Richmond times-dispatch. [volume] (Richmond, Va.) 1914-current, 1922-12-31
By Alfred Reeves.

''Sn1ta manager National AutOmo-
Die Chamber OF Commerce
MAKING more than 2.50o.00O motor
cars ana motor trucks. valued whole
saic at Sl,55S. 900. 900. the automobile
INDUSTRY In 1922 has enjoyed the hest
year in Its history. with more than
~ per cent Of the cars sold retailing
Tor less than $1,000. II is clear that
MOTOR transportation Is In urgent de-
mana ty tho man OF moderate means.
'nhy lines OF cars I'm the higher
price ranges have had an excellent
year hut II is particularly noteworthy
.hat thorc arc number OF makers
In tho very low price ncld. most OF
which are gaining In popularity.
t. There is every indication that while
1923 will not he boom year. II will
continue to show steady increase
Tor IN" motor industry. with final
hEurcs that Will surpnss the mark
OF 1879. 1t Will be "A year OF keen
competition. with tn. standard makes
farins best. and with a renewal de-
mand 10 replace worn-out cars of
probably 100000 units sales of
N"e past year astoninhcd many eco
homists. who overlooked the fact
mat everybody wants motor car
and that IA" motor truck is "a much
needed addition In our facilities for
the transportation Of merchandise.
Ten million Motor Cnrs.
D
United States about lO25Uo0O pas
senrcr cars and more than 1850. 900
commercial vehicles. many of which
J VIII wear out and have to Re replaced
IN 1923. Why this record bushes
during the past twelve months
when go many expected troublesome
times for motor vehicle manufacture
ers? ON what basis can We predict
an Increased business in l323r What
class OF car viii be most favorcd7
How many motors can be used In
the United States Wha, cn.c, does
1.-THE automobile. Industry have on
other lines OF trade?
These and many other questions
are OF vital interest because auto
mobile manufacture. sale. and use
hav" been meeting hitherto unxat-
ish"d human demand for personal
transportation. and accordingly have
gone relatively far ahead OF normal
curves Of products which have lceu
available FOR many years This has
puzzled many economists who did not
realize tho extent OF the demand on
the other hand, there have been
some ar-sighted economic authprI-
ties, who have sensed tho Insistrnt
deIirc Of the public for motor trans
portation
N"K, to schools. II Is admitted that
nothing is 80 important 10 the adj
1, Eanc"neht ~ nation as efficient
'lhIN i''fI AhNl'ns -Nll improved trans
portht,on has come during the las,
l2G years, or since Fulton launched
his steamboat In 1896
~ has hcrn truly said that tho
Man ~ nazareth. founder OF the
faitn. and George Washington. the
founder az our cnuntry, living $500
years apart, saw the same METHODS
of transportation.
OF All modern means of tranzporta-
.tion. none has improved a, such a
record pace a. tho automobile. Tho
reason Ia not hard 10 analyze. because
the demand for this independent
means of TRANSPORTATION has alvays
been pressing. Every one wanted a
motor car. Generally the only thing
that prevented was price. This call
vas been answered by big production
methods. tn" usc Of som" IL stand
ards In design. manufacture. and MA
t"rihi; the interchange 81 licenses un-
der hevclopmot. patents without
money royalty, and genera! SUN
motor cars a; the lowest possible
cost"
TruclS Growth More Gradual
Truck demand was different. We
mad various types OF transportation.
The truck supplantcd some. and was
an ally TO others. Its growth, there.
fore. was certain to he much slower
~ ''"'' ''aS'ii IoI tH' nedEy huN-
Ing OF motor vehicles during tho past
year was tho large number OF ma
chimes available AT the ocs; value IN
the history az IN" business rrue, II
was year of price cutting. in many
cases To 81 point below cost in order
to maintain markets.
The manufacturers took their
losses quickly. scaled down their in
Ncntorics. placed their prices on a
basis of maintained production. and
above all, advertised thcs. new
prices 10 the people who knew that
the products were oh;ainable from
the retailer At the lower nSur-s
Motor Cnrs Mere n Purchase.
" People who had held of buving
while waiting for prices to drop came
into the market. This permitted in
creased production ana q sim far
Their lowering OF prices. II was an
incentive TO shaving production costs
to Keep better balanced Inventories
ana 10 broadening sales and advcr-
Using policies. II proven further
that American life Is now function
ing In terms OF the motor car and
motor truck. just as II is in terms OF
the telegraph and the telephone.
All this has brought q new under.
standing OF the automobiles impor-
eancc in the nations wealth as proved
by the statements of bankers ccono-
mists, and government officials. in
cludinE Ayrcs. Rabson and even pres-
ident Harding. Babson lists auto
mobiles among thirty industries
which he believes will register a 10
TO 20 per cent increase In 1929, while
Leonard 7. Ayres has expressed the
opinion that the market to meet the
shortage of automobiles was one Lf
the four shortages which have been
Z the fundamental causes OF the gen
eral increase in business activity.
with conservative estimate for
December, the production for 1922
VIII unquestionably exceed 2,52T,OO0
vehicles, OF which 100000 will he
trucks. This is 81 per cent over 1921
and IA per cent over the previous
record year of 1920. The wholesale
value for 1922 was sl.55S, 567 900, Of
which slS4.0S0.0OO was the truck
value. Production for the past ten
years is Interesting:
gear Cars Trucks Total
1913 49,. 4Gl.500 o3.6O0 $4,000
1914 $50. 453.G79 25.375 56O,O5A
1913 $50. SlS.GlS 1900 S92.GlS
1916 ...,. 1,493.6l7 10000 l,5S36l7
1917 ..... l,740,792 1oSl57 1S6S 4Io