108,856
61,514
61,313
62,325
61,789
62,803
63,783
64,382
59,010
58,905
60,179
60,044
61,193
61,803
62,526
52,993
52,976
53,785
53,400
53,753
53,768
54,618
6,018
5,930
6,393
6,645
7,440
8,035
7,908
2,503
2,407
2,147
1,744
1,609
1,980
1,856
47,658
47,619
46 638
47,092
46,029
45,053
44,474
1
The number of persons in the armed forces, previously included in the total noninstitutional population and total labor force items, is no
longer available for reasons of security.
* Includes self-employed, unpaid family, and domestic service workers.
NOTE.—Details do not necessarily add to group totals. Information on the labor force status of the population is obtained through interviews of households on a sample basis. Data relate to the calendar week that contains the eighth day of the month. Back data are available
from the Bureau of the Census.
1180
FEDERAL RESERVE BULLETIN
CONSTRUCTION CONTRACTS AWARDED, BY TYPE OF CONSTRUCTION
[Figures for 37 States east of the Rocky Mountains, as reported by the F. W. Dodge Corporation. Value of contracts in millions of dollars]
Nonresidential building
Month
Factories
1950
1951
1950
1951
343.5
361.5
574.7
674.8
674.6
628.1
675.1
754.1
549.6
529.9
496.7
478.6
420.9
531.1
574.6
590.8
661.1
545.2
548.1
730.9 ,043.2
779.5 ,140.5
1,300.2 ,267.5
,350.5 1 ,375.0
,347.6 2 ,573.0
,345.5 ,408.9
,420.2 ,379.8
,548.9
,286.5
,135.8
,087.1
1,168.4
January
February
March
April
May
June
July
August
September
October
November
December
Year
14,501.1
6,741.0
1950
1951
37.7
27.9
161.5
119.2
83.7
69.3
79.8
128.8
90.8
93.6
103.9
146.1
128.4
116.2
122.7
174.3
,274.9
211.5
164.1
1,142.3
Total
Jan
Feb
Mar
Apr
May
June....
July
Aug
Sept
Oct
Nov
Dec
1949
1951
731 1,043
780 1,141
1,300
1,350
1,348
1,345
1,420
1,549
1,072 1,287
1,062 1,136
958 1,087
929 1,168
1,268
1,375
2,573
1,409
Year.. 10,359 14,501
1949 1950 1951 1949
160
252
282
319
369
375
410
316
289
332
316
299
201
306
285
332
418
481
354
456
389 1,474
428
583
460
438
364
308
320
381
3,718 4,409
1950
323
317
466
527
517
574
537
595
783
730
642
630
Title I loans
Total
1,111
922
828
767
787
6,641 10,092
1951
1950
121.1
101.8
78.8
106.3
60.6
65.4
75.4
63.5
58.0
96.3
97.0
100.2
128.3
121.2
113.1
119.4
86.3
109.4
87.2
60.6
58.3
88.6
106.8
96
97
117.4
137.9
137.2
104.5
94.4
108.9
1951
1950
84.6
81.0
128.4
103.5
123.2
128.1
150.1
1,179.8
1951
73.5
121.4
154.3
125.6
128.3
148.7
168.8
161.2
151
142.5
127.2
148.2
126.8
132.2
139.4
133.9
175.3
148.3
146.9
1,651.0
1950
1951
152.1
152.5
224.9
227.0
264.5
273.4
258.0
253.8
238.2
179.1
155.5
199.5
161.3
178.2
223.6
266.1
278.0
310.5
295.2
2,578.4
CONSTRUCTION CONTRACTS AWARDED, BY DISTRICTS
[Figures for 37 States east of the Rocky Mountains, as reported by the
F. W. Dodge Corporation. Value of contracts in thousands of dollars]
321
534
614
594
694
1950— J u l y . . .
Aug.. .
Sept.. .
Oct....
Nov.. .
Dec. . .
369
414
373
379
379
349
61
69
55
82
74
54
1951—Jan....
Feb....
Mar...
Apr. . .
May..
June..
July...
330
261
294
252
271
255
274
63
44
50
43
52
54
76
1
(44)
()
13
*7
(4)
(*)
(44)
()
(4)
1
1
2
2
2
2
2
347
446
880
1,855
2,466
183
217
216
241
236
204
225
176
180
162
165
146
146
3
"•"Y
21
9
(4)
3
2
5
(4)
3
7
16
56
17
War and
Veterans'
housing
(Title
VI)*
Military
housing
(Title
VIII)s
85
808
1,836
1,339
1,031
12
123
111
122
88
43
49
63
5
6
14
10
17
23
28
27
32
20
36
31
19
13
10
28
18
16
13
Net proceeds to borrowers. 2 Mortgages insured under War
Housing Title VI through April 1946; figures thereafter represent
mainly mortgages insured under the Veterans' Housing Title VI
(approved May 22, 1946) but include a few refinanced mortgages
originally written under the War Housing Title VI. Beginning with
December 1947, figures include mortgages insured in connection with
sale of Government owned war housing, and beginning with February
1948 include insured loans to finance the manufacture of housing.
* Mortgages insured on new rental housing at or near military
installations under Title VIII, approved Aug. 8, 1949.
< Less than $500,000.
« Includes about 3 million dollars of Class 3 loans insured before
expiration of this program Feb. 28, 1950, but tabulated after that date
and not shown separately. Includes almost one million dollars of
mortgages insured since August under new Sec. 8 small homes program.
NOTE.—Figures represent gross insurance written during the period
and do not take account of principal repayments on previously insured
loans. Figures include some reinsured mortgages, which are shown in
the month in which they were reported by FHA. Reinsured mortgages
on rental and group housing (Title II) are notjiecessarily shown in the
month in which reinsurance took place.
SEPTEMBER 1951
1950
1951
Federal Reserve district
Boston . .
New York
Philadelphia
Cleveland
Richmond
Atlanta
Chicago
St. Louis
Minneapolis
Kansas City
Dallas
.
.
. . . .
Total (11 districts)
July
June
74,404
235,241
106,991
142,821
152,504
190,972
202,934
74,615
46,246
53,251
99,851
110,897
169,486
58,967
138,674
147,793
187,004
265,263
94 084
71,474
56,902
108,388
109,039
242,960
82,691
172,740130,675
138,069
238,009
93 712
49,765
57,061
105,460
1,379,830 1, 408,932
1,420,181
July
Mortgages
Prop- Small 1- to 4- Rental
and
erty home family
imcon- houses group
prove-1 struc- (Title housing
(Title
ment
tion
ID
ID
755
1,787
3,338
3,821
4,342
1946
1947
1948
1949
1950
1950
Other
1951
530
737
495
808
849
819
919
996
959 1,099
917
826
960
LOANS INSURED BY FEDERAL HOUSING ADMINISTRATION
[In millions of dollars]
Year or
month
Educational
Public ownership Private ownership
1950
483
568
748
846
885
950
948
911
Commercial
1,208.5
CONSTRUCTION CONTRACTS AWARDED, BY OWNERSHIP
[Figures for 37 States east of the Rocky Mountains, as reported by the
F. W. Dodge Corporation. Value of contracts in millions of dollars]
Month
Public works
and public
utilities
Residential
building
Total
INSURED FHA HOME MORTGAGES (TITLE II) HELD IN
PORTFOLIO, BY CLASS OF INSTITUTION
[In millions of dollars]
End of month
Total
Savings
Com- Mutual
and
mersavloan
cial
ings associbanks banks
ations
Insur- Fedance
2
eral
com- agen- Other
panies cies 1
1936—Dec
1937—Dec
1938—Dec
1939—Dec
1940—Dec
1941—Dec
1942—Dec
1943—Dec
1944—Dec
1945—Dec
365
771
1,199
1,793
2,409
3,107
3,620
3,626
3,399
3,156
228
430
634
902
1,162
1,465
1,669
1,705
1,590
1,506
8
27
38
71
130
186
236
256
260
263
56
110
149
192
224
254
276
292
269
253
41
118
212
342
542
789
1,032
1,134
1,072
1,000
5
32
77
153
201
234
245
79
68
13
27
53
90
135
150
179
163
159
140
122
1946—June
Dec
3,102
2,946
1,488
1,429
260
252
247
233
974
917
11
9
122
106
1947—June
Dec
2,860
2,871
1,386
1,379
245
244
229
232
889
899
8
7
102
110
1948—June
Dec
2,988
3,237
1,402
1,429
251
265
973
245
269 1,113
7
9
110
152
1949—June
Dec
3,894
4,751
1,587
1,771
305
378
323 1,431
416 1,828
21
52
227
305
1950— Dec
6,695 2,205
693
603 2,712
60
421
1 The RFC Mortgage Company, the Federal National Mortgage
Association, the Federal Deposit Insurance Corporation, and the
United
States Housing Corporation.
2
Includes mortgage companies, finance companies, industrial banks,
endowed institutions, private and State benefit funds, etc.
NOTE.—Figures represent gross amount of mortgages held, excluding terminated mortgages and cases in transit to or being audited at the
Federal Housing Administration.
1181
MERCHANDISE EXPORTS AND IMPORTS
[In millions of dollars]
Merchandise exports
1
Merchandise imports 2
Excess of exports
Month
1947
1948
1949
January
February
March..
1,114
1,146
1,326
1,092
1,085
1,139
June
April
May
1,294
1,414
1,235
July
August
September....
1950
1951
1947
1948
L.105
1,043
L,189
P974
741
764 Pi,076
860 Pi,284
531
437
445
547
589
675
1,121
1,103
1,014
1,173
1,095
.108
804 P 1 , 3 7 2
830 Pl.353
878 Pi, 294
512
474
463
1,155
1,145
1,112
1,019
900
885
3779 PI,186
992
926
910
P762
P911
October
November
December
1,235
1,141
1,114
1,023
823
1,318
856
P906
842
P978
945 Pl.065
Jan.-July
8,684
7,572
7,614
P5,655
P8,537
1950
1949
1951
1947
1948
1949
590
567
633
623 P 1 , 0 2 4
600
P909
665 Pl.099
583
709
882
545
496
464
515
477
557
118
164
195
P-50
532
554
625
535
541
526
585 P 1 , 0 3 3
659 Pl,018
687
P929
782
940
772
590
549
389
638
554
582
219
170
191
P339
P335
P364
450
564
457
705
456
444
P293
400
606
491
473
560
530
492
455
603
600
554
720
557
593
605
P854
3,311
4,084
3,847
P4,528
709
P820
P862
P893
P923
P867
P6,905
1950
745
386
394
639
365
380
70
*-59
P49
743
687
511
423
269
598
299
249
340
P-17
P124
P199
5,373
3,488
3,767
Pl.127
1951
P167
P185
Pl,632
Preliminary.
1
Includes both domestic and foreign merchandise. Beginning January 1948, recorded exports include shipments under the Army Civilian
Supply
Program for occupied areas. The average monthly value of such unrecorded shipments in 1947 was 75.9 million dollars.
2
General imports including merchandise entered for immediate consumption and that entered for storage in bonded warehouses.
3 Includes 47.0 million dollars of Mutual Defense Assistance Program shipments which were excluded from the export statistics for April,
May, and June.
Source.—Department of Commerce.
Back figures.—See BULLETIN for February 1951, p. 210; March 1947, p. 318; March 1943, p. 261; February 1940, p. 153; February 1937,
p. 152; July 1933, p. 431; and January 1931, p. 18.
REVENUES, EXPENSES, AND INCOME OF CLASS I
FREIGHT CARLOADINGS, BY CLASSES
[Index numbers, 1935-39 average =100]
Year or month
1939
1940
1941
1942
1943
1944
1945
1946
1947
1948
1949
1950
.
. .
Total
101
109
130
138
137
140
135
132
143
138
116
128
Coal
98
111
123
135
138
143
134
130
147
141
100
117
ForLive- est
Coke Grain
stock products
102
137
168
181
186
185
172
146
182
184
145
180
107
101
112
120
146
139
151
138
150
136
142
135
96
96
91
104
117
124
125
129
107
88
77
68
100
114
139
155
141
143
129
143
153
149
123
140
Ore
110
147
183
206
192
180
169
136
181
184
151
172
RAILROADS
Miscellaneous
Merchandise
l.c.l.
101
110
136
146
145
147
142
139
148
146
127
140
97
96
100
69
63
67
69
78
75
68
57
53
Year or month
SEASON\LI Y
ADJUSTED
O Hi -n. O k . / | \ -TY 1^, .L.
[In millions of dollars]
I
1950—July
August
September. . .
October
November. . .
December. . .
126
135
134
136
136
140
105
126
135
135
126
129
-•196
194
201
206
198
194
135
139
128
159
166
158
61
60
72
75
72
72
148
155
148
146
157
162
186
190
198
184
184
199
140
147
142
145
146
151
51
56
55
54
53
52
1951—January
February....
March
April
May
Tune
July
146
129
139
136
U3
131
125
133
114
112
112
111
120
97
199
186
202
197
210
217
215
153
134
150
158
141
123
130
69
55
62
68
64
r
61
61
170
143
147
156
154
152
143
243
241
241
212
212
207
203
158
141
157
151
148
144
142
52
48
53
51
48
47
45
1939
1940
1941
1942
1943
1944
1945
1946
1947
1948
1949
1950
Total
operating
revenues
Net
Total
expenses operating
income
Net
income
3,995
4,297
5,347
7,466
9,055
9,437
8,902
7,628
8,685
9,672
8,580
3,406
3,614
4,348
5,982
7,695
8,331
8,047
7,009
7,904
8,670
7,893
P9,473
P8,434
PI,040
93
189
500
902
873
667
450
287
479
699
438
J»783
1950—July
August
September..
October
November..
December. .
772
833
858
885
863
941
686
744
749
776
760
849
86
88
109
108
103
92
54
55
73
74
70
60
1951—January... .
February...
March
April
Mav . .
863
783
854
873
855
871
766
742
783
800
794
795
98
41
71
73
62
76
66
11
39
41
30
P44
1950—July
August
September..
October.. . .
November..
December. .
772
890
872
925
862
928
688
768
749
791
752
815
84
122
123
135
110
113
59
96
99
108
86
120
1951—January.. . .
February...
March
April
May
June
849
716
875
851
889
856
771
697
797
781
814
792
78
19
78
71
75
64
55
-4
51
45
49
P50
589
682
998
1,485
1,360
1,106
852
620
781
1,002
687
SEASONALLY
ADJUSTED
June
UNADJUSTED
UNADJUSTED
1950—July
August. . .
September.. .
October
November. . .
December. . .
130
140
145
147
139
130
105
126
135
135
126
129
190
186
198
201
198
204
162
150
143
159
162
148
48
57
95
116
90
70
149
163
160
154
154
145
298
285
298
262
188
62
141
149
154
158
152
142
51
56
57
56
54
50
1951—January
February....
March
April
Mav
Tune
July
133
119
130
133
135
137
130
133
114
112
112
111
120
97
209
197
204
193
208
212
209
153
131
138
139
124
125
156
66
44
49
61
57
49
50
153
137
147
156
160
158
143
61
60
70
193
296
321
325
145
133
149
149
149
148
143
50
46
54
51
48
47
44
r
Revised.
N O T E . — F o r description and back data, see BULLETIN for J u n e 1941, pp.
529-533.
Based on daily average loadings. Basic d a t a compiled by Association of American Railroads. Total index compiled by combining indexes for
classes with weights derived from revenue d a t a of the Interstate Commerce
Commission.
1182
P Preliminary.
NOTE.—Descriptive material and back figures may be obtained from the Division of Research and Statistics. Basic
data compiled by the Interstate Commerce Commission.
Annual figures include revisions not available monthly.
FEDERAL RESERVE
BULLETIN
DEPARTMENT STORE STATISTICS
[Based on retail value figures]
SALES AND STOCKS, BY FEDERAL RESERVE DISTRICTS
[Index numbers, 1935-39 average = 100]
Federal Reserve district
United
States
Year or month
Boston
New
York
Philadelphia
Cleveland
Richmond
Atlanta
Chicago
St.
Louis
207
264
286
302
286
304
176
221
234
239
234
240
169
220
239
249
236
244
184
235
261
284
271
288
201
257
281
303
281
303
235
292
304
321
309
325
275
344
360
386
374
401
193
250
275
290
271
291
227
292
314
335
317
331
185
247
273
288
275
289
229
287
311
325
309
329
275
352
374
404
385
417
362
335
320
291
290
325
268
268
255
216
229
249
274
277
262
238
234
266
331
319
310
279
273
307
364
334
333
299
251
328
*-391
360
332
312
312
336
494
415
409
370
391
421
330
335
305
282
288
318
418
370
360
305
316
353
342
321
289
283
291
318
414
354
345
303
325
354
537
449
420
375
400
433
r
362
326
291
302
301
r
302
P309
303
251
217
233
235
235
*>245
291
263
230
252
243
267
256
342
321
283
286
281
285
288
395
333
286
323
309
306
309
369
341
297
326
331
331
351
450
419
413
399
387
402
415
349
322
290
282
290
276
286
363
327
298
320
330
313
344
325
324
249
287
278
274
J'276
395
346
321
314
317
316
P312
475
439
414
402
405
409
423
421
375
336
346
348
'347
364
283
281
331
308
355
534
185
198
263
239
287
436
192
202
267
259
302
450
239
239
313
299
363
525
284
290
337
317
313
538
283
288
356
333
387
584
386
373
426
388
453
708
271
278
320
296
357
495
326
318
363
326
398
540
276
287
321
319
338
476
339
326
363
328
376
556
429
399
454
405
472
711
'386
352
374
345
387
627
277
262
284
284
297
284
P240
230
193
217
221
233
225
P169
233
218
230
232
238
254
179
253
241
286
269
286
271
207
293
266
286
297
306
287
241
267
266
307
298
325
305
254
342
352
422
367
375
353
324
261
251
269
276
293
276
235
298
275
298
304
323
282
269
248
239
236
279
284
263
P223
300
280
308
302
314
291
P256
375
351
397
382
393
352
339
333
316
318
320
330
325
310
166
213
255
291
270
295
153
182
202
223
210
231
160
195
225
241
223
237
150
191
220
252
233
257
156
205
243
277
256
288
198
248
289
322
301
334
188
258
306
362
339
394
159
205
246
281
260
276
166
225
274
314
296
325
165
212
266
326
299
317
158
209
259
301
276
300
190
251
320
389
362
397
183
238
300
346
323
355
269
284
309
329
332
329
198
213
227
249
262
264
'219
226
243
258
266
263
241
259
275
283
282
286
252
265
296
313
350
351
»"327
334
345
363
357
349
360
405
438
456
448
461
252
267
288
313
309
297
283
295
325
365
374
381
286
302
323
353
345
335
271
286
306
330
335
330
374
406
431
456
446
430
322
334
389
403
395
389
338
349
368
377
365
353
?353
274
280
305
303
290
276
262
273
281
299
297
290
290
294
297
305
320
331
318
314
309
357
369
396
395
380
361
349
351
384
r404
407
398
414
407
472
458
462
483
480
453
451
320
320
331
343
339
326
340
337
412
425
437
403
389
357
343
350
363
r
382
378
368
^354
351
343
365
380
372
361
P357
437
443
465
486
486
473
483
399
414
445
465
438
405
418
258
285
322
362
371
295
192
223
245
281
298
238
'195
226
256
291
306
239
217
254
286
326
324
252
251
280
324
355
377
294
'305
337
362
403
397
316
339
401
451
497
501
401
232
259
297
341
352
279
295
322
361
409
400
320
292
299
328
371
375
310
266
281
312
353
369
294
351
402
444
479
495
395
332
333
389
430
438
354
303
334
373
386
370
341
P338
243
264
296
297
287
265
254
240
273
306
306
294
274
262
258
299
336
345
325
295
278
313
343
392
401
383
355
348
322
374
416
425
405
373
380
424
463
485
507
476
435
424
288
311
344
353
342
313
313
290
371
413
437
403
389
372
316
336
378
387
379
355
P362
319
336
373
392
379
361
P350
406
434
493
510
486
445
454
363
389
436
474
454
408
430
Minne- Kansas
Dallas
apolis
City
San
Francisco
SALESi
1945
1946
1947
1948
1949
1950
248
311
337
353
332
354
SEASONALLY ADJUSTED
1950—juiy
August
September
October
November
December
1951—Tanuary
February
March ....
April
May
Tune
"July
....
453
374
368
343
345
377
UNADJUSTED
1950—July
August . .
September
October
November
December
1951—January
March
April
May
Tune
July .
r
STOCKS*
1945
1946
1947 .
1948
1949 .
1950
SEASONALLY ADJUSTED
1950—Tulv
August ....
September
October
November
December
. ...
1951—January
February
M^arcli
April
Mav
Tune.
July
.
UNADJUSTED
1950—July
August
September
October
November
December
1951—Tanuary
February
March
April
May
T u ne
Tulv
r
r
P Preliminary.
Revised.
Figures for sales are the average per trading day, while those for stocks are as of the end of the month or the annual average.
NOTE.—For description and monthly indexes for back years for sales see BULLETIN for June 1944, pp. 542-561, and for stocks see BULLETIN
for June 1946, pp. 588-612.
1
SEPTEMBER
1951
1183
DEPARTMENT STORE STATISTICS—Continued
SALES AND STOCKS BY MAJOR DEPARTMENTS
Percentage change
from a year ago
(value)
Number of
stores
reporting
Department
Sales during
period
June
1951
GRAND TOTAL—entire store 3.
353
MAIN STORE—total
353
Piece goods and household textiles
Piece goods
Silks, velvets, and synthetics
Woolen yard goods
Cotton yard goods
Household textiles
Linens and towels
Domestics—muslins, sheetings
Blankets, comforters, and spreads
314
291
192
173
185
305
274
251
239
,
,
Small wares
Laces, trimmings, embroideries, and ribbons.
Notions
Toilet articles, drug sundries
,
Silverware and jewelry 4
Silverware and clocks
Costume jewelry 4
,
Fine jewelry and watches 4
Art needlework
,
Books and stationery
,
Books and magazines
Stationery
342
205
238
328
310
215
274
76
234
271
130
240
W o m e n ' s and misses' apparel and accessories
Women's and misses' ready-to-wear accessories.
Neckwear and scarfs
Handkerchiefs
Millinery
Women's and children's gloves
,
Corsets and brassieres
,
Women's and children's hosiery
,
Underwear, slips, and negligees
,
Knit underwear
,
Silk and muslin underwear, and slips
Negligees, robes, and lounging apparel
Infants' wear
Handbags and small leather goods
,
Women's and children's
shoes
,
Children's shoes4 4
Women's shoes
,
Women's and misses' ready-to-wear apparel...,
Women's4 and misses' coats and suits
Coats
Suits *
,
Juniors' and girls' wear
,
Juniors' coats, suits, and dresses
Girls' wear
Women's and misses' dresses
Inexpensive dresses 4
Better dresses 4
Blouses, skirts, and sportswear
Aprons, housedresses, and uniforms
Furs
350
350
307
280
162
322
338
342
342
249
282
254
323
332
242
212
223
350
338
211
205
313
274
313
341
257
270
340
290
264
Men's and boys' wear
Men's clothing
Men's furnishings and hats
Boys' wear
Men's and boys' shoes and slippers
331
253
316
300
193
Homef urnishings
Furniture and bedding
4
Mattresses, springs, and studio beds
Upholstered and other furniture 4
Domestic floor coverings
Rugs and 4carpets 4
Linoleum
Draperies, curtains, and upholstery
Lamps and shades
China and glassware
Major household appliances
Housewares (including small appliances)
Gift shop 4
Radios, phonographs, television, records,
etc. 4 .
Radios, phonographs, television 4
4
Records, sheet music, and instruments . . . .
319
247
169
179
275
159
106
296
248
253
239
258
170
229
174
124
Miscellaneous merchandise departments. . .
Toys, games, sporting goods, cameras
Toys and games
Sporting goods and cameras
Luggage
Candy 4
318
296
242
144
263
192
+2
+2
+3
+1
+3
+ 12
-1
+4
4-3
+5
+5
+7
+4
+3
+9
+4
0
+4
+ 12
+7
+10
+13
+8
+2
+3
+ 14
-3
+4
+1
+2
+1
+1
2
+ 11
+6
+3
+2
+6
+1
+2
+ 16
+16
+ 10
+4
+4
+6
j
+1
+3
-9
+19
+2
+5
0
+3
+6
Ratio of
stocks to
sales i
Stocks
(end of
month)
+8
+9
+14
+2
+2
+31
3.5
2.8
+32
+40
+ 16
+10
+35
+ 16
+55
+37
+67
+73
3.8
5.0
4.3
4.4
20.3
2.5
5.3
5.4
5.2
5.2
-5
+7
+7
+9
-2
-1
+4
+10
+8
+8
+ 13
+4
+ 11
+6
+3
+8
+5
+9
+7
+9
+ 11
+5
+6
+6
+7
+5
+5
+6
+6
+2
+37
+7
+10
+5
+3
+13
+18
+10
+ 16
+17
+24
+43
+6
+17
+26
+ 10
+5
+ 12
+21
+23
+24
+19
+4
+ 19
+22
+34
+22
+31
+ 18
+ 11
+25
+16
+22
+ 16
+22
+18
+37
+43
+34
+19
+ 17
+20
+3
0
+5
+21
+10
+23
+31
+40
+29
+ 17
+26
-27
+ 12
0
-11
+ 12
+42
+34
+78
+27
+47
+51
+8
+23
+23
+16
+93
+47
+21
+93
+107
+ 19
+8
+8
+7
+9
+8
+3
+48
+65
+92
+36
+23
+ 10
-5
^
-10
+1
-2
+6
+6
+25
+7
+8
+ 10
+6
+10
+8
1951
June
1951
+11
+ 14
+16
+12
+23
+26
+3
+10
0
+10
+5
+ 15
+8
0
+2
+5
+2
Sales during
period
June
Six
months
1951
+5
+23
+ 13
+37
+ 17
+6
+7
+5
+9
+5
+10
-1
+12
+1
+2
+2
+2
0
-2
Index numbers
without seasonal adjustment
1941 average monthly sales = 100
1951
8
Stocks at end
of month
1950
1951
1950
1950
June
June
June
May
765
831
579
903
868
802
739
597
546
992
,165
851
715
967
933
909
912
983 1,030
948
905
619
635
488
842
621
604
663
590
529
June
May
3.0
200
208
195
3.7
3.8
4.1
16.9
2.2
3.6
4.1
3.3
3.2
174
171
123
57
282
176
168
190
174
185
207
160
59
332
177
159
200
171
169
169
120
51
284
169
163
180
166
3.9
3.2
3.0
3.6
4.7
6.3
2.9
6.6
6.8
3.8
3.3
3.9
3.5
3.0
2.7
3.4
4.0
4.4
2.8
6.3
5.8
3.7
3.6
3.8
180
232
273
158
199
176
262
291
151
191
168
223
265
146
191
701
750
806
744
889
832
599
573
945 1,020
596
674
717
490
759
115
159
137
161
117
152
129
149
108
145
121
149
790
599
451
632
831
653
477
674
625
542
439
562
2.7
3.3
2.4
4.7
1.1
5.7
2.9
2.4
3.1
3.4
3.2
2.3
3.7
2.4
4.7
4.8
4.7
2 1
3.2
3.4
188
186
211
107
111
98
286
139
211
256
197
181
218
175
215
215
209
265
120
148
138
281
161
237
282
227
227
231
203
240
183
181
186
108
115
94
282
136
209
253
201
162
205
171
210
510
622
499
501
126
559
844
343
654
866
634
412
811
419
1,021
571
684
586
549
158
590
897
384
722
939
712
503
867
487
1,136
422
506
400
420
119
469
688
255
538
661
531
373
645
360
835
189
89
222
146
186
77
394
283
448
304
335
206
1.4
2.8
1.2
0.9
1.7
2.1
1 .7
28.2
2.3
2.8
2.2
3.9
1.0
5.0
2.4
1.9
2.6
2.6
2.7
2.3
3.2
2.1
4.0
4.4
3.9
1.8
2.7
2.7
2.6
1.:
1.3
2.5
1.2
0.9
1.6
1.8
1.4
27.2
218
236
211
237
250
247
233
280
210
227
199
238
444
335
600
293
515
365
663
366
373
284
497
286
292
249
16
288
287
27
283
275
13
605
429
440
731
491
383
503
387
331
3.7
4.3
3.1
4.6
4.5
2.9
3.2
2.4
4.0
3.8
234
228
256
169
234
184
203
169
179
185
867
973
229
974 1,089
218
893
255
784
866
164
769
221 1,054 1,141
663
695
605
656
838
5.3
4.9
3.0
5.6
7.1
7.4
4.3
4.4
4.8
7.3
6.0
4.1
5.1
7.8
8.8
6.1
3.7
3.8
1.8
4.5
4.6
4.8
3.5
3.6
3.8
6.7
2.3
3.1
4.4
4.1
3.8
6.4
223
213
232
221
223 1,189
208 1,053
1,241
1,066
831
779
173
208
181 1,225 1,270
825
213
170
176
217
333
254
190
161
219
321
211
933
174
815
165 1,280
296 1,298
296 1,375
3.5
5.7
7.6
4.2
2.8
1.3
2.6
3.8
4.3
3.3
2.5
1.3
199
196
144
212
322
202
152
125
152
242
185
699
826
182 1,123 1,125
131 1,092 M01
200
898
948
293
907 1,021
751
986
658
890
1,211 1,097
664
1,479
927
1,460
473
683
564
663
727
For footnotes see following page.
1184
FEDERAL RESERVE BULLETIN
DEPARTMENT STORE STATISTICS—Continued
SALES A N D STOCKS BY MAJOR DEPARTMENTS—Continued
Ratio of •
stocks to
sales *
Percentage
change from a
year ago (value)
Number of
stores
reporting
Department
Sales
during
period
June
1951
BASEMENT STORE—total
.
197
Domestics and blankets 4
135
Women's and misses' ready-to-wear
4
Intimate apparel
Coats and
suits 4
Dresses 4
Blouses, skirts, and sportswear 4
Girls' wear 4 4
Infants' wear
190
165
174
174
157
121
120
Men's and boys'
wear
Men's wear 4
Men's clothing 4 4
Men's furnishings
Boys' wear 4
157
135
94
116
117
...
Stocks
(end of
month)
Six
months
1951
+1
+2
0
+2
+7
-5
+1
+4
+8
+4
+3
+ 11
-1
+6
+7
+19
+5
+ 10
+2
+4
+4
+6
+9
+8
+8
+ 10
+7
+5
Homef urnishings
103
-4
+6
Shoes
119
NONMERCHANDISE—total4
168
+2
+2
+11
+7
Barber and beauty shop 4
June
1951
Index numbers
without seasonal adjustment
1941 average monthly sales = 100 *
Sales during
period
June
1951
1951
Stocks at end
of month
1951
1950
1950
1950
June
May
June
June
May
June
212
216
210
494
547
389
+26
2.3
1.9
+59
3.8
2.4
+17
+24
+ 16
+2
+17
+15
+30
1.8
2.3
2.4
0.9
1.6
2.0
2.8
1.5
1.9
2.2
0.9
1.4
1.8
2.3
204
224
204
359
397
304
+29
+29
+31
+29
+ 18
+40
2.3
2.1
2.3
1.9
3.1
1.8
1.7
2.0
1.4
2.8
287
228
277
654
758
501
3.6
2.4
179
207
186
646
674
464
+20
3.2
2.7
182
180
178
581
642
484
72
1
The ratio of stocks to sales is obtained by dividing stocks at the end of the month by sales during the month and hence indicates the number
-of months' supply on hand at the end of the month in terms of sales for that month.
* The 1941 average of monthly sales for each department is used as a base in computing the sales index for that department. The stocks
index is derived by applying to the sales index for each month the corresponding stocks-sales ratio. For description and monthly indexes of
sales and stocks by department groups for back years, see BULLETIN for August 1946, pp. 856-858. The titles of the tables on pp. 857 and 858
were reversed.
*4 For movements of total department store sales and stocks see the indexes for the United States on p. 1183.
Index numbers of sales and stocks
for this department are not available for publication separately; the department, however, is included
6
in group and total indexes.
Data not available.
NOTE.—Based on reports from a group of large department stores located in various cities throughout the country. In 1950, sales and stocks
at these stores accounted for almost 50 per cent of estimated total department store sales and stocks. Not all stores report data for all of the
departments shown; consequently, the sample for the individual departments is not so comprehensive as that for the total.
SALES, STOCKS, ORDERS, AND RECEIPTS
AT 296 DEPARTMENT STORES *
[In millions of dollars]
1942 average...
1943 average...
1944 average...
1945 average...
1946 average...
1947 average...
1948 average...
1949 average...
1950 average...
1950—July. . . .
Aug
Sept
Oct
Nov
Dec
1951—Jan
Feb
Mar
Apr
May.. . .
June.. . .
July....
Sales
(total
for
month)
179
204
227
255
318
337
352
333
347
292
331
r
369
••360
••406
'615
337
'284
347
'312
'339
326
P257
Stocks
(end of
month)
599
509
535
563
715
826
912
862
'942
'791
918
1,025
1,168
1,209
'956
'992
1,089
1,217
1,240
1,193
1,112
Pi,065
Outstanding
orders
(end of
month)
Receipts
(total
for
month)
New
orders
(total
for
month)
263
530
560
729
909
552
465
350
466
693
755
'700
593
'444
412
'657
'652
467
'338
'295
386
P433
182
203
226
256
344
338
366
331
361
'246
'458
'476
'503
'447
'362
'373
'381
'475
'335
'292
245
192
223
236
269
327
336
345
331
370
'569
'520
'421
'396
'298
'330
'618
'376
'290
'206
'249
336
P257
P210
r
9 Preliminary.
Revised.
i These figures are not estimates for all department stores in the
United States. Figures for sales, stocks, and outstanding orders are
based on actual reports from the 296 stores. Receipts of goods are
derived from the reported figures on sales and stocks. New orders
are derived from estimates of receipts and reported figures on outstanding orders.
Back figures.—Division of Research and Statistics.
SEPTEMBER 1951
Without seasonal adjustment
Derived data 1
Reported data
Year or month
WEEKLY INDEX OF SALES
[Weeks ending on dates shown. 1935-39 average = 100]
1949
1
8....
15....
22....
29
Nov. 5 . . . .
12
19
26....
Dec. 3 . . . .
10....
17....
24....
31
Oct.
1950
1950
.302
.297
.29C
.296
.298
.315
.318
.342
.330
.449
.542
.584
.541
.197
Sept. 3 0 . . . . .320 Apr.
.325
Oct. 7
14
21
28
Nov. 4
11
18
25
Dec. 2 . . . .
9....
16....
23....
30....
1950
.322
.304
.313
.315 May
.342
.368
.319
.444 June
.554
.638
.640
.237 July
1951
7 . . . . .205 Jan.
6 . . . . .285
.305 Aug.
.301
.278
.234
.273 Sept.
.272
18.
2 5 ' ' I ' 221
24 '... 274
Mar. 4:.. .. [244 Mar. 3.'.'.'.' .*2 88
1 0 . . . . .303
1 1 . . . . .253
1 7 . . . . .292
1 8 . . . . .264
2 4 . . . . .304
25
.279
Jan.
14....
21....
28....
Feb. 4
11
13....
.233
20....
.230
2
7....
.222
.226 Feb. 3 . . . .
1
0....
.238
17.
.231
1
8....
15....
22
29
6
13
20
27
3
10
17
24
1....
8....
15....
22....
29....
5....
12....
19
26....
2
9
16....
23....
1951
.301
.320
.254
.279
.285
.301
.308
.275
.282
.261
.302
.302
.250
.263
.218
.265
.303
.295
.296
.273
.281
.288
.310
.295
.368
.322
Mar. 3 1 . . . ..258
Apr. 7 . . . . .292
14... ..288
2 1 . . . ..281
2 8 . . . ..293
M a y 5 . . . ..326
1 2 . . . ..318
1 9 . . . ..285
2 6 . . . ..290
June 2 . . . ..273
9 . . . ..311
1 6 . . . ..305
2 3 . . . ..265
30. . ..258
July 7 . . ..218
14. . ..238
2 1 . . ..234
2 8 . . . 232
Aug. 4 . . . .'254
1 1 . . . . .252
1 8 . . . . .268
2 5 . . . ..279
Sept. 1 . . . ..300
8.
15
22...
' Revised.
NOTE.—For description of series and for back figures, see BULLETIN
for September 1944 ,pp. 874-875.
1185
DEPARTMENT STORE STATISTICS—Continued
SALES BY FEDERAL RESERVE DISTRICTS AND BY CITIES
[Percentage change from corresponding period of preceding year]
July Tune 7
1951 1951 mos.
1951
United
States..
Boston
New H a v e n . . . .
Portland
Boston Area....
Downtown
Boston
LowellLawrence
New Bedford...
Springfield
Worcester
Providence
New York
Bridgeport *.. . .
Newark 1
Albany
Binghamton
Buffalo i
Elmira
Niagara Falls.. .
New York City *
Poughkeepsie...
Rochester i
Schenectady.
..
Syracuse x
Utica
Philadelphia...
Trenton l
Lancaster i
Philadelphia *. .
Reading *
Wilkes-Barre K.
York i
Cleveland
Akron x 1
Canton
Cincinnati 1 . . . .
Cleveland 1*
Columbus
Springfield *
Toledo i
Youngstown 2 . .
-16
-10
-6
-9
-7
+2
-1
7
July June
1951 1951 mos.
1951
+6
+3
+6
+6
+4
+4
9
0
-11
-16
0 +3
—9
+6
+1 +9
-5
- 1 6 +4 +4
-4
- 6 +U +10
-6
+6 + 11
- 9 + 11 + 11
Q
+9 + 13
-16
+5
-4
— 7 +4
+9
— 16 + 1 + 11
-7
+5 +7
- 5 + 14 + 10
-16
+2
-3
-3
+3 +9
-1
+8
-1
+6 +9
+9 +5
0
-13
+6
-2
-15
+6
- 1 0 +2 +6
-1
+5
-9
+6
-9
0
-23
- 1 3 + 1 +9
- 1 5 +2 +8
- 1 3 +4 + 10
-15
+8 +8
-16
+3
- 1 4 +5 + 10
-13
0 +6
+3 +5
+4 +10
- 1 0 + 13 + 16
Cleveland-cont.
Erie 1
Pittsburgh *. . . .
Wheeling 1. . . .
Richmond.... 1
Washington .. .
Baltimore
Hagerstown. . . .
Asheville, N. C.
Raleigh
Winston-Salem.
Anderson, S.C..
Charleston
Columbia
Greenville, S. C.
Lynchburg
Norfolk
Richmond
Roanoke
Ch'ls'ton.W.Va.
Huntington
Atlanta
Birmingham *. .
Mobile
Montgomery 1J . .
Jacksonville
...
Miami x
Orlando
St. Petersburg..
Tampa 1
Atlanta *
Augusta
Columbus
Macon x
Rome
Savannah
Baton Rouge 11..
New Orleans
..
Jackson 1
Meridian
Bristol
Chattanooga
*..
Knoxville 11
Nashville
-12
-16
-14
-19
-8
-22
-10
27
July June
1951 1951 mos.
1951
-14
Chicago x
-1
+7 Dallas
+2!
-20
-11
-1
Chicago
+6 Shreveport
-17
>-17
6
Peoria *
+4 Corpus1 Christi.. - 2 6
1
-20
0
Fort Wayne 2 ..
+8 Dallas
-22
-6
Indianapolis .. .
- 1 8 +6
+6 +9 El Paso
-10
Terre Haute \.
23
-2
+5 Fort Worth
+3
-19
Des Moines.
..
- 1 1 + 11
-3
+2 Houston l
1
-15
-22
Detroit
+3 + 10 San Antonio
- 3 0 -10 +2
Flint i
-12
Grand Rapids.
+3
+5 +20 San Francisco -21
2 + 10 Phoenix i
-21
Lansing
-19 + 1
-13
Milwaukee l...
+
18
3
+2 +7 Tucson
1
-9
Bay *.. .
+2 Bakersfield
-7
.... - 3 6
-3
x
- 5 Green
-10
Madison
-3
2
4
Fresno
+6
3
+ 16
Long Beach i.. . - 2 2
+4
2
2
Los
Angeles
*...
+3
-19
-3
+2
+3 St. Louis
and
-17
+8 Fort Smith....
+ 1 +72 Oakland
Berkeley l
P-21
+5
+8 Little Rock *. . . -23 - 7
Riverside
and
-23
Evansville
+6
+3
+3
x
-29 r-\
San
Bernardino
-20
+ 1 +2
+7 Louisville
1
-20
+7 +7 Sacramento1 . .. -16 +3
+4 Quincy
San Diego . . . . -18 + 10
'-18
-3
St. Louis i
+4 St. Louis Area.. '-17 - 3 +2 San Francisco !
-15 +4
+2
+3 Springfield
Jose » x
—22
+4
-22
+4
0 San
+4 Memphis 1
- 2 2 +16
Santa
Rosa
.
.
.
-15
-4
+2 Stockton
-1
-25
+3
+7
and
-19
+3 Vallejo
-3
- 6 +20
+ 10 Minneapolis...
Napa i
+ 13 Minneapolis K. . -18 - 1 +3 Boise and
-26
-3
—7
-26 - 6
+10 St. P a u P
Nampa
-23 +2
Portland
+ 1 Duluth1
-15
+1 Salt Lake City *. -14 +4
+5 Superior
1
-25 -2!
Bellingham
.
.
.
+19
+4 Everett 1
-20; + 1
0
+8 Kansas City.. . -25
+4 Seattle i 1
-20
-2
+6J
+ 10 Denver
-22
+4 +4 Spokane1
16| +5
- 3 Pueblo
17 +2!
+9 Hutchinson.... -34 +1 +1 Tacoma 1
-27
31 i +4i
- 1 0 Topeka
— 1 +8 Yakima
-13 +11 +17
- 2 Wichita
- 3 Kansas City.... -32
0 +3
-25
0 Joplin
+ 1 +7
-22
- 2 St. Joseph
+6 +4
-12
+6 +8
+5 Omaha
+5 Oklahoma City. - 2 8 - 2
-32
-7
0 Tulsa
+1
I
+4 +10
0
+7
-2
+3
+5 +5
+ 1 +3
+ 1 +6
2
+6
+3 + 1
-10 -12
+8 +3
+ 17 +8
-18
+7
- 3 4 + 11
- 9 +41
- 2 3 +28
+2
+ 13 + 13
-8
+4
-17
+4
-11
+1
-21
2
-16
+3
-15
-1
-17
+9
-17
0
-8
+9
-11
+4
—5 + 12
-21
+3
-26
+4
-18
+1
- 4 +24
-13
+4
-11
-19
-11
-26
-17
-22
-9
-18
-20
—9
-10
July Tune 7
1951 1951 mos.
1951
+6
0
±1
-1
-3
-1
_2
+3
+7
-2
+4
+3
0
+3
+3
+2
+ 15
0
+5
+7
+ 13
-1
+6
+3
+3
+4
+1
+7
+8
+5
+4
4-S
+1
+ 17
-1
+5
+10
+4
+10
+7
+6
+3
r
v Preliminary.
Revised.
1
Indexes for these cities may be obtained on request from the Federal Reserve Bank in the district in which the city is located.
CONSUMERS' PRICES 1
[Bureau of Labor Statistics index for moderate income families in large cities, 1935-39 average =100]
Year or month
1929
1933
.
1940
1941
1942
1943
1944 .
1945
1946
1947
1948
1949
1950
1950—July
August
September
October
November
December
1951—January
February
March
April
May
Tune
Tuly
All items
Food
Apparel
Rent
Fuel, electricity,
and refrigeration
House
furnishings
Miscellaneous
122.5
92.4
100 2
105.2
116 6
123.7
125 7
128 6
139.5
159 6
171 9
170.2
171.9
172 0
173.4
174.6
175 6
176 4
178.8
181.5
183 8
184.5
184.6
185.4
185 2
185.5
132.5
84.1
96.6
105.5
123.9
138.0
136.1
139.1
159.6
193.8
210.2
201.9
204.5
208.2
209.9
210.0
210.6
210.8
216.3
221.9
226.0
226.2
225.7
227.4
226.9
227.7
115.3
87.9
101.7
106.3
124.2
129.7
138.8
145.9
160.2
185.8
198.0
190.1
187.7
184.5
185.7
189.8
193.0
194.3
195.5
198.5
202.0
203.1
203.6
204.0
204.0
203.3
141.4
100.7
104.6
106.4
108.8
108.7
109.1
109.5
110.1
113 6
121.2
126.4
131.0
131.3
131.6
131.8
132.0
132.5
132.9
133.2
134.0
134.7
135.1
135.4
135.7
136.2
112.5
100.0
99.7
102.2
105.4
107.7
109.8
110.3
112.4
121.2
133.9
137.5
140.6
139.4
140.2
141.2
142 0
142.5
142.8
143.3
143 9
144.2
144.0
143.6
143 6
144.0
111.7
84.2
100 5
107.3
122 2
125.6
136 4
145.8
159.2
184.4
195.8
189.0
190.2
186.1
189.1
194.2
198 7
201.1
203.2
207.4
209 7
210.7
211.8
212.6
212 5
212.4
104.6
98.4
101 1
104 0
110 9
115.8
121 3
124.1
128.8
139 9
149.9
154.7
156.5
155 2
156.8
157.8
158 3
159.2
160.6
162.1
163.2
164.3
164.6
165.0
164 8
165.0
T
1
Revised.
Adjusted series reflecting: (1) beginning 1940, allowances for rents of new housing units and (2) beginning January 1950, interim revision
of series and weights.
Back figures.—Bureau of Labor Statistics, Department of Labor.
1186
FEDERAL RESERVE BULLETIN
WHOLESALE PRICES, BY GROUPS OF COMMODITIES
[Index numbers
of the Bureau of Labor Statistics. 1926
Other
All
w e e k mc oo dm i - ties
v
'" i, or
Farm
products
Foods
Total
Hides
and
leather
products
=100]
commodities
Textile
products
Fuel
Metals
and
and
lighting metal
mateprodrials
ucts
Building
materials
Chemi- Housecals and furallied
nishproding
ucts
goods
Miscellaneous
R a w
materials
Manufactured
products
1929
1930
1931
1932
1933
1934
1935
1936 . .
1937
1938
1 9 3 9 . . . .
1940
1941
1942
1943
1944
1945
1946
1947
1948
1949. . . .
1950
95.3
86.4
73.0
64 8
65 9
74.9
80.0
80 8
86.3
78.6
77 1
78.6
87.3
98 8
103 1
104.0
105.8
121 1
152.1
165 1
155 0
161.5
104.9
88 3
64.8
48 2
51 4
65.3
78.8
80 9
86 4
68.5
65 3
67.7
82.4
105 9
122 6
123.3
128.2
148 9
181.2
188.3
165 5
170.4
99.9
90.5
74.6
61 0
60 5
70.5
83.7
82 1
85.5
73.6
70 4
71.3
82.7
99 6
106 6
104.9
106.2
130 7
168.7
179.1
161 4
166.2
91.6
85.2
75.0
70 2
71.2
78.4
77.9
79.6
85.3
81.7
81 3
83.0
89.0
95 5
96.9
98.5
99.7
109 5
135.2
151.0
147 3
153.2
109.1
100 0
86.1
72 9
80 9
86.6
89.6
95 4
104.6
92.8
95 6
100.8
108.3
117 7
117 5
116.7
118.1
137 2
182.4
188.8
180 4
191.9
90.4
80.3
66.3
54 9
64.8
72.9
70.9
71.5
76.3
66.7
69 7
73.8
84.8
96 9
97 4
98.4
100.1
116 3
141.7
149.8
140 4
148.0
83.0
78.5
67.5
70 3
66 3
73.3
73.5
76 2
77 6
76.5
73 1
71.7
76.2
78 5
80 8
83.0
84.0
90 1
108.7
134.2
131.7
133.2
100.5
92.1
84.5
80 2
79.8
86.9
86.4
87 0
95 7
95.7
94 4
95.8
99.4
103 8
103.8
103.8
104.7
115.5
145.0
163.6
170 2
173.6
95.4
89.9
79.2
71 4
77.0
86.2
85.3
86 7
95.2
90.3
90 5
94.8
103.2
110 2
111.4
115.5
117.8
132 6
179 7
199.1
193 4
206 0
94.0
88 7
79.3
73 9
72 1
75.3
79.0
78 7
82 6
77.0
76 0
77 0
84.4
95 5
94 9
95.2
95.2
101 4
127 3
135.7
118 6
122.7
94.3
92.7
84.9
75 1
75 8
81.5
80.6
81 7
89.7
86.8
86 3
88.5
94.3
102 4
102.7
104.3
104.5
111 6
131.1
144.5
145 3
153.2
82.6
77.7
69.8
64 4
62.5
69.7
68.3
70 5
77.8
73.3
74 8
77.3
82.0
89 7
92.2
93.6
94.7
100 3
115.5
120.5
112 3
120.9
M7.5
84 3
65.6
55 1
56.5
68.6
77.1
79.9
84.8
72.0
70 2
71.9
83.5
100 6
112.1
113.2
116.8
134.7
165.6
178.4
163.9
172.4
94.5
88.0
77.0
70.3
70.5
78.2
82.2
82.0
87.2
82.2
80.4
81.6
89.1
98.6
100.1
100.8
101.8
116.1
146.0
159.4
151.2
156.8
1950—ju]y
August
September.
October. . . .
November
December
162.9
166.4
169.5
169 1
171.7
175.3
176
177
180
177
183
187
171.4
174.6
177.2
172.5
175.2
179.0
151 6
155.5
159.2
161.5
163.7
166.7
187
195
203
208
211
218
142 6
149.5
158.3
163 1
166.8
171.4
133.5
134.2
134.9
135 3
135.7
135.7
172.4
174.4
176.7
178.6
180.4
184.9
207 2
213 9
219.7
218 9
217 8
221.4
118
122
128
132
135
139
148 7
153.9
159.2
163 8
166.9
170.2
119
124
127
131
137
140
175.8
179.1
181.8
180.2
184.5
187.1
158.0
161.2
164.0
163.5
165.1
169.0
136.4
138 1
138.6
138.1
137 5
137 8
137.8
1
1
1
1
1
1
1
226.1
144
228 1 147
228.5
146
228.5
147
227 8 1 4 S
225 6 1 4 2
139
223.8
192.6
199 1
199.4
197.7
195.5
194.7
189.8
173.1
175.5
175.8
176.1
176.2
175.6
175.1
7
7
7
7
188.2
188 2
188.2
188.2
224
224
224
224
.2
2
.2
.2
140 5
139 1
138.2
139.8
.7
.8
8
.8
188.1
188.1
188 1
188.2
223
222
221
221
.6
.3
7
.7
140
139
140
140
0
.6
.4
8
.7
.4
2
.6
.0
6
.5
.7
1951—January . . 180.1
F e b r u a r y . . . . 183 6
March
184 0
April
183.6
182 9
May
r
Tune
181 8
179.5
July
194.2
202 6
203.8
202.5
199 6
198 6
194.0
170.3
182.2
187 6 171 8
172.4
186.6
185.8
172.3
187 3 1 7 1 6
1 8 6 . 3 170 6
168.7
186.0
178.2
234.8
238.2
181 1
183.2
236.2
233.3
182.8
232 6 1 8 2 1
230 6 1 7 8 2
173.5
221.9
Week ending:1
1951—juiy
jo
Tuly 17.
July 24
Tuly 31
179.7
178 7
178.0
177.6
196.3
191 5
189.0
189.9
186.2
186 4
185.0
185.9
168.2
168 0
167.7
166.9
177.1
176 5
175.5
172.6
137.
137
137.
137.
177.8
177.2
176 7
176.8
192
190
188
188
188.7
187.4
186 0
187.4
166.3
166.1
165 9
165.9
16
16
16
16
137
137
137
137
.
Aug
7
Aug 14
Aug. 21
Aug. 28
.0
.9
6
.7
1950
9.6
8.5
8.1
8.1
174.7
.5
3 175 4
4 178 8
180.1
.9
7 180 0
1
3 79 4
.4
178.9
.
.
.
.
.
0
3
4
3
6
5
142.4
142 7
142.5
142.7
141 7
141 7
138.8
.0
.9
0
.0
1951
1950
Subgroups
July
Products:
Grains
Livestock and poultry..
Other farm products
7.5
8.1
8.8
9.0
8.8
8.2
8.0
1951
Subgroups
Farm
8
8
8
8
8
8
8
1
5
.7
2
7
.6
Apr.
June
May
July
July
173.5 189.1 185.6 178.6 178.0
215 8 240 9 234 8 235 8 233 9
1 5 1 . 8 1 8 1 . 7 1 8 1 . 0 180 4 1 7 3 . 1
Dairv products
141 8 166 6
Cereal products
151.2 164.5
Fruits and vegetables
137.0 140.0
Meats, poultry and fish.... 240.7 255.1
Other foods
145 1 158 8
Hides
and Leather
Products'
Shoes
185 8 2 2 3 . 5
Hides and skins
219.8 297.8
Leather
185.3 228.7
Other leather products
143.1 180.6
Textile
Products:
Clothing
144.3 163.9
Cotton goods
190 7 236 2
Hosiery and underwear
99.2 113.5
Silk
60.3
85.2
Rayon and nvlon
40 7 43 1
Woolen and worsted goods... 150.9 243.7
Other textileproducts
168.5 249.2
Fuel and Lighting
Materials:
Anthracite
141.0 152.8
Bituminous coal
191.9 195.6
225 6 2 3 4 . 8
Coke
67.0
Electricity
64.8
88.3
Gas
93.3
115.5 120.0
Petroleum products
164 9
163.6
146.5
257.2
160 7
163
162
146
255
160
4
.3
.3
2
8
223.8
293.8
228.2
180.6
223
284.
227
180.
3
3
5
6
222 4
250.7
216 8
180.6
164.0
234 1
1 1 3 . 4
76.3
43 1
'244.5
247.0
164.0
228 7
112.9
73.2
43 1
'228.7
'250.1
164.8
217 8
111.2
71.1
43 1
221.6
239.6
151.0
195.2
234 8
64.7
92.9
119.7
152.5 153.5
195.4 194.5
234 8 234 8
r
92.9
120.0
167
162.
144.
254.
158
5
3
3
6
5
120.4
Metals
Apr.
May
and Metal
Products:
Agriculturalmach. & equip.. . 144.0 159.1 159.1
Farm machinery.
146 2 161 1 161 1
Iron and steel
169 8 1 8 5 . 9 1 8 5 . 9
Motor vehicles
175 1 184 1 184 1
150 6 184 1 182 8
Nonferrous metals
Plumbing and heating
156.5 183.7 183.7
Building
Materials:
Brick and tile
165 4 1 8 0 . 8 1 8 0 . 8
135 3 147 2 147 2
Cement . .
Lumber
338 0 361 0 r3^8 8
138 6 164 7 163 7
Paint and paint materials
Plumbing and heating
156.5 183.7 183.6
191 6 2 0 4 . 3 2 0 4 . 3
Structural steel....
Other building materials
177.4 198.3 198.2
Chemicals
and Allied
Products:
Chemicals
119.1 145.0 145.2
129 1 184 5 185 2
Drugs and Pharmaceuticals
110.1 117.8 117.1
Fertilizer materials
103.4 108.6 108.6
Mixed fertilizers
Oils and fats
126 0 198 7 1 8 1 0
House furnishing
Goods:
156.2 195.9 195.9
Furnishings
Furniture
141 0 163 1 162 9
Miscellaneous:
68.7
82.8
82.8
Auto tiresand tubes
240 5 2 6 1 . 9 244 9
Cattle feed
159.8 196.2 196.2
78.4 137.5 135.1
Rubber, crude
121.7 136.7 136.7
Other miscellaneous
June
July
159.1
161.1
185.9
184.3
178 2
183.6
158
160
185
184
175
183
180.8
147 2
352 3
161 6
183.6
204.3
198.1
180.8
147.2
347 2
159.1
183.6
204.3
198.1
144.0
185 3
115.1
108.6
161 2
143.1
184.7
119.0
108.6
139.3
.
.
.
.
9
9
9
6
6
.6
196.0 194.6
161 5 1 6 2 . 3
82.8
245 0
196.2
135.1
136.7
82.9
240.3
197.2
106.6
136.3
r
Revised.
Weekly indexes are based on an abbreviated sample not comparable with monthly data.
Back figures.—Bureau of Labor Statistics, Department of Labor.
1
SEPTEMBER
1951
1187
GROSS NATIONAL PRODUCT, NATIONAL INCOME, AND PERSONAL INCOME
[Estimates of the Department of Commerce.
In billions of dollars]
RELATION OF GROSS NATIONAL PRODUCT, NATIONAL INCOME, PERSONAL INCOME, AND SAVING
Seasonally adjusted annual rates
by quarters
Annual totals
1950
1929
1933
1941
1939
1946
1947
1948
1949
2
Gross national product
Less: Capital consumption allowances. .
Indirect business tax and related
liabilities
Business transfer payments
Statistical discrepancy
Plus: Subsidies less current surplus of
government enterprises
Equals: National income
Less: Corporate profits and inventory
valuation adjustment
Contributions for social insurance
Excess of wage accruals over
disbursements
Plus: Government transfer payments...
Net interest paid by government...
Dividends
Business transfer payments
Equals: Personal income
Less: Personal tax and related payments.
Federal
State and local
Equals: Disposable personal income.
Less:Personal consumption expenditures
Equals: Personal saving
1951
1950
3
4
2
1
91.3 126.4 211.1 233.3 259.0 257.3 282.6 275 0 287.4 303.7 318 5 325 6
103.8
55.8
8.8
7.2
8.1
9.3
12.2
14.8
7.0
.6
-.1
7.1
.7
1.2
9.4
.5
1.4
11.3
5
1.6
17.3
.6
1.7
18.7 20.4
7
7
.3 - 3 . 2
-.1
87.4
C1)
39.6
10.3
.2
-2.0
.3
5.8
2.1
14.6
2.8
.0
.9
1.0
5.8
.0
1.5
1.2
2.1
6
7
.0
2.5
1.2
3.8
85.1
2.6
1.3
1.4
82.5
78.8
3.7
46.6
1.5
.5
1.0
45.2
46.3
—1.2
72.6
2.4
1.2
1.2
70.2
67.5
2 7
.0
.0
.0
.0
.0
.0
.0
.0
14.3 14.2 11.0 11.1
11.8
2.6 10.9 11.1
4.7
4.7
4.7
4.8
4.4
4.7
1.3
4.4
9.2
8.4
9.4 11.1
9.7
5.8
6 6
4.55
7
7
7
7
6
8
8
8
8
8
95.3 177.7 191.0 209.5 205.1 224.7 217.1 227.3 238.3 244.1 250.0
18.8 21 5 21 1 18.6 20.5
19.5
3.3
20.2 23.1 26.6 27.1
2.0 17.2 19.6 19.0 16.2 17.8 16.9 17.5 20.3 23.8 24.2
2.9
2.8
2 1
2 5
2 7
1 3
1.6
1 9
2 7
2.7
2 7
92.0 158.9 169.5 188.4 186.4 204.3 197.5 207.1 215.2 217.5 222.8
82.3 146.9 165.6 177.9 180.2 193.6 188.7 202.5 198.4 208.2 201.7
6 3 10 7
9 8 12.0
3 9 10 5
8 9
4.6 16 8
9.3 21.1
21.2
22.2
22.6
22.9
23.3 25.3 24.3
8
8
7
.4 - 6 . 4 - 3 . 4
25.9
8
.5
24.8
8
n.a.
.1
.9
— .1
7 —l
2
0
0
8
.3
.5
72.5 103.8 180.3 198.7 223.5 216.7 239.0 230.6 245.8 260.1 269.4
n.a.
5
18.3
6.0
24.7
5.7
17.6
31.7
5.2
.0
10.5
4.5
7.2
19.1
20.7
21.7 23.8
8
7
- . 8 -1.8
30.5
5.7
.0
11.6
4.6
7.6
36.2
7.0
34.8
6.8
21.8
37.4
7.0
42.2
7.4
3
42.9
8.3
.0
11.5
4.8
8.8
n.a.
8.4
NATIONAL INCOME, BY DISTRIBUTIVE SHARES
Seasonally adjusted annual rates
by quarters
Annual totals
1950
1929
1933
1939
1941
1946
1947
1948
1949
2
National income
. .
Compensation of employees
Wages and salaries *
Private
Military
Government civilian
. .
Supplements to wages and salaries..
Proprietors' and rental i n c o m e 3 . .
Business and professional
Farm
Rental income of persons
Corporate profits and inventory
valuation adjustment .
3
4
1
87.4
39.6
72.5 103.8 180.3 198.7 223.5 216.7 239.0 230.6 245.8 260.1 269.4
50.8
50.2
45.2
29.3
28.8
23.7
47.8
45.7
37.5
.3
.3
.4
4.6
.6
19.7
8.3
5.7
5.8
4.9
.5
7.2
2.9
2.3
2.0
7.8
2.1
14.7
6.8
4 5
3.5
10.3
-2 0
5 8
9.8
Corporate profits tax liability. . .
Corporate profits after tax
Inventory valuation adjustment...
Net interest
1951
1950
1.4
8.4
.5
6.5
.2
.5
— .4
-2.1
5.0
6.5
1.5
5.0
-.7
4.2
2
n.a.
64.3 117.1 128.9 140.2 139.9 153.3 148.6 157.3 165.2 172.1 177.4
61.7 111 2 122.1 134.4 133.4 145.8 141.3 149.7 157.2 163.6 168.8
51.5 90.6 104.8 115.7 113.0 123.6 120.1 127.2 132.7 137.1 140.5
4.4
5.0
4.2
5.1
6.6
8.0
4.1
4.0
1.9
n.a.
n.a.
n.a.
n.a.
8.3 12.7 13.2 14.7 16.1 17.2 16.8 17.5 17.9
7.5
7.4
8.7
5.9
5.9
5.8
6.5
7.7
7.9
8.5
2.6
20.8 42.0 42.4 47.3 41.4 44.0 41.8 45.6 47.2 48.8 48.1
9.6 20.6 19.8 22.1 20.9 22.3 21.9 23.2 23.0 24.1 23.6
6.9 14 8 15.6 17 7 13 0 13.7 12.2 14.3 15.8 16.4 16.3
8.0
8.4
7.8
8.3
8.2
6.6
7.5
8.1
4.3
7.1
7.5
14 6 18 3 24.7
17.2 23.5 30.5
7.8
9.6 11.9
9.4 13.9 18.5
-2.6 -5.2 -5.8
3.5
4.1
2.9
31 7
33.8
13.0
20.7
-2.1
4.3
30.5
28.3
11.0
17.3
2.1
4.9
36.2
41.4
18.6
22.8
-5.1
5.4
34.8
37.5
16.9
20.6
-2.7
5.3
37.4
45.7
20.5
25.2
-8.3
5.5
42.2
50.3
22.5
27.8
-8.2
5.6
42.9
51.8
28.5
23.3
-8.9
5.6
n.a.
n.a.
n.a.
n.a.
-2.3
5.7
n.a. Not available.
Less than 50 million dollars.
Includes employee contributions to social insurance funds.
Includes noncorporate inventory valuation adjustment.
NOTE.—Details may not add to totals because of rounding.
Source.—National Income Supplement (July 1951 edition) to the Survey of Current Business, Department of Commerce.
1
8
8
1188
FEDERAL RESERVE BULLETIN
GROSS NATIONAL PRODUCT, NATIONAL INCOME, AND PERSONAL INCOME—Continued
[Estimates of the Department of Commerce.
In billions of dollars]
GROSS NATIONAL PRODUCT OR EXPENDITURE
Seasonally adjusted annual rates
by quarters
Annual totals
1950
1929
1933
1941
1939
1946
1947
1948
1949
2
Gross national product
Personal consumption
expenditures
Durable goods
Nondurable goods
Services
Gross private domestic
investment
New construction *•
Producers' durable equipment
Change in business inventories
Net foreign investment
Government purchases of
goods and services
Federal
War
.
Nonwar
Less: Government sales s
State and local
1951
1950
4
3
1
2
103.8
55.8
91.3 126.4 211.1 233.3 259.0 257.3 282.6 275.0 287.4 303.7 318.5 325.6
78.8
9.4
37.7
31.7
46.3
3.5
22.3
20.6
67.5
6.7
35.3
25.5
15.8
7.8
6.4
1.3
1 l
9.9
4 9
1 6
—1 6
1.8
.8
2
8.5
1.3
8 0
2.0
2.0
} ..3
(')
0)
5 9
7.2
4.6
4
.9
13.1
5.2
1.3
3.9
(8)
7 9
82.3 146.9 165.6 177.9 180.2 193.6 188.7 202.5 198.4 208.2 201.7
9 8 16.6 21.4 22 9 23.9 29.2 26.6 34.3 29.4 31.5 25.9
44.0 85.8 95.1 100.9 98.7 102.3 100.4 105.5 104.9 111.5 109.5
28.5 44.5 49.1 54.1 57.6 62.1 61.6 62.7 64.0 65.2 66.2
18.3
6 8
7.7
3 9
28.7
10.3
12.3
6 1
30.2
13.9
17.1
—8
4.6
8.9
16.9
13.8
3.2
(8)
7 8
30.9 28 6
20.9
15.8
21.2
2.5 } 1 7 . I
2.7
1.3
10 0 12.8
11
24.7
42.7 33.0
17 7 17.2
19.9 19.0
5 0 —3 2
.5
1 9
36 6
21.0
21.7
.6
15 6
43.6
25.5
25.9
.4
18.1
48.9
22.1
22.5
4 3
-2.3
47.9
21 4
21.4
5 2
-1.6
47.3
23.5
24.5
—7
-3.2
60.2
23.3
25.0
11 8
-2.7
59.6
23.9
26.5
9 3
-2.3
63.5
22.3
26.7
14.4
42.5
22.8
23.1
.2
19.7
40.1
20.9
21.1
.2
19 2
40.8
21.2
21.4
.2
19.7
47.8
27.3
27.5
.2
20.4
52.9
31.9
32.1
.2
21.1
60.0
38.5
38.7
.5
.2
21.4
PERSONAL INCOME
[Seasonally adjusted monthly totals at annual rates]
Wages and salaries
Wage and s£dary disbursements
Year or month
Personal
income
Total
receipts4
Total
disbursements
Commodity
producing industries
Distrib- Service
utive
indus- industries
tries
Government
Dividends
Less emProand
prietors'
Other
ployee
perand
labor 5
contrisonal
rental
butions income
for
income6 interest
income
social
insurance
NonTransagriculfer
tural
pay- 7
ments income8
1929
85.1
50.0
50.2
21.5
15.5
8.2
5.0
.1
.5
19.7
13.3
1.5
76.8
1933
46.6
28.7
28.8
9.8
8.8
5.1
5.2
.2
.4
7.2
8.2
2.1
43.0
1939
1940
1941
1942
1943
1944
1945
1946
1947
1948
1949
1950
72.6
78.3
95.3
122.7
150.3
165.9
171.9
177.7
191.0
209.5
205.1
224.7
45.1
48.9
60.9
80.7
103.6
114.9
115.3
109.2
119.9
132.1
131.2
142.9
45.7
49.6
61.7
81.9
105.4
117.1
117.7
111.3
122.0
134.3
133.5
145.8
17.4
19.7
27.5
39.1
49.0
50.4
45.9
46,1
54.3
60.2
56.9
63.5
13.3
14.2
16.3
18.0
20.1
22.7
24.7
30.9
35.1
38.8
39.0
6.9
7.3
7.8
8.6
9.5
8.2
8.5
.6
.7
.8
1.2
1.8
2.2
2,3
2.0
2.1
2.2
2.2
2.9
.5
.6
.6
.7
.9
1.3
1.5
1.9
2.4
2.8
3.0
3.5
14.7
16.3
20.8
28.4
32.8
35.5
37.5
42.0
42.4
47.3
41.4
44.0
9.2
9.4
9.9
9.7
10.0
10.6
11.4
13.2
14.5
16.0
17.1
19.3
3.0
3.1
3.1
3.2
3.0
3.6
6.2
11.4
11.8
11.3
12.4
15.1
66.3
71.5
86.1
109.4
135.2
150.5
155.7
158.8
170.8
187.1
187.6
206.6
1950—June
July
August
September
October
November. . . .
December
219.0
222.7
227.7
231.5
234.1
236.4
244.4
141.1
143.2
147.2
149.7
152.4
154.2
155.9
144.1
146.1
150.3
152.6
155.6
157.3
158.9
62.8
63.9
66.2
67.1
69.3
69.9
70.8
41.3
41.9
195 I—January
February
March
April
May
June
243.6
243.3
245.5
249.0
249.8
251.0
158.0
160.0
162.2
164.8
165.1
166.4
161.6
163.4
165.9
168.2
168.8
169.9
71.7
72.4
73.7
75.0
74.6
75.2
41.4
10.5
11.5
13.7
15.3
16.6
17.2
18.7
10.2
16.1
26.8
33.5
35.6
20.6
17.2
18.7
20.4
22.3
18.7
18.8
18.9
19.1
19.3
19.5
19.6
21.3
42.8
42.8
43.1
43.2
43.6
21.5
22.4
23.6
23.9
24.7
24.9
3.0
2.9
3.1
2.9
3.2
3.1
3.0
3.5
3.6
3.6
3.6
3.6
3.7
3.7
42.5
45.3
46.1
45.3
46.3
47.2
48.1
18.4
18.4
18.9
21.6
19.7
19.5
25.0
13.5
12.2
11.9
11.3
12.1
11.8
11.7
202.6
204.0
208.6
212.9
214.3
215.5
223.4
44.3
44.5
44.9
45.3
45.6
45.6
19.9
19.8
20.0
20.1
20.2
20.3
25.7
26.7
27.3
27.8
28.4
28.8
3.6
3.4
3.7
3.4
3.7
3.5
3.7
3.8
3.8
3.8
3.8
3.8
50.5
48.2
47.7
48.1
48.0
48.0
18.8
19.2
19.7
20.2
20.2
20.0
12.6
12.1
12.1
12.1
12.7
12.8
221.4
222.9
225.2
227.8
229.0
230.1
1
2
3
4
Includes construction expenditures for crude petroleum and natural gas drilling.
Consists of sales abroad and domestic sales of surplus consumption goods and materials.
Less than 50 million dollars.
Total wage and salary receipts, as included in "Personal income" is equal to total disbursements less employee contributions to social insurance. Such contributions are not available by industries.
*Includes
compensation for injuries, employer contributions to private pension and welfare funds, and other payments.
6
Includes business and professional income, farm income, and rental income of unincorporated enterprise; also a noncorporate inventory
valuation
adjustment.
7
Includes government social insurance benefits, direct relief, mustering out pay, veterans' readjustment allowances and other payments, as
well 8as consumer bad debts and other business transfers.
Includes personal income exclusive of net income of unincorporated farm enterprise, farm wages, agricultural net rents, agricultural net
interest, and net dividends paid by agricultural corporations.
NOTE.—Details may not add to totals because of rounding.
Source.—Same as preceding page.
SEPTEMBER 1951
1189
CONSUMER CREDIT STATISTICS
TOTAL CONSUMER CREDIT, BY MAJOR PARTS
[Estimated amounts outstanding. In millions of dollars]
Noninstalment credit
Instalment credit
End of year
or month
Total
consumer
credit
Total
instalment
credit
Total
Sale credit
Automobile
Loans 1
Total
noninstalment
credit
2,607
2,746
,939
,644
2,599
2,915
3,263
4,677
5,428
5,766
5,919
6,638
530
536
565
483
414
428
510
749
896
949
,018
,332
1,544
1,650
1,764
1,513
1,498
1,758
1,981
3,054
3,612
3,854
3,909
4,239
533
560
610
648
687
729
772
874
920
963
992
1.067
Other
Singlepayment
loans 2
Service
credit
Charge
accounts
1939
1940
1941
1942
1943
1944
1945
1946
1947
1948
1949
1950
7,031
8,163
8,826
5,692
4,600
4,976
5,627
8,677
11,862
14,366
16,809
20,097
4,424
5,417
5,887
3,048
2,001
2,061
2,364
4,000
6,434
8,600
10,890
13,459
2,792
3,450
3,744
1,617
882
891
942
1,648
3,086
4,528
6,240
7,904
1,267
1,729
1,942
482
175
200
227
544
1,151
1,961
3,144
4,126
2,567
3,096
3,778
1,632
1,967
2,143
1,431
1,119
1,170
1,422
2,352
3,348
4,072
4,650
5,555
1950—June
July
August
September
October
November
December
17,651
18,295
18,842
19,329
19,398
19,405
20,097
12,105
12,598
13,009
13,344
13,389
13,306
13,459
6,995
7,343
7,613
7,858
7,879
7,805
7,904
3,790
3,994
4,107
4,213
4,227
4,175
4,126
3,205
3,349
3,506
3,645
3,652
3,630
3,778
5,110
5,255
5,396
5,486
5,510
5,501
5,555
5,546
5,697
5,833
5,985
6,009
6,099
6,638
,116
,133
,157
,197
,250
,298
,332
3,392
3,527
3,636
3,741
3,703
3,739
4,239
1,038
1,037
1,040
1,047
1,056
1,062
1,067
1951—January
February
March
April
May
June?
Julyp
19,937
19,533
19,379
19,126
19,207
19,256
19,133
13,252
13,073
12,976
12,904
12,920
12,955
12,898
7,694
7,521
7,368
7,270
7,248
7,234
7,166
4,056
3,990
3,946
3,934
3,980
4,041
4,056
3,638
3,531
3,422
3,336
3,268
3,193
3,110
5,558
5,552
5,608
'5,634
5,672
5,721
5,732
6,685
6,460
6,403
6,222
6,287
6,301
6,235
,352
,369
,381
,392
4,248
4,010
3,938
3,744
3,793
3,804
3,743
1,085
1,081
1,084
1,086
1,096
1,098
1.094
1,525
1,721
1,802
1 135
707
691
715
104
935
,398
1,399
1,398
r
P1 Preliminary.
Revised.
Includes repair and modernization loans insured by Federal Housing Administration.
2
Noninstalment consumer loans (single-payment loans of commercial banks and pawnbrokers).
NOTE.—Back figures by months beginning January 1929 may be obtained from Division of Research and Statistics.
CONSUMER INSTALMENT LOANS
[Estimates. In millions of dollars]
Amounts outstanding
(end of period)
Year or month
Total
Industrial
Credit
loan
com- 2 unions
panies
Commercial
banks 1
Small
loan
companies
Industrial
banks 2
523
692
784
448
498
531
131
132
134
597
701
817
929
98
134
160
175
203
187
192
1,632
1,967
2,143
1,431
1,119
1,170
1,422
2,352
3,348
4,072
4,650
5,555
426
316
357
477
956
1,435
1,709
1,951
2,431
1,084
117
166
204
250
291
5,110
5 255
5,396
August
September.. 5,486
5,510
October
November. . 5,501
December... 5,555
2,233
2,316
2,401
2,462
2,460
2,435
2,431
1,009
1,010
1,026
1,037
1,084
978
995
275
282
290
295
294
292
291
197
201
201
200
203
1951—January.... 5,558
F e b r u a r y . . . 5,552
March
5,608
April
'5,634
5,672
May
5,721
July?
5,732
2,438
2,441
2,476
2,497
2,506
2,515
2,492
1,090
1,094
1,112
1,119
1,131
1,151
1,167
289
286
286
286
288
288
288
202
202
204
205
207
209
211
1939
1940
1941
1942
1943
1944
1945
1946
1947
1948
1949
1950
. . .
1950—June
417
364
384
439
89
67
68
76
Loans made by principal lending institutions
(during period)
99
104
107
72
59
60
70
135
174
200
Insured
ComMiscel- repair
and
mercial
laneous modernlenders ization banks l
loans 8
96
99
102
200
268
285
153
225
312
402
525
109
119
131
142
157
474
495
147
149
130
104
100
103
514
524
524
521
525
518
515
517
514
518
522
524
91
86
88
93
150
150
152
153
157
158
158
160
161
162
164
166
680
Industrial
banks 2
827
912
975
261
255
255
194
198
203
237
297
344
146
128
139
151
236
201
198
199
231
310
375
418
481
210
282
318
334
358
286
428
577
712
894
46
45
34
32
93
84
322
568
739
801
864
1,017
1,198
792
639
749
942
1,793
2,636
3,069
3,282
3,875
784
800
869
956
1,231
1,432
1,534
1,737
1,946
816
826
379
381
387
356
298
257
289
175
166
166
149
149
165
234
46
40
39
34
37
863
856
853
'852
860
872
884
326
296
368
340
359
356
338
162
158
207
184
198
204
206
39
35
43
41
44
44
45
206
123
113
164
835
844
853
863
864
Industrial
Credit
loan
com- 2 unions
panies
Small
loan
companies
182
151
155
166
33
32
28
27
29
88
76
66
64
72
28
27
33
31
33
35
35
67
64
79
72
82
86
76
r
P Preliminary.
Revised.
Figures include only personal instalment cash loans and retail automobile direct loans shown on the following page, and a small amount
of other retail direct loans not shown separately. Other retail direct loans outstanding at the end of July amounted to 102 million dollars, and
other 2 loans made during July were 11 million.
*sg|
Figures include only personal instalment cash loans, retail automobile direct loans, and other retail direct loans. Direct retail instalment
loans3 are obtained by deducting an estimate of paper purchased from total retail instalment paper.
Includes only loans insured by Federal Housing Administration adjusted by Federal Reserve to exclude nonconsumer loans.
1
1190
FEDERAL RESERVE BULLETIN
CONSUMER CREDIT STATISTICS—Continued
CONSUMER INSTALMENT SALE CREDIT, EXCLUDING
AUTOMOBILE CREDIT
[Estimated amounts outstanding. In millions of dollars]
End of
year or
month
1939
1940
1941
1942
1943
1944
1945
1946
1947
1948
1949
1950
Total,
excluding automobile
1,525
1,721
1,802
1,135
707
691
715
Department
stores
and
mailorder
houses
377
439
466
252
172
183
198
337
650
874
1,104
1,935
2,567
3,096
3,778
1,010
1,245
July
August
September
October. . .
November
December.
3,205
3,349
3,506
3,645
3,652
3,630
3,778
1,032
1,081
1,123
1,159
1,170
1,172
1,245
1951
January...
February.
March
April
,
May
JuneP.. . . ,
Jl
3,638
3,531
3,422
3,336
3,268
3,193
3,110
1,201
1,162
1,133
1,103
1,084
1,055
1,018
1950
June
Furniture
stores
536
599
619
440
289
293
296
386
587
750
935
1,029
Household
appliance
stores
273
302
313
188
78
50
51
118
249
387
500
710
All
other
retail
stores
Jewelry
stores
93
110
120
76
57
56
57
89
144
152
163
246
271
284
179
111
109
113
174
305
404
488
794
1,028
1,019
1,003
1,029
561
597
658
702
705
702
710
665
695
727
756
758
753
794
982
956
924
905
890
874
857
694
677
655
636
616
602
590
761
736
710
692
678
662
645
947
976
998
CONSUMER INSTALMENT CREDITS OF INDUSTRIAL
BANKS, BY TYPE OF CREDIT
[Estimates. In millions of dollars]
Retail instal-2
ment paper
Year or month
Total
Repair Personal
and
instalmodern- ment
ization2
cash
loans i
loans
Automobile
Other
286.2
343.2
391.0
66.6
93.6
118.5
43.4
63.1
79.7
51.7
55.4
54.9
371.0
380.4
389.8
396.4
395.6
392.9
391.0
111.9
115.8
119.4
121.9
121.5
120.6
118.5
71.9
73.4
76.2
79.3
80.3
79.9
79.7
386.9
382.5
382.5
382.7
384.4
385.0
385.3
117.2
116.9
116.4
116.5
118.0
119.6
120.4
Volume extended
during month:
1950—June
July
August. . .
September.
October...
November.
December.
51.1
50.5
52.7
47.2
43.5
37.2
40.3
1951—January...
February..
March....
April
May
JuneP. . . .
Julyp
42.2
38.3
46.8
44.9
49.3
48.8
48.5
Outstanding at end
of period:
1948
1949
1950
1950—June
July
August. . .
September.
October...
November.
December.
1951—January...
February..
March
April
May
JuneP....
Julyp
CONSUMER INSTALMENT CREDITS OF COMMERCIAL
BANKS, BY TYPE OF CREDIT
[Estimates. In millions of dollars]
Year or month
Total
Other
retail,
purPur- Direct chased
and
chased loans direct
Outstanding at end of
period:
1948
1949
1950
1950—June
July
August
September...
October
November...
December. . .
1951—January
February....
March
April
May
June?
Julyp
3,563
4,416
5,645
5,084
5,291
5,493
5,685
5,726
5,661
5,645
5,610
5,530
5,516
5,490
5,489
5,481
5,427
570
854
1,143
1,050
1,110
1,143
1,177
1,180
1,159
1,143
1,116
1,096
1,079
1,072
1,083
1,090
1,085
736
915
1,223
1,096
1,158
1,217
1,251
1,254
1,234
1,223
1,219
1,222
1,232
1,242
1,248
1,246
1,230
751
922
1,267
1,064
1,112
1,178
1,258
1,282
1,261
1,267
1,268
1,217
1,190
1,153
1,123
1,098
1.066
636
781
905
834
851
872
891
905
907
905
890
877
874
875
882
883
886
870
944
1,107
1,040
1,060
,083
,108
,105
,100
,107
,117
,118
,141
,148
1,153
1,164
1,160
Volume extended during month:
1950—June
July
August
September...
October
November...
December. . .
1951—January
February....
March
April
May
JuneP
JulyP
768
789
799
782
647
517
562
606
536
638
625
683
666
639
165
174
157
152
123
91
94
98
93
109
118
140
143
137
184
191
190
174
132
101
117
137
132
160
153
166
160
150
154
167
187
211
166
124
141
147
117
123
125
132
115
113
82
80
82
75
71
55
48
47
41
51
56
65
64
62
183
177
183
170
155
146
162
177
153
195
173
180
184
177
Automobile
retail
Repair
and
modernization
loans12
Personal
instalment
cash
loans
CONSUMER INSTALMENT CREDITS OF INDUSTRIAL
LOAN COMPANIES, BY TYPE OF CREDIT
[Estimates. In millions of dollars]
Repair Personal
Retail instalp 2e i n a ns d t a l ment ]p3aper
modern- ment
ization 2
Autocash
Other loans
mobile
!
loans
Year or month
Total
124.5
131.1
137.9
Outstanding at end
of period:
1948
1949
1950
177.1
194.7
226.9
38.3
43.5
57.9
23.7
31.4
41.1
5.0
6.5
7.3
110.1
113.3
120.6
54.2
54.9
55.5
56.1
56.1
55.7
54.9
133.0
136.3
138.7
139.1
137.7
136.7
137.9
1950—June
July
August
September.
October...
November.
December.
208.7
214.3
219.9
223.8
224.0
223.3
226.9
52.3
54.8
55.9
57.2
57.4
57.3
57.9
34.3
35.9
39.2
41.1
41.7
40.9
41.1
6.9
7.2
7.3
7.4
7.3
7.3
7.3
116.4
117.5
118.1
117.6
117.8
120.6
78.4
77.4
76.4
75.3
74.2
72.9
70.7
53.6
52.4
52.0
51.8
52.3
52.6
52.9
137.7
135.8
137.7
139.1
139.9
139.9
141.3
1951—January...
February..
March
April
May
JuneP
Jl
225.6
225.1
226.9
228.1
230.6
232.6
234.7
56.8
56.8
57.1
57.8
59.2
59.8
60.5
40.8
40.2
40.5
40.0
39.6
39.8
40.6
7.2
7.0
7.0
6.9
7.0
7.1
7.1
120.8
121.1
122.3
123.4
124.8
125.9
126.5
15.7
16.2
15.4
13.7
11.3
8.7
9.1
8.9
8.9
11.0
10.5
9.6
7.6
8.0
4.3
3.9
4.1
3.9
3.9
3.0
2.6
22.2
21.5
22.2
19.1
18.7
17.9
20.6
Volume extended
during month:
1950—June
July
August
September.
October...
November.
December.
35.4
34.8
35.5
32.8
29.3
27.4
30.4
8.9
9.1
8.1
7.5
6.8
6.1
6.3
5.3
5.7
7.3
6.0
4.9
3.8
3.9
0.5
0.5
0.5
0.4
0.4
0.4
0.3
20.7
19.5
19.6
18.9
17.2
17.1
19.9
10.6
10.8
12.4
13.1
15.2
15.6
15.0
8.2
7.2
8.5
7.8
8.3
7.8
7.5
2.5
2.3
3.0
3.3
3.8
3.9
3.8
20.9
18.0
22.9
20.7
22.0
21.5
22.2
1951—January...
February..
March
April
May
JuneP
Julyp
29.1
27.9
34.3
32.4
34.8
36.1
36.5
6.8
6.4
7.4
7.4
8.8
9.0
8.9
4.3
3.8
4.9
4.4
0.3
0.3
0.4
0.4
0.5
0.5
0.5
17.7
17.4
21.6
20.2
21.3
21.7
21.2
42
4.9
5.9
115.2
P2 Preliminary. l Includes not only loans insured by Federal Housing Administration but also noninsured loans.
Includes both direct loans and paper purchased.
SEPTEMBER
1951
1191
CONSUMER CREDIT STATISTICS—Continued
RATIO OF COLLECTIONS TO ACCOUNTS RECEIVABLE 1
FURNITURE STORE STATISTICS
Percentage change
from preceding
month
Percentage change
from corresponding
month of preceding
year
Instalment accounts
Year or month
item
July
1951?
June
1951
May
1951
July
1951?
June
1951
May
1951
-10
-9
-5
-1
-24
-9
-5
+10
-5
+3
-11
-9
2
-8
+ 10
+12
+ 10
+6
-29
-17
-9
+4
-11
Accounts receivable, end
of month:
Total
Instalment
-3
-3
-2
2
-1
-2
-8
-9
-2
-5
+1
-2
Collections during
month:
Total
Instalment
-6
-6
-1
+2
+1
+1
0
-1
+10
+6
+ 12
+4
Inventories, end of
month, at retail value.
-4
-5
-3
+29
+31
+34
Charge
accounts
Household ap- Department
pliance
stores
stores
Department
stores
Furniture
stores
17
17
18
18
18
17
18
10
11
11
11
11
10
11
10
11
11
10
11
10
10
51
49
50
51
51
51
49
19
17
19
18
18
19
18
10
10
11
11
11
11
11
12
11
12
11
11
12
12
50
46
50
47
49
49
46
1950
Net sales:
Total
Cash sales
Credit sales:
Instalment
Charge account
+9
Preliminary.
June
July
August
September
October
November
December
1951
January
February
March
April
May
Tune
Julyp
P Preliminary.
1
Collections during month as percentage of accounts outstanding at
beginning of month.
DEPARTMENT STORE SALES, ACCOUNTS RECEIVABLE, AND COLLECTIONS
Index numbers, without seasonal adjustment, 1941 average=100
Averages of monthly
data:
1941 .
1942
1943
1944
1945
1946
1947
1948
1949
1950
1950—june
July
August
September
October
November
February
March
May
June
Julyp.
Accounts receivable
at end of month
Sales during month
Year or month
Percentage of total sales
Collections during
month
Cash
sales
Instalment
sales
Charge
account
sales
Total
Cash
Instalment
Charge
account
Instalment
Charge
account
Instalment
Charge
account
100
114
100
131
100
82
100
102
103
100
103
100
110
71
100
91
46
79
80
107
48
56
64
64
59
55
52
51
48
61
9
6
5
4
4
4
6
7
8
10
43
38
165
100
78
130
34
145
162
202
214
225
213
220
188
211
242
237
236
216
213
66
67
101
154
192
200
247
112
125
176
200
219
212
223
38
37
50
88
142
165
233
84
94
138
174
198
196
210
70
69
91
133
181
200
250
112
127
168
198
222
224
237
203
'183
210
234
229
257
387
198
172
196
217
216
249
389
209
'261
292
306
269
248
343
207
'180
209
238
236
268
395
219
230
241
256
260
259
276
194
184
191
210
216
233
314
230
229
250
269
283
278
294
226
216
212
221
244
251
256
49
47
46
46
47
48
50
9
12
12
12
10
9
8
42
41
42
42
43
43
42
212
179
220
198
217
207
162
195
167
210
192
209
208
163
233
211
234
199
205
188
165
228
187
228
206
229
211
160
269
262
255
244
235
226
215
269
236
227
220
224
218
195
318
289
318
286
278
275
252
354
279
268
244
244
245
228
45
46
48
48
48
50
50
10
10
9
9
8
8
9
45
44
43
43
44
42
41
32
32
37
39
41
41
42
r
P Preliminary.
Revised.
NOTE.—Data based on reports from a smaller group of stores than is included in the monthly index of sales shown on p. 1183.
1192
FEDERAL RESERVE B U L L E T I N
CURRENT STATISTICS FOR FEDERAL RESERVE CHART BOOK
BANK CREDIT, MONEY RATES, AND BUSINESS *
Chart
book
page
WEEKLY FIGURES
Aug.
2
Aug.
Aug.
15
Aug.
22
Aug.
29i
In billions of dollars
Aug.
Aug.
Aug.
15
Aug.
22
Aug.
29 i
Per cent per annum
MONEY RATES, ETC.
Reserve Bank credit, total
U. S. Govt. securities, total.
,
Bill
Bills
3
Notes and certificates
3
Bonds
3
Gold stock
2
Money in circulation
2
Treasury cash and deposits... 2
Member bank reserves:
Total (Wed.)
2
Total (weekly average):
New York City
4
Chicago
4
Reserve city banks
4
Country banks
4
Required reserves (Wed.)... 2
Required reserves
(weekly
average):
New York City
4
Chicago
4
Reserve city banks
4
Country banks
4
Excess reserves:
e
All member
New York City
Chicago
Reserve city banks
Country banks e
5
Borrowings:
All member
5
New York City
Chicago
Reserve city banks
Country banks
24.28 24.05 24.36
23.08 23.12 23.15
.64
.57
.60
16.69 16.70 16.69
5.82
5.82
5.82
21.76 21.76 21.80
27.84 27.90 27.93
1.87
1.50
1.78
24.18 24.00 U. S. Govt, securities:
23.08 23.07
Bills (new issues)
.57
19.10 19.33 19.29 19.17 18.87
4.97
1.30
7.30
4.89
4.92
1.29
7.30
4.91
4.91
1.30
7.34
4.91
4.91
1.30
6.21
P4.92
.61
.77
-.01
-.01
.14
.49
.02
.01
.16
.59
.76
(3)
(»)
.15
.60
.25
.08
4
()
.13
.04
.36
.17
.01
.13
.04
.22
.07
4
()
.09
.06
70.10
31.00
19.44
8.91
2.65
6.62
50 38
2.81
32.49
19.12
5.55
70.03
30.92
19.41
8.91
2.59
6.63
50.19
2 95
32^48
19.17
5.56
70.31
30.95
19.42
8.86
2.67
6.60
49.91
3.15
32.76
19.38
5.56
70 33
30.98
19.43
8.84
2.72
6.58
50 30
3.10
32.77
19 50
5.57
2.09
1.91
1.85
1.81
77
.01
(3)
.14
P.63
P
.17
.04
(4)
.10
.03
.48
.37
.33
.34
1.61
1.55
5.88
1.51
5.89
1 47
5.89
19.83 19.61 19.65 19.59
7.86
7.65
7.69
7.66
5.25
5.24
5.22
5 21
3.90
3.87
3.89
3.87
1.83
1.80
1.77
1.76
.78
64
.66
.68
15.42 15.35 15.12 15.32
.73
.83
.80
.77
4.16
4.11 4.19 4.07
1.48
1.46
1.47
1.47
10.01
9.96 10.07 10 01
6.84
6.93
6.83
6.98
.17
.73
.25
.29
.80
.26
1.80
1.81
1.81
.17
.70
25
K81
50.27
23.14
14.20
7.08
1.87
34.96
2.08
6.94
13.94
22.48
12.28
5.06
50.42
23.23
14.18
7.11
1.95
34.84
2.18
7.29
13 96
22.52
12.34
5.06
50.66
23.30
14.21
7.08
2.02
34.79
2.33
7.5C
13.97
22.69
12.45
5.07
50.74
23.33
14.22
7.08
2.03
34.97
2.30
7.16
13 97
22! 75
12.53
5.08
.20
.76
.25
Banks outside New York City:
15
1
1
1
1
15
15
15
1
1
1
1
1
1
23
9-12 months
23
3-5 years
23
15 years or more
23, 25
:orporate bonds:
Aaa
25
Baa
25
High-grade municipal bonds.. 25
4.95
4.94
4.91
4.93
4.92
1.28
1.30
1.29
1.30
1.30
7.44
7.50
7.46
7.46
7.49
5.37
5.36 Stock prices (1935-39=100):
5.52
5.50
5.55
18.43 18.44 18.47 P18.47 P18.48
Total
5.87
V
1'
V
1!
.56
16.69 16.69
5.82
5.82
21.80 21.80
27.93 28.03
1.85
1.73
MEMBER BANKS IN LEADING CITIES
Loans and investments
U. S. Govt. securities, total..
Bonds
Notes and certificates....
Bills
Demand deposits adjusted..
U. S. Govt. deposits
Interbank deposits
Time deposits
Loans, total
Commercial
Real estate
For purchasing securities.
Other
1951
WEEKLY FIGURES 2—Cont.
RESERVE BANK CREDIT, ETC.
All reporting banks:
Loans and investments
U. S. Govt. securities, total.
Bonds
Notes and certificates....
Bills
Other securities
Demand deposits adjusted..
U. S. Govt. deposits
Loans, total
Commercial
Real estate
For purchasing securities:
Total
U. S. Govt. securities. .
Other securities
Other
New York City banks:
Loans and investments
U. S. Govt. securities, total.
Bonds, total h o l d i n g s . . . .
Due or callable—5 years
Notes and certificates....
Bills
Demand deposits adjusted..
U. S. Govt. deposits
Interbank deposits
Time deposits
Loans, total
Commercial
For purchasing securities:
To brokers:
O n U . S. Govts
On other securities...
To others
Real estate and o t h e r . . . .
Chart
book
page
.74
4.56
.71
.70
4.57
4.57
27
Industrial
27
Railroad
27
4.92
Public utility
27
1.30 Volume of trading (mill, shares) 27
7.33
P4.90 PRODUCTION AND DISTRIBUTION
Production:
P. 59
Steel (thous. tons)
66
Automobile (thous. c a r s ) . . . 66
()
Crude petroleum
(thous. bbls.)
67
P. 46
Bituminous coal (mill, tons) . 67
(thous. t o n s ) . . . 68
.34 Paperboard
(mill, lbs.)
68
.04 Meat
Electric power (mill. kw. hrs.) 70
.01 Freight
carloadings
(thous.
.23
cars):
.06 Total
69
Miscellaneous
69
Department store sales
(1935-39=100)
70
70.49
PRICES
30.93
19.49 Wholesale prices:
8.85
Indexes(1926=100):
2.59
Total
75
6.64
Farm products
7
50.98
Foods
75
2.75
Other commodities
75
32.92
Basic commodities
19.50
(Aug. 1939=100):
5.58
Total
T
Foodstuffs
T1
1
Industrial
materials
7
.4C Selected materials:
1.4
Rubber (cents per lb.)
78
5.87
Hides (cents per lb.)
78
Steel scrap (dollars per ton) 78
Copper (cents per l b . ) . . . . 78
19.83
7.72
Cotton (cents per lb.)
78
5 28
Print cloth (cents per yd.). 78
3.94
Wool tops (cents per lb.). . 78
1.78
Wool (cents per lb.)
78
.66 Selected foodstuffs:
15.62
Winter wheat (cents per
.71
bu.)
79
3.9'
Corn (cents per bu.)
79
1.50
Steers (dollars per 100 lbs.) 79
10.13
Hogs (dollars per 100 lbs.) 79
6.97
Cows (dollars per 100 lbs.) 79
Coffee (cents per lb.)
79
Cocoa (cents per lb.)
79
.22
Butter (cents per lb.)
79
.69
Eggs (cents per doz.)
79
25
l"83
1.611 1.652 1 .660 1 651 1.645
1.72 1.73 1.71 1 .68 1.68
1.93 1.91 1.90 1 .87 1.87
2 .62 2.59 2.56 2 .55 2.55
2 .91
3 .52
2 .06
2.89
3.52
2.05
2.87
3.51
2.03
2 .86
3 .50
2 .02
2.85
3.49
2.02
In unit indicated
179
196
147
113
182
199
149
114
182
198
147
115
181
198
145
115
1.71
1.52
1.44
1.22
2,029 2,021
115
95
184
201
149
115
1.47
2,029 2,007 1,995
122
133
6,121 6,151 6,159
1.70
1.72
1.67
6,140
1.80
132
1.76
217
286
7,003 7,070 7,164 7,077 7,146
222
269
223
262
224
284
226
286
813
380
809
376
829
385
839
392
829
394
254
252
268
279
303
177.6
189.9
185.9
166.9
177.8
192.0
188.7
166.3
177.2
190.9
187.4
166.1
176.7
188.6
186.0
165.9
176.8
188.7
187.4
165.9
326.9 326.8 325.3 323.6
364.4 366.9 369.1 369.9
312.8 311.2 307.9 303.7
52.0 52.0 52.0 52.0
34.8 34.8 30.6 30.3
43.0 43.0 43.0 43.0
24.5 24.5 24.5 24.5
35.0
35.1
35.8 35.1
15.2
15.5
14.8
15.3
250.8 254.7 239.8 236.7
205.0 205.0 205.0 205.0
323.8
367.7
304.7
52.0
30.3
43.0
24.5
34.5
15.2
228.6
205.0
233.0
179.0
35.63
22.35
24.38
53.8
35.2
66.1
53.0
232.8
179.6
36.03
21.51
24.38
53.8
35.6
66.6
54.0
231.9
175.2
35.71
23.50
24.03
52.8
35.0
66.6
45.4
231.4
178.5
35.75
23.18
24.38
53.3
35.7
66.7
46.2
231.7
180.9
35.55
22.96
24.38
53.7
35.1
66.0
48.5
50.66
23.21
14.20
7.07
1.935.35
2.0.
6.86
14.00
22.7"
12.53
5.0J
.7
.69
4.54
4.57
For footnotes see p. 1197.
SEPTEMBER 1951
1193
CURRENT STATISTICS FOR FEDERAL RESERVE CHART BOOK—Continued
Chart
book
page
1951
June
May
July >
In billions of dollars
MONTHLY FIGURES
DEPOSITS AND CURRENCY
Turnover of demand deposits: 5
New York City
Other leading cities
8
8
P179 .10 P180.80 P181.00
P173 .70 P174.20 P176.00
z>89 .50 P89.50 P 9 0 80
P 5 9 .30
P59.80 P60.10
P24.90 P25.OO P25.10
P5 .40
P6.60 P 5 . 0 0
27 .52
27.81 27.85
8 .26
8.29
8.29
14 .55
14.78 14.81
4 .71
4.75
4.75
9
9
9
9
9
30.9
22.0
June
July
:
22
1 . 578
1 .499
1.593
22
22
22
22
2 .88
3 .40
1 .75
2 .17
2.94
3.49
1.75
2.31
2.94
3.53
1.75
2.31
26
26
6 .55
4 .15
6.79
4.17
6.38
In unit indicated
31.4
21.3 Margin requirements (per cent)
28
Stock prices (1935-39 =100), t o t a l . . .
28
Volume of trading (mill, shares)
28
In billions of dollars
Stock market credit (mill, dollars):
Bank
loans
28
P29.60 P30.40 P31.00 Customers' debit balances
28, 29
P125.10 P126.20 '125.90 Money borrowed
29
P54.50 P55.OO P54.60 Customers' free credit balances
29
P58.10 P58.60 P58.60
P12.50 P12.60 P12.80
33.1
22.0
10
10
10
10
16.14
2.98
13.16
21.61
3.75
2.75
15.10
10
10
10
10
34.83
25.82
6.24
2.77
29.91
20.85
6.28
2.78
MEMBER BANKS
12
12
12
12
12
12
12
12
12
105.65 106.84
46.55 47.07
48.69 49.25
10.40 10.52
76.11 76.12
29.67 29.95
10.92 11.08
5.38
5.51
18.89 19.31
12
12
12
12
12
12
12
12
25.30
12.15
10.76
2.39
19.31
2.95
4.89
6.24
26.27
12.51
11.32
2.44
19.34
3.02
5.01
6.53
13
13
13
13
13
13
13
13
13
39.71
18.60
17.39
3.73
27.13
11.73
5.11
1.73
7.28
40.05
18.67
17.62
3.76
27.19
11.86
5.16
1.82
7.40
13
13
13
13
13
13
13
13
40.64
15.81
20.55
4.29
29.67
14.99
3.50
5.37
40.52
15.89
20.31
4.32
29.60
c
l5.O7
3.51
5.38
20
20
20
20
20
'22.72
'10.30
'8.74
'2.44
1.24
22.83
10.23
8.90
2.48
1.23
20
20
20
20
20
65.50
25.49
17.75
12.11
10.14
65.73
25.81
18.05
11.79
10.08
LENDING INSTITUTIONS OTHER THAN
COMMERCIAL BANKS
Mutual savings banks:'
Total assets
U. S. Govt. securities
Real estate mortgages
Other securities
Other assets
Life insurance companies:
Total assets
Business securities
Real estate mortgages
U. S. Govt. securities
Other assets
Treasury bills (new issues).
Corporate bonds:
Aaa
Baa
F. R. Bank discount r a t e . .
Commercial paper
Stock yields:
Dividends/price ratio:
Common stock
Preferred stock
Annual rate
COMMERCIAL BANKS
Loans and investments, total
Loans
U. S. Govt. securities
Other securities
Demand deposits adjusted •
Time deposits
Balances due to banks
Balances due from banks
Reserves
Central reserve city banks:
Loans and investments, total
Loans
U. S. Govt. securities
Other securities
Demand deposits adjusted *
Time deposits
Balances due to banks
Reserves
Reserve city banks:
Loans and investments, total
Loans
U. S. Govt. securities
Other securities
Demand deposits adjusted e
Time deposits
Balances due to banks
Balances due from banks
Reserves
Country banks:
Loans and investments, total
Loans
U. S. Govt. securities
Other securities
Demand deposits adjusted •
Time deposits
Balances due from banks
Reserves
May
MONEY RATES, ETC.
6
6
6
6
6
6
7
7
7
7
All member banks:
1951
Per cent per annum
MONTHLY FIGURES—Cont.
Deposits and currency: e
Total deposits and currency
Total deposits adjusted and currency
Demand deposits adjusted
Time deposits adjusted
Currency outside banks
U. S. Govt. deposits
Money in circulation, total
Bills of $50 and over
$10 and $20 bills
Coins, $1, $2, and $5 bills
Cash assets *
Loans and
investments, total •
Loans e
U. S. Govt. securities e
Other securities •
Holdings of U. S. Govt. securities:
Within 1 year:
Total
Bills
Certificates
Notes and bonds
Over 1 year:
Total
Notes and bonds (1-5 yrs.)
Bonds (5-10 yrs.)
Bonds (over 10 yrs.)
Chart
book
page
75
174
75
172
1.63
1.30
607
603
1,287
1,275
681
855
680
834
75
173
1.33
579
1,266
672
825
In billions of dollars
GOVERNMENT FINANCE
Gross debt of the U. S. Government:
Total (direct and guaranteed)
Bonds (marketable issues)
Notes, certificates, and bills
Savings bonds, savings n o t e s . . . .
Special issues
Investment bonds, guaranteed
debt., etc
Ownership of U. S. Govt. securities:
106.50 Total:
46.66
Commercial banks *
49.21
Fed. agencies and trust funds. . .
10.64
F. R. Banks
77.23
Individuals * e
30.12
Corporations
11.44
Insurance companies«
5.76
Mutual savings banks '
19.23
State and locale govts.«
Miscellaneous
25.42
Marketable public issues:
12.32
By class of security:
10.57
Bills—Total outstanding
2.53
Commercial bank and F. R.
19.42
Bank
3.00
F. R. Bank
5.01
Notes and certificates—Total
6.32
outstanding
Commercial bank and F. R.
40.43
Bank
18.52
F. R. Bank
18.17
Bonds—Total outstanding
3.74
Nonbank (unrestricted issues
27.74
only), commercial bank,
11.94
a n d F . R. Bank
5.45
Commercial bank and F. R.
1.83
Bank
7.44
F. R. Bank
By earliest callable or due date:
Within 1 year-Total outstanding
40.65
Commercial bank and F. R.
15.82
Bank
20.47
F. R. Bank
4.36
1-5
years—Total
outstanding.
30.08
Commercial bank and F. R.
15.18
Bank
3.78
F. R. Bank
5.4
5-10 years—Total outstanding
Nonbank (unrestricted issues
only), commercial bank,
and F. R. Bank
Commercial
Bank and F . R.
22.9
Bank
10.1
F.
R.
Bank
9 04
Over 10 years^-Total outstand2.51
ing
1.20
Nonbank (unrestricted issues
only), commercial bank,
and F. R. Bank
Commercial bank and F. R.
Bank
F. R. Bank
30
30
30
30
30
255.12 255.25 255.69
80.63 78.99 78.98
57.42 58.93 60.30
65.77 65.39 65.46
34.05 34.65 34.71
16.24
30
17.27
17.29
31
31
31
31
31
31
31
31
31
57.90
40.33
22.51
65.90
21.80
17.30
10.30
8.00
11.00
58.40
40.96
22.98
65.80
20.90
17.00
10.20
8.00
10.90
32
13.61
13.61
32
32
3.64
.65
32
43.80
45.31
45.88
32
32
32
30.60
15.05
80.63
32.09
15.63
78.99
16.69
78.98
32
47.68
46.16
32
32
36.53
4.09
35.41
4.11
4.11
33
53.65
60.86
61.22
33
33
33
29.19
13.06
38.35
35.56
13.96
31.02
14.06
32.02
33
33
33
30.25 24.73
3.88
4.44
15.96 '16.01
4.88
16.01
41.05
23.08
14.41
4.28
.53 " ' '.57
C
8.58
33
8.53
33
33
7.27
1.03
7.31
1.03
1.03
33
30.08
"30.02
30.02
33
4.57
33
33
4.04
1.27
C
4.62
4.18
1.40
1.40
For footnotes see p. 1197.
1194
FEDERAL RESERVE BULLETIN
CURRENT STATISTICS FOR FEDERAL RESERVE CHART BOOK—Continued
Chart
book
page
1951
May
June
July
In millions of dollars
MONTHLY FIGURES—Cont.
34
34
34
+48
2,541
2,882
-341
524
418
+106
311
444
-133
286
238
34
34
34
296
432
290
439
-136
-149
35
35
35
247
P346
-99
244
P329
-85
35
35
35
49
P86
-37
46
P109
'-63
258
P319
P-61
53
P124
P-71
In billions of dollars
Cash income and outgo:
Cash income
Cash outgo
Excess of cash income or outgo....
36
36
36
4.15
5.15
-1.01
7.37
5.22
+2.14
2.85
4.84
-1.99
CONSUMER FINANCE
Consumer credit, total •
Single-payment loans
Charge accounts
Service credit
Instalment credit, total
Instalment loans
Instalment sale credit, total
Automobile
Other
45
45
45
45
45, 46
46
46
46
46
19.21 P19.26 P19.13
1.40 v\ .40 Pl.40
3.79 P3.80 P3.74
Pl.09
1.10 P I . 1 0
12.92 P12.96 P12.90
P5.73
5.67 P 5 . 7 2
7.25 P7.23 P7.17
3.98 P4.04 P4.06
3.27 P3.19 P 3 . 1 1
PERSONAL INCOME
Personal income (annual rates): *
Total
52
Wage and salary receipts
52
Proprietors' income, dividends, and
interest
52
All other
52
249.8
165.1
251.0
166.4
251.6
166.1
68.2
16.5
68.0
16.6
69.
16.4
In unit indicated
EMPLOYMENT
Labor force (mill, persons): •
Civilian
Unemployment
Employment
Nonagricultural
Employment in nonagricultural establishments (mill, persons): • •
Total
Manufacturing and mining
Trade
Construction
Transportation and utilities
Finance and service
Government
Average hours and earnings of factory
employees:
Hours worked (per week):
All
Durable
Nondurable
Hourly earnings (dollars):
All
Durable
Nondurable
Weekly earnings (dollars):
All
Durable
Nondurable
1951
May
June
July*
In unit indicated
MONTHLY FIGURES—Cont.
PRODUCTION AND DISTRIBUTION
GOVERNMENT FINANCE—Cont.
Sales and redemptions of U. S. savings
securities:
Savings notes:
Sales....
Redemptions
Net sales or redemptions
Savings bonds:
All series:
" Sales
Redemptions
Net sales or redemptions
Series A-E:
Sales
Redemptions
Net sales or redemptions
Series F and G:
Sales
Redemptions
Net sales or redemptions
Chart
book
page
53
53
53
53
62.8
63.8
1.6
2.0
61.2
53.8
61.8
53.8
64.4
1.9
62.5
54.6
46.62 P46.56
17.02 P16.93
9.85 P9.83
2.56 P2.55
4.13 P4.12
6.66 P6.66
6.40 P6.47
54
54
54
54
54
54
54
17.02
9.81
2.57
4.14
6.63
6.35
55
55
55
40.7
41.7
39.3
55
55
55
1.586
1.664
1.475
1.601 Pl.598
1.684 Pl.681
1.484 P I . 4 8 8
55
55
55
64.55
69.39
•"57.97
65.32 P64.56
70.39 P68.92
58.47 P58.78
-•46.51
40.8
41.8
39.4
P40.4
P41.0
P39.5
Industrial production:B
Total (1935-39 = 100)
56, 57
Points in total index:
Durable manufactures
56
Nondurable manufactures....
56
Minerals
56
Indexes (1935-39=100):
Durable manufactures
57
Nondurable manufactures. . . . 57
Minerals
57
Selected durable manufactures
(1935-39 = 100):
Nonferrous metals
58
Steel
58
Cement
58
Lumber
58
Transportation equipment
58
Machinery
58
Selected nondurable manufactures
(1935-39=100):
Apparel wool consumption
59
Cotton consumption
59
Paperboard
59
Newsprint consumption
59
Fuel oil
59
Gasoline
59
Industrial chemicals
59
Rayon
59
Sales, inventories, and new orders:
Sales (bill, dollars) :*
Manufacturing, total
60
Durable
60
Nondurable
60
Wholesale, total
61
Durable
61
Nondurable
61
Retail, total
61
Durable
61
Nondurable
61
Inventories (bill, dollars): *
Manufacturing, total
60
Durable
60
Nondurable
60
Trade:
Total
61
Durable
61
Nondurable
61
Wholesale
61
Retail
61
New orders (bill, dollars):
Manufacturing, total
60
Durable
60
Nondurable
60
Construction contracts (3
mo.
moving
avg., mill, dollars): s
Total
62
Residential
62
Other
62
Value of construction activity (mill,
dollars):
Total •
63
Nonresidential: e
Public
63
Private
63
Residential:«
Public
63
Private
63
Residential construction:
Contracts awarded (mill, dollars):
Total
64
1- and 2-family dwellings
64
Other
64
Dwellings started (thous. u n i t s ) . . .
65
Nonfarm mortgage lending
(mill, dollars):
Mortgages under $20,000
65
FHA insured home loans
65
GI home loans 6
65
Freight carloadings:
Total (1935-39 =100)
71
Groups (points in total index):
Miscellaneous
71
Coal
71
All other
71
223
222
P213
104.6
92.8
25.1
104.1
92.3
25.2
P99.9
P88.8
P23.8
276
198
165
275
197
166
P263
P190
P157
224
301
231
158
221
296
235
147
307
339
P220
293
226
131
P283
P327
r
309
r
337
163
164
256
166
210
207
153
157
247
163
215
378
'212
'548
r
385
23.8
11.1
12.8
22.8
10.7
12.1
••539
9.6
2.5
7.1
9.6
2.4
7.2
123
217
166
P215
P211
P558
391
P21.6
P9.7
Pll.9
P9.1
P2.3
12.1
11.9
P6.8
Pll.9
3.9
8.0
P3.7
P8.1
38.9
18.3
20.6
40.0
19.0
21.0
P40.4
P19.5
P20.9
'30.9
12.4
18.5
12.0
19.0
30.6
12.4
18.1
11.9
18.7
P30.3
P12.3
P18.0
Pll.7
P18.6
23.3
11.8
'11.5
23.2
12.0
11.2
PIO.O
1,480
1,534
508
973
1,002
4.0
8.1
2,556
532
P2O.7
P10.8
1,241
548
693
2,716 P2.77O
'771
r
858
820
907
P847
P934
46
881
50
939
P52
P937
561
409
151
101
491
333
159
130
517
360
157
86
1,444
1,422
168
292
148
264
1,370
148
319
r
133
131
125
80.9
23.5
28.1
79.0
25.5
'26.8
77.7
20.7
26.3
For footnotes see p. 1197 .
SEPTEMBER
1951
1195
CURRENT STATISTICS FOR FEDERAL RESERVE CHART BOOK— Continued
Chart
book
page
1951
May
June
July
In unit indicated
72
72
301
365
'302
353
309
353
73
73
73
'339
,193
'295
'326
'1,112
'386
257
1,065
433
73
73
4.4
3.5
4.6
3.4
5.8
4.1
PRICES
74
74
74
74
74
74
185.4
227.4
204.0
135.4
143.6
165.0
185.2
226.9
204.0
135.7
143.6
164.8
185.5
227.7
203.3
136.2
144.0
165.0
75
75
75
75
76
76
76
77
77
77
76
182.9
199.6
'187.3
'171.6
'182.1
232.6
'145.7
137.5
227.8
188.8
141.7
'181
198.6
186.3
'170.6
'178.2
230.6
'142.3
137.8
225.6
188.2
141.7
179.5
194.0
186.0
168.7
173.5
221.9
139.4
137.
223.8
188.0
138.
80
80
283
305
'282
301
282
294
81
81
81
2,153
1,684
2,170
1,537
607
P2,628
436
Pl.556
Pl.061
INTERNATIONAL TRADE AND FINANCE
Exports and imports (mill, dollars):
Exports
82
Imports
82
Excess of exports or imports
82
Short-term liabilities to and claims on
foreigners reported by banks (bill,
dollars):
Total liabilities
83
Official
83
Invested in U. S. Treasury bills
and certificates
83
Private
83
Claims on foreigners
83
Foreign exchange rates:
See p. 1217 of this BULLETIN
84,85
Pl.353 P I . 2 9 4 Pl.186
P\,018
P929
P893
P335
P364
P293
Apr.June
24
24
24
24
2.84
2.51
2.87
3.28
3.02
2.74
3.02
3.42
24
24
24
24
4.60
4.17
4.64
4.78
4.68
4.20
4.74
4.87
24
24
24
24
3.73
3.44
3.70
3.91
3.88
3.68
3.86
4.01
3.93
3.66
3.90
4.10
24
24
24
24
3.10
2.80
3.18
3.21
3.27
3.06
3.23
3.41
3.32
3.06
3.28
3.52
24
24
24
24
2.57
2.35
2.65
2.90
2.76
2.59
2.81
3.06
2.81
2.64
2.83
3.14
26
4.09 '11.42
P6.76
P3.28
P7.01
P3A5
Pl.01
PI.17
P3A9
P.92
Oct.Dec.
QUARTERLY FIGURES
LENDING INSTITUTIONS OTHER THAN
COMMERCIAL BANKS
3.07
2.78
3.04
3.52
k
4.73
4.37
4.68
4.90
In billions of dollars
Budget receipts and expenditures of
U. S. Treasury:
Expenditures, total
37
National defense
37, 38
Veterans Administration
38
International aid
38
Interest on debt
38
All other
38
Receipts:
Net receipts
37
Individual income taxes
38
Corporate income, etc
38
Miscellaneous internal revenue. . 38
All other
. 38
Tax refunds (deduct)
38
10.01
4.29
1.36
.93
1.34
1.99
11.08
5.40
1.33
1.01
1.25
2.00
14.49
P7.O5
1.23
Pi. 66
1.97
P2.49
9.12
3.68
2.52
2.32
.72
.13
16.82
9.57
4.57
2.49
.88
.69
12.86
6.13
4.84
2.16
.84
1.11
150.5
26.9
19.9
51.9
50.0
74.7
44.5
15.5
75.8
155.3
26.2
20.4
55.7
51.0
77.5
45.7
16.5
77.8
BUSINESS FINANCE
1950
Assets of savings institutions:
Savings and loan associations: •
Total assets
Real estate mortgages
U. S. Govt. securities
Other assets
Loans and loan guarantees and insurance of Federal agencies:
Total*
Loans
Foreign
Domestic:
Agriculture
Home owners
Other
Loan guarantees and insurance:*
Nonfarm mortgages
Other
Bank rates on loans to business:
All loans:
19 cities
New York City
7 Northern and Eastern cities...
11 Southern and Western cities..
Loans of $1,000-$ 10,000:
19 cities
New York City
7 Northern and Eastern cities.. .
11 Southern and Western cities..
Loans of $10,000-$ 100,000:
19 cities
New York City
7 Northern and Eastern cities...
11 Southern and Western cities.'.
Loans of $100,000-$200,000:
19 cities
New York City
7 Northern and Eastern cities...
11 Southern and Western cities..
Loans of $200,000 and over:
19 cities
New York City
7 Northern and Eastern cities...
11 Southern and Western cities..
Stock yields:
Earnings/price ratio, common
stocks
GOVERNMENT FINANCE
AGRICULTURE
Prices paid and received by farmers
(1910-14=100):
Paid, etc
Received
Cash farm income (mill, dollars):
Total
Livestock and products
Crops
1951
Jan.Mar.
MONEY RATES, ETC.
PRODUCTION AND DISTRIBUTION—Cont.
Consumers' prices (1935-39=100):
All items
Food
Apparel
Rent
Fuel, electricity, and refrigeration.
Miscellaneous
Wholesale prices (1926=100):
Total
Farm products
Food
Other commodities
Textile products
Hides and leather products
Chemicals and allied products...
Fuel and lighting materials.....
Building materials
Metals and metal products
Miscellaneous
1950
Oct.Dec.
Per cent per annum
QUARTERLY FIGURES—Cont.
MONTHLY FIGURES—Cont.
Department stores:
Indexes (1935-39 =100): 6
Sales
Stocks
296 stores:
Sales (mill, dollars)
Stocks (mill, dollars)
Outstanding orders (mill, dollars)
Ratios to sales (months' supply):
Total commitments
Stocks
Chart
book
page
Current assets eand liabilities of
corporations:
Current assets, total
Cash
U. S. Govt. securities
Inventories
Receivables
Current liabilities, total
Notes and accounts payable
Federal income tax liabilities
Net working capital
P3.56
P. 94
39
39
39
39
39
39
39
39
39
1951
Jan.Mar.
In billions of dollars
20
20
20
20
16.93
13.81
1.49
1.63
17.20
14.10
1.56
1.54
21
21
21
35 27
12.87
6.01
36 61
13 14
6.06
21
21
21
3 59
2.74
.71
21
21
21.65
3 64
2.91
.72
22.70
.76
.76
In unit indicated
Apr.June
17.98
14.66
1.57
1.76
Corporate security issues:
Total (bill, dollars)e
New money, total (bill, dollars)«. .
Type of security (bill, dollars):
Bonds
Preferred stock
Common stock
Use of proceeds (mill, dollars):
Plant and equipment:
All issuers
Public utility
Railroad
Industrial
Working capital:
All issuers
Public utility
Railroad
Industrial
Bonds (bill, dollars): •
Public
Private
40
40
1 .48
.96
1 73
1 .46
2.36
1.99
40
40
40
.70
.13
.13
1 .24
.05
.17
1.48
.14
.36
41
41
41
41
717
470
72
174
1, 167
873
76
217
1,422
682
59
671
41
41
41
41
239
5
1
178
293
2
5
212
565
30
"405
40
40
.32
.82
91
.55
.55
1.25
For footnotes, see p. 1197.
1196
FEDERAL RESERVE BULLETIN
CURRENT STATISTICS FOR FEDERAL RESERVE CHART BOOK—Continued
Chart
book
page
Oct.Dec.
1951
Jan.Mar.
GROSS NATIONAL PRODUCT, ETC.
Coilt.
42
50.3
51.8
42
42
27.8
16.7
23.3
14.5
6
48.5
622.0
612.5
Corporate profits after taxes (quarterly totals) :
All corporations (bill, dollars)«. . . .
Large corporations, total (bill, dollars)
Manufacturing (mill, dollars):
Durable
Nondurable
Electric power and telephone
(mill, dollars)
Railroads (mill, dollars)
43
7.0
5.5
43
1.6
1.4
1.4
43
43
576
382
530
'377
547
375
43
43
330
318
347
103
31
144
44
5.8
5.2
'6.3
44
44
4.3
3.0
3.7
2.6
'4.6
^3.3
Plant and equipment expenditures
(bill, dollars): • *
All business
Manufacturing and mining; railroads and utilities
Manufacturing and mining
Individual savings: •
Gross savings
Liquid savings
Cash
U. S. Govt. securities
Other securities
47
47
47
47
47
Oct.Dec.
1951
Jan.Mar.
Apr.June
e
48
303.7
318.5
325.6
48
48
50
50
50
47.8
198.4
29.4
104.9
64.0
52.9
208.2
31.5
111.5
65.2
60.0
201.7
25.9
109.5
66.2
48
57.5
57.3
64.0
49
49
49
49
25.0
23.3
11.8
-2.7
26.5
23.9
9.3
-2.3
26.7
22.3
14.4
.5
51
51
51
51
238.3
215.2
198.4
16.
244.1
217.5
208.2
9.3
250.0
222.8
201.7
21.1
1949
Dec.
31
1950
June
30
Dec.
30
SEMIANNUAL FIGURES
In billions of dollars
CONSUMER FINANCE
ross national product 5
Govt. purchases of goods and services
Personal consumption expenditures
Durable goods
Nondurable goods
Services
Private domestic and foreign investment
Gross private domestic investment:
Producers' durable equipment.
New construction
Change in business inventories.
Net foreign investment
Personal income,
consumption, and
saving: 5
Personal income
Disposable income
Consumption expenditures
Net personal saving
1950
Annual rates
in billions of dollars
QUARTERLY FIGURES—Cont.
Corporate profits, taxes, and dividends
(annual rates, bill, dollars): e 5
Profits before taxes
Profits after taxes (dividends and
undistributed profits)
Undistributed profits
Chart
book
page
Apr.June
In unit indicated
QUARTERLY FIGURES—Gont.
BUSINESS FINANCE
1950
+ 14.3
+2.6
+3.6
-0.7
Insurance
47
+0.0
+2.3
Debt liquidation
47
-2.6
+9.7
+0.1
-1.9
+0.2
+0.6
+2.0
-0.8
In billions of dollars
INSURED COMMERCIAL BANKS
Loans:
Commercial
Agricultural
Real estate
Consumer
For purchasing securities:
To brokers and dealers
To others
State and local government securities.
Other securities
11
11
11
11
16.94
2.96
11.41
6.00
16.81
2.82
12.27
6.89
21.78
2.82
13.39
7.63
11
11
11
11
1.75
0.86
6.40
3.57
1.86
0.91
7.24
3.72
1.79
1.04
7.93
4.18
c
• Estimated.
P Preliminary.
' Revised.
Corrected.
For charts on pp. 22, 28, and 30, figures for a more recent period are available in the regular BULLETIN tables that show those series. Because the Chart Book is usually released for publication some time after the BULLETIN has gone to press, most weekly charts and several monthly
charts
include figures for a more recent date than are shown in this table.
2
Figures for other than Wednesday dates are shown under the Wednesday included in the weekly period.
3
Deficiency of less than 5 million dollars.
4
Less than 5 million dollars.
6
Adjusted for seasonal variation.
6
Figures, except for cash dividends, are estimates of Council of Economic Advisers, based on preliminary data.
7
Expenditures anticipated by business during the third and fourth quarters of 1951 are (in billions of dollars): third quarter—all business, 6.8;
manufacturing and mining, railroads and utilities, 5.3; manufacturing and mining, 3.9; fourth quarter—6.6, 5.3, and 3.8, respectively.
* Monthly issues of this edition of the Chart Book may be obtained at an annual subscription rate of $6.00; individual copies of monthly
issues at 60 cents each.
1
SEPTEMBER
1951
1197
AUGUST CROP REPORT, BY FEDERAL RESERVE DISTRICTS
BASED ON ESTIMATES OF THE DEPARTMENT OF AGRICULTURE, BY STATES, AS OF AUGUST 1, 1951
[In thousands of units]
Cotton
Federal Reserve district
Boston
New York
Philadelphia
Cleveland
Richmond
Atlanta
Chicago
St. Louis
Minneapolis
Kansas City
Dallas
San Francisco
..
Corn
Estimate
Aug. 1, 1951
Production
1950
Bales
Bales
Bushels
Bushels
7,628
35,371
55,661
219,158
197,503
218,592
1,115,665
426,131
340,126
429,739
77,657
7,778
3,131,009
7,934
36,946
59,802
248,546
183,294
207,818
1,257,406
408,014
382,558
352,351
55,597
6,726
13,594
17,129
51,416
22,669
5,103
69,175
48,517
30,703
354,215
23,032
115,113
13,430
17,381
39,054
29,841
5,710
65,148
50,685
35,663
268,040
17,681
108,105
115
110
1,332
10
234,616
3,678
105
36,233
1,057
7
293,546
4,334
110
48,384
3,206,992
750,666
650,738
276,089
347,548
1,489
2,730
590
1,576
2
12,691
Total
201
3,823
564
3,549
1,405
6,172
2,488
10,012
17,266
Oats
Federal Reserve district
Boston
New York
Philadelphia
Cleveland
Richmond
Atlanta
Chicago
..
St. Louis
[Minneapolis
Kansas City
Dallas
San Francisco
. .
Total
Spring wheat
Production
1950
...
. .
Winter wheat
Estimate
Production
Aug. 1, 1951
1950
Tame hay
Production
1950
Estimate
Aug. 1, 1951
Production
1950
Bushels
Bushels
Tons
Bushels
Estimate
Production
Aug. 1, 1951
1950
Bushels
Tons
Pounds
6,742
35,369
18,957
53,976
39,167
29,152
630,672
73,682
389,199
122,848
29,537
35,833
8,014
36,936
20,671
64,001
41,757
24,761
554,874
49,691
445,739
108,855
10,301
27,723
3,664
6,471
2,653
6,243
4,940
3,640
20,281
9,925
10,905
10,247
1,750
13,591
3,998
6,420
2,751
6,502
5,028
3,288
23,347
9,395
14,153
10,785
1,547
12,594
61,365
125,873
1,235,345
228,980
32,147
300,743
2,359
3,851
1,465,134
1,393,323
94,310
99,808
2,032,450
40,813
974
Bushels
White potatoes
Tobacco
Estimate
Production
Aug. 1, 1951
1950
Bushels
Estimate
Aug. 1, 1951
Estimate
Production
1950
Aug. 1, 1951
Pounds
Bushels
Estimate
Aug. 1, 1951
Bushels
58,752
146,006
1,349,387
275,116
25,675
351,775
1,799
3,700
70,733
40,947
21,901
13,413
24,987
14,408
32,505
7,230
50,112
34,973
3,255
125,036
55,526
33,517
18,422
11,451
20,314
14,479
25,921
5,561
39,448
26,269
2,749
97,529
2,249,280
439,500
351,186
36,136
934
1
Includes 7,000 bales grown in miscellaneous territory.
Includes 12,000 bales grown in miscellaneous territory.
NOTE.—1950 figures for cotton are as revised in August 1951.
2
1198
FEDERAL RESERVE BULLETIN
CHANGES IN NUMBER OF BANKING OFFICES IN THE UNITED STATES
[Figures for last date shown are preliminary]
Commercial and stock savings banks and nondeposit
trust companies
All
banks
Dec.
Dec.
Dec.
Dec.
Dec.
Dec.
Dec.
Dec.
Dec.
June
Banks (head offices)
31, 1933
31, 1934
31, 1941
31, 1945
31 1946 3
31, 1947 . . .
31, 1948
31 1949
31, 1950
30 1951
Dec.
Dec.
Dec.
Dec.
Dec.
Dec.
Dec.
Dec.
Dec.
June
Branches and additional offices
31 1933
31, 1934 . . . .
31 1941
31, 1945
31, 1946
. . .
31 1947 s
31, 1948
....
31 1949
31, 1950 . . . .
30, 1951
Changes, Jan. 1-June 30, 1951
Banks
New Banks 5 . . . .
Suspensions
. .
Consolidations and absorptions:
Banks converted into branches
Other
6
Voluntary liquidations
Other changes 7
Interclass changes:
Conversions—
National into State
...
State into national
Federal Reserve membership: 8
Admissions of State banks
Withdrawals of State banks
Federal deposit insurance: 9
Admissions of State banks
Net increase or decrease
Number of banks, June 30, 1951
Branches and additional offices 10
De novo branches
Banks converted into branches
Discontinued
Other changes n
Interclass branch changes:
National to State member
National to Nonmember
State member to national
Noninsured to insured
Member banks
Total
Total 1
National
State
member1
Total
Insured 2
NonNonIninsured 2 sured * 2 insured
15,029
16,063
14,825
14,553
14,585
14,714
14,703
14,687
14,650
14,636
14,450
15,484
14,277
14,011
14,044
14,181
14,171
14,156
14,121
14,107
6,011
6,442
6,619
6,884
6,900
6,923
6,918
6,892
6,873
6,859
5,154
5,462
5,117
5,017
5,007
5,005
4,991
4,975
4,958
4,946
857
980
1,502
L ,867
1,893
1,918
1,927
1,917
.915
1,913
8,439
9,042
7,661
7,130
7,147
7,261
7,256
7,267
7,251
7,251
8,4- 9
7,699
1,343
6,810
851
6,416
714
6,457
690
6,478
783
6,498
758
6,540
727
6,562
689
6,581
670
57 9
68
52
192
191
194
193
192
194
201
496
350
350
339
339
339
335
328
2,911
3,133
3,699
4,090
4,138
4,332
4,531
4,778
5,056
5,204
2,786
3,007
3,564
3,947
3,981
4,161
4,349
4,579
4,843
4,983
2,081
2,224
2,580
2,909
2,913
3,051
3,197
3,387
3,589
3,703
1,121
1,243
1,565
1,811
1,781
1,870
1,965
2,085
2,230
2,291
960
981
1 m =;
1,098
1,132
1,181
1,232
3n?
1,359
1,412
705
783
984
1,038
1,068
1,110
1,152
1,192
1,254
1,280
70 5
4 783
932
981
1,006
1,043
1,084
1,139
1,202
1,228
12 5
4 126
32
101
115
124
132
141
152
158
103
42
42
47
50
58
61
63
+32
+31
-1
+4
+4
-31
-11
-5
+2
-30
-11
-5
+2
-15
-3
-1
-13
-2
-1
-1
-1
+1
+5
+1
-2
-1
-14
-14
-14
-12
-2
14,636
14,107
6,859
4,946
1,913
+102
+31
+2
+95
+30
-2
+2
+77
+26
+50
+13
+27
+13
j
+1
+2
-3
+1
+23
+41
-15
-8
-4
-12
-7
-2
-1
_2
+2
+5
-4
—4
-17
-3
+5
+ 17
-5
+1
+1
-5
+4
-4
+4
-17
+6
+7
-7
7,251
6,581
670
201
328
+18
+4
+ 18
+4
+4
+3
+1
+3
+3
+52
+25
+25
Number of branches and additional offices
June 30, 1951...
5,067
4,846
3,579
2,184
1,395
1,267
1,215
+15
-1
+14
+14
137
137
124
107
+1
+ 13
17
-1
-19
+48
+15
-1
+17
+100
+15
+1
+19
+125
+15
511
+2
+133
+15
52
57
62
67
68
53
52
52
+27
Net increase or decrease
Banking facilities 12
Established
Inter-class changes
Net increase
Number of banking facilities, June 30,
1951
..
Mutual savings
banks
Nonmember banks
+1
+1
+1
+1
13
13
52
-6
+2
-2
+6
+2
158
63
I
The State member bank figures and the insured mutual savings bank figures both include three member mutual savings banks that became
members of the Federal Reserve
System during 1941. These banks are not included in the total for "commercial banks" and are included only
2
once 3in "all banks."
Federal deposit insurance did not become operative until Jan. 1, 1934.
As of June 30, 1947, the series was revised to conform (except that it excludes possessions) with the number of banks in the revised all bank
series announced4 in November 1947 by the Federal bank supervisory authorities. The revision resulted in a net addition of 115 banks and_9
branches.
^ Separate figures not available for branches of insured and noninsured banks.
5
Exclusive of new banks organized to succeed operating banks.
6
Exclusive of liquidations incident to succession, conversion, and absorption of banks.
7
Two institutions not previously engaged in deposit banking, resumed deposit business.
8
Exclusive of conversions of national banks into State bank members, or vice versa. Such changes do not affect Federal Reserve membership;
they 9are included under "conversions."
Exclusive of insured nonmember banks converted into national banks or admitted to Federal Reserve membership, or vice versa. Such
changes do not affect Federal Deposit Insurance Corporation membership; they are included in the appropriate groups under "interclass bank
changes."
10
Covers all branches and other additional offices (excluding banking facilities) at which deposits are received, checks paid, or money lent.
II
Two de novo branches opened prior to 1951 but not previously reported.
12
Banking facilities are provided through arrangements made by the Treasury Department with banks designated as depositaries and financia
agents of the Government at military and other Government establishments. Three of these banking facilities are, in each case, operated by two
national banks, each bank having separate teller windows;-each of these facilities is counted as one office only. These figures do not include
branches that have also been designated by the Treasury Department as banking facilities.
Back figures.—See Banking and Monetary Statistics, Tables 1 and 14, pp. 16-17 and 52-53, and descriptive text, pp. 13-14.
SEPTEMBER
1951
1199
INTERNATIONAL FINANCIAL STATISTICS
PAGE
International capital transactions of the United States..
1202-1207
Gold production. .
1207
Reported gold reserves of central banks and governments.
1208
Gold movements; gold stock of the United States.
1209
International Monetary Fund and Bank. .
1210
Central Banks..
1210-1214
Money rates in foreign countries.
1215
Commercial banks
1216
Foreign exchange rates.
1217
Price movements:
Wholesale prices..
1218
Retail food prices and cost of living
1219
Security prices..
1219
Tables on the following pages include the principal available statistics of current significance relating
to gold, international capital transactions of the United States, and financial developments abroad.
The data are compiled for the most part from regularly published sources such as central and commercial bank statements and official statistical bulletins, some data are reported to the Board directly.
Figures on international capital transactions of the United States are collected by the Federal Reserve
Banks from banks, bankers, brokers, and dealers in the United States in accordance with the Treasury
Regulation of November 12, 1934. Back figures for all except price tables, together with descriptive
text, may be obtained from the Board's publication, Banking and Monetary Statistics.
SEPTEMBER 1951
1201
INTERNATIONAL CAPITAL TRANSACTIONS OF THE UNITED STATES
TABLE 1.—NET CAPITAL MOVEMENT TO UNITED STATES SINCE JANUARY 2, 1935, BY TYPES
[Net movement from United States, (-). In millions of dollars]
Increase in banking funds in U. S.1
From Jan. 2, 1935,
through—
Total
Total
Foreign
official2
Foreign
other
International
Decrease
in U.m S.
banking
funds
abroad 1
Domestic
securities:
Inflow of
foreign3
funds
Foreign
securities:
Return
of U. S.
funds 3
Inflow in
brokerage
balances
31
31
31
31
31
8,802.8
8,009.5
8,343.7
8,569.1
8,763.5
6,144.5
5,726.1
6,362.3
6,963.9
6,863.9
3,469.0
2,333.6
1,121.8
2,126.0
2,197.8
2,675.5
2,938.7
2,998.5
2,993.6
3,028.2
453.8
2,242.0
1,844.3
1,637.8
742.7
427.2
186.5
116.8
307.6
798.7
464.5
375.5
183.3
258.5
972.8
1,237.9
1,276.9
1,182.1
1,209.9
144.1
153.7
142.4
123.1
123.7
1950—July 31
Aug. 31
Sept. 30
Oct. 31
Nov. 30
Dec. 31
9,896.4
10,128.9
10,488.0
10,733.5
10,710.2
10,521.9
7,455.6
7,613.2
8,182.9
8,421.1
8,149.4
7,892.1
2,592.5
2,522.3
3,012.6
3,257.7
2,899.2
2,715.6
3,236.5
3,478.5
3,543.9
3,516.2
3,536.7
3,474.3
1,626.6
1,612.4
1,626.4
1,647.2
1,713.5
1,702.3
462.3
445.6
383.4
292.7
282.0
230.6
631.8
774.7
800.6
833.0
1,080.9
1,202.9
1,226.0
1,172.7
999.2
1,062.5
1,066.4
1,064.5
120.7
122.7
121.9
124.3
131.6
131.7
1951—Jan.
Feb.
Mar.
Apr.
May
June
10,467.6
10,407.9
10,353.9
10,387.3
10,250.1
10,252.8
7,723.3
7,731.6
7,695.9
7,649.2
7,591.6
7,906.2
2,675.9
2,704.4
2,646.8
2,582.5
2,566.3
2,740.0
3,431.9
3,434.9
3,449.0
3,461.1
3,463.8
3,537.9
1,615.5
1,592.3
1,600.1
1,605.6
1,561.4
1,628.4
269.0
216.1
214.9
237.9
210.3
191.6
1,280.7
1,274.0
1,305.5
1,399.4
1,416.9
1,146.2
1,064.2
1,052.9
1,006.7
974.8
909.8
876.2
130.5
133.2
130.9
126.1
121.6
132.7
1945—Dec.
1946—Dec.
1947—Dec.
1948—Dec.
1949—Dec.
31
28
31
30
31 P
30P
TABLE 2.—SHORT-TERM LIABILITIES TO FOREIGNERS REPORTED BY BANKS IN THE UNITED STATES,
BY COUNTRIES *
[Amounts outstanding, in millions of dollars]
Date
International
institutions
Total foreign
countries
Official
and
Official2
United
NethKing- France erdom
lands
Switzerland 4
Italy
Other
Europe
Total
Europe
2,583 0 1,522 2
2,420.7
931.8
1,976.7
409.6
2,472.4
775.2
2,513.9
869.1
Canada
Latin
America
Asia
All
other
1,549 7
1,316.4
1,057.9
1,151.8
961.0
181.8
232.8
193.7
167.4
179.5
private
1945—Dec< 31
473.7
1946—Dec. 3 1 . . .
1947—Dec. 3 1 . . . 2,262.0
1948—£)ec# 3 1 . . . 1,864 3
1949—Dec. 3 1 . . . 1,657.8
6,883 1
6,006.5
4,854.4
5,853.7
5,960.2
4,179.3
3,043.9
1,832.1
2,836.3
2,908.1
1950—July 3 1 . . .
Aug. 31
Sept. 3 0 . . .
Oct. 3 1 . . .
Nov. 3 0 . . .
Dec. 3 1 . . .
1,646.5
1,632 4
1,646.4
1,667.1
1,733.4
1,722.2
6,563.2
6,734.9
» 7,290.7
5 7,508.1
5 7,170.1
5 6,924.0
3,302.8
3,232 6
3,722.9
3,968.0
3,609.5
3,425.9
1951—Jan. 3 1 . . .
Feb. 2 8 . . .
Mar. 3 1 . . .
Apr. 3 0 . . .
May 31 P. .
June 3 0 P . .
1,635.4
1,612.2
1,620.0
1,625.6
1,581.4
1,648.3
5
3,386.2
3,414.7
3,357.1
3,292.8
3,276.6
3,450.3
6,842.0
»
6,873.5
5
6,830.0
5 6,777.8
5 6,764.3
5 7,012.0
1,046.4
1,104.8
1,216.6
1,287.0
1,436.7
707 7
458.9
326.2
546.3
574.4
310 0
245.9
167.7
192 8
171.6
281 6
224.9
143.3
122 8
170.5
304 2
372.6
446.4
538 9
576.9
70 4
267.9
153.1
333.5
303.6
909 1
850.5
739.8
738.1
717.0
911.8
758 1
> 703.4
»819.8
> 723.3
5 660.7
193.1
266 0
248.4
289.6
247.2
260.7
248.4
257 2
255.5
275.0
281.9
193.6
593.9
603 4
600.0
572.4
569.9
553.0
275.8
283.8
304.0
309.2
303.1
314.7
801.9
816 2
866.2
859.8
811.3
796.5
3,024.9
796.3 1,455.0 1,093.4 193.5
2,984 7
927 5 1,469 6 1,146 8 206.4
»2,977.5 1,332.5 1,544.0 1,224.7 211.9
5
3,125.8 1,227.8 1,569.6 1,362.8 222.1
5 2,936.7 1,054.9 1,524.8 1,404.0 249.7
52,779.1
899.0 1,612.9 1,378.6 254.5
5 637.7
5
629.1
5
646.1
5
673.6
5
629.1
5
618.0
273.7
258.0
232.5
193.0
185.2
246.3
203.5
209.1
198.6
131.4
133.6
134.8
513.2
504.2
505.0
502.5
496.8
510.1
308.6
324.4
306.3
299.1
289.9
276.0
812.6
807.9
810.6
822.9
851.9
931.5
^ 2,749.5
52,732.8
5 2,699.2
5 2,622.5
52,586.5
s 2,716.7
3
887.1
884.5
824.6
811.6
835.6
971.9
1,585.3
1,596.1
1,646.3
1,705.8
1,712.7
1,672.9
1,369.7
1,401.1
1,411.0
1,386.0
1,374.3
1,397.3
250.3
259.0
248.8
251.9
255.2
253.2
P Preliminary.
1
Certain of the movement figures in Table 1 have been adjusted to take account of changes in the reporting practice of banks (see BULLETIN
for August 1951, p. 878). Reported figures from banks, however, did not permit similar adjustments in Tables 2 and 3, representing outstanding
amounts. Therefore changes in outstanding amounts as may be derived from Tables 2 and 3 would not always be identical with the movement
of funds
shown in Table 1.
2
Represents funds held with banks and bankers in the United States by foreign central banks and by foreign central governments and their
agencies (including official purchasing missions, trade and shipping missions, diplomatic and consular establishments, etc.), and also special deposit
accounts
held with the U. S. Treasury.
3
Beginning with 1947, these figures include transactions of international institutions, which are shown separately in Tables 6 and 7. Securities
of such
institutions
are included in foreign securities.
4
Beginning January 1950, excludes Bank for International Settlements, included in "International institutions" as of that date.
5
Data for August 1950 include, for the first time, certain deposit balances and other items which have been held in specific trust accounts,
but which have been excluded in the past from reported liabilities.
NOTE.—These statistics are based on reports by banks, bankers, brokers, and dealers. Beginning with this issue, certain changes have been
made in the order and selection of the material published. Three tables showing capital movements by countries on a cumulative basis (formerly
Tables 2, 3, and 4) have been discontinued. Total capital movement by country (as formerly shown in Table 2) can now be derived from the
appropriate columns in Tables 2, 3, 6, 7, and 8. Data on the total volume of transactions in foreign and domestic securities, by types of securities,
now appear in Tables 4 and 5. For security transactions by individual countries, figures on monthly net purchases or sales are now shown in
Tables 6, 6a, and 7 in place of the cumulative figures formerly shown. For further explanation and information on back figures see BULLETIN
for August 1951, p. 878.
1202
FEDERAL RESERVE BULLETIN
INTERNATIONAL CAPITAL TRANSACTIONS OF THE UNITED STATES—Continued
TABLE 2.-—SHORT-TERM LIABILITIES TO FOREIGNERS REPORTED BY BANKS IN THE UNITED STATES,
BY COUNTRIES—Continued
[Amounts outstanding, in millions of dollars]
Table 2a.—Other Europe
Date
Other
Europe
1945—Dec.
1945—Dec.
1947—Dec.
194g—Dec.
1949—Dec.
3 1 . . 909.1
31. . 850.5
3 1 . . 739.8
3i
738.1
717.0
31
Austria
Bel- CzechDenoslo- mark
gium vakia
Finland
185.0
159 5
124.9
128 7
119.9
25.9
66 5
52.8
44 7
38 0
22 2
30.5
19 1
25.1
7 1
89.5
178 9
149 4
70 8 216.1
49 3 123 5
34.7 56.2
21 1 77 7
29 6 69 4
GerNormany Greece way
5.5
7.0
Poland
Portugal
210
172
58
49
90
28
60
73
21
10
1
6
6
0
1
6.7
31
16
12
13
15
6.2
6.1
6.1
6.0
6.1
6.1
10.4
13.0
13.4
14.3
20.1
21.3
116.5 15.2
117.0 11.8
109.8 9 . 8
110.6 4 . 5
108.7 5 . 5
115.3 4 . 0
6.4
6.4
6.1
6.2
5.1
4.9
20.0
25.3
17.0
19.2
16.3
18.3
120.1
105.5
105.5
92.8
Netherlands
West Peru
Indies
and
Suri-
Republic of
Pan-
106.1 11.3
107.8 7 . 0
111.6 6 . 1
115.0 6 . 4
128.2 6 . 6
125.5 5 . 6
31.9
31.6
36.4
39.1
43.7
45.5
15.8
16.2
15.7
15.4
17.6
18.3
245.0
262.9
286.4
282.5
227.7
221.6
40.6
41.6
41.8
42.6
44.2
32.3
69.5
71.2
80.1
75.4
44.5
43.6
12.4
3.1
6.9
4.2
32.6
35.7
39.1
45.0
50.2
45.7
1951—Jan.
Feb.
Mar.
Apr.
May
June
812.6 43.6
807.9 45.0
810.6 44.9
822.9 42.4
851.9 41.2
931.5 43.9
130.3
115.1
116.5
117.4
112.7
122.3
43.2
42.2
48.2
47.8
48.0
44.7
18.1
20.3
19.2
22.1
22.2
22.5
232.2
241.0
242.4
266.4
303.5
357.5
30.1
31.4
33.9
35.8
38.0
38.6
46.9
51.3
54.3
57.8
61.7
60.5
5.8
5.6
4.5
4.0
3.8
3.3
48.1
54.0
52.6
46.8
44.0
45.6
5.9
4.3
3.1
3.2
2.9
3.1
Yugo- All
USSR slavia
other >
9 3
8 9
801.9 35.5
816.2 32.0
866.2 35.3
859.8 36.1
811.3 38.7
796.5 41.9
31..
28. .
31. .
30. .
31 P.
30P.
Sweden
47.9
39 0
47.1
37 7
38 1
1950—July 31. .
Aug. 31. .
Sept. 30. .
Oct. 3 1 . .
Nov. 30. .
Dec. 31. .
4.7
3.5
Rumania Spain
8.7
7 0
7
4
8
6
7
91.8
99.4
0
5
7
3
2
3.4
3.3
2.0
2.3
2.9
8.6
5
12
12
19
7
7
4
1
9
6
5.0
5.3
5.2
7.6
12.3
13 2
11.1
8.3
7.8
6.4
9.2
6.5
66
112
138
119
117
0
5
2
3
4
55.7
53.5
56.9
56.2
50.4
52 4
47.4
48.9
52.6
52.4
48.8
51.8
Table 2b.—Latin America
Latin
BoAmer- Argentina
livia
ica
ate
Brazil Chile
Colombia
Cuba
Dominican Guate- Mexico
Remala
public
El
Salvador
Uruguay
Other
Vene- Latin
zuela America 2
nam
1945—Dec.
1946—Dec.
1947—Dec.
194g—Dec.
1949—Dec.
11
11
31.
31
31
1,046 4
1,104 8
1,216 6
1,287,0
1,436 7
77.3
112.6
236.2
215.8
201.1
14.5
14.0
17.8
17.1
13.5
195.1
174.0
104.7
123.7
192.8
66.3
50.7
46.3
55.6
60.9
79.2
57.8
46.1
54.0
85.9
128.3
153.5
234.7
219.4
164.2
1950—July
Aug.
Sept.
Oct.
Nov.
Dec.
1951—j an#
Feb.
Mar.
Apr.
11
11
30.
31
30.
31
1,455
1,469
1,544
1,569
1,524
1,612
0
6
0
6
8
9
239.0
249.8
268.9
273.0
281.9
301.8
13.3
18.4
19.0
17.0
17.0
20.4
150.3
155.0
187.1
215.7
195.4
226.0
69.0
70.3
76.9
82.5
79.0
79.5
70.7
76.1
65.9
61.6
49.6
53.4
245.8
259.5
260.6
274.2
277.2
259.1
45
44
41
41
41
42
1,585
1,596 1
1,646 3
1,705 8
M a y 31 v 1,712 7
June 30* 1,672.9
334.4
312.1
345.2
347.5
353.2
343.7
18 8
20.8
22.4
19.3
19.7
24.7
228.9
249.8
259.6
248.1
241.7
212.4
73.3
70.6
69.9
79.9
76.6
69.9
54 6
49.7
44.2
66.6
66.2
58.1
251.0
257.7
276.0
309.8
327.4
327.9
44
45
45
46
48
51
11
28.
31.
30,
116.4
152.2
139.2
146.7
214.6
28 2
16.1
14.9
24 3
25.9
43.9
40.9
41.8
52.6
52.8
88 7
77.2
70.3
71.8
74.3
8
7
23 s
22 •^
22. 7
22 0
22. 6
25. 4
174.9
163.0
176.4
188.2
187.8
207.1
30.1
29.4
29.0
28.6
27.7
30.2
49.8
50.9
58.0
55.7
57.4
60.2
69.5
63.4
72.2
62.1
58.3
59.2
28
26
24
21
14
16
27.
30. 6
31. 8
30, 8
29. 2
29. 5
142.5
140.7
108.7
115.8
110.4
123.8
31.5
30.0
30.8
28.8
25.6
25.0
62.3
60.6
55.0
58.2
57.9
54.3
54.2
1
8
3
7
3
28
42 2
8
8
51.9
52.2
51.9
53.9
58.1
4
0
s
6
1
46.5
46 3
46 8
50 6
49 7
74.0
78.0
121 7
143.2
158 8
181.8
186.5
184 1
207.4
73 8
75 7
73 .9
71 9
69 .7
75 1
104 9
97.2
101.8
88.8
79.4
85.2
66 3
67.4
65.8
65 3
65.6
71.3
83
79 . 0
81 . 8
82 .1
74 .0
74 .6
78 5
75.9
89.8
80.8
72 2
79.6
86.6
93.5
94.3
93.2
87.2
75.6
Table 2c .—Asia and ,411 Other
Date
Asia
Formosa
PhilAll
and Hong
ippine Thai- Tur- Other
Indoland key Asia 3 other
China Kong India nesia Iran Israel Japan Republic
Mainland
1945—Dec.
1946—Dec.
1947—Dec.
1948—Dec.
1949—Dec.
31
31.
31.
31.
31.
1,549.7
1 316 4
1,057.9
1 151 8
961.0
582.3
431 9
229.9
216.2
110.6
27.4
44 9
39.8
51 1
83.9
33.4
43.5
62.4
51.8
63.3
113.7
127 1
69.3
41 5
15.7
1950—July
Aug.
Sept.
Oct.
Nov.
Dec.
31.
31.
30.
31.
30.
31.
1,093.4
1,146.8
1,224.7
1,362.8
1,404.0
1,378.6
91.3
94.3
101.0
116.8
103.9
81.8
93.6
90.1
89.2
94.4
93.7
86.1
42.1
51.3
55.9
50.5
58.2
55.7
47.7
50.7
73.0
91.7
110.5
114.7
17.5
18.1
17.8
20.4
20.4
20.3
1951—Jan.
Feb.
Mar.
Apr.
May
June
31. 1,369.7
28. 1,401.1
31. 1,411.0
30. 1,386.0
31 v 1 , 3 7 4 . 3
30? 1,397.3
78.8
77.8
79.6
79.3
73.7
65.8
65.5
64.8
7 8 . 6 61.1
79.2 61.9
49.6
59.7
60.4
59.0
73.3
79.2
115.6
124.9
138.2
126.7
124.2
135.8
24.7
26.3
24.3
27.4
25.8
26.6
16.6
31.3
81 4
214.6
629.1
446 6
488.6
488.3
297.3
15.7
15.2
12.7
11.5
11.9
12.6
353.2
372.5
397.6
434.0
454.0
458.5
290.4
299.8
318.0
378.1
379.7
374.4
29.4
30.5
34.6
39.5
44.4
48.2
15.8
15.6
14.1
17.2
18.1
18.9
452.5
443.3
406.4
376.6
348.8
342.8
376.6
390.3
395.0
404.5
414.5
403.7
46.4
52.0
53.3
57.7
63.8
65.9
4.1
Australia
Egypt
and
Union
Bel- Angloof Other *
gian
Congo Egyp- South
tian Africa
Sudan
52.5 107.2 181.8
54.7 151.0 232.8
37.6 99.0 193.7
17.5 204.0 167.4
9 . 8 165.7 179.5
28.9
45.5
30.6
22.2
32.4
12.4
12.1
11.6
12.3
13.1
14.3
100.1
112.4
113.3
113.5
114.3
111.9
193.5
206.4
211.9
222.1
249.7
254.5
19.5
16.0
15.6
18.1
21.8
19.1
39.8
36.3
37.6
41.6
58.2
58.1
12.5
13.7
16.9
20.6
18.2
12.3
123.6
131.9
157.4
152.2
148.0
171.2
250.3
259.0
248.8
251.9
255.2
253.2
19.8
19.6
27.1
18.3
19.9
26.2
18.9
20.8
25.0
27.7
61.6
6 . 4 127.7
47.2 119 3
46.4 91.8
15.8 101 6
6.0
79.5
53.0
63.4
63.6
64.4
66.3
75.6
19.7
29.5
33.8
37.5
44.3
44.0
61.5
61.2
61.4
60.5
59.1
57.7
53.2 85.1
54.2 85.0
50.8 85.1
51.4 105.6
51.6 105.1
55.0 89.4
36.4
39.2
21.2
55.9
60.9
64.7
67.1
65.6
65.9
9.5
12.9
16.8
P1 Preliminary.
Beginning January 1950, excludes Austria, Czechoslovakia, and Poland, reported separately as of that date.
2
Beginning January 1950, excludes Dominican Republic, Guatemala, El Salvador, and Uruguay, reported separately as of that date.
3
Beginning January 1948, includes Pakistan, Burma, and Ceylon, previously included with India. Beginning January 1950, excludes Iran,
Israel,
and Thailand, reported separately as of that date.
4
Beginning January 1950, excludes Belgian Congo, reported separately as of that date.
SEPTEMBER 1951
1203
INTERNATIONAL CAPITAL TRANSACTIONS OF THE UNITED STATES—Continued
TABLE 3.—SHORT-TERM CLAIMS ON FOREIGNERS REPORTED BY BANKS IN THE UNITED STATES,
BY COUNTRIES *
[Amounts outstanding, in millions of dollars]
Total
Date
1945—Dec.
1946—Dec.
1947—Dec.
1948—Dec.
1949—Dec.
1950—July
Aug.
Sept.
Oct.
Nov.
Dec.
United
King- France
dom
31
31
31
31
31
392.8
708.3
948.9
1,018.7
827.9
25.4
47.7
29.2
24.5
37.2
23.4
119.0
51.8
31
31
30
31
30
31
667.1
683.8
745.9
836.7
847.4
898.7
36.7
38.5
76.3
139.5
127.2
105.7
860.4
913.3
914.5
891.5
919.1
937.8
87.8
101.7
99.8
110.7
98.8
110.2
1951—Jan. 31
Feb. 2 8 . . . . .
Mar. 31
Apr. 30
May 31 P
June 3 0 P . . . .
Netherlands
Switzerland
36.3
151.0
49.1
51.4
2.9
9.8
7.0
6.9
3.8
20.3
30.1
30.2
30.3
31.2
31.4
4.5
3.7
3.3
4.8
3.7
3.4
9.7
8.6
9.9
31.0
31.9
30.6
3.9
3.7
3.6
4.2
3.9
3.5
1.1
5.7
6.3
7.0
7.4
5.2
10.3
11.4
8.7
11.5
11.8
9.0
10.8
11.0
10.5
Italy
Other
Total
Europe Europe
Canada
Latin
America
Asia
All
other
16.0
21.1
15.8
22.6
74.6
82.8
118.9
106.3
98.5
140.7
312.9
248.6
323.8
219.2
53.3
52.2
27.5
39.8
37.6
158.9
226.8
514.3
516.6
411.1
29.9
99.2
127.0
118.8
139.7
9.9
17.2
31.5
19.7
20.4
26.4
21.3
17.1
12.3
14.5
20.7
54.9
54.9
56.7
60.3
67.2
67.1
152.3
157.1
193.5
257.4
255.2
237.0
46.1
70.3
109.7
103.0
98.4
125.8
330.4
319.5
297.7
307.3
333.8
378.8
86.2
87.3
84.4
94.3
90.6
96.3
52.0
49.6
60.6
74.5
69.4
60.8
28.3
30.3
34.3
35.2
53.8
52.9
70.8
74.2
75.6
75.5
83.5
87.9
233.2
253.6
252.9
242.6
257.9
2 72.4
115.7
121.2
107.3
117.6
116.7
117.9
374.2
397.7
402.5
374.0
376.9
384.7
91.8
93.0
87.9
95.1
101.7
99.8
45.5
47.8
64.0
62.1
65.9
63.0
.3
Table 3a.—Other Europe
Other AusEurope tria
DenBel- Czechoslo- mark
gium vakia
3i
31. .
31. .
31
31..
74 6
82.8
118.9
106 3
98.5
7.5
15.0
21 4
19.3
1950—July 31. .
Aug. 31. .
Sept. 30. .
Oct. 3 1 . .
Nov. 30. .
Dec. 3 1 . .
54.9
54.9
56.7
60.3
67.2
67.1
1951—Jan. 3 1 . .
Feb. 28. .
Mar. 31. .
Apr. 30. .
May 31P.
June 3 0 P .
70.8
74.2
75.6
75.5
83.5
87.9
Date
1945—Dec.
1946—Dec.
1947—Dec.
194g—Dec.
1949—Dec.
6
(33)
()
(3)
.1
.1
.2
W
2
.2
(33)
()
(»)
Finland
(3)
6.2
8.0
3 4
GerNormany Greece way
1.6
7.2
.9
2.9
7.0
.9
4.9
5.4
1.4
2.3
(3)
(3)
(3)
(3)
(»)
3.3
2.2
3.3
1.3
1.3
1.6
(3)
(3)
(3)
(3)
(3)
(3)
1.7
1.2
1.3
2.0
5.6
13.6
1.6
1.9
2.7
2.0
2.2
2.2
25.1
25.1
25.2
25.3
25.5
25.4
.1
.1
.1
.3
.1
.2
1.3
.9
.9
1.4
1.4
1.4
(«)
.5
.4
.4
.3
.5
.5
2.7
3.5
4.0
3.3
6.3
6.2
25.3
25.6
25.9
25.9
25.9
25.4
.2
.1
.1
.1
.1
.1
1.7
1.9
2.1
1.8
2.3
2.3
(33)
()
(33)
()
(3s)
()
.5
.6
.5
.7
2.1
1.3
(33)
()
(3)
(33)
()
2.2
1.8
2.0
3.3
4.4
3.2
22.0
24.9
23.4
21.9
19.7
18.8
.1
.1
.1
.3
(3)
.2
2.6
2.5
3.9
6.7
7.3
6.2
7.4
.1
.1
(33)
()
7.0
8.2
12.1
14.6
14.6
17.6
21.3
21.5
.7
Sweden
.4
2.2
.6
31.6
3.3
9.2
8.4
PorRutugal mania S p a i n
33.9
30.4
30.5
30.5
30.0
(3)
.7
12.4
10.6
1 2
Poland
.5
1.0
1.1
.7
.5
.1
.1
.1
3
()
All 2
USSR Yugoslavia other
(3)
(3)
(3)
(3)
(3)
(3)
(3)
6.0
(3)
3.8
3.1
3.0
4.6
6.4
6.9
(3)
(3)
(3)
(3)
.2
10.0
9.4
9.5
8.6
9.5
7.4
(3)
(3)
.1
.1
(3)
3
()
(3)
(3)
(3)
.2
1.7
4.8
9.5
35.9
29.8
15.6
4.5
4.4
4.3
3.9
3.8
3.9
4.0
4.2
4.3
4.2
4.3
4.7
Table 3b.—Latin America
Latin
BoAmer- Argentina
livia
ica
Date
Brazil Chile
Colombia
Cuba
NetherDolands
minican Guate- Mex- West
Re- mala
ico Indies
and
pubSurilic
Peru
ReEl
public of SalPan- vador
ama
Uruguay
Other
Vene- Latin
zuela America 4
nam
1945—Dec.
1946—Dec
1947—Dec.
194g—Dec.
1949—Dec.
31..
31
31..
31. .
31. .
158.9
226 8
514.3
516.6
411.1
21.0
41 8
65.2
72.4
53.6
2.0
2.7
2.3
24.7
49.8
165.8
165.4
136.9
6 6
14.6
27.8
15 2
15.5
1950—July 31. .
Aug. 31. .
Sept. 30. .
Oct. 31. .
Nov. 30. .
Dec. 3 1 . .
330.4
319.5
297.7
307.3
333.8
378.8
37.9
40.6
40.5
40.5
43.0
45.9
7.7
6.3
6.1
8.4
8.4
8.7
74.0
59.9
63.9
63.3
68.7
78.0
3.5
4.6
3.3
3.4
3.8
6.8
58.4
55.1
46.2
40.9
39.9
42.5
27.7
26.5
26.4
33.9
30.6
27.6
1.4
1.5
1.5
1.5
1.7
1.9
1951—Jan. 3 1 . .
Feb. 28..
Mar. 31. .
Apr. 30..
May 31 P.
June 30P.
374.2 25.2
397.7 25.2
402.5 17.8
374.0 10.9
376.9 9 . 9
384.7 9 . 5
7.4
5.5
5.5
6.3
6.7
8.1
76.2
77.3
85.4
80.5
85.3
95.2
6.0
5.3
6.9
9.6
39.1
38.6
36.4
51.6
55.0
48.0
31.6
36.9
46.7
44.2
40.3
36.9
1.9
1.9
1.9
1.8
2.1
2.0
1.3
2 3
10.0
12.9
16 8 33 3
26.4 25.7
32.6 108.6
32.6 83.1
21.1 27.5
11 0
25.5
52.2
73.8
73.0
.5
8
1.1
1.5
1.3
3.7
4.3
4.4
5.8
1.9
1.6
1.6
1.7
2.1
2.6
50.5
45.5
44.9
44.2
47.4
70.6
1.2
1.2
1.1
1.1
1.3
1.3
10.5
2.8
2.7
2.8
2.7
2.8
2.6
77.7
75.7
64.8
58.5
61.8
58.6
1.1
1.2
1.1
1.4
1.6
1.4
1 9
1.1
13
4.7
8 7
15.3
26 0
25.6
34. 7
26.2
34.5
34 7
43.1
6.1
4 6
5.3
11.0
4.5
3.9
4.0
4.1
3.5
3.1
2.6
2.5
2.7
3.9
5.5
6.8
6.7
7.7
6.0
6.2
8.1
8.0
25.4
36.2
24.4
31.5
46.8
49.4
17.4
16.8
14.6
14.3
14.8
14.6
14.3
12.7
13.5
13.8
13.5
12.6
2.8
2.6
2.8
2.8
2.7
2.5
7.7
5.9
4.6
3.4
3.3
3.0
5.3
7.3
7.6
7.8
61.7
85.8
91.5
65.9
56.9
67.1
13.5
13.2
13.2
13.0
14.1
13.9
9.5
9.7
8.6
8.4
11.0
10.4
P Preliminary.
1 See footnote 1, p. 1202.
Beginning January 1950, excludes Austria, Czechoslovakia, and Poland, reported separately as of that date.
3 Less than $50,000.
4
Beginning January 1950, excludes Dominican Republic, Guatemala, El Salvador, and Uruguay, reported separately as of that date.
2
1204
FEDERAL RESERVE BULLETIN
INTERNATIONAL CAPITAL TRANSACTIONS OF THE UNITED STATES—Continued
TABLE 3.—SHORT-TERM CLAIMS ON FOREIGNERS REPORTED BY BANKS IN THE UNITED STATES,
BY COUNTRIES—Continued
[Amounts outstanding, in millions of dollars]
Table 3c—Asia and All Other
Date
Asia
ForPhilmosa
and Hong
Indo- Iran Israel Japan ippine ThaiReland
China Kong India nesia
Mainpublic
land
1945—Dec.
1946—Dec.
1947—£)ec#
1948—DeCt
1949—Dec.
31..
31..
31..
31..
31..
29.9
99.2
127.0
118.8
139.7
1.0
53 9
40.8
24.2
16.6
7.5
.8
5 . 9 12.0
2 . 6 29.6
3 4 20.4
3^7 17.4
1950—July
Aug.
Sept.
Oct.
Nov.
Dec.
31 . .
31.
30. .
31..
30..
31. .
86.2
87.3
84.4
94.3
90.6
96.3
20.1
22.4
21.6
23.7
18.3
18 ?
4.1
5.1
3.7
4.0
4.3
3 0
18.7
15.6
14.7
15.2
14.7
16 2
.1
.1
.1
.1
.2
2
11.5
10.4
8.0
7.6
7.1
6.6
1951—Jan.
Feb.
Mar.
Apr.
May
June
31..
91.8
28. . 93.0
31. .
87.9
30. .
95.1
31 P. 101.7
31v.
99.8
10.5
10.5
8.4
8.4
8.4
8.3
3.0
2.8
2.3
4.2
4.4
3.1
16.5
18.2
16.7
18.4
16.1
15.7
.3
.2
.1
.2
.3
.2
6.1
6.2
7.5
7.9
7.9
7.4
Egypt
and
Union
BelAusAngloof
Other 2
gian
tralia Congo Egyp- South
tian Africa
Sudan
Turkey
Other
Asia 1
2.0
1.4
17.7
1.4
14.3
2.8
4.6
7.5
14.3
50.3
9.9
17.2
31.5
19.7
20.4
1.7
3 4
9.0
4.7
7.9
All
other
.5
.2
.9
15.9
14.1
13.8
20 2
27.4
37 3
23.2
11.2
14.5
15.2
16.3
16.4
18.9
1.1
1.4
5.2
8.1
10.9
12.1
9.6
8.0
6.2
7.0
4.6
4 9
1.2
1.5
1.5
1.5
1.8
1.5
.9
.8
.8
.9
.7
.9
7.7
7.6
7.5
10.0
11.6
13.9
52.0
49.6
60.6
74.5
69.4
60 8
35.2
33.9
44.5
56.5
49.5
40 8
22.6
24.1
21.4
25.7
28.6
23.1
8.6
7.7
8.4
6.8
8.2
9.9
5.6
4.4
9.0
6.5
6.7
9.5
1.6
1.4
2.9
4.0
3.8
3.1
1.3
1.7
1.4
1.5
.8
.6
15.7
15.9
9.7
11.6
16.6
18.8
45.5
47.8
64.0
62.1
65.9
63.0
28.3
30.8
44.9
41.5
41.8
36.4
1.4
1 0
.5
1.9
'.2
.3
A
.1
.4
.2
4.7
10.1
14.4
7S
4.5
3.3
3.3
8.0
6 8
3.9
4.0
3.9
4.4
4.4
4 4
!3
7.5
6.8
7.3
8.1
8.1
8 1
5.3
4.8
4.8
5.4
7.3
7 2
4.7
5.4
5.0
5.2
5.8
7.0
.3
.3
.3
.3
.3
.4
5.1
4.7
7.0
8.5
11.7
12.6
7.0
6.6
6.8
6.6
6.2
6.6
TABLE 4.—PURCHASES AND SALES BY FOREIGNERS OF LONG-TERM DOMESTIC SECURITIES, BY TYPES
(Inflow of Foreign Funds)
[In millions of dollars]
U. S. Government bonds and notes 4
Corporate bonds and stocks 5
Year or month
1945
1946
1947
1948
1949
1950
1950—July
August
September
October
November
December
1951—January
February
March
April
Mayp
June-"
. . .
Purchases
Sales
Net
purchases
Purchases
Sales
Net
purchases
377.7
414.5
344.8
282.4
430.0
1,236.4
393.4
684.2
283.3
330.3
333.6
294.3
-15.7
-269.7
61.5
-47.9
96.4
6
942.1
260.2
367.6
226.1
369.7
354.1
774.7
357.7
432.1
376.7
514.1
375.3
772.3
-97.4
-64.5
-150.6
-144.3
-21.2
2.4
105.6
157.3
58.6
58.1
274.5
172.3
14.2
9.2
32.0
26.9
33.4
52.1
91.4
148.1
26.6
31.2
241.1
120.3
63.9
57.8
57.9
69.9
68.0
74.6
63.9
62.9
58.7
68.7
61.2
72.9
106.6
25.3
60.9
101.5
46.7
211.5
27.6
31.8
40.8
23.7
41.3
479.2
78.9
-6.5
20.1
77.9
5.4
-267.7
94.7
71.3
69.3
69.9
83.9
55.4
95.7
71.5
58.0
53.9
71.9
58.5
-5.1
-.8
1.2
6.8
1.7
-1.1
-.2
11.4
16.0
12.1
-3.1
7.7
3
Total
purchases
Total
sales
Net
purchases
of
domestic
securities
637.9
782.1
570.9
652.2
784.1
2,011.1
751.0
1,116.3
659.9
844.4
708.9
1,066.6
-113.1
-334.2
-89.1
-192.2
75.2
944.4
169.5
215.0
116.5
128.0
342.5
246.9
78.2
72.1
90.7
95.6
94.6
124.9
91.4
143.0
25.8
32.4
247.9
122.0
201.2
96.6
130.3
171.4
130.6
266.9
123.4
103.3
98.8
77.5
113.1
537.7
77.8
-6.7
31.5
93.9
17.5
-270.7
TABLE 5.—PURCHASES AND SALES BY FOREIGNERS OF LONG-TERM FOREIGN SECURITIES OWNED IN U. S.,
BY TYPES 3
(Return of U. S. Funds)
[In millions of dollars]
Foreign bonds
Foreign stocks
Year or month
Purchases
Sales
37.3
65.2
57.1
81.7
88.8
173.8
54.8
65.6
42.6
96.7
70.8
198.2
1950—July
August
September
October
November
December
11.7
13.1
18.1
17.7
15.8
13.5
11.5
12.9
35.4
18.1
16.8
22.5
1951—January
February
March
April
May p
June?
22.4
29.8
20.8
20.8
22.9
17.7
31.0
30.4
19.4
16.2
17.7
16.4
1945
1946
1947
1948
1949
1950
Net
purchases
-17.5
-.4
14.6
-15.0
18.0
-24.4
.2
.2
-17.3
-.4
-1.0
-9.0
-8.6
-.6
1.4
4.6
5.2
1.2
Purchases
Sales
Net
purchases
Total
purchases
Total
sales
Net
purchases
of
foreign
securities
-46.6
318.1
755.9
658.7
211.6
321.2
589.2
347.3
490.4
634.3'
291.4
311.5
710.2
-29.2
265.5
24.5
-79.8
9.8
-121.0
355.4
821 .2
715.9
293.3
410.1
763.0
402.1
556.1
676.8
388.2
382.3
908.4
265.1
39.0
-94.8
27.8
-145.4
22.1
13.4
31.1
123.8
25.4
27.5
32.5
25.3
42.0
31.1
27.5
39.1
23.7
67.0
187.2
60.1
20.5
20.4
-1.6
-53.6
-156.1
33.8
26.6
49.2
141.5
35.2
79.9
222.6
78.2
37.3
43.0
-1.3
-53.3
-173.5
63.2
3.9
-1.9
24.2
36.0
89.7
67.6
97.7
73.9
8.3
-10.7
-47.6
-36.5
-70.2
-34.8
54.9
55.1
62.8
51.9
50.3
56.8
55.2
66.3
109.1
83.8
115.3
90.4
63.7
4.9
7.1
-3
— 11 *3
-46.2
-31.9
-65.0
-33.6
P Preliminary.
1
Beginning January 1948, includes Pakistan, Burma, and Ceylon, previously included with India. Beginning January 1950, excludes Iran,
Israel, and Thailand, reported separately as of that date.
2
Beginning January 1950, excludes Belgian Congo, reported separately as of that date.
3
4
Includes transactions of International institutions.
Through 1949 includes transactions in corporate bonds.
5
Through 1949 represents transactions in corporate stocks only.
6
7
Includes 493 million dollars by Canada, 199 million by France, and 118 million by International institutions.
Less than $50,000.
SEPTEMBER 1951
1205
INTERNATIONAL CAPITAL TRANSACTIONS OF THE UNITED STATES—Continued
TABLE 6.—DOMESTIC SECURITIES: NET PURCHASES BY FOREIGNERS OF U. S. SECURITIES, BY COUNTRIES
(Inflow of Foreign Funds)
[Net sales, ( —). In millions of dollars]
International
institutions
Year or
month
1945
1946
1947
1948
1949
1950 .
United
Kingdom
Total
87.0
121 2
— 113 1
-334.2
— 163 6
— 199 8
-11.8
823 2
1950—July
Aug
Sept
Oct.
Nov.. . .
Dec
.8
6.5
.2
8 0
1.1
25.9
1951—Jan
Feb
Mar.. . .
Apr
May'...
June?...
51.9
3.2
25.8
17.7
2.3
-56.1
74 5
7.6
Nether- Switzerlands
land
France
-32 5
-36.9
—8 9
-5.5
-26.5
—98 2
-79.3
-25.5
-6.3
4.3
20.9
64 0
-6.8
—50 2
-82.8
-6.8
197 8
90.6
136.5
25.6
24 4
246.8
96.1
1.2
1.1
6.7
16 9
4.2
2.9
.3
99.3
30.5
20 0
35.9
15.9
25.9
-9.9
5.6
76.2
15.2
-214.6
20.0
4.0
-.4
1.0
-2.9
-5.5
1.0
.4
20.3
50.6
1.3
-34.5
9.1
-13.1
-17.5
13 0
-40.0
44.2
19.0
.3
-.1
-17.1
-.2
-.9
1.4
6.7
4.6
2.7
0)
-.1
-5.3
Total
Europe
Canada
Latin
America
-4.4
-10.8
-14.1
-98.6
-16.4
3.2
26.4
6.3
-3.5
10.2
73.8
-50.8
-98.6
-175.5
-190.4
36.5
347.5
8.8
5.3
3.9
9
35.1
-3.1
15.9
106.0
45.7
37 7
72.5
8.5
75.4
32.0
-22.2
-14 0
153.6
90.1
-1.0
-1.6
.9
- 6
20.1
-1.7
1^3
1 2
.5
-1.2
9.5
-1.4
.7
-8.2
-3.6
-5.4
31.2
2.0
22.5
50.3
-.4
-47.9
-4.4
-11.3
-20.1
16.1
-1.8
-156.4
-2.3
-.4
3.1
8.9
3.1
-10.7
1.6
.2
.4
.8
14.7
.5
2.6
2.2
1.5
-.7
0)
.'3
.2
.3
.2
.3
-.9
.5
.3
.3
.1
All
other
Other
Europe
0)
7.2
-.9
2.4
— 4
-2.6
-8.2
-1.5
1.1
2.0
2
-.4
.7
.5
.9
-.1
Italy
7.5
-49.0
458.2
Asia
10.8
-224.5
10.0
-23.3
-2.1
-15.3
2.5
30.1
-.9
-1.0
2.2
-3.9
.2
2.7
.5
.2
-.2
.1
.2
.4
2
—A
-.3
.2
-.4
-.1
-.3
TABLE 6a.—DOMESTIC SECURITIES: NET PURCHASES BY FOREIGNERS OF U. S. SECURITIES
Other Europe; Latin America; and Asia
Year or
month
Other AusEurope tria 2
-4 4
-10 8
-14.1
2 6
2 2
73.8
1945
1946
1947
1948
1949
1950
1950—July... .
Aug.. . .
Sept
Oct
Nov
Dec
1951—Jan
Feb
Mar
Apr
May p ...
June?
Belgium
1
,.
9
-4
2 6
18 4
8.8
5.3
3.9
.9
0)
4 .8
.1
— .2
35.1
-3.1
0)
3 .7
- 1 .7
9.5
-1.4
.7
0)
—.5
-8.2
—3 6
-5.4
1 0
6
9
1 6
12 6
1 8
1
3 9
1 0
1 4
6
0)
— 1Q
- 7 .3
7
9
s
9
9
1
- 1 3 -5.5
- 3 . 4 -10.2
-2.5 -6.6
36 7
0)
.3
—2
0)
34 .2
1 .5
-1.1
7.2
.1
\
-.1
-.2
-.1
.1
0)
-.2
-.1
-.7
.4
.5
0)
0)
- 8 .7
—2 7
1 .8
(0
0)
.1
1.1
7.1
2
.4
Q
_ 2
All Latin Brazil Cuba
other America
Sweden
Norway
-4.4
26.4
6.3
-3.5
10.2
2.5
30.1
-1.0
-1.6
.9
-.6
20.1
-1.7
5.6 - 2 . 3
-.2
-.4
-.3
3.1
.1
8.9
.5
3.1
- . 6 -10.7
.3
.1
.4
-.4
-1.4
.6
3.2
1.7
-.9
-.8
2 -1.0
24.6
-.1
-.2
.5
.2
.1
-.4
-.1
-.1
-.4
.2
-.1
1.0
0)
ReOther
public El
Latin
of
Salva2
AmerPan- dor
ica
ama
Mexico
.3
.6
1.0
-5.7
-.2
6.8
2.5
2.9
.3
.5
-6.9
-4.7
C1)
-1.0
4.5
4.2
.1
-.5
-.7
-.2
-.6
2
20.2
-.1
.4
.2
-.2
-.5
.7
6.4
-.9
-.9
.3
.3
-.1
0)
-.3
-1.0
-.2
3
0)
.8
10.9
0)1
C)
0)
0)
0)
0)
0)
0)
0)1
C
)
(1)
-.9
-.2
1.0
.2
.4
- . 2 -10.9
Formosa
and
China
Mainland
Asia
Japan Other
Asia
10.8
22. 7
28. 7
-224.5 - 2 0 0 . s (n
-6.
10.0
8
3. 9
-3. 9
12. 9 —23.3 —22. 7
5
7
-7. 9
-2.1
- 5 . 9 -15.3
- 3 . 0 -13
0)
- 11 . 5
f)
1
8
-1. 2
__ 3
4
8
2. 4
2. Q
4
-.3
-.1
1.3
1.2
.5
-1.2
1.6
.2
.4
.8
14.7
.5
1 — 11.8
s
1
0
7
C1)
2
— 2
1
3
-24.0
4.7
-.7
.1
1.3
(1)
-.5
.1
1.2
.8
.5
3
0)
-1.0
5
f1)
0)
0)
1.7
.3
.9
.6
—. 1
0)
0)
0)
0)
0)
0)
.1
1
14.4
.6
TABLE 7.—FOREIGN SECURITIES: NET PURCHASES BY FOREIGNERS OF FOREIGN SECURITIES OWNED IN U. S.,
BY COUNTRIES
(Return of U. S. Funds)
[Net sales, ( —). In millions of dollars]
Year or
month
1945
1946
1947
1948
1949
1950
International
institions
-249 3
0)
—
16 60
—3
1 950—July
Aug
Sept
Oct
Nov
Dec
1951—Jan
Feb
Mar
Apr
May?...
June"...
.1
-2.0
C1)
c
0)'
-48.7
-3.0
-.1
Total
United
Kingdom
France
Nether- Switzerland
lands
-46.6
265 1
288.3
-94.9
43 8
— 141 8
-8.8
—20 9
-2.0
-9.9
— 13 5
-6.1
* .2
-1.0
-3.1
-4.3
.4
-1.3
-.6
-7.0
-29.9
-5.3
-4.7
.7
-13.9
-14.9
-35.4
19.1
17.2
-1.5
-53.3
-173.5
65.2
3.9
-1.9
-.7
— .1
-1.6
-.2
.7
-.3
-.2
-.7
.7
-.1
.4
1
-'.5
-.2
-1.8
-.3
3.6
-2.5
1.7
-.4
-1.7
-2.5
-2.2
-.4
.2
.2
.8
.4
.9
.2
.2
-.6
.2
-.2
3.6
2.1
1.8
1.8
.3
-11.2
2.5
-28.9
-64.9
-33.6
0)
-.9
.4
.4
0)
-2.1
-.2
0)
-.6
?
Italy
j
— ^8
-.3
.1
.4
.5
C1)
0)
0)
0)
0)
-.1
.1
Other
Europe
Total
Europe
Canada
Latin
America
2.3
10 9
15.6
11.4
24 6
7.8
-6.3
—32 6
-34.4
-43.4
30 8
13.4
-55.8
187 6
205.2
-102.2
— 10 6
-190.0
15.1
131 3
89 2
40.7
20 2
29 8
.4
.5
.2
-.3
.1
2.7
— 1.6
-.2
2.7
-3.7
1.7
1.4
-2.9
-55.2
-174.2
65.8
.4
2.0
2.6
1.9
-3.0
2.5
1.6
1.9
.8
1.6
-.5
.1
4.2
7.5
-.8
-.3
3.2
2.0
4.5
8.8
-3.9
-12.8
-5.1
-34.5
-64.5
-37.6
2.7
1.3
2.5
1.3
3.9
3.9
All
other
Asia
-.5
3
5
1.6
8
1 0
1.0
—21 4
27 8
8.4
2 6
3 9
.9
.2
.4
2
.1
.3
.2
-6.8
1.6
.1
1.5
.1
-8.9
-9.1
.6
.5
.3
2.2
.1
.4
0)
(i)
0)
0)
P Preliminary.
Less than $50,000.
Not available until 1950.
1
2
1206
FEDERAL RESERVE BULLETIN
INTERNATIONAL CAPITAL TRANSACTIONS OF THE UNITED STATES—Continued
TABLE 8.—INFLOW IN BROKERAGE BALANCES, BY COUNTRIES
(The Net Effect of Increases in Foreign Brokerage Balances in U. S. and of Decreases
in Balances Held by Brokers and Dealers in U. S. with Brokers and Dealers Abroad)
Total
Year or month
1945
1946
1947
1948
1949
1950
17.8
United
Kingdom France
9.7
1.3
-.6
-11.3
-19.3
-1.0
-1.2
.6
8.0
1950—July
August
September
October
November
December
-2.5
1951—January
February
March
April
May?
June?
-1.3
2.0
-.8
2.4
7.3
•1
2.7
-2.3
-4.8
-4.5
2 11.1
.1
-.1
Nether- Switzerlands
land
.3
3.8
-2.9
-1.4
-2.5
-8.5
-4.8
-3.4
-.5
-.1
7.3
9.3
.7
.2
-.7
.8
-.3
.6
-.8
-.3
.2
.5
-.2
.4
.6
.3
.1
-.4
-.6
.1
1.3
-.4
-.3
-.5
.2
-.3
.2
-.2
.3
-.6
3.2
2.5
-.2
.1
.2
.4
.9
.6
-.6
.2
-.4
.5
-.3
-1.5
.1
0)
-1.5
-10.7
.2
2.5
Italy
0)
1.9
-1.4
-1.6
.1
-.1
1.9
-.5
2.2
0)
!
-3.0
0)
-.2
.5
i'i
-.4
.1
-4.2
1.2
2.5
Other
Europe
3.1
1.1
-.5
-3.2
.1
-.2
.2
-.2
.1
-.3
.3
.7
-.2
-.5
.3
.6
-.6
.7
Total
Europe
15.9
-1.6
-9.3
-20.8
1.0
3.0
2.5
-2.7
-.1
.7
1.7
2.6
-3.2
1.0
-.4
-3.1
-2.4
9.2
Asia
All
Other
-1.8
-.5
.7
-1.4
-.1
.2
.6
Latin
Canada America
3.4
2.0
.8
7.5
-.6
1.2
-3.0
4.4
1.0
1.8
.4
-.2
3.0
A
-.6
.5
.4
.8
-2.2
-3.9
3.9
-.5
.3
3.2
.9
1.3
-.1
.9
1.4
.8
.7
.1
-.6
.1
.2
-.2
1.0
1.1
-.2
.1
-.1
-.9
.2
-.4
-.2
.1
-.3
-.6
.4
0)
-2.0
.1
.9
-1.3
-4.0
1.3
.4
-.9
-.4
-.2
2.8
-.7
2
-2^5
-.5
p Preliminary.
Less than $50,000.
Amounts outstanding (in millions of dollars): foreign brokerage balances in U. S., 87.6; U. S. brokerage balances abroad, 31.7.
1
2
GOLD PRODUCTION
OUTSIDE U. S. S. R.
[In millions of dollars]
Production reported monthly
Estimated
world
production Total
outside
reported
U.S.S.R.i monthly
Year or
month
1941
1942
1943
1944
1945
1946
1947
1948
1949
1950
1,265.6
1,125.7
871 5
777.0
738 5
756 0
766.5
794 5
826.0
1950—j u n e
July
August
September..
October
November. .
December. .
1951—January. . . .
February
March
April
May
June
1,110.4
982.1
774 1
701.5
683 0
697 0
705.5
728 1
753.2
779.2
66.2
64.9
67.4
65.6
67 0
65.5
63.4
North and South America
Africa
South
Africa
$1-504.3
494.4
448 2
429.8
427 9
417 6
392.0
405 5
409.7
408.2
Rhodesia
West
Africa 2
Belgian United
Congo3 States4
Canada
Mexico
Colombia
Other
Chile
Nica- Austraragua 5
lia
India3
52.4
40.4
26.3
23.0
23.0
28.9
32.8
31.2
31.3
30.1
10.0
9.1
8.8
3.4
2.3
2.5
2.6
2.8
2.8
2.4
.6
.6
.6
.6
.6
.7
.5
2.4
2.4
.5
.6
.6
.7
vains of g old 9 /io/ ne: i. e., an ounce of fine g old =$35
27.8
26.6
23.0
20.7
19 9
19.1
18.3
18 0
18.5
17 9
32.4
29.2
19 7
18.4
18 9
20.5
19.3
23 4
23.1
23.2
19.6
18.0
15.8
12.7
12 1
11.6
10.8
11.1
12.9
12.0
209.2
131.0
48.8
35.8
32 5
51.2
75.8
70.9
67.3
83.1
187.1
169.4
127.8
102.3
94.4
99.1
107.5
123.5
144.2
155.7
28.0
28.0
22.1
17.8
17 5
14.7
16.3
12.9
14.2
14.3
23.0
20.9
19.8
19.4
17.7
15.3
13.4
11.7
12.6
13.3
9.3
6.4
6.1
7.1
6.3
7.5
8.6
7.7
7.9
7.0
8.1
6.4
5.9
5.7
6.3
6.7
7.4
7.8
7.7
8.0
34.6
34.6
34.9
34.0
33 9
33.3
32.9
L.5
1.9
1.9
1.9
2.0
1 9
1.9
2.0
1.0
1.0
1.1
1.0
1.0
.9
.9
6.6
7.1
7.9
7.8
8.2
7.5
7.0
12.9
12.9
13.2
12.8
13.2
13.3
13.4
1.5
.8
1.5
1.1
1.4
1.1
.9
1.4
1 4
1.5
1.4
2.0
2 1
2.0
2.0
1 9
.9
1.0
1.1
1.0
1 l
5.9
5.2
5.8
5.5
13.1
12.1
13.0
12.7
12 9
12.7
.6
.6
.5
.5
.8
.6
.7
.6
.4
.7
.7
.7
.7
.6
33.4
31 1
33.4
33 2
34 6
33.9
1.0
1.1
1.1
1.1
1.2
1.3
.8
1.4
.7
1.5
1.5
1 4
t.5
L.5
L.5
s
L.5
4
1.1
5.5
5.9
.6
.6
.6
.6
.7
.7
.8
.7
.6
2.4
6.6
5.9
4.6
6.1
6.5
5.7
6.7
6
.6
Gold production in U. S. S. R.: No regular Government statistics on gold production in U.S.S.R. are available, but data of percentage changes
irregularly given out by officials of the gold mining industry, together with certain direct figures for past years, afford a basis for estimating annual
production
as follows: 1934, 135 million dollars; 1935, 158 million; 1936, 187 million; 1937, 185 million; and 1938, 180 million.
1
Estimates of United States Bureau of Mines.
2
Beginning 1942, figures reported by American Bureau of Metal Statistics. Beginning 1944, they are for Gold Coast only.
3
Reported by American Bureau of Metal Statistics.
4
Includes Philippine production received in United States through 1945. Yearly figures through 1949 are estimates of United States Mint.
Figures
for 1950 and 1951 are estimates of American Bureau of Metal Statistics.
5
Gold exports reported by the Banco Nacional de Nicaragua, which states that they represent approximately 90 per cent of total production.
NOTE.—For explanation of table and sources, see BULLETIN for June 1948, p. 731, and Banking and Monetary Statistics, p. 524. For annual
estimates compiled by the United States Mint for these and other countries in the period 1910-1941, see Banking and Monetary Statistics, pp.
542-543.
SEPTEMBER
1951
1207
REPORTED GOLD RESERVES OF CENTRAL BANKS AND GOVERNMENTS
[In millions of dollars]
End of
month
1945—Dec
1946—Dec
1947—Dec
1948—Dec
1949—Dec
1950—Aug.. . .
Sept....
Oct . . .
Nov....
Dec
1951—Jan....
Feb . .
Mar....
Apr....
May. . .
June...
July
Estimated
United States
total world
(excl.
U.S.S.R.)i Treasury Total 2
33,770
34,120
34,550
34,930
35,410
35,800
35,820
35,800
"P35',920"
Argentina
Belgium
Bolivia
Brazil
Canada
Cuba
Denmark
Ecuador
20,083
20,706
22,868
24,399
24,563
1,197
1,072
322
143
216
716
735
597
624
698
22
22
23
23
23
354
354
354
317
317
361
543
294
408
496
82
65
45
43
40
127
145
83
51
52
191
226
279
289
299
38
38
32
32
32
21
21
20
21
21
23,627
23,483
23,249
23,037
22,706
23,745
23,591
23,349
23,153
22,820
216
216
216
216
216
643
599
592
581
587
23
23
23
23
23
317
317
317
317
317
545
554
568
578
590
40
40
40
40
40
70
71
72
73
74
291
291
291
271
271
31
31
31
31
31
19
19
19
19
19
22,392
22,086
21,806
21,805
21,756
21,756
21,759
22,461
22,162
21,927
21,900
21,861
21,872
21,852
216
288
288
288
288
288
288
591
604
589
609
589
586
595
23
23
23
317
317
317
317
317
317
317
606
617
618
635
643
652
45
45
45
45
45
45
75
76
P63
271
271
271
271
271
281
31
31
31
31
31
31
31
19
19
22
22
22
22
22
Egypt 3
France 4
Guatemala
1945—Dec
1946—Dec
1947—Dec
1948—Dec
1949—Dec
52
53
53
53
53
1,090
796
548
548
523
28
28
27
27
27
274
274
274
256
247
131
127
142
140
140
24
28
58
96
252
« 201
M80
1950—Aug
Sept
Oct
Nov
Dec
53
53
53
53
397
523
523
523
523
523
27
27
27
27
27
247
247
247
247
247
140
140
140
140
140
1951—Jan
Feb
Mar
Apr. . . .
May
June.. . .
July....
97
102
117
117
124
143
174
523
523
523
548
548
548
548
27
27
27
27
27
27
27
247
247
247
247
247
247
247
End of
month
Portugal
El Salvador
South
Africa
Spain
1945—D ec
1946—Dec
1947—Dec
1948—Dec
1949—Dec
433
310
236
178
13
12
15
15
17
914
939
762
183
128
1950—Aug
Sept
Oct
Nov. . . .
Dec
177
177
177
177
192
20
20
20
23
23
1951—Jan
Feb
Mar
Apr. . . .
May
June
July
197
197
202
212
217
217
23
23
23
23
23
26
26
Colombia
20,065
20,529
22,754
24,244
24,427
End of
month
1208
Chile
India
Iran
Italy
Java
Mexico
NetherNew
lands Zealand
Norway
Pakistan
178
294
181
100
42
52
270
265
231
166
195
23
23
23
23
27
80
91
72
52
51
252
252
252
252
252
178
188
188
188
208
113
115
116
133
208
231
231
231
231
311
28
29
29
29
29
50
50
50
50
50
14
27
27
27
27
27
27
139
139
139
138
138
138
138
252
252
252
252
252
252
228
228
228
229
229
229
229
281
281
304
282
311
311
311
311
311
311
30
30
30
30
30
31
50
50
50
50
50
50
50
27
27
27
27
27
27
27
Sweden
Switzerland
110
111
111
111
85
482
381
105
81
70
1.342
L.430
1,356
1,387
1,504
43
34
34
34
118
241
237
170
162
154
180
179
183
187
197
61
61
61
61
61
71
87
91
90
90
1,537
L.529
1,520
L.508
L.470
118
118
118
118
118
146
146
150
150
150
202
208
205
210
210
210
61
61
61
61
61
60
93
108
114
124
129
129
129
1,474
1,482
1,448
1,444
1,458
1,451
118
118
118
118
115
117
150
150
150
150
150
150
Thailand
Turkey
United
Kingdom
6 2,476
8 2.696
62,079
6 1,856
6 1,688
62,756
6 3,300
6 3,758
63,867
Uruguay
Venezuela
Peru
28
24
20
20
28
28
28
28
28
31
31
31
46
46
46
46
46
Inter- Bank for
national InterMone- national
Settletary
ments
Fund
195
200
175
164
178
202
215
215
323
373
15
1,356
1,436
1,451
39
32
30
36
68
208
217
217
217
236
373
373
373
373
373
1,494
1,494
1,494
1,494
1,495
125
145
149
159
167
260
287
295
295
'293
373
373
373
373
373
373
373
1,495
1,495
1,495
1,495
1,495
1,518
1,519
140
125
119
161
153
151
155
FEDERAL RESERVE BULLETIN
N E T GOLD PURCHASES BY THE UNITED STATES, BY COUNTRIES
[Negative figures indicate net sales by the United States]
(In millions of dollars at $35 per fine troy ounce)
Year or quarter
—452 9
721.3
2,864.4
1,510.0
193.3
-1,730.3
1945
1946
1947
1948
1949
1950
Netherlands
Portugal
130.8
40.7
-23.5
- 8 4 ".8' - 7 9 . 8
-47.9
-10.0
116.0
63.0
14.0
-15.0
10.4
10.5
Belgium
France
31.1
14.2
— .2
406.9 222.8
734.3
69.8
446.3 - 4 1 . 0
-1,020.0 -55.0
278.5
United
Kingdom
Total
264.6
15.8
Switzerland
Other
Europe *
-86.8
—29 9
10.0
—5 6
-40.0
-22'.9* - 3 8 . 0
-7.4
27 3
86.6
5 8
2
-159.9
-68.3
Sweden
80 2
238.0
3.0
Canada
Argentina
36.8
337 9
311.2
-224.9
153 2
727.5
114 1
-49.9
3.4
-100.0
Cuba
Mexico
-85.0
-23.8
—30 0
36 9
45.4
-65.0
— 10 0
61 6
-16.1
-10.0
1
1
8.2
28.2
1949
68.8
173 9
101.5
-151.0
Jan.-Mar
Apr -June
July-Sept
Oct.-Dec
162 4
283.9
-12.5
-31 0
-33.9
-5 0
— 10 0
—20 0
-5.0
—28 5
-56.3
-79.8
— 13 0
-3.0
— 16 0 —25 0
-4.0
-91.7
-4.5
3.5
2.5
— 13 7
— 11 2
—119 1
-15.9
3 4
2
— 10 0
-49.9
2 3
7 9
— 11 3
-15.0
1950
Jan.-Mar
Apr .-June
July-Sept
Oct.-Dec
-202.5
-31.7
— 732 2
-763.8
—580 0
-360.0
-80.0
-880.1
-57.0
-400.0
-80.0
-35.0
-20.0
-15.0
— 12 4
— 11 9
3 4
- 4 7 . 4 -100.0
— 15 8
8 ?
20.0
—40 5
-61.9
1951
Jan.-Mar
Apr.-June .
...
-12.3
2.0
-10.0 -15.0
— 15 0
NET GOLD PURCHASES BY THE UNITED STATES,
BY COUNTRIES—Continued
[Negative figures indicate net sales by the United States]
-15.0
-44.3
-11.2
-124.4
64.1
-49.9
' — io!6 *
ANALYSIS OF CHANGES IN GOLD STOCK OF
UNITED STATES
[In millions of dollars]
(In millions of dollars at $35 per fine troy ounce)
Year or
quarter
Uruguay
Venezuela
Other
Latin
America
Asia
and
Oceania
Union
of
South
Africa
All
other
Period
Treasury
1945
1946
1947
1948
1949
1950
-37.9 -73.1
—9 2
—4 9
25.1
-3.7
10.7 - 1 0 8 . 0
-14.4 -50.0
—64 8
- 2 7 . 8 s-188.3
13.7
25 0
1.0
79.1
13.4
-4.1
-7.5
-52.1
-17.6
-39.2
3 0
-16.5 -50.0
—1 0
3.6
3.7
-2.9
-11.9
3.7
94.3 22.9
256.0 11.9
6.9
498.6
195.7 - 1 . 6
13.1 - 4 7 . 8
1949
Jan -Mar
Apr -June
July-Sept
Oct -Dec
-2.3
-6.6
-2.2
-41.0
72.0
55.6
48.1
19.9
.1
.1
-2.0
.2
1950
Jan.-Mar
Apr -June
July-Sept
Oct.-Dec
-6!o
-14.9
-23.6
3.9 - 2 7 . 0
9.2 - 3 . 0
-14.8
-3.0
-11.7
-5.0
-22.6
-3.8
-28.0
"12.7 -25.0
-10.5
-1 0
-12.0
—2 0
-23.9
-26.9
-.8
1951
Jan.-Mar
Apr.-June
-50.9
15.0
1
2
3
"—".9
Includes Bank for International Settlements.
Includes sale of 114.3 million dollars of gold to Italy.
Includes sales of 185.3 million dollars of gold to China.
NOTE.—This series replaces the series on "Net Gold Imports to
United States, by Countries," published previously.
SEPTEMBER
1951
EarNet
Increase
marked Domesin total gold im- gold: de- tic gold
gold
port or crease producstock
export
or intion 2
(-)
crease
Gold stock at
end of period
1942
1943
1944
1945
1946
1947
1948
1949
1950
1950—Aug...
Sept...
Oct..
Nov..
Dec...
1951—Jan...
Feb...
Mar...
Apr. . .
May. .
Tune. .
July.. .
Aug...
22,726
21,938
20,619
20,065
20,529
22,754
24,244
24,427
22,706
23,627
23,483
23,249
23.037
22,706
22,392
22,086
21,806
21,805
21,756
21,756
21,759
P2 1,854
r
Total 1
- 2 3 . 0 315.7 -458.4 125.4
22,739
68.9 -803.6 48.3
21,981
-757.9
20,631 -1,349.8 -845.4 -459.8 35.8
—547.8 -106.3 -356.7
32.0
20,083
465.4 51.2
20,706 8 623.1 311.5
1,866.3
2,162.1
210.0
22,868
75 8
24,399 1,530.4 1,680.4 -159.2
70.9
164.6 686.5 —495.7 67.3
24,563
22,820 -1,743.3 -371.3 -1,352.4 83.1
23,745
23,591
23,349
23,153
22,820
22,461
22,162
21,927
21,900
21.861
21,872
21,852
P21,986
-494.4
-153.9
-242.5
-195.5
-333.2
-358.8
-298.7
-235.4
-27.3
-38.5
10.4
-19.2
P133.3
-42.2
-96.5
-93.4
-158.6
-93.0
••-105.6
-107.9
-123.5
-110.6
-41.0
'-37.6
-16.2
(4)
-431.4
-65.9
-146.2
-35.3
-237.9
-248.5
-184.4
-111.2
101.9
-12.9
46.3
-8.8
5
137.0
7.9
7.8
8.2
7.5
7.0
5.9
5.2
5.8
5.5
5.5
5.9
5.5
(4)
x
P Preliminary.
Revised.
See footnote 2 on opposite page.
2
Yearly figures through 1949 are estimates of United States Mint.
Figures for 1950 and 1951 are estimates of American Bureau of Metal
Statistics.
3
Change includes transfer of 687.5 million dollars gold subscription
to International Monetary Fund.
4
Not yet available.
5
Gold held under earmark at the Federal Reserve Banks for foreign
account, including gold held for the account of international institutions, amounted to 5,906.4 million dollars on Aug. 31, 1951. Gold
under earmark is not included in the gold stock of the United States.
NOTE.—For back figures and description of statistics, see Banking
and Monetary Statistics, Table 156, pp. 536-538, and pp. 522-523.
1209
INTERNATIONAL MONETARY FUND AND INTERNATIONAL BANK
FOR RECONSTRUCTION AND DEVELOPMENT
[End-of-month figures. In millions of dollars]
1950
1951
International Bank
International Fund
July
Gold
Currencies (balances with depositories
and securities payable on demand):
United States
Other
Unpaid balance of member subscriptions.
Other assets
Member subscriptions
Accumulated net income
Apr.
Jan,
1,519 1,495 1,495 1,464
1,316 1,313 1,304 1,306
4,327 4,315 4,229
869
'989
907 1,003
1
1
1
1
8,037 8,037 8,037 8,022
-6
-6
-5
-4
1951
Net currency purchased s
(Cumulative—millions of dollars)
Australian pounds
Belgian francs
Brazilian cruzeiros
Chilean pesos
Costa Rican colones
Czechoslovakian koruny.
Danish kroner
Egyptian pounds
Ethiopian dollars
French francs
Indian rupees
Mexican pesos
Netherlands guilders. . . .
Norwegian kroner
South African pounds. . .
Turkish liras
Pounds sterling
Yugoslav dinars
July
June
20.0
11.4
65.5
5.4
-.9
6.0
10.2
-5.5
20.0
11.4
65.5
5.4
-.9
6.0
10.2
-5.5
1950
May
July
20.0
11.4
65.5
8.8
-.9
6.0
10.2
-5.5
20.0
11.4
37.5
8.8
-.9
6.0
10.2
-5.5
.6
125.0 125.0 125.0 125.0
100.0 100.0 100.0 100.0
22.5 22.5
75.4 75.4 75.4 75.4
9.6
9.6
9.6
9.6
10.0
5.0
5.0
5.0
5.0
300.0 300.0 300.0 300.0
9.0
9.0
9.0
9.0
Total.
736.0
736.0
June
July
762.0
Mar.
Gold
Currencies (balances with depositories
and securities payable on demand):
9
6
United States
920
Other
919
Investment securities (U. S. Govt. obli466
gations)
457
4
4
Calls on subscriptions to capital stock3. .
Loans (incl. undisbursed portions and
incl. obligations sold under Bank's
guarantee)
1,037
938
Other assets
19
12
Bonds outstanding
325
311
Liability on obligations sold under guar30
33
antee
352
279
Loans—undisbursed
3
6
Other liabilities
42
38
General reserve •
»
20
18
Special 8reserve
1,668 1,668
Capital
Dec.
June
5
921
5
924
437
4
449
5
868
9
261
738
8
261
29
229
5
35
17
26
126
5
27
14
1,668
1,670
1
Includes 16 million dollars receivable for currency adjustments
resulting
from the devaluations in September 1949.
2
As of June 30, 1951, the Fund had sold 759.8 million U S. dollars;
in addition, the Fund sold to the Netherlands 1.5 million pounds
sterling in May 1947 and 300 million Belgian francs in May 1948, sold
to Norway 200 million Belgian francs in June and July 1948, and sold
to Brazil 10 million pounds sterling in January 1951. Repurchases
amounted
to 69.3 million dollars.
8
Excludes uncalled portions of capital subscriptions, amounting to
6,671 million dollars as of June 30, 1951, of which 2,540 million represents the subscription of the United States.
744.6
CENTRAL BANKS
Bank of England
(Figures in millions of
pounds sterling)
1941—Dec.
1942—Dec
1943—Dec.
1944—Dec
1945—Dec.
1946—Dec
1947—Dec.
194g—Dec
1949—Dec.
31
30
29
27
26
25 .
31
29 .
28
Assets of issue
department
Gold*
.2
.2
.2
.2
.2
.2
.2
.2
.4
.4
.4
1950—Aug. 30
Sept. 27
Oct 25
Nov. 29
Dec. 27
.4
.4
.4
1951—Jan.
Feb.
Mar
Apr.
May
June
July
.4
.4
.4
.4
.4
.4
.4
31
28
28 .
25 .
30
27
25
.
4
4
As
Other
assets 2
Notes
and
coin
780.0
950.0
1,100.0
1.250.0
1,400.0
1,450.0
1,450.0
1,325.0
1,350.0
28.8
27.7
12.5
13.5
20.7
23 A
100.8
36.1
33.7
1,350.0
1,350.0
1,350.0
1,350.0
1,375.0
1,350.0
1,350.0
L,350.0
1,350.0
1,350.0
1,400 0
1,400.0
sets of banking
department
Discounts
and advances
Securities
Liabilities of banking department
Note
circulation 3
Bankers'
Public
751.7
923.4
1,088.7
1,238.6
1,379.9
1,428.2
1,349.7
I,293.1
1,321.9
219.9
223.4
234.3
260.7
274.5
278.9
315.1
314.5
299.2
11.2
13.6
15.2
16.7
14.8
267.8
267.9
307.9
317.4
327.0
327.6
331.3
401.1
489.6
53.8
70.2
80.3
66.1
19.2
23.4
21.0
40.3
37.8
29.2
575.0
583.0
581.8
585.9
384.0
1,302.0
1,283.3
1,272.6
1,286.0
1,357.7
278.8
291.8
316.0
305.0
313.5
12.8
14.8
13.0
18.4
15.4
69.4
62.0
31.3
37.3
19.2
51 8
20.1
19.7
16.1
12.3
329.2
345.7
395.1
388.4
405.0
360 0
390.8
1,282.0
1,289.0
1,320.1
1,313.8
1,331.6
.349 3
1,380.9
297.9
293.0
302.4
305.8
296.4
290.1
294.4
13.0
13.0
13.8
14.2
14.4
20.4
14.8
6.4
3.5
2.5
5.1
8.4
6.4
2.8
7.9
7.7
ECA
Other
Other
liabilities and
capital
17.4
97.9
54.1
48.8
60.4
52.3
58.5
57.3
95.5
92.1
111.2
17.9
17.9
17.9
17.8
17.8
18.1
18.1
18.1
18.1
95.7
94.3
89.3
82.2
85.0
18.5
18.5
17.8
18.0
18.1
86.7
90.1
89.3
89.0
84.8
86.6
88.9
18.3
18.5
18.5
17.8
18.0
18.1
18.3
Deposits
9.0
10.3
5.2
5.3
10.3
18.6
11.7
11.6
246.5
254.8
266.4
266.4
.4
2.4
9.3
14.6
5.4
13.4
4.4
2.3
1
On June 9, 1945, the official buying price of the Bank of England for gold was increased from 168 shillings to 172 shillings and threepence
per fine ounce, and on Sept. 19, 1949, it was raised to 248 shillings. For details regarding previous changes in the buying price of gold and for
internal
gold transfers during 1939, see BULLETIN for March 1950, p. 388, footnotes 1 and 4.
2
Securities and silver coin held as cover for fiduciary issue, the amount of which is also shown by this figure.
3
Notes issued less amounts held in banking department.
4
Fiduciary issue decreased by 25 million pounds on Jan. 10 and increased by 50 million on June 12, 1951. For details on previous changes,
see BULLETIN for January 1951, p. 238; February 1950, p. 254; April 1949, p. 450; and February 1948, p. 254.
NOTE.—For back figures, see Banking and Monetary Statistics, Table 164, pp. 638-640; for description of statistics, see pp. 560-561 in same
publication.
1210
FEDERAL RESERVE BULLETIN
CENTRAL BANKS—Continued
Liabilities
Assets
Bank of Canada
(Figures in millions of
Canadian dollars)
Sterling
and United
States
dollars
Gold
Dominion and provincial government
securities
Deposits
Other
assets
Dominion
government
Other
175.3
232.8
359.9
496.0
693.6
874.4
,036.0
,129.1
,186.2
,211.4
,289.1
,307.4
200.6
217.0
217.7
232.0
259.9
340.2
401.7
521.2
565.5
536.2
547.3
541.7
16.7
46.3
10.9
73.8
51.6
20.5
12.9
153.3
60.5
68.8
98.1
30.7
3.1
17.9
9.5
6.0
19.1
17.8
27.7
29.8
93.8
67.5
81.0
126.9
9.3
13.3
28.5
35.1
24.0
55.4
209.1
198.5
42.7
42.4
43.1
119.2
113.9
219.7
440.0
415.5
297.1
,303.8
,318.4
1,321.8
1,323.5
1,367.4
568.2
555.8
621.7
578.9
578.6
16.7
22.0
39.0
45.3
24.7
233.1
258.2
235.2
221.0
207.1
143.1
128.2
191.6
206.0
172.6
273.7
249.0
171.1
168.8
117.9
104.1
118.6
1,294.4
1,295.4
1,319.5
1,323.0
1,337.5
1,351.3
1,370.5
537.6
550.5
552.9
556.1
530.1
590.7
558.2
68.3
69.5
70.5
56.9
76.2
75.3
91.1
204.4
204.6
206.7
215.1
221.5
220.1
212.6
189.3
168.7
117.2
196.6
168.7
165.0
202.9
Other
28.4
64.3
38.4
200.9
.5
.6
172.3
156.8
1.0
2.0
.4
74.1
144.6
181.9
448.4
391.8
807.2
787.6
906.9
1,157.3
1,197.4
1,022.0
1,233.7
1,781.4
40.9
49.9
127.3
216.7
209.2
472.8
573.9
688.3
708.2
858.5
779.1
227.8
5.2
5.5
12.4
33.5
31.3
47.3
34.3
29.5
42.1
43.7
45.4
42.5
1950—Aug. 31.
Sept. 30.
Oct. 31.
Nov. 30.
Dec. 30.
161.4
212.2
152.2
127.2
111.4
1,420.4
1,406.1
1,381.4
1,170.0
1,229.3
569.2
444.6
435.7
662.0
712.5
1951—Jan. 3 1 .
Feb. 28 .
Mar. 3 1 .
Apr. 30 .
May 3 1 .
June 30.
July 3 1 .
117.9
117.3
80.0
128.8
125.2
116.8
116.8
1,171.0
1,165.4
1,341.9
1,327.6
1,313.7
1,335.2
1,327.4
731.5
757.0
673.7
722.5
777.3
846.3
872.5
31.
30.
31.
31.
31.
31.
30.
31.
31.
31.
31.
31.
185.9
225.7
Liabilities
Assets
Bank of France
(Figures in
millions of francs)
1938—Dec.
1939—Dec.
1940—Dec.
1941—Dec.
1942—Dec.
1943—Dec.
1944—Dec.
1945—Dec.
1946—Dec.
1947—Dec.
1948—Dec.
1949—Dec.
29.,
28.
26.
31..
31.
30.
28.
27.
26.
31.
30.
29.
Gold
87,265
97,267
84,616
84,598
84,598
84,598
75,151
129,817
94,817
65,225
65,225
62,274
Foreign
exchange
Domestic bills
Open
market5
821
1,892
112
5,818
42
7,802
6,812
38
37
8,420
37
9,518
42 12,170
68 17,980
7 37,618
12 67,395
30 97,447
61,943 137,689
Special
Other
Other
liabilities
and
capital»
Chartered
banks
Shortterm 1
1938—Dec.
1939—Dec.
1940—Dec.
1941—Dec.
1942—Dec.
1943—Dec.
1944_Dec.
1945—Dec.
1946—Dec.
1947—Dec.
1948—Dec.
1949—Dec.
Note
circulation2
Advances to
Government8
Current
Deposits'
Other
assets 6
Other
1,797
7,880
30,627
2,345
5,149
14,200 30,473
661
3,646 63,900 112,317
12
4,517 69,500 182,507
169
5,368 68,250 250,965
29
7,543 64,400 366,973
48 18,592 15,850 475,447
445,447
303 25,548
3,135 76,254 67,900 480,447
64 117,826 147,400 558,039
8,577 238,576 150,900 558,039
28,548 335,727 157,900 560,990
Note
circulation
Government
ECA
s 061
110
14,028
I 914
15,549 151 322
18,571 218 383
984
17,424 270 ,144 1 517
16,990 382 ,774
770
16,601 500 386
578
20,892 572 ,510
748
24,734 570 006 12 048
33,133 721 ,865
765
733
59,024 920 831
57,622 987 ,621
806
112,658 1,278 ,211 1 ,168
1950—Aug. 31.
Sept. 28.
Oct. 26.
Nov. 30.
Dec. 28.
8182,785
182,785
182,785
182,785
182,785
144,242
173,725
140,735
146,783
162,017
149,702
119,556
115,122
150,674
136,947
3,590
14,572
25,035
32,047
34,081
362,358
377,531
371,010
297,884
393,054
163,600
163,900
162,600
155,900
158,900
481,039
481,039
481,039
481,039
481,039
137,978
132,972
197,555
222,277
212,822
1951—Jan. 2 5 .
Feb. 22.
Mar. 29.
Apr. 26.
May 3 1 .
June 28.
July 26.
182,785
182,785
182,785
191,447
191,447
191,447
191,447
172,719
185,735
193,622
173,566
169,035
161,802
154,610
131,554
122,549
133,959
141,921
215,539
196,435
232,873
35,907
32,158
29,194
23,821
17,539
12,164
5,967
373,922
383,170
389,147
427,135
341,766
458,572
454,608
159,800
159,000
154,800
159,700
158,700
157,600
145,800
481,039
481,039
481,039
481,039
481,039
481,039
481,039
197,815
213,535
223,295
235,063
259,474
235,037
9
250,441
Other
?5 ,595
14 751
?7 ,202
?5 ,272
29 ,935
33 ,137
Other
liabilities
and
capital
S7 755
63 ,468
479
171 ,783
1S8 ,973
2,718
2,925
44,986
68,474
'21,318
15,596
7,078
4,087
7,213
10,942
16,206
19,377
,855
7
1,455 ,008
1,467 ,425
1,466 ,623
L ,502,770
1,560 ,561
94
73
83
70
12 ,778
11 ,928
8 ,739
7 ,613
15 ,058
134 ,709
144 ,909
171 ,836
137 ,038
161 ,720
22,722
21,725
28,610
21,885
24,234
,688
,910
,231
,678
,018
,842
,190
74
18
75
98
S3
66
74
16 ,772
30 ,205
39 ,588
46 ,941
17 ,636
16 ,432
19 ,703
154 ,980
160 ,976
149 ,431
16C ,530
160 ,143
190 ,056
166 ,020
28,027
26,864
22,516
28,444
24,658
26,701
31,798
1,535
1,541
1,576
1,597
1,632
1,660
1,699
75
1
2
3
i
Securities maturing in two years or less.
Includes notes held by the chartered banks, which constitute an important part of their reserves.
Beginning November 1944, includes a certain amount of sterling and United States dollars.
On May 1, 1940, gold transferred to Foreign Exchange Control Board in return for short-term Government securities (see BULLETIN for
July 51940, pp. 677-678).
For explanation of these items, see BULLETIN for January 1950, p. 117, footnote 6.
6
Beginning January 1950, when the Bank of France modified the form of presentation of its statement, the figures under this heading are
not strictly
comparable with those shown for earlier dates.
7
Includes the following amounts (in millions of francs) for account of the Central Administration of the Reichskreditkassen: 1940, 41,400;
1941,8 64,580; 1942, 16,857; 1943, 10,724.
On Aug. 16, 1950, gold reserve revalued on the basis of 393,396.50 francs per kilogram of fine gold compared with the former rate of 134,027.90
francs, which had been in effect since Dec. 26, 1945. For details on devaluations and other changes in the gold holdings of the Bank of France,
see BULLETIN for September 1950, pp. 1132 and 1261; June 1949, p. 747; May 1948, p. 601; May 1940, pp. 406-407; January 1939, p. 29; September 1937, p. 853; and November 1936, pp. 878-880.
9
Includes advance to Stabilization Fund, amounting to 155.4 billion francs on July 26.
NOTE.—For back figures on Bank of Canada and Bank of France, see Banking and Monetary Statistics, Tables 166 and 165, pp. 644-645
and pp. 641-643, respectively; for description of statistics, see pp. 562-564 in same publication. For last available report from the Reichsbank
(February 1945), see BULLETIN for December 1946, p. 1424.
SEPTEMBER 1951
1211
CENTRAL BANKS—Continued
Central Bank
(Figures as of last report
date of month)
1951
July
June
1950
May
Central Bank of t h e Argentine
Republic (millions of pesos):
874
874
Gold reported separately
,389 2,467
Other gold and foreign exchange.
,993
1,974
Government securities
,115 36,893
Rediscounts and loans to banks..
282
273
Other assets
,567 14,264
Currency circulation
,887 24,954
Deposits—Nationalized
565
766
Other sight obligations
,634 2,497
Other liabilities and capital
Commonwealth Bank of Australia (thousands of pounds):
707,783
Gold and foreign exchange
719,
11,091
Checks and bills of other banks. .
7,
Securities (incl. Government and
361,301
363,
Treasury bills)
98,992
82,
Other assets
275, 270 270,270
Note circulation
Deposits of Trading Banks:
559, 320 586,420
Special
28, 318 34,035
Other
310, 322 288,442
Other liabilities and capital
Austrian National Bank (millions
of schillings):
51
51
51
Gold
310
252
288
Foreign exchange
,720
4,918
4,348
Loans and discounts
,444 4,445
4,524
Claim against Government
37
39
38
Other assets
6,796
,598 6,406
Note circulation
150
171
192
Deposits—Banks
612
551
577
Other
,162 2,064
2,238
Blocked
National Bank of Belgium
(millions of francs):
29,742
307 29,433
Gold*
768 8,318
Foreign claims and balances (net). 12,580
9,334
901 11,151
Loans and discounts
860 34,860
Consolidated Government debt.. 34,860
214 3,603
3,757
Government securities
795 3,869
3,112
Other assets
814 86,781
88,822
Note circulation
413 2,005
1,546
Deposits—Demand
268
570
140
ECA
349 2,307
2,446
Other liabilities and capital
(Mar.
Central Bank of Bolivia—Mone1951)*
tary dept. (millions of bolivianos):
1,370
Gold at home and abroad a
589
Foreign exchange (net):
1,939
Loans and discounts
730
Government securities
139
Other assets
3,515
Note circulation
326
Deposits
925
Other liabilities and capital
Central Bank of Ceylon (thousands
of rupees):
677, 105 649,888 679,132
Foreign exchange
1,116
116
1,116
Paid-in capital—Int'l. Bank
2,706
68
Government securities
1,628
245
852
Other assets
397,245 389 281 400,308
Currency in circulation
90,625
979 62,015
Deposits—Government
162,081
199 187,824
Banks
32,604
858 30,952
Other liabilities and capital
Central Bank of Chile (millions
of pesos):
1,314
1,475
,346
Gold
198
349
180
Foreign exchange (net) 8
107
1
107
Net claim on Int'l. Fund
1,013
931
Discounts for member b a n k s . . . . 1,695
675
680
675
Loans to Government
5,304
309
5,457
Other loans and discounts
2,332
,437
2,432
Other assets
469
7,359
7,359
Note circulation
550
1,497
1,693
Deposits—Bank
064
410
846
Other
902
1,924
1,945
Other liabilities and capital
Bank of the Republic of Colombia
(thousands of pesos):
188. 096 209,960
Gold and foreign exchange
24,
24,369
Net claim on Int'l. Fund 8
1,381
1
Paid-in capital—Int'l. Bank
July
656
1,508
1,858
30,645
278
10,845
21,592
477
2,032
538,423
4,115
312,277
56,131
233,020
431,670
28,319
217,936
50
188
2,436
6,133
36
5,857
237
993
1,757
28,506
7,795
5,280
34,939
9,247
5,727
87,542
1,641
41
2,271
1,370
370
1,535
737
125
2,803
529
805
1,240
112
1
1,938
686
2,644
1,745
5,729
1,347
232
1,058
224,139
24,368
1,372
Central Bank
(Figures as of last report
date of month)
1950
1951
July
June
May
Bank of the Republic of Colombia—Cont.
259,060 227 ,835
Loans and discounts
135,872 134,775
Government loans and securities.
79,613 83,256
Other assets
423,992 392,815
Note circulation
197,792 232,465
Deposits
66,608 56,296
Other liabilities and capital
Central Bank of Costa Rica
(thousands of colones):
,511,511 11,511
Gold
,476
,456 12,866
Foreign exchange
,088
,188
7,029
Net claim on Int'l. Fund 8
,166
,419 89,839
Loans and discounts
219
,285 10,621
Securities
,838
,783 16,673
Other assets
,701
,376 103,777
Note circulation
,311
,316 32,909
Demand deposits
,286
,950 11,853
Other liabilities and capital
National Bank of Cuba
(thousands of pesos):
270,562
Gold
96,033
Foreign exchange (net)
Foreign exchange (Stabilization
96,684
Fund)
40,988
Silver
12,507
Net claim on Int'l. Fund «
1,879
Loans and discounts
11,845
Credits to Government
30,971
Other assets
374,674
Note circulation
180,152
Deposits
6,643
Other liabilities and capital
4
National Bank of Czechoslovakia
National Bank of Denmark
(millions of kroner):
69
69
69
Gold
435
425
406
Foreign exchange
6
8
8
Contributions to Int'l. Bank
94
112
108
Loans and discounts
148
131
143
Securities
,942
3,966
3,942
Govt. compensation a c c o u n t . . . .
539
461
526
Other assets
,569
1,593
1,620
Note circulation
,802
1,769
1,774
Deposits—Government
,670
1,632
1,620
Other
185
184
188
Other liabilities and capital
Central Bank of the Dominican
Republic (thousands of dollars):
6,056
056
8,056
Gold
,177 18,499 18,487
Foreign exchange (net)
1,250
,250
1,250
Net claim on Int'l. Fund »
40
40
40
Paid-in capital—Int'l. Bank
212
78
107
Loans and discounts
217
6,217
6,217
Government securities
992
968
1,081
Other assets
,226 26,133 25,290
Note circulation
,918
7,173
8,247
Demand deposits
801
747
758
Other liabilities and capital
Central Bank of Ecuador
(thousands of sucres):
334 993 334,
334,511
Gold 6
69 110 82,
143,577
Foreign exchange (net) *
18,757
18 757 18,
Net claim on Int'l. Fund *
214,156
188 362 225,
Credits—Government
123,530
171 057 148.
Other
174,547
181 855 180.
Other assets
480,678
488 385 485.
Note circulation
140,231
Demand deposits—Private banks 136 423 134
128,305
107 554 123
Other
259,864
231 772 247,
Other liabilities and capital
National Bank of Egypt 6 (thousands of7 pounds):
60,
49,771 43,321
Gold
Foreign exchange8
46, 010 48,113 51,926
Foreign and Egyptian
309, 905 315,460 328,748
Government securities
5,
7,950 12,426
Loans and discounts
2.
2,308 2,094
Other assets
160,
170, 820 173,464
Note circulation
85,
88,544 112,506
Deposits—Government
156,
143,050 131,199
Other
21,347
22,
21,188
Other liabilities and capital
July
228,700
146,131
58,362
458,746
177,626
46,698
11,511
39,659
7,019
81,804
20,726
16,874
102,081
66,241
9,271
'298,719
'60,632
43,151
79,998
12,507
1,003
'207
14,981
375,033
126,384
9,780
69
357
6
38
122
4,022
273
1,529
1,304
1,904
152
4,045
13,927
1,250
40
103
5,383
1,556
20,658
5,348
298
261,538
7,455
16,881
242,394
142,131
149,205
420,057
126,387
100,039
173,120
6,376
'54,824
295,857
5,470
'2,156
144,580
69,467
140,325
10,310
r
1
2
8
Revised.
* Latest month available.
On Aug. 17, 1950, gold reserve revalued from .0202765 to .0177734 grams of fine gold per franc.
It is understood that, beginning June 1950, gold reserves have been revalued at a rate of 60 bolivianos per dollar.
This figure represents the amount of the bank's subscription to the Fund less the bank's local currency liability to the Fund. Until such time
as the
Fund engages in operations in this currency, the "net claim" will equal the country's gold contribution.
4
For last available report (March 1950), see BULLETIN for September 1950, p. 1262.
6
In December 1950, gold and foreign exchange holdings revalued from 13.50 to 15.00 sucres per dollar.
6
The National Bank of Egypt became the central bank on Apr. 5, 1951.
7
Beginning December 1950, includes gold in Banking Department, formerly shown under "Other Assets"; in April 1951, gold previously held
in Issue Department revalued from 7.4375 grams of fine gold to 2.55187 grams of fine gold per Egyptian pound.
8
Revised to include foreign exchange and, from June to November 1950, gold, in Banking Department, formerly shown under "Other assets."
NOTE.—For details relating to individual items in certain bank statements, see BULLETIN for January 1951, p. 112; and January 1950, p. 118.
1212
FEDERAL RESERVE
BULLETIN
CENTRAL BANKS—Continued
Central Bank
(Figures as of last report
date of month)
Central Reserve Bank of El Salvador (thousands of colones):
Gold
Foreign exchange (net)
Net claim on Int'l Fund *
Loans and discounts
Government debt and securities. .
Other assets
Note circulation
Deposits
Other liabilities and capital
State Bank of Ethiopia 2
Bank of Finland (millions of markkaa):
Gold
Foreign assets (net)
Clearings (net)
Loans and discounts
Securities
Other assets
Note circulation
Deposits
Other liabilities and capital
Bank of German States
(millions of German marks):
Foreign exchange
Loans and discounts
Loans to Government
Other assets
Note circulation
Deposits—Government. .
Banks
Other
Other liabilities and capital
Bank of Greece (billions of drachmae):
Gold and foreign exchange (net)
Loans and discounts
Advances—Government
Other
Other assets
Note circulation
Deposits—Government
Reconstruction and
relief accts
Other
Other liabilities and capital
Bank of Guatemala (thousands of
quetzales):
Gold
Foreign exchange
Gold contribution to Int'l Fund..
Rediscounts and advances
Other assets . .
Circulation—Notes
Coin
Deposits—Government.
Banks
Other liabilities and capital
National Bank of Hungary 4
Reserve Bank of India (millions of
rupees):
Issue department:
Gold at home and abroad . . .
Sterling securities
Indian Govt. securities
Rupee coin
Note circulation
Banking department:
Notes of issue department
Balances abroad
Bills discounted
Loans to Government
Other assets
Deposits
Other liabilities and capital
Central Bank of Ireland (thousands
of pounds) *
Gold
Sterling funds
Note circulation
1951
July
64 610
75 364
1 S6S
9 785
5 602
1 406
75 803
68 918
6 610
1950
June
May
July
64 6 8 9
89 806
1 56S
789
s 636
1 410
77 080
73 341
6 4S0
57 249
91 789
1 S6S
018
4 006
1 983
78 453
72 761
6 406
50
64,
1
1
5
1
64
53
6
4
1
—1
42
475
644
396
070
7 480
39 670
9 806
949
2 098
4 194
0 556
1 470
8 384
2 593
1 846
1 286
3 210
27 229
12 ,142
1 ,250
6 952
17 629
36 2 56
3 ,268
2 ,818
10 949
11 ,909
1 799
4 446
0
8
2
1
1
3
800
069
6 SS1
OSS
1 648
114
1 678
4 370
394
1 491
7 867
461
189
292
839
344
294
2
1
1
3
430
813
315
368
409
3 760
180
6 717
3 510
9 535
1 700
885
10S
^ 003
933
1 470
1 701
074
4 459
2 266
3 4 397
4 104
1 004
2 690
27 229
27 229
17 241
37 110
19
36 0 1 9
13 496 14 ,300
1 250 1 ,250
5 331 4 982
3 314 3 ,295
2 318 2 ,179
11 180 10 S06
10 ,615 14 ,304
348
1 70S
21
75
1 179
008
318
9 646
49 469
52 115
400
089
5 166
579
19
,863
957
1 ,764
36
72
1 161
9 047
34 3
9 646
49 351
007
329
11 S
56 S
S48
000
469
4 55
221
343
2 930
— 806
-347
40 9 8 S
Q
400
6 782
5 166
575
12 57S
9 646
49 886
52 532
4 47S
901
Central Bank
(Figures as of last report
date of month)
40
1
1
32
2
9
1
3
9
1
8
2
1
190
79S
080
9 SO
734
533
490
372
107
083
009
Bank of Italy (billions of lire):
Gold
Advances to Treasury
Loans and discounts
Government securities
Other assets
Bank of Italv notes
Allied military notes
Demand
Other
Other liabilities and capital
Bank of Japan (millions of yen):
Cash and bullion
Advances to Government
Loans and discounts
Government securities
Other assets
Note circulation
Der)osits5 Government
Other
Other liabilities
The Java 5Bank (millions of guilders):
Gold
Foreign exchange (net)
Leans and discounts
Advances to Government
101
Note circulation
502
DeDosits
036
Other liabilities and capital
538 Bank of Mexico (millions of pesos):
2 566
Monetary reserve 6
360
170
4 49 S
2 387
015
1 676
814
2 934
809
2 651
"Authorized" holdings of securities, etc
Bills and discounts
Other assets
Note circulation
Demand liabilities
Other liabilities and capital
Netherlands Bank (millions of
guilders):
Gold 7
Silver (including subsidiary coin).
Foreign assets (net)
Loans and discounts
Govt debt and securities
Other assets
Note circulation—Old
27 9 9 Q
6 928
New
1 250
4 690
Blocked
18 070
ECA
34 9 S 9
Other
3 ,137
Other liabilities and capital
1 ,887 Reserve Bank of New Zealand
9 514
(thousands of pounds):
9 ,325
Gold
400
5 089
4 666
S7S
11 394
9Q0
2 1Q0
94
23
661
2 018
9 80
2 646
47 3 9 6
49 0 7 9
Foreign exchange reserve
Loans and discounts
Advances to State or State undertakings
. ..
Investments
Other assets
Note circulation
.
Demand deposits
Other liabilities and capital
Bank of Norway (millions of kroner):
Gold
.
...
Foreign assets (net)
Clearing accounts (net)
Loans and discounts
Securities
Occupation account (net)
Note circulation
...
Deposits—Government
Banks
Blocked
ECA
Other liabilities and c a p i t a l . . . .
1951
1950
June
July
4
32
590
261
205
603
May
4
4
30
90
SQO
SQO
703
906
773
91S
513
1 066
> 1,121 ! 1 »089
1 08?
64 S
4 0 7 , OSS
79 177
37 080
407 704
79 011
9 0 01S
18 917
49
871
730
493
1,723
871
612
514
1 839
656
2,947
830
695
9
176
67
757
60
181
74
753
66
159
82
269
64
9
July
SS4
800
880
694
4
27
590
190
188
600
1,025
3
117
142
256
55
1 0^4
1,450
64 S 108,226
730
118,292
384
77 736 121,450
32,952
37 0 0 7
300 339
319,809
49
ss
93
974
380
16 148
871
621
476
1
QQO
S9Q
9
770
978
696
30,911
18,601
13,048
677
75
141
1,931
85
1,827
666
415
1,060
1 053
1 093
821
2,715
7 764
370
510
7 766
1 446
403
7 935
356
490
7 737
1 639
507
2,544
1 177
17
177
100
3 260
615
40
2 693
1 177
17
154
170
3 178
591
SO
2 709
1 549
644
454
1 470
656
401
1,143
5,203 5 157 5 071
78,943 78 539 73 ,971
6,235 6 495 6 ,832
4,323
57,882
5,462
51,929 54 033 56 537
11,974 7 ,974 10 ,974
3,510 4 ,199 4 ,653
60,624 50 804 58 ,413
90,769 00 ,075 92 ,403
7 ,222
6 ,518
6,401
56,483
22,658
>-4,324
54,722
90,322
6,089
461
493
2,797
1,443
489
1,177
17
41
503
3,262
644
48
2,806
1,626
677
487
184
345
2,317
968
609
871
14
1,197
202
2,850
894
61
2,904
414
2
914
589
244
2,431
1,754
1,116
743
137
13
59
46
6 ,202
130
2 ,376
1 ,865
1 ,044
7.43
284
—12
58
46
6 ,202
142
2 ,293
2 ,073
976
2,295
'1,750
1,406
769
770
747
777
706
915
'700
243
187
—9
49
46
6,202
121
r
128
-49
34
47
7,112
84
543
908
r
x
Revised.
This figure represents the amount of the bank's subscription to the Fund less the bank's local currency liability to the Fund. Until such
time 2 as the Fund engages in operations in this currency, the "net claim" will equal the country's gold contribution.
For last available report (July 1950), see BULLETIN for December 1950, p. 1699.
3
Effective June 1, 1951, figures reflect the change in the official exchange parities of the drachma resulting from abolition of exchange certificate
system.
4
For
last available report (February 1950), see BULLETIN for Septem ber 1950, p. 1263.
5
Gold revalued on Jan. 18, 1950, from .334987 to .233861 grams of fi ne gold per guilder.
6
Includes
gold, silver, and foreign exchange forming required reserve (25 per cent) against notes and other demand liabilities.
7
Gold revalued on Sept. 19, 1949, from .334987 to .233861 grams of fine gold per guilder.
NOTE.—For details relating to individual items in certain bank statements, see BULLETIN for January 1951, p. 113.
SEPTEMBER
1951
1213
CENTRAL BANKS—Continued
Central Bank
(Figures as of last report
date of month)
1950
1951
July
June
May
State Bank of Pakistan (millions of
ru pees):
Issue department:
44
44
Gold at homeland abroad...
8S9
8S9
Sterling securities
603
653
Pakistan Govt. securities. . .
138
138
Govt. of India securities
300
300
India currency
43
43
Rupee coin
1 ,975
Notes in circulation
1 ,924
Banking department:
55
53
Notes of issue department, ,
616
641
Balances abroad
99
99
Bills discounted
4
1
Loans to Government
396
Other assets
374
1 ,029
1 ,025
Deposits
119
Other liabilities and capital..
95
Bank of Paraguay—Monetary dept.
(thousands
of
guaranies):
1 ,165
1 ,165
Gold l
.
1 ,165
115
105 ,315 82 ,300
Foreign exchange (net)
S
S 9S6
377
Net claim on Int'l. Fund *
- 1 ,001 - 1 ,001 - 1 ,001
Paid-in capital—Int'l. Bank
Loans and discounts
148 515 141 ,34S 139 873
Government loans and securities. 16 ,617 16 ,623 24 ,256
39 ,907 90 ,259
S9 ,369
Other assets
186 783 179 793 173 89 3
Note and coin issue
86 ,726 60 ,554 58 ,168
Demand deposits
.
64 ,701 61 ,261 32 ,484
Other liabilities and capital
Central Reserve Bank of Peru
(millions of soles):
699
6S1
703
Gold and foreign exchange2 3
90
90
?0
Net claim on Int'l. Fund
2
2
2
Contribution to Int'l. Bank
971
180
?07
Loans and discounts to banks. . .
701
712
666
Loans to Government
127
96
126
Other assets
1 ,228
1 ,186
1 ,159
Note circulation
371
352
371
Deposits
190
192
Other liabilities and capital
156
Central Bank of the Philippines
(thousands of pesos):
9 787
11 067 10 9 3 7
Gold
523 ,146 533 ,970 551 ,540
Foreign exchange
29 ,504 29 ,504 29 ,504
Net claim on Int'l. Fund *
90 ,609 19 609 18 64 S
Loans
231 ,760 234 ,536 234 ,959
Domestic securities
18S ,879 180 ,316 174 400
Other assets
611 ,406 634 ,443 656 ,523
Note circulation
910 ,170 909 ,970 903 ,478
Demand deposits
189 ,388 170 ,759 158 ,833
Other liabilities and capital
Bank of Portugal (millions of
escudos) *
3 ,848 3 ,823
Gold
10 ,781 10 ,654
Foreign exchange (net)
527
574
Loans and discounts
1 ,247
1 ,249
Advances to Government
541
560
Other assets
8 ,256
8 ,224
Note circulation .
752
810
Demand deposits—Government..
164
264
EC A.
S 560
Other
s ,263
9 ,245
9 ,264
Other liabilities and capital
South African Reserve Bank
(thousands of pounds):
74 ,243 74 ,371
Gold *
...
80 ,043 93 ,283
Foreign bills
4 ,880
S ,423
Other bills and loans
28 ,840 25 ,366
Other assets
,482
,561
Note circulation
77
78
9 1 ,846 103 0 6 9
Deposits
Other liabilities and capital
17 ,679 17 ,821
Bank of Spain (millions of pesetas):
669
664
Gold
378
378
Silver
15 ,865 15 750
Government loans and securities.
15 ,266 15 127
Other loans and discounts
July
44
6S9
519
141
300
58
1 ,680
34
325
109
400
763
99
600
7 ,532
2 710
-195
124 689
5 ,870
26 ,131
122 673
37 ,710
6 ,946
337
90
2
193
70S
9S8
986
155
37S
5
434
7
68
132
147
545
140
110
108
221
502
694
337
869
125
123
406
3 139
8 931
S19
1 241
528
7 659
362
349
3 604
2 376
63
75
5
31
69
90
15
1951
Central Bank
(Figures as of last report
date of month)
S76
378
984
257
776
909
518
668
446
15 743
11 173
July
Bank of Spain—Cont.
Other assets
Note circulation
Deposits—Government...
Other
Other liabilities and capital
Bank of Sweden (millions of kronor):
Gold
Foreign assets (net)
Swedish Govt. securities and ad- 5
vances to National Debt Office
Other domestic bills and advances
Other assets
Note circulation
Demand deposits—Government..
Other
Other liabilities and capital
Swiss National Bank (millions of
francs):
Gold
Foreign exchange
Loans and discounts
Other assets
Note circulation
Other sight liabilities
• Other liabilities and capital
Central Bank of the Republic of
Turkey (millions of pounds):
Gold
Foreign exchange and foreign
clearings
Loans and discounts . . . .
Other assets
Note circulation
Deposits—Gold
Other
Other liabilities and capital
Bank of the Republic of Uruguay
(thousands of pesos):
Gold
Silver
Paid-in capital—Int'l. Bank
Advances to State and government bodies
Other loans and discounts
Other assets
Note circulation
... .
Deposits—Government
Other
Other liabilities and capital
Central Bank of Venezuela (millions of bolivares):
Gold
Foreign exchange (net)
Other assets
Note circulation
Deposits
Other liabilities and capital
Bank for International Settlements (thousands of Swiss gold
francs):
Gold in bars
Cash on hand and with banks .
Sight funds at interest
Rediscountable bills and acceptances (at cost)
....
Time funds at interest
Sundry bills and investments
Funds invested in Germany
Other assets
Demand deposits (gold)
Short-term deposits:
Central banks—Own account..
Other
Long-term deposits: Special
Other liabilities and capital
June
May
July
9 4 01 S 91 8 0 8
30 ,987 30 ,711
1 ,131
864
3 461
3 779
20 ,607 18 ,471
18 , 38S
28 ,319
638
3 ,09^
14 ,363
1 S7
1 ,080
9 84
677
984
504
98S
279
3 ,526
242
511
3 489
636
S97
594
3 ,718
249
508
3 S30
605
S30
597
3 ,778
241
514
3 407
688
499
580
2 ,675
136
318
3 10S
432
183
645
6 014
188
141
79
4 ,469
1 7S3
199
001
209
190
76
4 ,468
1 810
198
6 031
230
194
78
4 398
1 937
198
6 900
308
104
79
4 282
2 903
199
419
419
387
170
1 ,284
1S
149
1 173
106
1 120
97
114
877
6
1S
84
962
1S3
S68
1S8
OS
• 986
1S3
S03
?S1
1 141
-94
129
730
171
276
1 141
-42
119
730
140
348
1 S3
S79
1 S9
444 3 3 8
10 648
318
297 3 6 S
11 608
147
276
399
364
103
317
416
145
264
273
301
97
281
313
526
223
604
304
879
395
160
313
788
811
8S8
534
076
408
796
1 141
-47
117
744
170
296
1 041
16
73
790
172
228
47S 8 S 3 4 6 9 4 9 9 4 6 8 4 0 9
S7 047 S6 S 4 8 3 6 4 3 9
4 393
4 391
4 , 405
3 9 1 061
28 833
39
31
334
297
1
304
380 08 83S 114 991
023 33, 459 3 5 , 254
19S 970 650 96S 084
201 297 201 297, 201
1 803
9 666
393
S43
910
997
201
416
193
150,
37,
283,
297,
1,
250,
505
37
228
264
345 475, 752 619, 981
810 17 418 18 874
909 228 909 228, 909
135 265 849 265, 639
434,
20,
228,
259,
092
614
909
644
986 947
389
1
As of Mar. 5, 1951, gold revalued from .287595 to .148112 grams of fine gold per guarani.
2
This figure represents the amount of the bank's subscription to the Fund less the bank's local currency liability to the Fund,
as the
Fund engages in operations in this currency, the "net claim" will equal the country's gold contribution.
3
In November 1949, part of the gold and foreign exchange holdings of the bank were revalued.
4
On
Dec. 31, 1949, gold revalued from 172 to 248 shillings per fine ounce.
5
Includes small amount of non-Government bonds.
NOTE.—For details relating to individual items in certain bank statements, see BULLETIN for January 1950, p. 120.
1214
1950
98
2 902
S33
Until such time
FEDERAL RESERVE BULLETIN
MONEY RATES IN FOREIGN COUNTRIES
DISCOUNT RATES OF CENTRAL BANKS
[Per cent per annum]
Central bank of—
Date
effective
United
King- France Gerdom
In effect Dec. 31,
1939
Jan. 25, 1940. .
Apr. 9
May 17
Mar. 17, 1941..
May 29
June 27
Jan. 16, 1945. .
Jan. 20
Feb. 9
Nov. 7, 1946..
Dec. 19
Jan. 10, 1947. .
Aug. 27
Oct.
9
June 28, 1948..
Sept. 6
Oct.
1
May 27, 1949..
July 14
Oct.
6
June 8, 1950..
Sept. 11
Sept. 26
Oct. 27
Dec. 1
Apr. 17, 1951. .
July 5 , 1 9 5 1 . .
Inef.'ect July 31,
1951
Central
bank of—
SwitzBel- Nether- Sweergtum lands
den land
3J4
3*4
Rate
July
31
Date
effective
Central
bank of—
Albania
Argentina..
Austria....
Belgium.. .
Bolivia
Mar. 21, 1940
Mar. 1, 1936
Aug. 3, 1945
July 5, 1951
Sept. 30, 1950
Canada....
Chile
Colombia. .
Costa Rica.
Rate
July
31
Italy
Japan
Java
Latvia
Lithuania. . .
Date
effective
4
5.11
3
5
6
Apr.
July
Jan.
Feb.
July
6,
5,
14,
17,
15,
1950
1948
1937
1940
1939
Oct. 17, 1950
Mexico
June 13, 1935 Netherlands..
July 18, 1933 New Zealand
Feb. 1, 1950 Norway
June
Apr.
July
Jan.
4,
17,
26,
9,
1942
1951
1941
1946
Nov.
May
Mar.
Oct.
Nov.
2,
13,
22,
1,
3,
Peru
Portugal
South Africa.
Spain
Sweden
Nov. 13,
Jan. 12,
Oct. 13,
Mar. 18,
Dec. 1,
1947
1944
1949
1949
1950
June
Oct.
July
Nov.
Nov.
8, 1950
27, 1950
12, 1948
28, 1935
23, 1943
Switzerland..
Turkey
United Kingdom
U. S. S. R....
Nov. 26, 1936
Feb. 26, 1951
3
&2M
Denmark
Ecuador
El Salvador. . .
Estonia
Finland
France.
Germany.
Greece
India
Ireland. . .
334
5
10
3
12
3
1950
1948
1950
1935
1950
Oct. 26, 1939
July 1, 1936
i The lower rate applies to the Bank deutscher Laender, and the higher
rate applies to the Land Central banks.
NOTE.—Changes since July 31: None.
OPEN-MARKET RATES
[Per cent per annum]
United Kingdom
Canada
Month
France
Switzerland
Treasury
bills
3 months
Day-today
money
Loans
up to
3 months
Private
discount
rate
3-534
3-5*4
3-534
2 3^-5
2^-434
2^-434
234-434
234-4 y2
234-434
1.25
1.25
1.25
1.25
1.25
.25
.50
.52
.50
Treasury
bills
3 months
Bankers'
acceptances
3 months
Treasury
bills
3 months
Day-today
money
1^942—June
1*943—June
1944—June
1945—June
1946—June
1947—June
1948—June
1949—June
1950—June
.54
.50
.39
.36
.39
.41
.41
.51
.51
1.03
1.03
1.03
1.03
.53
.53
.56
.63
.69
1.00
1.00
1.00
1.00
.50
.51
.51
.52
.51
1.00
06
.13
.13
.63
.63
.63
.63
.63
1.58
1.67
1.58
.74
1.32
1.45
2.02
P2.46
2.52
.42
.46
.36
.32
.44
1.00
.86
.84
.83
.81
1950—July
August. . .
September
October...
November
December.
.51
.55
.62
.62
.62
.63
.69
.69
.69
.69
.69
.69
.51
.51
.52
.51
.51
.51
.63
.63
.63
.63
.63
.63
2.59
2.35
2.22
2.28
2.19
2.41
.57
.44
.33
.27
.20
.40
1.10
.95
.91
.88
.88
1.09
34-43
34-43
3-5
1951—January. .
February.
March
April
May
.63
.73
,76
.76
.76
.75
.69
.69
.69
.69
.69
.69
.51
.51
.51
.51
.51
.51
.63
.63
.63
.63
.63
.63
.45
.42
.31
.55
.46
.55
.50
1.39
.83
1.00
1.23
1.24
1.07
1.00
3-5
3-5
3-5
3-5
3-5
3-5
June
Bankers'
allowance
on deposits
Sweden
Netherlands
Day-today
money
2.60
2.61
2.52
3
.50
.50
.50
.50
.50
.50
1.50
1.50
1.50
1.50
1.50
1.50
P Preliminary.
NOTE.—For monthly figures on money rates in these and other foreign countries through 1941, see Banking and Monetary Statistics, Table 172,
pp. 656-661, and for description of statistics see pp. 571-572 in same publication.
SEPTEMBER
1951
1215
COMMERCIAL BANKS
(11 London clearing
banks. Figures in
millions of pounds
sterling)
Liabilities
Assets
United Kingdom *
Cash
reserves
Money at
call and Bills dis- Treasury
Loans to
deposit 2 Securities customers
short
counted receipts
notice
Deposits
Other
assets
Total
Demand
Time
Other
liabilities
and
capital
1945—December.
1946—December.
1947—December.
1948—December.
1949—December.
536
499
502
502
532
252
432
480
485
571
369
610
793
741
1,109
1,523
1,560
1,288
1,397
793
1,234
1,427
,483
,478
,512
827
994
1,219
1,396
1,534
374
505
567
621
579
4,850
5,685
5,935
6,200
6,202
3,262
3,823
3,962
4,159
4,161
1,588
1,862
1,972
2,041
2,041
265
342
396
420
427
1950—July
August. . .
September
October...
November
December
501
504
492
509
502
540
557
544
543
557
548
592
1,400
1,336
1,358
1,414
1,445
1,408
321
368
435
496
478
456
,496
,499
,501
,505
,514
,528
1,591
1,610
1,610
1,608
1,625
1,660
529
554
557
616
660
735
5,956
5,968
6,028
6,204
6,251
6,368
3,935
3,941
3,969
4,105
4,109
4,262
2,021
2,027
2,059
2,099
2,142
2,106
440
447
468
501
522
550
1951—January..
February.
March....
April
May
June
530
496
489
520
504
501
559
531
537
559
571
594
1,470
1,343
1,313
1,300
1,226
1,172
383
291
234
295
269
290
1,529
1,544
1,552
1,554
1,556
1,550
1,656
1,714
1,766
1,775
1,806
1,895
697
719
770
760
854
797
6,260
6,041
6,037
6,130
6,149
6,167
4,181
3,994
3,987
4,055
4,063
4,099
2,078
2,047
2,049
2,075
2,086
2,068
564
596
625
632
636
633
Liabilities
Assets
Canada
(10 chartered banks.
End of month figures
in millions of
Canadian dollars)
Security
loans
abroad
and net Securities
Other
due from
loans and foreign
discounts
banks
Entirely in Canada
Cash
reserves
Security
loans
Other
assets
Note
circulation
Deposits payable in Canada
excluding interbank deposits
Other
labilities
and
capital
Total
Demand
Time
5,941
6,252
6,412
7,027
7,227
3,076
2,783
2,671
2,970
2,794
2,865
3,469
3,740
4,057
4,433
,386
,525
,544
,537
,477
1945—December.
1946—December.
1947—December.
1948—December.
1949—December.
694
753
731
749
765
251
136
105
101
133
1,274
1,507
1,999
2,148
2,271
227
132
106
144
146
4,038
4,232
3,874
4,268
4,345
869
,039
,159
,169
.058
1950—July
August. . .
September
October...
November
December.
767
802
748
847
797
824
94
99
101
115
164
134
2,385
2,393
2,473
2.565
2,737
2,776
222
218
225
189
177
171
4,240
4,478
4,437
4,349
4,280
4,286
.089
,113
.178
.258
,293
,304
7,288
7,573
7,597
7,740
7,819
7,828
2,759
3,030
3,015
3.180
3,276
3,270
4,529
4.543
4,582
4,559
4,543
4,558
,508
,529
,565
,583
,630
,667
1951—January. .
February.
March
April
May
774
770
753
774
760
781
118
109
94
2,795
2.872
3,008
3,046
3 .066
3,061
175
176
178
160
188
206
4,248
4,093
3.986
3,924
3.886
3,838
1,270
1.334
1,266
1,413
1.379
1,288
7,748
7.675
7,624
7,684
7,686
7,591
3,171
3.057
3,010
3,086
3.097
3,032
4,577
4.618
4,614
4,598
4.589
4,559
,631
,678
,660
,720
,684
1,664
June
87
92
82
26
21
18
16
14
Assets
France
(4 large banks. End
of month figures in
millions of francs)
Cash
reserves
Due from
banks
Bills discounted
Liabilities
Loans
Deposits
Other
assets
Total
Demand
Time
Own
acceptances
Other
liabilities
and
capital
.
.
.
.
.
14,733
18,007
22,590
45,397
40,937
14,128
18,940
19.378
35.633
42,311
155,472
195,223
219,386
354.245
426,690
36,621
65.170
86,875
126,246
129,501
4,783
17,445
27,409
34,030
29,843
215,615
291,945
341,547
552.221
627.266
213,592
290,055
338,090
545,538
619,204
2,023
1,890
3,457
6.683
8,062
2,904
15,694
25,175
30,638
26,355
7,218
7,145
8,916
12,691
15,662
1950—June
July
August
September.
October. . .
November.
December. .
41,283
47,231
41,572
42,893
39,519
38,030
48,131
43.618
43,599
51,670
48,797
50,793
52,709
52,933
442.411
433,118
440,122
484,136
484,658
460,639
527.525
133,848
141.239
135.192
131,192
136,334
146,408
135.289
48,126
46,610
46,982
48,609
49,077
49,479
31.614
648,191
647,507
650,559
687.444
689,545
676.636
749.928
633,952
636,010
638.875
674,592
674,169
660.106
731.310
14,240
11,497
11,684
12,853
15,376
16,530
18,618
32,030
31,492
29,971
30,682
29,208
27,555
28,248
29,065
32,798
35,008
37,502
41,628
43,073
17,316
1951—January..
February.
March. . .
April
May
39,769
41,435
42,469
47,530
48,809
56.952
60,293
62,610
65,445
63,440
477,003
477,766
499,550
490,676
153,502
154,660
150,919
160,293
166,984
31,549
33,367
38,351
41,237
46,169
709,469
720,710
741,484
748,810
739,071
691,231
701,935
721,791
728,559
719,405
18,238
18.775
19,693
20,252
19,666
26,599
27,252
29,739
30.678
33,354
22.707
19,560
22,676
25,702
28,033
1945—December.
1946—December.
1947—December.
1948—December.
1949—December.
475,054
1
From September 1939 through November 1946, this table represents aggregates of figures reported by individual banks for days, varying from
bank to bank, toward the end of the month. After November 1946, figures for all banks are compiled on the third Wednesday of each month,
except
in June and December, when the statements give end-of-month data.
2
Represent six-month loans to the Treasury at \y% per cent through Oct. 20, 1945, and at Y% per cent thereafter.
3 Less than $500,000.
NOTE.—For back figures and figures on German commercial banks, see Banking and Monetary Statistics, Tables 168-171, pp. 648-655, and
for description of statistics see pp. 566-571 in same publication.
1216
FEDERAL RESERVE BULLETIN
FOREIGN EXCHANGE RATES
[Averages of certified noon buying rates in New York for cable transfers.
Argentina
(peso)
1
/ear or month
Basic
Preferential
3 8.289
2.2829
2.2817
2.2816
2.2009
1.9908
13 333
13 333
13 333
13.333
7.205
7 291
7 147
6.924
223.16
223 16
223 16
223.10
20 000
20.000
20.000
20 000
20 000
20.000
20 000
20.000
13 333
13.333
13.333
13 333
13.333
13.333
13 333
13.333
7 102
7.138
7.124
7 143
7.096
7.071
7 159
7.103
223 09
223.16
223.16
223 16
223,16
223.16
223 13
223.01
Ceylon
(rupee)
Colombia
(peso)
Czechoslovakia
(koruna)
Denmark
(krone)
57 020
57.001
57 006
2 0060
2.0060
2 0060
2.0060
2.0060
20.876
20.864
20 857
19.117
14.494
* 13.333
20 000
20 000
20 000
20.000
1951—January.........
February
March .
April . .
May
Tune
July
August
Year or month
1950—September
October
November
December
....
Brazil
(cruzeiro)
"Bank
notes"
account
321.34
321.00
321.22
293 80
223.15
29 773
29.773
29 773
29 774
26.571
1946
1947
1948
1949
1950
Free
Australia
(pound)
Belgium
(franc)
In cents per unit of foreign currency]
Official
Free
British
Malaysia 5
(dollar)
2.1407
1.9722
6 0602
5.4403
5.4406
5 4406
5.4406
42 973
32 788
1.9838
1 9876
1 9876
1.9983
<1 9702
1.9737
1.9720
5.4406
5 4406
5 4406
5.4406
32 825
32 838
32 850
32.850
1.9945
1.9883
1.9843
1 9830
1.9833
1.9845
1 9864
1.9890
1.9549
1.9774
1.9306
1 9491
1.9501
1.9568
1 9788
1.9876
5 4406
5.4406
5.4406
5 4406
5.4406
5.4406
5 4406
5.4406
32 850
32 850
32.850
32 850
32 850
32.850
32 8SO
32.850
4
France
(franc)
Canada
(dollar)
Official
Free
95.198
100.000
100.000
97 491
6
90.909
93.288
91.999
91.691
92 881
91.474
90.909
90.844
94 854
96 044
94.913
95 002
95.271
95.420
94 353
93.998
93.484
94 252
94.700
Germany
(deutsche
mark)
India
(rupee)
Mexico
(peso)
Netherlands
(guilder)
New
Zealand
(pound)
.8407
4929
3240
,4671
.3017
.2858
20.581
20 577
18 860
12.620
11.570
37 813
37.760
37 668
34.528
26.252
322.63
322.29
350 48
365.07
277.28
Official
Free
1946
1947
1948 . .
1949
1950
27.839
20.850
7 23.838
30.155
30.164
30 169
27.706
20.870
1950—September
October
November
December . . . .
20.850
20,850
20.850
20.850
2 0060
2.0060
2.0060
2.0060
14.494
14.494
14.494
14.494
.2855
.2856
.2856
.2856
23 838
23.838
23.838
23.838
20.870
20.870
20.870
20.870
11 572
11.571
11.571
11.572
26.237
26.235
26.232
26.240
277 29
277.29
277.29
277.22
1951—January
February
March
April . . .
May
June
July
August
20.850
20.850
20.850
20 850
20 850
20.850
20.850
20.850
2 0060
2.0060
2.0060
2 0060
2 0060
2.0060
2.0060
2.0000
14 494
14.494
14.494
14 494
14 493
14.484
14.484
14.492
.2856
.2856
.2856
.2856
.2856
.2855
.2856
.2856
23 838
23.838
23.838
23 838
23 838
23 838
23.838
23.838
20 870
20.870
20.870
20 870
20 870
20.870
20.870
20.870
11 567
11 562
11.561
11 561
11 561
11 561
11.561
11.568
26 239
26 241
26.260
26 241
26 243
26.279
26.286
26.280
277 21
277.29
277.29
277 29
277 29
277 29
277.25
277.11
Norway
(krone)
PhilipPortupine
gal
Republic (escudo)
(peso)
South
Africa
(pound)
Spain
(peseta)
Sweden
(krona)
Switzerland
(franc)
United
Kingdom
(pound)
1946
1947
1948
1949 .
1950....
20.176
20.160
20.159
18.481
14.015
'49*. 723
49.621
4.0501
4.0273
4.0183
3.8800
3.4704
400.50
400.74
400.75
366.62
278.38
9.132
9.132
9.132
25.859
27.824
27.824
25.480
19.332
23.363
23.363
23.363
23.314
23.136
403.28
402.86
403.13
368.72
280.07
65.830
65.830
65.830
65.830
65.833
56.280
56.239
56.182
56.180
56.180
42.553
42.553
1950—September . .
October
November
December
14
14
14
14
015
015
015
015
49.625
49.625
49.625
49.625
3.4842
3.4898
3.4791
3.4838
278.38
278.38
278.38
278.38
19.331
19.332
19.332
19.327
22 959
22.942
22.946
23.201
280.07
280.07
280.07
279.99
65.833
65.833
65.833
65.833
56.180
56.180
56.180
56.180
42.553
42.553
42.553
42.553
1951—January
February
March
April .
May
June
Tuly . . .
August
14.015
14.015
14.015
14.015
14.015
14.015
14 015
14.015
49.625
49.625
49 627
49.643
49 643
49.644
49 643
49.643
3.4764
3.4679
3.4766
3.4799
3.4826
3.4880
3 4827
3.4727
278.38
278.38
278.38
278.38
278.38
278.38
278 38
278.38
19.327
19.327
19.327
19.327
19.327
19.327
19 327
19.327
23.304
23.265
23 177
23.133
23 100
23.018
23 038
23.015
279.97
280.07
280 07
280.07
280 06
280.07
280 02
279.88
65.833
65.833
65.833
65.833
65 833
65.833
65 833
65.833
56.180
56.180
56.180
56.180
56.180
56.180
56.180
56.180
42.553
42.553
42.553
42.553
42.553
42.553
42.553
42.553
Year or month
.
. 8 409
Uruguay
(peso)
1
In addition to the rates shown, three other rates were certified from Jan. 1 through Aug. 28, 1950. The 1950 averages for these rates are
as follows
(in cents per peso): Preferential "A"—20.695, Preferential "B"—17.456, and "Special"—13.896.
2
Based
on quotations beginning Sept. 1, 1950.
3
Based
on quotations beginning July 13, 1950.
4
Based
on
quotations beginning Oct. 11, 1950.
5
Beginning Aug. 27, quotations on Straits Settlements dollar were discontinued and quotations on Malayan dollar substituted. The rate
on both
has
been
the same for a considerable period.
6
Based on quotations through Sept. 30, 1950; official rate abolished after that date.
7
Based on quotations beginning June 22, 1950.
NOTE.—For back figures, see Banking and Monetary Statistics, Table 173, pp. 662-682. For description of statistics, see pp. 572-573 in same
publication, and for further information concerning rates and averages for previous years, see BULLETIN for October 1950, p. 1419; January 1950,
>. 123; October 1949, p. 1291; January 1949, p. 101; July 1947, p. 933; and February 1944, p. 209.
SEPTEMBER
1951
1217
PRICE MOVEMENTS IN PRINCIPAL COUNTRIES
WHOLESALE PRICES—ALL COMMODITIES
[Index numbers]
Year or month
United
States
(1926 =
100)
Mexico
(1939 =
100)
Canada
(1935-39
= 100)
United
Kingdom
(1930 =
100)
France
(1949 =
100)
1926
100
130
1940
1941
1942
1943
1944
1945
1946
1947
1948
1949 .
1950
79
87
99
103
104
106
121
152
165
155
162
108
117
123
128
131
132
139
164
194
199
211
103
110
121
146
179
199
229
242
260
285
311
137
153
159
163
166
169
175
192
219
230
262
7
9
10
12
14
20
34
52
89
100
108
1950—July
August
September
October
November
December
163
166
170
169
172
175
307
312
321
326
332
335
260
264
272
280
289
292
1951—January
February
March
April
May
June
July
180
184
184
184
183
182
180
212
216
223
220
222
225
232
239
242
242
242
243
344
359
375
385
394
400
396
300
306
314
319
320
321
320
NetherJapan
Sweden
lands
(1934-36 (July
(1935 =
average June 19381939
100)
= 1)
= 100)
Italy
(1938 =
100)
1124
150
121
136
153
Switzerland
(Aug. 1939
= 100)
U26
2 135
5,159
5,443
5,170
4,905
2
2
2
2
2
4
16
48
128
209
246
131
150
157
160
164
181
251
271
281
296
146
172
189
196
196
194
186
199
214
216
227
133
171
195
203
207
205
200
208
217
206
203
106
107
112
113
117
121
4,694
4,913
5,088
5 176
5,279
5,424
242
254
260
269
277
281
317
224
225
228
230
244
253
199
205
209
213
216
218
123
130
134
••140
141
138
P135
5,652
5,738
5,724
5,697
5,677
296
316
333
346
266
275
287
297
302
P3O5
226
230
231
231
231
228
P5,598
r
P Preliminary.
Revised.
Approximate figure, derived from old index (1913 =100).
Approximate figure, derived from old index (July 1914 =100).
Sources.—See BULLETIN for August 1951, p. 1046; January 1950, p. 124; June 1949, p. 754; June 1948, p. 746; July 1947, p. 934; January
1941, p. 84; April 1937, p. 372; March 1937, p. 276; and October 1935, p. 678.
1
2
WHOLESALE PRICES—GROUPS OF COMMODITIES
[Indexes for groups included in total index above]
Canada
(1935-39=100)
United States
(1926=100)
Year or month
Farm
products
Foods
United Kingdom
(1930=100)
Raw and Fully and
partly
Other
chiefly
Farm
manucommod- products
manufactured factured
ities
goods
goods
Netherlands
(July 1938-June 1939=100)
Foods
Industrial
products
Foods
121
140
157
157
159
172
200
214
231
243
1926
100
100
100
144
129
133
1940
1941
1942
1943
1944
1945
1946
1947
1948
1949
1950
68
82
106
123
123
128
149
181
188
166
170
71
83
100
107
105
106
131
169
179
161
166
83
89
96
97
99
100
110
135
151
147
153
96
107
127
145
155
165
177
190
230
226
233
104
115
124
132
135
137
141
165
198
199
213
110
119
124
127
129
130
138
162
192
199
211
133
146
158
160
158
158
158
165
181
197
221
138
156
160
164
170
175
184
207
242
249
286
1950—July
August
September
October
November
December
176
178
180
178
184
187
171
175
177
173
175
179
152
156
159
162
164
167
247
236
235
229
230
235
219
221
226
220
222
225
209
214
222
221
223
226
222
217
220
226
229
228
282
291
303
311
325
331
1951—January
February
!March . ..
April
May
June
July
194
203
204
203
200
199
194
182
188
187
186
187
186
186
170
172
172
172
172
171
169
242
254
264
257
257
264
231
237
239
239
239
243
234
240
244
245
244
244
228
227
226
236
242
247
252
345
356
370
370
P368
IndusIndustrial
trial raw finished
products products
163
177
175
174
179
193
282
328
342
370
126
148
154
159
163
184
261
276
283
297
P367
p Preliminary.
Sources.—See BULLETIN for August 1951, p. 1046; July 1947, p. 934; May 1942, p. 451; March 1935, p. 180; and March 1931, p. 159.
1218
FEDERAL RESERVE BULLETIN
PRICE MOVEMENTS IN PRINCIPAL COUNTRIES—Continued
Year or
month
RETAIL FOOD PRICES
COST OF LIVING
[Index numbers]
[Index numbers]
SwitzUnited
CanerUnited
KingFrance Nether- land
ada
dom
States *
lands
(1949 (1938-39
(Aug.
(1935-39 (1935-39 (June
=
100)
= 100) 1939 =
= 100) 17,1947
= 100)
= 100)
100)
124
138
136
139
160
194
210
202
205
127
131
131
133
140
160
196
203
211
161
166
168
170
169
101
108
114
123
10
12
15
21
36
57
92
100
111
193
211
228
249
277
153
161
164
164
160
170
176
174
176
1950-July
August
September.
October...
November.
December.
208
210
210
211
211
216
214
217
219
220
219
219
122
121
122
125
125
125
105
109
113
116
117
118
278
275
276
286
286
286
1951-January...
February..
March....
April
May
June
July
222
226
226
226
227
227
228
220
224
234
238
235
240
250
127
127
128
131
135
136
120
121
123
125
129
127
P127
1942
1943
1944
1945
1946
1947
1948
1949
1950
. .
.
SwitzUnited
erCanKingUnited
NetherFrance
land
States i
ada
dom
lands
(1949
(1935-39 (1935-39 (June
(1938-39 (Aug.
=
100)
= 100)
= 100) 17, 1947
= 100) 1939 =
= 100)
100)
Year or
month
117
124
126
129
140
160
172
170
172
117
118
119
119
124
136
155
161
167
200
199
201
203
204
101
108
111
114
10
12
16
22
35
57
90
100
111
175 1950-July
178
August....
179
September.
180
October...
180
November.
180
December.
172
173
175
176
176
179
168
169
170
171
171
171
114
113
114
115
116
116
113
179 1951-January...
178
February..
178
March....
178
April
179
May
180
June
July
182
184
185
185
185
185
186
173
175
180
182
182
184
188
117
118
119
121
124
125
1942
1943
1944
1945
1946
1947
1948
1949
1950
.
117
119
121
124
126
129
129
?130
192
199
206
219
240
141
148
151
153
152
158
163
162
159
240
239
243
248
249
249
158
159
160
161
161
161
162
163
163
165
166
166
Preliminary.
fP rreiurnnary.
Adjusted series reflecting allowances for rents of new housing units and, beginning January 1950, interim revision of series and weights.
Sources.—See BULLETIN for August 1951, p. 1047; October 1950, p. 1421; January 1950, p. 125; July 1947, p. 935; May 1942, p. 451; October 1939, p. 943; and April 1937, p. 373.
1
SECURITY PRICES
[Index numbers except as otherwise specified]
Common stocks
Bonds
Year or month
Number of issues. .
1943.
1944.
1945.
1946.
1947.
1948.
1949.
1950.
United
States
(high
grade)
Canada
(1935-39
= 100)
12
120.3
120.9
122.1
123.3
103.2
98.7
101.9
1950—August
September.
October. . .
November.
December..
1951—January.
February
March.
April. . .
May. . .
June.. .
July....
United
1
Kingdom France
(1949 =
(December
1921 =100)
100)
Netherlands
United
States
(1935-39
= 100)
Canada
(1935-39
= 100)
14
416
105
278
83.5
83.8
99.6
115.7
106.0
112.5
109.4
131.6
84.5
88.6
92.4
96.2
94.6
92.0
87.6
90.0
875
1,149
1,262
1,129
1,030
United
France
Kingdom (December
(1926=100) 1938=100)
87
60
102.6
103.0
105.2
117.2
118.5
105.0
107.6
109.6
127.8
127.5
128.3
132.1
130.8
129.9
126.5
121.2
133.3
136.8
138.3
131.5
120.0
106.4
100.0
99.8
109.0
105.6
107.1
106.8
106.7
91.9
99.8
121.5
139.9
123.0
124.4
121.4
146.4
110.5
111.4
108.7
106.5
103.4
120.8
122.7
124.2
124.1
121.9
99.3
100.1
98.5
99.8
99.4
105.0
103.7
104.3
104.6
101.5
147.2
151.7
157.8
156.1
158.4
135.7
141.5
145.4
144.5
146.3
89.0
91.3
92.5
92.9
92.1
1,020
1,080
1,035
1,029
944
102.1
'102.4
95.6
95.3
95.3
95.0
95.5
122.4
121.1
120.2
119.8
118.3
117.5
116.9
99.7
99.6
100.1
99.2
100.4
100.6
101.5
99.4
97.4
96.6
93.1
86.9
87.6
84.1
168.6
174.7
170.3
172.3
173.9
171.7
172.8
153.8
166.5
162.9
165.6
164.2
160.7
162.0
94.7
96.8
96.2
96.0
99.7
99 4
97.6
1,031
1,144
1,159
1,169
1,172
1,188
1,212
Netherlands2
295
268
265
195
233
240
219
217
224
228
226
221
215
212
208
r
Revised.
1
This index replaces the one previously shown. It is based on 60 issues as compared with 50 in the former index. For a detailed description of the construction of this index, see "Bulletin Mensuel de Statistique," Supplements, July-September 1950, pp. 318-330 and OctoberDecember
1950, pp. 402-403. Yearly averages prior to 1949 are derived from old index.
2
In June 1951 the Netherlands Central Bureau of Statistics discontinued its series of index numbers of stock prices, shown heretofore. The
new figures shown are an average of the ratios of current prices to nominal values, express<*d as a percentage. A detailed explanation of the new
series is given in the Central Bureau's publication "Mededeling No. 2104."
NOTE.—For sources and description of statistics, see BULLETIN for March 1951, p. 357; June 1948, p. 747; March 1947, p. 349; November
1937, p. 1172; July 1937, p. 698; April 1937, p. 373; June 1935, p. 394; and February 1932, p. 121.
SEPTEMBER
1951
1219
BOARD OF GOVERNORS
OF THE FEDERAL RESERVE SYSTEM
W M . M C C . MARTIN, JR., Chairman
M. S. SZYMCZAK
JAMES K. VARDAMAN, JR.
R. M. EVANS
EDWARD L. NORTON
OLIVER S. POWELL
ELLIOTT THURSTON, Assistant to the Board
WINFIELD W. RIEFLER, Assistant to the Chairman
WOODLIEF THOMAS, Economic Adviser to the Board
OFFICE O F T H E SECRETARY
DIVISION OF EXAMINATIONS
S. R. CARPENTER, Secretary
MERRITT SHERMAN, Assistant Secretary
GEORGE S. SLOAN, Director
G. R. MURFF, Assistant Secretary
FRED A. NELSON, Assistant
KENNETH A. KENYON, Assistant Secretary
ARTHUR H . LANG, Chief Federal Reserve
LEGAL DIVISION
GEORGE B. VEST, General Counsel
FREDERIC SOLOMON, Assistant General Counsel
HOWARD H . HACKLEY, Assistant General Counsel
OFFICE OF T H E SOLICITOR
J. LEONARD TOWNSEND, Solicitor
G. HOWLAND CHASE, Assistant Solicitor
C. C. HOSTRUP, Assistant
Director
Director
Examiner
DIVISION O F BANK OPERATIONS
ROBERT F. LEONARD, Director
J. E. HORBETT, Assistant Director
LOWELL MYRICK, Assistant Director
DIVISION OF PERSONNEL ADMINISTRATION
DWIGHT L. ALLEN, Director
H, FRANKLIN SPRECHER, JR., Assistant
Director
DIVISION O F ADMINISTRATIVE SERVICES
DIVISION O F RESEARCH A N D STATISTICS
RALPH A. YOUNG, Director
FRANK R. GARFIELD, Adviser on Economic Research
KENNETH B. WILLIAMS, Assistant Director
SUSAN S. BURR, Assistant Director
DIVISION O F INTERNATIONAL FINANCE
ARTHUR W . MARGET, Director
LEWIS N . DEMBITZ, Assistant Director
FEDERAL
OPEN MARKET COMMITTEE
W M . M C C . MARTIN, JR., Chairman
ALLAN SPROUL, Vice Chairman
R. M. EVANS
RAY M. GIDNEY
R. R. GILBERT
H. G. LEEDY
EDWARD L. NORTON
OLIVER S. POWELL
M. S. SZYMCZAK
JAMES K. VARDAMAN, JR.
ALFRED H. WILLIAMS
LISTON P. BETHEA, Director
JOSEPH E. KELLEHER, Assistant Director
EDWIN J. JOHNSON, Assistant Director
DIVISION OF SELECTIVE CREDIT REGULATION
GUY E. NOYES, Director
GARDNER L. BOOTHE, II, Assistant Director
HENRY BENNER, Assistant Director
CLARKE L. FAUVER, Assistant Director
FEDERAL
ADVISORY COUNCIL
WALTER S. BUCKLIN,
BOSTON DISTRICT
N . BAXTER JACKSON,
N E W YORK DISTRICT
FREDERIC A. POTTS,
PHILADELPHIA DISTRICT
SIDNEY B. CONGDON,
CLEVELAND DISTRICT
ROBERT V. FLEMING,
RICHMOND DISTRICT
Vice President
PAUL M. DAVIS,
ATLANTA DISTRICT
EDWARD E. BROWN,
CHICAGO DISTRICT
President
S. R. CARPENTER, Secretary
MERRITT SHERMAN, Assistant Secretary
GEORGE B. VEST, General Counsel
W . L. HEMINGWAY,
S T . LOUIS DISTRICT
WOODLIEF THOMAS, Economist
JOSEPH F . RINGLAND,
MINNEAPOLIS DISTRICT
DAVID T . BEALS,
KANSAS CITY DISTRICT
D E W I T T T . RAY,
DALLAS DISTRICT
JAMES K. LOCHEAD,
SAN FRANCISCO DISTRICT
KARL R. BOPP, Associate Economist
WATROUS H . IRONS, Associate Economist
DONALD S. THOMPSON, Associate Economist
CLARENCE W. TOW, Associate Economist
JOHN H . WILLIAMS, Associate Economist
RORERT G. ROUSE, Manager of System Open
Market Account
1220
HERBERT V. PROCHNOW,
Secretary
FEDERAL RESERVE BULLETIN
CHAIRMEN, DEPUTY CHAIRMEN, AND SENIOR OFFICERS OF FEDERAL RESERVE BANKS
Federal Reserve
Bank of
Boston. .
Chairman !
Deputy Chairman
. . Harold D. Hodgkinson
Ames Stevens
President
First Vice President
J. A. Erickson
Alfred C. Neal
New York
Robert T. Stevens
William I. Myers
Allan Sproul
L. R. Rounds
Philadelphia
Warren F. Whittier
C. Canby Balderston
Alfred H. Williams
W. J. Davis
Cleveland
George C. Brainard
John C. Virden
Ray M. Gidnev
Wm. H. Fletcher
Richmond
Charles P. McCormick
John B. Woodward, Jr.
Hugh Leach
J. S. Walden, Jr.
Atlanta
Frank H. Neely
Rufus C. Harris
Malcolm Bryan
L. M. Clark
Chicago. .
F. J. Lunding
John S. Coleman
C. S. Young
E. C. Harris
St. Louis
Russell L. Dearmont
Wm. H. Bryce
Delos C. Johns
0. M. Attebery
Minneapolis. . . . Roger B. Shepard
W. D. Cochran
J. N. Pevton
A. W. Mills
Kansas City. . . . Robert B. Caldwell
Robert L. Mehornay
H. G. Leedy
Henry 0. Koppang
Dallas
R. R. Gilbert
W. D. Gentry
J. R. Parten
R. B. Anderson
San Francisco... Bray ton Wilbur
Harry R. Wellman
Vice Presidents
John J. FoggE. 0. Latham
Robert B. Harvey 3 Carl B. Pitman
0. A. Schlaikjer
E. G. Hult
R. F. Van Amringe
H. V. Roelse
H. A. Bilby
Robert G. Rouse
H. H. Kimball
William F. Treiber
L. W. Knoke
V. Willis
Walter S. Logan
R. B. Wiltse
A. Phelan
Karl R. Bopp
W7m. G. McCreedy
Robert N. Hilkert P. M. Poorman
Richard G. Wilgus 2
E. C. Hill
A. H. Laning 3
Wilbur T. Blair
Martin Morrison
Roger R. Clouse
Paul C. Stetzelberger
W. D. Fulton
Donald S. Thompson
J. W. Kossin
C. B. Strathy
N. L. Armistead
K. Brantley Watson
R. L. Cherry
Edw. A. Wayne
D. F. Hagner 3
Chas. W. Williams
R. W. Mercer
P. L. T. Beavers
Joel B. Fort, Jr.
T. A. Lanford
V. K. Bowman
E. P. Paris
J. E. Denmark
S. P. Schuessler
L. H. Jones 2
Allan M. Black
George W. Mitchell
H. J. Chalfont
A. L. Olson
Neil B. Dawes
Alfred T. Sihler
W. R. Diercks
W. W. Turner
W. A. Hopkins
FrederickL. Deming Paul E. Schroeder
C M . Stewart
Dale M. Lewis
Wm. E. Peterson H. H. Weigel
J. C. Wotawa
C. A. Schacht
H. C. Core
H. G. McConnell
Otis R. Preston
C. W. Groth
M. H. Strothman, Jr.
E. B. Larson
Sigurd Ueland
G. H. Pipkin
L. H. Earhart
C. E. Sandv 2
R. L. Mathes
D. W. Woolley
John Phillips, Jr.
Watrous H. Irons
E. B. Austin
L. G. Pondrom 3
R. B. Coleman
C. M. Rowland
W. E. Eagle
Mac C. Smyth
W. H. Holloway
J. M. Leisner
S. A. MacEachron
E. R. Millard
W. L. Partner
C. E. Earhart
H. N. Mangels
H. F. Slade
Ronald T. Symms 3
W. F. Volberg
0. P. Wheeler
VICE PRESIDENTS IN CHARGE OF BRANCHES OF FEDERAL RESERVE
Federal Reserve
Federal Reserve
Branch
Branch
Chief Officer
Bank of
Bank of
4
Minneapolis. . . . Helena
Buffalo
New York
I. B. Smith
Cincinnati
Cleveland
W. D. Fulton
Pittsburgh
Kansas City.. . . Denver
J. W. Kossin
Oklahoma City
Baltimore
D. F. Hagner
Richmond
Omaha
Charlotte
R. L. Cherry
Atlanta. .
Birmingham
P. L. T. Beavers
El Paso
Dallas
Jacksonville
T. A. Lanford
Houston
Nashville
Joel B. Fort, Jr.
San Antonio
New Orleans
E. P. Paris
San Francisco... Los Angeles
Detroit
Chicago
H. J. Chalfont
Portland
Little Rock
St. Louis
C. M. Stewart
Louisville
Salt Lake City
C. A. Schacht
Memphis
Seattle
Paul E. vSchroeder
1
Also Federal Reserve Agent.
SEPTEMBER
1951
2
Cashier.
5
Also Cashier.
4
BANKS
Chief Officer
C. W Groth
G. H. Pipkin
R. L. Mathes
L. H. Earhart
C. M Rowland
W. H Holloway
W. E Eagle
W. F. Volberg
S. A. MacEachron
W. L. Partner
J. M. Leisner
General Manager.
1221
FEDERAL RESERVE PUBLICATIONS
The material listed below may be obtained from
the Division of Administrative Services, Board of
Governors of the Federal Reserve System, Washington 25, D. C. Remittance should be made
payable to the order of the Board of Governors
of the Federal Reserve System.
FEDERAL RESERVE BULLETIN. Issued monthly. Sub-
RULES OF ORGANIZATION AND RULES OF PROCEDURE—
Board of Governors of the Federal Reserve System (With Amendments). September 1946. 31
pages.
T H E FEDERAL RESERVE ACT, as amended to Novem-
ber 1, 1946, with an Appendix containing pro
visions of certain other statutes affecting the
Federal Reserve System. 372 pages. 50 cents per
paper-bound copy; $1.00 per cloth-bound copy.
scription price in the United States and its possessions, Bolivia, Canada, Chile, Colombia, Costa
Rica, Cuba, Dominican Republic, Ecuador,
Guatemala, Haiti, Republic of Honduras, Mexico, POSTWAR ECONOMIC STUDIES. (8 pamphlets)
No. 1. Jobs, Production, and Living Standards.
Newfoundland (including Labrador), Nicaragua,
Panama, Paraguay, Peru, El Salvador, Uruguay,
No. 2. Agricultural Adjustment and Income.
and Venezuela is $2.00 per annum or 20 cents
No. 3. Public Finance and Full Employment.
per copy; elsewhere $2.60 per annum or 25 cents
No. 4. Prices, Wages, and Employment.
per copy. Group subscriptions in the United
No. 5. Private Capital Requirements.
States for 10 or more copies to one address, 15
No. 6. Housing, Social Security, and Public
cents per copy per month, or $1.50 for 12 months.
Works.
FEDERAL RESERVE CHARTS ON BANK CREDIT, MONEY
No.
7.
International
Monetary Policies.
RATES, AND BUSINESS. Issued monthly. $6.00
No.
8.
Federal
Reserve
Policy.
per annum including historical supplement
listed below, or 60 cents per copy. In quantities
of 10 or more copies of a particular issue for
single shipment, 50 cents each. (Domestic rates)
HISTORICAL
SUPPLEMENT
TO FEDERAL
RESERVE
CHARTS ON BANK CREDIT, MONEY RATES, AND
BUSINESS.
113 charts. April 1951 edition.
Annual subscription to monthly chart book includes supplement; single copies, 60 cents each.
In quantities of 10 or more copies for single shipment, 50 cents each. (Domestic rates)
BANKING STUDIES. Comprising 17 papers on banking and monetary subjects by members of the
Board's staff. August 1941; reprinted March
1949. 496 pages. Paper cover. $1.00 per copy;
in quantities of 10 or more copies for single shipment, 75 cents each.
BANKING AND MONETARY STATISTICS.
Statistics of
The price for the set of eight pamphlets is $1.25;
25 cents per pamphlet, or, in quantities of 10 or
more for single shipment, 15 cents per pamphlet.
T H E FEDERAL RESERVE SYSTEM—ITS PURPOSES AND
FUNCTIONS. November 1947; reprinted April
1951. 125 pages. 75 cents per cloth-bound copy;
in quantities of 10 or more copies for single
shipment, 50 cents each. Paper-bound copies
available without charge.
DEBITS AND CLEARINGS STATISTICS, THEIR BACKGROUND AND INTERPRETATION.
October 1947. 50
pages. 25 cents per copy; in quantities of 10 or
more copies for single shipment, 15 cents each.
DISTRIBUTION OF BANK DEPOSITS BY COUNTIES, as of
December 31, 1947. July 1948. 122 pages. As
of June 30, 1949. December 1949. 122 pages.
banking, monetary, and other financial developDISTRIBUTION OF BANK DEPOSITS BY COUNTIES AND
ments. November 1943. 979 pages. $1.50 per
STANDARD METROPOLITAN AREAS, as of Decemcopy. N o charge for individual sections (unber
30, 1950. July 1951. 125 pages.
bound).
MONETARY AND BANKING REFORM IN PARAGUAY
A STATISTICAL STUDY OF REGULATION V LOANS.
September 1950. 74 pages. 25 cents per copy;
Includes translation of laws, accompanying rein quantities of 10 or more copies for single shipports, and introduction reviewing the monetary
ment, 15 cents each.
history of Paraguay. July 1946. 170 pages.
$1.00 per copy.
REGULATIONS OF THE BOARD OF GOVERNORS OF THE
1
A more complete list, including periodical releases and
FEDERAL RESERVE SYSTEM. Individual regulations
reprints, appeared on pp. 734-37 of the June 1951
with amendments.
BULLETIN.
1222
FEDERAL RESERVE BULLETIN
FEDERAL RESERVE PUBLICATIONS
REPRINTS
1951 SURVEY OF CONSUMER
PRELIMINARY RESULTS.
(From Federal Reserve Bulletin unless preceded by an asterisk)
FINANCES—SELECTED
April 1951. 4 pages.
PART I. T H E ECONOMIC OUTLOOK AND LIQUID
A STUDY OF INSTALMENT CREDIT TERMS, by Milton
ASSET POSITION OF CONSUMERS.
Moss. December 1949. 8 pages.
pages.
PART II.
DURABLE
FRENCH EXCHANGE STABILIZATION FUND, by Robert
GOODS IN 1949 AND BUYING
DISTRIBUTION
Feb-
18 pages.
IN LARGE
CORPORATION
FINANCING IN 1949, by Eleanor J. Stockwell.
June 1950. 6 pages. (Also, similar survey by
Charles H . Schmidt. June 1949. 8 pages.)
RETAIL CREDIT SURVEY—1949.
From June 1950
BULLETIN with supplementary information for
nine separate trades. 37 pages.
INCOME
IN 1950.
PART IV.
DISTRIBU-
BRANCH BANKING IN THE UNITED STATES, 1939 and
July 1950. 16 pages.
#
T H E TREASURY—CENTRAL BANK RELATIONSHIP IN
FOREIGN
COUNTRIES—PROCEDURES
AND TECH-
NIQUES. November 1950. April 1951. 19 pages.
* PROGRAM
FOR VOLUNTARY
CREDIT
RESTRAINT.
As amended to April 20, 1951. 4 pages.
TRENDS IN INTERNATIONAL TRADE AND PAYMENTS.
DEFENSE LOAN POLICY. An announcement adopted
jointly by National and State Supervisors of banks
and other lending institutions. August 4, 1950.
August 1950. 1 page.
REVISED ESTIMATES OF CONSUMER CREDIT.
Novem-
ber 1950. 2 pages.
MEASUREMENT OF CONSUMER CREDIT.
September
SURVEY OF CONSUMER FINANCES.)
STATEMENT ON PROPOSED SMALL BUSINESS LEGISLA-
TION. Presented by Thomas B. McCabe, Chairman, Board of Governors of the Federal Reserve
System, before the Senate Committee on Banking and Currency, June 27, 1950. July 1950. 8
pages.
PLANS
1951. 18 pages. (Other articles on the 1951
survey will appear in subsequent issues of
the BULLETIN. Also, similar survey for 1946
from June-September 1946 BULLETINS, 28 pages;
for 1947 from June-August and October 1947
BULLETINS, 48 pages; for 1948 from June-September and November 1948 BULLETINS, 70
pages; for 1949 from June-November 1949 and
January 1950 BULLETINS, 124 pages; for 1950
from April and June-December 1950 BULLETINS,
106 pages, which includes T H E METHODS OF THE
February 1950. 15 pages.
INDUSTRIAL DIFFERENCES
18
PART III.
TION OF CONSUMER SAVING IN 1950.
STAFF STUDY ON ASSESSMENTS AND COVERAGE FOR
1949.
OF CONSUMER
August 1951.
ruary 1950. 5 pages.
DEPOSIT INSURANCE.
June 1951.
OF HOUSES AND
FOR 1951. July 1951. 18 pages.
Solomon. January 1950. 5 pages.
INSURANCE OF COMMERCIAL BANK DEPOSITS.
PURCHASES
April 1951. 14 pages.
ESTIMATED LIQUID ASSET HOLDINGS OF INDIVIDUALS
AND BUSINESSES. July 1951. 2 pages.
HOUSE PURCHASES IN THE FIVE MONTHS FOLLOWING
THE INTRODUCTION OF REAL ESTATE CREDIT REGU-
Address by
Ralph A. Young and Homer Jones before the
University of Illinois Consumer Credit Conference, Chicago, Illinois, October 5, 1950. November 1950. 9 pages.
LATION. July 1951. 23 pages.
FINANCING
OF LARGE CORPORATIONS IN 1950, by
Eleanor J. Stockwell. August 1951. 7 pages.
SAVING
1951.
IN THE DEFENSE
ECONOMY.
September
AND CURRENT
TRENDS OF
5 pages.
T H E INTERNATIONAL MOVEMENT OF GOLD AND DOL-
LARS IN 1950. March 1951. 10 pages.
STATEMENT BY CHAIRMAN MARTIN ON H I S TAKING
OATH OF OFFICE, APRIL 2, 1951.
1 page.
SEPTEMBER 1951
April 1951.
THE
BALANCE
SHEET
AGRICULTURE, 1951. September 1951. 14 pages.
T H E CURRENT POSITION OF AGRICULTURE, by Philip
T. Allen. September 1951. 11 pages.
1223
FEDERAL RESERVE SYSTEM
BOUNDARIES OF FEDERAL RESERVE DISTRICTS
AND THEIR BRANCH TERRITORIES
====
td
d
s
BOUNDARIES OF FEDERAL RESERVE DISTRICTS
— —
BOUNDARIES OF FEDERAL RESERVE BRANCH TERRITORIES
^C
BOARD OF GOVERNORS OF THE FEDERAL RESERVE SYSTEM
®
FEDERAL RESERVE BANK CITIES
•
FEDERAL RESERVE BRANCH CITIES
@FedFRASER