The Seattle star. [volume] (Seattle, Wash.) 1899-1947, 1924-01-01
BN JOHN PERRIN
Federal Reserve Agent for the
Twelfth Reserve District

Twelfth Reserve District
Sound and substantial economic
progress characterized tho year 1889
in the Twelfth Federal Reserve dis
trlct. despite irrogularlty In n few
fields, notably agriculture, Complete
returns for II months and partial
returns FOR December Indicate that
the year has been enc OF record
activity In production and business.
while hank credit for growing. har.
Ncsting aud marketing the districts
crops. as we'll as for financing com.
merec and Industry. has been con.
tinuousy available at moderate
cost.
Production In tho major Indus.
tries Of tho district attained high
levels during tho spring months OF
the year and. except for seasonal
declines, was generally maintained
during later months. The follow.
Ing comparisons Of November. 1898,
with November. 1888. illustrate the
situation:
Lumber production, 20 per
cent increase; copper, IS per
cent: silver. per cent. pctro-
lcum. 50 per cent: flour It's
per cent: building activity. Is
per cent.
Employment, conditions. on the
whole, have been normal or better
than normal. and thus far this
winter seasonal unemployment has
been no greater than usual.
Final judgment concerning the
year 1925 must. OF course. await and
To some extent be hased upon show.
ing OF the results OF tho years opcr-
atoms In agriculture, and here the
statistical testimony is least authcri.
,afive and most conflicting. II Is
knewn thai physical yields Of che
principal crops OF the district have
generally been large. and in some
cases. notably wheat. OF record pro.
portions. Profitable disposition OF
tho crops grown has not been easy
In all instances. however. and I, may
DO said that two large groups of
farmers. those engaged In producing
wheat and those raiaing dcclduous
fruits. have experienced considerable
difficulty in selling their crops at
prices which would return them n
profit on the years work.
Specific Information concerning
the live stock industry Il even more
difficult TO secure than that relating
to general agriculture. There can ba
little doubt. however. that the sheep
raising industry has almost complete,
" recovered from tho depression OF
l92o.Is2i. Improvement In the cattle
raising industry has bean more tardy
in appearance. but there has been
progress.
Tho total volume OF business
transacted in tho dissric, Is most ac-
curatcly reflected in figures OF
checks drawn against individual &C,
counts al commercial banks. which
also Indicate record activity during
i9s3. An index OF such debts, pre-
pared BY this bank. ia tho construc.
ton OF which tho 1919 monthly av.
eraEo was taken as 100. has stood
above fs0 in every month Of tho
present year. except September. and
the average for the year was 1885.
The average for the previous record
year, 1920. was 1879.
Any allowance necessary for nor.
NAL year.to.year growth would be
more than offset By the correction
for changes in the price level be-
tween 1890 and 1919 tpriccs have
been approximately IS per cent low.
er during 1874 than during is20l
and II therefore follows that tho
physical volume OF business trans
acted during 1929 was substantially
greater than in any previous year.
Tho high level OF consuming pow.
err which has followed naturally the
fun employment OF labor at good
wages has been reflected In In.
creased sales OF retail stores. Dur.
ing November. 1923. the value OF
sales Of So representative depart
ment stores reporting 10 this bank
was 90 per cent greater than In
November. 1922. and In several earii-
or months Of 1929 the margin OF In.
crease over 1922 WIS even greater.
Trade at wholesale has shown
moderate gains during 1898. as com
pared with 1922. an active year,
with no evidence Of the feyorish nc.
tivIty which characterizes periods
OF speculative buying. During No.
vember OF this year. nine OF tho II
wholesale trades agricultural imple-
ments. automobile supplies, automo.
bile tires. drugs. dry goods. olectrI.
cal equipment. furniture, groceries.
hardware. shoes and stationery, for
which this bank collects sales fig.
ures. showed an Increase in value
OF sales as compared with a year
ago.
At no time during the year has
there been serious strain upon the
credit structure OF the district.
Country banks have not borrowed
from the reserve bank. except in
small amounts. their total discounts
rising from tf9,72e 900 nj the be-
ginning OF the year. to peak Of
s32,6oS,o0O on August 2s. and then
declining TO s22.OOO.0 900 by the first
week Of December.
Total loans OF reporting city mem.
her banks. altho they have increased
steadily turnout 1929. were but II